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establish provisions for the regulation of certain products derived from industrial hemp.
This bill requires the Department of Health to create safety testing and labeling rules for hemp products made through chemical processing (isomerization or acetylation) that are meant to be eaten or consumed. The new rules will mandate that these products be tested for cannabinoid potency, harmful substances like pesticides and metals, and microbial contamination, and that labels must display test results, health warnings, ingredients, and allergen information.
establish provisions concerning the sale of adult-use retail marijuana.
HB1178 establishes rules for selling marijuana to adults in South Dakota, creating a legal framework for retail marijuana sales where they were previously prohibited or unregulated. The bill sets criteria that marijuana retailers must follow to operate legally in the state. This represents a significant change from South Dakota's prior law, which banned marijuana sales entirely.
revise rulemaking authority related to medical cannabis.
This bill removes an outdated October 29, 2021 deadline that required the state Department of Health to create medical cannabis rules by that date, allowing the department to continue developing and updating those rules going forward. The department must still create rules covering how the public can petition to add medical conditions, application requirements for cannabis businesses, and a scoring system to evaluate competing applicants when there are more applications than allowed.
require financial security for the decommissioning of solar facilities.
This bill extends existing financial security requirements to solar facilities, bringing them under the same decommissioning rules that already applied to wind turbines. Companies operating solar facilities must now post financial security (like bonds or escrow accounts) controlled by the Public Utilities Commission to ensure they can afford to remove and decommission their installations when they're no longer in use.
allow a local government to prevent a medical cannabis establishment from operating in its jurisdiction.
This bill allows cities and counties to ban medical cannabis businesses entirely from operating within their borders, reversing a previous state law that prohibited local governments from blocking dispensaries. Existing medical cannabis establishments operating before a local ban takes effect can continue operating until their registration certificates expire. The bill also clarifies that local governments can set rules about where, when, and how many cannabis businesses can operate in their area.
revise annuity sales standards.
South Dakota is strengthening its rules for selling annuities by expanding the definition of what counts as an annuity product and clarifying what compensation insurance agents can receive. The law now requires agents to gather detailed information about customers' finances, income, debts, investment experience, and risk tolerance before recommending an annuity to ensure the sale is appropriate for that person.
revise provisions regarding municipal zoning of medical cannabis establishments.
South Dakota municipalities can now create new zoning rules for where medical cannabis businesses can operate, including the ability to keep them away from sensitive locations like schools, churches, daycare centers, and parks. Cities can also set minimum distances between cannabis establishments and establish reasonable setbacks from these protected areas. This gives local governments more control over medical cannabis operations within their jurisdictions.
Honoring Prairie Paradise Farms as the 2021 Leopold Conservation Award recipient.
This bill honors Prairie Paradise Farms by recognizing it as the recipient of South Dakota's 2021 Leopold Conservation Award. The bill does not change any state law; it is a ceremonial resolution that celebrates the farm's conservation achievements.
provide for the use and regulated sale of marijuana, and to impose a tax on the sale of marijuana, and to distribute that revenue to counties.
South Dakota would impose a 15% tax on all marijuana and marijuana product sales, replacing the existing marijuana tax rate. After the state deducts its administrative costs, any revenue exceeding $10 million annually would be split between counties (based on where sales occurred) and the state general fund, with counties required to use their share for courthouse, jail, and road projects or to reduce property taxes. Revenue under $10 million would go entirely to the state general fund.
establish gestational surrogacy arrangements and agreements.
South Dakota establishes a new legal framework allowing gestational surrogacy arrangements, where a woman (called a "gestational carrier") carries and delivers a baby created through in-vitro fertilization for intended parents who are not genetically related to the child. The bill defines key terms like "gestational carrier," "intended parent," "embryo," and "gestational carrier agreement" to create rules governing these surrogacy contracts. This creates a formal process for surrogacy in South Dakota where previously no specific state law addressed these arrangements.
revise provisions providing that certain professions are not subject to discipline for certain conduct relating to medical cannabis.
This bill expands protections for licensed professionals in South Dakota so that not just attorneys, but doctors, nurses, pharmacists, and other state-licensed professionals cannot be disciplined by their professional licensing boards for providing services related to medical cannabis businesses or patients. The change allows these professionals to work with medical cannabis activities authorized under state law without fear of losing their license, even though cannabis remains illegal under federal law.
provide for the taxation of marijuana.
This bill creates a new 15% excise tax on marijuana that manufacturers must pay when they sell marijuana to dispensaries, with the tax calculated based on the average market rate for the product. The bill defines key terms like "dispensary," "manufacturer," and "marijuana products" to establish the framework for taxing marijuana sales in South Dakota. This appears to be enabling legislation for taxing marijuana in the state, though the excerpt does not show the complete tax structure or rates that may apply to other stages of the marijuana supply chain.
address surrogacy.
include intentionally manipulated images or recordings in the crime of invasion of privacy by recording.
SB 120 expands South Dakota's invasion of privacy law to make it illegal to create and share fake but realistic nude images or sexual images of someone without their consent, if done to harass, embarrass, or gratify yourself. The bill adds this new offense to the existing law that already prohibited secretly recording intimate images of real people, bringing deepfakes and manipulated sexual images under the same criminal protections.
Urging support for the people of Ukraine.
SR 702 is a resolution expressing South Dakota's support for the people of Ukraine in response to events occurring in early 2022. This is not a law that changes state regulations or procedures—it is a symbolic statement of the Senate's position on an international matter.
provide for ticket-in, ticket-out video lottery.
This bill allows South Dakota video lottery machines to use a "ticket-in, ticket-out" system, where players insert tickets or cards instead of coins to play and receive printed tickets as winnings rather than coins dropping into a tray. The change modernizes video lottery operations by replacing the older coin-based system with a more convenient electronic ticketing method for players at licensed bars and lounges.
establish safety standards regarding biogas gathering lines.
South Dakota is expanding its pipeline safety rules to include biogas gathering lines—the pipelines that carry gas produced from biomethane sources to larger gas pipelines. The bill adds a new definition of "biogas gathering line" to the state's existing gas pipeline safety law so these facilities are now subject to the same safety standards and Public Utilities Commission oversight as traditional gas pipelines.
specify taxation, authorization, and standards of practice for the sale of travel insurance.
This bill creates new rules for selling travel insurance in South Dakota, including defining key terms like "travel insurance," "blanket travel insurance," and "cancellation fee waivers" to establish clear standards for the industry. The law sets up authorization requirements and taxation rules for travel insurance sellers, while also allowing group policies to be sold to eligible groups like travel agencies, tour operators, and hotels without charging individual members separately.
make an appropriation for the precision agriculture cybersecurity CyberAg partnership initiative and to declare an emergency.
The state will provide $1.25 million from its general fund to the Board of Regents to create a cybersecurity partnership between South Dakota State University and Dakota State University focused on protecting agricultural systems. The money will support developing college courses, conducting research, and providing educational programs to help farmers and agricultural businesses defend against cyber threats. The bill declares this an emergency so the funding takes effect immediately upon approval.