PIERRE, S.D. (AP) — South Dakota lawmakers are gathering at the state Capitol in Pierre to hear Gov. Dennis Daugaard's proposed budget for next year.

The Republican governor gives his budget speech at 1 p.m. CDT.

Lawmakers will pay particular attention to Daugaard's proposals for state aid to school districts and state payments to hospitals, nursing homes and other facilities that provide care to low-income people in the Medicaid program.

Daugaard has said state revenue is not growing fast enough to boost state aid to schools much beyond the inflationary increase required by law. Medicaid providers usually get the same increase as school districts.

Lawmakers also want to hear the governor's plan for spending an extra $70 million in state revenue from an unexpected increase in unclaimed property such as bank accounts.

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