ARTICLE II – GENERAL

                In any section of this Ordinance any word used in the singular number shall be construed as also including the plural number, and vice versa; and any word used in the masculine gender shall be construed as also including the feminine gender; for the purpose of this ordinance.

                Any section of this Ordinance prohibiting certain acts shall be construed as also prohibiting acts done by an agent, clerk of servant, and both master and servant shall be jointly and severally liable to prosecution and conviction for violation thereof.

                The Finance Officer shall have custody of all official copies of this and subsequent City Ordinances, and shall furnish a copy to any officer needing the same; provided that each officer at the close of his term of office shall return such copy to the Finance Officer, in good condition, and if such copy is not returned, such officer shall pay the sum of Ten ($10) dollars to cover the cost of replacing such copy.

AN ORDINANCE IMPOSING A MUNICIPAL SALES AND SERVICE AND A USE TAX FOR THE MUNICIPALITY OF NEW UNDERWOOD, PENNINGTON COUNTY, SOUTH DAKOTA.

BE IT ORDAINED BY THE MUNICIPALITY OF NEW UNDERWOOD, PENNINGTON COUNTY, SOUTH DAKOTA

Section 1.  PURPOSE.  The purpose of this ordinance is to provide additional needed revenue for the Municipality of New Underwood, Pennington County, South Dakota, by imposing a municipal retail sales and use tax pursuant to the powers granted to the municipality by the State of South Dakota, by SDCL 10-52 entitled Uniform Municipal Non-Ad Valorem Tax Law, and acts amendatory thereto. 

Section 2.  EFFECTIVE DATE AND ENACTMENT OF TAX.  From and after the 1st day of January, 1996, there is hereby imposed as a municipal retail occupational sales and service tax upon the privilege of engaging in business a tax measured by Two Percent (2%) on the gross receipts of all persons engaged in business within the jurisdiction of the Municipality of New Underwood, Pennington County, South Dakota, who are subject to the South Dakota Retail Occupational Sales and Service Tax, SDCL 10-45 and acts amendatory thereto. 

Section 3.  USE TAX.  In addition there is hereby imposed an excise tax on the privilege of use, storage and consumption within the jurisdiction of the municipality of tangible personal property or services purchased from and after the 1st day of January, 1996, at the same rate as the municipal sales and service tax upon all transactions or use, storage and consumption which are subject to the South Dakota Use Tax Act, SDCL 10-46, and acts amendatory thereto. 

Section 4.  COLLECTION OF TAX.  Such tax is levied pursuant to authorization granted by SDCL 10-52 and acts amendatory thereto, and shall be collected by the South Dakota Department of Revenue in accordance with the same rules and regulations applicable to the State Sales Tax and under such additional rules and regulations as the Secretary of Revenue of the State of South Dakota shall lawfully prescribe. 

Section 5.  INTERPRETATION.  It is declared to be the intention of this ordinance and the taxes levied hereunder that the same shall be interpreted and construed in the same manner as all sections of the South Dakota Retail Occupational Sales and Service Act, SDCL 10-45 and acts amendatory thereto and the South Dakota Use Tax, SDCL 10-46 and acts amendatory thereto, and that this shall be considered a similar tax except for the rate thereof to that tax.  

Section 6.  USE OF REVENUE.  Any revenues received under Section 2 of this ordinance in excess of the amount received if the rate of tax in Section 2 is one percent (1%) may be used only for capital improvement, land acquisition, and debt retirement.  These expenditures may be financed through a sale-leaseback agreement. 

Section 7.  PENALTY.  Any person failing or refusing to make reports or payments prescribed by this ordinance and the rules and regulations relating to the ascertainment and collection of the tax herein levied shall be guilty of a misdemeanor and upon conviction shall be fined not more than $200 or imprisoned in the municipal jail for thirty (30) days or both such fine and imprisonment.  In addition, all such collection remedies authorized by SDCL 10-45, and acts amendatory thereto, and SDCL 10-46, and acts amendatory thereto are hereby authorized for the collection of these excise taxes by the Department of Revenue. 

Section 8.  SEPARABILITY.  If any provision of this ordinance is declared unconstitutional or the application thereof to any person or circumstances held invalid the constitutionality of the remainder of the ordinance and applicability thereof to other persons or circumstances shall not be affected thereby.

Last Amended 2005

ARTICLE II SECTION III

BE IT ORDAINED by the Common Council for the City of New Underwood that Article II; General; Sections III read as follows:

1. Officers.

The civil officers of the City shall be the Finance Officer, Attorney and the chief of police (if not Pennington County Sheriff Contract). The Director of Public Works, Aquatic Director and City Engineer are other officers that are also appointed by the Mayor and approved by the Common Council and shall hold office until their successors are duly hired and qualified. 

2. Oath of Officer.

Each civil officer is required to take an oath of office before entering upon the discharge of duties.  The oath of office shall be taken annually thereafter at the first meeting in May.  The oath shall be subscribed by the person taking it and shall be filed and preserved in the office of the finance officer.

1. Removal of officials.

   The Mayor shall have the power to remove any official whenever he shall be of the opinion that the interest of the City demands a removal. The Mayor shall report the reasons for such removal to the Common Council at a regular or special meeting to be held not less than five (5) nor more than fifteen (15) days after such removal. If the Mayor shall fail or refuse to file with the finance officer a statement of the reason for the removal or if the Council by two-thirds vote of all its members as authorized by law, disapproves the removal, the official shall thereupon become restored to said office. No officials shall be removed a second time for the same incident. 

ARTICLE II SECTION IV

1. The Mayor and Alderman shall have two regular meetings per month which will be on the first and third Tuesday of the month. The meetings shall be open to the public.
2. The Mayor and Alderman shall meet the third Monday of March, as per SDCL, for the purpose of equalizing the assessment of property. The Equalization Board may adjourn from day to day until the process is complete, but must be complete within five days.
3.  A special meeting may be held at any time upon call of the Mayor, Council President or Finance Officer by oral or written notices to the members. Notice of such special meeting shall be given to each alderman at least twenty-four hours before such special meeting is held either personally or by notice by facsimile, electronic mail or telephone, unless an emergency exists.
4. Meetings may be conducted by teleconference in accordance with SDCL Ch. 1-25 and other applicable law.

