13-63-25. Government and non-profit organizations as account owners--Beneficiaries identified after account opened.A state or local government or organizations described in section 501(c)(3) of the Internal Revenue Code and related regulations may open and become the account owner of an account to fund scholarships for persons whose identity will be determined after an account is opened. In this case, the requirement that a designated beneficiary be designated when an account is opened does not apply and each person who receives an interest in the account as a scholarship shall be treated as a designated beneficiary with respect to the interest. Source: SL 2001, ch 97, §25.
South Dakota Legal Code