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Douglas County OKs lease to convert county hospital to nonprofit Alomere Health
Summary
The Douglas County Board adopted Resolution 25-68 to lease and transfer operation and assets of the county-operated hospital to Alomere Health, an independent Minnesota nonprofit; the measure passed unanimously and authorizes the chair to execute closing documents. The resolution cites Minnesota Statutes and a recent state law affecting PERA.
The Douglas County Board of Commissioners on Sept. 2 adopted Resolution 25-68 approving a Lease and Agreement to transfer operation and assets of the county-operated Douglas County Hospital to Alomere Health, an independent Minnesota nonprofit corporation. The motion to adopt was made by Commissioner Shane Schmidt and seconded by Commissioner Charlie Meyer; the board voted 5–0 to approve the resolution.
The resolution states that, after “several years of review, analysis and consultation,” county officials concluded converting the Health System to an independent nonprofit is “the best way to sustain and grow high quality health care services for its community.” It says Alomere will be contractually bound to operate consistent with tax-exempt charitable purposes and to provide charity care and other community benefits. The document also notes that a state law enacted earlier this year gives government-owned hospitals and nursing facilities until July 1, 2027, to convert without a significant PERA-related penalty.
The board authorized the chair, Jerry L. Rapp, or his designees, to execute the Lease in substantially the form attached and to take additional actions needed to consummate the transaction. The Lease and its exhibits are available for public inspection in the County Coordinator Office.
