Changes to Existing Law

26.117.9 26.117.10 101st Legislative Session 57 2026 South Dakota Legislature Senate Bill 57 SENATE STATE AFFAIRS ENGROSSED Introduced by: Senators Howard and Larson and Representatives Hansen, DeGroot, and Muckey at the request of the Interim Rules Review Committee Underscores indicate new language. Overstrikes indicate deleted language. An Act to clarify when agency financial resource information must be filed in the 1 permanent administrative rulemaking process. 2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA: 3 Section 1. That § 1-26-4 be AMENDED: 4 1-26-4. The following notice, service, and public hearing procedure must be used 5 to adopt, amend, or repeal a permanent rule: 6 (1) An agency shall serve a copy of a proposed rule and any publication described in 7 § 1-26-6.6 upon the departmental secretary, bureau commissioner, public utilities 8 commissioner, or constitutional officer to which it is attached for the secretary's, 9 commissioner's, or officer's written approval to proceed; 10 (2) After receiving the written approval of the secretary, commissioner, or officer to 11 proceed, the agency shall serve code counsel with a copy of: the proposed rule; 12 any publication described in § 1-26-6.6; the fiscal note required by § 1-26-4.2; the 13 impact statement on small business required by § 1-26-2.1; any housing cost 14 impact statement required by § 1-26-2.3; the agency financial resource 15 information required by § 1-26-4.8; and the notice of hearing required by § 1-26-16 4.1. The copy of these documents must be served at least twenty days before the 17 public hearing to adopt the proposed rule. Any publication described in § 1-26-6.6 18 must be returned to the agency upon completion of the code counsel's review and 19 retained by the agency. Twenty days before the public hearing, the agency shall 20 serve the commissioner of the Bureau of Finance and Management with a copy of: 21 the proposed rule; the fiscal note required by § 1-26-4.2; the impact statement on 22 small business required by § 1-26-2.1; any housing cost impact statement required 23 by § 1-26-2.3; the agency financial resource information required by § 1-26-4.8; 24 and the notice of hearing required by § 1-26-4.1; 24 25 (3) At least twenty days before the public hearing, the agency shall: 25 26 26.117.10 2 57 Underscores indicate new language. Overstrikes indicate deleted language. (a) Publish the notice of hearing in the manner prescribed by § 1-26-4.1; and 26 26.117.9 2 Underscores indicate new language. Overstrikes indicate deleted language. 1 (b) Publish, on the agency's website, any housing cost impact statement 1 2 required by § 1-26-2.3; 2 3 (4) After reviewing the proposed rule pursuant to § 1-26-6.5, code counsel shall advise 3 4 the agency of any recommended corrections to the proposed rule. If the agency 4 5 does not concur with any recommendation of code counsel, the agency may appeal 5 6 the recommended correction to the Interim Rules Review Committee for 6 7 appropriate action; 7 8 (5) The agency shall afford all interested persons reasonable opportunity to submit 8 9 amendments, data, opinions, or arguments at a public hearing held to adopt the 9 10 rule. The hearing may be continued from time to time. The agency shall keep 10 11 minutes of the hearing. A majority of the members of any board or commission 11 12 authorized to pass rules must be present during the course of the public hearing; 12 13 (6) If the authority promulgating the rule is a secretary, commissioner, or officer, the 13 14 agency shall accept written comments regarding the proposed rule for a period of 14 15 ten days after the public hearing. If the authority promulgating the rule is a board, 15 16 commission, committee, or task force, each interested person shall must submit 16 17 written comments at least seventy-two hours before the public hearing. The 17 18 seventy-two hours does not include the day of the public hearing. The written 18 19 comments may be submitted by mail or email. The record of written comments 19 20 may be closed at the conclusion of the public hearing. The hearing may be 20 21 continued for the purpose of taking additional comments; 21 22 (7) After the written comment period, the agency shall consider all amendments, data, 22 23 opinions, or arguments regarding the proposed rule. A proposed rule may be 23 24 modified or amended at this time to include or exclude matters that were described 24 25 in the notice of hearing; and 25 26 (8) The agency shall serve the minutes of the hearing, a complete record of written 26 27 comments, the impact statement on small business, any housing cost impact 27 28 statement, the fiscal note, the agency financial resource information required by 28 29 § 1-26-4.8, and a corrected copy of the rule on the members of the Interim Rules 29 30 Review Committee and on code counsel at least seven days before the agency 30 31 appears before the committee to present the rules. 31 32 The time periods specified in this section may be extended by the agency. The 32 33 requirement to serve the committee and code counsel within the time limit specified in 33 34 subdivision (8) may be waived by the committee chair, if the agency presents sufficient 34 26.117.9 35 26.117.10 3 57 Underscores indicate new language. Overstrikes indicate deleted language. reasons to the committee chair that the agency is unable to comply with the time limit. 1 The waiver may not be granted solely for the convenience of the agency. 2 Section 2. That § 1-26-4.8 be AMENDED: 3 1-26-4.8. If an agency proposes a rule to increase a fee, the agency shall provide 4 information to the Interim Rules Review Committee and code counsel, pursuant to § 1-5 26-4, about the financial resources available to the agency. This information consists of 6 the agency's beginning fund balance, receipts, disbursements, and ending fund balance 7 for each of the last two fiscal years and consists of, as well as the agency's beginning fund 8 balance, projected receipts, projected disbursements, and ending balance for the current 9 fiscal year and the next fiscal year. 10

