by Elizabeth Stawicki, Minnesota Public Radio

August 31, 2012

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ST. PAUL, Minn. The CEOs for two Twin Cities major health care systems say their proposed merger will mean better quality health care for patients at a more affordable cost.

Bloomington-based HealthPartners and St. Louis Park-based Park Nicollet will combine operations Jan. 1 if regulators approve. Merging the two non-profits would create a massive health organization with annual revenues of about $5 billion.

The pursuit of high-quality care for patients while reining in costs is a common goal among health care organizations these days. That's partly due to changes enacted under the federal Affordable Care Act, but also has to do with economic realities than politics. Health care costs have been skyrocketing and most experts agree that those costs can't be sustained long-term. So, medical centers have collaborated to share expertise and resources. The latest combines HealthPartners, which is also an insurer, and Park Nicollet Health Services.

"The two organizations are very focused on great care, great experiences and affordable cost. And this will give us more capability for that," said Dr. David Abelson, Park Nicollet CEO.

"It was a sense that we share the same mission and vision and we could do better together; we could do more for the community," he said.

The combined operations will include Park Nicollet Methodist Hospital in St. Louis Park, four HealthPartners hospitals: Regions Hospital in St. Paul, Lakeview Hospital in Stillwater, Hudson Hospital in Hudson, Wis., and Westfields Hospital in New Richmond, Wis. Officials say patients shouldn't notice any interruption and can expect to use their clinics and health plans as before.

HealthPartners' CEO Mary Brainerd says the two organizations are already using their individual experience to share best practices.

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CEOs say health merger means lower cost, better care