AN ORDINANCE TO REPEAL AND REPLACE ORDINANCE NUMBER 99-4 AND ANY OTHER ORDINANCES DEALING WITH ALCOHOLIC BEVERAGES OF THE CITY OF NEW UNDERWOOD

BE IT ORDAINED by the Common Council of the City of New Underwood, Pennington County, South Dakota that the following specified sections of Article II Section V are hereby amended and restated to read as follows:

ALCOHOLIC BEVERAGES

ARTICLE I.  LICENSES AND GENERAL PROVISIONS

Sec. 4-1.     Definitions.

     A term that is defined in a specific section of this chapter is to be first given the meaning therein defined.  If a term is not defined in a specific section the term is to be defined using the definitions below in this section.  If a term is not defined in this section the term is to be given the meaning as defined in Title 35 of the South Dakota Codified Laws, SDCL.  If a term is not provided for in the SDCL the term is to be given its plain and ordinary meaning.

Alcoholic beverage.  Any distilled spirits, wine, and malt beverages as defined in this chapter.

Bulk container. Any package, or any container within which container are one or more packages.

Distilled spirits.  Ethyl alcohol, hydrated oxide of ethyl, spirits of wine, whiskey, rum, brandy, gin, and other distilled spirits, including all dilutions and mixtures thereof, for nonindustrial use, containing not less than one-half of one percent (0.5%) of alcohol by weight.

Malt beverage.  A beverage made by the alcoholic fermentation of an infusion or decoction, or combination of both, in potable brewing water, of malted barley with hops, or their parts, or their products, and with or without other malted cereals, and with or without the addition of unmalted or prepared cereals, other carbohydrates or products prepared therefrom, and with or without the addition of carbon dioxide, and with or without other wholesome products suitable for human consumption containing not less than one-half of one percent (0.5%) of alcohol by weight.

Off-sale.  The sale of any alcoholic beverage, for consumption off the premises where sold.

On-sale.  The sale of any alcoholic beverage for consumption only upon the premises where sold.

On-sale dealer.  Any person who sells, or keeps for sale, any alcoholic beverage for consumption on the premises where sold.

Package dealer.  Any person other than a distiller, manufacturer, or wholesaler, who sells, or keeps for sale, any alcoholic beverage for consumption off the premises where sold.

Public place.  Any location that the local, state, or national government maintains for the use of the public, such as a highway, park, or public building.

Retail license.  Any on-sale or off-sale license issued under the provisions of this chapter.

Retailer or retail dealer.  Any person who sells alcoholic beverages for other than resale.

Sale.  The transfer, for a consideration, of title to any alcoholic beverage.

Wine.  Any liquid either commonly used, or reasonably adapted to use, for beverage purposes, and obtained by the fermentation of the natural sugar content of fruits or other agricultural products containing sugar and containing not less than one-half of one percent (0.5%) of alcohol by weight but not more than twenty- four percent (24%) of alcohol by weight.

State law reference (SDCL 35-4-2)

Sec. 4-2.     Traffic in alcoholic beverages prohibited.

     No person shall produce, transport, store, or sell any alcoholic beverage except as authorized under the provisions of this chapter and SDCL Title 35.

Sec. 4-3.     Application for license to conduct business pursuant to this chapter.

     Any person desiring to enter into the alcoholic beverage business in the city shall submit an application for a license under the provisions of SDCL Title 35, Alcoholic Beverages, to the City Finance Officer.

State law reference (SDCL 35-2-1.2)

Sec. 4-4.     Action by council.

     The common council may approve or disapprove an application for a new retail or the transfer of an existing license depending on whether the council deems the applicant a suitable person to hold the license and whether the council considers the proposed location suitable.  The common council may, in their discretion, require the applicant to appear personally at any meeting of the council and to answer any question which may be asked pertaining to the applicantor the place of business which may in any way pertain to the carrying on of the business applied for. Any application for the reissuance of a retail license may be approved by the Council without a hearing unless in the past year the licensee or one or more of the licensee’s employees have been subjected to a criminal penalty for violation of the alcoholic beverage control law or the license has been suspended.

State law reference SDCL 35-2-1.2.

Sec. 4-5.     Character requirements for licensees.

     Any licensee under this chapter and SDCL Title 35 must be a person of good moral character, who has never been convicted of a felony. If the licensee is a corporation, the managing officers thereof must have like qualifications.

 State law referenceSDCL 35-2-1.2.

Sec. 4-6.     Area limited.

     The common council shall not approve any application for “on-sale” or “off-sale” license to sell any alcoholic beverages in the city at any place of business unless that place of business is located in an area described as a commercial area on the zoning use district map of the city.

Sec. 4-7.     Violation as ground for revocation or suspension of license – Multiple licenses.

      The common council may revoke or suspend any license issued under this chapter and SDCL Title 35 upon proof of violation by the licensee, by the licensee’s agents or employees, or by the manager or contractual operators of retail establishments and their agents or employees operating under a City license, of any of the following:

(1)   Any provision of SDCL Title 35;

(2)   Any rule promulgated pursuant to SDCL Title 35; or

(3)   Any ordinance or regulation relevant to alcoholic beverage control that has been adopted by the City.

     For any licensees with multiple alcoholic beverage licenses for the same premises, upon suspension or revocation of any license issued pursuant to this chapter or SDCL Title 35, such licensee shall cease operation under all alcoholic beverage licenses held by such licensee for the same premises for the same period as the suspension or revocation.

State law reference SDCL 35-2-10.

Sec. 4-8.     Classification, information, limitations, and cost of alcoholic beverage licenses.

     No license shall be issued pursuant to this chapter except after a public hearing unless otherwise expressly stated. Classes of licenses, with the fee of each class, follow:

     (1)     Off-sale liquor license.

          a.     The fee for this license is four hundred dollars ($400.00) per year.

     (2)     Off-sale malt beverage license.

          a.     The fee for this license shall be the amount set forth in SDCL Ch. 35-4.

          b.     Fifty percent (50%) of this fee is paid to the State of South Dakota, State, through the city.

     (3)     On-sale and off-sale malt beverage retailers' license.

          a.     The fee for this license shall be the amount set forth in SDCL Ch. 35-4.

          b.     Fifty percent (50%) of this fee is paid to the state through the city.

     (4)     On-sale and off-sale wine license.

          a.     The fee for the license shall be the amount set forth in SDCL Ch. 35-4.

