Category: Directions Newsletter

The Sioux Falls Development Foundation added two business executives to the organization’s board of directors. Elected through a vote of the membership, Kurt Brost and A.J. Saigh began their terms on January 1^st.

Bob Mundt, President/CEO

At our September and October Board retreats, we had the opportunity to share ideas with several of our community partners including our real estate brokers, city leaders, county leaders, Sioux Metro Growth Alliance, educational partners and human resource professionals from many of our key industries. These days were spent analyzing current strategies and projects including land sales, acquisition and development, identifying target markets for industry as well as strategies for retaining our current industries and talent/workforce development.

With input from our partners and analysis from staff and Board members, we have begun to assemble our action plans for the Development Foundation for the next three years. Potential opportunities include:

Land

• Meeting demand for smaller lots.
• Regional options for land acquisitions and sales in neighboring communities.
• Consideration of resource limitations when targeting and attracting companies.

Target Markets

• Retain and expand high tech existing industry.
• Target one corporate headquarters relocation.
• Consider workforce limitations and critical infrastructure as it affects community growth.

Workforce

• Grow INTERN Sioux Falls programming.
• Take Talent Draft Days to targeted campuses recruiting key high need job candidates.
• Utilize alumni associations from high schools and regional universities to recruit talent.
• Expand Career Connections to more regional high schools.
• Redirect WORK Sioux Falls programming to universities and tech schools.
• Initiate a “Come Home to Sioux Falls” campaign.
• Focus on a skilled trades campaign.
• Continue and expand the UPSKILL Sioux Falls programs to include CNA and skilled trades.
• Act as a clearinghouse for contacts connecting educational institutions with businesses.

We will continue to refine these ideas into an organized workplan with implementation strategies over the next few years and work to continue our success and progress in these areas. We believe these programs will help us remain competitive and benefit our investors, our members, and our community.

Thanks for your support over this past year. We look forward to your support in 2024. Happy New Year.

Steve Kolbeck, 2023 Chair

This past year has been a whirlwind for me with my first year as a State Senator, Chair of the Development Foundation and addressing all the changes taking place in the corporate world given inflation, interest rates and the focus on energy and how we produce it. I do need to thank the Foundation Board of Directors and the staff for making tough decisions and for implementing policy and programs that continue to address our challenges and move the organization forward. Aside from the fact that there’s never a dull moment, 2023 has been great and the future continues to look bright with proper planning and strategic thinking.

We were able to share our successes at the Annual Meeting held on Thursday, November 16, with many of you. Our annual report highlighted the activities and successes of the Foundation. Special kudos to Jim Soukup, our 2023 Spirit of Sioux Falls award recipient, for his outstanding contributions to the community and the Foundation.

As we reach the end of 2023, the Development Foundation has touted the success of Foundation Park to dispel the myth of “Flopdation Park” when Foundation, State and City leadership announced the Park in 2015. With over 500 acres sold to date creating over 2,300 jobs and millions in new tax base, the activity for land development and companies wanting to expand or relocate to Sioux Falls is still consistent. We have leveraged our partnerships and our relationships with the City to continue to accomplish our mission and expand our thinking. More successes will come.

Our workforce development efforts have revolutionized how we help business and the community recruit talent utilizing our relationships with educational institutions, human resource professionals and marketing to promote the Sioux falls region as “THE” place to have a career. As a community growing by 5,000+ people per year, we know our efforts are paying off. While we still have one of the lowest unemployment rates in the country, we continue to do everything we can to make the Sioux Falls region their first choice.

I want to thank the Board, committee members and staff of the Development Foundation for their work in guiding the organization. Special thanks to the retiring Board members, Kurt Loudenback and Jeff Fiegen for their time on the Board and their contributions over the past six years. I also want to welcome our two new Board members, Kurt Brost and AJ Saigh, and encourage them to further engage and be active members of this Board.

