Grants available for Child Care Expansion and Startup

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PIERRE – Governor Kristi Noem has approved the release of $12.5 million in federal funding over the next year to fuel the expansion and startup of new child care facilities in South Dakota. These grants will be administered by the Department of Social Services (DSS).


“Over the past several months, we have held listening sessions to receive feedback from parents, child care providers, and communities to hear where state investments can be best utilized. Our joint goal is to increase the options available to parents across the state,” said Governor Kristi Noem. “We can do this by expanding our state’s capacity of high-quality, flexible child care options. And we are looking at opportunities to streamline child care regulations to increase access, as well.”


The following providers will be eligible to apply for these grants: traditional day care centers, in-home providers, employer-sponsored programs, community collaboratives, public/private partnerships, non-profit providers, municipalities, schools, and other community organizations, such as the YMCA and Boys and Girls Clubs.


“The continued growth of South Dakota’s thriving economy will rely on the provision of safe, reliable, and sustainable child care solutions for working parents,” said DSS Cabinet Secretary Matt Althoff. “We highly value those that care for our children. These grants are a reflection of how important child care is in fostering a healthy workforce that maintains our growing economy.”


Grant requests can be made for a wide variety of needs, including facility expenses, payroll and benefit increases, pre-operational health and safety resources needed to meet licensing requirements, and equipment and supply purchases needed to start a strong, safe program.


There are $25.5 million in outstanding ARPA child care dollars, and DSS will announce how these will be utilized in the near future.


For questions about expansion and startup grants, planning grants, or child care licensing contact your local DSS Office of Licensing and Accreditation, email, or call 605.688.4330 ext. 6000209.


For more information on the new program visit