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Sioux Falls one‑stop relocations draw questions over rent and workplace safety
Summary
DSS and DHS staff told the committee the state will occupy space in a new Sioux Falls one‑stop; committee members pressed for analysis showing why the move is cost‑effective and for documentation on alternative locations and prior leases.
Lawmakers pressed Department of Social Services and Department of Human Services officials on the rent and operating costs for a new “one‑stop” human services center in Sioux Falls during the Joint Committee on Appropriations hearing.
DSS said it will be a major occupant of the new building in Sioux Falls, characterizing the one‑stop as a modern, customer‑facing space designed to improve access and staff working conditions. "We have seized an opportunity in this 1 stop to go forward with a model that really lifts the spirits and speaks to the dignity of each individual as they walk in the door," Matt Althoff said.
Why it matters: Committee members flagged the proposed rent and operating increase as a substantial recurring cost to state taxpayers and asked for documentation. Representative Van Heysen, Senator Howard and others requested a written analysis of site selection, comparative costs and security concerns at the current 811 building and other alternatives.
Details and questions from the committee - Rent and operating increase: Jason Simmons said the full annual cost of occupying the new one‑stop—once all departments have moved in—adds materially to the DSS rent and service budgets; the presentation listed ongoing rent/utilities/janitorial impacts to multiple DHS/DSS budget lines. Simmons described ongoing costs in the DSS presentation as part of a larger set of administration impacts. - Safety and location: Althoff described the present 811 building as dated and sited near homeless outreach areas that create "unsafe environments for individuals that are our staff" and cited lack of natural lighting and building limitations as part of the rationale for relocation. - Oversight and work group: Althoff and DSS staff said the proposed move and related costs will be examined by a legislative work group; Representative Van Heysen and Senator Howard asked for the underlying site comparison and a written record of alternatives considered before the lease decision.
Committee members asked the agencies for follow‑up documents including: (1) the analysis used to pick the new space versus alternatives, (2) total annual rent and operating costs and (3) whether existing leases at 811 can be renewed or alternatives found, and (4) a breakdown of which staff and how many will relocate. DHS later clarified that 45 DHS staff will move into the new Sioux Falls one‑stop but that some DHS facilities (for example the Rehabilitation Center for the Blind and DDS) will stay at their present locations.
What the agencies said they will provide DSS and DHS agreed to provide additional documentation and share details through a work group established to review the move, the committee's members said. The agencies also noted federal administrative claiming opportunities that reduce the net cost in certain budget lines.
Ending Lawmakers signaled they want more documentation before authorizing the full recurring rent and service cost. The issue will be examined in the committee work group and may factor in final appropriation decisions.
