S.D. Codified Laws § 46A-3E-9
Pursuant to the provisions of chapters 46A-3A to 46A-3E, inclusive, a water development district board of directors may levy a tax or special assessments or both against taxable property within the boundaries of the water development district, to be collected by the appropriate tax listing entities in accordance with the procedures outlined in chapters 46A-3A to 46A-3E, inclusive. Collections from the tax shall be deposited monthly with the water development district treasurer by the appropriate tax collecting officials. The water development district treasurer shall deposit the funds received from the appropriate tax collecting officials in depositories designated by the water development district board of directors. Disbursements from the designated depository account shall be made upon orders duly drawn by the water development district treasurer pursuant to procedures adopted by the board of directors and are to be used in performing the duties prescribed for the water development district board of directors by the provisions of chapters 46A-3A to 46A-3E, inclusive. However, any agreement or contract entered into by the water development district board of directors on behalf of any irrigation district, drainage district, watershed district, municipality, county, township, or other entity of state government shall be secured by the taxing or assessment power of such public entity and such agreement or contract, entered into by the district board of directors with or on behalf of a soil conservation district, water user district, or other nontaxing public entity shall provide for other assurance of payment satisfactory to the water development district board of directors.
SDCL 46A-3E-9