This bill aims to enhance the protection of electric infrastructure in South Dakota by establishing new 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 renders any agreements that grant such control unenforceable if made after July 1, 2026. Additionally, it mandates that any prohibited person who acquires an interest in an electric facility must divest that interest within one year.

The bill also empowers the commission to investigate alleged violations and take legal action to enforce compliance, including the appointment of a receiver if necessary. It allows the commission or receiver to recover attorney fees and costs associated with enforcement actions, which can be assessed against the prohibited person or recovered from the sale of their interest. 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.