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Essentia Health, Rainy Lake Medical Center Nix Affiliation Discussions

Rainy Lake Medical Center in International Falls, Minn., and Essentia Health in Duluth, Minn., have cut off negotiations that would have made Rainy Lake a full subsidiary of Essentia, according to a Duluth News Tribune report.

Essentia offered to acquire the 25-bed Rainy Lake, a critical access hospital, but Rainy Lake officials ultimately decided to not go through with the merger. The two organizations will also discontinue their loose affiliation, which has been in place since 2009, according to the report.

Susan Congrave, Rainy Lake's vice chair of the board of trustees, told the News Tribune in a statement that the board thought the community would be "best served by maintaining local ownership and control of our community hospital." Essentia executives did not provide comment.

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