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place certain substances on the controlled substances schedule and to declare an emergency.

South Dakota adds specific opium-derived drugs and fentanyl analogs to its Schedule I controlled substances list, making them illegal to possess without a prescription. The bill targets dangerous synthetic opioids like desomorphine and various fentanyl derivatives while excluding FDA-approved pharmaceutical products, helping law enforcement crack down on illicit drugs beyond just heroin.

restrict certain vapor products.

South Dakota HB 1064 restricts the sale and use of flavored vapor products by banning electronic smoking devices that have characterizing flavors (any taste or aroma other than tobacco, mint, or menthol). The bill updates state law to define what counts as a flavored vapor product and establishes where vaping is prohibited, including workplaces and public places. This effectively prevents manufacturers and retailers from selling most flavored e-cigarettes and vaping liquids to consumers in South Dakota.

place certain substances on the controlled substances schedule.

This bill adds 43 synthetic opioid and other dangerous drugs to South Dakota's Schedule I controlled substances list, making possession or distribution of these substances a serious felony crime. The new substances include various synthetic painkillers and narcotics that are chemically similar to heroin and other illegal drugs. This expands the state's drug enforcement authority to target emerging synthetic drugs that weren't previously regulated under South Dakota law.

establish certain requirements to maintain state compliance with the Master Settlement Agreement.

South Dakota is strengthening enforcement of the Master Settlement Agreement (a national tobacco lawsuit agreement) by making cigarette importers legally responsible alongside tobacco manufacturers for depositing money into escrow accounts. The bill also requires tobacco manufacturers to post surety bonds (financial guarantees) with the state attorney general before their products can be sold in South Dakota, with bond amounts based on their previous deposit obligations or a minimum of $25,000.

revise the penalty for the ingestion of certain controlled substances.

This bill reduces penalties for possessing certain controlled substances in your body without a prescription. First-time offenses for Schedule III or IV drugs (like some prescription painkillers) now result in a Class 1 misdemeanor instead of a felony, while Schedule I or II drugs remain Class 5 felonies; repeat offenses still carry harsher penalties including jail time and potential felony charges.

prohibit the denial of benefits based solely on a controlled substance felony.

SB 96 prohibits South Dakota from denying public benefits to people solely because they have a felony conviction for a drug offense. The bill amends the state's temporary assistance rules to ensure that a controlled substance felony conviction alone cannot be used as the reason to reject someone's application for benefits or remove them from the program.

revise the rule-making authority of the Human Resources Commissioner regarding the drug screening program for certain state employees.

HB 1039 clarifies the Human Resources Commissioner's power to create rules for drug screening programs that apply to certain state employees in patient care, safety-sensitive, and firefighting positions. The bill specifies seven areas where the commissioner can make rules, including which positions require testing, what substances to screen for, testing procedures, sample handling, confidentiality protections, treatment referrals, and consequences for positive results or refusal to test.

authorize special event alcohol licenses for full-service restaurant licensees.

This bill allows full-service restaurants to obtain special event alcohol licenses for temporary events, expanding who can apply for these licenses beyond the civic, charitable, and veterans organizations currently permitted. The change adds full-service restaurant licensees to the list of applicants eligible for special malt beverage, wine, and on-sale licenses when hosting special events in their municipality or county.

exempt from alcoholic beverage regulations certain uses of alcohol by postsecondary institutions.

Postsecondary institutions in South Dakota can now produce and store up to 200 gallons per year of distilled spirits, wine, or beer for educational courses and research without needing an alcoholic beverage license or paying related taxes. The alcohol produced must only be used for classroom instruction or research and cannot be sold, donated, or given away, and only students age 21 and older may participate in these courses or consume the alcohol.

authorize the consumption of alcohol in certain common areas.

HB 1176 allows bars and restaurants with liquor licenses to sell beer and wine for customers to drink in shared indoor spaces (like common hallways or areaways in multi-tenant buildings), as long as the business owner and building owner both sign an affidavit and get approval from local authorities. The bill carves out an exception to existing alcohol laws by designating these common areas as non-public places where alcohol consumption is permitted.

require an incentive program to provide diversion opportunities for certain substance abuse offenses.

South Dakota will create a new financial incentive program that pays counties $250 for each person who successfully completes a court-approved diversion program for substance abuse offenses. Counties must apply annually by September 1st and provide data on how many people they referred to and completed diversion programs, with payments distributed in November. This encourages counties to use existing diversion options instead of the criminal justice system for certain substance abuse cases.

revise certain conditions under which presumptive probation may be applied.

This bill expands the list of crimes that are excluded from South Dakota's presumptive probation rules, meaning judges must now give probation to fewer offenders convicted of Class 5 and 6 felonies. It adds several new felony categories—including certain drug, theft, and sexual abuse offenses—to the exceptions where judges can skip probation and impose prison time instead.