The bill amends South Dakota's law regarding theft by contractors, subcontractors, or suppliers involved in real estate improvements. The revised language specifies that any contractor, subcontractor, or supplier who has received property for the purpose of improving real estate and, with the intent to defraud, appropriates that property for purposes other than the payment for labor, skill, or materials related to the improvement is guilty of theft. The previous language, which included references to the proceeds of payments and specific monetary thresholds, has been removed to broaden the scope of the offense.

Additionally, the bill clarifies that individuals found guilty of theft under this section will face penalties as outlined in another statute (22-30A-17). The amendment also removes the provision that allowed withholding funds from contractors pending the completion and approval of their work, thereby tightening the legal framework surrounding the responsibilities and potential penalties for contractors and suppliers in the context of real estate improvements.

Statutes affected:
Introduced, 01/14/2026: 44-9-13