South Dakota
Bill to bring every school district opt-out to an election fails in SD
Thirty-nine legislators voted against a bill Feb. 4 in the South Dakota House of Representatives that would’ve brought every single school district opt-out to a public vote.
After Senate Bill 85 failed to pass, with 29 lawmakers voting for it and two excused, bill sponsor Rep. John Hughes, R-Sioux Falls, said he intended the bill to be reconsidered in the coming days, meaning the bill could’ve been heard again Feb. 5.
But by the time the House reconvened that day with SB 85 on the docket, Hughes didn’t choose to move to have the bill reconsidered.
He told the Argus Leader, in emails shortly after the bill was mentioned on the House floor, that it wouldn’t be reconsidered, and it’s most likely the case that the bill will remain dead. But that other bills affecting opt-outs are pending, and amendments could come forward.
Opt-outs allow school districts to raise additional operating funds beyond what they get in their existing tax levy, and in state aid, by “opting out” of those limitations to collect more taxes from property owners in the district.
“Only time will tell how this issue works itself out and whether a mandatory referral requirement will reappear in some other bill,” Hughes told the Argus Leader.
Bill sponsor skeptical of trust in school administrators
Hughes would’ve had an uphill battle to change minds and flip votes, as many of the legislators who spoke in opposition to the bill staunchly defended education, local control and the financial decisions made by superintendents, school boards and school districts.
Those legislators cited the fact that only 14 districts passed opt-outs over the last year, with five of those being referred to an election, and all five passing.
SB 85 is one of 19 recommendations brought by the comprehensive property tax task force that met over the summer. Sen. Sue Peterson, R-Sioux Falls, brought both the bill and the recommendation, both opposed by the Sioux Falls School District (SFSD). Peterson said it was not a “silver bullet,” but part of the solution to solve the property tax problem in the state.
Peterson has also brought SB 223, which would require petitioners to gather only 50 signatures in 40 days to refer an opt-out to an election. The bill has been referred to the Senate State Affairs committee.
Hughes noted Feb. 4 that last year’s resolution to convene the task force was approved by 64 Representatives.
“One thing we have all seen from the floor vote on SB 85, the House in 2025-2026 thus far is talking out of both sides of its mouth on property tax reform and relief, and the voters should take that into consideration in June and November, if this session continues its present course on property taxes, and that we should just ‘trust the school administrations’ in South Dakota,” Hughes said in a statement Feb. 5.
Sioux Falls was a focal point of the bill
In House debate Feb. 4 and in the bill’s prior hearings, it was clear the most recent opt-out passed by the SFSD Board of Education, and the inability of petition circulators to gather enough signatures to bring the proposal to a vote, was a flashpoint that led to the bill’s creation.
That opt-out for $2.1 million over 10 years — or $21 million — needed 5,490 signatures to be referred to voters, but only 2,302 signatures were turned in by the deadline, in 20 days.
One of the most outspoken petitioners, Misty Furness, noted the cost for the district to hold an opt-out election — $63,000 — is far less than $21 million, and said SB 85 is about giving taxpayers a voice.
Peterson said Jan. 22 in the bill’s first hearing in the Senate Education committee that it shouldn’t be the responsibility of voters to gather petition signatures to prevent districts from spending over the limits that have been set for them.
During the Sioux Falls school board’s work session Feb. 4, shortly before the House started debating SB 85, school board president Nan Kelly said the bill wouldn’t solve the property tax issue “in any real meaningful way,” and said opt-outs have historically been used to fill the gap between what’s available in state and local funding, and what’s needed.
District business manager Todd Vik noted the Legislature increased state aid to education at only 1.25% last year and is proposing no increase this year, and said SB 85 will make it “much more difficult to opt out.”
Kelly said the bill sets a “very dangerous precedent” and could lead to similar legislation being proposed for cities and counties.
That’s something SFSD lobbyist Sam Nelson brought up in his testimony against the bill in the House Education committee Feb. 2, arguing that if proponents believed SB 85 was good for schools, it should be good for all local units of government, including the general bill and special appropriations passed by legislators.
Part of the reason opt-outs are in place is that “for years, we have not adequately funded public education, which is your constitutional obligation to do,” Nelson told the House Education committee on Feb. 2.
He noted that people who disagree with opt-outs or other decisions made by school board members have two ways to deal with it: showing up at school board meetings and making public comments, or “one of the greatest referendum tools,” the ballot box.
Rep. Brian Mulder, R-Sioux Falls, said he’d heard from SFSD that only one person made public comments on the budget cycle, and only two people emailed Superintendent Jamie Nold about the budget, noting that people already have the opportunity to influence school board and district decisions.
Districts ‘glibly ignore spending limits,’ proponents argue
In prior committee hearings, SB 85 was endorsed by lobbyists for the Freedom Foundation and Americans for Prosperity.
