Commerce and Energy

HB 1038 allows South Dakota's Public Utilities Commission to charge data centers the actual costs of processing their contract approval requests for new utility service. It specifically applies to "large new customers" like data centers that require approval under existing utility regulations. The bill requires the commission to collect these processing fees and deposit the funds into a dedicated state utility fund. This changes how the commission recovers administrative costs for new large-scale electricity customers.

HB 1194 requires South Dakota's Cosmetology Commission to allow out-of-state cosmetology, nail technology, and esthetics license applicants to count relevant work experience toward their education hour requirements. Specifically, the bill mandates that two hours of work experience equals one hour of required education, but only for experience gained after the applicant's initial license, and work experience cannot cover more than half the total education hours needed. Applicants must provide documentation of their work history, and the commission may require a safety course if the experience is over five years old or deny a license if competence is in question. This change directly affects individuals seeking to transfer licenses from other states or countries who have practical experience but lack full in-state education hours.

HB 1238 allows South Dakota financial institutions to delay or block specific transactions when they reasonably suspect financial exploitation of consenting adults aged 65+ (seniors) or adults aged 18+ with mental impairments or court-appointed guardians (vulnerable adults). The law permits banks to refuse transfers, withdrawals, ownership changes, beneficiary updates, or power-of-attorney instructions if exploitation is suspected. Financial institutions are protected from liability for acting under this law, though they are not required to intervene - decisions are based on available information. This directly affects banks and the vulnerable adults they serve by providing a legal framework to prevent financial abuse.

HB 1180 allows business owners in jointly owned entities to include enforceable non-compete restrictions when transferring ownership interests. The bill permits agreements that prevent a selling owner from competing in the same business within the entity's specific geographic area for up to three years after the transfer. This applies specifically to terms included in ownership transfer contracts or business governing documents, not general employment agreements. The law directly affects business owners selling stakes in jointly held companies and the buyers purchasing those interests.

HB 1027 updates South Dakota's pipeline safety law to reference current federal regulations instead of outdated ones. It specifically changes date references in two sections (§ 49-34B-1 and § 49-34B-3) from "January 1, 2023" to "January 1, 2026" to align with the latest federal pipeline safety rules under 49 C.F.R. parts 191-193 and 199. This affects the Public Utilities Commission (which enforces pipeline safety) and pipeline operators who must comply with these standards. The bill makes no new safety requirements - it only ensures South Dakota's law correctly cites the applicable federal rules.