     (5)     On-sale liquor license.

1. The fee for the license shall be one thousand two hundred dollars ($1,200.00) per year.

Retail (on-sale) full-service restaurant license:

         a.   The fee for this license shall be set by the Common Council but may not be less than one dollar ($1.00) for each person residing within the city as measured by the last preceding federal census.

         b.   The renewal fee for this license is one thousand five hundred dollars ($1,500.00) per year.

         c.   An applicant for this license shall provide documentation to the Finance Officer that the applicant meets all requirements of state law.

         d.   In its initial application, an applicant for this license must provide documentation to the Finance Officer to prove that the primary source of revenue from the operation of the restaurant will be derived from the sale of prepared food and nonalcoholic beverages and not from the sale of alcoholic beverage.  This supporting documentation is confidential.

         e.   Before this license will be renewed, the licensee must submit a report to the Finance Officer verifying under oath that at least sixty percent (60%) of gross operating revenue generated over the preceding twelve month (12) period was derived from the sale of food and nonalcoholic beverages.  The report shall contain the annual gross revenue of food and nonalcoholic beverages and total gross revenues.  This report will be confidential.

(6)          The City may issue:

The Council may allow the sale of alcoholic beverages on public property or property owned by a nonprofit corporation during a special event. The licenses shall be issued to the person and the location specified on the application.  The Council shall determine the fee for these licenses, and the fee is retained by the municipality.  Each application shall be accompanied by the fee at the time of submission to the Council (SDCL 35-4-125).

a.     A special malt beverage retailer’s license in conjunction with a special event within the municipality or county to any civic, charitable, educational, fraternal, or veterans organization or any licensee licensed pursuant to SDCL 35-4-2(4), or (6), in addition to any other licenses held by the special events license applicant;

b.     A special on-sale wine retailer’s license in conjunction with a special event within the municipality or county to any civic, charitable, educational, fraternal, or veterans organization or any licensee licensed pursuant to SDCL 35-4-2(4), (6), or SDCL Ch. 35-12 in addition to any other licenses held by the special events license applicant;

c.     A special on-sale license in conjunction with a special event within the municipality or county to any civic, charitable, educational, fraternal, or veterans organization or any licensee licensed pursuant to SDCL 35-4-2(4), or (6), in addition to any other licenses held by the special events license applicant; or          

d.     A special off-sale package wine dealer’s license in conjunction with a special event within the municipality or county to any civic, charitable, educational, fraternal, or veterans organization or any licensee licensed pursuant to SDCL 35-4-2 (19) or SDCL Ch. 35-12 in addition to any other licenses held by the special events license applicant. A special off-sale package wine dealers licensee may only sell wine manufactured by a farm winery that is licensed pursuant to chapter 35-12.

e.     The fee for each special malt beverage retailer’s license, special on-sale wine retailer’s license, and special off-sale package wine dealer’s license will be fifty dollars ($50.00).  The fee for each special on-sale liquor license shall be one hundred dollars ($100.00). 

f.     A public hearing is required before approval and issuance of any license under this section unless the person applying for the license holds an on-sale alcoholic beverage license or a retail malt beverage license and the license is to be used in a publicly owned facility.

g.    Any licenses issued pursuant to this section may be issued for a period of time established by the city council not exceeding fifteen (15) consecutive days.

h.   This license may be issued pursuant to SDCL 35-4-124.

i.    The application permit (see attached) must be completed and filed with the Finance Office prior to the event and hearing (if needed).   

    (7)     Spiking Permit.

          a.     The fee for this permit is ten dollars ($10.00) per day.

          b.     This permit allows the applicant to provide alcoholic beverages free of charge during the applicant’s rental of the Community Center.

          c.     The application permit (see attached) must be completed and filed with the Finance Office.

          d.     The applicant must be at least twenty-one (21) years of age and provide an acceptable form of identification, and hold the City of New Underwood harmless of any liability stemming from the spiking of alcohol or the consumption of alcohol. 

          e.    This permit allows, with the common council’s approval, the consumption of any alcoholic beverages on property owned by the public or by a nonprofit corporation within the City.  Hours of consumption may not exceed those permitted for on-sale licensees and must abide by all the laws and assume all the liabilities of a person applying for a liquor license in the state of South Dakota and the ordinances of the City of New Underwood.

State law references: SDCL 35-4-2; SDCL 35-4-2.1; SDCL 35-1-5.3; SDCL 35-4-81 and 35-4-81.2; SDCL 35-4-124 and 35-4-125.

Sec. 4-9.     On-sale and off-sale service

On-sale and off-sale licensee, licensed under SDCL §35-4-2, (4), (6), (11), or (13), may sell, serve, or allow to be consumed on the premises covered by the license, alcoholic beverages, including Sundays, Christmas Day and Memorial day except between the hours of 2:00 a.m. and 7:00 a.m. A violation of this section will be a Class 2 misdemeanor.

State law references SDCL 35-4-81 and 35-4-81.2; SDCL 35-4-2.1.

Sec. 4-10.  Kegs of malt beverage – Retail sale – Records.

No keg of malt beverage may be sold at retail in this state unless the licensee who sold the keg records the name and address of the person to whom the keg is sold and has provided for the identification of the keg. Each licensee shall maintain such sales records for one year and shall make the sales records available to any law enforcement agency upon request.      The identification provided for in this section may not be permanent or damaging to the structure of the keg. 

     For the purposes of this section, the term, keg, means an eight or sixteen gallon reusable plastic or metal container.

State law referenceSDCL 35-1-12.

Sec. 4-11.     Consuming, blending, possessing alcoholic beverages in public places; disposal of containers containing alcoholic beverages restricted.

     (a)     It is unlawful for any person to consume any alcoholic beverage upon the premises of a licensed on-sale dealer if the alcoholic beverage was not purchased from the on-sale dealer.

     (b)     It is unlawful for any person to consume any distilled spirits in any public place, other than upon the premises of a licensed on-sale dealer unless a Special License or a Spiking permit was issue by the Council.

     (c)     For the purposes of this section, the term “public place” means any place, whether in or out of a building, commonly and customarily open to or used by the general public, and any street, or highway.

(d)     Exceptions to this subsection are provided for in Section 4-12 of this chapter.

     (e)     Any person violating the provisions of this section is guilty of a Class 2 misdemeanor.

