This bill aims to enhance the protection of electric infrastructure in South Dakota by establishing regulations regarding the ownership and control of electric facilities. It defines key terms such as "electric facility" and "prohibited person," the latter referring to entities and individuals not permitted to control or own electric facilities. The bill prohibits any prohibited person from owning or operating an electric facility, and any agreements that grant such control to a prohibited person after July 1, 2026, will be deemed unenforceable. Additionally, if a prohibited person acquires an interest in an electric facility, they must divest that interest within one year.

The bill also empowers the commission to investigate alleged violations and take legal action in the circuit court of Hughes County to enforce forfeiture or divestiture of interests held by prohibited persons. The commission can subpoena necessary information to substantiate violations and may recover attorney fees and costs associated with enforcement. Importantly, the bill clarifies that the title to an electric facility remains valid and is not subject to forfeiture solely due to the alienage of any former operator or owner.