Legislators who spoke in favor of SB 85 Feb. 4 largely argued that taxpaying voters need to have a say in opt-outs that school boards want to pass, and that part of “local control” is for local school board voters to be part of decisions in their local school districts.
Hughes had argued that a number of school districts across the state “glibly ignore spending limits.”
In his rebuttal, he said his sons shouldn’t have to go to school board meetings and “plow through budgets” that make “all of us gloss over.”
He also said that in December, Nold gave a “wonderful defense for everything he’s doing to continue, according to the status quo,” and said that if legislators don’t pass SB 85, “we ought to just give everybody a trophy and go home.”
Rep. Terri Jorgenson, R-Rapid City, argued SB 85 is not about schools or education funding, but about taxpayers’ consent. She said there are 79 active opt-outs across the state levying $43 million in excess property taxes.
SB 85 takes tools out of education’s toolbox, opponents argued
In prior committee hearings, SB 85 was opposed by lobbyists for the Sioux Falls School District, Rapid City Area Schools, Associated School Boards of South Dakota, School Administrators of South Dakota, South Dakota Education Association, South Dakota United School Association, the Large School Group and the Greater Sioux Falls Chamber of Commerce.
Since the petition group in Sioux Falls didn’t gather enough signatures, ASBSD lobbyist Heath Larson said it’s possible local constituents were supportive of the district and trusted what school board members were doing.
Large School Group lobbyist Dianna Miller argued that putting a mandate like SB 85 on schools isn’t “limited government,” and said that the property tax problem shouldn’t be “solved on the backs of school districts” alone, something Rep. Mike Stevens repeated on the House floor.
Reps. Erik Muckey, Jim Halverson, Tim Walburg, William Shorma, Roger DeGroot, Keri Weems, Stevens and Mulder all spoke against the bill on the House floor.
DeGroot said school districts pass opt-outs because “we’re not doing our job here,” referring to legislators’ power to increase education funding in Pierre. He added the lack of a proposed increase in state aid to education this year “makes absolutely no sense to me at all.”
Stevens said all legislators do recently is “take tools out” of education’s toolbox, and that if SB 85 passed, “there’d be no more tools in that toolbox.” He noted districts must publish public notices and hold public hearings when school boards plan to vote on or pass opt-outs.
Walburg said he trusts his superintendent and school board members, and that the state shouldn’t dictate what they can do. He noted that 57% of his property tax bill went to schools, which he said was about $265 twice a year.
Halverson said one of the superintendents in his legislative district had asked him to vote no and respect local control. Weems also said constituents in her district value what their property tax does for education, and that she voted against the bill and in favor of local control.
(SOUTH DAKOTA SEARCHLIGHT) – Democrats are running for 46 of South Dakota’s 105 legislative seats — leaving 56% of seats without a Democratic candidate.
That doesn’t bode well for the party ahead of November, said Michael Card, professor emeritus of political science at the University of South Dakota.
“It doesn’t put them in a position to actually put forward their ideological policy preferences and have much of a success at getting those enacted,” Card said.
In the state Senate alone, Democrats have failed to field a candidate for 22 seats, which is nearly two-thirds of the chamber. In the House, Democrats have failed to field a candidate for 38 seats, which is 54% of the chamber.
There is only one Democratic legislative primary in the state: a state Senate race in District 26, which includes the Rosebud Reservation.
There are no statewide Democratic primaries, after announced candidates for governor and U.S. House dropped out or failed to gather enough petition signatures to make the ballot, leaving one Democrat in each of those races.
Statewide candidates will have less name recognition than Republican candidates ahead of the general election, since they didn’t have primaries, Card said. In the Legislature, Card said Democrats “are guaranteeing they won’t get a majority.”
In contrast, Republicans have primary races for governor, U.S. House and U.S. Senate. Five legislative districts do not have Republican primaries, but do have Republican candidates. There is a Republican candidate running for every legislative seat, except for one House seat in District 27, which includes the Pine Ridge Reservation.
Card said there are several factors leading to poor candidate turnout among Democrats, including a self-fulfilling cycle of failure.
“A lack of winning makes fewer people willing to take a chance on running for office,” Card said. “Why run if I think I’m going to lose?”
Democrats haven’t held a statewide office since 2015, and they haven’t held a majority of either legislative chamber since 1994.
Joe Zweifel, deputy executive director of the South Dakota Democratic Party, said the organization worked “really, really hard” to convince Democrats to run for office.
“But you can’t force people to run for office,” said Zweifel, of Sioux Falls, who’s running for a legislative seat himself in District 12.
He’s heard the open seats called a “failure.” But he disagrees, choosing to focus on the Democrats who did step forward.
“We’re running quality, good candidates in those races,” Zweifel said.
