I have known about this for a few weeks and passed the info onto several journalists that ran into dead ends. Part of the rumor was the city was going to buy Oxbow wellness center, but it was confusing to us because they were currently remodeling. I didn’t find out until yesterday afternoon that it was actually the Tea-Ellis location.

Makes sense though, Sanford can use the purchase revenue to pay for the remodel of Oxbow.

I also knew the purchase price of $9 million and the ‘discount’ they were offering. The Oxbow facility was built in 1988, so we were confused about the big price tag.

And it ain’t a great deal. They are giving us a $6 million dollar discount (according to their appraisals) and we have to spend an additional $3 million to renovate on top of the purchase price.

This is a win-win for Sanford, not so much the citizens. I think they support it, but I also don’t think the administration has the pulse of the community. As a well known business person told me a few years ago about the mayor, he is ‘tone deaf.’

As I have said, the administration never learns.

Also a foot soldier who is a member at the Oxbow facility got this email from Sanford at 10:25 AM, 5 minutes before the announcement;

SANFORD WELLNESS CENTER
Tea-Ellis Announcement


Valued member,  

This morning at 10:30, the City of Sioux Falls will announce its proposed plan to purchase the Sanford Wellness Center – Tea-Ellis location.

Should the proposed purchase go through, the City will continue to operate the facility as an indoor health, wellness and recreational programming space. We will also maintain our current physical therapy presence at the Tea-Ellis location as it is today.

Furthermore, Sanford Health will continue to operate the Oxbow Wellness Center and continue to invest in medical and wellness services.

We are thrilled to be able to partner with the City of Sioux Falls in this way, as our common goal is to do what we can to provide opportunities and services to keep our communities healthy and thriving.

This proposal is in the very early stages; however, we wanted to make our members aware and allow them plenty of opportunities to ask questions and join the conversation about this potential transition.

Here are a few details we know now:

  • If the proposed purchase is successful, the City plans to take over operations of Tea-Ellis in late 2024 and no later than Jan. 1, 2025.
  • Until then, Sanford Health will continue to operate Tea-Ellis as normal.
  • In the coming months, the City will be able to share specific information about membership rates, amenities and programs that will be available at their facility.
  • Current Wellness Center members can continue to use the Oxbow and Tea-Ellis facilities as they do now. 
  • At this time, our fee structure, hours of operation and programs will not change. Throughout the transition, we will reevaluate this.
  • Oxbow renovations to the pool and locker rooms will continue as planned with an anticipated completion in fall 2024.

As more details are finalized, Sanford Health and the City of Sioux Falls will communicate updates as soon as possible.

You can tune in to the media briefing live through the City of Sioux Falls Facebook page or YouTube channel, or view the recording after the briefing on the City’s One Sioux Falls playlist

We’re very proud of the wellness community we’ve built at both Sanford Wellness Center locations. The decision to pursue this proposal was not made quickly or lightly. We do believe that continuing to focus our efforts toward more medically based health care services while maintaining a fitness option will be a great benefit to our patients and community members alike.

As always, thank you for choosing Sanford Wellness Center to be part of your health journey.

Be Well, 

Steve Young, president, Sanford Sports
Mike Davidson, general manger, Sanford Wellness Center

————————————————–

The ‘excuse’ the administration has been using to keep this quiet so long is that they didn’t want the Sanford employees getting upset over losing their jobs. Huh? That may still happen Poops.

They make up so much sh!t I’m starting to think the mayor is the one polluting the Big Poo and not CommieFields.

I have been hearing rumors for weeks about some of the things in the bonds. I guess they may be released to the public tomorrow at the weekly presser (10:30 AM at city hall). Not sure though.

What I found out tonight (ironically a day before the big reveal) that several of the rumors were just that, rumors and nothing solid.

But this is what I do know. The city is considering buying a private fitness center with a pool and other fitness amenities like weights, basketball and racquetball.

I am NOT saying who it is, because as I mentioned several times, it is still a rumor, but seems more doable since the fitness center would be a nice fit for the city, but I am not sure why we are putting private facilities out of business to have the taxpayers subsidize them? I can see the cost savings buying an existing facility, but do we really need to?

