PIERRE, S.D. — A bill aimed at strengthening oversight of nicotine and vapor product retailers advanced this week after receiving a do-pass recommendation from the Senate Health and Human Services Committee.
Senate Bill 221, sponsored by Sen. Chris Karr of Sioux Falls, would establish licensing requirements for retailers selling nicotine products, impose restrictions on certain sales practices, and create enforcement mechanisms overseen by the South Dakota Department of Revenue.
Testimony before the committee reflected familiar divisions between public-health advocates and industry representatives.
Angela Kennecke, founder of Emily’s Hope, spoke on behalf of the Emily’s Hope Youth Prevention Coalition, a group that includes educators, prevention specialists, parents, students, and school resource officers. Kennecke described the coalition’s findings regarding vape shop proximity to schools, noting that five vape shops in Sioux Falls and six in Rapid City operate within one-quarter mile of school properties.
She emphasized that research and school experience both indicate retail visibility and proximity influence youth perception and normalization of nicotine products.
Kennecke also referenced recent enforcement actions by the Attorney General’s Office, which uncovered illegal or potentially dangerous products in multiple vape retailers investigated during a sting operation.
In addition, Kennecke told lawmakers that kids have been caught with THC pouches because they are easily hidden and difficult for educators to detect. Oftentimes, these pouches are sold at smoke shops.
She urged lawmakers to view licensing and regulatory oversight as protective measures rather than prohibition, arguing that retailer practices and product environments are policy variables the state can reasonably address.
Opposition testimony came from Caleb Rose, who operates several vape stores in Rapid City, and Jordan Mason, representing South Dakota Retailers for Better Alternatives. Opponents characterized the proposal as government overreach and argued that vapor products serve as harm-reduction tools for adults seeking alternatives to tobacco cigarettes. Bill Van Camp, a lobbyist for the South Dakota Retailers Association, also spoke out against the bill, calling it an unfair burden on retailers.
Public health organizations voiced support for the bill. Jennifer Stalley, representing the South Dakota Heart Association and the South Dakota Nurses Association, spoke in favor of the measure, citing concerns about youth nicotine use and consumer safety.
The Department of Revenue has raised questions regarding funding for enforcement responsibilities outlined in the bill. The legislation establishes a nicotine enforcement fund projected to generate between $400,000 and $600,000 annually.
Senate Bill 221 has a companion bill that passed the House that would create licensing requirements for nicotine product wholesalers.
If approved by the Legislature and signed by the governor, the measures would take effect Jan. 1, 2027.
