Development grant given to Rapid City for tech business creation
WASHINGTON — Rapid City is receiving a $3 million investment from the U.S. Department of Commerce to help build a new business incubator facility.
The investment, which comes from the department’s Economic Development Administration (EDA), will be matched by $4.5 million in local funds and will help to create over 100 jobs in the area.
The business incubator facility will act as a second location for the Ascent Innovation Campus, focusing on the creation of manufacturing and technology-based businesses. The new location will rely on its strong ties to both the South Dakota School of Mines & Technology and Western Dakota Tech.
Rapid City was selected because it is a designated Opportunity Zone under the Tax Cuts and Jobs Act created by President Donald Trump. Opportunity Zone designations work to spur economic development by giving tax incentives to investors in economically distressed communities nationwide.
Sen. Mike Rounds said that this grant is important for the students at the School of Mines. “We want to keep these young people in our state,” Rounds said, “and the incubator can help them and others in the area start their own businesses.”
Sen. John Thune expressed his hopes for the project by saying, “This new development is likely to spark economic growth in an area that has the potential to be a leader in technology manufacturing because of its proximity to the renowned South Dakota School of Mines and Technology.”
The new facility is set to be built on the corner of East Main Street and East Boulevard.