Federal Grant Funds South Dakota Cropland-to-Grass Conversion

South Dakota landowners with marginal cropland can enroll in 10-year voluntary grassland agreements with cost assistance.

Updated on Nov. 2, 2026 in Agriculture

Wide photograph of tall prairie grass meeting a strip of plowed brown earth under an open sky across rolling South Dakota plains. — The Second Century Habitat Fund received a $7.98 million USDA grant to convert 7,500 acres of South Dakota marginal cropland into managed perennial grassland. AI Illustration. Upload story photo >

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The Second Century Habitat Fund, a South Dakota conservation group, received a $7.98 million USDA grant to restore grassland through the Working Lands Grassland Recovery Initiative. The program will convert 7,500 acres of marginal cropland into perennial grassland for South Dakota agricultural operators.

Why it matters

The grant funds voluntary 10-year agreements that let landowners move marginal cropland into managed grassland that stays available for grazing and hay. The initiative is one of 42 projects selected nationwide under the USDA's Regional Conservation Partnership Program, signaling federal interest in pairing working-lands production with conservation.

The $7.98 million federal grant supports conversion of 7,500 acres of marginal cropland, one of 42 projects selected nationwide under the Regional Conservation Partnership Program. Participating landowners sign voluntary agreements lasting 10 years.

The players

Second Century Habitat Fund

A South Dakota conservation group that received the $7.98 million grant to carry out the grassland restoration work.

U.S. Department of Agriculture

The federal agency that administers the Regional Conservation Partnership Program and awarded the grant funding.

South Dakota Game, Fish and Parks

The state agency partnering on the project, which manages the state's wildlife and outdoor resources.

The details

Landowners who enroll voluntarily agree to convert marginal cropland into perennial grassland under 10-year agreements. Eligible participants may receive help with land preparation, seed purchases, planting costs and rental payments during the early years. Applications will be reviewed competitively, with priority going to projects that offer strong conservation benefits. The project is carried out in partnership with South Dakota Game, Fish and Parks.

Grant announced in an article dated November 2, 2026, from Rapid City, S.D.
Landowner agreements run 10 years once signed.
The initiative is expected to launch soon.

Market Landscape

The award sits within the USDA Regional Conservation Partnership Program, which funds voluntary conservation projects selected competitively across the country. It shows federal support for keeping marginal cropland productive as managed grassland rather than returning it to the plow.

Operators with marginal cropland should weigh whether enrolling in a 10-year voluntary grassland agreement fits their long-term acreage plans. Consult a qualified accountant or agricultural advisor before committing land to a multi-year program.

The takeaway

Ranchers and grain operators considering cropland conversion should compare the 10-year commitment against expected grazing and hay returns. Monitor program launch details and application criteria once the initiative opens.