26.117.10 26.117.11 101st Legislative Session 57 2026 South Dakota Legislature Senate Bill 57 SENATE STATE AFFAIRS ENGROSSED Introduced by: Senators Howard and Larson and Representatives Hansen, DeGroot, and Muckey at the request of the Interim Rules Review Committee Underscores indicate new language. Overstrikes indicate deleted language. ENROLLED AN ACT ENTITLED An Act to clarify when agency financial resource information must be filed in the 1 permanent administrative rulemaking process. 2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA: 3 Section 1. That § 1-26-4 be AMENDED: 4 1-26-4. The following notice, service, and public hearing procedure must be used 5 to adopt, amend, or repeal a permanent rule: 6 (1) An agency shall serve a copy of a proposed rule and any publication described in 7 § 1-26-6.6 upon the departmental secretary, bureau commissioner, public utilities 8 commissioner, or constitutional officer to which it is attached for the secretary's, 9 commissioner's, or officer's written approval to proceed; 10 (2) After receiving the written approval of the secretary, commissioner, or officer to 11 proceed, the agency shall serve code counsel with a copy of: the proposed rule; 12 any publication described in § 1-26-6.6; the fiscal note required by § 1-26-4.2; the 13 impact statement on small business required by § 1-26-2.1; any housing cost 14 impact statement required by § 1-26-2.3; the agency financial resource 15 information required by § 1-26-4.8; and the notice of hearing required by § 1-26-16 4.1. 1-26-4.1. The copy of these documents must be served at least twenty days before the 17 public hearing to adopt the proposed rule. Any publication described in § 1-26-6.6 18 must be returned to the agency upon completion of the code counsel's review and 19 retained by the agency. Twenty days before the public hearing, the agency shall 20 serve the commissioner of the Bureau of Finance and Management with a copy of: 21 the proposed rule; the fiscal note required by § 1-26-4.2; the impact statement on 22 small business required by § 1-26-2.1; any housing cost impact statement required 23 by § 1-26-2.3; the agency financial resource information required by § 1-26-4.8; 24 and the notice of hearing required by § 1-26-4.1; 25 (3) At least twenty days before the public hearing, the agency shall: 26 26.117.10 26.117.11 2 57 Underscores indicate new language. Overstrikes indicate deleted language. SB57 ENROLLED (a) Publish the notice of hearing in the manner prescribed by § 1-26-4.1; and 1 (b) Publish, on the agency's website, any housing cost impact statement 2 required by § 1-26-2.3; 3 (4) After reviewing the proposed rule pursuant to § 1-26-6.5, code counsel shall advise 4 the agency of any recommended corrections to the proposed rule. If the agency 5 does not concur with any recommendation of code counsel, the agency may appeal 6 the recommended correction to the Interim Rules Review Committee for 7 appropriate action; 8 (5) The agency shall afford all interested persons reasonable opportunity to submit 9 amendments, data, opinions, or arguments at a public hearing held to adopt the 10 rule. The hearing may be continued from time to time. The agency shall keep 11 minutes of the hearing. A majority of the members of any board or commission 12 authorized to pass rules must be present during the course of the public hearing; 13 (6) If the authority promulgating the rule is a secretary, commissioner, or officer, the 14 agency shall accept written comments regarding the proposed rule for a period of 15 ten days after the public hearing. If the authority promulgating the rule is a board, 16 commission, committee, or task force, each interested person shall must submit 17 written comments at least seventy-two hours before the public hearing. The 18 seventy-two hours does not include the day of the public hearing. The written 19 comments may be submitted by mail or email. The record of written comments 20 may be closed at the conclusion of the public hearing. The hearing may be 21 continued for the purpose of taking additional comments; 22 (7) After the written comment period, the agency shall consider all amendments, data, 23 opinions, or arguments regarding the proposed rule. A proposed rule may be 24 modified or amended at this time to include or exclude matters that were described 25 in the notice of hearing; and 26 (8) The agency shall serve the minutes of the hearing, a complete record of written 27 comments, the impact statement on small business, any housing cost impact 28 statement, the fiscal note, the agency financial resource information required by 29 § 1-26-4.8, and a corrected copy of the rule on the members of the Interim Rules 30 Review Committee and on code counsel at least seven days before the agency 31 appears before the committee to present the rules. 32 The time periods specified in this section may be extended by the agency. The 33 requirement to serve the committee and code counsel within the time limit specified in 34 subdivision (8) may be waived by the committee chair, if the agency presents sufficient 35 26.117.10 26.117.11 3 57 Underscores indicate new language. Overstrikes indicate deleted language. SB57 ENROLLED reasons to the committee chair that the agency is unable to comply with the time limit. 1 The waiver may not be granted solely for the convenience of the agency. 2 Section 2. That § 1-26-4.8 be AMENDED: 3 1-26-4.8. If an agency proposes a rule to increase a fee, the agency shall provide 4 information to the Interim Rules Review Committee and code counsel, pursuant to § 1-5 26-4, 1-26-4, about the financial resources available to the agency. This information consists of 6 the agency's beginning fund balance, receipts, disbursements, and ending fund balance 7 for each of the last two fiscal years and consists of, years, as well as the agency's beginning fund 8 balance, projected receipts, projected disbursements, and ending balance for the current 9 fiscal year and the next fiscal year. 10 26.117.11 4 57 SB57 ENROLLED An Act to clarify when agency financial resource information must be filed in the permanent administrative rulemaking process. I certify that the attached Act originated in the: Senate as Bill No. 57 Secretary of the Senate President of the Senate Attest: Secretary of the Senate Speaker of the House Attest: Chief Clerk of the House Senate Bill No. 57 File No. ____ Chapter No. ______ Received at this Executive Office this _____ day of _____________, 2026 at ____________M. By for the Governor The attached Act is hereby approved this ________ day of ______________, A.D., 2026 Governor STATE OF SOUTH DAKOTA, ss. Office of the Secretary of State Filed ____________, 2026 at _________ o'clock __M. Secretary of State By Asst. Secretary of State