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Rapid City had a disastrous flood in 1972 that killed nearly 300 people, but that was due to two dams along the Rapid Creek bursting after cloud treating. The area where the flood happened is condemned to development, so there is a strand of parks, golf courses, and bike paths that goes through the heart of Rapid City along the Rapid Creek. I would not really worry about flooding in Rapid City anymore. Fires are very common in the Black Hills during the summer, and it is impossible to predict where they will be. One just has to use preventative measures to ensure that a fire will not start. Fires have happened very close to Rapid City limits in the past. Luckily the firefighters in our area do a fantastic job at preventing these.
Hermosa itself is just a small town south of Rapid City. It is in Custer County and it has less than 1,000 people. Minor flooding happened there last summer along the French Creek. The area south of Rapid City is very beautiful and it is growing quickly. Hart Ranch is a development built on a PGA Tour Golf Course and Spring Creek flows through it. There is also The Ranches at Black Gap and Edinborough Hills. It is easy to get to Rapid City if you live in Hermosa due to the Heartland Expressway. It is a four lane divided highway that is planned to reach to Denver in the future.
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