State Affairs

South Dakota's SB 96 allows counties to impose a 0.5% sales tax on taxable goods, digital products, and services (following state sales tax rules). All revenue from this county-level tax must go into a dedicated "property tax reduction fund." The fund is used to reduce property taxes on owner-occupied homes first, then agricultural and other land types, with all reductions applied equally across qualifying properties. Counties must adopt an ordinance to implement the tax and may hold a voter referendum on the proposal.

HB 1274 prohibits the delivery or distribution of abortion-inducing medicine, drugs, or substances into South Dakota for purposes of an illegal abortion, with exceptions for self-administration by a pregnant person, life-saving medical procedures, or miscarriage management. It establishes a Class 6 felony for violating this prohibition, imposes civil penalties up to $10,000 per dose, and allows civil lawsuits for wrongful death of an unborn child by specific parties (e.g., parents, the pregnant person, or their estate). The bill directly affects medical providers, pharmacies, and anyone transporting such substances into the state, while exempting individuals acting in self-defense or under medical necessity. The attorney general may seek injunctions to stop violations and collect civil penalties for deposit into a state fund.

SB 76 transfers unobligated funds from South Dakota's housing infrastructure fund to the revolving economic development fund. It authorizes the Board of Economic Development to provide up to $15 million in 0% interest loans to airports with scheduled air service located in metro areas with 125,000-275,000 residents (or over 275,000) as of the 2024 Census. Loans must be repaid over 20 years with the first payment due one year after funding, and must be fully funded by June 2030. The bill directly affects airports in designated metro areas seeking infrastructure improvements.

HB 1232 requires South Dakota state agencies to document how they consider five specific principles when creating or changing policies or rules that directly affect tribal nations. These principles include committing to cooperation with tribes, respecting tribal sovereignty and government-to-government relationships, communicating early with tribal officials, being accountable for tribal concerns, and preserving tribal-state partnerships. The law applies to any agency policy or rule with direct tribal impacts, mandating written records of this consideration. It does not change existing tribal rights but sets a procedural standard for state agency engagement. This bill aims to improve transparency and collaboration between state agencies and tribal governments.

HB 1215 allows South Dakota counties and municipalities to issue licenses for cigar bars, directly affecting business owners seeking to operate such establishments and local governments responsible for licensing. The bill requires cigar bars to have a humidor, be fully enclosed with proper ventilation, generate at least 10% of income from cigar sales, and prohibit all tobacco products except cigars. Local governments must hold public hearings for applications and report annual cigar sales income to the Department of Revenue, while also posting clear smoking restrictions. The law explicitly excludes these venues from other liquor license limits and prohibits transferring licenses to new owners.