Jan 13, 2023 - News

University of Minnesota to seek control of campus hospitals as part of Fairview-Sanford merger

U of M rendering

Rendering of the future University medical center on the Twin Cities campus. Credit: Cannon Design

The University of Minnesota wants the state to help it buy — and expand — its Twin Cities teaching hospital.

  • The plan, outlined by U leaders yesterday, includes a "state of the art" medical center that would eventually be developed on the East Bank campus.

The big picture: The announcement comes as Fairview Health Services, the current operator of the University of Minnesota Medical Center, moves towards a potential merger with South Dakota-based Sanford Health.

The big price tag: A top U official said Thursday that there's "no way" the new facility would cost less than $1 billion, the Star Tribune reports. Construction could take five years.

  • A U spokesperson told Axios a full estimate is not available, but said the U is "prepared to commit to this investment" in addition to the needed state aid.

Between the lines: U officials have raised concerns about how the merger would impact its medical center.

  • Executives with Fairview and Sanford have said they would be open to the U buying back the hospital as part of the deal.

What to watch: Attorney General Keith Ellison is reviewing the proposed Fairview-Sanford merger and is expected to announce whether his office will seek to intervene in the plan by the end of the month, per MPR News.

u of m map
A map showing where the new hospital could be developed. Image courtesy of the University of Minnesota

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