On January 6, 2026, District 20 legislators gathered for a legislative forum in Mitchell, South Dakota, offering insights into the challenges they anticipate for the upcoming session starting January 13. State Representative Kaley Nolz and State Senator Paul Miskimins addressed a group of around 20 local residents at the Mitchell Chamber of Commerce, discussing key topics expected to arise in the state capital, Pierre.
Budget Concerns and Medicaid Expenses
The legislators highlighted significant issues related to the state budget, particularly noting that for the first time, Medicaid has overtaken public school funding as the largest expense in South Dakota. Nolz expressed her concerns regarding the budget, stating, “This will be a challenging session. Revenues are down, and it’s going to be difficult.” She pointed out that Governor Larry Rhoden’s budget proposal does not include major cuts, but funding for essential services, termed the “big three”—public schools, state workers, and health care providers—is set to remain flat.
Miskimins, who is part of the crucial joint appropriations committee, commented on a contentious aspect of Rhoden’s budget: the proposal to increase the state’s rainy-day fund from 10% to 12.5% of the general budget. He indicated that this change could potentially free up approximately $70 million for other budgetary needs. “That 2.5% will be contentious,” he remarked, emphasizing the need for respect towards the state workers and teachers.
Property Tax Relief and Prison Funding
Property tax relief has emerged as another pressing issue, but neither legislator reported seeing proposals that garnered their immediate support. Miskimins noted that many past proposals merely shifted the tax burden from property owners to other groups, such as owners of multi-unit housing and agricultural properties. Nolz reiterated her belief that property taxes should remain a local control issue, as schools and counties are primarily responsible for local budgets.
Another topic discussed was the funding and site selection for a new men’s state prison. Miskimins expressed satisfaction with the 2025 process that identified a more cost-effective site in Sioux Falls, which was previously overlooked. He highlighted the frustrations he faced when initially told that construction costs would be around $825 million. “To find out it can be built for $650 million at a better location is encouraging,” he stated.
While Miskimins supported the Mitchell site that was proposed in spring 2025, he expressed concerns about staffing, believing that the established workforce in Sioux Falls would not commute to Mitchell. Nolz opposed the Mitchell plan, citing public outcry as a significant factor in her decision. “I supported the September vote on the prison because of the lower guaranteed maximum price,” she explained, emphasizing the importance of budget control.
As the legislative session approaches, District 20 will be represented solely by Nolz and Miskimins, as State Representative Jeff Bathke is currently deployed overseas with the South Dakota National Guard. Miskimins remarked, “We’re going to miss Jeff this year. His vote will be missed, especially when a two-thirds majority is required.”
The upcoming session is poised to address critical issues that impact the residents of District 20 and the broader South Dakota community. With challenging budgetary constraints and pressing needs for public services, legislators will face significant discussions in the weeks ahead.
