The 68 miles of track serve the Canton, Beresford and Elk Point areas. The $10 million price will be spread equally over 20 years at 2% interest. Next step is approval by Governor Kristi Noem.
The Sioux Valley regional railroad authority will be terminated as part of the new deal.
State Transportation Secretary Joel Jundt said the final closing will occur probably in March. The board voted 6-0 Wednesday to authorize the sale documents.
“This really is a historic moment for us and for you guys,” Jundt told the board.
Said chairman Jerry Cope of Rapid City: “I think Governor Janklow would be proud.”
A news release was issued later in the day.