SDCL § 35-2-5.3: Local licensing authority--Denying reissuance of on-sale license not actively used.

The governing body of a municipality or county may deny reissuance of any on-sale license issued pursuant to subdivision 35-4-2(4), (6), or (13) to the same licensee or the licensee's transferee if the license has not been actively used by the applicant during the two years preceding the date of the current application. For purposes of this section, the term "actively used" means:

(1) The licensed premises was open to the public during regular business hours for the sale and consumption of distilled spirits for at least sixty days during the two preceding years; or

(2) The licensed premises is open five days per year and open to the public during a special event that has at least twenty-five thousand visitors.

The number of licenses held by a municipality pursuant to chapter 35-3 may not be less than the total number of licenses available to be issued as of July 1, 2010.