RAPID CITY, S.D. – Speaking from his wheelchair, South Dakota philanthropist Denny Sanford told an adoring crowd at a Rapid City hotel on Monday that he feels "lucky" to have been able to donate nearly $2 billion to improve health care in his home state.
Sanford, 89, spoke softly and his statement of appreciation surprised most of the crowd of 100 people who gathered at the Hyatt Place Rapid City to hear about Sanford's latest donation of $300 million that will help fuel construction of a $500 million medical center and health care campus in the Black Hills.
"I am the lucky one," said Sanford, the founder of First Premier Bank and namesake of Sanford Health, the Sioux Falls-based regional medical group that will build and operate the new medical campus. "It's been a marvel to me how much I love this state."
The plan to build a major new hospital on the southwest edge of Rapid City by 2030 is the latest step in a steady expansion into the Black Hills market by Sanford Health, which operates medical facilities in seven states and serves more than 2 million patients annually.
Bill Gassen, CEO of Stanford Health, said the new hospital will improve health care access and delivery across western South Dakota and the larger Great Plains region.
"Denny Sanford's generous philanthropic investments have enabled Sanford Health to transform care for millions of people across the Midwest," Gassen said. "With his support and partnership, we are proud to that same transformative impact to western South Dakota, building a healthier future for generations to come."
Here is a question-and-answer look at details of the new medical campus.
Where and when will the campus be built?
Construction on the Black Hills medical center campus will start in 2027 with completion anticipated in 2030 on a 103-acre site east of U.S. 16 (Mount Rushmore Road) a quarter-mile south of Catron Blvd. and about 5 miles south of downtown Rapid City.
What will the campus include?
Plans for the 480,000 square-foot campus call for a 168-bed hospital with room for 168 more beds in the future, an emergency department, intensive care unit, surgical suites and catheter labs, imaging rooms, dialysis center, oncology center, women's health and birthing center and a children's services center.
What other medical facilities does Sanford Health own in the Black Hills?
The new campus will be the latest in a steady expansion by Sanford Health into the area. The new medical center will be located adjacent to the Black Hills Orthopedic & Spine Center, which Sanford Health acquired in November 2024. At that time, it also partnered with Black Hills Surgical Hospital, Black Hills Urgent Care and Black Hills Surgical Center of Wyoming. Sanford Health also recently acquired Black Hills Plastic Surgery and Creekside Medical Clinic.
How will the new medical campus be staffed?
Sanford Health leaders said they are unsure of potential employment to be created by the new campus but that they have plans to invest in education of health care workers. The $300 million donation by Sanford includes $2.5 million for medical education of K-12 students through the Aspire program, $3 million in Build Dakota scholarships for medical technical education and $4.5 million to expand sponsorships at state colleges.
Why is Sanford Health expanding into the Black Hills?
Gassen said the region is growing rapidly, adding that the growth in personnel at Ellsworth Air Force Base, soon to be home to a new B-21 bomber squadron, helped solidify plans to expand into western South Dakota.
What are state and local political leaders saying?
South Dakota Gov. Larry Rhoden said the new medical campus "will expand access to world-class health care right here in Rapid City. More health care providers will mean more choices for South Dakotans and more choices will mean increased access and quality of care."
Rapid City Mayor Jason Salamun said the Sanford Health campus will be the latest in a series of major investments into the region. "One of the things I'd really love to see in Rapid City is that we become a health care hub for the region. ... We are so blessed to have exceptional health care here and it will continue to get better as we have yet another amazing health care system in our community."
How will the new medical campus impact Monument Health, which operates a full-service hospital and other facilities in Rapid City and which has medical centers in Sturgis, Spearfish and other locations across the Black Hills?
Gassen said that while Monument will be a competitor to Sanford Health, he hopes the two groups can work together just as Sanford Health and Avera Health partner on projects in the Sioux Falls market.
Monument Health President and CEO Paulette Davidson told News Watch in an interview Monday that while she has both questions and concerns about how the new medical center will affect Monument's operations and offerings, she also expressed hope that the two groups can work together to provide the best medical care possible to the people of western South Dakota.
This story was produced by South Dakota News Watch, an independent, nonprofit organization. Read more stories and donate at sdnewswatch.org and sign up for an email to get stories when they're published. Contact investigative reporter Bart Pfankuch at bart.pfankuch@sdnewswatch.org.
