September 16, 1983

Honorable Royal J. 'Bud' Wood 
State Representative and Chairman 
Local Government Study Committee 
State Capitol 
Pierre, South Dakota 57501

Official Opinion No. 83-31

Annexation of Land By Townships

Dear Representative Wood:

You have requested an official opinion based upon the following factual situation:

FACTS: 

SDCL 9-21A-6 relates the mill levy and assessed value on agricultural land to the average mill levy and average assessed value on unannexed agricultural land in adjoining townships in the same county.

Based upon the above facts, you have asked the following question:

QUESTION: 

Does 'adjoining townships' in SDCL 9-21A-6 mean only organized townships?

SDCL §  91-21A-6 provides: 

The ordinance shall determine that the mill levy and assessed value on the agricultural land annexed shall not exceed the average mill levy and average assessed value on unannexed agricultural land in adjoining townships in the county as long as the annexed agricultural land remains rural property as defined by this chapter.  (Emphasis added.)

Since lands outside the municipality in either organized or unorganized townships may be annexed (see SDCL Chapter 9-4 and 

SDCL 9-21A-4) and since the statutes must be liberally construed 

SDCL 2-14-12 with a view to  protect annexed agricultural land from greatly increased taxation, it is my opinion that the phrase 'adjoining townships' in § 9-21A-6 refers to either organized or unorganized townships.

It is, of course, also my opinion that publicly owned and deeded lands exempt from taxation (see South Dakota Constitution Art. XI, § 5) are not to be considered for computational purposes pursuant to SDCL Chapter 9-21A.

Respectfully submitted,

Mark V. Meierhenry
Attorney General