Question 1 - County Gross Receipts Tax and a Use Tax

The following Ordinance was passed by the Governing Body on August 18, 2026 and referred to the voters. The County Gross Receipts Tax and Use Tax will become effective unless repealed by majority vote and the Governing Body affirms the will of the voters. The purpose of the County Gross Receipts and Use Tax is to provide property tax relief on the county property tax levy for all property classified as owner-occupied. Allmonies collected by the county fromthe gross receipts tax must be deposited into a property tax reduction fund, which will hereby be created. From and after the first day of January 2027, a one half percent (0.5%) on the gross receipts of all persons engaged in business with the jurisdiction of Brown County, South Dakota, who are subject to the South Dakota Retail Occupational Sales and Service Tax, SDCL 10-45 and acts amendatory thereto. In addition, there is hereby imposed a gross receipts tax on the privilege of use, storage and consumption within the jurisdiction of the county of items purchased fromand after the first of January, 2027, at the same rate as the county gross receipt tax upon all transactions or use, storage and consumption which are subject to the South Dakota Use Tax, SDCL 10-46, and acts amendatory thereto. Such tax will be levied pursuant to authorization granted by SDCL 10-52B and acts amendatory thereto and shall be collected by the South Dakota Department of Revenue in accordance with the same rules and regulations applicable to the State Sales Tax and under such additional rules and regulations as the Secretary of Revenue of the State of South Dakota shall lawfully prescribe. The Brown County Board of County Commissioners hereby authorizes the collection of administrative fees prescribed and collected by the South Dakota Department of Revenue to accommodate their assistance in collection and disbursement of tax funds to be received via the passage of this ordinance. An administrative fee will be deducted fromeach payment at a rate of .55 % of the county tax collected. There will also be Implementation Fees: to initiate a 'New County Tax' a one-time fee of $350 will be charged plus $1.50 per licensee based on the number of licensees within the county. This fee will also be deducted from the county tax collected prior to payment to the county. There shall be a County Administrative Fee allocated fromthe Property Tax Reduction Fund established herein, amounts necessary to implement this Ordinance in the amount of two percent (2%) of allmoneys deposited in the Property Tax Reduction Fund during the first year of implementation and $20,000 per year thereafter. Any person failing or refusing tomake reports or payments prescribed by this ordinance and the rules and regulations relating to the ascertainment and collection of the tax herein levied shall be subject to all such collection remedies authorized by SDCL 10-45, and acts amendatory thereto, and SDCL 10-46, and acts amendatory thereto, are hereby authorized for the collection of these taxes by the Department of Revenue. Should the County Gross Receipts and Use Tax enacted by Brown County on August 18, 2026 be implemented?