South Dakota Contractor License Types
| License Type | Application Fee | Annual Renewal | Bond |
|---|---|---|---|
| Electrical Contractor Business license required to offer electrical contracting in South Dakota, issued by the South Dakota Electrical Commission under SDCL 36-16. Applicants must hold a journeyman electrician license for at least two years and document 4,000 additional hours of supervised experience under a licensed electrical contractor (including at least 2,000 hours of commercial wiring), pass the contractor examination, and post a $10,000 surety bond. | Application + license + exam fees — see Electrical Commission fee schedule | Biennial — all electrical licenses expire June 30 of even-numbered years; 16 hours of continuing education (minimum 8 hours of code) per renewal period | $10,000 surety bond on file with the Electrical Commission |
| Journeyman Electrician Personal license under SDCL 36-16 authorizing electrical work in South Dakota. Requires completion of an 8,000-hour apprenticeship (approximately four years) under a licensed electrical contractor or Class B electrician, or 6,000 hours combined with a two-year AAS degree in the electrical trades. Applicants must pass the Pearson VUE journeyman exam (70% required). | Application + Pearson VUE exam fee — see Electrical Commission fee schedule | Biennial — expires June 30 of even-numbered years; 16 hours of continuing education (minimum 8 hours of code) per renewal | None for individual electricians |
| Apprentice Electrician Entry-level registration under SDCL 36-16. Applicants must be at least 18 years old and hold a high school diploma or GED. Apprentices must work under the direct supervision of a licensed electrical contractor or Class B electrician while accumulating the experience hours required to sit for the journeyman exam. | Apprentice registration fee — see Electrical Commission fee schedule | Biennial — expires June 30 of even-numbered years | None |
| Class B Electrician Limited-scope electrician license issued under SDCL 36-16 for residential and farm electrical work. Senate Bill 62 (2026), introduced at the request of the State Electrical Commission through the Committee on Commerce and Energy, would have discontinued issuance of new Class B electrician licenses, but the Senate Do Pass motion failed 14-20 on January 26, 2026. Class B remains a live credential under SDCL 36-16; consult the Commission for current application requirements. | See Electrical Commission fee schedule | Biennial — expires June 30 of even-numbered years; 16 hours continuing education per renewal | None at the state level |
| Plumbing Contractor Top-tier plumbing license under SDCL 36-25 authorizing an individual to operate as a plumbing contractor in South Dakota. Requires six years of plumbing work experience (minimum 1,900 hours per year) including at least two years as a licensed plumbing contractor or journeyman plumber, and a passing score of at least 80% on the contractor examination. | Contractor application + examination fee — see Plumbing Commission fee schedule | Annual — all plumbing licenses expire December 31; continuing education required for contractors, journeymen, and third-year apprentices licensed by examination | None at the state level (local jurisdictions may require bonds) |
| Journeyman Plumber Personal plumbing license under SDCL 36-25. Requires four years of apprenticeship experience (at least 7,600 hours, averaging 1,900 hours per year) and a passing score of at least 70% on the journeyman exam. Military service in a plumbing specialty earns one year of credit per two years of service, up to five years. | Application + exam fee — see Plumbing Commission fee schedule | Annual — expires December 31; continuing education required each renewal | None at the state level |
| Apprentice Plumber Entry-level plumbing registration under SDCL 36-25 with no prior experience required. Apprentices work under the supervision of a licensed plumbing contractor or journeyman plumber while accumulating hours toward higher classifications. | Apprentice registration fee — see Plumbing Commission fee schedule | Annual — expires December 31 | None |
| Third-Year Apprentice Plumber Intermediate license under SDCL 36-25 for apprentices who have completed two years (at least 3,800 hours) of supervised experience. After passing a state-administered examination, a third-year apprentice may perform unsupervised plumbing work on single-family dwellings while continuing to accumulate hours toward the journeyman license. | See Plumbing Commission fee schedule | Annual — expires December 31; continuing education required | None |
| Contractor's Excise Tax License Required of every prime contractor performing realty-improvement work in South Dakota under SDCL Chapter 10-46A, regardless of trade or municipality. Issued by the South Dakota Department of Revenue at no fee. The contractor owes 2% excise tax on gross receipts. Operating without the license is a Class 1 misdemeanor; continuing after notice escalates to a Class 6 felony. | $0 — issued by SD Department of Revenue | No separate renewal; license remains in effect while the contractor files and remits the 2% excise tax | None |
Processing time: Electrical and plumbing state licenses: several weeks from complete application to issuance, subject to exam scheduling through Pearson VUE (electrical) and the Plumbing Commission (plumbing). Contractor's Excise Tax License from the Department of Revenue: typically issued within a few business days of an approved online application. Municipal contractor licenses: timelines vary by city. from application submission to license issuance.
South Dakota does not require a state-level general contractor license. However, this doesn't mean contractors can operate without any oversight. Many cities and counties in South Dakota have their own licensing requirements, and specialty trades (plumbing, electrical, HVAC) typically require state licensing even when general contracting doesn't.
