Mayor TenHaken Presents 2023 Budget, 2023–2027 Capital Program

Mayor Paul TenHaken presented an overview of his administration’s proposal for the 2023 budget and the 2023–2027 Capital Program to the Sioux Falls City Council and public on Thursday, July 21, 2022. The 2023 City Budget totals $646.2 million, which includes operating, capital, and internal service expenses.

Mayor TenHaken shared that the City of Sioux Falls continues to be in a strong overall financial position, based on years of intentional financial stewardship. With this budget proposal, the City is making strategic investments to continue its commitment to maintaining current assets while prioritizing initiatives that keep Sioux Falls investible and respond to the community’s rapid growth. There is a focus on infrastructure needs to support the community’s growing footprint, along with an emphasis on public safety, impactful quality of life initiatives, and personnel.

“I believe our team’s budget proposal puts our city on the right course for the future—a course that accounts for our record growth, economic variations, and shared values through the One Sioux Falls framework that continues to inform our investments,” he said. “Through this budget, we are responsible for making strategic investments that will enhance quality of life and solidify Sioux Falls as one of the best places in the nation to live, work, and raise a family for future generations.”

The budget proposal prioritizes essential capital investments to upgrade existing assets while being intentional on meeting the demands of growth, including investments in roads, strategic land acquisition, water sources, and continued expansion of the Sioux Falls Regional Water Reclamation Plant.

The next five-year Capital Program includes investments of $931 million that prioritize infrastructure, quality of life improvements, and public safety. The preservation, repair and maintenance of the City’s streets continues to be a top priority. Funding dedicated to highways and streets is proposed to increase by nearly $50 million over the next five years, a 20 percent increase over the prior Capital Program. Arterial street expansion projects include construction of the first segment of South Veterans Parkway in 2023 and capacity improvements for Cliff Avenue south of 85th Street in anticipation of the new Harrisburg Freshman Academy.

The Mayor highlighted the exciting private and public sector development taking shape downtown and shared that the 2023 Budget proposal includes funding to rebuild the Sixth Street Bridge and add streetscaping from the Big Sioux River to Weber Avenue.

Mayor TenHaken also highlighted the new focus area of Kids and Families within the One Sioux Falls framework and outlined key investments in this area. “When kids and families are supported, we all benefit from a safer, more vibrant Sioux Falls,” he said.

The City is looking to enhance its investment in and adjust the Public Transit model, giving more intentional consideration to designing it with kids and families in mind, which includes making transit free for kids year-round. In the past several years, the City has made significant investments in quality of life amenities that serve kids and all residents, such as Jacobson Plaza, Hayward Park, and expansion of the recreational trail. The 2023 Budget includes additional investments in the recreational trail by extending the trail from Lien Park to Bahnson Avenue in east Sioux Falls. The City also will be constructing a skateboard park at Nelson Park in partnership with the Sioux Falls Skatepark Association.

Recognizing the importance of aquatics for kids, families, and all residents in Sioux Falls, the City will be making a significant investment in its aging aquatics facilities. This Capital Program plans for a quality of life bond to be issued in late 2023 or early 2024 to fund these investments and upgrades. The Mayor encouraged residents to get involved in an upcoming community engagement initiative that will determine the future of the City’s aquatics facilities.

The City’s 2023 operating budget renews the City’s focus on housing accessibility, workforce, public safety, and ensuring the City continues to deliver high quality services to residents, businesses, and visitors. “To keep up with the continued growth of our community, we also have the need for additional City team members to ensure delivery of vital City services,” Mayor TenHaken said. The 2023 budget proposal includes requests to invest in the city’s workforce by ensuring that part-time and seasonal wages remain market competitive. In addition, the 2023 Budget proposes strategic additions to department staffing, including 26 new full-time positions and four police officers. 

The proposed 2023 Budget and 2023–2027 Capital Program are available at The City Council will hold budget hearings on the proposed Capital Program and operating budget in August and will consider approval of the 2023 budget in September.

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Multimedia (click to download)


South Veterans Parkway Animation

Credit City of Sioux Falls

Benson Road and I-229
85th Street and Cliff Avenue


Sixth Street Bridge
Jacobson Plaza at Falls Park
River Greenway Phase 3
Water Reclamation Plant
Hayward Final Concept
Public Safety Campus

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