State Doesn't Have a Spending Problem, it Has an Income Problem

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South Dakota Farmers Union (SDFU) President Doug Sombke released the following statement regarding the passage of the state budget Friday afternoon by the South Dakota state legislature.

“There will be many consequences to the cuts which were made in this budget when it comes to vital services our government provides in South Dakota,” Sombke said. “More could’ve been done to lessen the pain this budget will cause. Although the proposed 10-percent cuts to public education were softened, it’s still a severe cut.”

“Agriculture will also suffer based on the budget that was passed today. The true impact of these cuts aren’t known yet, but with cuts to the Department of Agriculture, the Cooperative Extension Service, and other agricultural education programs, our industry could be harmed far into the future.”  

“Because the level of wealth has increased in South Dakota during the past ten years our state is receiving less federal aid for Medicaid. Therefore, our state needs to come up with funding to offset the lost revenue from the federal government. The question is, when will tax reform be addressed? South Dakota doesn't have a spending problem, South Dakota has an income problem.”

“I was glad to see that lawmakers realized what the proposed severe cuts to Medicaid would’ve done to our rural hospitals and nursing homes. By softening those cuts many of the medical facilities in our rural areas will be able to keep their doors open

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