State law reference SDCL  35-1-5.3.

Sec. 4-12.     Open container permitted.

     Notwithstanding anything herein to the contrary:

(1)        Notwithstanding the provisions of 35-4-75, the sale and consumption of alcoholic beverages is permitted on the sidewalk or walkway subject to a public right-of-way abutting the licensed premises.  The sidewalk or walkway subject to the public right-a-way shall be immediately adjacent to and abutting the licensed premises. The sidewalk or walkway subject to a public right-a-way where the sale and consumption of alcoholic beverages is permitted does not constitute a public place as defined in 35-1-5.3 The sale and consumption shall have the same hours as permitted for the on-sale license.

(2)      The common council may, in its discretion, for community designated events, permit open containers in public places upon such terms and conditions the council may impose.

State law references SDCL 35-1-5.3; SDCL 35-4-77.1.

Authorization:  This ordinance is being passed pursuant to the provisions of SDCL 35-4-2.1, 35-4-81 and 35-4-77.1.

Severability:  If any provision of this code or the application thereof to any person or circumstances is held invalid, the invalidity shall not affect other provisions or applications of the code which can be given effect without the invalid provision or application, and to this end the provisions of this code are severable.

                                                                                    Jack W. Trullinger, Mayor

(seal)

Meri Jo Anderson, Finance Officer

 Amendments incorporated thru September 2016 

Meri Jo Anderson, Finance Officer                                                      

ARTICLE II SECTION VI

BE IT ORDAINED by the New Underwood City Council:

(a)    It shall be unlawful for any person to enter or have in his possession, while on the premises of any alcohol establishment licensed under Article II Section V of the New Underwood Revised Ordinances, any firearm or any knife, or any sharp or dangerous weapon such as is usually employed in attack or defense of the person.

(b)   This section shall not apply to a folding knife that has a blade of less than three (3) inches in length, providing said knife is in a closed position.

(c)    Nothing in this section shall prohibit the owner or employee of any licensed establishment to maintain an otherwise legal weapon on the premises or to prohibit any duly appointed law enforcement officer from entering said premises in the line of his duty while bearing arms.

(seal)

Meri Jo Anderson, Finance Officer                                        Benita R. Gilbert, Mayor

MAYOR SALARY

BE IT ORDAINED by the Common Council of the City of New Underwood. Pennington County, South Dakota that:

1. The Mayor’s salary will be $6000.00 a year to be paid monthly, plus the option of being a member of the City’s Health Pool which is provided to all full time employees,to pay for the Mayor’s individual coverage. 

2. The Mayor will be paid mileage compensation at the rate established by the Federal Government when attending to the business of the City. 

3. Per SDCL 3-8-12.   Salary increase of full-time elected official who may vote on own salary delayed. If the salary of any full-time elected official who may vote on his own salary is increased, the increase for that elected official may not commence until the expiration of the term for which such official was elected, or until two years after the passage of such increase, whichever is less.                                                                                    

The Aldermans's salary will be $50.00 for each meeting attended, to be paid every two months to every twelve months, at the preference of each Council person.

Alderman will be paid $50.00 per day and mileage at the current Federal rate for pre-approved training sessions and meetings.

 ARTICLE II SECTION VIII

 BE IT ORDAINED by the Common Council limits, when erected and maintained in accordance with the following standards:

1. Mail boxes must meet US Postal Regulations. 

2. Extended support must be 48 inches from post to the front edge of the mailbox. 

3. The City reserves the right to remove the mailbox, when necessary, for repair and maintenance of City property. The original post will be put back by the City. 

4. The City can require property owners, upon notification, to remove their mailbox if the location is not viable (i.e. visibility obstruction, etc.). 

5. Any mailboxes that do not meet these requirements will be removed by the City and the property owner must make other arrangements for mail service thru the postal service.

 (seal)                                                                             

                                                                                                    Benita R. White, Mayor

Meri Jo Anderson, Finance Officer

RESOLUTION NUMBER 01-11

   CREDIT CARD ACQUISITION AND USE POLICY

WHEREAS the City of New Underwood’s Municipal Finance Officer and the Director of Public Works are hereby authorized to acquire and use credit cards for the purchase of supplies, materials, parts, repairs, and maintenance or other transactions authorized by the governing board for the benefit of the Municipality. Before receiving the card for use, The Finance Officer must read, agree to and sign the Credit Card Issuance Agreement, and 

WHEREAS the credit line for said card shall not exceed $3000.00, and 

WHEREAS all purchases made with said card shall be accounted for with purchase receipts retained from the point of sale at which the item(s) were purchased. The employee initiating the purchase will list the item(s) acquired on the purchase receipt and their purpose to assist the finance authority in proper expense coding, and 

NOW THEREFORE BE IT RESOLVED by the New Underwood City Council that the Finance Officer and Director of Public Works be issued credit cards to purchase supplies, materials, parts, repairs, and maintenance or other transactions for the benefit of the municipality. 

Dated this 20^th day of June, 2001

(seal)

Meri Jo Anderson, Finance Officer                                                                                  Benita R. White, Mayor

BE IT ORDAINED by the City of New Underwood, Pennington County, South Dakota

that the capitalization of fixed assets will be set at anything valued over $100.00.  

                                                                                            Benita R. White, Mayor

 (seal)

Meri Jo Anderson, Finance Officer    

ARTICLE II SECTION X

AN ORDINANCE ON LEAVE POLICIES FOR THE EMPLOYEES OF THE CITY OF NEW UNDERWOOD

BE IT ORDAINED by the Common Council for the City of New Underwood:

CITY OF NEW UNDERWOOD EMPLOYEE LEAVE POLICY

I.          Leave quantity by tenure:

                                    hours accrued p/pay period

Tenure                         0-3 year           3-15 yrs           15 yrs+

Sick leave                    4                      4                      4

(total hours p/yr)         104                  104                  104

Annual leave               2                      4                      6

(total hours p/yr)         52                    104                  156

Holidays                      9                      9                      9

Or as listed in the SD Municipal League Handbook and 26-31 December:  emergency or standby duty only.

