An Act to establish a pilot program to provide benefits for menstrual hygiene products and diapers for individuals who receive temporary assistance for needy families, and to make an appropriation therefor.

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

Section 1. The Department of Social Services shall establish a menstrual hygiene and diaper benefit pilot program to defray the cost of menstrual hygiene products and diapers for participants in the temporary assistance for needy families program authorized by chapter 28-7A.

The department shall distribute, on a monthly basis:

(1) For the menstrual hygiene product benefit, fourteen dollars for each participant ages eighteen to fifty, inclusive, who experiences menstruation; and

(2) For the diaper benefit, thirty dollars for each dependent, under age three, for whom a participant is responsible.

For the purposes of this section and section 2 of this Act, "menstrual hygiene product" means menstrual cups, sanitary napkins, and tampons, used to collect or absorb menstrual fluids.

Section 2. The Department of Social Services shall:

(1) Provide the benefits set forth in section 1 of this Act through the participant's existing electronic benefits card and on the same issuance date of the participant's regular benefit from the temporary assistance for needy families program;

(2) Provide informational materials to participants regarding the purpose of the benefit and the approved uses of the benefit; and

(3) Establish procedures to:

(a) Ensure the benefit is used to purchase menstrual hygiene products or diapers, as applicable; and

(b) Reclaim unused benefits from participants who no longer meet the requirements in section 1 of this Act.

A participant receiving the benefit may use the moneys only to purchase menstrual hygiene products or diapers, as applicable. Any unspent moneys from a participant's monthly benefit must be carried over to the next month, unless the individual no longer meets the requirements in section 1 of this Act.

Section 3. On or before September 1, 2029, the Department of Social Services shall submit a report to the Legislature evaluating the effectiveness of the menstrual hygiene and diaper benefit pilot program, and providing:

(1) The number of participants who benefited from the pilot program;

(2) The amount of money distributed in total for each benefit; and

(3) Recommendations for policy or legislative action to continue or improve the pilot program.

Section 4. There is appropriated $2,500,000 from the general fund, to the Department of Social Services, for the purpose of funding the pilot program established in section 1 of this Act.

Section 5. The secretary of the Department of Social Services shall approve vouchers and the state auditor shall draw warrants to pay expenditures authorized in this Act.

Section 6. Any amounts appropriated in this Act not lawfully expended or obligated shall revert in accordance with the procedures prescribed in chapter 4-8.

Section 7. This Act is effective beginning June 30, 2026.

Section 8. Sections 1 and 2 of this Act expire on June 30, 2029.