City Commission Approves Transfer of City-Owned Tallahassee Memorial HealthCare Assets, Clearing the Way For Next Steps With FSU
March 11, 2026Tags: FSU Health
This news post was originally shared on news.fsu.edu.
The Tallahassee City Commission voted Wednesday to approve the transfer of city-owned Tallahassee Memorial HealthCare assets from the City of Tallahassee to Florida State University, a historic step that clears the way for the creation of an integrated academic health center in the state’s capital city.
Under the City’s action, Tallahassee Memorial HealthCare will continue operating the hospital, and FSU and TMH will continue collaborating as they work toward expanded educational, research, and clinical opportunities in Tallahassee and North Florida.
University leaders thanked the Tallahassee City Commission for its leadership and expressed appreciation to the City of Tallahassee for its decades of stewardship of the hospital and its vision in supporting the next chapter of health care in the community. FSU also recognized Tallahassee Memorial HealthCare’s decades of service to the community and the longstanding relationship between the two institutions.
“This is an important moment for our community and for the future of health care in our region,” said Florida State University President Richard McCullough, noting the opportunities created by the City’s decision. “We are grateful to the City Commission for its leadership and vision for Tallahassee. Working together with Tallahassee Memorial HealthCare, we can strengthen care for patients while expanding medical education and research here in our capital city.”
This step supports the ongoing work between FSU and TMH that envisions Tallahassee Memorial HealthCare serving as the clinical anchor of FSU Health, Florida State’s academic health ecosystem that integrates clinical care, medical education and research.
"TMH and Florida State University are continuing to work together to reach consensus as we carefully finalize the agreements that will guide our long-term partnership. These negotiations are being approached with a shared commitment to the future of healthcare in our community,” said Mark O’Bryant, CEO of Tallahassee Memorial HealthCare. “Once the agreements are complete, we look forward to working alongside FSU to build on our strong foundation of care and further improve healthcare for the people of North Florida.”
The collaboration builds on years of work between the two institutions. As an example, construction is underway on the FSU Health Research Center on the Tallahassee Memorial campus, a 140,000-square-foot facility designed to bring clinicians, researchers and students together to advance medical research and patient care.
Once the closing occurs, Florida State University would own the hospital property, while Tallahassee Memorial HealthCare would continue to operate the hospital under a long-term lease and maintain responsibility for hospital operations, employees and patient care.
University and hospital leaders emphasized that Tallahassee Memorial’s longstanding mission of serving all members of the community will remain unchanged.
The City’s deed restrictions will ensure the continuation of TMH’s longstanding charity-care commitments. FSU also must maintain the property as a hospital in perpetuity.
Officials from both organizations said the partnership represents an important step toward building a fully integrated academic health center that will enhance clinical care, expand medical training and advance research for patients across Tallahassee and the Florida Panhandle.