06-02-2025
Anti-corruption bill clears Senate, but second fails
PIERRE, S.D. (KELO) — Legislation intended to strengthen the South Dakota Board of Internal Control in heading off corruption by state government employees has passed its first major test.
The state Senate voted 32-1 on Wednesday for Senate Bill 61.
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Senate Republican leader Jim Mehlhaff described it as a combination of proposals from state Attorney General Marty Jackley and the governor's budget office, officially known as the state Bureau of Finance and Management.
The BFM commissioner chairs the board.
The amended version of SB 61 now heads to the state House of Representatives for further action.
The Senate however failed to approve a second anti-corruption bill that the attorney general brought. Senate Bill 60 was intended to give more investigative authority to the state auditor.
Needing 18 to pass, and with two senators excused, SB 60 fell two ayes short. Republican Sen. Sue Peterson gave notice of her intent to have the bill reconsidered.
That came after the 33 senators who were present had split 17-16 on an amendment offered by Republican Sen. Steve Kolbeck.
Kolbeck and Mehlhaff said the attorney general had agreed to Kolbeck's amendment.
But Republican Sen. Kevin Jensen and Republican Sen. Taffy Howard led the resistance, saying they wanted the already-amended version that came out of the Senate State Affairs Committee on a 9-0 vote.
After Kolbeck's amendment failed, he and Mehlhaff called for the Senate to defeat SB 60. The vote to pass it was 16 yes and 17 no.
State government already has the state Department of Legislative Audit that conducts annual audits. The state Division of Criminal Investigation looks into specific allegations of criminal activity.
During the past year, at least four former or current state government employees were arrested.
The state Department of Social Services reportedly had more than $1.7 million stolen from its office of child protection while Lonna Carroll worked at the main office in Pierre. She currently is in jail awaiting trial.
Another DSS employee, Amalia Escalante Barrientos of Brookings, pleaded guilty to converting a grocery voucher to her own use.
And two employees of the Motor Vehicles Division in the state Department of Revenue lost their jobs and were charged with crimes associated with falsifying vehicle titles. Lynne Hunsley of Pierre pleaded guilty, while Danielle Degenstein of Pierre was scheduled for a trial later this year.
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