University of Minnesota, Fairview reach new 10-year agreement

The University of Minnesota Board of Regents says it approved a mediated agreement with Fairview and M Physicians on Friday.

The 10-year agreement includes a $1 billion investment from Fairview in its medical facilities on the University of Minnesota campus and confirmation of the academic affiliation between the University of Minnesota and Fairview.

"This agreement is an important milestone that brings clarity to the relationship between the University, M Physicians, and Fairview Health Services for the next 10 years," University of Minnesota President Rebecca Cunningham said. "We are pleased to be able to continue this long-term partnership, which has played a vital role in caring for Minnesotans, training much of the state's healthcare workforce and advancing lifesaving medical research."

The University of Minnesota and Fairview will also establish a new leadership council to "discuss important strategic matters and mutual needs and ensure an effective collaboration," according to the Minnesota Attorney General's Office.

The new agreement will take effect on Jan. 1, 2027, with some features being implemented this year.  

The three groups spent weeks negotiating a new contract, with the current 30-year agreement set to expire at the end of the year. The mediation team met every day for more than seven weeks starting Dec. 5, with the exception of Christmas.

More than 30,000 employees and 10,000 union members work under the current agreement.