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Commission adopts Ordinance 796 to create county gross receipts (sales) tax

July 21, 2026 | Pennington County, South Dakota


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Commission adopts Ordinance 796 to create county gross receipts (sales) tax
The board held second reading and final adoption on Ordinance 796, a county gross receipts and use tax proposal. Tyler of the State's Attorney's Office summarized the ordinance and noted the county had worked with a neighboring county during drafting; he said a proposed county administrative fee provision had been struck from the neighboring county's draft because it risked requiring future amendments.

During public comment, Mike Mueller urged careful consideration of spending choices and warned that adopting the tax could shift retail activity across jurisdictions. "The best way to cut taxes is to cut spending and not add another tax that we might live with into perpetuity," he told commissioners.

Commissioners debated the format and motion and then voted to approve the second reading and final adoption of Ordinance 796. The clerk recorded the vote as unanimous in the meeting transcript. Staff noted the ordinance does not inherently create a permanent increase in county revenue but can shift some tax burden from property owners to purchasers if implemented.

The adoption means county staff will proceed with implementation steps necessary to put the tax into effect consistent with the ordinance language and any legal requirements for effective dates or voter notifications.

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