Funding Sources

Water, Sewer and Solid Waste

DENR State Water Plan

Units of government, non-profits, and rural water systems are eligible to list water, sewer, storm water, and stream projects on the State Water Plan. A project must be listed on the State Water Plan in order to be eligible for grant and loan funds from DENR. Applications are accepted on a quarterly basis.

DENR Project Funding Programs

The South Dakota Department of Environment and Natural Resources (DENR) has several programs available to communities including: Consolidated Water Facilities Construction Program; Drinking Water and Clean Water State Revolving Fund Loans; and, Water Quality Grants. DENR grants and loans are available to assist with community infrastructure projects, such as drinking water systems, wastewater systems, storm water systems, and stream projects. Applications are accepted on a quarterly basis.

DENR Small Community Planning Grant

The Department of Environment and Natural Resources provides grants to communities with populations of 2,500 or less for the purpose of hiring an engineering firm to complete a system-wide water or sewer study. The grant can also be used for completing a water or sewer rate analysis. Applications are accepted year-round.

Community Development Block Grant

Community Development Block Grant (CDBG) funds are available to eligible cities and counties for water and sewer infrastructure projects. This program has income eligibility requirements for all applicants.

USDA Rural Development

Rural Development grants and loans are available to construct, repair, or expand water and/or wastewater systems. Loan and grant ratios and rates are based on ability to pay and median household income.

DENR Solid Waste Management

The Solid Waste Management Program provides grants, loans, or a combination of grants and loans for solid waste disposal, recycling, and waste tire projects. Eligible applicants include: individuals, partnerships, limited liability companies, corporations, counties, cooperatives, municipalities, regional or state-wide planning agencies, federally recognized Indian tribes, or special purpose districts that have the authority to construct or operate solid waste, waste tire, or recycling facilities.

Economic Development

GOED Local Infrastructure Improvement Program

TheLocal Infrastructure Improvement Program provides grants to assist in funding the construction or reconstruction of infrastructure for the purpose of serving economic development projects.

Economic Development Partnership Program

The Economic Development Partnership Program provides matching grants to assist in funding equipment and training needs, new staff, or to elevate existing part-time staff for the purpose of developing or expanding local and community economic development programs. Grants may also be used to commence or replenish local revolving loan funds for the purpose of developing or expanding housing, community development, and economic development programs.

SDDOT Industrial Park Grants

The Department of Transportation’s Industrial Park Program is a means to assist cities and towns who have a new industry coming to their community and need for new or expanded access to the industry.

SDDOT Agri-Business Grants

The Department of Transportation’s Agri-Business Access Grants Program is a way for local governments to address road needs associated with new agri-business, such as ethanol plants, large scale elevators, etc. In many cases, these new agribusinesses create additional truck traffic that an existing road may not be built to handle.

Economic Development Association

The Economic Development Association (EDA) has assistance programs that are available to rural and urban areas that are experiencing high unemployment, low income, or other severe economic distress caused by events such as natural disasters, closure of military installations or other Federal facilities, changing trade patterns, or depletion of natural resources. The programs are meant to generate jobs, help retain existing jobs, and stimulate growth in economically-distressed areas of the United States. Grants are provided to EDA-designated areas to help industries and businesses that generate long-term private sector jobs having a regional impact. The types of projects typically funded in our region are water and sewer projects, access roads located in industrial parks, and business incubator buildings.

Community Facilities

Community Development Block Grant

Community Development Block Grant (CDBG) funds are available to eligible cities and counties for community facilities projects. Examples of eligible projects include improvements to, or the construction of fire halls, community centers, healthcare clinics or hospitals, libraries, and senior centers. This program has income eligibility requirements for all applicants.

USDA Rural Development

Rural Development grants and loans are available to construct, enlarge, or improve community facilities. Loan and grant ratios and rates are based on ability to pay and median household income.


SDDOT Community Access Grant Program

The Community Access Program assists towns smaller than 5,000 in population to construct or reconstruct main streets, the road to elevator, and roads to schools or the business district. Grants are also available for industrial park access streets for new or expanding businesses and/or agri-business industries. Grants are available on a competitive basis to local units of government and a local match is required.

SDDOT Transportation Alternatives Program

The Transportation Alternatives Program (TAP) grant program uses Federal transportation funds, designated by Congress, for specific activities that enhance the intermodal transportation system and provide safe alternative transportation options. TAP was authorized by the Moving Ahead for Progress in the 21st Century Act (MAP-21), signed into law on July 6, 2012. TAP redefines the former Transportation Enhancement activities and consolidates these eligibilities with the Safe Routes to School, Scenic Byways, and Recreation Trails Programs.

SDGF&P Recreation Trails Program

The mission of the Recreational Trails Program is to solicit and encourage support from the private and public sector to facilitate the preservation and protection of our natural resources for parks and wildlife and provide expanded recreational access opportunities. Eligible projects include: maintenance and restoration of trails, trail bridges, and signs; development or rehabilitation of trailside or trailhead facilities that have a direct relationship with the recreational trail; construction of new trails; trail accessibility studies; and educational projects.

Land and Water Conservation Fund

The Land and Water Conservation Fund (LWCF) provides Federal financial assistance for the acquisition and development of outdoor recreation land and facilities. Political subdivisions and tribal governments are eligible to apply for LWCF grants. Funds are available every other year. LWCF grants require a 50 percent applicant contribution. Eligible projects include, but are not limited to: ball fields, park roads, amphitheaters, boat ramps, fishing facilities, lighting, landscaping, ice rinks, golf courses, restroom buildings, trails, etc.

Hazard Mitigation

FEMA Hazard Mitigation Grant Program

The Hazard Mitigation Grant Program (HMGP) provides grants to States and local governments to implement long-term hazard mitigation measures after a major disaster declaration. The purpose of the HMGP is to reduce the loss of life and property due to natural disasters and to enable mitigation measures to be implemented during the immediate recovery from a disaster.

FEMA Pre-Disaster Mitigation

The Pre-Disaster Mitigation program provides funds to states, territories, tribal governments, communities, and universities for hazard mitigation planning and the implementation of mitigation projects prior to a disaster event. South Dakota receives a direct allocation of funds to be awarded to units of government, private businesses, and non-profits who have formally adopted a local jurisdiction disaster mitigation plan that has been approved by FEMA. The PDM-C is a similar program with the exception that applications to this program are competitive nationwide; funding is not allocated directly to the State, but rather drawn from a national pool of money. Funding must be used for disaster mitigation plans or projects that reduce overall risks to the population and structures, while also reducing reliance on funding from actual disaster declarations.