II.        General leave policy

            a.  The above accruals are predicated on an 80 hour p/pay period work schedule.    Leave accruals for employees hired at less than full time schedule (40 hours      p/week - 80 hours p/pay period) will be prorated.

            b.  The leave year begins the first full pay period each calendar year;

            c.  Temporary, intermittent, or occasion employees are not eligible for leave or holiday entitlements.

            d.  No category of leave is accrued if the employee is in a non-pay status, or absence without approval

            e.  No leave will be accrued during the initial employment probationary period(usually 6 months). Upon completion of the probation period annual and sick   leave will be credited as of the initial date of employment.

            f.  Any exceptions to this leave policy must be included in an employees Job Description/work agreement.

III.  Specific policy by category;

            A  Sick leave;

                        1.  Sick leave is available for employees for:

                                    a)  Employee illness

                                    b)  To care for immediate family member

                                    c)  Attend funeral of immediate family member

                        2.  Sick leave accrual is limited to 1,000 hours

3.  Sick leave settlement.  The city will pay the employee for one half of his/her accrued sick leave upon termination or retirement, provided the employee has been an employee at least three (3) years.

4.  The employees may create a sick leave pool for other employees, in the event there is an extended illness that exceeds the sick leave available to the affected employee.

                        5.  The employee will notify their appropriate supervisor as to their illness prior to the start of their work day.

            B.  Annual Leave:

                        1.  Annual leave for department heads will be approved by the Mayor.

                        2.  Annual leave for all other employees will be approved by the appropriate department head.

3.  Annual leave to be accrued during the year is available for use any time during the year provided approval is obtained and the employee acknowledges that any unearned leave will be deducted from their final paycheck if they quit or retire before the leave is accrued.

                        4. Maximum accrual (carryover) to a new year is 320 hours.  A new year starts at the first full pay period.

            C.  Holiday -  The paid holidays:  the ones listed in the SDML Handbook and December 26 through December 31 (a minimum/emergency work schedule only,   Employees will be excused from routine non-essential duties).

IV.  Grandfather Clause

Any Employee who is over limits will have five years from the effective date of this ordinance to conform with the limitations.

 (seal)                                                                             

                                                                                                    Benita R. White, Mayor

Meri Jo Anderson, Finance Officer

BE IT ORDAINED by the Common Council for the City of New Underwood that Article II; Section XI; General; Reserve Policy be as follows:

1. The establishment and maintenance of adequate cash balances and reserves allow the City financial and security and is recognized as an important factor considered by bond rating agencies and the underwriting community when reviewing City debt issuance. Along with maintaining the City’s credit worthiness, such cash balances and reserves provide the means to handle economic uncertainties, local disasters and other unanticipated financial hardships, as well as to meet cash flow requirements. In addition to the designations noted below, the fund balance levels will be sufficient to meet funding requirements for projects approved in prior years that are carried forward into the new year; debt service reserve requirements; reserves for encumbrances; and other reserves or designations required by contractual obligations or generally accepted accounting principles. 

General Policies 

1. A positive cash balance should be shown in the general fund at the end of the fiscal year. At a minimum, the balance should be 25% of general fund appropriations for the succeeding fiscal year in order to provide adequate cash flow and emergency cash funding. With the long term objective of 50%. 

2. Restricted cash reserves should not be used to finance routine operating expenses that exceed budgeted levels. 

3. Cash reserves should not be used to finance capital projects, unless those reserves were specifically earmarked for a project.

4. Revenues will equal or exceed expenditures for each budget year unless there are funds available in excess of the cash reserves requirements of this policy. Excess cash reserves may be used to balance revenues and expenditures as long as the minimum cash reserve requirements of this policy are met. 
5. Short-term borrowing, such as Tax Anticipation Notes, in order to meet the requirements in a. through d. of this section is prohibited.
6. The City’s annual budget is considered balanced if the cash reserve requirements, the working capital requirements, and the revenue and expenditure requirements of this policy have been met. (Sections 2-4).

Working Capital 

1. The City will assemble sufficient cash reserves in operating funds for working capital so that short term cash flow financing is not required. The cash reserve will be no less than 25% of the next year’s operating budget. Operating funds are defined as special revenue and enterprise funds. With the long term objective of 50%.

    

Capital Project Reserve Fund 

1.    The Council may designate specific fund balance levels for future development of capital projects that do not require bond financing. The Council may annually transfer to the fund any balance from operating funds in excess of the cash reserve requirements within this policy.

(seal)                                                                            

                                                                                                 Jack W. Trullinger, Mayor

Meri Jo Anderson, Finance Officer

BE IT ORDAINED by the Common Council for the City of New Underwood that Article II; Section XII; General; Division of Wards reads as follows:

WARDS:  The City Of New Underwood is divided into two wards, as determined in Ordinance # 82-1, and said wards are designated respectively as Wards One and Two.  The wards are described by setting forth the certain street or avenue designations or other landmarks that divide and border the wards.  Any reference to highway, avenue, or flood ditch below shall mean an imaginary line running down the approximate middle of each highway, avenue, or flood ditch.  The wards of the City of New Underwood are set forth below and the map thereof.  Any discrepancies shall be resolved by reference to the map, attached and incorporated herein by reference, rather than the physical descriptions set forth herein.

WARD ONE (1): All area of the City not described as Ward 2.

WARD TWO (2):  Commencing at the intersection of Highway 1416 and flood ditch (Orin St.); then east to City limits line east of Janklow Avenue; then south to the City limits line; then following the City limit line to the west and south to the Rail Road tracks; then west to the flood ditch (Orin St.); then north to Highway 1416, following the flood ditch.

(seal)                                                                                    ________________________________                                                                                                                    Mayor Jack W. Trullinger

_____________________________ Attest: Finance Officer Meri Jo Anderson

ARTICLE II 

SECTION XIII

A TEMPORARY ORDINANCE REGARDING THE ISSUANCE OF LOCAL MEDICAL CANNABIS ESTABLISHMENT PERMITS AND/OR LICENSES.

WHEREAS, the City of New Underwood is authorized to enact an ordinance not in conflict with SDCL Chapter 34-20G, governing the time, place, manner, and number of medical cannabis establishments in the locality. The City of New Underwood may establish civil penalties for violation of an ordinance governing the time, place, and manner of a medical cannabis establishment that may operate in the locality. The City of New Underwood may require a medical cannabis establishment to obtain a local license, zoning permit, or registration to operate, and may charge a reasonable fee for the local license, zoning permit, or registration.

