January 29, 1975

Mr. Gene Paul Kean
State's Attorney
Minnehaha County
Sioux Falls, South Dakota 57101

OFFICIAL OPINION NO. 75-13

Use of Public Law 93-383 Funds

Dear Mr. Kean:

You have asked for an official opinion as to whether or not the City of Sioux Falls can legally establish a direct loan or grant program for private property development using the federal block grant rehabilitation loan money of Public Law 93-383.

SDCL 9-22-1 provides that all money belonging to the municipality from whatever source shall be paid into the municipal treasury and the governing body by the annual appropriation ordinance shall designate to what fund or funds such money shall be applied. SDCL 9-21-9.1 certainly implies that the municipality has the authority to accept federal grant monies such as those provided under Public Law 93-383.

With respect to how these funds are to be used, the matter is either covered by federal law or left open to the discretion of the appropriate municipal authorities.

Respectfully submitted,

WILLIAM J. JANKLOW
ATTORNEY GENERAL

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