NEWS

80 mph speed limit, gas tax hike signed into law

Associated Press

Gov. Dennis Daugaard signed a state transportation funding bill Tuesday that's expected to raise tens of millions of dollars for road and bridge projects through a gas tax increase and other fees and assessments. It also raises the maximum speed limit on South Dakota interstates to 80 mph. Most of the measure's provisions will go into effect April 1.

NEW PROJECT FUNDING

The package eventually will provide an additional $85 million a year for state and local road and bridge projects, including $15 million per year for a bridge improvement grant program. "This important legislation will significantly aid state and local governments in maintaining and improving infrastructure," Daugaard said in a news release.

NEW TAXES AND FEES

The new law brings a 6-cent-per-gallon gasoline and ethyl alcohol tax increase, a 1 percent increase in the motor vehicle excise tax, and a 20 percent increase in license plate fees. The scope of the fuel tax hike had been the main sticking point in negotiations among lawmakers, who approved the measure Friday.

80 MPH SPEED LIMIT

The law also increases the maximum speed on South Dakota's interstate's to 80 mph. South Dakota joins four other states with 80 mph speed limits, which also exist in small portions of Texas and much of Utah, Wyoming and Idaho.