PIERRE, S.D. — A bill advancing through the South Dakota Legislature could limit the campaign financing options of two potential candidates for governor in 2026: Aberdeen businessman Toby Doeden and Rep. Dusty Johnson.
Senate Bill 12, which aims to curb the amount of money that can be loaned to state political action committees (PACs), cleared a key House committee with near unanimous approval on Monday. The legislation is part of a broader election integrity package introduced by Sen. Michael Rohl, R-Aberdeen, who argues the bill is necessary to close a loophole that allows loans to be made to PACs and then forgiven without financial limits.
The proposal comes after Doeden, a prominent backer of several South Dakota legislative candidates last June, loaned $100,000 to his Dakota First Action PAC in 2024. Initially reported as a donation, the contribution exceeded the $10,000 annual limit, but the filing was later amended to show the money was given as a loan.
Critics of the bill, including Dakota First Action lobbyist Brian Lewis, argue that it is aimed exclusively at limiting Doeden’s influence, accusing lawmakers of targeting him for his political support and opposition to a failed constitutional amendment last year.
In a twist, the bill was amended to also limit contributions from federal campaign committees, which could affect Johnson, who has more than $5 million in federal campaign reserves. Johnson could face restrictions on transferring those funds to a state campaign if the bill passes. Former Representative and Governor Kristi Noem transferred federal funds in her 2018 gubernatorial race.
The bill passed the House State Affairs Committee 12-1 and is now set for further consideration. If signed into law by the governor, it would take effect July 1.
In addition to SB 12, Rohl’s Senate Bill 17, which would require candidates to file campaign finance reports ahead of primary contests, also passed through the committee unanimously.