NO.

And look at this private facility that just opened. Forty thousand square feet! I am assuming they are doing this facility to make a little revenue, so why does the city want to compete!?

Also, during the informational, Jensen asked finance (we have 37% in reserves) why we are NOT taking like $20 million out of the reserves and put towards the bonds so our interest payments are less. I was told just the bond payments and NOT the subsidies will cost us $5.7 million per year for the the next 20 years! Add subsidies for the refrigerated ice, and these facilities and you are looking at about $8-9 million per year.

And when will the council talk about the yearly subsidies? One councilor told me the administration still hasn’t given that info to the council. WHY!?

This is why I often am humored when our finance director comes to the microphone saying we need to preserve property tax increases and keeping the food tax otherwise we won’t be able to plow snow and fill potholes.

Baloney.

You have around $80 million in reserves. Why are you hoarding it? Some said the mayor wants to sit on the reserves for a downpayment on a new convention center. Who knows. When you collect taxes and there is more money coming in then you are spending, you either need to 1) spend it instead of bonding or 2) give refunds to people. I like #2.

Someone asked me why do you think the administration doesn’t want to knock $20 million off the loan? I said, it is because the city didn’t come up with the $70 million amount, ‘someone’ else did. My readers are smart, I’m sure you know what I mean.

I also find it amusing that the council is talking about the bond process publicly, released the amount, hired bond counsels, etc., yet they can’t tell us what is in there? Weird.

UPDATE: Looks like Don Swanson (parks director) explains a portion of the bonds, without mentioning the purchase.

I think this image says it best. A street light was taken out in front of Minerva’s downtown in front of Shriver. I laughed about the caution tape and the light was still operating. On the ground. Is it just me, or does the city seem a bit short staffed these days? Well, when you pay the COS a quarter million a year, and you don’t have well compensated staff to go out, and you know, shut off the light, so no one gets electrocuted.

UPDATE: I am being told the big reveal for Aquatics Bonds will be at the Wednesday Presser or at the State of the City address on Thursday. I assume they will release the details on Wednesday. Obviously councilors are NOT talking because the admin will put the data out there, BUT, at least two councilors told me they are concerned about how much we will be subsidizing the new facilities and that up until now the Parks Department and Mayor’s office has not released that data, as I am sure they won’t. As I mentioned before we already subsidize the Midco for over a Million a year. Add 2 or 3 more facilities and you are looking at a massive 30 year expense in maintenance, bond repayment and subsidies. So here is my request from the media. ASK THE QUESTION!!! HOW MUCH WILL WE BE SUBSIDIZING THESE FACILITIES?!

As I mentioned before, the current council’s last meeting is May 21. So between then and now they have to approve the aquatics bonds. The Parks Board has a monthly meeting around the 2nd or 3rd week of the month. As you can see, it has been suddenly cancelled. They were set to hear the bond details. I will be surprised if this council even gets to vote on the bonds, the way they continue to kick the can down the road tells me they are stalling. But why? I’m guessing the rumors I have been hearing about what is in there is probably becoming even more challenging to negotiate and you wonder if a deal may have fell thru.

Who knows?

I did have one small victory last week with the city and I will report about it in May once I review the materials.

I took last week off, but interestingly enough, there isn’t much going on in the city politics world. There are a few things brewing, but nothing worth talking about now. Let’s just say I think the bottom is going to fall out all at the same time.

As for the runoff, I haven’t spoken with either campaign, so I have no idea how they are reaching voters. I think turnout will be half of what the general was, so it will be who gets their peeps to the polls.

If I was watching from afar, I would say Jordan has more enthusiasm and has a better chance of getting his supporters to reappear. But he still has a big gap to fill.

As for Thomason, he fits the bill of council candidate, but some people question if he really stands for anything?

Even if Jordan is able to win, and his chances are just as good as Tricky Thomason’s chances, he will have a difficult time pushing an agenda the rest of the dais is not on board with. But maybe he can find a way to advocate without the chaos? Ask Big T how that worked out for her.