Sanford Health Secures $300 Million Donation for New Medical Center

Sanford Health has announced a significant development in healthcare for the Rapid City region with a generous donation of $300 million from philanthropist Denny Sanford. This funding will facilitate the construction of a new medical campus, known as the Sanford Black Hills Medical Center, which will be located at 7220 Mt Rushmore Road in southwest Rapid City. The project is set to break ground in 2027, with an anticipated completion date of 2030.

The proposed 480,000-square-foot facility will include 168 inpatient beds and a comprehensive women’s health center equipped with a labor and delivery unit. It will also provide specialized inpatient and outpatient services for children. Plans indicate that the campus may have the capacity to double its facilities in the future. Sanford Health aims to enhance specialty care in the region, offering a full emergency department, an intensive care unit, surgical suites, a dialysis center, and an oncology infusion center.

Bill Gassen, President and CEO of Sanford Health, emphasized the impact of Sanford’s donation, stating, “Mr. Sanford’s extraordinary generosity and vision inspire what we do every day at Sanford Health. We are honored to carry forward his remarkable legacy in the Black Hills.”

Expansion of Healthcare Services in the Black Hills

The development of the Sanford Black Hills Medical Center is part of a broader strategy by Sanford Health to strengthen its presence in the West River market. This initiative has included the acquisition of several medical facilities over the past year, such as the Black Hills Orthopedic and Spine Center and the Black Hills Surgical Hospital. Leadership from both Sanford Health and its primary competitor, Monument Health, has expressed optimism about the evolving healthcare landscape in Rapid City, aiming to provide more choices for patients.

Dr. Lew Papendick, chair of the board for the Sanford Black Hills Surgical Hospital, remarked that the new campus will attract physicians and create job opportunities while enhancing healthcare options for the community. “The new Sanford Black Hills Medical Center campus will attract even more exceptional physicians in a wide variety of specialties to the region and bring advanced care closer to home for our community,” he stated.

Investing in the Future of Healthcare Workforce

In addition to expanding medical facilities, Sanford Health is committed to investing in the local workforce. Starting in 2026, the organization plans to allocate $10 million over the next decade to collaborate with K–12 schools, technical colleges, and universities throughout the Black Hills. This investment includes $3 million for the Build Dakota program, which supports technical education, and $2.5 million to expand the Aspire program, designed to provide hands-on learning experiences for K-12 students.

Kyle Wiese, president and CEO of the Sanford Black Hills region, highlighted the importance of education in building a robust healthcare workforce. He stated, “Building a robust and sustainable healthcare workforce begins with education. These investments empower local students to pursue careers in healthcare, ensuring the next generation of caregivers is rooted in the communities we serve.”

Since 2004, Denny Sanford has contributed nearly $2 billion to the health system, cementing his legacy as a pivotal figure in enhancing healthcare services in the region. The establishment of the Sanford Black Hills Medical Center marks a significant step forward in providing comprehensive medical care to the residents of Rapid City and surrounding areas.