authorize loans from the South Dakota housing infrastructure fund for airport infrastructure.

Low-interest infrastructure loans for South Dakota airports

The law allows new airport loans from South Dakota's housing infrastructure fund, alongside its existing loan programs. Airport owners or operators qualify if their South Dakota airport has scheduled air service. The airport must be in a metro area with at least 125,000 residents, using Census Bureau estimates for July 1, 2024. Loans fund airport improvements or maintenance, with a $15 million limit per recipient. They require no collateral, charge 2% yearly interest, and use equal annual payments over 20 years. The first payment is due one year after funding; loans must close and receive funding by June 30, 2030. The state housing authority must approve or deny each loan at a public meeting. It must also set application, approval, and payment rules for both existing programs and these new loans. Repayments return to the fund to make new loans under its existing loan authority. The law exempts municipal borrowers and regional airport authorities from specified state borrowing requirements, but municipalities still face constitutional debt limits.