USDA Rural Development Invests $75 Million to assist South Dakota’s Rural Communities, Businesses and Homeowners

(Huron, S.D., October 19, 2026) - U.S. Department of Agriculture Rural Development recently announced nearly $25 billion in rural community investments nationwide in fiscal year 2026. These projects strengthen essential infrastructure, expand housing and business opportunities, and ensure rural families and farmers have the tools they need to succeed.

More than $75 million in loans and grants were awarded in South Dakota, to support these efforts.

"I want to say thank you to our partners because they are the ones that are identifying the projects. They're working in their communities. They are working with the businesses and the homeowners. And so they're helping us connect our resources to the individuals, and we are able to better serve the communities," said Polak. "The $75 million in investments is a huge investment for South Dakota. That's a lot of money that's coming into our communities that don't have the reserves necessary or the cash flow necessary to pay for these large capital expenditures. So we are able to help provide that financing to bridge the gap. Some of those projects do include conventional financing. So we're just providing that final piece of the puzzle that makes this project complete." [ Polak Audio, MP3, 44s ]

These investments are supporting local priorities in South Dakota and delivering real results for rural residents, farmers, businesses, and communities, including:

• Clay Rural Water System will use $2 million through the Water and Environmental Program to purchase two standby diesel generators to supply sufficient backup power for the treatment and support systems in the event of a power outage.
• The University of South Dakota will receive $565,465 through the Distance Learning and Telemedicine Program to provide distance learning to more than 10,000. Instructors at Parry Center for Clinical Skills and Simulation will provide instruction through simulation equipment via advanced telecommunication systems for cardiac and respiratory arrest, agricultural trauma response, reproductive health and pain management through joint injection.
• The Single Family Housing program invested more than $44M through the Guarantee program, assisted 10 families with home purchases, provided five homeowners with funding through loans and grants to make needed repairs on their homes, and invested $764,000 to Lakota Funds, Inc. through the Native Community Development Financial Institution Relending program to offer homeownership opportunities on the Pine Ridge Reservation. The Single Family Homeownership programs assisted an estimated 220 families throughout South Dakota.
• Oglala Lakota College, Sisseton Wahpeton College, and Sinte Gleska University will receive a combined $766,500 to make needed repairs at the colleges through the Tribal College Initiative Grants program.
• Our Community Facilities grants helped Viborg, Kadoka and Wakonda make needed repairs following federally declared disasters that occurred in 2024. The $312,000 investments will help keep communities safe and facilities operational following severe storms.
• The Rural Economic Development Loan and Grant program will provide $300,000 to Inter-Lakes Community Action Partnership through Heartland Energy to build a commercial kitchen in Madison. The facility will significantly expand ICAP's capacity to address senior food insecurity across rural and underserved areas of South Dakota.

These investments highlight USDA's commitment to deliver resources that communities can rely on to improve their quality of life. Focusing on the needs of rural America helps build more resilient communities across the nation.

Learn more about USDA Rural Development programs, investment opportunities, and past investment stories at RD.USDA.Gov/SD . Discover more investment details and historical data in the Rural Data Gateway . Subscribe to USDA Rural Development updates for South Dakota on the GovDelivery subscriber page .

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