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Did Not Advance

South Dakota HB 1251 creates teacher salary and community-based provider funds from surplus cash

Original title: create the community-based providers methodology supplement fund, create the target teacher salary supplement fund, and provide for the transfer of certain unobligated cash balances to the fund.

Last action · February 23, 2026: Deferred to the 41st legislative daySponsors: Brian Mulder and 5 others

Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Proposed

Official description

create the community-based providers methodology supplement fund, create the target teacher salary supplement fund, and provide for the transfer of certain unobligated cash balances to the fund.

Why it matters

The measure establishes permanent financial channels to potentially increase teacher pay and raise reimbursement rates for community-based service providers, using state surplus cash rather than new broad taxes.

Background
  • South Dakota state law establishes strict limits on general fund reserves and governs how year-end cash surpluses are transferred between specific state funds. context

Who It Would Have Affected

Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.

Directly affected

Public school teachers

Target teacher salaries may increase through budget requests utilizing moneys from the newly established supplement fund.

Directly affected

Community-based providers

Rate methodologies for listed community-based providers may receive uniform increases closer to established statutory targets.

Directly affected

Department of Education

The department is assigned administrative duties and required to submit annual budget requests utilizing money from the new teacher fund.

Directly affected

Department of Human Services

The department is assigned administrative duties and required to submit annual budget requests utilizing money from the community-based providers fund.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

Where does the money for the new funds come from?
The funds receive money from year-end unobligated general fund cash balances, after the state budget reserve fund has reached its ten percent cap.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

This bill did not become law - Died at adjournment · in House committee.

Procedural history

6 actions
  1. Feb 23, 2026House
    Deferred to the 41st legislative day
  2. Feb 23, 2026House
    Scheduled for hearing
  3. Feb 18, 2026House
    Motion to amend
  4. Feb 18, 2026House
    Scheduled for hearing
  5. Feb 3, 2026HouseCommittee
    Referred to
  6. Feb 2, 2026HouseIntroduced
    First Reading House

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift95% confidence

Restructuring of Surplus Cash Distribution

The bill alters the prior-year surplus cash waterfall by capping the budget reserve fund at ten percent and splitting remaining funds among teacher salaries, community-based providers, and the general revenue replacement fund.

Connected Entities

Department of Education, Bureau of Finance and Management, Department of Human Services and 4 more
OrganizationDepartment of Education“Administers the target teacher salary supplement fund”Map →
OrganizationBureau of Finance and Management“Commissioner transfers unobligated cash balances”Map →
OrganizationDepartment of Human Services“Administers the community-based providers methodology supplement fund”Map →
otherbudget reserve fund“State fund capped at ten percent of general fund appropriations”Map →
othertarget teacher salary supplement fund“New fund created in the state treasury”Map →
othergeneral revenue placement fund“Fund receiving forty percent of remaining unobligated cash”Map →
othercommunity-based providers methodology supplement fund“New fund created in the state treasury”Map →

Sources

Open source document

sdlegislature.gov

Analysis Score

0–100
  • Significance20
    Lowered because this bill did not pass (its text scored 60)
  • Controversy25
    Intensity of disagreement among stakeholders
  • Entertainment5
    Compellingness for a non-policy-wonk reader
  • Buzz30
    Current news / social attention level

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