Attorney General seeking court supervision over Rainbow Health closure

Minnesota Attorney General Keith Ellison filed a petition Wednesday asking the Hennepin County District Court to supervise the dissolution of a nonprofit that abruptly closed earlier this year.

Ellison initiated a voluntary investigation into the closure of Rainbow Health, which provided an array of services for the LGBTQ community and those living with HIV. The Attorney General’s Office stated that employees have asked whether Rainbow Health would be able to make payments to employees in light of the liabilities.

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Under supervision, a court will be able to direct the disposition of assets under a specific statutory framework.

“I believe court supervision is the proper next step in this case,” Ellison said. “It not only minimizes the risk of separate disputes about who gets what, it can give the employees the best shot to potentially get paid. I believe the parties can resolve these issues cooperatively and efficiently with the court’s supervision.”

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Ash Tifa, who worked at Rainbow Health as the legal services program coordinator and was a member of the SEIU Healthcare MN & IA bargaining team, shared the following statement:

“We are incredibly thankful to hear the news today that Attorney General Keith Ellison’s office is stepping in around the dissolution of Rainbow Health. We are heartened to know that Attorney General Ellision and his office are conducting an ongoing investigation, and trust in the court to supervise the dissolution process. The former staff, the people we served, and the LGBTQIA+ and HIV+ communities of Minnesota are still reeling from the sudden closure this summer with no notice. The ramifications are still being felt by our community. Our group remains committed to holding the Board and leaders of Rainbow Health accountable for the actions and inactions that led to Rainbow Health’s closure. While we don’t know all the next steps, we remain committed to standing up together for what is right in whatever ways we can.”

You can view the full petition below: