Rapid City Medical Center and Monument Health announced that they have signed a Letter of Intent (LOI) that could bring the two major Black Hills health systems together later this spring.
The nonbinding LOI marks the first step in a process that will include additional due diligence before the organizations negotiate and sign a definitive agreement. If finalized, the transaction would integrate Rapid City Medical Center into Monument Health, though both organizations emphasized that patient services, clinic locations, providers and insurance participation will remain unchanged during the transition.
Leaders from both health systems said the move comes as health care continues to evolve and regional providers confront mounting pressure to maintain access, support physicians and meet growing patient needs.
“Rapid City Medical Center was founded by physicians committed to caring for people in the Black Hills, and that commitment hasn’t changed,” said Jay Hammerquist, CEO of Rapid City Medical Center. “We’re pursuing this transaction because Monument Health shares our belief in physician leadership, community-based care and the importance of keeping health care decisions rooted here at home.”
Monument Health President and CEO Paulette Davidson echoed that sentiment, noting the organizations’ shared values and longstanding history of physician-led care in the region.
“Monument Health was built to serve this region, and our mission has always been centered on caring for our neighbors close to home,” Davidson said. “We respect the strong physician-led culture at Rapid City Medical Center and believe it’s important to develop a closer relationship—grounded in our shared values and long-standing commitment to the Black Hills.”
As part of the agreement framework, many Rapid City Medical Center physicians are expected to join Monument Health following the close of the transaction. Others may remain independent or transition to other local practices.
For now, both organizations will continue to operate independently, and no immediate changes are expected for patients.
Additional information will be released as the process moves forward later this spring.
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