MARSHFIELD MEDICAL CENTER-DICKINSON campus in Iron Mountain. Marshfield Clinic Health System has completed its merger with Sanford Health. (Betsy Bloom/Daily News file photo)

MARSHFIELD, Wis. — Sanford Health, headquartered in Sioux Falls, South Dakota, and Marshfield Clinic Health System have completed their merger and are now one nonprofit integrated health system operating as Sanford Health, officials announced Thursday.

The combined system will serve patients and communities across the upper Midwest, including South Dakota, North Dakota, Minnesota, Wyoming, Iowa, Wisconsin and Michigan’s Upper Peninsula, including Marshfield Medical Center-Dickinson in Iron Mountain.

Marshfield, headquartered in Marshfield, Wis., is about one-fourth the size of Sanford in terms of employees. It serves 45 communities across Wisconsin and the U.P.

“Today’s historic milestone paves the way for us to advance world-class care across the rural Midwest and accelerate vital investments in the communities we have the privilege of serving,” said Bill Gassen, president and CEO of Sanford Health, the largest rural health system in the U.S.

“Together, we will reimagine the future of local, patient-centered nonprofit health care by expanding services, enhancing access and harnessing innovative technologies to improve the health of our communities,” Gassen said in a news release. “We are thrilled to welcome 13,000 new employees from Marshfield Clinic Health System to our Sanford family and look forward to embracing all of the new possibilities that lie ahead.”

Each organization’s respective health plans — Sanford Health Plan and Security Health Plan — will continue current operations under a common management reporting and governance structure. As Marshfield Clinic Health System becomes a region of Sanford Health, the Marshfield brand will continue to be predominant within the Marshfield Clinic region.

“Our partnership brings together two organizations deeply committed to advancing health care for the people and communities we serve in rural America,” said Dr. Brian Hoerneman, who previously served as interim CEO of Marshfield Clinic Health System and has now transitioned to the role of president and CEO of the Marshfield Clinic region of Sanford Health. Hoerneman is a native of Marshfield and a practicing emergency medicine physician.

“I am excited about the opportunities ahead as our teams learn from each other and combine our complementary strengths, cultures and missions,” he said. “Together, we will build on our shared legacy, creating a future where every person, regardless of zip code, has access to the best possible care.”

The combined organization includes nearly 56,000 employees, 56 hospitals, 4,500 providers, two fully integrated health plans, specialty pharmacies and nationally recognized research institutions. Sanford Health Plan and Security Health Plan will serve more than 425,000 members.

The combined system would have had $10.3 billion in revenue in 2023, ranking it just outside the nation’s top 20 largest health systems, according to SiouxFalls.business.

Three Marshfield Clinic Health System Board members have joined the Sanford Health Board of Trustees. These new trustees are Dr. George Brown, Thomas Wenzel and Dr. Maureen McCausland. Meanwhile, a regional board of community leaders is being established to govern the operations and strategy of the Marshfield Clinic region.

Like all of Sanford Health’s regions, the new Marshfield Clinic region has a Physician Executive Council, which will feature Marshfield Clinic physician leaders. Three members of the Physician Executive Council will serve on the system’s Council of Governors. These physicians are Jay Vedre, M.D., MPH; Kent Ray, DO, MSc; and Matt Thomas, M.D.

Marshfield Clinic Health System, now Marshfield Clinic region of Sanford Health, serves Wisconsin and the U.P. with more than 1,400 providers comprising 170 specialties, health plan and research and education programs. Primary operations include more than 60 Marshfield Clinic locations, 11 hospitals, Marshfield Children’s Hospital, Marshfield Clinic Research Institute, Security Health Plan and Marshfield Clinic Health System Foundation.