Governor Rhoden Proposes $30 Million in Zero-Interest Loans for Sioux Falls and Rapid City Airport Expansions
- Steve Jurrens
- 12 hours ago
- 2 min read
Northeast Radio SD News – South Dakota - Governor Larry Rhoden has announced a legislative proposal to provide substantial state funding to support the expansion efforts at the Sioux Falls and Rapid City airports. The plan involves offering 0% interest loans of up to $15 million for each airport during the upcoming legislative session.
Governor Rhoden announced at a press conference at the Sioux Falls Regional Airport, where he was joined by leadership from both cities.
“This investment will make a huge difference – not just for Sioux Falls and Rapid City, but for all South Dakotans,” said Governor Rhoden. “We’ve seen huge increases in travelers coming through these airports. With more gates, more flights, and more destinations, we’ll able to draw more visitors and keep our state Open for Opportunity!”
Data from the Governor's office indicates that since 2019, travelers through the Rapid City airport have increased by 30%, and those through the Sioux Falls airport have increased by 25%.
The proposal's funding mechanism uses existing state funds without creating new costs for taxpayers. Specifically, the proposal transfers approximately $65 million remaining from a 2023 career housing loan fund—which originally set aside $100 million in loans—into the state’s Revolving Economic Development and Initiative (REDI) Fund. The Governor noted that this approach mirrors the funding strategy used to support the Douglas School District during the 2025 legislative session.
The Board of Economic Development would be authorized to issue 0% interest loans from this new funding, with a deadline to close and fund the loans by June 30, 2030.
Bill Even, Commissioner of the Governor’s Office of Economic Development, expressed support for the plan. "Smart economic development involves doing the right thing, at the right place, at the right time. This proposal is a prime example of smart economic development, and it will lead to big wins for South Dakota,” said Commissioner Even.
