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Sioux Falls Mayor Warns of Cuts Ahead of Property Tax Changes

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(Sioux Falls, SD) — Sioux Falls Mayor Paul TenHaken says the city is already bracing for major budget cuts tied to Governor Rhoden’s property tax bill, even though it won’t take effect until 2027. TenHaken says the bill could cost the city eight-to-ten million dollars over three years, forcing early decisions like closing school-based clinics, cutting library hours, and scaling back community subsidies. He says cities are being left out of the conversation and argues the reform should focus on those who need it most, like seniors on fixed incomes. Meanwhile in Rapid City, officials say they’ll need a big jump in sales tax revenue, possibly fueled by attractions like an amusement park, to make up for the shortfall.