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Gregory council adopts resolution opposing Initiated Measure 28, cites $135,000 local revenue risk

Gregory City Council · October 7, 2024
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Summary

The Gregory City Council on Oct. 7 approved Resolution 2024-02 opposing Initiated Measure 28, citing ambiguity in the measure’s language and an estimated $135,000 annual loss to the city’s budget if the measure passes.

The Gregory City Council on Oct. 7 adopted RESOLUTION 2024-02 opposing Initiated Measure 28, which would remove state, municipal and tribal taxes on items sold for human consumption if approved by voters. The motion to approve the resolution was made by Councilmember Laura Petersen and seconded by Guhner Kepler; the vote was 4 ayes, 0 nays.

The resolution notes uncertainty about the term “human consumption” and cites legal definitions and state code references. Finance Officer Trudy Waterman told the council the city collected $134,000 in sales tax in fiscal year 2023 and $87,930 year-to-date in 2024, and the resolution estimates an annual lost revenue of $135,000 if IM28 passes. The resolution also cites South Dakota Codified Law sections and the Attorney General’s explanation that legislative or judicial clarification would be needed if the measure passes.

Council members were unanimous in approving the formal opposition. The resolution will stand as the council’s official position ahead of the November 2024 General Election.