Important updates from Allina Health
A bold step to enhance exceptional care
We are excited that Allina Health has signed a Letter of Intent (LOI) to join Sutter Health, a leading nonprofit health system serving Northern and Central California. By bringing our two strong organizations together, we have an opportunity to redefine what’s possible – improving access and affordability while transforming how care is delivered.
Allina Health would continue to serve our Minnesota and western Wisconsin communities as the Upper Midwest Division of Sutter Health, maintaining our name, brand and headquarters in Minneapolis.
As a patient, your care with Allina Health remains the same. You can still rely on the same doctors and care teams at the same care sites you visit today. Your appointments, access to your Allina Health account, and how you communicate with your care teams are not changing.
We are committed to keeping you informed as we move through this process, and will share additional updates here.
Union negotiations
Federal executive orders
Consistent with our core values, mission and purpose, Allina Health remains committed to providing all patients with exceptional care in a safe and welcoming environment. Federal executive orders are rapidly changing. As health care systems navigate on-going changes in the federal government landscape, we will do our best to provide credible and timely information.
One Big Beautiful Bill Act Statement
Allina Health—along with health care delivery systems across the nation and Minnesota—has been clear that the passage of the One Big Beautiful Bill Act will force a set of very hard choices in an already challenging health care environment. Unfortunately, hard choices in health care often involve people and access to needed services, which is why we have been strongly advocating against these cuts.
The ability to maintain current health care services and infrastructure in Minnesota will be seriously challenged with this level of drastic cuts. The impact will be felt by all Minnesotans, regardless of if they are on Medicaid or not.
Most importantly, nothing about the OBBBA changes the fact that people will still need to seek care for illness, injuries and prevention. This bill will increase the number of uninsured people, as well as uncompensated care, and significantly weaken the health care delivery infrastructure that all of us depend upon.
Medicaid and federal funding
Minnesota’s future depends on a healthy, thriving population and a health care system that works for everyone. For decades, Minnesota’s nonprofit hospitals have been the safety net that ensures every Minnesotan – no matter their income, location, or insurance status – has access to high-quality care.
While Medicaid under-reimburses hospitals at just 68 cents for every dollar, it is still an important funding source, currently providing health insurance coverage to more than 1.3 million Minnesotans. It is critical we protect this resource or risk our most vulnerable populations no longer having access to insurance.
Medicaid
- Covers 500,000+ Minnesota children – ensuring they get preventive care and treatment
- Funds nearly 50% of all long-term care in Minnesota
- Provides coverage for 1 in 3 births in our state
- Brings $11.7 billion in federal health care dollars to Minnesota annually
- Supports 327,000 Minnesotans through Medicaid expansion
Federal Medicaid funding at risk
- Congress continues to take steps toward cutting federal funding for health care. Recently, the House passed legislation that significantly impacts Medicaid. The bill now heads to the Senate where we expect to see additional changes. Medicaid is a critical program that needs to be protected.
- Preliminary estimates from the Minnesota Department of Human Services, who administers the state Medicaid program, are that Minnesota would lose about $1.4 to $1.6 billion per year in federal Medicaid funding.
- In 2024 at Allina Health, 17% of all care encounters were with patients covered by Medicaid.
- This critical program faces unprecedented threats that would strip health care from vulnerable Minnesotans, devastate our health care system, and shift massive costs to our state.