SD SB228

Prohibits county commissioners from applying discretionary assessed value formulas for new construction to any property within a tax increment financing (TIF) district

Requires TIF districts established after July 1, 2026 to not overlap with existing districts unless authorized by joint resolution, and counties must obtain municipal consent to create TIF districts within municipal boundaries

Mandates an independent fiscal feasibility review by a registered municipal advisor, licensed CPA, or approved third-party before governing bodies can approve project plans for new TIF districts

Requires fiscal feasibility reviews to analyze projected tax increment revenue sufficiency, timing of revenue versus expenditures, material financial risks, and be made public at least 14 days before district establishment

Adds "grants" to the definition of project costs that can be paid from TIF district funds, with requirements that grant recipients enter into agreements specifying permitted uses and that no grants may be used for residential structures