Legislature Approves Major Lifeline for HCMC as Leaders, Workers and Patients Celebrate

During a press conference on Thursday, Lawmakers, healthcare workers, union leaders, and patients described the legislation as both a rescue package and a warning about the fragile state of healthcare funding in Minnesota.

After months of uncertainty and mounting fears about the future of Minnesota’s largest public safety-net hospital, state lawmakers approved a major funding package Sunday night aimed at stabilizing Hennepin Healthcare and keeping HCMC open.

The bipartisan agreement, passed in the final hours of the 2026 legislative session, includes $205 million in immediate assistance and access to up to $500 million in reserve funding through 2031. Lawmakers and hospital leaders say the package will help prevent service cuts and protect one of Minnesota’s most critical healthcare institutions.

“This legislative session, we saved and stabilized our premier public safety-net hospital, HCMC,” said Rep. Esther Agbaje, whose district includes parts of North Minneapolis and downtown Minneapolis.

Agbaje said lawmakers were warned repeatedly that without state intervention, the hospital was nearing closure. She said Hennepin County officials were prepared to consider votes in June related to shutting down services if no agreement was reached.

“We were definitely on the brink of closure,” Agbaje said. “It was not hyperbole.”

The final legislation also reshapes governance at Hennepin Healthcare. After the Hennepin County Board dissolved the hospital’s corporate board last year and temporarily assumed leadership, the bill creates a new governing board made up of 11 to 15 directors. Under the agreement, at least 70% of board members must have professional expertise in healthcare systems or safety-net hospital operations.

Lawmakers also created a task force that will begin meeting later this summer to develop long-term funding solutions for the hospital.

HCMC is a Level 1 adult and pediatric trauma center treats more than 3,000 critically injured patients annually from across Minnesota and neighboring states. As a safety net hospital, it provides care to everyone, regardless of their ability to pay.

State Rep. Katie Jones said public awareness about HCMC’s importance grew significantly during negotiations at the Capitol.

“There could come a time in every Minnesotan’s life where they need the specialized expert care here at HCMC,” Jones said. “That growing recognition is why we were ultimately able to find a solution in our narrowly divided legislature.”

Dr. Meghan Walsh, chief academic officer and president of the medical staff at Hennepin Healthcare, said the funding will help preserve highly specialized services including burn care, stroke intervention, hyperbaric oxygen treatment, and renal transplant programs, while also supporting workforce recruitment and training.

“Hennepin Healthcare is one of Minnesota’s leading academic medical centers,” Walsh said. “We train physicians, nurses, pharmacists, lab and radiology techs, paramedics, and so many more.”

Harold Golden (left) received a kidney transplant at HCMC and said he is "a witness" to the exceptional care doctors and nurses at the hospital give to patients.

Patients also spoke about the personal impact of the hospital’s care. Harold Golden, a Navy veteran from Plymouth who recently underwent a kidney transplant at HCMC, described receiving a life-changing call while attending church in St. Paul informing him that a donor kidney might be available.

After rushing downtown for testing, Golden was soon moved to the top of the transplant list.

“When I woke up, I was in recovery, and I was told that while most kidneys take anywhere from a couple of days to a week or longer to begin, mine started working right after they hooked everything up,” Golden said.

Agbaje said lawmakers hope the newly formed task force and governance reforms will help prevent future financial crises.

“We know that this is a statewide asset,” she said. “We’re looking at long-term sustainable funding that everyone in the state can contribute to.”