HB1173 removes the previous cap of $2 per front foot per year on property assessments for road improvements.
The South Dakota State House of Representatives passed HB1173 on February 13, 2025 by a vote of 61 to 7. We have assigned pluses to the nays because property taxes are antithetical to property rights, and removing the cap opens the door for excessive and potentially abusive local taxation. Without limits, local governments could potentially raise assessments to the point of displacing residents—functionally forcing them out without using eminent domain. Eliminating the $2 per front foot cap will likely lead to significantly higher costs for property owners, with no meaningful safeguards. This bill represents increased government overreach and imposes a heavier financial burden on taxpayers, especially those in areas targeted for frequent or large-scale road projects.
