Court Rules City Must Show Settlement

The South Dakota Supreme Court ruled that the city of Sioux Falls must reveal the details of its $1 million settlement with a contractor Sept. 21.

AP Photo / The Argus Leader, Emily Spartz – Denny Sanford Ctr Panels
A Sioux Falls, S.D., roofing company contends it isn’t responsible for bulging panels on a side of the new Denny Sanford Premier Center and that it should be paid for its work. M.J. Dalsin Inc. says it is owned more than $500,000 for work on the $117 million event center.

The city’s Denny Sanford Premier Center was the subject of controversy in 2014 when residents noticed the new $115 million building had warped metal panels on its side before it had even opened.

The city noted the complaints and according to the Argus Leader, in 2015 announced a $1  million refund from lead contractor M.A.Mortenson Co. and subcontractors Sink Combs Dethlefs PC, Koch Hazard, M.J. Dalsin Inc. and Innovative Metals Co., which would also replace rippled panels.

The legal dispute arose when the Argus Leader requested to see the contract and the city refused, claiming it was protected under an exemption in open records law passed by the South Dakota legislature in 2009.

The Leader sued the city and a lower court ruled in Sioux Falls’ favor, but the state’s Supreme Court overturned that decision. Justice Glen Severson wrote that the language the city cited did not allow the government “to conceal ‘any document’ that it possesses and does not wish to disclose,” and the contract in question did not qualify as an exemption.

The city reportedly has 90 days from the date of the decision to appeal. 

Denny Sanford Premier Center hosted Garth Brooks Sept. 22-24 and has averaged a gross of nearly $500,000 per interaction since its opening in 2014. 

Pollstar was unable to reach reps for the venue at press time.