Healthcare Districts, like fire, water and public utility districts, are publicly elected entities created by the State of California. The California legislature created healthcare districts in 1946 with the mandate to improve healthcare in their communities. California has more than 70 healthcare districts, most of which have built hospitals to meet the healthcare needs of their residents. District directors are the elected officials whose sole mission is to promote the health and welfare of the residents of the communities served by the district.
Marin Healthcare District (formerly the Marin Hospital District) built Marin General Hospital (MGH), which opened in 1952. For 25 years the District operated Marin General Hospital. In 1981 the District acted to meet its need for newer and larger facilities and issued bonds, hired a team of architects and planners, and built MGH's West Wing, adding 78 beds to the hospital.
In 1985, the Marin Hospital District Board entered into a 30-year lease of the Hospital to a new nonprofit, Marin General Hospital Corporation. MGH Corp. continues to hold the original lease which runs through 2015. Soon after forming, MGH Corp. affiliated with California Healthcare Systems. Then in 1995, California Healthcare Systems merged with Sutter Health.
In 2006, the Marin Healthcare District, Marin General Hospital Corporation, and Sutter Health, entered into a Settlement and Transfer agreement that returned control of Marin General Hospital to the District earlier then the end of the lease in 2015. Marin Healthcare District will return MGH to community control beginning on June 30, 2010.