Takeaways from the 2026 South Dakota legislative session

The 2026 South Dakota legislative session concluded with lawmakers passing a $7.5 billion state budget for fiscal year 2027, which includes a 1.4% increase in funding for state employees, education, and Medicaid. Gov. Larry Rhoden was able to push through two key proposals to address rising property taxes, including a bill allowing counties to implement a sales tax increase in exchange for lower property taxes. Meanwhile, lawmakers debated the balance between economic development and protecting the state's rural character, with several bills related to data center incentives failing to pass. The legislature also enacted tougher voter ID requirements but declined to mandate stricter immigration verification for businesses. South Dakota became the eighth state to impose a moratorium on lab-grown meat, and the state also declassified gun silencers as a controlled weapon. As the legislative session comes to a close, the political ramifications of the bills that did and did not pass are beginning to emerge, with the Republican primary season heating up in the state.