South Dakota Proposes Five-Year Post-Employment Ban for Economic Development Staff and Sets Class 1 Misdemeanor Penalty

Original title: establish a post-employment restriction for employees of the Governor's Office of Economic Development and create a penalty therefor.

Last action · February 11, 2026: TabledSponsors: Karla Lems and 5 others

Bill progressHistory & official text ↓

Introduced

Committee

Floor Vote

Passed

Law

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What This Bill Proposed

South Dakota House Bill 1221 prohibits former employees of the Governor's Office of Economic Development from accepting employment, compensation, or contracts for five years from any entity that received grants, loans, or money during the employee's tenure. Violations of this restriction are classified as a .

Why it matters

Former economic development personnel face a five-year restriction on accepting work or financial ties from businesses that received state funding or investments while the employee worked at the agency.

Background

The Governor's Office of Economic Development administers state financial assistance and economic investment programs in South Dakota. context

Who It Would Have Affected

Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.

Directly affected

employees of the Governor's Office of Economic Development

Former staff face a five-year ban on accepting employment, compensation, or contracts from entities that received grants, loans, or Future Fund moneys during their employment, backed by misdemeanor penalties.

Directly affected

recipients of state economic development grants or loans

These entities are restricted from hiring or contracting with former employees of the Governor's Office of Economic Development for five years following the employee's departure.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

How long does the post-employment restriction last for former employees of the Governor's Office of Economic Development?

The restriction lasts for a period of five years after the termination of employment with the office.

What is the penalty for violating the post-employment restriction?

A violation of this section is a .

What else do you want to know?

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Where This Stands

This bill did not become law - Tabled in the House.

Procedural history

3 actions

Feb 11, 2026House
Tabled
Feb 11, 2026House
Scheduled for hearing
Jan 29, 2026HouseIntroduced
First read in House and referred to

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

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