WHEREAS, the City of New Underwood makes a preliminary finding that the City’s current regulations and controls may not adequately address the unique needs and impacts of medical cannabis establishments as defined in SDCL 34-20G-1;

WHEREAS, medical cannabis state laws under SDCL Chapter 34-20G are effective July 1, 2021.  The South Dakota Department of Health is required to promulgate rules pursuant to chapter 1-26 not later than October 29, 2021, as defined by SDCL 34-20G-72.  During the time between July 1, 2021 and potentially as late as October 29, 2021, local units of government will not yet know standards for medical cannabis and will not be able to adequately assess the local zoning and licensing requirements necessary to approve local permits and to better ensure applicants have a more predictable permitting process and avoid stranded investments.

WHEREAS, the City of New Underwood makes a preliminary finding that the City needs further study of the relationship of medical cannabis establishments to the City’s Comprehensive Plan and Zoning Ordinances. The public interest requires that the City study, analyze, and evaluate the impacts of medical cannabis establishments and to fully explore the impacts of any proposed regulations regarding medical cannabis establishments;

WHEREAS, the City of New Underwood makes a preliminary finding that it would be inappropriate for the City to issue a local permit or license to a medical cannabis establishment prior to the South Dakota Department of Health’s promulgation of regulations governing the same;

WHEREAS, the City of New Underwood hereby exercises its authority under SDCL 11-4-3.1 and SDCL 9-19-13, to establish a temporary ordinance regarding the issuance of any local permits/licenses for medical cannabis establishments within the City;

WHEREAS, a temporary ordinance will ensure that more comprehensive zoning ordinance and building permit changes, licensing permits, and any proposed amendments to the City’s Comprehensive Plan can be completely examined with adequate public input from citizens, business interests, and medical cannabis industry representatives;

WHEREAS, the City finds that a temporary ordinance is reasonable to preserve the status quo and prevent significant investment pending the outcome of the above study and any proposed regulations emanating therefrom;

WHEREAS, the City finds that the following ordinance is necessary to protect and immediately preserve the public health, safety, welfare, peace and support of the municipal government and its existing public institutions;

NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF NEW UNDERWOOD:

Section 1.  Temporary Ordinance – Application for Local Permit/License

A medical cannabis establishment desiring to operate in the City of New Underwood shall be required to apply for a permit and/or license from the City. Applications for a local permit and/or license to operate a medical cannabis establishment, as defined by SDCL 34-20G-1, shall not be accepted until sixty days have passed following the South Dakota Department of Health’s promulgation of regulations as required by SDCL 30-20G-72. Any application received prior to sixty days having passed following such regulations being promulgated shall be denied.

Section 2. Immediate Effect.

This ordinance is necessary to protect and immediately preserve the public health, safety, welfare, peace, and support of the municipal government and its existing public institutions pursuant to SDCL 11-4-3.1 and SDCL 9-19-13.

AN ORDINANCE ADDING SECTION XIV TO THE REVISED ORDINANCES OF THE CITY OF NEW UNDERWOOD CREATING LICENSING PROVISIONS FOR CANNABIS ESTABLISHMENTS

BE IT ORDAINED by the City Council of the City of New Underwood that Section XIV of the Revised Ordinances of the City of New Underwood is hereby amended by adding new Section XIV as follows:

01: PURPOSE AND INTENT

The City Council of the City of New Underwood enacts the following licensing ordinances in order to ensure that cannabis establishments within the municipal boundaries of the City operate in a manner which complies with state laws and regulations, protects the health, safety, and welfare of the general public, prevents potential conflicts and issues arising from ownership and employees, recognizes certain safety and security considerations, and minimizes risk of unauthorized use or access of cannabis by the general public.

02: DEFINITIONS

Unless an alternative definition is explicitly stated in this section, this chapter utilizes the definitions for cannabis-related terms which are defined by SDCL 34-20G-1.

Cannabis (or Marijuana): all parts of any plant of the genus cannabis, whether growing or not, in its natural and unaltered state, except for drying or curing and crushing or crumbling. The term includes an altered state of marijuana absorbed into the human body. The term does not include fiber produced from the mature stalks of such plant, or oil or cake made from the seeds of such plant. The term does not include the plant Cannabis sativa L. and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a delta-9 tetrahydrocannabinol concentration of not more than three-tenths of one percent on a dry weight basis.

Cannabis Cultivation Facility: in addition to the definition in SDCL 34-20G-1, this term is further defined as a legally licensed entity that acquires, possesses, cultivates, delivers, transfers, transports, supplies, or sells cannabis and related supplies to a cannabis establishment.

Cannabis Dispensary: in addition to the definition in SDCL 34-20G-1, this term is further defined as a legally licensed entity that acquires, possesses, stores, delivers, transfers, transports, sells, supplies, or dispenses cannabis, cannabis products, paraphernalia, or related supplies and educational materials.

Cannabis Establishment: cannabis cultivation facility, a cannabis testing facility, a cannabis product manufacturing facility, or a cannabis dispensary.

Cannabis Product Manufacturing Facility: in addition to the definition in SDCL 34-20G-1, this term is further defined as a legally licensed entity that acquires, possesses, manufactures, delivers, transfers, transports, supplies, or sells cannabis products to a cannabis dispensary.

Cannabis Products: any concentrated cannabis, cannabis extracts, and products that are infused with cannabis or an extract thereof, and are intended for use or consumption by humans. The term includes edible cannabis products, beverages, topical products, ointments, oils, and tinctures

Cannabis Testing Facility: in addition to the definition in SDCL 34-20G-1, this term is further defined as a legally licensed entity legally authorized to analyze the safety and potency of cannabis.

Department: the South Dakota Department of Health

03: LICENSE REQUIRED

(a)        No cannabis establishment may be located or operate in the city without the appropriate valid and current cannabis establishment license issued by the city pursuant to this article. A violation of this provision is subject to the general penalty provision in Section 16 of this Ordinance.  Each day of the violation constitutes a separate offense.

(b)        No cannabis establishment may be located or operate in the city without the appropriate valid and current cannabis establishment registration certificate issued by the Department pursuant to rules promulgated under SDCL 34-20G. A violation of this provision is subject to the general penalty provision in Section 16 of this Ordinance. Each day of the violation constitutes a separate offense.

04: LICENSE APPLICATION

(a)        An application for a cannabis establishment license must be made on a form provided by the city. No other application form will be considered.

