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The City of New Orleans

Mayor Mitchell J. Landrieu

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Mayor Landrieu announces progress on New Orleans East Hospital

June 28, 2012

NEW ORLEANS, LA—Today, Mayor Mitch Landrieu announced that the City is on schedule in its plan to deliver a full-service hospital in New Orleans East.

Mayor Landrieu has worked aggressively to open a full-service hospital at the former Pendleton Memorial Methodist Hospital site. The $110 million project will restore full-service healthcare to residents in New Orleans East. The Landrieu Administration and Orleans Parish Hospital Service District A (HSD) are moving quickly to build a full-service hospital with emergency care in New Orleans East.

Today, U.S. Senator Mary Landrieu (D-Louisiana) announced that the City of New Orleans was awarded an $8.4 million Federal Emergency Management Agency (FEMA) Hazard Mitigation Grant Program for the New Orleans East Hospital. These funds will ensure the structural safety of the hospital in the event of a natural disaster.

Major progress has been made towards the building of the new hospital. Since last year, $26 million in new funds has been acquired for the hospital. Earlier this month the HSD submitted an application for a loan guarantee to the U.S. Department of Housing and Urban Development. Design drawings for the facility have been completed and construction documents are in development.  Renderings for the hospital are attached.

In July of 2011, the City and the HSD opened East After-Hours Urgent Care. The facility, located on the 5th Floor of 5640 Read Boulevard, restored 24-hour medical care to the New Orleans East community and brought the return of a full-service hospital one step closer. Over 6,000 patients have been seen by East After-Hours to date.

“This $8.4 million hazard mitigation grant helps us greatly and brings us closer to the completion of our goal. Delivering a quality full-service hospital to residents in New Orleans East has been and still is a top priority of my administration,” said Mayor Landrieu. “We have taken significant steps to make this priority a reality. I commend the Hospital Service District Board and Dr. Karen DeSalvo for their dedication. We will continue to do all that we can to ensure that no resident of New Orleans has to endure a 30 minute drive in order to reach a hospital. The portion of our city east of the Industrial Canal has gone without a full-service hospital since Katrina and we are committed to fixing that.”

“The City and HSD are working tirelessly and successfully to bring a full-service hospital to the New Orleans East community,” said Dr. Karen DeSalvo, City Health Commissioner and HSD Board member. “We are engaged every day in moving this project forward and have been extremely diligent in our efforts. We have been working with a singular focus towards our goal of a full-service hospital because the residents in New Orleans East deserve no less. The urgent care facility, the secured additional funding and the HUD application are all positive steps towards this and will provide vital services that the community desperately needs.”

“These are important developments for the citizens of New Orleans East, who are one step closer to having a high quality, full service hospital,” said Ronnie Burns, Chairman of the HSD Board. “We are paving the way to meet our goal and fill a huge gap in our community.”

“As resources continue to be secured, New Orleans East steadily moves closer to reopening Methodist Hospital. This is another positive step in bringing a full service hospital to eastern New Orleans. Senator Mary Landrieu has remained diligent in her efforts to secure federal funding for Methodist Hospital and her support of this project is greatly appreciated,” said Jon D. Johnson, Councilmember, District E. “I commend her as she has proven that she is able to deliver much needed funding for this project.  We will continue the work together on the State and City levels to make Methodist Hospital a reality as quickly as possible.”

Since May 2010, the Landrieu administration and Hospital Service District have taken the following concrete steps towards delivering a full-service hospital to New Orleans East:

  • Appointed new board members to the HSD Board.
  • Announced an agreement with Universal Health Services to purchase the former Methodist Hospital site for $16.25 million, saving taxpayers $23.75 million in real estate deal. The City closed on this deal on August 20, 2010.
  • Announced an agreement with Daughters of Charity and Franciscan Missionaries of Our Lady to operate the hospital, with a $2 million commitment from the Daughters of Charity Foundation.
  • Accessed a $910,000 grant from federal agency HRSA for hospital equipment.
  • Awarded $50,000 grant from the Robert Wood Johnson Foundation to support HSD Board’s work to rebuild the hospital.
  • Issued seventeen RFPs for professional services and or contracts with the Urgent Care Center.
  • Selected candidates for Health Care Counsel, Accountant, Program Management Team, General Counsel, Accountant, Auditor, Architect, and Engineering and Remediation Firms.
  • Released 2 invitations for bids for public works projects.
  • Hired an Executive Director, with administrative support, to manage the HSD.
  • Completed demolition of two blighted buildings on the hospital campus, the former Ambulatory Surgery Center and Cancer Center, to allow for site preparation on the hospital campus.
  • Opened “East After-Hours Urgent Care”, restoring 24 hour care to residents in New Orleans East.
  • Broke ground with Daughters of Charity on their planned 34,000 square foot primary care center on the hospital campus.
  • Received $1 million from the New Orleans Charitable Health Fund.
  • Received $15.37 million is in Louisiana State Capital Outlay bill funds.
  • Awarded remediation contract, with work expected to be complete by August 2012.
  • Completed a loan guarantee application for HUD financing.
  • Received $8.4 million in FEMA Hazard Mitigation Grant Funds

Download new renderings of the hospital.

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Last updated: 5/18/2016 2:30:21 PM

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