RAPID CITY, SD — On January 20th, voters in Rapid City will decide the fate of a 125-Million-Dollar Mixed-Entertainment TIF District for the nascent LibertyLand project. 

The TIF, known officially as the “Destination District”, raised eyebrows in late 2025 due to it’s large amount, and though it was initially approved by the City Council, resistance in the form of a 5,000-signature petition campaign brought the issue to a vote. Each side of the issue since then has been fighting tooth and nail for the hearts and minds of Rapid City voters, and early voting has already begun with many casting their votes.

This article should serve as a primer to both sides of the issue for the information of undecided voter. 

What Is a TIF?

A TIF at its most basic level is a tool used by a municipality. It redirects the increased property tax revenue generated by development of an area toward the improvement of infrastructure in areas surrounding an area. This is used to encourage economic growth in a given area, and was originally conceived by Californian officials in 1952 as a means of encouraging the renewal of urban areas. This practice was adopted quickly in the rest of the US, and thousands of districts exist throughout the country in the modern day.

On The Issues

However, rarely are things so simple. The major sticking point for No Free Rides Rapid City is less focused on TIFs as a whole, and more focused on $47 Million, allocated from the captured tax revenue as what is termed “discretionary funding”. 

“If you read the project plan itself on page five: it says that money ‘will be used’ not ‘may be used’ – It will be used for the development of the commercial and entertainment zone, and the city finance director, when I asked him, ‘can you get some examples of what’s allowable under that?’ He literally used the examples of nicer facades and fancier lighting, and this is for privately owned businesses of privately owned companies doing this,” says SD Senator Taffy Howard, who has been a vocal supporter of the “No” vote since the foundation of No Free Rides. “I think people have a real issue with that, that’s the definition of crony capitalism, corporate welfare, whatever you want to call it, it’s wrong, and that’s people have a real issue with that. Most people don’t have as much of an issue with this other 17 million of infrastructure”.

Team Rapid City on the other hand responded to this claim, stating on their website that discretionary funding may only be used on public infrastructure. On their website, they say “Since 2011, (SB90) South Dakota has included discretionary funding for TIFs. South Dakota, including Rapid City, has used this funding mechanism for nearly 15 years. It must be used for the Public Good and cannot be used to develop housing. Because of this investment, it could be the largest sales tax development in Rapid City history. That is money for schools, roads, public safety and property tax reduction,” seeming to contradict the statement given by Daniel Ainslie, according to Howard.

“This isn’t about giving money away; it’s about a partnership. Private development invests millions of its own dollars into Rapid City upfront. The resulting increase in value that doesn’t exist today will be used to fund the essential public services our city needs to grow,” said Brad “Murdoc” Jurgenson, representing the “Yes” campaign for Team Rapid City. “If we vote ‘No’, the burden for these necessary roads and sewers eventually falls back on the city’s general fund—meaning your existing taxes. By voting “Yes,” we ensure the developer takes the risk, while our schools and public safety departments benefit from a massive, long-term increase in the tax base”.

However on their website, No Free Rides warns that Rapid City would capture all tax revenue for the decade which this TIF is expected to last “Including the money that would otherwise go to schools, the county, and other taxing entities”.

The issue of entertainment for the city’s youth has been central to the drive of Team Rapid City, with “giving families more to do” forming the backbone of the “Yes” position. Howard challenges this notion however, saying “We live in the hills, are you kidding me? We are so blessed with where we live, and the opportunities that we have to enjoy the outdoors and have so many different activities to do”. 

Murdoc responds however, speaking of his hope for his family in the Black Hills, “I want my sons to grow up in a city that offers year-round shopping, dining, and year-round entertainment. I want them to live in a city that has the infrastructure to support their dreams. I want the quality of life of this city to improve so we can improve our workforce and housing”.

Lastly, Murdoc calls into question motivations backing his opposition. “On January 20th, we aren’t just voting on a Tax Increment Financing (TIF) district. We are at a generational crossroads. For too long, a ‘single-digit extremism’ has attempted to stall our progress by making long-term decisions that affect every single one of us. Whether it is school bonds, public safety funding, water pipelines, airport expansions, or housing and childcare solutions—even our library funding—the same voices of ‘No’ are standing in the way of the solutions we desperately need”.

Howard emphasizes that her side is not broadly “anti-growth” but that she believes this TIF represents “More government subsidized growth, the government picking winners and losers vs. allowing the free market to do its work. As property owners the Lien family have every right to do whatever they want to with their land, no one has a problem with that”. Howard went on to speak anecdotally on past conversations she has had with local business owners, saying “I went to ‘Coffee With A Cop’ a month or so ago, and there were several small business owners there. One of them was the owner of Qdoba’s. We were talking about this issue and at one point he goes, ‘I didn’t get a TIF!’ but did he not build his Qdoba’s because of that? No, he saw the opportunity – we live in a great place, low taxes, low regulation, it’s a wonderful place to start a business”.
Those seeking further information on the “Yes” and “No” positions can visit their websites at teamrapidcity.com and nofreerides.org respectively. For those seeking information on their polling place, this can be located via a quick search on South Dakota’s Voter Information Portal (VIP) at vip.sdsos.gov.