Marshfield Clinic Health System and Sanford Health announced they plan to combine their assets to create an integrated health system.
Marshfield operates facilities in Wittenberg, Niagara and Florence in Northeastern Wisconsin as part of its network of 60 clinics and 11 hospitals in Wisconsin and the Upper Peninsula of Michigan. Sanford, headquartered in Sioux Falls, South Dakota, has 45 hospitals, 211 clinics and 160 senior living facilities in South Dakota, North Dakota, Iowa and Minnesota.
“We are excited to combine our common purpose to lead the way for the future, drive innovation and solve the most pressing challenges facing rural health care,” said Bill Gassen, president and CEO of Sanford Health. “We are who we are today because of combinations with care delivery organizations in rural communities across America’s heartland.”
Over the last decade, Sanford Health has invested more than $1.5 billion expanding access to specialty care and state-of-the-art facilities.
“Partnering with Sanford Health presents an incredible opportunity for our organizations to unify and establish the premier rural health system in the nation,” said Brian Hoerneman, M.D., interim CEO of Marshfield Clinic Health System. “Together, we will ensure sustainable access to exceptional care for our communities for years to come. With a shared mission to serve, a mutual emphasis on research and education, and a strong tradition of physician leadership, Sanford Health is the ideal partner for this endeavor.”
The combined system will bring together nearly 56,000 employees, 56 hospitals, 4,300 providers, two fully integrated health plans, specialty pharmacies and nationally-recognized research institutions.
Utilizing each organization’s respective health plan, Sanford Health Plan and Security Health Plan, will allow the fully integrated system to serve more than 425,000 members.
Upon finalization of the combination, the name of the parent company will be Sanford Health, with system headquarters in Sioux Falls, South Dakota. Marshfield Clinic Health System will be a region within Sanford Health and maintain regional leadership with its flagship medical campus in Marshfield, a regional board of directors, a regional physician executive council and regional brand presence. Sanford Health president and CEO Bill Gassen will serve as president and CEO of the combined system. Marshfield Clinic Health System interim CEO, Brian Hoerneman, M.D., will serve as president and CEO of the Marshfield Clinic Health System region.
The combination is expected to close by the end of the year, subject to regulatory processes and closing conditions. There are no immediate changes for employees or those each system serves. Sanford Health and Marshfield Clinic Health System remain two separate, independent organizations until the closing.