No state general contractor license. State licenses electricians (SDCL 36-16) and plumbers (SDCL 36-25) through DLR boards. General contractor, HVAC, and roofing licensing is municipal — Sioux Falls, Rapid City, Aberdeen, Brookings, and Watertown each run their own systems. Every prime contractor must also hold a free Contractor's Excise Tax License from the SD Department of Revenue and pay 2% on gross receipts (SDCL 10-46A). Consumer protection under SDCL 37-24 (Deceptive Trade Practices).
How to Verify a Contractor in South Dakota
Since South Dakota doesn't have statewide licensing, you'll need to:
- Check local requirements. Contact your city or county building department to find out if contractors need a local license, permit, or registration to work in your area.
- Verify specialty licenses. If your project involves plumbing, electrical, HVAC, or other specialty trades, those contractors should hold state-issued specialty licenses. Check the official South Dakota licensing site for specialty license verification.
- Ask for proof of insurance. Even without a licensing requirement, any reputable contractor should carry general liability insurance and workers' compensation insurance. Ask for certificates before signing a contract.
- Check the Better Business Bureau. In states without licensing boards, the BBB and online reviews are your primary tools for vetting contractors.
- Verify business registration. Check that the contractor is registered as a business with the South Dakota Secretary of State.
Protecting Yourself Without State Licensing
In states like South Dakota where there's no state licensing board to file complaints with, it's especially important to:
- Get a detailed written contract before any work begins
- Never pay more than 10-30% upfront
- Verify the contractor pulls all required building permits
- Get multiple bids and check references
- Use a credit card for payments when possible (chargeback protection)
Should South Dakota Require Contractor Licensing?
States without contractor licensing consistently have higher rates of consumer complaints about home improvement fraud. Licensed states provide consumers with surety bond protection, complaint investigation, and disciplinary enforcement that unlicensed states lack. If you're in South Dakota, consider advocating for statewide contractor licensing through your state legislature.
Sources
Facts on this page were verified against the following primary sources on April 20, 2026. Licensing laws, fees, and bond amounts change — always confirm with the official board before acting.
- SD Department of Labor and Regulation — Boards and Commissions — Directory of DLR-administered licensing boards and commissions, including the Electrical Commission and Plumbing Commission. Confirms South Dakota has no state general contractor board. (retrieved 2026-04-20)
- SD Electrical Commission — Licensing (SDCL 36-16) — Authoritative source for electrician and electrical contractor license types, experience requirements, exam pass rates, biennial June 30 renewal, and 16-hour continuing education requirement. (retrieved 2026-04-20)
- SD Electrical Commission — Home / Contact — Contact info: 217 W. Missouri Ave., Pierre, SD 57501; phone 605-773-3573; email electrical@state.sd.us. (retrieved 2026-04-20)
- SD Electrical Commission — Fees — Fee schedule for electrical licenses, wiring permits ($20 each; book of 20 for $400), and inspection fees (updated July 1, 2025). (retrieved 2026-04-20)
- SD Plumbing Commission — Licensing (SDCL 36-25) — Authoritative source for plumbing contractor, journeyman, apprentice, and specialty license categories (sewer and water, appliance, mobile home, underground irrigation, water conditioning, on-site wastewater). (retrieved 2026-04-20)
- SD Plumbing Commission — Home / Contact — Contact info: 217 W. Missouri Ave., Pierre, SD 57501; phone 605-773-3429; email SDPlumbing@state.sd.us. Confirms December 31 annual renewal. (retrieved 2026-04-20)
- South Dakota Codified Laws, Chapter 36-16 — Electricians — Full statutory text authorizing the SD Electrical Commission, defining electrical contractor and electrician licenses, and establishing the $10,000 contractor surety bond. (retrieved 2026-04-20)
- South Dakota Codified Laws, Chapter 36-25 — Plumbers — Full statutory text authorizing the SD Plumbing Commission and establishing plumbing contractor, journeyman, and apprentice licensure. (retrieved 2026-04-20)
- South Dakota Codified Laws, Chapter 10-46A — Contractor's Excise Tax — Imposes the 2% excise tax on gross receipts of prime contractors engaged in realty-improvement contracts and mandates the Contractor's Excise Tax License. (retrieved 2026-04-20)
- SD Department of Revenue — License Requirements for Sales, Use, Contractor's Excise Tax — Official DOR guidance on who must hold a Contractor's Excise Tax License, how to apply (no fee), and criminal penalties for operating without one (Class 1 misdemeanor / Class 6 felony after notice). (retrieved 2026-04-20)
- South Dakota Codified Laws, Chapter 37-24 — Deceptive Trade Practices and Consumer Protection — Consumer protection statute covering deceptive acts in the sale of merchandise and services, including door-to-door construction contract rules and the Attorney General's $2,000-per-violation civil penalty authority. (retrieved 2026-04-20)
- SD Legislature — Senate Bill 62 (2026) — Discontinue Class B Electrician Licenses (FAILED) — 2026 legislation introduced through the Committee on Commerce and Energy at the request of the State Electrical Commission that would have stopped issuance of new Class B electrician licenses. Committee passed a Do Pass motion 5-4 on January 22, 2026, but the Senate Do Pass motion failed 14-20 on January 26, 2026. Class B remains a live credential under SDCL 36-16. (retrieved 2026-04-20)
Other States
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