TALLAHASSEE, Fla. (WCTV) – The Tallahassee City Commission voted in a packed chamber to allow the city manager to negotiate a memorandum of understanding with Florida State University to form FSU Health. <\/p>\n
The final vote is scheduled for March.<\/p>\n
At Wednesday\u2019s commission meeting, FSU President Richard McCullough said the negotiations were difficult and took time. \u201cWe arrived at a positive place,\u201d he said. \u201cThis agreement marks a significant milestone.\u201d <\/p>\n
The city\u2019s lawyer, Mark Mustian, noted that Wednesday\u2019s vote would be to set up the memorandum of understanding (MOU), but the final agreement would be solidified on March 11. <\/p>\n
Mustian said the MOU over who runs the new FSU Health board has not been finalized. <\/p>\n
The city commission wanted FAMU and TSC to have a seat on the board. They agreed FSU would give one seat to FAMU<\/a>, but it\u2019s not clear if TMH has agreed to give TSC a seat.<\/p>\n The MOU would require FSU to continue to fund indigent care at least at the current levels. FSU would also have to pay for improvements at the hospital, Mustian explained. <\/p>\n FSU is set to pay $109 million <\/a>for the hospital over thirty years. City staff said that overall, there would be over a billion dollars in economic impact.<\/p>\n More Tallahassee news: <\/p>\n Public speakers packed the chamber Wednesday night to speak on both sides of the deal. <\/p>\n The first of those speakers was the FSU student body president who said a lot of students were at the meeting and are \u201ceager to see this come to fruition.\u201d<\/p>\n Another public speaker said she \u201chas nothing against FSU,\u201d but believes the decision-making will be made by the state government rather than FSU leadership.<\/p>\n After passionate public comment, discussion turned to the commission.<\/p>\n Commissioner Jeremy Matlow said while a partnership can be good, the current deal is not. <\/p>\n \u201cWhere people get upset has nothing to do with the future of healthcare,\u201d Matlow said. \u201cIt\u2019s the way the public is being treated.\u201d<\/p>\n Commissioner Jack Porter questioned why the value TMH has provided to the community is deducted from the sale price to FSU. The city manager says it because the hospital hasn\u2019t been paying rent and it\u2019s not a tangible asset the city can sell, it\u2019s a lease.<\/p>\n \u201cI don\u2019t know anyone opposing better medical care or an academic medical center,\u201d Porter said. \u201cBut it\u2019s obviously much more than that.\u201d<\/p>\n One common theme among those opposed to the transfer is what they call a rushed timeline. <\/p>\n Commissioner Dianne Williams-Cox said it\u2019s been long enough. \u201cI still keep hearing about a rush. By the time this is done, it will have been a whole year,\u201d she said. \u201cPeople are ready to move on.\u201d <\/p>\n Williams-Cox also said to not push the transfer forward would be \u201cnegligent.\u201d <\/p>\n Commissioner Curtis Richardson, who is in favor of the transfer, said this will be transformative for the region. <\/p>\n \u201cMy focus has been on providing the highest quality healthcare we can provide,\u201d Richardson said.<\/p>\n Mayor John Dailey said he was in full support of the motion. <\/p>\n Ultimately the city commission voted 3-2 to authorize the city manager to negotiate the MOU with FSU. The final vote is set for March.<\/p>\n To keep up with the latest news as it develops, follow WCTV on Facebook<\/a>, Instagram<\/a>, YouTube<\/a>, Nextdoor<\/a> <\/a>and X<\/a> (Twitter<\/a>).<\/p>\n Have a news tip or see an error? Write to us here<\/a>. Please include the article\u2019s headline in your message.<\/p>\n Be the first to see all the biggest headlines by downloading the WCTV News app. Click here<\/a> to get started.<\/p>\n Copyright 2026 WCTV. All rights reserved.<\/p>\n