Minnesota Attorney General Keith Ellison said on April 6 that the University of Minnesota, Fairview Health Services, and University of Minnesota Physicians have not yet completed all definitive bilateral agreements required under their 10-year mediation agreement reached in January. The statement comes after more than a year of discussions aimed at securing core funding for the University’s Medical School and ensuring ongoing patient care and research.
The outcome of these negotiations is significant for healthcare in Minnesota, as it affects services for over one million patients annually, medical education, and research efforts across the state.
Ellison said he is pleased that Fairview and University of Minnesota Physicians have finalized their stability agreement from November, which avoided potential negative impacts such as loss of funding to the Medical School or disruptions in patient care. He also noted that Fairview and the University are working to finalize an academic affiliation agreement soon. However, he acknowledged that the University and its physicians group did not meet their March 31 deadline for a separate definitive agreement.
“This lack of a bilateral agreement between the University and the University of Minnesota Physicians does not have to harm the provision of healthcare to patients, the recruitment and retention of physicians, or the Medical School, provided that all parties agree to work collaboratively and refrain from public criticism or attacks that in the past have had a destabilizing effect on patients, physicians, and funders,” Ellison said. He encouraged all parties involved to address concerns directly with those affected “in a diplomatic and respectful way.”
Ellison reflected on earlier proposals considered by university leadership over recent years—including buying back assets from Fairview or seeking new partnerships—and mentioned key leaders leaving during this period. He called attention to current challenges facing healthcare statewide: increasing numbers without coverage; health systems losing Medicaid funding due to federal legislation; insurer UCare’s dissolution; pressures on Hennepin Healthcare; rural hospital struggles; and persistent needs around mental health services.
“We have work to do for Minnesotans. I call on this partnership to focus now on the many healthcare challenges before Minnesota,” Ellison said.
