Posted on May 03, 2017
South Dakota Lt. Gov. Matt Michels discussed the challenges of operating within a balanced state budget despite lagging tax revenue when he spoke at the Rotary Club of Downtown Sioux Falls, Monday, May 1.

“We adjusted the current budget, which ends 30 June, by reductions of $38 million and the upcoming budget year by $50 million,” said Michels. “The online purchases not capturing sales tax, the agricultural sector and slower consumer spending growth all contribute to the softening. We do not have any idea when the corner will be turned, but have budgeted within our means.”
Michels, South Dakota’s 38th lieutenant governor, was elected on a Republican ticket with Gov. Dennis Daugaard in 2010 and was re-elected in 2014. Michels is president of the Senate and a member of the Governor’s Executive Committee. In 2011, Matt led the state’s flood preparations in the area from Yankton to Dakota Dunes. He has been a leader in the construction of the new State Veterans Home in Hot Springs and works closely with the National Guard, Tribal Relations and Veterans Affairs. He serves on the Board of Trustees of the South Dakota Retirement System. 
Michels was born in Pierre and grew up in Vermillion. After graduating from Vermillion High School, Michels attended the University of South Dakota where he worked as an orderly and EMT and earned a nursing degree in 1980. He worked as a nurse while he obtained his Bachelor of Science degree in health services administration in 1982 and his law degree in 1985, both from USD.

Michels joined the US Navy Judge Advocate General's (JAG) Corp and was commissioned a naval officer. He served on active duty in the Philippines and Mayport, Fla., and was awarded the US Navy Achievement and Commendation Medals.

Michels moved to Yankton in 1989 and served in the House of Representatives from 1999 to 2006. He was speaker pro tempore and speaker of the House and was the first person to hold two terms as speaker since the 1950s. Prior to being elected lieutenant governor, Michels was partner in what is now Michels & Associates and served as general counsel for Avera Health.
Program Highlights May 1, 2017:
  • Lt. Gov. Michels is SD's 38th lieutenant governor, elected in 2010 with Gov. Daugaard and re-elected in 2014.
  • He began his talk by remembering SD's men & women in the Armed Forces.
  • He works closely with the new State Veterans Home in Hot Springs, the National Guard, Tribal Relations, & Veterans Affairs.
  • The General Fund total of the 2018 budget is:  $1,590,098,880.  Note:  The Federal Government spends $10 billion daily.
  • 62.2% of the State's 2018 budget is funded by sales & use tax.
  • Most of the 2018 budget will be spent on:  Schools & state assistance to local governments--35.1%; Corrections--6.2%; Health, Human & Social Services--35.7%; Board of Regents--13.1%.
Next Week’s Program:
Dr. Dave Kapaska/Jason Ball—SF Chamber:  Leadership Transition