HB 1238 South Dakota House · 2025 Regular Session

establish protections for a veteran seeking assistance in a veterans' benefit matter.

HB 1238 establishes protections for veterans who are seeking assistance with veterans' benefit matters in South Dakota. The bill requires state agencies to provide specific safeguards when veterans request help with their benefits, ensuring they receive appropriate support without unnecessary barriers. Key provisions likely include guidelines for how agencies must respond to veteran inquiries and protections against delays or denials during the assistance process. This legislation directly affects veterans navigating the benefits system and the state agencies responsible for handling their requests.

Issues: ✓ Veterans

Bill status signed all 5 stages cleared

Introduction

Feb 2025

Committee Review

Mar 2025

House Passage

Feb 2025

Senate Passage

Mar 2025

Signed into Law

Mar 2025

Introduced Feb 18, 2025 Signed Mar 31, 2025

Maddy AI version diff · 2 comparisons

What changed between versions

House Military and Veterans Affairs Engrossed → Enrolled · 10 edits · Mar 6, 2025

MAJOR

This bill establishes new protections for veterans seeking assistance with veterans' benefits by requiring service providers to disclose their terms, prohibiting upfront or nonrefundable fees, banning guarantees of specific outcomes, and restricting how veterans' personal information can be handled. The legislation also mandates background checks for those accessing veterans' medical or financial data and sets civil penalties for violations.

Scope change

The bill applies to any person providing services to advise, assist, or consult veterans on benefits matters, with specific exemptions for agents, attorneys, or representatives already accredited or regulated by the U.S. Department of Veterans Affairs.

DEFINITION

Added definitions for 'Compensation' and 'Veterans' benefits matter' to clarify what the law covers.

REQUIREMENT

Requires service providers to sign written agreements disclosing terms, compensation, and that they are not affiliated with government veterans agencies.

Prohibits charging initial or nonrefundable fees for veterans' benefits assistance.

Bans guarantees of successful outcomes or specific benefit amounts.

Restricts use of international call centers or data centers for processing veterans' personal information.

Prohibits using veterans' login credentials to access their medical, financial, or government benefits information.

Requires compensation to be contingent on benefit increases and capped at five times the monthly benefit increase.

Mandates background checks including identity verification and criminal records for those accessing veterans' medical or financial information.

ENFORCEMENT

Authorizes the attorney general to impose civil penalties up to $5,000 for violations, with funds deposited in the veterans affairs department special revenue fund.

EXEMPTIONS

Exempts agents, attorneys, or other representatives accredited or regulated by the U.S. Department of Veterans Affairs from the bill's requirements.

Introduced → House Military and Veterans Affairs Engrossed · 9 edits · Feb 11, 2025

MAJOR

This bill establishes new protections for veterans seeking assistance with veterans' benefits by requiring written agreements, prohibiting upfront fees, banning guarantees of outcomes, restricting compensation to a percentage of benefit increases, and mandating background checks for those accessing sensitive information. The legislation aims to prevent predatory practices by unauthorized service providers while preserving access to legitimate free assistance.

Scope change

The bill applies to anyone providing advice or assistance related to veterans' benefits matters, with an exemption for agents, attorneys, or representatives accredited or regulated by the US Department of Veterans Affairs.

REQUIREMENT

Requires written agreements signed by both parties before providing veterans' benefits assistance, with the service provider retaining a copy for one year after service ends.

Mandates disclosure in written agreements that the provider is not affiliated with government agencies or federally chartered veterans' service organizations.

Prohibits charging initial or nonrefundable fees for veterans' benefits assistance.

Bans guarantees of successful outcomes, specific benefits, or benefit amounts when providing veterans' benefits assistance.

Restricts compensation to services contingent on benefit increases, capped at five times the monthly increase in benefits awarded.

Prohibits use of international call centers or data centers for processing veterans' personal information.

Requires background checks including identity verification and criminal records checks before accessing veterans' medical or financial information.

ENFORCEMENT

Authorizes the attorney general to impose civil penalties up to $5,000 for violations, with funds deposited in the veterans affairs department special revenue fund.

DEFINITION

Defines key terms including 'Compensation' and 'Veterans' benefits matter' to clarify the scope of the new protections.

Floor votes · Senate Mar 5, 2025 · House Feb 13, 2025

How they voted

25–8

Passed · 2 other

Total votes 35

Mar 5, 2025

D Democratic3

1 Yea 2 Nay

66% Nay

R Republican32

24 Yea 6 Nay 2

75% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Mar 31, 2025

Signed into law

Signed by the Governor on 2025-03-31 H.J. 554

executive

Mar 10, 2025

Upper · Passed

Signed by the President S.J. 503

upper

Mar 6, 2025

Upper · Passed

Signed by the Speaker H.J. 488

upper

Mar 5, 2025

Upper · Passed

Senate Do Pass Amended , Passed, YEAS 25, NAYS 8 S.J. 454

upper

Mar 5, 2025

Senate · Passed

Senate Vote: pass (25-8-2)

senate

Mar 3, 2025

Upper · Passed

Military and Veterans Affairs Do Pass , Passed, YEAS 4, NAYS 1

upper

Feb 18, 2025

Introduced

First read in Senate and referred to S.J. 279

upper

Feb 13, 2025

Lower · Passed

House of Representatives Do Pass Amended , Passed, YEAS 44, NAYS 24 H.J. 292

lower

Feb 13, 2025

House · Passed

House Vote: pass (44-23-1)

house

Feb 10, 2025

Lower · Passed

Military and Veterans Affairs Do Pass Amended , Passed, YEAS 9, NAYS 2 H.J. 2

lower

Feb 10, 2025

Introduced

Military and Veterans Affairs Motion to amend , Passed, H.J. 1 Amendment 1238B

lower

Feb 6, 2025

Committee

Referred to H.J. 213

lower

5 primary · 0 co-sponsors