South Dakota state government closed the 2017 budget year on June 30 marking the sixth consecutive year with a surplus, Gov. Dennis Daugaard made the announcement today.
In total, state agencies spent $15.6 million, or 1 percent, less than was appropriated by the Legislature. Revenue for Fiscal Year 2017 finished lower than estimates adopted by the Legislature in February by $7.6 million, or 0.48 percent.
South Dakota’s sales and use tax receipts, the state’s largest revenue source, finished the fiscal year slightly above revised budgeted levels, growing 10.49 percent compared to the prior year. This high rate of growth is due to the increase in the sales tax rate that took effect on June 1, 2016. Collections from the sales and use tax accounted for nearly 61 percent of total general fund receipts in Fiscal Year 2017.