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Noem Approves Budget Plan, Despite Initial Disagreements

Education and state employees will receive a 7% funding increase, instead of the 5% Noem suggested, and hospitals will receive a 5% funding increase. Nursing homes and some other Medicaid community service providers will be fully reimbursed.

The 2024 budget signed Monday also accounts for future Medicaid expansion costs, helps National Guard members pay college tuition and freezes tuition at public universities and technical colleges.

According to a report in the Argus Leader, Noem was critical of the Legislature’s projection for $2.38 billion in revenue for 2024, and of lawmakers’ decision to spend money on certain items in the budget.

“I agree that our economy is strong … I’ve put significantly more funding into our reserves in recent years. Only time will tell if it was a wise decision to spend these additional dollars,” Noem wrote.

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Noem remains quiet on whether or not she’ll veto or sign the Legislature’s plan to lower sales taxes from 4.5% to 4.2% until 2027.

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