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Minnesota attorney general seeks feedback on 2 healthcare mergers

Minnesota Attorney General Keith Ellison will hold a public meeting Oct. 25 to engage local communities as part of a review to ensure two proposed mergers in the state are in compliance with both federal and state law, according to an Oct. 3 Duluth News Tribune report.

Mr. Ellison is targeting the planned mergers between Duluth, Minn.-based Essentia Health and Marshfield (Wis.) Clinic Health System as well as Duluth-based St. Luke's and Wausau, Wis.-based Aspirus Health. The move comes amid changes in Minnesota law and the nixed merger between Sioux Falls, S.D.-Sanford Health and Minneapolis-based Fairview Health following intervention from Mr. Ellison's office.

The state's healthcare entity transaction law has given the attorney general greater review powers to determine whether planned healthcare mergers are in the public interest, the report said. Mr. Ellison can seek court intervention if he deems such transactions are not.

"As I review these mergers to ensure they comply with state and federal law, I want to hear from the public, because Minnesotans' thoughts and concerns are an essential part of our review," Mr. Ellison said in a media release.

Aspirus Health and St. Luke's signed a letter of intent to affiliate July 12 to form a joint system of 19 hospitals. Essentia Health and Marshfield Clinic are attempting to form a 25-hospital system.

Both Essentia Health and St. Luke's said they appreciate the opportunity to showcase the benefits of the potential mergers with the two respective Wisconsin systems through such scrutiny.

"This integration will strengthen our two mission-driven health systems, which have deep roots in the communities we are privileged to serve," according to an Essentia Health statement regarding the planned merger with Marshfield Clinic. "Together, we will be better positioned to navigate the significant challenges facing rural health care and ensure that high-quality, sustainable care is available close to home for our patients."

"We are excited about the potential affiliation and the value it will bring to the patients of our region," St. Luke's told Becker's about the tie-up with Aspirus. "We look forward to participating in the Attorney General’s event."

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