25.368.24 100th Legislative Session 157
2025 South Dakota Legislature
Senate Bill 157
SENATE COMMERCE AND ENERGY ENGROSSED
Introduced by: Senator Peterson (Sue)
Underscores indicate new language.
Overstrikes indicate deleted language.
An Act to address labor trafficking in South Dakota . 1
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA: 2
Section 1. That a NEW SECTION be added to chapter 5-18B: 3
A contract for a public improvement, as defined in § 5-18A-1, between a contractor 4
and a purchasing agency, as defined in § 5-18A-1, must contain a provision requiring 5
verification that the contractor and all subcontractors on the project have obtained 6
workers' compensation insurance. Any public improvement that is subsidized by a 7
government entity, including through a grant or tax increment financing, is subject to the 8
requirements of this Act, regardless of whether the government entity directly contracts 9
for the public improvement. 10
Section 2. That a NEW SECTION be added to chapter 5-18B: 11
The Department of Labor and Regulation and the purchasing agency have authority 12
to investigate and monitor the status of workers' compensation insurance coverage and 13
payment of premiums by any contractor or subcontractor for a public improvement. The 14
contractor must provide, at the request of the department or purchasing agency: 15
(1) A list of all subcontractors involved with the public improvement; 16
(2) Payroll records of employees of the contractor and any subcontractors involved 17
with the public improvement; and 18
(3) Any other information necessary to ensure compliance with the requirements of 19
this Act or to prevent the occurrence of workers' compensation fraud in connection 20
with the public improvement. 21