South Dakota voters would be asked to approve a constitutional amendment that requires the government to publicly declare why it needs to take or damage private property before using eminent domain, and clarifies that "public use" cannot simply mean increasing tax revenue, jobs, or economic growth. The amendment also specifies that property owners keep the underlying land rights when property is taken for railroads or highways, and prevents the government from reducing compensation payments based on any benefits the owner might gain from the taking.
This bill does not directly amend codified state law.
The amendment STRENGTHENS the eminent domain restrictions by replacing a prohibition on transfers "solely" for economic development with a broader ban on such transfers "without the provision of a public use," and by adding a new requirement that the government must make a "public declaration" establishing the necessity for taking or damaging property before doing so.
The amendment fundamentally REDIRECTS the bill from broadly prohibiting eminent domain transfers to non-governmental entities for economic development, to instead allowing such transfers when they serve a "public use" purpose—by inserting the word "solely" to permit transfers that have mixed purposes beyond just economic benefit. This substantially weakens the restriction on using eminent domain for economic development by creating a loophole for projects that combine economic benefits with claimed public uses.
The amendment substantially narrowed the resolution by removing the blanket prohibition on transferring private property to non-governmental entities for economic development, and instead replaced it with a more limited clarification that "public use" under eminent domain does not include increases in tax base, revenues, employment, or general economic health. This shifts the bill from a broad ban on economically-motivated takings to a narrower definitional statement about what "public use" means.
Senate Do Pass Amended Failed, YEAS 14, NAYS 19. S.J. 433
State Affairs Do Pass Amended Passed, YEAS 5, NAYS 3. S.J. 34
State Affairs Motion to amend S.J. 33
State Affairs Scheduled for hearing
First read in Senate and referred to Senate State Affairs S.J. 131
House of Representatives Do Pass Amended Passed, YEAS 62, NAYS 5. H.J. 154
House of Representatives Motion to amend Passed, YEAS 35, NAYS 32. H.J. 153
State Affairs Do Pass Amended Passed, YEAS 10, NAYS 3. H.J. 1
State Affairs Motion to amend H.J. 1
State Affairs Motion to amend H.J. 1
State Affairs Scheduled for hearing
First read in House and referred to House State Affairs H.J. 24
Prime sponsor · Sen.
R
Prime sponsor · Rep.
R
Cosponsors
Do Pass Amended
State Affairs — Do Pass Amended
Motion to amend
Do Pass Amended
State Affairs — Do Pass Amended