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26.256.24 101st Legislative Session 1049
2026 South Dakota Legislature
House Bill 1049
ENROLLED
AN ACT
ENTITLED An Act to protect electric infrastructure in this state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section 1. That a NEW SECTION be added to a NEW CHAPTER in title 49:
Terms used in this chapter mean:
(1) "Electric facility," infrastructure in this state used for the distribution, generation,
or transmission of electric power, including an energy conversion facility, as defined
in § 49-41B-2, and any equipment or facilities used by an electric utility, as defined
in § 49-34A-1, but not including any behind -the-meter electric generation facility
that generates electricity on site for private consumption; and
(2) "Prohibited person," any prohibited entity, as defined in § 5-18A-1, and any
individual who is not a United States citizen but is a citizen of a country listed in
§ 5-18A-1.
Section 2. That a NEW SECTION be added to a NEW CHAPTER in title 49:
A prohibited person may not control, operate, or own, in whole or in part, an
electric facility. An electric facility controlled, operated, or owned in violation of this
chapter is subject to forfeiture pursuant to section 5 of this Act and in accordance with the
provisions of chapter 23A-49. De minimis stock ownership does not constitute control,
operation, or ownership for the purpose of this section.
An operator or owner of an electric facility may not enter into an agreement that
grants a prohibited person direct or indirect control of the electric facility. Any agreement,
including an easement or lease, in violation of this chapter, which is entered into on or
after July 1, 2026, is unenforceable.
Section 3. That a NEW SECTION be added to a NEW CHAPTER in title 49:
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Any prohibited person that acquires, including by devise or descent, any interest
in an electric facility, in violation of this chapter, shall fully divest the interest within one
year from the date of acquisition.
Section 4. That a NEW SECTION be added to a NEW CHAPTER in title 49:
Upon receiving notice regarding an alleged violation of this chapter, the
commission may investigate the allegation and, if the allegation is substantiated, may
bring an action pursuant to section 5 of this Act.
To pursue the action, the commission may apply to the circuit court of Hughes
County for appointment of a receiver, who shall have duties and powers as directed by
the court.
Upon commencing the action, the commission may, in addition to any authority
granted under §§ 15-6-28.2 to 15-6-28.4, inclusive, subpoena any information necessary
to demonstrate a violation of this chapter from:
(1) A prohibited person alleged to have violated this chapter; or
(2) Any government with authority or jurisdiction over the prohibited person.
Section 5. That a NEW SECTION be added to a NEW CHAPTER in title 49:
The commission, or a receiver appointed pursuant to section 4 of this Act, may
bring an action, pursuant to title 15, in the circuit court of Hughes County, to enforce the
forfeiture or divestiture of a prohibited person's interest in the electric facility or to
terminate an agreement in violation of this chapter.
The commission or receiver may recover attorney fees and costs incurred in the
enforcement of the provisions of this chapter. The attorney fees and costs may be
assessed against the prohibited person or recovered from the sale of the prohibited
person's interest.
The court may not enter an order granting the request for relief pursuant to this
section unless:
(1) The commission or receiver proves any alleged violation of this chapter by a
preponderance of the evidence; and
(2) The action is brought within three years after the first allegation of the violation is
referred to the commission, as provided in section 4 of this Act.
Section 6. That a NEW SECTION be added to a NEW CHAPTER in title 49:
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Notwithstanding any other provision of this chapter, title to an electric facility is
not invalidated nor is the electric facility subject to forfeiture solely by reason of the
alienage of any former operator or owner.
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An Act to protect electric infrastructure in this state.
I certify that the attached Act originated in
the:
House as Bill No. 1049
Chief Clerk of the House
Speaker of the House
Attest:
Chief Clerk of the House
President of the Senate
Attest:
Secretary of the Senate
House Bill No. 1049
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