(b)        The applicant must submit the following:

1. Application fee of $5,000.00. The City will reimburse $2,500.00 for applicants who fail to obtain a registration certificate from the South Dakota Department of Health.

2. An application that will include, but is not limited to, the following:

1. The legal name of the prospective cannabis establishment;

1. The physical address of the prospective cannabis establishment that meets the zoning requirements in Section XIV; as well as any location requirements pursuant SDCL 34-20G and the administrative rules promulgated thereunder.

1. The name, address, and birth date of each employee, principal officer, owner, and board member of the proposed cannabis establishment.

1. A sworn statement that no employee, principal officer, owner, or board member has been convicted of a violent felony offense in the previous ten (10) years in any jurisdiction.

1. Any additional information requested by the city.

05: ISSUANCE OF LICENSE

(a)        The city will issue a license unless:

1. The applicant has made a false statement on the application or submits false records or documentation; or

2. Any employee, owners, principal officer, or board member of the applicant is under the age of twenty-one (21) years; or

3. Any employee, owner, principal officer, or board member of the applicant has been convicted of a violent felony offense in the previous ten (10) years in any jurisdiction;

4. The proposed location does not meet the applicable zoning requirements under Section XIIII;

5. The proposed location does not meet all location requirements under SDCL 34-20G and the administrative rules promulgated thereunder;

6. The license is to be used for a business prohibited by state or local law, statute, rule, ordinance, or regulation; or

7. Any owner, principal officer, or board member of the applicant has had a cannabis establishment license revoked by the city or a registration certificate revoked by the state; or

8. An applicant, or an owner, principal officer, or board member thereof, is overdue in payment to the city of taxes, fees, fines, or penalties assessed against or imposed upon the applicant in relation to any cannabis establishment; or

9. The applicant will not be operating the business for which the license would be issued.

(b)        In the case of an application for a cannabis dispensary license, the city will reject the application if the limit on the number of cannabis dispensaries has been reached.

(c)        The license must be posted in a conspicuous place at or near the entrance to the cannabis establishment so that it may be easily read at any time.

06: CITY NEUTRALITY AS TO APPLICANTS

(a)        Upon request from the Department as to the City’s preference of applicants, the City will neither support nor oppose any registration certificate application under consideration by the Department. Likewise, if inquiry is made by the Department, the City will abstain from endorsing any application as beneficial to the community.

07: NUMBER OF CANNABIS DISPENSARIES

(a)        No more than one (1) cannabis dispensary shall be allowed to operate in the City at any time.

08: EXPIRATION OF LICENSE AND RENEWAL

(a)        Each license expires one year from the date of issuance and may be renewed only by making application as provided in Section XIIII. Application for renewal must be submitted at least thirty (30) days before the expiration date. The license holder must continue to meet the license requirements to be eligible for a renewal.

(b)        The renewal fee is $5,000.00. The City of New Underwood will reimburse $2,500.00 for applicants who fail to obtain a renewal of their registration certificate from the Department.

(c)        Failure to renew a license in accordance with this section may result in additional fees. Upon expiration of the license, the city may order closure of the cannabis establishment.

(d)        If a license holder has not operated an establishment for which it holds a license in the preceding twelve (12) months, the license will not be renewed.

09: SUSPENSION

(a)        A license may be suspended if the license holder or an employee or agent of the license holder:

1. Violates or is otherwise not in compliance with any section of this article.

2. Consumes or smokes or allows any person to consume or smoke cannabis on the premises of the cannabis establishment.

3. Knowingly dispenses or provides cannabis or cannabis products to an individual or business to whom it is unlawful to provide cannabis or cannabis products.

(b)        A license may be suspended if the license holder has its Department-issued registration certificate suspended, revoked, or not renewed by the Department or if the registration certificate is expired.

(c)        A license may be suspended if the license holder creates or allows to be created a public nuisance at the cannabis establishment.

10: REVOCATION

(a)        A license may be revoked if the license is suspended under Section 10 and the cause for the suspension is not remedied.

(b)        A license may be revoked if the license is subject to suspension under Section 10 because of a violation outlined in that section and the license has been previously suspended in the preceding 24 months.

(c)        A license is subject to revocation if a license holder or employee of a license holder:

1. Gave false or misleading information in the material submitted during the application process;

2. Knowingly allowed possession, use, or sale of non-cannabis controlled substances on the premises;

3. Operated the cannabis establishment or the business of the cannabis establishment for which a license is required under this article while the license was suspended;

4. Repeated violations of Section XIV;

5. Operated a function of a cannabis establishment for which the license holder was not licensed (e.g., a licensed cannabis cultivation facility conducting cannabis testing functions without a cannabis testing establishment license);

6. A license holder, or an owner, principal officer, or board member thereof, is delinquent in payment to the city, county, or state for any taxes or fees related to the cannabis establishment;

7. A license holder, or an owner, principal officers, or board member thereof, has been convicted of, or continues to employ an employee who has been convicted of, a disqualifying felony offense as defined by SDCL 34-20G; or

8. The license holder has its Department-issued registration certificate suspended, revoked, or not renewed or the registration certificate is expired.

9. The license holder allows a public nuisance to continue after notice from the City.

11. SUSPENSION AND REVOCATION PROCESS

(a)        The license holder will receive a notice of intent to suspend or notice of intent to revoke informing the license holder of the violation and the city’s intention to suspend or revoke the license. The notice will be hand delivered to the license holder or an employee or agent of the license holder or sent by certified mail, return receipt requested to the physical address of the cannabis establishment.

(b)        If the license holder disputes the suspension or revocation, the license holder has ten (10) days from the postmark date on the notice or the date the notice was hand delivered to request a hearing before a hearing panel, which will consist of the Mayor, Finance Officer, and City Council.

(c)        A suspension will be for thirty (30) days and begins ten (10) days after the postmark date on the notice or the date the notice is hand delivered unless the license holder exercises its rights to process and appeal, in which case the suspension takes effect upon the final determination of suspension.

(d)        A revocation will be for one (1) year and begins ten (10) days after the postmark date on the notice or the date the notice is hand delivered unless the license holder appeals the revocation, in which case the revocation takes effect upon the final determination of revocation.

(e)        The license holder who has had the license revoked may not be issued any cannabis establishment license for one year from the date the revocation became effective.

