PIERRE, S.D.(WNAX)- The South Dakota Senate will be the scene of this week’s tax cut debate. Governor Kristi Noem had proposed cutting the four and a half percent sales tax on groceries completely. That plan was killed in the House Appropriations Committee last week.

Committee Member, Representative Chris Kassin of Vermillion says they had to choose one of the three proposals in front of them.

Noem spoke to the committee about the tax cut proposal, which Kassin says was a good presentation.

The Committee agreed on HB1137 which cuts the general sales tax by three tenths of a percent. Kassin says it’s a big reduction.

The bill moved on to the South Dakota Senate.

Senate President-pro-tem Lee Schoenbeck of Watertown says he is being persuaded on the tax cut.

The bill under debate would cut the general sales tax rate by three tenths of a percent.

Schoenbeck says the ongoing budget has to stay in the black.

Democrats vows to support only one tax cut.  Senate Minority Leader Reynold Nesiba of Sioux Falls says they have been supporting the grocery sales tax cut.

Nesiba says it could be a difficult debate.

Senate Majority Leader Casey Crabtree of Madison says the food tax cut won’t be back in the Senate.

Crabtree says the debate will come down to the point three percent cut passed by the House, or a property tax cut that was killed in committee.

Crabtree says taxes will be going down in either case.

District 17 Senator Sydney Davis of Burbank says she is waiting to hear the debate.

Davis says she doesn’t think the tax cut on groceries is coming back.

Davis says the House Appropriations Committee and the Governor had different opinions about that cut.

HB1137 passed the Senate Taxation Committee Monday on a 6-0 vote with an amendment to sunset the tax decrease by June 30th, 2025.

Senator Al Novstrup of Aberdeen:

The bill now moves on to the Senate Appropriation Committee.