Capsules

DHS Announces New Initiative For People Exiting Incarceration

The Minnesota Department of Human Services (DHS) recently announced that it is pursuing a new initiative enabling people who are incarcerated to access behavioral health services through Medicaid in the months leading up to their release. The initiative, developed by the federal Centers for Medicare & Medicaid Services in 2023 under Section 1115 of the Social Security Act, is called the 1115 Reentry Services Demonstration. Primary goals are to reduce overdose deaths, improve public safety and help more people continue getting behavioral health services after release from incarceration. DHS is seeking federal approval to participate in this demonstration. Research shows that society benefits when people in correctional facilities receive the behavioral health services they need. The first phase of Minnesota’s demonstration will involve three state prisons, four county jails

“Providing these services before release fills an important gap and can save lives,” said Temporary Human Services Commissioner John Connolly. “Addressing a person’s behavioral health needs before they leave incarceration can help them find stable housing, get a job and rebuild support networks upon reentering their communities — all of which strengthen public safety and lead to better long-term outcomes for communities.” “This initiative recognizes a simple reality: People are more likely to succeed after release when they have access to the care and support they need before they leave incarceration,” said Corrections Commissioner Paul Schnell. “Strengthening access to needed services during the community reintegration can reduce recidivism, improve public safety and help individuals return to their communities healthier, with more stability and better prepared for success.”

Since December 2024, a reentry services working group has been focusing on the launch of this initiative and related policies for justice-involved individuals. Pending federal approval, people incarcerated at the selected sites could begin receiving pre-release services in early 2028. Eighteen states currently have Medicaid reentry demonstrations. On average, pre-release programs that address a person’s mental health or substance abuse problems may reduce the cost of crime and long-run incarceration costs by $1.47 to $5.27 per taxpayer dollar, according to the White House’s Council on Economic Affairs.

Mayo Creates New Collaborative

The Mayo Clinic recently announced a new internal alignment of its Berg Innovation Exchange and its Business Development initiative to unite commercialization and venture creation, thereby accelerating health care innovation worldwide. Since its launch, the Berg Innovation Exchange has connected innovators with expertise, mentorship and a global network of collaborators. The exchange has served as a catalyst for innovation within the Mayo Clinic and across the broader health care ecosystem, bringing together clinicians, researchers, entrepreneurs, industry leaders and investors to explore new approaches to health care challenges. The exchange helps innovators refine and validate new concepts by providing access to collaborators’ collective expertise. Business Development complements those efforts through capabilities in intellectual property, licensing, venture creation, investment activities and commercialization.

"Innovation depends on strong connections between discovery, commercialization and collaboration," says Andy Danielsen, chief business development officer at Mayo Clinic. "This alignment expands opportunities to work with organizations around the world and provides the resources needed to translate ideas into products and services that benefit patients."

As health care continues to evolve, Mayo Clinic is committed to fostering relationships and collaborations that help advance innovation beyond institutional boundaries. Earlier access to expertise and strategic guidance can help innovators navigate key decisions and identify the most effective path forward. "The ultimate measure of innovation is whether it makes a difference in people's lives," says Peter Noseworthy, MD, medical director for Business Development. "Strengthening the connection between innovation and commercialization helps promising discoveries gain traction beyond Mayo Clinic and creates more opportunity for impact."

The exchange will continue to play an important role in identifying opportunities, encouraging collaboration and helping innovators transform promising ideas into meaningful advances. At its core, the effort reflects Mayo Clinic's belief that meaningful progress happens when people with diverse expertise come together to solve important challenges. “From the beginning, the vision of the exchange has been to help innovators find the expertise and opportunities needed to move ideas forward," says Jennie Kung, vice chair of Mayo Clinic Berg Innovation Exchange. "What started as a vision for accelerating innovation has grown into a community of innovators and problem-solvers and positions us to support even more meaningful work in the years ahead."

Sanford Bemidji Medical Center Announces Major Emergency Department Remodel

At a recent annual Bemidji area health care fundraiser, Pours for a Purpose raised nearly $415,000 and announced that the money would go to advancing a major expansion of the Sanford Bemidji Medical Center emergency department. As the region’s largest nonprofit hospital and the only Level III Trauma Center within 70 miles of Bemidji, the medical center serves seven counties and 16 cities across Northern Minnesota with a collective population of more than 176,000 people. In 2025, the center provided emergency care to more than 26,500 local patients — an average of 73 patients per day. “When emergencies strike, every second counts. By updating and remodeling our emergency department, we can ensure local patients and families have access to the right care at the right time, close to home,” said Jason Caron, MD, president and CEO for Sanford Bemidji. “With growing numbers of patients turning to us for emergency care, this is a priority for our region. We are beyond grateful to those who helped us bring this idea to life. Now, we need the support of our community to bring this project across the finish line.” A $1 million gift from Dr. Richard and Nilla Stennes will facilitate the new emergency department, which will proudly carry their name.

The expanded emergency department will feature:

• New spaces, including new trauma rooms with state-of-the-art equipment, new treatment rooms, the addition of safety-enhanced behavioral health rooms and additional restrooms 
• A remodeled “fast-track” space for enhanced care 
• New care transition spaces for patients who are medically stable but not yet ready for the next step in care, such as those waiting for test results or discharge 
• Renovations to all existing patient exam rooms and additional storage solutions 
• The addition of a dedicated entrance and space for law enforcement, as well as additional safety enhancements for patients and staff Equipment upgrades to support the needs of bariatric patients

“We are incredibly grateful to Dr. Richard and Nilla Stennes for stepping forward to launch this project. Their generosity and their love for this community is such an inspiration,” Caron said. “We are also thankful to all those who gave in support of this effort at Pours for a Purpose.” Construction timelines are yet to be released.

