New Laws Effective July 1, 2018
Several laws were adopted during the 2018 legislative session which will be of interest to municipalities. They include:
HB 1070, revise and repeal certain provisions regarding alcoholic beverages Along with a lot of clean up language, substantive changes include a provision that all types of establishments will be allowed to be open any day of the year – including Christmas, Memorial Day and Sundays unless local ordinance prohibits it. This is the opposite of how Sunday sales work now – so you may need to check with your city attorney to see if your ordinances need to be revised. Malt beverage licenses were combined into one on- and -off sale/farm wine license; and clarification was made on the pricing of restaurant licenses 10 years after adoption of the ordinance enabling them.
HB 1074, revise certain procedures regarding the creation of business improvement districts Allows a municipality to create a business improvement district even if the municipality does not have a zoning ordinance in place. HB 1100, require a name be printed on public contracts Requires the name of any person signing a contract on behalf of a purchasing agency be printed on the contract.
HB 1121, revise the fees for certain on-sale and off-sale retail licenses All municipalities will use the same system to set fees. For off-sale, the price will be not less than $300. For on-sale, the price will be not less than $1 per capita. Renewal fees are set at a maximum of $500 for off-sale and $1,500 for on-sale. HB 1154, revise certain provisions regarding municipal lease-purchase agreements Allows a municipality to enter into a lease-purchase
agreement for up to twenty years for an improvement to real property. Equipment lease-purchases agreements remain at a maximum of 10 years.
HB 1161, revise certain references to the International Building Code Update the reference to the most recent (2018) version of the International Building Codes.
HB 1163, revise certain provisions regarding municipal publication deadlines Clarifies the timing so the city has five business days to get minutes to the newspaper; and the newspaper then has 12 business days to publish them.
HB 1169, revise certain provisions regarding the commissioner form of municipal government For the commissioner form of government, defines what constitutes a vacancy and requires a majority of the members remaining eligible to serve in order to pass a measure, and, in order to prevent someone from merely not attending meetings and holding up the ability to act, a new section was added that parallels a similar provision in the aldermanic form, allowing the commission to establish, by resolution, an attendance policy and provisions for violation. HB 1172, revise certain provisions regarding meetings of certain public bodies Requires every entity subject to the open meeting laws to provide “a period for public comment, limited at the chair’s discretion, but not so limited as to provide for no public comment” at every official meeting.
HB 1173, to provide for inactive status of airport liquor licenses Allows a municipal airport to have an on-sale liquor license that is outside the caps and allows that license to be inactive without the municipality losing the license after 2 years. No license issued after July 1, 2018 can be sold, transferred, or operated anywhere other than the airport.
HB 1178, provide a penalty for the failure to complete timely audits by certain entities Requires Legislative Audit publish in every entity’s legal newspaper, and on the DLA’s website, notice of the failure to submit a timely audit report (for municipalities, under the requirements of § 4-11-4). An audit is timely if submitted to Legislative Audit not later than 18 months following the end of the entity’s fiscal year, or if a twoyear audit, not later than 18 months following the end of the entity’s second fiscal year covered by the audit. Establishes a penalty of $10 per day of delinquency, to be imposed by the attorney general, who may also waive the penalty for good cause shown. House Bill 1178 as adopted by the SD Legislature and signed by the Governor provides that for a fiscal year
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SOUTH DAKOTA MUNICIPALITIES