BLACK HAWK, S.D. — Homeowners in the Hideaway Hills subdivision are asking the South Dakota Supreme Court to reconsider its recent ruling that found the state is not liable for damages caused by sinkholes in the neighborhood.

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Attorneys for several homeowners, including Andrew Morse and John and Emily Clarke, filed a petition for rehearing on Thursday following the court’s unanimous July 9 decision.

The request for rehearing is based on the court’s failure to acknowledge that the State’s remediation work was the direct cause of current and ongoing damage to surface owners of land and homes at Hideaway Hills. The court’s opinion also misapplied the “public use” standard, according to the filing.

The attorneys say more than $300 million in proceeds from the past sale of the cement plant are held by the State currently and could be available to remediate the damage to homes and property at Hideaway Hills. 

The dispute centers on land once owned by the State of South Dakota, where underground gypsum mining took place before surface rights were sold and homes were built. Over the years, sinkholes have developed, rendering some homes uninhabitable and damaging streets in the subdivision.

The homeowners argue the court should revisit its decision, while attorneys for the state have 10 days to respond.

The South Dakota Supreme Court will decide whether to grant the rehearing and take another look at the case.