Thursday, November 18, 2010

North Country Health Services and Sanford Health Announce Plans to Join Together

(Bemidji, MN) – Two long standing health care systems announced today plans to combine their strengths and expertise, which will offer greater depth and breadth of services to people in northern Minnesota. North Country Health Services (NCHS), based in Bemidji, MN, and Sanford Health, based in Fargo, ND and Sioux Falls, SD, announced the NCHS Board of Trustees has signed a Letter of Intent (LOI), meaning both organizations will begin the process of joining together to create a new, integrated health care delivery system. The Sanford Board of Trustees has approved the direction of the LOI and is expected to sign the document during the board meeting this Friday.

“North Country Health Services and Sanford Health announced today our intent to come together as one organization, better positioning us to lead in northern Minnesota by delivering innovative health care and expanding our capabilities in highly specialized areas of medicine,” said Dr. Jim Bensen, North Country board of trustees.

Coming together enhances an already solid relationship between NCHS and Sanford Health. By integrating, $75 million would be invested into the community through facilities, recruitment and technology over the next ten years. A portion of the total investment, a $5 million gift, will be given to the NCHS Foundation to begin that process. NCHS and Sanford Clinic Bemidji have worked together for many years. Both have deep roots in the Bemidji region and have a strong reputation for quality and excellence in staff, technology and service.

“Joining with Sanford in a fully integrated model of care is truly a natural progression of our long-standing relationship. With an eye toward the future, we are seeking new ways of improving health and access to care for people across the entire region, including key services like heart, cancer, orthopedics and neuroscience,” said Paul Hanson, CEO and president, NCHS.

The fully integrated clinic and hospital in Bemidji will be a not-for-profit, community-based health care system. It will combine the experience of the two health care organizations, which will increase efficiency and lead to better coordination of patient care.

“With the current emphasis on health care reform calling for change, we are humbled by the opportunity to increase efficiency and be a model for health care delivery the rest of the nation will follow,” said Kelby Krabbenhoft, CEO and President, Sanford Health. “This is the perfect time to pursue ways we can work together to grow and improve our services in northern Minnesota. We can add value for patients, be proactive in health care reform and attract talent, including doctors, nurses and other health professionals who will significantly advance the services we offer.”

Over the next several months, both organizations will work together on additional analyses, due diligence and communications to develop a final agreement and any necessary regulatory applications. They will also take this opportunity to share their vision for the future as a combined organization and answer questions from stakeholders and the community.