The South Dakota Democratic Party hopes to build on legislative successes, such as a new law from Rep. Kadyn Wittman, D-Sioux Falls, that commits state funding to cover the family portion of reduced-price school meals.
“That specifically is a return on investment for our donors, and it shows that Democrats are doing good things for the people of South Dakota,” Zweifel said.
Wittman’s success helped inspire Democratic District 13 House of Representatives candidate Ali Rae Horsted, of Sioux Falls, to take a second run at the Legislature. Horsted ran unsuccessfully for the Senate against Sen. Sue Peterson in 2024, garnering 42% of the vote.
Horsted plans to build on that success and the name recognition she already has in the district. She hopes she’ll have “better odds” in this election, since there are two House seats for every district.
Horsted said it would better serve South Dakota if the state had a more balanced Legislature. While the latest Legislature was 92% Republican, 52% of voters in South Dakota are Republican. South Dakota has the lowest percentage of Democrats, 7.6%, in the Legislature nationwide.
“I think it’s important that people have options on the ballot,” Horsted said, “and people are able to vote for candidates that represent their values and their vision for the future of South Dakota.”
Makenzie Huber is a lifelong South Dakotan who regularly reports on the intersection of politics and policy with health, education, social services and Indigenous affairs. Her work with South Dakota Searchlight earned her the title of South Dakota’s Outstanding Young Journalist in 2024, and she was a 2024 finalist for the national Livingston Awards.
South Dakota Searchlight is part of States Newsroom, the nation’s largest state-focused nonprofit news organization.
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From East River to West River, South Dakota communities share a common goal: creating places where people of all ages can live, work and thrive. AARP’s Domains of Livability provide a framework to help communities do just that. Through the AARP Community Challenge grant program—designed to spark quick, impactful local projects—South Dakota communities are turning big ideas into visible, people-centered improvements.
Read the South Dakota Community Challenge Grant Report, which showcases grant-funded projects across the state designed to build more livable communities.
What Are AARP’s Domains of Livability?
AARP’s approach to livable communities is rooted in eight interconnected domains that together support quality of life at every age:
- Outdoor Spaces and Buildings – Safe, accessible parks, streets and public buildings
- Transportation – Affordable, accessible options for getting around
- Housing – A range of choices that support independence
- Social Participation – Opportunities to connect, learn and have fun
- Respect and Social Inclusion – Communities that value people of all backgrounds and ages
- Civic Participation and Employment – Meaningful ways to engage and contribute
- Communication and Information – Clear, accessible ways to stay informed
- Community Support and Health Services – Access to services that support well-being
These domains work best when addressed together—something South Dakota communities are embracing.
Turning Vision into Action with Community Challenge Grants
AARP Community Challenge grants fund short-term, “quick-action” projects that can ignite long-term change. Across South Dakota, these grants have helped communities pilot ideas, build momentum and demonstrate what’s possible when residents put people first.
Here’s how local projects are bringing the Domains of Livability to life:
- Outdoor Spaces and Buildings: Communities have used grants to enhance parks, create pop-up public spaces, add benches and shade and install wayfinding signs. These improvements invite people to linger, gather, and enjoy shared spaces—supporting both physical activity and social connection.
- Transportation: Small, thoughtful transportation projects can make a big difference. Community Challenge grants have supported safer crossings, improved walkability and bikeability around key destinations and the planning or installation of transit amenities like shelters and seating—especially important for older adults and people with mobility challenges.
- Housing and Community Support: Some projects focus on helping residents age in place by improving access to information about home modification resources or by testing neighborhood-level solutions that connect people to services. These efforts strengthen independence and peace of mind.
- Social Participation and Inclusion: Murals, community events and creative placemaking projects funded by AARP grants have sparked community pride and social connection. By involving residents in design and implementation, these projects foster respect, inclusion and a strong sense of belonging across generations.
- Communication, Civic Participation and Opportunity: From hosting community conversations to creating new tools for sharing local information, South Dakota communities are using grants to engage residents in shaping their future. These efforts elevate local voices and encourage ongoing civic participation.
Vermillion is a college town built around a historic Main Street with an urban feel. With the University of South Dakota just about a mile away, the stretch stands apart for its youthful energy and academic culture. Best explored on foot, Main Street pairs 19th-century brick storefronts with stops like Café Brulé and the nostalgic Coyote Twin Theater. Murals and sculptures add pops of color to the town center, including works from Mural on the Wall and the Mirrored Medicine Wheel. Below are some of the downtown’s best highlights.
Walkable, Accessible, And Student-Friendly
Since most of downtown Vermillion is centered on Main Street, the district is compact and pleasant to stroll. Better yet, walking here from the University of South Dakota only takes about 20 minutes, making it accessible for students without cars. In recent years, the Vermillion Downtown Streetscape project has also enhanced pedestrian accessibility and safety. By implementing ramps, wider sidewalks, and well-placed crosswalks, navigating downtown Vermillion is easier and safer than ever.
