Through last Friday, February 6, a total of 570 bills have been introduced, including 325 House bills and 245 Senate bills. By comparison, in 2025 through week 4, 269 House bills and 220 Senate bills had been introduced, for a total of 489 bills. This represents an increase of 81 bills introduced through this point in the year.
Among the notable legislation considered was House Bill 1005, which proposed a sales and use tax exemption for goods and services related to data center operations. The bill would have exempted data centers from sales tax for 50 years. Given South Dakota’s already highly competitive corporate tax environment and the constraints of a tight budget year due to low sales tax revenue, I will not support this current legislation. Furthermore, there should be no special treatment—data centers should follow the same standards as all other businesses in South Dakota. HB 1005 failed in the House State Affairs Committee after a motion to defer it to the 41st legislative day passed on a 9–3 vote. Because South Dakota’s legislative session is limited to 40 days, such a deferral effectively kills a bill, though it could still be brought forward if sufficient support exists to “smoke it out” for consideration on the House floor.
SB 85 was legislation to require a school district to hold an election for any excess tax levy. The bill would have mandated that any opt-out be subject to an immediate vote, rather than allowing petitioners up to 20 days to refer the matter to the ballot. SB 85 passed the Senate by a vote of 20–4. When the bill reached the House floor, an amendment was offered to limit its application to school districts with more than 2,500 students. I supported both the amendment and the underlying bill. Ultimately, the bill failed on the House floor by a vote of 29–39.
House Bill 1056 advanced successfully this week. The bill requires the Department of Social Services to submit a federal waiver request to exclude soft drinks from eligibility under the Supplemental Nutrition Assistance Program (SNAP). The measure aligns SNAP with other nutrition-focused programs such as WIC and is intended to encourage healthier food choices among participants. HB 1056 passed the House with a vote of 58–11 and now moves to the Senate for consideration.
Progress was also made on two proactive, proagriculture bills that I was excited to support. House Bill 1064, which allows for the direct sale of producer-raised meat and meat products to consumers pending federal legalization, passed both chambers with veto-proof margins and now awaits the governor’s signature. House Bill 1077, which classifies cultivatedprotein food products as adulterated food, has also passed both the House and Senate and now awaits final action from the governor.
As always, feel free to email me with questions, comments, and concerns at Kaley.nolz@sdlegislature.gov