SB 240 appropriates $5 million from South Dakota's general fund to create a rural access infrastructure fund, directly affecting all counties by providing funding for infrastructure improvements on township and county secondary roads. Funds are distributed to counties based on their proportion of small structures (like bridges or culverts) on these roads relative to the statewide total, calculated using data reported to the Department of Transportation. The bill requires the Department of Revenue to distribute no more than one-third of the funds annually across fiscal years 2026-2028, with unspent funds reverting by June 2031. It declares an emergency to expedite implementation, focusing solely on the concrete funding mechanism and distribution rules without advocating for outcomes.
HB 1241 increases the property tax exemption amount for disabled veterans and surviving spouses in South Dakota. It amends existing law (§ 10-4-40 for veterans and § 10-4-41 for surviving spouses) to raise the value of a primary residence exempt from property taxes. Currently set at $225,000, this exemption applies to owner-occupied homes where the veteran is permanently and totally disabled from service-connected injuries, or to surviving spouses of such veterans. To qualify, applicants must submit a confidential form to the Department of Revenue and maintain occupancy; the exemption ends if they sell the home, stop living there, or remarry (for surviving spouses).
SB 21 adjusts South Dakota's retail sales tax refund program for low-income residents. It sets specific income thresholds ($17,215 for single-person households, $23,265 for larger households) and calculates refunds as $258 for eligible singles under the limit, up to $581 for larger households. The bill ensures these refunds remain available even if a recipient also receives property tax relief under separate programs. It directly affects elderly residents and people with disabilities who meet the income criteria under existing state law.
SB 239 modifies South Dakota's reinvestment payment program for businesses that complete qualifying projects. It requires project owners to submit detailed affidavits within six months of completion, including costs, tax payments, contractor lists, and project details, to qualify for rebates. The bill creates a dedicated fund to reimburse businesses for South Dakota sales, use, and contractors excise taxes paid on approved projects, while exempting gross receipts from these taxes for qualifying projects. It also sets clear deadlines for filings and specifies that costs beyond three years from construction (with possible one-year extension) are ineligible for rebates. This directly affects businesses completing projects under the program who seek tax rebates on eligible construction expenses.
SB 118 creates a "homeowner tax reduction fund" in South Dakota's state treasury. Each year by January 31st, the treasurer must deposit either $100 million or 0.3% of revenues collected from specific property taxes (chapters 10-45, 10-46, 10-46E, 10-58, and § 32-5B-20) into this fund. The Department of Revenue will use these funds to provide property tax rebates for owner-occupied single-family homes, with money in the fund not allowed to transfer to the general fund and requiring annual budgeting through the general appropriation bill. The bill takes effect July 1, 2027.
SJR 507 proposes a constitutional amendment for voter approval that would reduce property taxes for owner-occupied homes while increasing business tax rates. Specifically, it would lower the maximum school district tax rate for single-family owner-occupied homes from $20.50 to $5.21 per $1,000 of taxable value, and raise the gross receipts tax rate for retailers and service businesses from 4.2% to 5%. This tax swap would directly affect homeowners through lower property taxes and businesses through higher sales tax rates on goods and services. The amendment requires voter approval at the next general election before taking effect.
This bill proposes a constitutional amendment that would limit property taxes in South Dakota to no more than 1% of a property's assessed value. It also caps annual increases to assessed property values at 2% (starting with 2027 valuations) and allows adjustments for ownership changes, renovations, or damage. The amendment would affect all real property owners in South Dakota by restricting how local governments can levy taxes on their land and buildings. Voters would need to approve this change at the next general election for it to take effect.
This bill increases the property tax exemption amount for disabled veterans and surviving spouses in South Dakota. Currently, $350,000 of a home's value is exempt from property taxes under the program; the bill raises this amount but does not specify the new figure in the provided text. It directly affects veterans rated permanently and totally disabled from service-connected disabilities, as well as surviving spouses of such veterans. The change would lower property tax bills for eligible homeowners without altering application requirements or eligibility criteria.
SB 235 prevents utilities from raising residential electricity rates to cover data center costs, requiring data centers to pay all associated infrastructure expenses directly. It mandates data center operators to report water usage to local providers and the state board, with public disclosure of semi-annual water consumption data. The bill preserves local government authority to regulate data center construction and operations, and exempts data center purchasing from certain taxes. These provisions directly affect residents (by shielding them from cost shifts), data center operators (requiring direct payment and reporting), and local governments (retaining regulatory power).
This bill exempts sales tax on enterprise information technology equipment and computer software purchased for use in South Dakota's qualified data centers. It directly affects data center owners, operators, or tenants (referred to as "qualified businesses") who meet specific criteria, such as having facilities classified as real property subject to taxation and equipped with fire suppression systems. The key mechanism requires businesses to submit documentation to the Department of Revenue to verify eligibility and maintain annual certification. To retain the exemption, businesses must also ensure electric service agreements avoid shifting costs to other customers and confirm water usage compatibility with local providers. The tax exemption applies to equipment like servers, cooling systems, power infrastructure, and security systems used exclusively in these facilities.