Judicial Ruling Mandates Arbitration in Fosston and Essentia Health Dispute

The City of Fosston, in northwestern Minnesota, and Essentia Health have an ongoing dispute regarding a 2009 affiliation agreement between the parties. The city of Fosston alleges that Essentia Health has failed to meet the community’s needs, creating a violation of the agreement, and is seeking to terminate the local hospital’s affiliation with Essentia. Fosston city leaders have maintained that services at Essentia Health have declined in the last several years, notably with the end of labor and delivery services at the hospital in 2022. While obstetric care is still offered in Fosston, residents face long drives for delivery care. Further concerns cite that Essentia Health has restricted the number of ambulances available to serve the community, removed a longstanding board member and understaffed facilities. Discussions around Fosston’s regaining control of the hospital have been unproductive. Essentia Health has accused city leaders of misrepresenting basic facts of the agreement and misleading the people of Fosston. Furthermore, the health system broke ground this April on a $12 million, 5,500-square-foot expansion of the hospitals emergency department. Nonetheless, and despite previous arbitration rulings going in favor of Essentia Health, the city again filed to regain control. Polk County Judge Jeffrey Remick recently ruled that the court is required to order arbitration based on state law and a clear and unambiguous agreement between the entities. “The parties’ agreement to arbitrate here is broad, and it applies to any dispute related to the terms of the 2009 affiliation agreement. Specifically, the arbitration provision clearly states that ‘any dispute which is not resolved by mediation ... shall be submitted to binding arbitration.”

In response, Fosston Mayor Jim Offerdahl said, “This ruling allows the City to take the next step in a process we have pursued on behalf of the Fosston community. Our goal has always been clear: to protect and strengthen access to high-quality health care in Fosston for the people who live, work and seek care here.” City officials say they are hopeful that the hearing and a resolution to this matter will be reached in 2027. The results of the case could have large implications across many rural communities facing similar loss of service and consolidation concerns.

North Memorial Introduces New Virtual Reality Rehabilitation Therapy

North Memorial Hospital recently announced that it has become the first site in Minnesota to offer Bioness Integrated Therapy System (BITS) Functional Reality (FR) to patients. The innovative new system offers a software-based rehabilitation platform utilizing three modes of engagement: direct hand movements, simple head movements or handheld controllers. It uses virtual, mixed and functional reality environments to challenge patients' vision, motor skills and cognition in safe, real-life scenarios such as navigating a grocery store or driving. By bridging the gap between clinical rehab and daily life, BITS FR helps challenge executive function, balance, memory and hand-eye coordination. The immersive rehabilitation platform transforms how clinicians approach recovery for patients living with stroke, traumatic brain injury (TBI), concussion and spinal cord injury by integrating vision, motor and cognitive therapy into highly interactive environments designed to simulate real-world function.

The novel technology provides a 360-degree enhanced patient experience. Through wearing goggles patients can choose activities that are tailored to each individual and provide a unique therapy experience for each patient. BITS challenges and assess the visual, auditory, cognitive, motor and balance abilities of individuals, including those with deficits resulting from traumatic injuries and movement disorders as well as competitive athletes (e.g., abilities include visuomotor coordination, reaction time, visuospatial perception, visual and auditory processing, working memory, physical and cognitive endurance, balance control and postural stability).

The new technology was released less than a year ago and patients as well as clinicians nationwide have reported outstanding results. "With BITS Functional Reality, we are giving clinicians powerful new tools to deliver therapy that's more engaging, effective, and relevant to patients' daily lives," said Todd Cushman, chief executive officer, Bioness Medical. "This launch reflects our commitment to innovation that improves outcomes and empowers patients on their journey to independence." Unlike traditional rehabilitation exercises, BITS uses realistic lights, sounds and movement to create more immersive and functionally relevant therapy experiences. The technology is now being used across occupational, physical and speech therapy at North Memorial Health.

Blue Cross Expands Digital Access

Blue Cross and Blue Shield of Minnesota (Blue Cross) recently announced that it has expanded its plan members’ access to Blue Care Advisor, an easy-to-use “digital front door.” Since its launch in 2024, Blue Care Advisor has helped members in employer-based plans to get the care they need, when they need it, and to stay on track with personal health goals. Now, Blue Cross has expanded this AI-powered technology to make it available to seniors, improving how they navigate their health care and driving better outcomes at a lower cost. Blue Care Advisor is now available to all members enrolled in Blue Cross Medicare plans, including Medicare Advantage, Medicare Supplement (Medigap), Medicare Cost plans and Minnesota Senior Health Options (MSHO).

“Blue Cross is committed to continuously improving how our members experience and navigate their coverage," said chief strategy officer A.J. McDougall. “Blue Care Advisor is a proven tool for making our health insurance plans easier to understand and easier to use. I'm confident our Medicare members will enjoy how simple Blue Care Advisor makes it to manage all their health care benefits.”

Using each member’s unique benefits and claims data, Blue Care Advisor delivers personalized recommendations for available resources across multiple touchpoints. This individualized approach helps to close gaps in care and guide the next best action for each member’s health and health care spending, while enabling Blue Cross customer service and care management teams to better serve each member’s unique needs.

With the expansion to Medicare, Blue Cross is also introducing its new Blue Ribbon designation within the Blue Care Advisor Find Care tool. Leveraging a national dataset of cost and quality ratings for both in-person and virtual care, the Find Care tool will help members identify the highest quality, lowest cost options — helping to ensure they are receiving the best care possible at the right time and place, while effectively managing their health care costs. Members using Blue Care Advisor are more likely to receive preventive care across multiple key areas of health, including screenings for cancer and diabetes, as well as annual wellness exams.