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Kinship Adoption in South Dakota: Grandparents, Relatives, and the Law

Kinship Adoption in South Dakota: Grandparents, Relatives, and the Law

When a grandparent, aunt, uncle, or other relative steps up to adopt a child in South Dakota, the legal process has built-in accommodations for that reality. The state prioritizes kinship placements throughout its child welfare system, and that preference shows up in the form of waivers, reduced requirements, and a generally more accessible pathway than what unrelated adoptive families navigate.

If you're a relative considering adoption of a child in your family, here's what the process actually looks like.

Why South Dakota Prioritizes Kinship

South Dakota's preference for kinship placements is codified in SDCL § 26-8A-29.1 and reinforced by SB 12 (2005). When a child cannot safely remain with a parent, placement with relatives is legally preferred before placement with unrelated foster or adoptive families. This preference applies throughout the case — from emergency placement through permanency planning.

For Native American children, ICWA strengthens this preference further: the placement priority hierarchy begins with the child's extended family, ahead of tribal members and other Indian families. In South Dakota, where a substantial portion of the foster care population is Native American, ICWA's kinship preference is frequently the governing standard.

Streamlined Procedures for Relatives

Home Study: Still Required, But Easier

A home study is still required for kinship adoptions in South Dakota — the court needs documentation to approve the placement. However, the process is typically less burdensome for relatives than for unrelated families:

  • The home study examines the same safety factors (firearms storage, egress, background clearances, financial stability), but the evaluation of parenting capability can draw on the relative's demonstrated existing relationship with the child
  • The formality and length of the home study is often reduced in practice, particularly when the relative already has an established caregiving relationship

Training Requirement: Often Waived

The 30-hour orientation training required for unrelated foster and adoptive families is frequently waived by DSS for kinship placements. DSS has discretion to waive this requirement when the relative already has significant knowledge of the child and a documented caregiving relationship.

If you're caring for a relative's child informally and want to formalize that through adoption, raising this with your DSS caseworker early is worth doing — the training requirement waiver is case-specific, not automatic.

The Six-Month Residency Requirement: Often Waived or Shortened

Under SDCL § 25-6-9, the child must generally reside in the adoptive home for six months before finalization. For relatives, courts frequently waive or shorten this requirement, particularly when the child has been living with the relative for a significant period before the formal adoption process began. Document when the child moved in — that history matters for how the court applies this requirement.

Background Clearances: Same as Everyone Else

The background clearance requirements apply equally to kinship adoptions. All adults age 18 and older in the household must complete:

  • DCI (Division of Criminal Investigation) state criminal records check
  • FBI fingerprint-based national background check (for DSS-custody placements)
  • DSS Central Registry for child abuse/neglect reports
  • Out-of-state registry checks for any state where a household adult lived in the past five years

Certain convictions are absolute bars to approval regardless of the family relationship. This is a common point of surprise for kinship families — the law doesn't make exceptions for grandparents or aunts and uncles. If any adult in the household has a disqualifying conviction, that needs to be addressed before the application moves forward.

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Financial Picture for Kinship Adoptions

Adoption Assistance for Special Needs Children

Children adopted from DSS custody who have a special needs designation — which often includes children who entered care because of abuse, neglect, or family instability, and applies broadly to older children, sibling groups, and children with documented medical or developmental needs — are eligible for ongoing adoption assistance through the DSS subsidy program.

Monthly payments typically range from $640 to $769, matching foster care rates, with Medicaid coverage continuing until age 18. These benefits are negotiated before finalization — not after. Come to the negotiation prepared with documentation of the child's needs.

Non-recurring expense reimbursement covers up to $2,000 in one-time costs related to finalizing the adoption, typically attorney fees.

Federal Adoption Tax Credit

Kinship families are eligible for the federal adoption tax credit (Form 8839) on the same terms as unrelated adoptive families. For 2025 finalizations, the maximum credit is $17,280. For children with a special needs designation, the full credit amount is often available regardless of actual out-of-pocket expenses.

South Dakota has no state income tax, so the federal credit is the only tax benefit available.

Kinship Foster Care Payments

If the child is in your home as a formal foster placement while the adoption is being finalized — particularly common in DSS-managed kinship cases where parental rights have not yet been terminated — you may be eligible for foster care maintenance payments during that period. Ask your DSS caseworker about the Kinship Care Program, which is specifically designed to support relative caregivers of children who have come into the system.

How the Court Process Works for Kinship Adoption

The legal steps are the same as other adoption types:

  1. Home study (modified for relatives as described above)
  2. Termination of parental rights, either voluntary or through court proceedings
  3. Six-month residency period (often waived or counted from when relative care began)
  4. Petition for Adoption filed in Circuit Court in the county of residence
  5. Finalization hearing where judge reviews documentation and issues Decree of Adoption
  6. New birth certificate issued listing the adoptive relative as legal parent

For grandparent adoptions specifically, courts are also sensitive to maintaining some form of relationship with the child's birth parents, siblings, or extended family where that's in the child's interest. While post-adoption contact agreements in South Dakota are not legally enforceable, they can be written into the adoption order as a good-faith arrangement.

ICWA and Kinship Adoption

For Native American children, ICWA's placement preferences specifically prioritize extended family — meaning kinship adoptions by relatives are often more consistent with ICWA's intent, not less. If the child is a tribal member or eligible for membership and you are a relative who is also a tribal member, the ICWA placement preferences support your placement explicitly.

If you are a non-Native relative seeking to adopt a Native American child, ICWA still applies. The tribe must be notified, the placement preference hierarchy must be documented, and active efforts must be demonstrated. But again, your relationship as a relative gives you a higher position in the preference order than unrelated non-Native families.

When It Gets Complicated

Kinship adoption becomes more complex when:

  • A parent objects: If the biological parent contests the TPR proceedings, you're in litigation, not just paperwork. Get legal representation.
  • Multiple relatives are competing for placement: DSS and the court will evaluate who can best meet the child's needs. Document your relationship with the child and your ability to provide stability.
  • The child has significant medical or developmental needs: Ensure the adoption assistance negotiation reflects the full scope of anticipated costs.
  • ICWA applies and the tribe is asserting its rights: Engage with the tribal ICWA director early and respectfully.

The South Dakota Adoption Process Guide includes a kinship adoption section that covers the streamlined procedures, the training and home study waiver process, and how to navigate the DSS system as a relative caregiver moving toward permanency.

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