South Dakota

Performance and payment bonds in South Dakota

Construction data, public works bond rules, and city guides for South Dakota contractors. A quote is not a binder.

South Dakota had 3,802 construction establishments employing 25,640 people in 2023, and builders pulled permits for 6,017 new housing units in 2024. Public owners across the state require bid, performance, and payment bonds on most construction contracts. Below are the state's construction numbers, the bond law that applies to public work, the factors sureties weigh, and guides for the largest cities.

South Dakota construction at a glance

MeasureSouth DakotaSource
Construction establishments (2023)3,802Census CBP
Construction employees (2023)25,640Census CBP
Annual payroll per construction employee$68,763Census CBP
Commercial and institutional building contractors201Census CBP
Heavy and civil engineering contractors248Census CBP
Construction firms with fewer than 5 employees68%Census CBP
New housing units authorized (2024)6,017Census BPS
Value of new housing units authorized (2024)$1,412,302,000Census BPS

Sources: U.S. Census Bureau, County Business Patterns 2023: construction (NAICS 23), commercial and institutional building construction (NAICS 236220), and heavy and civil engineering construction (NAICS 237); U.S. Census Bureau, Building Permits Survey, 2024 annual state estimates.

Public works bond law in South Dakota

State and local public construction in South Dakota is governed by SDCL chapter 5-21 (bonds of contractors for public improvements). Federal projects in South Dakota are bonded under the Miller Act. Thresholds, notice periods, and claim deadlines differ, so read each solicitation and the statute. More in our public works bond laws guide.

What moves a South Dakota bond quote

  1. Credit of the company and its owners.
  2. Financial statements: working capital, net worth, and profitability.
  3. Experience with jobs of similar type and size.
  4. Backlog compared with your approved capacity.
  5. Job terms: bond form, schedule, warranty period, and liquidated damages.
  6. Bank support and an available line of credit.

See bond cost factors and bonding capacity.

City guides for South Dakota

Bond types and guides

More South Dakota communities

We accept bond requests for projects anywhere in South Dakota. Other communities, A to Z:

A — Agar · Akaska · Albee · Alcester · Alexandria · Alpena · Altamont · Andover · Arlington · Armour · Artas · Artesian · Ashton · Astoria · Aurora · Avon

B — Badger · Baltic · Bancroft · Batesland · Belle Fourche · Belvidere · Beresford · Big Stone City · Bison · Blunt · Bonesteel · Bowdle · Bradley · Brandt · Brant Lake · Brentford · Bridgewater · Bristol · Britton · Broadland · Bruce · Bryant · Buffalo · Buffalo Gap · Burke · Bushnell · Butler

C — Camp Crook · Canistota · Canova · Canton · Carthage · Castlewood · Cavour · Centerville · Central City · Chamberlain · Chancellor · Chelsea · Claire City · Claremont · Clark · Clear Lake · Colman · Colome · Colton · Columbia · Conde · Corona · Corsica · Cottonwood · Cresbard · Crooks · Custer

D — Dallas · Dante · Davis · De Smet · Deadwood · Dell Rapids · Delmont · Dimock · Doland · Dolton · Draper · Dupree

E — Eagle Butte · Eden · Edgemont · Egan · Elk Point · Elkton · Emery · Erwin · Estelline · Ethan · Eureka

F — Fairburn · Fairfax · Fairview · Faith · Farmer · Faulkton · Flandreau · Florence · Fort Pierre · Frankfort · Frederick · Freeman · Fruitdale · Fulton

G — Garden City · Garretson · Gary · Gayville · Geddes · Gettysburg · Glenham · Goodwin · Gregory · Grenville · Groton

H — Harrold · Hartford · Hayti · Hazel · Hecla · Henry · Hermosa · Herreid · Herrick · Hetland · Highmore · Hill City · Hillsview · Hitchcock · Hosmer · Hot Springs · Hoven · Howard · Hudson · Humboldt · Hurley

I — Interior · Ipswich · Irene · Iroquois · Isabel

J — Java · Jefferson

K — Kadoka · Kennebec · Keystone · Kimball · Kranzburg

L — La Bolt · Lake Andes · Lake City · Lake Norden · Lake Preston · Lane · Langford · Lead · Lebanon · Lemmon · Lennox · Leola · Lesterville · Letcher · Long Lake · Lowry

M — Madison · Marion · Martin · Marvin · McIntosh · McLaughlin · Mellette · Menno · Midland · Milbank · Miller · Mission · Mission Hill · Mobridge · Monroe · Montrose · Morristown · Mound City · Mount Vernon · Murdo

N — Naples · New Effington · New Underwood · New Witten · Newell · Nisland · North Sioux City · Northville · Nunda

O — Oacoma · Oelrichs · Oldham · Olivet · Onaka · Onida · Orient · Ortley

P — Parker · Parkston · Peever · Philip · Pickstown · Piedmont · Pierpont · Plankinton · Platte · Pollock · Presho · Pringle · Pukwana

Q — Quinn

R — Ramona · Ravinia · Raymond · Redfield · Ree Heights · Reliance · Revillo · Rockham · Roscoe · Rosholt · Roslyn

S — Salem · Scotland · Selby · Seneca · Sherman · Sinai · Sisseton · South Shore · Spencer · Springfield · St. Francis · St. Lawrence · Stickney · Stockholm · Strandburg · Stratford · Sturgis · Summerset · Summit

T — Tabor · Timber Lake · Tolstoy · Toronto · Trent · Tripp · Tulare · Turton · Twin Brooks · Tyndall

U — Utica

V — Valley Springs · Veblen · Verdon · Viborg · Vienna · Vilas · Virgil · Volga · Volin

W — Wagner · Wakonda · Wall · Wallace · Ward · Warner · Wasta · Waubay · Webster · Wentworth · Wessington · Wessington Springs · Westport · Wetonka · White · White Lake · White River · White Rock · Whitewood · Willow Lake · Wilmot · Winner · Wolsey · Wood · Woonsocket · Worthing

Y — Yale

Contractor bonds in South Dakota: FAQ

Which law requires bonds on South Dakota public works?

SDCL chapter 5-21 (bonds of contractors for public improvements). Federal projects follow the Miller Act.

How many construction companies are in South Dakota?

The Census Bureau counted 3,802 construction establishments in South Dakota in 2023, including 248 heavy and civil engineering contractors.

Who regulates surety companies in South Dakota?

Surety companies are regulated by the South Dakota Division of Insurance.

How do I get a performance bond in South Dakota?

Apply with your company and owner information, financial statements, and project details. The surety sets your limits and rate based on underwriting.

Sources

Start a South Dakota bond request

Last updated October 15, 2026 · How we research