I have truly enjoyed my time leading the Sioux Falls Development Foundation and thank all of our investors. We have a strong organization and I am confident we will continue to grow, problem solve and make a positive difference in our region.

Thanks for your support.

The 4th quarter of the year always seems to be the busiest in terms of groundbreakings! Businesses and organizations are excited to get shovels in the ground before the snow flies, and this year was no different. The Development Foundation was honored to coordinate and host four groundbreakings in the fourth quarter, and 13 total groundbreakings for the year in 2023.

See photos and recaps of each groundbreaking that took place!

With the change of the color of the leaves comes the change of season… Fall! Here at the Development Foundation, we associate fall with groundbreakings, and that’s been true over the past few months!

We hosted three groundbreakings during the third quarter of 2023, and we’re excited to help usher in new chapters of growth and success for each of the businesses and organizations who’ve held groundbreakings this year. Take a look below to find a recap of each one!

By Steve Kolbeck, Sioux Falls Development Foundation Board Chair

We’ve all heard the expression “going above and beyond.” It’s always been the tradition through Forward Sioux Falls, city projects, our educational systems, and our organization’s many programs and projects to be the best and take it one step further. To go beyond.

As the Sioux Falls Development Foundation nears eight years of developments in Foundation Park; and the half-way point of the eighth Forward Sioux Falls program, our organization is embarking on a strategic planning process to evaluate what we have done over the past five years and chart a course for the next five years. Borrowing from the recent celebration of the EROS Data Centers 50^th anniversary, and their partnership with the Development Foundation for three decades, we have developed our theme for next year…GOING BEYOND.

Since those early years, the Sioux Falls Development Foundation, with the help from our partners and the Forward Sioux Falls campaigns, our region has the reputation of not just getting things done but doing them well. This has only been possible because of the willingness of municipal, business, and community leaders to go above and beyond what is expected. Donating literally millions of private dollars to partner with public funds to make things “just a little bit better” and to stand above what other communities are doing.

Two recent examples include announcements of the new skate park at 10^th and Cliff and the Phase III of the River Greenway downtown. Both these projects could have been accomplished with just public dollars; but limited funds accounts for limited features. Without the addition of private dollars, these projects, and many others would be nice, but average. With the addition of private sector dollars, these attractions are now world-class and rank as some of the best in the country.

This same logic applies to the Development Foundation and Foundation Park. Without the help from the City, the State, the private sector and a general vision of what was needed to go beyond traditional parks, Sioux Falls was able to create South Dakota’s largest industrial park and only megasite. Without this, we would not have been able to create thousands of new jobs to date and nearly $600 million in new tax base for the City, the County and the school districts. Without this going beyond attitude, we would not be seeing the tremendous growth we now see downtown, the housing development, the population growth or the consistent retail and commercial growth we have experienced.

The Development Foundation is looking toward the next five years — to make sure that controlled, organized and smart growth continues. We will continue to go above and beyond, just like our EROS partners have done over the past 50 years. Just as EROS has their mission, we have ours and we will continue to look for new ways to grow our tax base, create quality jobs, and improve the quality of life for all.

By Mike Lynch, Director of Investor Relations – Forward Sioux Falls

Those of us who have lived in Sioux Falls all our lives, or perhaps a long period of time, recognize that this community is special.

During the 1980s, business leaders saw the potential of how it could become an even greater city. There were opportunities to diversify the economy and take Sioux Falls from what was then a regional hub to a city of national prominence. To do this, however, there would need to be an ambitious marketing effort as well as recruiting both businesses and people to take us to that next level.

It was not always an easy road. Some community members felt issuing bonds to fund new projects was too risky and not fiscally responsible. Many with this perspective did not want Sioux Falls to grow. Local leaders recognized that in order to overcome this sentiment and advance our community, an organized and dedicated effort would be needed.

To have a significant impact, it was decided that a centralized focus with dedicated planning and resources would be required. As the business community had great respect for both the Chamber and Development Foundation, forming a partnership between the two and creating Forward Sioux Falls was the most appropriate way to meet these lofty goals.

