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Partnerships Announced for 3 LSU Hospitals

Louisiana Department of Health and Hospitals Secretary Bruce D. Greenstein and LSU System Executive Vice President for Health Care and Medical Education Redesign Frank Opelka, MD, announced potential public-private partnerships for the operations of Louisiana State University's hospitals in New Orleans, Lafayette and Houma.

Under memorandums of understanding that were recently released:

• Louisiana Children's Medical Center will operate Interim LSU Public Hospital in New Orleans and a new 424-bed hospital currently under construction.
• Lafayette (La.) General Medical Center will align with the University Medical Center in Lafayette.
• Ochsner Health System in New Orleans and Terrebonne General Medical Center in Houma, La., will partner with Leonard J. Chabert Medical Center in Houma.

According to the release, each of the partners has agreed to make advance and nonrefundable lease or occupancy payments totaling $12.1 million, which will help the hospitals to avoid previously planned staff layoffs and maintain patient services at existing locations. The partner hospitals will lease the property of each hospital from LSU, and the LSU staff will continue working at these facilities to maintain academic and clinical services, with the partner hospitals assuming responsibility for facility upkeep and operations, according to the release.

Negotiations on the financial arrangements continue, and the plans need approval from the LSU Board of Supervisors and lawmakers on the joint House and Senate budget committee. The LSU Board of Supervisors scheduled a special meeting Friday, Dec. 14, to sign off on the privatization, according to the report.

More Articles on Hospital Partnerships:

LSU Health Hospital Pursues Partnership Following Mass Budget Cuts
Geisinger Health System to Explore Partnership With Lewistown Hospital
McKenzie Health System, Marlette Regional Hospital to Affiliate

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