State of the Foundation: Strengthening South Dakota Communities for the Future

For nearly four decades, South Dakota Community Foundation (SDCF) has worked to connect generosity with need, helping communities across the state build lasting impact. As SDCF reflects on 2025 and looks ahead to the year to come, President & CEO Stephanie Judson shared a clear message with stakeholders in her annual State of the Foundation on Feb. 2, 2026: South Dakota’s philanthropic future is strong, responsive and rooted in partnership.

Now in its 39th year, SDCF continues to grow in both reach and impact. Over the last year, SDCF awarded more than $40 million in total grants, supporting scholarships, nonprofits, community foundations and local initiatives statewide. These grants reflect SDCF’s enduring commitment to strengthening communities today while building resources that will serve South Dakota for generations.

Leadership and Stewardship

Strong governance remains central to that mission. In 2025, SDCF welcomed new board members, reelected returning leaders and celebrated the service of longtime board member Dennis Batteen. “We are incredibly grateful for the leadership and commitment our board members bring to this work,” Judson said, noting that their experience in stewardship helps ensure SDCF remains responsive to community needs while honoring intent.

Grantmaking With Purpose

Grantmaking continues to be a hallmark of SDCF’s work. Through the South Dakota Fund, SDCF awarded $1.1 million in grants in 2025, supporting a wide range of efforts, including human services, economic development, health, education and cultural programs.

When federal funding cuts created new challenges for nonprofit partners, SDCF responded quickly. In the second half of the year, SDCF awarded nearly $500,000 to 15 nonprofits to help fill critical funding gaps. “Our role is to be responsive and adaptive,” Judson shared, “especially when nonprofits are facing unexpected challenges.”

Looking Ahead: Focused Initiatives

In 2026, SDCF is sharpening its focus on three priority areas identified through years of community engagement and grantmaking: child well-being, housing and workforce development. Through this new initiative, organizations can apply for grants of up to $50,000 for planning and development or up to $100,000 to implement projects that address these pressing statewide needs.

“These are issues we see repeatedly across South Dakota,” Judson said. “By focusing our efforts, we believe we can help create meaningful, long-term change.”

Opening Doors Through Scholarships

Education remains a cornerstone of SDCF’s impact. In 2025, SDCF administered 360 scholarship funds, awarding 947 scholarships totaling more than $1.2 million. A new online application system streamlined the process for students, increasing access and awareness of available opportunities.

SDCF continues to support several other large-scale scholarship programs, including the Build Dakota and Freedom Scholarships. The former provides scholarships to students attending the state's four technical colleges and pursuing careers in 10 high-need workforce areas. The latter is a needs-based scholarship for students attending four-year institutions in South Dakota. Both require that recipients commit to living and working in the state upon graduation—contributing to workforce development across South Dakota.

Investing in Hometowns

Community Savings Accounts remain one of the most distinctive aspects of SDCF’s work. With 90 community partners and more than $67 million in endowed assets, these locally guided funds empower residents to invest directly in their hometowns. In 2025, community foundations awarded approximately $2 million through more than 660 local grants, supporting projects identified by local leaders.

“Time and again, we see that when people are given the opportunity to invest in their communities, they step forward,” Judson noted.

A Future Built to Last

Today, SDCF manages more than $1.2 billion in endowed assets, ensuring that generosity continues to generate impact year after year. By remaining an endowment-based organization, SDCF provides a steady, sustainable stream of support for communities, nonprofits and students across the state.

As SDCF looks ahead to 2026, Judson emphasized the importance of partnership. “Everything we accomplish is made possible by donors, volunteers, nonprofits and community leaders who believe in South Dakota’s future,” she said.

Together, those partnerships continue to strengthen communities and create opportunities, today and for generations to come.