The Chamber’s Evan Nolte and Development Foundation’s Roger Hainje began conversations with National Community Development Services (NCDS) Founder Howard Benson. NCDS was based in Atlanta and had facilitated successful economic development programs in both Atlanta and Denver. Creating a five-year program would allow adequate time to do the important work within each of the program initiatives.

From there, the first Forward Sioux Falls program was established and has to the present day, adhered to the following structure:

• A new program is freshly imagined to ensure the business community’s most acute economic development and workforce needs are addressed.
• Program initiatives are formulated.
• The campaign is conducted, and funds are raised to fund the program.

Over the past three decades, there has been exceptional trust in the process. Serving as the Forward Sioux Falls governing body, the Joint Venture Management Committee (JVMC) oversees both programmatic and fiduciary elements.

Forward Sioux Falls is midway through our five-year program. We are well on our way to meeting our five-year goals, which include:

• 4,500 new, direct jobs at above median wage added
• $500 million in new capital investments
• $250 million in new property tax revenues
• Over 300 acres of land sold and developed
• 300 existing companies assisted

The success of Forward Sioux Falls is made possible by the commitment from our investors who understand the program’s positive, collective impact and also how putting competitive differences aside results in a community-wide return on investment.

The mission of the Sioux Falls Development Foundation is:

To collaboratively create quality economic growth and workforce development to improve our quality of life.

We will accomplish this through our core values:

1. Demonstrate integrity and accountability in everything we do.
2. Provide relevant and creative solutions.
3. Pursue the “win/win” in everything we do.
4. Trust and respect our partners and ourselves.

This is the mission and the core values of the Foundation and the basis for our current strategic planning process. Since the inception of Foundation Park in 2015 and the subsequent success of the past years, Sioux Falls and Foundation Park have changed dramatically. With the addition of national brands including Amazon, Federal Express, Lineage Logistics and CJ Foods as well as regional brands including Nordica, Muth, Tessiers, Scherer and Dakota Carriers, Foundation Park and Sioux Falls is becoming a location of choice. Literally hundreds of millions of dollars in new tax base and thousands of good paying jobs.

All this was planned and envisioned eight years ago as the Development Foundation and community leaders discussed and implemented plans to make the vision a reality. Controlled and common-sense growth takes planning so as to create an organized process for growth.

Now in 2023, the Development Foundation is again beginning to plan for the future. We have begun the process of evaluating our strengths and weaknesses and determining a direction for our future. Our planning process includes evaluating the resources we have available to chart a course for the success of Sioux Falls and the Foundation well into the future. We’ll be reviewing our land strategy, sales strategy, prospect lists, workforce strategy, incentives and the next generation of business recruitment in the Sioux Falls region.

We know that Foundation Park was just the beginning. Sioux Falls will continue to grow and the Development Foundation will continue its focus on the future. We’ll work with all of our partners to coordinate and implement positive growth and address the challenges of the future. It’s the Sioux Falls way.

Summer is here! School is out, the weather is warm, and it’s time for new beginnings. Summer also means internship season, and the Foundation is excited to introduce our intern for the summer, Maddie Schwebach!

Maddie grew up in Dell Rapids, S.D., and attended Dell Rapids St. Mary High School. After graduating, she continued her education at the University of South Dakota, where she graduated in May 2023 with a Bachelor’s degree in Business Economics with a minor in Sustainability.

This summer, she’s assisting staff with identifying potential opportunities for development through conducting market research and will help coordinate and organize events and outreach activities to increase community awareness of Foundation initiatives.

When it comes to working at the Foundation, Maddie is most excited to network and form connections.

“I am a people person!” Maddie said. “I enjoy learning about new ideas and concepts, so I am looking forward to learning how to apply what I learned during my four years at USD to my projects at the Foundation.”

If you stop by the office this summer, be sure to say hello to Maddie and welcome her!