Transportation Economic Development Grants
The South Dakota Department of Transportation has developed a grant program to foster economic development and enhance community access in South Dakota. The program has three categorical purposes.
- The Industrial Park grants will be made to any local unit of government for the development of new or expanded access for new industry located within industrial parks. Applications are due April 15, July 15, or October 15.
- The Agri-Business grants will be made to any local unit of government for the development of new or expanded agri-business industries. Applications are due April 15, July 15, or October 15.
- Community Access Grants are state funds for towns less than 5,000 in population and are for the construction or reconstruction of major streets in each town such as Main Street, the road to the elevator, schools, hospitals, etc. Applications are due July 15.
These programs provide for 80% of the construction costs of the project, not including engineering or utility work. Grant size is limited to $600,000 for Community Access and Agri-Business Grants and $500,000 for Industrial Park Grants.
Application Should Include
- Clear map showing the project location
- Engineer's Estimate
- Resolution of support from the local sponsor
Project Requirements
- Designed in accordance with the South Dakota Department of Transportation Standard Specifications for Roads and Bridges
- Must comply with the American's with Disabilities Act
- Funds cannot be used for routine maintenance
- Must have plans and specifications stamped by a registered professional engineer
All grants will be based on the criteria developed by the Department of Transportation. The expenditure authority for the program will be determined by the Transportation Commission. All grants must be approved by the Transportation Commission and may be used to construct or reconstruct roads and streets in the community.
All aspects of these grant programs are outlined in the Fact Sheets and Policies for Industrial Park, Agri-Business Access, and Community Access Grant Programs.
- Economic Development Grant Application
- Community Access Road Grant Fact Sheet
- Agri-Business Road Grant Fact Sheet
- Industrial Park Road Grants Fact Sheet
- Transportation Economic Development Grant Program Guide
- Community Access Grant Evaluation Form
South Dakota Transportation Commission Awards Economic Development Grants
At the South Dakota Transportation Commission meeting held on Thursday, Dec. 18, 2025, Commissioners awarded $4 million in economic development grants for infrastructure improvements to counties and smaller communities across South Dakota. The economic development grant funds are designated to improve roads leading to schools, main business areas, hospitals, grain elevators, and other economic areas within a community. The grants provide funding for 80 percent of the construction costs to a maximum of $600,000.
“The economic development grants have proven to be a vital part of the assistance program the South Dakota Department of Transportation (SDDOT) can provide local government to improve infrastructure,” said Transportation Secretary Joel Jundt. “Without the grant funds, many rural communications would not have the financial ability to improve access to foster economic development and the overall quality of life for residents today and into the future.”
Grants awarded by the Transportation Commission include the following:
Community Access Grants:
• City of Crooks received $600,000 for 3rd and 4th Streets, 1st Avenue, and Park Drive which serve the truck route and business area;
• City of Deadwood received $600,000 for Crescent Street which serves the rodeo grounds;
• City of Hartford received $600,000 for Western Avenue which serves a business area;
• City of Hecla received $547,000 for Pine Street and Depot Street which serves the elevator; and
• City of Sinai received $193,800 for Park Avenue which serves a business area.
Agri-Business Grants:
• Yankton County received $518,500 for 439th Avenue which serves Yaggie’s, Inc.;
• Fort Pierre received $463,000 for Buffalo Road which serves Sioux Nation; and
• Blom Township received $518,500 for 473rd Avenue which serves Plainview Dairy.
