South Dakota Boosts Economy with $28 Million in New Investments

Northeast Radio SD News – South Dakota - The South Dakota Board of Economic Development has greenlit funding for two major projects set to inject more than $28 million into the state’s economy. The move is expected to secure the future of 383 existing full-time jobs while fostering a new wave of local entrepreneurship.

The approvals signal a dual focus for the state: modernizing established manufacturing giants and seeding the next generation of tech and business founders.

Investing in the Future: The Perpetual Seed Fund

In a move to bolster the state’s startup ecosystem, the board approved a $500,000 SD Works legacy loan for the Madison Area Development Corporation. This funding will launch a Perpetual Seed Fund Program, a pilot initiative designed to provide long-term capital for new founders and developers.

“These approvals reflect South Dakota’s commitment to fostering local innovation and supporting businesses that continue to reinvest in our state,” said Governor Rhoden.

By partnering with the Madison Area Development Corporation, the Governor’s Office of Economic Development (GOED) aims to create a sustainable cycle of growth for regional startups.

Strengthening Manufacturing in Yankton

The board also focused on South Dakota’s industrial backbone by approving a Reinvestment Payment Program grant for Hydro Extrusion USA, LLC. The Yankton-based facility is slated to receive up to $555,618 to support modernization and expansion efforts.

This investment is critical for:

·        Job Retention: Protecting nearly 400 positions within the state.

·        Competitiveness: Ensuring the manufacturing sector remains technologically advanced.

·        Local Stability: Strengthening Yankton’s economic footprint.

Sustainable Energy on the Horizon

Beyond the immediate $28 million investment, the Economic Development Finance Authority moved forward with an inducement resolution for Plainview Biogas.

Located near Toronto, SD, this $57 million advanced dairy digester project is designed to capture methane emissions from manure and convert them into carbon-negative renewable natural gas. The resolution recognizes up to $40.3 million in tax-exempt qualified expenses, paving the way for a future bond issue to support this green energy initiative.

A Strategy for Growth

GOED Commissioner Bill Even emphasized that these projects are about more than just dollars—they are about long-term stability.

“When communities and companies reinvest in South Dakota, it strengthens our workforce,” Even stated. “These projects demonstrate how strategic investments can support local development efforts while keeping established employers competitive and growing.”