Housing

in committee · South Dakota · House Mar 2, 2026

HJR 5001: proposing and submitting to the voters at the next general election an amendment to the Constitution of the State of South Dakota, requiring a declaration of necessity and clarifying public use of private property taken or damaged by eminent domain.

This bill proposes a constitutional amendment that would prohibit South Dakota governments from using eminent domain to transfer private property to private companies or non-governmental entities solely for economic development or increased tax revenue. It would require any property transfer to serve a clear public purpose, such as infrastructure or public services, rather than benefiting private interests. The amendment would apply to all state and local government actions involving property takings and must be approved by voters at the next general election. If adopted, it would change how governments can acquire property for development projects.

Topics ✗ HousingOpposes HousingRestricts government use of eminent domain for property transfers to private entities for economic development, limiting housing development projects reliant on such transfers.85% confidence

Sub-Topics Property Development

Track

passed · South Dakota · House Jan 22, 2026

HB 1036: limit annual valuation increases on owner-occupied single-family dwellings and nonagricultural property.

HB 1036 would limit annual property tax increases for South Dakota homeowners of single-family residences and nonagricultural property to a maximum of 3% per year. This affects most residential homeowners and nonfarm property owners by capping how much their assessed tax value can rise annually, unless specific exceptions apply. The cap does not apply if ownership changes, the property's use changes, or major additions (increasing value over 40%) are made, but minor renovations or expansions under 40% value increase are excluded. This policy aims to provide stability in property tax assessments for qualifying properties.

Topics ✓ Budget & TaxesSupports Budget & TaxesCaps annual property tax increases at 3% for homeowners, providing direct tax relief and aligning with support indicators for middle-income tax relief.95% confidence ✓ HousingSupports HousingCapping property tax increases at 3% reduces costs for homeowners, directly supporting housing affordability for owner-occupied properties.85% confidence

Sub-Topics Property Tax Homeownership Property Taxes

Track

died · South Dakota · Senate Feb 12, 2026

SB 178: lower a maximum limit on the tax increment base value.

SB 178 would lower the maximum percentage of a political subdivision's total assessed property value that can be allocated to tax increment financing (TIF) districts. Currently, South Dakota law limits this to 12.5%, but the bill would reduce that cap to a lower percentage. This change directly affects cities, towns, and counties that create TIF districts to fund economic development projects. The bill does not specify the new percentage but would restrict how much property value can be used for TIF initiatives within any given area.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill reduces TIF district tax increment cap from 12.5% to lower percentage, restricting property value allocation for economic development funding.90% confidence ✗ HousingOpposes HousingLowers TIF funding cap, restricting municipal resources for housing development projects and limiting housing investment opportunities.85% confidence

Sub-Topics Tax Incentives Property Development Property Taxes

Track

signed · South Dakota · Senate Mar 30, 2026

SB 76: authorize loans from the South Dakota housing infrastructure fund for airport infrastructure.

SB 76 transfers unobligated funds from South Dakota's housing infrastructure fund to the revolving economic development fund. It authorizes the Board of Economic Development to provide up to $15 million in 0% interest loans to airports with scheduled air service located in metro areas with 125,000-275,000 residents (or over 275,000) as of the 2024 Census. Loans must be repaid over 20 years with the first payment due one year after funding, and must be fully funded by June 2030. The bill directly affects airports in designated metro areas seeking infrastructure improvements.

Topics ✗ HousingOpposes HousingTransfers housing infrastructure funds to economic development fund, diverting resources from housing programs per bill's fund reallocation.90% confidence ✓ TransportationSupports TransportationAuthorizes $15M in 0% interest loans for airport infrastructure, directly funding transportation projects per bill's focus on airport development.95% confidence

Sub-Topics Property Development Airports

passed · South Dakota · Senate Feb 20, 2026

SB 191: remove the authorization to issue grants as part of a tax increment financing district.

SB 191 removes the ability for local governments (counties or municipalities) to issue grants as part of a tax increment financing district. The bill amends South Dakota law by deleting the provision that allowed "payments and grants" to be included in "project costs" for these districts. This change specifically eliminates the authorization for governing bodies to use district funds for grants, restricting allowable uses to direct project costs like construction, bonds, or professional services. The bill affects how local governments can fund redevelopment projects within designated tax increment districts.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRemoves authorization for local governments to issue grants within tax increment districts, restricting allowable spending uses under fiscal management.85% confidence ✗ HousingOpposes HousingRemoves TIF grant authorization, restricting a funding mechanism for housing projects under South Dakota law.90% confidence

Sub-Topics Tax Incentives Community Development

Track

signed · South Dakota · Senate Feb 12, 2026

SB 4: revise procedures for returning and withholding security deposits for residential premises.

SB 4 revises South Dakota's rules for security deposits in rental housing, directly affecting landlords and tenants. It requires landlords to return full deposits within 21 days of lease end or provide a written explanation for withholding, limited to unpaid rent, damages beyond normal wear and tear, or costs to restore the property. Landlords must also give tenants an itemized accounting of withheld amounts within 45 days of request. Failure to comply results in forfeiting all rights to withhold the deposit and potential $200 punitive damages for bad-faith retention.

Topics ✓ HousingSupports HousingBill strengthens tenant protections by mandating timely deposit refunds, prohibiting arbitrary withholding, and requiring itemized accounting for withheld funds.95% confidence

Sub-Topics Landlords Renters Tenant Rights