Watertown Development Company Highlights Nearly $5 Million in Investments at Annual Meeting
Northeast Radio SD News – Watertown, SD - The Watertown Development Company highlighted nearly $5 million in development investments over the past 18 months, elected four incoming board directors, and heard a keynote address from former Sioux Falls Mayor Paul TenHaken during its 46th annual meeting held at Joy Ranch.
Executive Director Chris Clifton opened the evening by detailing the organization's growth from a $4 million to $5 million entity into a $30 million real estate holding company. Over the last 18 months, the Watertown Development Company has invested nearly $5 million in new development, turning agricultural ground into shovel-ready industrial sites and securing several new leases and long-term lease extensions extending beyond 2030, 2031, and 2032.
Clifton also noted that the organization has completed annual financial audits for the past three years through Ketel Thorstenson (KT) to maintain compliance with state and federal infrastructure grants. He credited ongoing technical, legal, and financial support from IMEG, Austin Law, and BRS for assisting with site readiness, utility infrastructure, and converting 20- to 25-year leases into ownership transitions.
Regional Workforce and Lake Area Technical College Impact
During his remarks, Clifton emphasized Lake Area Technical College (LATC) and President Tiffany Sanderson's role in supporting local business expansion and workforce needs.
Watertown serves a regional trade area of 125,000 people, with 35% of the local workforce commuting from outside Codington County for employment. During a later question-and-answer session, officials noted that Watertown's population has grown at slightly more than 1% annually over the past six years, up from roughly 0.5% annually during the prior 20-year period.
Annual Business Meeting and Board Elections
Board Chairman and Watertown City Manager Alan Stager presided over the official business portion of the meeting and confirmed a quorum, with more than 20 of the organization's 48 investors represented. Investors unanimously approved the minutes from the Oct. 14, 2025, annual meeting after Doug Sharp made a motion and Mark Dunn seconded.
Investors also approved a slate of four incoming board directors nominated by the executive committee following a motion by Steve Lehner and a second by Sanderson:
· Codington County Commissioner Tyler McElhany (District 2)
· Dan Garvey, representing Terex
· Lori Fieber, replacing John Allen as the representative for Sanford Health
· Barb Younger, representing the Mother of God Monastery
In addition to Sanderson, Sharp, Dunn, Lehner, and Garvey, Clifton recognized executive committee members Codington County Commission Chairman Troy VanDusen (District 4), Troy Zebroski, and Dustin Flatten for their service over the past 12 months.
Keynote Address: Former Sioux Falls Mayor Paul TenHaken
After the business meeting, Stager introduced TenHaken, who founded the marketing firm Click Rain before serving two consecutive terms as Sioux Falls mayor from 2018 until July 2026.
TenHaken shared lessons on municipal leadership, economic development, and managing community growth. During his eight years in office, Sioux Falls grew by 24%—from approximately 185,000 residents to 225,000—more than three times South Dakota's overall growth rate of roughly 8% during the same period.
TenHaken outlined four core principles for local government and community leaders:
· Keeping partisan politics out of local government: TenHaken pointed out that while public trust in the federal government sits near 17%, local government consistently maintains 60% to 70% trust. He urged board members and elected officials to make decisions for the silent majority of residents and future generations rather than reacting solely to the loudest critics.
· Managing community dissension: When navigating contentious local issues such as rezoning or data centers, TenHaken advised leaders to start with common ground—such as protecting natural resources and maintaining affordable utility rates—while avoiding online arguments and assuming positive intent from frustrated citizens.
· Maintaining proximity to residents and staff: Encouraging leaders to keep a "low power distance," TenHaken stressed combining empathy with direct community engagement and cultivating a "get to yes" culture within municipal planning departments.
· Focusing on long-term community impact: Citing a 2025 study of 34 million obituaries by the Proceedings of the National Academy of Sciences, TenHaken reminded attendees that lasting legacies are built on relationships and community service rather than titles or financial metrics.
Economic Development, Young Professionals, and Housing Q&A
During an audience question-and-answer session, TenHaken addressed workforce retention, state-local relations, economic development incentives, and affordable housing:
· Engaging young leaders: To involve younger generations in civic boards and economic development, TenHaken recommended scheduling events during the workday between 11 a.m. and 1 p.m. when children are in school, as well as hosting informal, no-agenda social gatherings through a young professionals network.
· Defending economic development incentives: Addressing criticism that government incentives "pick winners and losers," TenHaken defended the use of Tax Increment Financing (TIF) districts for major employers like Smithfield Foods, which generates a $3.5 billion economic impact for South Dakota and processes 25,000 hogs daily. He noted that strategic development spurs broader housing and job growth across the region.
· Addressing affordable housing: When asked for solutions to South Dakota's affordable housing shortage, TenHaken noted that municipalities only control roughly 2% of housing cost factors due to national interest rates, tariffs, and supply chain expenses. However, cities can help by using TIF districts, reviewing building codes, and streamlining the permitting process for developers.
