Essentia Health, Marshfield Clinic Health System announce intent to merge

DULUTH, MN. (Northern News Now) - Two major hospital systems announced their intent to merge Thursday.

Essentia Health and Marshfield Clinic Health System have entered into an agreement to form a new integrated regional health system serving rural and mid-urban communities across four states.

Leaders say the agreement is the latest step in the process that keeps the organizations on track to come together formally by the end of this year pending regulatory approval.

This comes after the two organizations signed a memorandum of understanding in October 2022.

Essentia Health’s CEO Dr. David Herman will serve as the CEO of the new parent company.

“Our complementary capabilities will allow us to learn and share with one another to better achieve our collective mission,” said Dr. Herman.

On the other side, Marshfield Clinic Health System CEO Dr. Susan Turney previously announced she will be stepping down come this fall.

“Discussions the past few months have made it clear that this is an incredible opportunity to enhance both health systems, solidify our futures, and take patient care and services to an even higher level,” said Dr. Turney.

According to officials, by joining together, Essentia and Marshfield Clinic will combine the strengths of both organizations and advance the level of care in Wisconsin, Minnesota, Michigan’s Upper Peninsula, and North Dakota.

Essentia Health and Marshfield Clinic map(Northern News Now)

The new regional system will bring greater access to primary, specialty, and hospital care through a diverse network of 3,800 providers and 150 sites of care, including 25 hospitals.

Drs. Turney and Herman added that through the integration, both organizations will be better positioned to navigate current and future challenges to health care, especially rural health care, and preserve the sustainability of high-quality care in our communities.

“While work remains to finalize our new relationship, this is another positive step in our journey to define the future of healthcare, and to fundamentally transform rural healthcare in America,” Dr. Turney said.

“Times are undeniably challenging for rural health care, yet I am certain we can meet those challenges more successfully together than we can separately,” states Dr. Herman.

After the announcement, Minnesota Nurses Association First Vice President Chris Rubesch released the following statement on behalf of the MNA.

“As always, MNA nurses’ number one priority is providing the highest quality care to our patients and communities.  We will be reviewing the impact this announced merger will have on nurses, our profession, and our patients.

As we await further details on this planned merger, we want to make it clear that nurses, patients and our community expect the merged entities to recognize our union and our contract, and to commit to prioritizing safe patient care. No matter the name on the building, we pledge to continue fighting for our patients at the bedside and in our community.”

More information will be shared as it becomes available.

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