South Dakota has been active in regulating prescription drug pricing and transparency. The state enacted a law to prohibit pharmacy benefit managers from prohibiting or penalizing a pharmacist for providing cost-sharing information on the amount a covered individual may pay for a particular prescription drug. The legislature also passed legislation that requires health carriers to provide prospective enrollees with drug formularies and detailed plan descriptions that explain plan coverage limitations and their financial impact on enrollees (e.g., co-insurances, out-of-pocket expenses, etc.).

In healthcare markets, the state’s antitrust legislation provides that nonprofit hospitals must provide notice to the state attorney general for any mergers, acquisitions, or related transactions. The state also limits the duration of noncompete clauses in physician employment contracts to two years after the date of termination and within a specified geographic area. South Dakota also promotes telemedicine with mandated coverage parity and cost-sharing parity for telehealth services.

See below for an overview of existing South Dakota state mandates. Click on citation tab for detailed information of specific statutes (click link to download statute text).

State Action

Additional Resources


South Dakota operates on an annual budget cycle. The governor submits a proposed budget in December and the legislature typically adopts a budget in March. The fiscal year runs from July 1 through June 30 and is referred to by the year in which it ends.


The South Dakota Legislature begins its session on the second Tuesday of January, lasting 40 working days in odd-numbered years, and 35 days working days in even numbered years.  The state has 35 Senators, and 70 members of the House of Representatives.  Both Senators and Representatives are elected to 2-year terms, and are limited to serving four consecutive 2-year terms in a particular chamber, but there is no limit on the number of non-consecutive terms.   Bills do not carry over from year to year.