S.D. Codified Laws § 42-7A-24
Net proceeds from the sale of instant lottery tickets shall be transferred to the state general fund on an annual basis after July first each year. The commission shall maximize the net proceeds to the state from the sale of instant and on-line lottery tickets. In no event may yearly lottery expenses for the sale of lottery tickets, excluding expenditures from retained earnings, exceed the amount of combined net proceeds transferred to the state general fund and the state capital construction fund. Net machine income from video lottery games shall be directly deposited in the general fund upon receipt. Net proceeds are funds in the lottery operating fund which are not needed for the payment of prizes, lottery expenses, and total retained earnings up to one and one-half million dollars cash deemed necessary by the executive director and commission for replacement, maintenance, and upgrade of business systems, product development, legal, and operating contingencies of the lottery.
In fiscal year 2019, the commission shall transfer twenty-five percent of the net proceeds from the sale of on-line lottery tickets collected pursuant to § 42-7A-24 to the general fund and seventy-five percent of the net proceeds from the sale of on-line lottery tickets shall be transferred to the state capital construction fund created in § 5-27-1. In fiscal year 2020, the commission shall transfer thirty-five percent of the net proceeds from the sale of on-line lottery tickets collected pursuant to § 42-7A-24 to the general fund and sixty-five percent of the net proceeds from the sale of on-line lottery tickets shall be transferred to the state capital construction fund created in § 5-27-1. In fiscal year 2021, the commission shall transfer thirty-five percent of the net proceeds from the sale of on-line lottery tickets collected pursuant to § 42-7A-24 to the general fund and sixty-five percent of the net proceeds from the sale of on-line lottery tickets shall be transferred to the state capital construction fund created in § 5-27-1. In fiscal year 2022, the commission shall transfer fifty percent of the net proceeds from the sale of on-line lottery tickets collected pursuant to § 42-7A-24 to the general fund and fifty percent of the net proceeds from the sale of on-line lottery tickets shall be transferred to the state capital construction fund created in § 5-27-1. In fiscal year 2023 and each year thereafter, the commission shall transfer seventy percent of the net proceeds from the sale of on-line lottery tickets collected pursuant to § 42-7A-24 to the general fund and thirty percent of the net proceeds from the sale of on-line lottery tickets shall be transferred to the state capital construction fund created in § 5-27-1.
SDCL 42-7A-24