St. Francis Regional Medical Center in Shakopee is spending about $44 million to build a free-standing surgery center while also expanding the hospital's emergency room and cancer center.
The projects, which were disclosed in a financial statement this month, were approved by the hospital's board of directors earlier this year and are scheduled for completion by autumn 2021.
Hospital officials say they've seen a growing demand for ER and cancer center services due to population growth in the south and southwest suburbs of the Twin Cities. Construction of a surgery center is a response to a push from health insurers for operations to be performed in those facilities, rather than hospital operating rooms, said Michael Morris, director of business development and administration at St. Francis.
"We need to comply with those directives from the insurance companies and make sure we can accommodate patient care needs in our market," Morris said.
St. Francis Regional Medical Center is jointly owned by Minneapolis-based Allina Health System and Bloomington-based HealthPartners. A division of Duluth-based Essentia Health also has a small ownership interest in the hospital. The hospital operated 85 beds in 2017, placing it among the 30 largest medical centers in the state, according to data from the Minnesota Department of Health.
The new construction projects are expected to begin in 2020.
The hospital's emergency room will double in size, adding a four-bed mental health unit, four private trauma rooms and a four-station garage for ambulances.
The mental health beds are needed in part because of the regional challenge of finding inpatient space for mental health patients, Morris said. The problem, which occurs at many hospitals, means patients can spend six to 24 hours in the emergency room, he said, whereas current rooms are designed for shorter stays.