Panel OKs bill returning state hemp program to USDA, citing cost savings

Feb 27, 2026

The committee recommended SB 39 as amended to shift regulatory authority for industrial hemp growers to USDA, keep state transportation safeguards, and save roughly $200,000 by reducing state FTE support; the measure includes a delayed effective date of 01/01/2027 to protect the 2026 growing season.

The full story

The House Agriculture and Natural Resources Committee voted to recommend Senate Bill 39 as amended, a measure that would move South Dakota’s industrial hemp licensing and program administration back to the U.S. Department of Agriculture while preserving state transportation safeguards and THC testing requirements.

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