South Dakota Approves $650 Million New Prison Construction
On September 23, 2025, lawmakers in South Dakota approved the construction of a new state prison in Sioux Falls at the cost of $650 million. The future men’s prison, once built, will replace the South Dakota State Penitentiary, which is known as “the Hill” for its location overlooking the Big Sioux River and has been in operation for 144 years. Established before South Dakota was admitted as a state, “the Hill” is one of only a handful of 19th century prisons that are still in use in the United States (conditions at another aging facility—the New Jersey State Prison, opened in 1833—were deemed “inhumane” in a recent inspection report). [See: PLN, October 2025, p. 11].
With a more than half-billion dollar price tag, the 1,500-bed replacement for “the Hill” will be the most expensive capital project ever funded by South Dakota taxpayers. The construction plan was signed into law by Republican Gov. Larry Rhoden on the same day state legislators voted in favor of it. A previous bill to authorize the prison was put up for a vote in February and failed due, in part, to its higher price of $825 million. The state reduced the price of the approved prison plan by $175 million by shrinking common areas and designating 300 beds as a barracks.
Sources: South Dakota Searchlight, Dakota News Now
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