An Act to define a commodity for the purpose of qualifying as a common carrier.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That § 49-7-11 be AMENDED:

49-7-11. All pipelines companies holding themselves out to the general public as being engaged in the business of transporting commodities for hire, by pipeline, are common carriers and are not subject to the provisions of Title 49 this title, except as provided by this chapter and chapter 49-41B.

Notwithstanding the provisions of this section, a company transporting carbon dioxide, by pipeline, is not a common carrier.

For purposes of this section, the term, commodity, means a product that is intended for commerce and is being transported to a point of distribution, consumption, or processing, within or outside of this state. The term does not include a product that is disposed of in geological storage or used in a manner that allows its owner, shipper, or the shipper’s customer to qualify for a tax credit or a direct payment, pursuant to 26 U.S.C. § 45Q.