UNMC, Clarkson leaders address concerns around $800M deal

Leaders of Nebraska’s largest health system took questions and addressed concerns Tuesday related to a $800 million acquisition proposal.

The University of Nebraska has a plan to buy out Clarkson Regional Health Services’ 50% membership interest in the Nebraska Medicine health system. At a cost of $500 million, and an additional $300 million for Clarkson's land and buildings, the acquisition would make the university the sole governing member of Nebraska Medicine.

That proposal has been met with questions, concerns and a lawsuit

Interim UNMC Chancellor H. Dele Davies spoke alongside Nebraska Medicine CEO Michael Ash and Clarkson Regional Health Services’ CEO Bill Lydiatt at a forum Tuesday. The trio made assurances of a cohesive team, addressing what in recent weeks has been a tumultuous process.

“Our commitment is one that we've always shared together, and that's not going to change,” Davies said. “Even as we move into this sole governing membership of Nebraska Medicine, we're going to be looking forward and we're not looking backwards.”

Lydiatt said the process of Clarkson’s removal from the 50-50 partnership began about 18 months ago. Clarkson informed the regents and Nebraska Medicine in mid-2024 that it wanted to withdraw and pursue a new focus to become a health-driven charity and foundation.

“We want to use the funds that we have to develop grants, to develop programs to do things to help the state in areas that we feel because of our position as a granting organization, we can do so and so we're very committed to improving the health of Nebraskans,” Lydiatt said.

Last week, the NU Board of Regents and Clarkson Regional Health Services replaced the health system's board of directors with an interim board made up of university and Clarkson leaders.

Among the ousted was former Union Pacific CEO Lance Fritz, former chairman of Nebraska Medicine's board. Fritz is an outspoken opponent of the proposal, alleging the move does not serve the best interests of Nebraska Medicine and questioning the university’s ability to raise $800 million at a time of ongoing budget challenges.

All parties have a long way to go before the deal is finalized. University of Nebraska President Jeffrey Gold has said the financing for the proposal may include a combination of debt service, letters of credit and the monetization through rent or the potential sale of some of the real estate the university would acquire as part of the deal.

Ash said he is looking to the future.

“We cannot have stepped backwards. We need to really focus on how together we continue to be extraordinary,” Ash said. “And that's the commitment of the Nebraska Medicine leadership.”