May 14, 2026
On May 13, Gov. Tim Walz, Senate Majority Leader Erin Murphy (DFL – St. Paul), House Speaker Lisa Demuth (R – Cold Springs), and House DFL Caucus Leader Zack Stephenson (DFL – Coon Rapids) announced an agreed upon supplemental budget that includes $705 million for hospital stabilization funds for Hennepin County Medical Center (HCMC) .
The MMA has been actively advocating for state support for HCMC, highlighting the system’s essential role in patient care, emergency services, and physician training. As part of the deal, HCMC receives $205 million out of the general fund in the current fiscal year, and $500 million will be available until fiscal year 2031. Leaders also agreed to convene a working group to develop long-term sustainability strategies for the health system.
Previous proposals to support HCMC included an increase in the Hennepin County sales tax, but the final agreement uses money from the state’s general fund.
Other major items include $125 million for increased property tax refunds, and $250 million for a one-time reduction in vehicle tab fees. In total, the agreement would add a $660 million increase to the current state budget. There is also agreement on a $1.2 billion bonding bill, as well as legislation to fund a new Office of the Inspector General to address fraud among state programs.
Details of the state budget will be finalized over the next few days. This includes a health omnibus package that will likely be finalized in a health conference committee. The Senate health finance omnibus bill, SF 4612 (Wiklund, DFL – Bloomington), largely prioritizes compliance requirements tied to the federal “One Big Beautiful Bill Act,” but also includes several additional healthcare investments and policy provisions. Notably, the bill contains language from SF 1961 (Maye Quade, DFL – Apple Valley) requiring health plans to cover infertility diagnosis, treatment, and medically necessary fertility preservation services, and includes approximately $17 million for community-based safety net provider grants.
In contrast, the House companion, HF 4466 (Bierman, DFL – Apple Valley) is significantly narrower in scope, and does not include the infertility coverage mandate or many of the Senate’s additional health care investments. Similar to the Senate proposal, the House bill primarily focuses on implementing federal compliance changes tied to the “One Big Beautiful Bill Act,” including Medicaid work requirements for adults without children, new six-month renewal requirements, cost-sharing provisions, and shortening retroactive coverage from three months to one month for adults without children.
The House did not finalize a policy or scope and licensing omnibus bill, so contents of the Senate policy and scope and licensing omnibus bill may be included in the health finance package.
The legislature adjourns on May 18.
May 14, 2026
The University of Minnesota Medical School and Staples, Minn.-based Lakewood Health System are expanding rural physician training in the state with a new residency program.
May 14, 2026
On May 8, Sanford Health, based in Sioux Falls, South Dakota, and North Memorial Health announced that they have agreed to merge as a single nonprofit health system.
May 14, 2026
The MMA recently upgraded its member portal to make it more accessible and user-friendly.