A January 2025 view of the South Dakota State Capitol in Pierre. (Makenzie Huber/South Dakota Searchlight)
A South Dakota economic development board this week approved up to $2.8 million in tax relief for a solar farm, a $10 million state loan for a cheese factory and a $7,500 state grant to help local businesses grow.
Officials expect the projects to result in a combined $395 million in private investment and create 163 jobs.
“We’re supporting a major expansion in food production, investing in renewable energy, and fueling local economic development,” Gov. Larry Rhoden said in a press release. “Each project strengthens our communities and ensures long-term growth for our state.”
The Board of Economic Development approved the awards Wednesday.
Bel Brands, known for producing mini-cheese wheels dipped in red wax, received approval for a state loan of up to $10 million. The loan, offered through the Revolving Economic Development and Initiative (REDI) Fund, provides low-interest, long-term financing for companies that want to expand or relocate in South Dakota. The company plans to build an additional 100,000 square feet of space at its Brookings plant, which would double its production capacity.
Grant Solar LLC received approval for up to $2.8 million in tax relief through the Reinvestment Payment Program to help build a 585-acre solar power facility in McCook County. The program refunds a portion of the state sales and use taxes paid on construction costs, with the goal of making capital projects more affordable to build in the state. Bel Brands was previously awarded up to $2.6 million in tax relief from the same program for its expansion.
Ally Dakota Development, a group with offices in Watertown and Rapid City that provides development support to local businesses, was awarded a $7,500 grant through the state’s Economic Development Partnership Program. The program provides small grants to help local organizations hire staff, run programs, or carry out projects that support business growth.
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