Fairview, Atlas team to build ambulatory surgery centers

With more care being delivered on an outpatient basis, Fairview Health Services is moving to provide more options for surgery outside the hospital.

The health system is teaming with Atlas Healthcare Partners to build a network of ambulatory surgery centers across Minnesota and outside the state as well. The organizations announced the plans last week.

James Hereford, president and CEO of Fairview Health Services, said in a news release that the move reflects patient preferences.

“Getting patients the right care, in the right place, at the right time has always been at the center of what we do. Ambulatory surgery centers are an increasingly important part of how we make that happen,” Hereford said.

Hereford also cast the move as one that could appeal to physicians as well as patients.

“We want Fairview to be the place patients choose for their care – and where physicians and advanced practice providers want to practice,” he said.

Fairview operates 10 hospitals and medical centers, along with a host of other care sites.

Atlas teams with nonprofit hospital systems to operate ambulatory surgery centers. The company says its partnerships enable health systems to expand their capacity to treat more patients.

Aric Burke, president and CEO of Atlas, said the venture with Fairview supports the health system’s mission.

“We are excited to partner with Fairview and physicians to deliver high quality ASC care to the people of Minnesota and neighboring areas,” Burke said in a statement.

It’s the second major agreement with a nonprofit health system for Atlas in the last two months. In February, Atlas announced that the company had reached an agreement with Prisma Health to build more than 15 ambulatory surgery centers across South Carolina and in southeastern Tennessee. The plans call for surgery centers in Greenville, Columbia, Charleston, and other areas.

Clarence Sevillian, executive vice president and chief operating officer of Prisma Health, said in February that the partnership will offer more services and convenience for its patients.

“This partnership brings care closer to home,” Sevillian said in a news release. “By expanding outpatient surgery centers, we make it easier for patients to access high-quality care in settings that are more convenient, often more affordable, and designed for comfort. It’s another way we’re improving health and access across South Carolina and Tennessee.”

Atlas has formed relationships with several health systems to build ambulatory surgery centers. Founded in 2019, the company has also established partnerships with Banner Health, Corewell Health, MultiCare, and ChristianaCare. Atlas has set up 50 ambulatory surgery centers in seven states.

Jennifer Schwartz, chief strategy officer at ChristianaCare, said in 2024 that its partnership with Atlas would offer patients more cost-effective options.

“Ambulatory surgery centers are an increasingly important part of the healthcare ecosystem, especially as advances in science and technology are enabling more and more procedures to be done safely in an outpatient setting,” Schwartz said in a statement.

About two-thirds of surgical procedures are now performed on an outpatient basis, and outpatient surgeries have grown by about 6% annually, according to a study by researchers at the University of Pennsylvania.

More types of surgeries are going to be happening outside the hospital. The federal government is moving to phase out its list of “inpatient-only” surgeries over a three-year period. The Centers for Medicare & Medicaid Services is beginning with a group of 285 musculoskeletal procedures in 2026.