(1939–1945)
As we continue our Century Strong: From the SDAHO Vault series, the May installment brings together two important storylines from SDAHO’s history: the statewide effort to professionalize healthcare through the Basic Science Law of 1939, and the Association’s evolution as it entered its 15th year — a period marked by rising costs, wartime uncertainty, and the early development of health insurance in South Dakota.
Strengthening the Healing Arts: The 1939 Basic Science Law
In 1939, the SDHA Legislative Committee joined forces with the State Medical Association to support the passage of the Basic Science Law, a major milestone in ensuring high-quality care for South Dakotans.
The law established minimum standards of education and competency for anyone practicing the healing arts, requiring practitioners to pass a basic science examination before entering the field.
To oversee this process, the South Dakota Legislature created the Basic Science Board, appointed by Governor Harlan J. Bushfield. The five original members included:
- James D. Alway
- F.E. Burkholder
- M.L. Severence
- Dr. William H. Waller
- Dr. Gregg M. Evans
Their work marked a significant step toward modern medical regulation, reinforcing patient safety at a time when the healthcare landscape was rapidly changing.
A Time of Transition: SDHA at 15 Years
By 1940, the Association had reached its 15-year anniversary, but the country was once again bracing for conflict as global tensions signaled the coming of World War II. In response, SDHA participated in a defense preparedness survey, reflecting the growing focus on resource planning and emergency readiness.
This period also saw increasing discussions about establishing a Blue Cross insurance plan, an idea gaining national momentum as families struggled with the cost of care.
Honoring Leaders & Adapting to Change
In 1941, SDHA dedicated part of its annual program to honoring Sister Flavia of Yankton, regarded as South Dakota’s own Florence Nightingale for her leadership and service in the state’s early hospital movement. (Learn more in next month’s edition about Sister Flavia of Yankton)
A special conference in early 1942 highlighted yet another turning point:
SDHA members approved a 10% surcharge — the first recorded fee increase in the Association’s history. This change acknowledged a reality sweeping the nation: rising prices and the declining purchasing power of the dollar.
The same year also marked the 23rd Inter-Allied Conference, showing the Council’s continued role in bringing healthcare professions together during wartime.
Blue Cross Comes to South Dakota
By 1944, the Association met in Sioux Falls and During this conference, SDHA endorsed the Blue Cross plan of Associated Hospital Services, Inc. of Sioux City for use in South Dakota.
Momentum continued into 1945:
- July 1, 1945: The Blue Cross Enabling Act went into effect, providing a legal foundation for nonprofit hospital insurance.
- March 1, 1945: The Hospital Licensing Act was approved, but a state petition required the measure to be referred to voters. After gaining public approval in the November 1945 election, the licensing law officially became operative on November 5, 1945.
These advancements laid the groundwork for modern hospital standards, patient protections, and a sustainable financing model — all crucial as hospitals prepared for the post-war era.
Looking Ahead
From strengthening professional standards to embracing new financing models, the years from 1939 to 1945 represent one of the most transformative chapters in SDHA’s first century.
Join us next month as we continue our journey with the SDAHO Vault series, as we introduce you to Sister Flavia also known as South Dakota’s Florence Nightingale.
Check out these “From the SDAHO Vault” articles.
- January – A Century Strong: From the SDAHO Vault – the beginning
- February – A Century Strong: From the SDAHO Vault – time got tough
- March – A Century Strong: From the SDAHO Vault – SDHA takes on advocacy
- April – A Century Strong: From the SDAHO Vault the dirty ’30s and the birth of the inter-allied council



