FOSSTON, Minn. (KFGO-KVRR) – Fosston City Council has unanimously voted to terminate the 2009 agreement between the city and Essentia Health.
In September, an arbitration panel ruled in favor of Essentia in a dispute over its closure of labor and delivery services in 2022.
Essentia has run the hospital for the past 15 years.
In a special meeting held Tuesday, the council also says there has been a reduction in provider availability and wage gaps impacting healthcare staff.
Mayor Jim Offerdahl says the decision to end the agreement reflects their determination to “restore local control and improve healthcare access for Fosston and the surrounding area”.
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