12: APPEAL

An applicant or license holder who has been denied a license or renewal of a license or who has had a license suspended or revoked under this article may appeal to the City Council by submitting a written appeal within ten (10) days of the postmark on the notice of denial, nonrenewal, suspension, or revocation. The written appeal must be submitted to City Hall at 423 S. A Ave. New Underwood, South Dakota, 57761. The appeal will be considered by the City Council at a regularly scheduled meeting within one month of the receipt of the appeal.

13: LICENSES NOT TRANSFERRABLE

No cannabis establishment license holder may transfer the license to any other person or entity either with or without consideration, nor may a license holder operate a cannabis establishment at any place other than the address designated in the application.

14: HOURS OF OPERATION FOR DISPENSARIES

No cannabis dispensary may operate between the hours of 9 p.m. and 8 a.m. any day of the week.

15: LIABILITY FOR VIOLATIONS

Notwithstanding anything to the contrary, for the purposes of this article, an act by an employee or agent of a cannabis establishment that constitutes grounds for suspension or revocation will be imputed to the cannabis establishment license holder for purposes of finding a violation of this article, or for purposes of license denial, suspension, or revocation, only if an officer, director or general partner or a person who managed, supervised or controlled the operation of the cannabis establishment, knowingly allowed such act to occur on the premises.

16: PENALTIES

Any person who operates or causes to be operated a cannabis establishment without a valid license or in violation of this article is subject to a suit for injunction as well as prosecution for ordinance violations. Such violations are punishable by a maximum fine of five hundred dollars ($500.00). Each day a cannabis establishment so operates is a separate offense or violation.

Severability. The provisions of this ordinance are severable. If any provision of this ordinance or the application thereof to any person or circumstance is held to be invalid, such invalidity shall not affect other provisions or applications of this ordinance which can be given effect without the invalid provision or application.

AN ORDINANCE TO INCORPORATE THE APPLICATION FORM AND LICENSE/PERMIT FORM INTO ORDINANCE NUMBER 21-06

BE IT ORDAINED by the Common Council for the City of New Underwood that the attached cannabis Dispensary application form, Exhibit #1 and the attached Cannabis License/Permit form, Exhibit #2 be incorporated into Ordinance Number 21-06 Cannabis Establishments.

(seal)                                                                            

                                                                                         Teresa M. Hall, Mayor

Kristi Pritzkau, Finance Officer

City of New Underwood

423 S. A Ave PO Box 278 New Underwood, SD 57761

Phone: 605-754-6777

Application for a Cannabis Dispensary License

Name, address and birth date of each employee, licensee, manager, owner, principal officer and/or board member of the establishment: _______________________________________________________________________________

 ______________________________________________________________________________________________

______________________________________________________________________________________________

______________________________________________________________________________________________

______________________________________________________________________________________________

______________________________________________________________________________________________

Cannabis establishment name: _____________________________________________________________________

Address of establishment: ________________________________________________________________________

Business Phone No.______________________________     Primary Contact Cell Phone No.___________________

Applicant Driver’s License #______________________________   State___________________________

SD State Sales Tax license number: _______________________________________ (attach a copy of the license)

SD State Cannabis Registration number: _________________________­__________ (attach a copy of certificate)

Attach a copy of proposed site plan and floor plans as applicable, drawn to scale, and showing proposed usage of all parts of the property and building, safety and security plans, signage and lighting plans. Issuance of a cannabis dispensary license does not eliminate the need for a building permit.

An application fee of $5,000.00 is required. The City of New Underwood will reimburse $2,500.00 if the applicant fails to obtain a registration certificate from the SD Department of Health. If issued, the license is valid for the calendar year in which it is approved and will terminate on December 31 of the year of issuance. Application fees and licensing fees are not prorated for partial year usage of the license.

This establishment will not operate between the hours of 9 p.m. to 8 a.m. per Article II Section XIII of the City of New Underwood Ordinances.

I swear under penalty of perjury under the laws of the State of South Dakota that no principal officer, owner or board member has been convicted of a violent felony offense in the previous ten (10) years in any jurisdiction.

_______________________________________________                     ________________

Applicant Signature                                                                              Date

_______________________________________________                     _________________               

City of New Underwood Official                                                            Date    

AFFIRMATION AND CONSENT

I, ______________________________________ (printed name), as the applicant or as an authorized agent, officer, owner, or manager for the applicant, declare under the penalty for offering a false instrument for recording that this entire application, statements and attachments are true, correct and complete to the best of my knowledge. I further declare and consent that:

1. This statement is executed with the knowledge that misrepresentation or failure to reveal information requested may be deemed sufficient case for the denial of this license application or subsequent suspension or revocation of an issued license by the City of New Underwood (initial here) _______;
2. I consent to any background investigation necessary to determine my present and continuing eligibility and that consent continues for as long as I hold a Cannabis Dispensary License (initial here) _______;
3. I understand and acknowledge that the City of New Underwood and the State of South Dakota may request other information from me in connection with this application. Failure to provide the requested information may result in denial of this application (initial here) ___________;
4. I understand this license shall not be transferable to any other person, business entity, or location and is not a property right (initial here) ___________;
5. I understand that the Cannabis Dispensary must always maintain legal possession of the licensed premises (initial here) ______________;
6. I understand that the entire premises shall be subject to inspections by relevant authorities at all operational hours and other times of apparent activity (initial here) ___________;
7. I hereby state that I have read SDCL Chapter 34-20G, all applicable State rules and regulations, and the City of New Underwood Code of Ordinances Article II Section XIII regarding Cannabis Dispensary licensing rules and regulations, and I understand the contents thereof and agree to be bound by them in all respects, expressly including the waiver of liability release of claims, and indemnification of the City of New Underwood (initial here) ___________;
8. I understand that any Cannabis Dispensary license issued by the City of New Underwood is provisional, conditional, and must be annually renewed by application submitted no less that thirty (30) days prior to the expiration date, unless earlier revoked or surrendered (initial here) _________.

I have completed all the above information and understand my responsibilities as a Cannabis Dispensary applicant or authorized agent, officer, owner, or manager of the applicant or license holder. I further understand that failure to comply with any law, regulations, or provisions of this affirmation may be grounds for disciplinary action including, but not limited to, the suspension or revocation of the license.

____________________________________            _________________________          ______________

Signature                                                                     Title                                                     Date