South Dakota lawmakers are advancing a bill that would give utilities new legal protections when wildfires are linked to their equipment.
On Tuesday, the Senate Commerce and Energy Committee voted 6 to 3 to move the proposal to the full Senate. The bill would let utilities file wildfire mitigation plans outlining high‑risk areas, inspection standards, vegetation management, and coordination with fire agencies. Utilities that participate would file annual compliance reports.
The most debated change involves liability. The bill would prevent courts from using strict liability in wildfire lawsuits, meaning utilities would no longer be automatically responsible if their equipment sparks a fire. Instead, victims would have to prove the utility failed to follow a key part of its mitigation plan and that failure directly caused the damage.
The bill also limits what victims can recover—noneconomic damages would be allowed only in cases involving death or visible burns, and property losses would be capped.
Supporters, including utility groups and the Public Utilities Commission, say the bill encourages prevention and helps keep insurance costs manageable. Opponents, including insurers and trial lawyers, argue it gives utilities special protections and could leave wildfire victims undercompensated.
The debate comes as the state continues to face wildfire risks, including the 2017 Legion Lake Fire, which burned more than 50,000 acres after a tree fell onto a power line.
The bill now heads to the full Senate.
