Business Incentives Summary

City of Volga Sales Tax Incentive Grant Program

The Sales Tax Incentive Grant (STIG) Program promotes and advances the economic well-being of the community by encouraging diversification of the economic base, growing the tax base, and creating jobs.

Grants are equal to a portion of local sales tax collected by the business and add up to more than a year’s worth of local sales tax. The amount is up to 50% of sales tax collected in year one, 35% in year two, and 20% in year three. 

Qualifying businesses are ones which reduce sales leakage to other markets and retain significant sales in Volga and/or are in target business sectors which are commercial/industrial or technology-based in nature. 

Heartland Energy Grants, Incentives, Funds, & Loans
Heartland Energy is the City of Volga's wholesale power provider. Heartland Energy takes a proactive stance on economic development and offers several incentives for new and growing businesses.

Electric Growth Incentive
Businesses receive rebates equal to more than a year’s worth of electricity. Rebates are equal to 50% of the electric power bill in year one, 35% in year two, and 20% in year three. Rebates are paid quarterly and cannot exceed $50,000 per year.

Job Growth Incentive
Businesses receive cash for adding three or more qualifying jobs. The incentive is equal to $300 per job paying at least $8 per hour, $500 for jobs paying at least $12 per hour, and $700 for jobs paying at least $16 per hour. 

HELP Fund 
The Heartland Economic Development Loan Program (HELP) Fund promotes community development through a revolving loan fund. It provides funds for business ownership and expansion, job creation and retention, and entrepreneurial endeavors. 

Energy ONE Incentive
This incentive is designed to facilitate significant new business development and expansion. The program provides a special energy-only rate for new retail loads with an approximate demand of half a megawatt or larger. 

Customers will have no demand charge on their bills and a fixed energy usage rate for the first three years. 

Click here to view the list of incentives, funds, and rebates that may be available for your business. 

Brookings County Discretionary Formula
Brookings County offers a discretionary property tax formula for businesses investing $30,000 or more in new construction or expansion. The graduated rebate provides a five-year exemption on property taxes where the industry pays 20% of the tax in year one, 40% in year two, 60% in year three, 80% in year four, and 100% in year five.

For more information on the Brookings County Discretionary Formula, contact the Equalization Office at 605-696-8220 or visit their website.

Downtown Revitalization Program
The Volga Development Corporation created the Downtown Revitalization Program to encourage business growth and make a positive statement about the downtown business climate. The program offers matching grants up to $5,000 to downtown businesses who make visible improvements to the exterior of their buildings. 

Program Information
Application to Apply

Volga Development Corporation Sign Grant
The VDC will pay up to $500 for signage in the downtown area. Click here to view the application and information.

Have further questions about incentives, building, zoning, utilities, or anything else needed to begin or develop? Contact Michael Schulte, City Administrator, at 605-627-9113 or by sending a message.