A proposal to add statutory guardrails to South Dakota’s Future Fund is dead for the session after a Senate committee voted Monday (Jan. 26, 2026) to defer Senate Bill 1 to the 41st legislative day. The bill, backed by lawmakers on the Legislature’s Government Operations and Audit Committee, wou ld have required formal rules governing how Future Fund loans and grants are awarded. Those rules would have included written application criteria, economic-impact measurements and limits on loan interest rates. Supporters said the measure was aimed at increasing transparency and accountability for a fund that has distributed millions of dollars for economic development projects, sometimes without legislative approval. The Senate State Affairs Committee had previously deadlocked 4–4 on the bill earlier this month. On Monday, the committee reconsidered SB 1 and voted 5–4 on a substitute motion to defer the measure, ending its chances this year. Supporters argued the bill would codify oversight standards that cannot be undone by future administrations. “I think just the fact that the governor put out an executive order saying almost exactly the same things that are in the bill shows that it is needed,” said Sen. Kevin Jensen, R-Canton. “But I do believe it needs to be in statute because, of course, any governor can rescind any executive order.” Opponents pointed to an executive order issued last week by Gov. Larry Rhoden outlining Future Fund protocols, arguing it addresses transparency concerns without slowing economic development. “I’m gonna stick to my original comments that the governor is the executive of the state,” said Sen. Steve Kolbeck, R-Brandon. “They have ramifications to how they spend this money, how they don’t spend this money, and what they spend this money on.” With the committee’s vote to send SB 1 to the 41st day, the proposal will not advance further this session. By Todd Epp | South Dakota Broadcasters Association. ...read more read less