Parking In Downtown Vermillion
Alongside its pedestrian-friendly improvements, the Vermillion Downtown Streetscape project made sure to maintain ample parking. Main Street and the first blocks along its north and south side streets offer plenty of free parking for locals and visitors alike. Removing the hassle of parking meters, you can explore downtown Vermillion without stressful time constraints.
Charming Architecture
With many buildings built between 1880 and 1942, history cements downtown Vermillion. Main Street stands out for its historic facades, where brick storefronts tell a story. After a fire destroyed much of the street in the late 19th century, a town ordinance banned wood-frame buildings from the district, explaining the streetscape we see today.
Some main street structures predate the infamous fire, like the present-day Dakota Brick House restaurant. Other brick landmarks were rebuilt in accordance with the ordinance, like the Classical Revival-style Clay County Courthouse, constructed between 1912 and 1913. Coupled with old-fashioned lampposts and weave-patterned pavement inspired by Main Street’s brick buildings, downtown Vermillion is a living time capsule.
Cool Cafes And Shops
Like all the best college towns, Vermillion is fueled by caffeine, a cafe-culture haven. Main Street W houses cozy places like Café Brulé, which specializes in “comfort food, decadent desserts, and espresso coffee drinks with classic hospitality.” A few doors down, The Bean Community Coffeehouse is a favored spot for students, serving everything from sweet cream cold brews to Italian cream sodas.
If you grab a to-go order, shopping is a great follow-up. The stores in downtown Vermillion reflect its diverse population, with something for every budget and vibe. Cash-strapped students and retro enthusiasts are drawn to spots like the Civic Council Thrift Store, but you can also find clothing boutiques like Blue Monarch. For your next read or a new board game, Outside of a Dog Books & Games is another cute and welcoming store to hunt for a souvenir.
Public Art
As you continue strolling downtown, Vermillion’s award-winning outdoor art is impossible to miss. Since 2017, the Vermillion Community Mural Project (now Mural On the Wall) has decked out downtown with colorful and meaningful installations. The massive artworks depict Indigenous themes, elements of local culture, and messages of inclusion, including the “It Gets Better: Vermillion Pride” installation outside Café Brulé.
Vermillion is also known for its SculptureWalk, installed by the Vermillion Cultural Association. Much like the downtown murals, these 6 sculptures breathe life into the district, depicting themes like resilience and family, along with Indigenous culture. The Mirrored Medicine Wheel is a striking example, situated at the corner of Main Street and Elm. Bear in mind, 2026 marks a rotation for the Sculpture Walk, meaning locals and visitors can expect to see a new set of sculptures sometime in the spring.
Dining, Entertainment, And Nightlife
In the evening, downtown Vermillion sees no signs of slowing down. Foodies flock to Cee Cee’s 605 Scratch Kitchen & Bar for happy hour cocktails and made-from-scratch dishes, while Native-owned Dez From The Rez serves cultural comfort foods with a modern twist. Afterward, Main Street’s Coyote Twin Theater is a great follow-up for new film releases and freshly popped popcorn.
Once night falls, Vermillion’s bar scene keeps downtown alive. On Main Street, Carey’s Bar has served locals and students since 1954. Nearby, the Main Street Pub is favored for its classic bar bites, while XIX (19) Brewing Company specializes in good beer, good company, and themed trivia nights.
Explore Towns Near Vermillion
There are countless cool towns to explore near Vermillion if you want to keep the good times rolling. 30 minutes southeast, North Sioux City offers an eclectic range of entertainment. During the day, visitors can enjoy NASCAR races at the Park Jefferson Speedway. Later, evening calls for gaming on “The Strip,” a two-block gambling district with spots like Beano & Sherry’s Casinos.
For outdoor fun, the town of Beresford is a gateway to Union Grove State Park. A 20-minute drive from Vermillion, Union Grove is home to serene tree-studded hillsides, making it a popular place to picnic, hike, or spend a night under the stars. Alternatively, 30 minutes west of Vermillion, Yankton is a blend of both towns. At Riverside Park, visitors can stroll, fish, and picnic along the Missouri River. Further inland, Broadway Ave is dotted with casinos like the South Point Gaming Lounge.
A Day In Downtown Vermillion
While it’s helpful to have an itinerary, exploring downtown Vermillion can be even better with a bit of curiosity and spontaneity. Tucked in between its top bars, murals, and cafes, you could find a hidden hangout locals love or a piece of public art not detailed online. That being said, Vermillion’s top-frequented restaurants and shops are popular for good reason, so don’t be afraid to follow the crowds. No matter where you start, go, and end, this South Dakota downtown is an absolute joy to walk through.
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