Review of Open Meetings Laws
Last week we published our checklist for boards as they head into the new fiscal year. One item we forgot to include was information regarding Senate Bill 74 which passed in the 2025 legislative cycle. That act added SDCL § 1-25-13 which requires a school board to annually review, during an official meeting, the “explanation of the open meeting laws of this state published by the attorney general” and “[a]ny other material pertaining to the open meeting laws of this state provided by the attorney general.” Additionally, the review of this material must be reflected in the meeting minutes. This review has to be completed annually. Linked here is a copy of the Attorney General’s Open Meetings Guide that your board can review. We recommend adding this to your July meeting annually and noting the review in your agenda and minutes.
Annual Inventory Obligations
Each year, by June 30th, the employees designated by the school board must complete an inventory of all public personal property. SDCL § 5-24-1. This employee is responsible for providing the inventory report to the school’s business manager. SDCL § 5-24-3. Public personal property requiring inventory means “any tangible item other than money, credits, accounts, securities, or real property that is movable, has an expected useful life exceeding one year, and has an initial purchase cost in excess of $5,000.” ARSD 10:02:01:01. We would encourage reviewing your district’s practice for fulfilling these inventory obligations.
Business Manager Bond
In July, many school boards will set the bond (AKA insurance) required for the school business manager. SDCL § 13-8-18 provides that “The penal sum of the bonds required for school business managers shall be fixed and approved by the school board.” Business managers - add this to the agenda!
Pay or Indemnify
If a claim has been brought against an officer or employee of a district, and the claim arises “out of an act or omission occurring within the scope of the employment of such employee, or when exercising official duties or responsibilities as an officer or member of such governing board,” then the board has some options. SDCL § 3-19-1. The board can choose to indemnify for costs incurred in the defense, pay or indemnify for reasonable attorney fees, pay or indemnify for a judgment based on the claim, or pay or indemnify for settlement of the claim. If your district finds itself in a situation where someone files a claim or complaint against a board member or employee individually, we encourage you to reach out to your regular legal counsel to discuss the options available.
As always if you have any questions or feel like there is a law regarding schools that you think is collecting dust, let us know at ksb@ksbschoollaw.com.