PIERRE, S.D. – (DRG News) Governor Dennis Daugaard offered a number of proposals during his speech on the Fiscal Year 2014 budget at the State Capitol Tuesday. The governor’s proposed $4.1 billion budget, which begins July 1, 2013 and ends June 30, 2014, includes three percent increases for Medicaid providers, state employees and K-12 education. The Board of Regents would receive an ongoing 3.2 percent increase. Daugaard said the state’s economy has recovered better than nearly every state in the country-partly due to getting our fiscal house in order at the state government level.
The governor did cite a few factors that could pose a risk to the state budget, including the ongoing drought. When asked by reporters after his speech about how officials can measure the impact of the drought on the state’s funds, Daugaard said that previous dry years haven’t brought a huge downturn for South Dakota.
Daugaard also said uncertainty in Washington,D.C.could impact the state’s budget. In addition, he doesn’t support an expansion of Medicaid under the Affordable Care Act. Daugaard said some issues need specific answers from federal officials-and he plans to ask questions when he attends a meeting of the National Governor’s Association in February.
Daugaard’s budget leaves more than $16 million dollars this fiscal year and over $10 million dollars in FY2014 uncommitted. How to use that money will be decided during the coming legislative session when the Governor and lawmakers meet to decide how best to use the projected one-time funds.
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