Allina Health announces changes to services in Owatonna

OWATONNA, Minn. (July 17, 2023) — Allina Health has made the difficult decision to close Homestead Hospice House and the Owatonna Hospital Sleep Center due to a decline in patients as care preferences have changed.  

“We are grateful for community support for these services, especially Homestead Hospice House, and for the staff that has provided exceptional care,” said Michael Johnston, Allina Health South Market President. “We have noticed a national trend of more people choosing to receive care in the comfort of their home, and we look forward to continuing to provide in-home care options for these services. These difficult decisions are to ensure we can continue to care for communities into the future.” 

Like many non-profit health care systems, Allina Health is experiencing significant financial challenges. Due to these financial realities and the low utilization of Homestead Hospice House and the Owatonna Hospital Sleep Center, Allina Health has decided to focus on providing these services for patients via community-based care options. 

Homestead Hospice House will honor all pending admissions.

Allina Health will work with impacted clinical staff to find opportunities within the Allina Health system. 

About Allina Health

Allina Health is dedicated to the prevention and treatment of illness and enhancing the greater health of individuals, families and communities throughout Minnesota and western Wisconsin. A nonprofit health care system, Allina Health cares for patients from beginning to end-of-life through its 90+ clinics, 12 hospital campuses, 14 retail pharmacies, and many specialty care centers and specialty medical services, home care, and emergency medical transportation services. Learn more at and join us on Facebook, Twitter and Instagram.