Rural healthcare providers continue to play a vital role in sustaining local economies, and Essentia Health has emerged as a key economic force in the Brainerd Lakes region of Minnesota. A recently released independent economic impact analysis reveals that the organization contributes more than $733 million in economic activity and sustains 2,086 jobs across Crow Wing and Cass Counties. Conducted by Northspan, a specialized economic development consulting firm, the study highlights how healthcare institutions can serve as both medical and financial anchors in rural communities.
Todd Defreece, senior vice president of operations at Essentia, emphasized the dual role the organization plays: delivering high-quality medical services while strengthening regional economic resilience. “Each year, we provide nationally recognized care to tens of thousands of individuals,” he stated. “Beyond clinical outcomes, our workforce and operational investments support community stability, helping families and local enterprises thrive in this area.”
The analysis shows a multiplier effect: for every direct position at Essentia, an additional 0.94 jobs are created in surrounding sectors, effectively amplifying employment benefits. This ripple extends into construction, supply chain logistics, medical equipment procurement, and other local vendor relationships. Furthermore, wages from family-sustaining roles fuel consumer spending in housing, hospitality, dining, and recreation—key components of the regional economy.
Essentia Health-St. Joseph’s Medical Center serves as a central hub in the region, supported by clinics in Baxter, Brainerd, Pequot Lakes, Deerwood, Emily, Crosslake, Pillager, Pine River, Hackensack, Pierz, and Staples. The system directly employs 967 full-time staff in the area, with an additional 1,119 jobs supported indirectly through affiliated economic activity.
Matt Kilian, president of the Brainerd Lakes Chamber, noted that while tourism is often associated with the region, healthcare is a major economic pillar and a factor in attracting residents. “Essentia not only employs a skilled workforce but also strengthens local businesses and gives back through community initiatives,” Kilian said. “Their presence is a significant asset.”
Beyond clinical services, Essentia has deepened community engagement through targeted partnerships. Recent collaborations include efforts with Crow Wing County to promote tobacco cessation, co-hosting wellness summits that reached over 150 residents, and joint programs with the Brainerd Family YMCA to encourage healthy eating and physical activity. Over the past five years, the organization has directed more than $900,000 in funding to 74 nonprofit groups focused on public well-being.
System-wide, Essentia Health supports over 24,000 jobs and generates $7.69 billion in total economic output across Minnesota, North Dakota, and Wisconsin. In 2024 alone, it contributed over $1.5 million to 153 organizations addressing food security, affordable housing, mental health, childcare, and youth development. As a nonprofit provider, Essentia ensures access to emergency care regardless of patients’ financial status—a commitment aligned with national trends where hospitals delivered $22.5 billion in uncompensated care to uninsured individuals in 2021, according to industry data.
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Essentia Health highlights economic and community impact in Brainerd Lakes area
As rural health care systems continue to face significant challenges, Essentia Health is highlighting findings from a new third-party economic impact report. As one of the top employers in the region, Essentia Health drives over $733 million in economic activity and supports 2,086 jobs in the Brainerd Lakes area. Prepared by the economic development firm Northspan, the report underscores the value Essentia brings to the region, both as a leader in rural health care and as an important partner in economic growth. n n”We are proud to deliver exceptional, nationally recognized care to tens of thousands of patients in the Brainerd Lakes area every year,” said Todd Defreece, senior vice president of operations at Essentia. “This report shows that our team ‘s work also has a major impact on community health and economic stability in the region. By investing in good-paying jobs and partnering with local organizations to address community needs, we’re proud to contribute to the local economy, keeping families and businesses rooted in the Brainerd Lakes Area.” n nThe report found that Essentia has a ripple effect in local economies: Every job created at Essentia spurs an additional .94 jobs in the community, effectively doubling Essentia ‘s employment impact. n nEssentia generates additional economic growth through partnerships with local businesses, from construction and medical equipment to supply chain and logistics. And by supporting family-sustaining jobs, Essentia fuels local spending on housing, dining, recreation, hospitality and more. n nThe Brainerd Lakes area, which includes Crow Wing and Cass Counties in Minnesota, is home to Essentia Health-St. Joseph’s Medical Center and an array of clinics in Baxter, Brainerd, Pequot Lakes, Deerwood, Emily, Crosslake, Pillager, Pine River, Hackensack, Pierz and Staples. In this region, Essentia directly employs 967 full-time employees and supports another 1,119 employees indirectly. n n”When people think about the Brainerd Lakes area, tourism usually comes to mind. What many people don ‘t realize is that health care is one of our biggest economic drivers and a major reason people choose to live in the area,” said Matt Kilian, Brainerd Lakes Chamber President. “Essentia employs a great team while supporting many local businesses and giving back to the community at the same time. We’re very fortunate to have them here.” n nEssentia Health also supports the Brainerd Lakes area through many partnerships and contributions. In the last several years, Essentia partnered with Crow Wing County to discourage tobacco use by promoting cessation resources; co-hosted the Crow Wing Energized Annual Summit, which facilitated lessons about mental and physical wellness to 154 residents; and encouraged the consumption of fruits and vegetables and promoted physical activity in partnership with the Brainerd Family YMCA. Over the last five years, Essentia invested more than $900,000 across 74 nonprofit organizations in the Brainerd Lakes region. n nEssentia worked with Northspan to conduct research using economic impact modeling software in accordance with industry best practices. The firm analyzed employment, revenue, spending and charitable contribution data for the study. n nSystem-wide impact n nEssentia Health has a significant economic and community impact across North Dakota, Minnesota and Wisconsin. Annually, Essentia supports over 24,000 jobs and generates $7.69 billion in total economic impact. In 2024, Essentia invested over $1.5 million across 153 local organizations that support healthy communities through food security, stable housing, mental health resources, child care and healthy youth development. n nAs a not-for-profit health care provider, Essentia cares for patients regardless of their ability to pay, including by providing 24-7 access to emergency care. According to national studies, hospitals provided $22.5 billion worth of uncompensated care to uninsured people in 2021.