Transportation

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.

HB 1245 allows South Dakota municipalities to create a local tax (up to 1% on taxable sales) to fund capital projects like infrastructure repairs, equipment purchases, or building renovations. To implement this, a municipality must form a Capital Improvement Board (with 1 elected official and 4 residents) to review proposals, secure board approval, and then hold a voter referendum requiring 60% support. All tax revenue must be placed in a special fund dedicated exclusively to approved capital projects, with the tax expiring after 60 months or once the targeted revenue amount is met. Municipalities cannot use this tax if they’ve imposed it within the previous 24 months.

HB 1227 increases the annual registration fee for owners of electric motor vehicles in South Dakota from $50 to $51 (likely a typo for $50, as "fifty one hundred" is inconsistent with standard fee amounts). The fee applies when renewing vehicle registration and must be paid alongside standard license fees, excluding electric motorcycles covered under separate law. All collected fees are deposited into the state highway fund. The bill specifically defines "electric motor vehicle" as noncommercial, battery-rechargeable vehicles meeting federal safety standards.

This bill adopts specific federal motor carrier regulations from Title 49 of the Code of Federal Regulations for South Dakota operations, with key modifications. It expands the application of federal rules to most intrastate operations (excluding small vehicles under 26,000 lbs not carrying hazardous materials or over 15 passengers), sets a minimum age of 21 for drivers in interstate commerce or handling hazardous materials, and exempts intrastate drivers from federal medical certification requirements unless required by employers. These changes directly affect commercial motor vehicle operators, drivers, and safety enforcement within South Dakota. The bill updates state law to align with federal standards while clarifying exemptions for smaller, non-hazardous intrastate operations.