$30M congressional appropriation to allow for expanded Sioux Falls airport concourse project

The Sioux Falls Regional Airport will be able to further expand its concourse and eventually pursue international flights, thanks to a recently approved $30 million congressional appropriation.

The funding was included in an appropriations bill for fiscal 2026. It will allow the airport to expand the scope of construction underway to include a net gate of five gates instead of four; additional space for seating, retail and concessions; and the eventual addition of a customs facility to allow for international air travel.

“It’s going to be a huge help in us completing this project and building it as we intended it to be,” said Dan Letellier, executive director of the Sioux Falls Regional Airport.

“It’s been several years in the making … and I can’t say enough about Sen. Rounds and Sen. Thune’s staff, and Congressman Johnson … if it comes back to the House side will certainly support it and do whatever he can to make sure it makes it to the finish line. All our representatives and senators played a big role in trying to get this to fruition.”

“It allows us to move forward and position ourselves for that expanded customs facility, so at some point, we can secure international flights and be an international airport.”

The airport was among several projects recently funded through congressionally directed spending.

“This batch of appropriations bills includes several million dollars for projects in South Dakota that aim to improve in our rural health care facilities, expand our regional airports and invest in affordable housing,” Rounds said in a statement.

The funding comes as the Sioux Falls Regional Airport completes a record year for passenger travel in 2025 and has more available seats than ever to begin 2026.

Had the concourse project moved forward with only the minimum scope of work, “it would have been maybe not what people would expect,” Letellier said. “People have been very complimentary about our facility and the amenities we have, so adding quite a bit of space and not really adding any features to go with it would have been challenging. This will certainly build it the way we intended or come close.”

If the state of South Dakota approves a no-interest loan, which also could include a similar loan from the city of Sioux Falls, “it will be an option if we need some additional funding to finish it all off,” Letellier said.

He expects to bring the increased construction plan forward as soon as the airport’s next board meeting later this month. Once approved, it can be bid with the full package of improvements. The base bid and associated terminal apron improvements was estimated at $70 million. Adding in the extra gate and more space adds about $35 million.

The congressional appropriation “will make the difference in being able to do it or not,” Letellier said. “It’s a huge difference.”

The airport provides more than $900 million in annual economic benefit, he added.

“The vast majority of people (for the entire state) are flying in and out of Sioux Falls, and to be able to meet that growth that’s coming in the future and potentially lead us to international flying — I think that’s really exciting.”

The base build is targeted to be done in early spring of 2027. Building the additional seating and atrium area will require closing gate No. 3, which can’t be done until the first new gates are available. That adjusts the total construction timeline, and the new goal is to be done around the end of 2027.

In the meantime, the airport now is home to a Global Entry Enrollment Center. It’s a place where applicants for the U.S. Customs and Border Protection’s Global Entry program can complete an in-person interview after applying online. The centers are a step in completing the process for expedited clearance when reentering the United States.

Interviews can be scheduled from 2 to 4 p.m. Tuesday through Thursday. Click here to learn more.

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