Cardiologists at the University of Minnesota in Minneapolis are voicing concerns over the university’s proposed merger with Duluth, Minn.-based Essentia Health, The Minneapolis Star Tribune reported April 17.
The physicians fear that the merger could thwart relations with the university’s existing partner, Minneapolis-based Fairview Health Services. In March, 30 physicians signed a letter and sent it to university leadership asking president Rebecca Cunningham, MD, and the university to reevaluate their proposal for a new statewide nonprofit that would merge Essetia and Fairview.
“Any disruption, whether through dissolution or restructuring, would destabilize patient referrals and introduce additional competition in a tight market,” reads the letter, which was obtained by the Star Tribune.
According to the publication, records indicate that the university has spent more than $4 million in the last 14 months on consulting services related to the reacquisition of its teaching hospital and studying the proposed merger between Essentia and Fairview.
Fairview, the owner of the University of Minnesota Medical Center, opposes the merger.
“Fairview is an essential component of our health care model and valued long-term partner,” the letter states. “Given Fairview’s public opposition to this merger, it is imperative that the university reassesses its strategy to ensure long-term health care viability.”
Jakub Tolar, MD, dean of the medical school, said in a statement that university leaders are open to perspectives from faculty and community physicians.
“We firmly believe the proposal to integrate care delivery for M Health Fairview, Essentia and University of Minnesota Physicians patients is the best solution,” Dr. Tolar said. “It addresses Minnesota’s most pressing health care challenges, while maintaining continuity of patient and provider relationships, the long-term viability of the University’s health care enterprise and its strong commitment to health and medical education.”
The current communications between the university, its physicians and Fairview is the most recent in a long saga of debate over a range of proposed structural changes aimed at boosting financial support for the state’s only public medical school.
In February 2024, Dr. Tolar was advocating for a plan to reacquire the University of Minnesota Medical Center from Fairview. At that time, the university began hiring consultants to advise on the possible deal, some of whom are still contracted to advise the proposed merger with Essentia.
The cardiologists also expressed concern in the letter about how the proposed merger will affect the salaries, benefits and quality of care by physicians within the university’s physician group.
“We urge the university leadership to consider actively engaging faculty in shaping a sustainable future,” the physicians wrote. “The potential loss of our existing health system, uncertainty around the future of UMP and lack of representation in the process, is accelerating faculty attrition and recruitment by competing institutions in the metro area.”
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