Reciprocity Agreements

Reciprocity Agreements

Iowa Open City Free Zone

The States of South Dakota and Iowa have agreed that Sioux City, IA, and North Sioux City, SD are open cities for the movement of commercial vehicles licensed in either state, provided that the vehicles remain within the cities. In addition, Sioux Falls, SD is an open city for the movement of livestock via SD38 from the Iowa State Line directly to Sioux Falls. The vehicles must bear an Iowa license, and the movement must be interstate in nature.

Minnesota Vehicle Reciprocity Free Zone

Licensing reciprocity is granted to individuals and corporations from either South Dakota or Minnesota—including corporations not organized under the laws of either state but licensed to do business in either state and maintaining a place of business in either state—to operate a bus, straight truck, truck-tractor, trailer, semitrailer, or any combination of these when performing interstate commerce within 20 miles of each State’s border. This does not waive size and weight laws, required motor fuel taxes, and Public Utilities Commission Operating Authority. This reciprocity does not include vehicles registered for use only in a limited area of a State. The agreement requires that the vehicle be licensed in the home jurisdiction to carry the weight desired.

Nebraska Farm Vehicle Reciprocity

Any farm truck legally registered in either South Dakota or Nebraska may be operated in interstate movement between states without registering that vehicle or paying license fees if it is one of the following:

  • a straight truck, including a pickup, with or without a trailer;
  • a truck tractor with or without a trailer.

The truck or pickup must bear identification designating the vehicle as a “Farm” vehicle as provided by statute in the home state.

The reciprocity applies only to farm trucks owned or operated by ranchers or farmers:

  • for the transportation of their own ranch or farm products from point of production to market;
  • for the transportation of supplies, commodities, or equipment to be used on the ranch or farm; and
  • for the infrequent or seasonal transportation (but not for commercial hire) by one farmer for another of the produce of the farm or ranch

Reciprocity does not relieve the farmer or rancher of requirements related to size, weight, and safety.

Nebraska Open City Free Zone

An agreement exists between the State of South Dakota and the State of Nebraska, whereby each State grants to the other full reciprocity to a properly licensed, but non-prorated, commercial vehicle that enters and remains within the corporate limits of the cities listed below. The vehicle or vehicles must conduct business that is interstate in nature only.

The cities involved are Dakota City, NE; Yankton, SD; South Sioux City, NE; and North Sioux City, SD. The corporate limits of the city of Yankton include a three-mile radius of the city limits.

The agreement does not affect the requirements of the Department of Revenue or the Public Service Commission of the State of Nebraska and the Department of Revenue or the Public Utilities Commission of the State of South Dakota.

The agreement does not grant reciprocity to commercial vehicles displaying reduced fee plates other than farm plates and does not affect length, width, or weight requirements of the two states.

North Dakota Vehicle Reciprocity Free Zone

Interstate Licensing Reciprocity

Interstate licensing reciprocity is granted to individuals and corporations from either South Dakota or North Dakota—including corporations not organized under the laws of either state but licensed to do business and maintaining a place of business in either state—to operate a bus, straight truck, truck-tractor, trailer, semitrailer, or any combination of these when performing interstate commerce within the limits shown in Table 25.

Table 25: South Dakota – North Dakota Reciprocity Areas

North Dakota Vehicles within South Dakota
The area of the state lying north of US12 on the east side of the Missouri River and that area of the state lying north of SD20 on the west side of the Missouri River

South Dakota Vehicles within North Dakota
The area of the state bordered on the west by the Montana State Line; on the north by US12 starting at the Montana State Line then east on US12 to the junction of ND22; then north on ND22 to the junction of ND21; then east on ND21 to the junction of ND6; then south on ND6 to the junction of ND24; then east on ND24 across the Missouri River to ND13; then east on ND13 to the Minnesota State Line

Vehicles must enter either State at the point closest to the desired destination to minimize miles traveled in the other State. The agreement does not allow a vehicle to traverse the other state within the free zone.

Vehicles destined for a city on the southern boundary of the free zone in South Dakota or the northern boundary of the free zone in North Dakota shall be permitted to operate three miles beyond the city’s municipal limits.

This reciprocity does not include vehicles registered for use only within a limited area of a State. The agreement requires that the vehicle be licensed in the home jurisdiction to carry the weight desired.

Intrastate Licensing Reciprocity

Intrastate licensing reciprocity is granted to vehicles owned or operated by a resident of either State according to the following:

  • Full reciprocity is extended to all farm vehicles owned or operated by farmers or ranchers of either State hauling their own farm products, farm supplies, or farm equipment when such vehicles are operated within the boundaries of North Dakota and South Dakota as described previously.
  • Both states extend full reciprocity, including “Gainful Employment Operations”, to all vehicles, including fixed load vehicles, that are registered in both states under the International Registration Plan.
  • Both states extend full reciprocity, including “Gainful Employment Operations”, to all automobiles, panel trucks, or pickup trucks that are properly registered in their State when such vehicles are operated within the boundaries of North Dakota and South Dakota as described previously, provided that any vehicle remaining in the non-registering State for a period exceeding 24 hours is subject to that State’s registration requirements.
  • Reciprocity does not include vehicles registered for use only within a limited area of a State. The agreement requires that the vehicle be licensed in the home jurisdiction to carry the weight desired.