MINNEAPOLIS – Fairview Health Services and University of Minnesota Physicians (M Physicians) today announced plans for a new partnership designed to sustain and strengthen care for Minnesotans, expand patient access, advance medical education and research, and ensure long-term stability for the state’s academic healthcare workforce.
The partnership framework, called the Strategic Partnership for Minnesota’s Healthcare Future, is slated to begin on Jan. 1, 2027, for an initial term of ten years, with a provision for subsequent renewal periods. The partnership builds upon decades of collaboration, including more than six years through the M Health Fairview joint clinical enterprise (JCE). When the current JCE agreements conclude at the end of 2026, this framework will ensure continuity of care and academic partnership across Fairview hospitals and clinics, including the University of Minnesota Medical Center and Masonic Children’s Hospital.
Fairview and M Physicians, which is the clinical practice for University of Minnesota Medical School faculty, engaged in constructive, forward-looking discussions to develop a sustainable model that protects patients, providers, and academic medicine across the state. The organizations have executed a binding agreement which includes a detailed term sheet and expect to complete a definitive agreement by the end of 2025.
“This is about doing what’s right for our patients and for Minnesotans,” said James Hereford, president and CEO of Fairview Health Services. “Our shared success depends on putting patients first, supporting physicians and advanced practice providers, and ensuring that Minnesota’s academic health system remains strong and sustainable. We’re grateful to M Physicians for their partnership and to our teams who – together – have proven the power of this collaboration for nearly three decades.”
The Attorney General has asked Fairview and the University to move ahead on a further agreement addressing items of mutual interest and importance. “Fairview looks forward to bringing these discussions with the University to a conclusion,” Hereford added.
“M Physicians is the preeminent faculty practice for the academic physicians at the University of Minnesota Medical School, and Fairview remains an essential partner in our statewide mission. Together, we opened one of the nation’s first COVID hospitals and we continue to advance our region’s complex primary and specialty care,” said Dr. Greg Beilman, MD, interim chief executive officer of M Physicians. “This next chapter builds on that shared history and affirms what’s possible when we focus on what truly matters: patients, learners, and the future of health care.”
Strengthening Minnesota’s healthcare ecosystem
Under the framework, Fairview and M Physicians will:
- Preserve patient access and continuity of care across hospitals, clinics, and academic programs.
- Sustain investment in the University of Minnesota Medical Center, Masonic Children’s Hospital, and other key academic sites with a $1 billion capital commitment by Fairview.
- Support faculty physicians, researchers, and trainees through commitments to academic funding and opportunities to increase investment through shared goals for growth and efficiency.
- Collaborate to address challenges impacting rural health care delivery.
- Enhance collaboration between academic and community care teams, aligning operations to improve access and efficiency.
“Fairview and M Physicians share in our appreciation for the participation of Attorney General Ellison, and Lois Quam who served as a strategic facilitator throughout this process,” added Hereford.
Continuity, progress, purpose
The framework builds upon the strengths of both organizations while modernizing how they collaborate. Fairview will continue to own and operate the University of Minnesota Medical Center and Masonic Children’s Hospital, where M Physicians providers will continue practicing and leading operations with Fairview leadership. Patients will see no change to where or how they receive care.
“This partnership allows our physicians, advanced practice providers, and care teams to focus on what they do best — caring for patients and advancing medical science,” said Dr. Jaya Kumar, MD, Chief Medical Officer of Fairview. “Together, we’re ensuring that the next generation of Minnesota physicians will be supported in an environment that values innovation, compassion, and excellence.”
The Strategic Partnership for Minnesota’s Healthcare Future is a distinct agreement between Fairview and M Physicians. While Fairview’s previous agreements with the University of Minnesota remain in effect through 2026, both organizations are taking proactive steps to ensure stability for patients and employees well beyond that timeframe with this arrangement. Fairview remains open to conversations with the University regarding additional aspects of the relationship between both organizations. The door remains open for collaboration.
For more than 25 years, Fairview has been a trusted partner in sustaining Minnesota’s academic health system — providing significant, consistent financial support and exceptional patient outcomes. Fairview and M Physicians will build on that history by creating a transparent and sustainable model that reinvests directly into patient care, academic excellence and workforce wellbeing.
About Fairview Health Services
Fairview Health Services (fairview.org) is a Minneapolis-based nonprofit health system driven to heal, discover and educate for longer, healthier lives. Founded in 1906, Fairview provides exceptional care to patients and communities as one of the most comprehensive and geographically accessible systems in Minnesota. Fairview has enjoyed a long partnership with the University of Minnesota and University of Minnesota Physicians, now represented in the M Health Fairview brand. Together, we offer access to breakthrough medical research and specialty expertise as part of a continuum of care that reaches all ages and health needs.
About University of Minnesota Physicians
University of Minnesota Physicians (UMP) is the multi-specialty physician group at the heart of the University’s academic health mission. UMP’s more than 2,000 physicians, advanced practice providers, and 2,000 staff deliver world-class care, train the next generation of healthcare professionals, and lead research that advances medicine for all.
Media Contacts:
Fairview Health Services – Aimee Jordan, Director of Communications, 612-306-1811, aimee.jordan@fairview.org
University of Minnesota Physicians – Connor Myhre, Manager of Marketing and Communication, 952-270-3689, cmyhre@umn.edu