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South Dakota ag groups cheer pipeline bills' success

South Dakota ag groups cheer pipeline bills' success


By Scout Nelson

In a recent legislative triumph, the South Dakota Farm Bureau (SDFB), along with the South Dakota Corn Growers Association (SDCGA) and the South Dakota Soybean Association (SDSA), has successfully advocated for bills that safeguard landowner interests and facilitate market access through pipeline development.

These bills, praised for offering property tax relief and upholding local zoning laws, represent a major win for the state's agricultural community.

Dave Ellens, President of the SDCGA, expressed satisfaction with the legislation, emphasizing its role in advancing the carbon pipeline project. This initiative is expected to boost corn grind demand in South Dakota, aligning with the SDCGA's mission.

Ellens highlighted the organization's efforts to secure a share of the federal tax credits, valued at $7.2 billion under the Inflation Reduction Act, for affected landowners. "Our policy recognizes the importance of treating landowners with respect," Ellens stated, underscoring the commitment to honoring this principle throughout the legislative process.

Affected landowners will receive a $.50 per linear foot annual property tax credit, linked to a pipeline company's claim of the federal tax credit in 45Q. This measure aims to offer financial relief to those impacted by the pipeline construction across their properties.

Scott VanderWal, SDFB President, outlined the organization's objectives, which included ensuring fair treatment and profit-sharing for affected landowners, as well as safeguarding property rights.

The legislation also respects local zoning, incorporating a process that allows county planning and zoning considerations during the permitting process. This was a crucial factor in SDFB's support for the bill.

All three organizations have expressed their approval of the legislative package's stipulation that limits carbon pipeline easements to a 99-year term, opposing the concept of perpetual easements.

Kevin Deinert, President of the SDSA, voiced his optimism about the legislation's potential to secure the best interests of property owners and communities, marking it as a progressive step towards future opportunities in ethanol production and soy crushing.

With these legislative achievements, South Dakota's agricultural sector stands poised for innovation and growth, ensuring that the interests of landowners and the broader community are well-protected.

Photo Credit -flickr-maureen

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Categories: South Dakota, Government & Policy

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