Hennepin Healthcare Faces Dire Financial Troubles, Threatens Patient Care

Minnesota's largest level-one trauma hospital seeks state aid to avoid closure

Published on Feb. 25, 2026

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Hennepin Healthcare, the largest level-one trauma hospital in Minnesota, is facing severe financial troubles after a $1 billion Medicaid cut and budget confusion. The hospital has already cut 100 beds and five departments in an effort to stay afloat, leading to concerns about the impact on patient care. A Twin Cities lawmaker will plead with state lawmakers on Wednesday to help keep the hospital open, as it could close without approval to use a sales tax to cover its costs.

Why it matters

Hennepin Healthcare is a critical healthcare resource for the Twin Cities region, serving as the go-to trauma center for patients in need of emergency and life-saving care. Its potential closure would leave a significant gap in the healthcare system and put many lives at risk, especially for those in the surrounding communities who rely on the hospital's services.

The details

Hennepin Healthcare has been forced to make significant cuts, including reducing 100 beds and eliminating five departments, in order to stay financially viable. Jeremy Olson-Elhert, a nurse and union leader at the hospital, acknowledges the difficulty of these decisions but says they were necessary to preserve patient care. However, the hospital still faces an uncertain future and is seeking state approval to use a sales tax to cover its costs, without which it could be forced to close.

  • On Wednesday, a Twin Cities lawmaker will plead with state lawmakers to help keep Hennepin Healthcare open.
  • If the hospital does not receive approval to use a sales tax to cover its costs during this legislative session, it could be forced to close.

The players

Hennepin Healthcare

Minnesota's largest level-one trauma hospital, located in downtown Minneapolis, which is facing severe financial troubles and the threat of closure.

Jeremy Olson-Elhert

A nurse at Hennepin Healthcare and a leader with the Minnesota Nurses Association, who has witnessed the hospital's struggles and the difficult decisions made to preserve patient care.

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What they’re saying

“Truly, you want your life saved, [HCMC] is the place to be.”

— Jeremy Olson-Elhert, Nurse and union leader (CBS News)

“There's a lot of lives on the line and we need to come together.”

— Jeremy Olson-Elhert, Nurse and union leader (CBS News)

What’s next

A county commissioner is making a case for the hospital at the State Capitol with the Health and Human Services Committee, seeking approval to use a sales tax to cover the hospital's costs. Without this approval during the current legislative session, Hennepin Healthcare could be forced to close.

The takeaway

The potential closure of Hennepin Healthcare, Minnesota's largest level-one trauma hospital, highlights the fragility of the healthcare system and the critical importance of ensuring access to emergency and life-saving care for all communities. This situation underscores the need for policymakers to prioritize sustainable funding solutions for essential healthcare providers, especially those serving vulnerable populations.