The University of Minnesota’s Board of Regents has unanimously declared that University of Minnesota Physicians (UMP) violated its obligations to the university. This action stems from UMP’s recent agreement with Fairview Health Services, which regents say jeopardizes the future of the university's medical school.
The board’s resolution, passed on Thursday, asserts that UMP overstepped its authority. The physicians group negotiated terms to fund the medical school for the next decade without consulting the university beforehand. This lack of consultation has created significant tension between the university and its clinical faculty practice.
Key Takeaways
- University of Minnesota Regents claim UMP exceeded authority in Fairview deal.
- The agreement endangers the future funding and mission of the medical school.
- University officials were excluded from key negotiations.
- UMP is urged to negotiate in good faith with the university.
Regents Express Strong Disapproval
The Board of Regents’ resolution is clear. It states that UMP acted beyond its scope as the designated clinical faculty practice. This move has raised serious questions about governance and accountability within the university's health system.
University officials expressed concern over the negotiation process. They highlighted that they were excluded from closed-door discussions between Fairview, UMP, and the Minnesota Attorney General’s Office. This exclusion, they argue, prevented the university from protecting its interests.
"The strategic facilitator declared an impasse and sent the university and all parties’ home. We did not walk away. The strategic facilitator then called the other parties together," said Dr. Rebecca Cunningham, the U’s president, at Thursday’s meeting. "We repeatedly requested that a three-party negotiation would yield the best results for the state of Minnesota, and yet the strategic facilitator continued to exclude us for seven weeks in the same way that they excluded Essentia."
Fact: Funding Implications
The agreement in question involves funding for the university's medical school for the next 10 years. This long-term commitment was made without the university’s direct input.
Authority Granted to University President
The resolution grants the university’s president significant authority. President Cunningham can now explore the "likely reduction in academic or mission support funding." This suggests a potential financial impact on the medical school if the current agreement stands.
Furthermore, President Cunningham is authorized to assess branding and trademark implications. The university's name and reputation are closely tied to its medical school and clinical practice. Any agreement made without university oversight could damage this brand.
Review of Medical School Policy
The board will also review its medical school policy. This review aims to address the "conflicting loyalties and fiduciary duties" that may have arisen from UMP’s actions. If necessary, steps will be implemented to mitigate these conflicts.
This comprehensive review indicates the university's commitment to reasserting control. It also highlights the seriousness with which the regents view UMP's independent negotiations.
Background: Prior Negotiations
In January, the University of Minnesota and Duluth-based Essentia Health proposed a solution for Minnesota's health system. These discussions involved a strategic facilitator, Lois Quam, at the request of Attorney General Keith Ellison. The university claims it was later excluded from subsequent negotiations.
Conflicting Accounts of Negotiations
Attorney General Keith Ellison offered a different perspective on the negotiation timeline. He stated that the university was aware of negotiations between Fairview and UMP. Ellison also noted that the U had informed his office it no longer wanted to negotiate with Fairview and was exploring other options.
However, Dr. Cunningham maintains that the university did not abandon negotiations in September. She emphasized that the strategic facilitator declared an impasse. This led to the university's exclusion from further discussions, which then continued with other parties.
University's Stance on Continued Engagement
Despite the current dispute, the University of Minnesota has indicated its willingness to engage. A letter from Dr. Cunningham and the board to Attorney General Ellison, dated September 16, stated: "The University is not resigned to a state of impasse; we continue to pursue other paths to fulfill our public health mission, and we remain open to inviting Fairview to join us."
This suggests the university is still open to a collaborative approach. However, their recent resolution indicates a strong desire to ensure their direct involvement and approval in any future agreements affecting the medical school.
Key Date: December 31, 2026
The Board of Regents urges UMP to negotiate "in good faith" with the university so the physicians group can continue as the designated clinical practice after December 31, 2026. This date marks a critical deadline for resolution.
Fairview and UMP Respond
Fairview Health Services communicated that its deal with UMP does not mean the end of negotiations between the university and other potential partners. They also noted that the attorney general is requesting all parties return to the negotiating table.
Faculty from University of Minnesota Physicians attended the Board of Regents meeting. In a statement, they expressed eagerness to continue discussions with the university. This indicates a potential path forward for resolving the current dispute.
The Path Ahead
The situation highlights a complex interplay of medical education, clinical practice, and health system governance. The university aims to protect its academic mission and financial stability. UMP seeks to maintain its role as the clinical faculty practice. Fairview continues to navigate its partnerships within the broader health landscape.
The coming months will likely involve intense negotiations. All parties must work to find a resolution that safeguards the future of the University of Minnesota's medical school and its vital role in public health.
- University's Goal: Ensure direct involvement in agreements affecting the medical school.
- UMP's Position: Eager to continue discussions with the university.
- Fairview's View: Deal with UMP does not preclude other partnerships.
