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The Dakota Scout

Department of Corrections builder predicts new Sioux Falls prison won't cost $650M

South Dakota breaks ground on new men's correctional complex, leaders call for continued focus on recidivism

Joe Sneve's avatar
Joe Sneve
Apr 22, 2026
∙ Paid
JE Dunn Construction’s Vance McMillan at the April 22, 2026 prison groundbreaking in Sioux Falls. (Joe Sneve/The Dakota Scout)

The lead contractor on the state of South Dakota’s long-sought replacement of its 145-year-old penitentiary predicts the $650 million prison will come in under budget.

And that’s beyond the $175 million had already been trimmed from the state’s original plans.

“We’re on track to really deliver a great project under budget, probably a little bit bold making that statement, but that’s my statement but that’s my statement today, and I’m pretty sure to see today, I’m going to go back that up,” JE Dunn Construction’s Vance McMillan predicted during a Wednesday morning groundbreaking ceremony for a new men’s prison in northeast Sioux Falls, a milestone in the South Dakota Department of Corrections’ often maligned path to a multi-level security, modernized correctional campus.

Gov. Larry Rhoden, left, Lt. Gov. Tony Venhuizen and staff at the prison groundbreaking in Sioux Falls April 22, 2026. (Joe Sneve/The Dakota Scout)
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