Fund awards require business plans, cost proof, and public reporting

The fund may support the listed research and economic development projects. Eligible projects include research and equipment, scholarships and workforce programs through listed institutions, infrastructure, business growth, and recruitment of projects or workers to South Dakota.

A business applying for an award must submit a business plan to the Governor’s Office of Economic Development before the Governor may award money. This applies when an applicant for a fund award is a business. The plan must describe the goods or services, job types and education needs, pay and benefits, accounting practices, and other public or private funding. The plan is due before the Governor awards money.

Awards may reimburse only actual project costs, and applicants must sign an agreement before fund money may be spent. These terms apply to awards from the employer’s investment in South Dakota’s future fund. For awards above $1 million, applicants must provide itemized records of project spending and proof of payment before any fund money may be spent. The Governor must approve the award before the commissioner and applicant sign the agreement. Agreements must be posted for public inspection, except for trade secrets and other sensitive or privileged information protected by state law. The agreement and, for awards above $1 million, spending records and proof of payment are required before fund money may be spent.

The Governor’s Office of Economic Development must report each year on awards and make rules for applications, reviews, agreements, payments, and returning award money. Reports cover each fund award or grant; the rules cover fund applications, impact reviews, agreements, awards, and return of money. Reports to the listed legislative committees must cover recipients, award amounts, project purposes and progress, impact measures, jobs created or retained, and the fund balance. For awards made more than two years before a report, it must include any projection of jobs created or retained since the award. A committee chair may ask the agency commissioner to answer questions. Rules must cover returning money if project circumstances change, performance expectations are not met, or a project fails or moves out of state. Reports are due annually. Job projections apply to awards made more than two years before the report.