The city cannot move forward with licensing payday lenders, the Rapid City Legal & Finance Committee was told Wednesday.
City Attorney Jason Green said the city does not have that authority under state statute.
In April, Alderman Sam Kooiker had asked the city attorney's office to explore the possibility of the city doing background checks and licensing payday lenders.
"I hope the state of South Dakota takes a stronger position on payday lenders," Kooiker said. "I think this industry is in dire need of additional regulation."
