Black Hills Consortium

The Two Futures of
Hill City, South Dakota

A 10-Year Economic Forecast

February 2026
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AI can reverse
rural decline.

The technology industry's next frontier isn't another Silicon Valley — it's the communities that built America.

Luke Alvarez — a permanent Custer resident and founder of a 13-company consortium — is investing alongside his friends and partners in the AI industry. Together, they're proving that technology companies don't need to cluster in coastal cities. The future of rural America starts here.

Current State

Hill City Today — The Diagnosis

0
Population
Growing 0.5%/yr
0.0
Median Age
-4 years below national avg
$0.0K
Median Income
Pennington County
0.0%
Poverty Rate
Below national avg

Population History (Census-Verified)

YearPopulationSourceChange
2000780U.S. Census---
2010948U.S. Census+21.5%
2020877U.S. Census-7.5%
20251,003ACS Estimate+14.4%
Centerpiece

The Divergence

Two paths from 2026. One community. A permanent fork in the road.

9501,0001,0501,1001,1501,200202620282030203220342036DIVERGENCEWith BHCWithout BHC
0

The gap between two futures. Nearly 9% of Hill City's current population.

Without BHC (2036)

Population
1,0808%
Median age
35-38
Schools
300-310 studentsfunding crisis
Economy
Still seasonalstatus quo

“Functionally a retirement community”

With BHC (2036)

Population
1,170++17%
Median age
33-36
Schools
330-345 studentsgrowing
Tax revenue
$0.32M/yrnew revenue

“A 12-month economy with year-round jobs”

10-Year Projection

By the Numbers

No subsidies. No tax incentives. No public funding requested.

$0.0M
Economic Impact
$0.0M
New Tax Revenue
0
Jobs Created
$0K
Average Salary (Y10)
34-61+
New Housing Units
330-345+
New School Students
0
BHC Entities
0
Cities in Network
At Our Own Expense

Community Programs

Seed Academy

After-school STEM, summer camps, paid high school internships

Teacher Development

Professional workshops for Hill City educators — free, forever

Co-Working Space

Year-round workspace for remote workers and local entrepreneurs

Event Pavilion

Free for community organizations, civic groups, and local events

Campus Trails

Public trail system through the campus grounds

Settle the West

Family relocation program bringing remote workers to Hill City

AI Grant Writing Tools

Free for local orgs — in perpetuity

Professional Lobbyists

2 on retainer for Hill City’s interests at the state level

THE CULT Convention

Annual off-season event — 2,500+ attendees, $1M+ local spending

Restaurant Week

End-of-season food challenge and cook-off with partner restaurants across the network

Community Shuttle

Seed Foundation donates a branded vehicle to each partner city for public transit

“Here to educate and assist. That's all this has ever been.”

Multi-City Platform

The Network

Custer SD

HQ
Pop. ~2,100HQ

Hill City SD

Pop. ~1,000Creative

Hot Springs SD

Pop. ~3,600Wellness

Keystone SD

Pop. ~300Tourism

Edgemont SD

Pop. ~750Frontier

Lead SD

Pop. ~3,000Tech

Deadwood SD

Pop. ~1,300Gaming-to-Tech

Belle Fourche SD

Pop. ~5,700AgTech

Spearfish SD

Pop. ~14,600Education

Sturgis SD

Pop. ~7,000Rally

Newcastle WY

Pop. ~3,500Coal-to-Tech

Sundance WY

Pop. ~1,200Revitalization

12 cities. 2 states. 43,500 people.
Each city gets year-round jobs, community programs, and tax revenue — with no ask for public subsidies.

Proof of Concept

Comparable Communities

The pattern is consistent. An anchor transforms a trajectory.

Chattanooga, TN
$5.3B
community benefit

10,420 jobs supported — 31% of all net new jobs in Hamilton County. City-wide gigabit fiber catalyzed decades of growth. Downtown vacancy dropped from 40% to under 10%.

Bentonville, AR
11K → 54K
population growth

+175% in 20 years. Anchor employer (Walmart) staying local attracted 600+ firms. Now has world-class amenities, growing 36 people per day.

McCall, ID
15%
growth in 3 years

Remote worker migration transformed a seasonal recreation town. 30.3% of workers are remote. Median age: 38.2 vs. Custer's 54.9.

Livingston, MT
$65K
median household income

Former railroad town became a creative + tech hub through proximity to Bozeman's tech scene. Thriving arts economy, year-round restaurants.

BHC is independently funded. Our campus is owned debt-free. We are breaking ground March 2026 with our own capital.

We request no tax incentives, no subsidies, no public funding.

We are not here to ask for support.
We are here to offer it.