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The City of New Orleans

Mayor Mitchell J. Landrieu

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Hospital Service District A, LCMC sign non-binding Letter of Intent for management of New Orleans East Hospital

November 15, 2013

NEW ORLEANS, LA — Today, Mayor Mitch Landrieu announced that the Orleans Parish Hospital Service District A signed a non-binding Letter of Intent with LCMC Health as a first step toward LCMC operating the New Orleans East Hospital. 

The LCMC system currently includes Children’s Hospital, Touro Infirmary, Interim LSU Hospital and the future University Medical Center. 

Franciscan Missionaries of Our Lady Health System (FMOLHS), the current partner with the City and the Hospital Service District in developing the hospital, will continue with the project until hospital opening to ensure successful activation.   

“This first step with the LCMC Health System is an exciting development to ensure the availability of quality, affordable services through our full service hospital in New Orleans East,” Mayor Landrieu said. “The Franciscan Missionaries of Our Lady Health System is a good partner and we are thankful for both their support and excellent work to help us in the early development of this project including restoring clinical services through the New Orleans East Urgent Care Center.”

The 80-bed acute care hospital is currently under construction at the site of the Pendleton Memorial Methodist Hospital, which has been closed since Hurricane Katrina. The $130 million project, which includes renovation of the previously existing six-story, 133,640-square-foot East Tower and construction of a new, 71,700 Patient Care Pavilion, will restore critical health care services to the area.  Ground was broken for the hospital in January 2013 and construction is on track for a spring 2014 opening.  The Urgent Care Center opened more than 2 years ago under the direction of FMOLHS and has already served more than 16,000 people.

The hospital site remained vacant with no plans for redevelopment for nearly five years until the Landrieu Administration and the Orleans Parish Hospital Service District A brought the development to fruition in 2010.

“Building on the strong foundation established by Mayor Landrieu, and on our essential collaboration with FMOLHS, we are paving the way to meet our commitment to provide a wide-array of quality services at the hospital and ensure its financial sustainability for generations to come,” said Ronald V. Burns, Sr., HSD Board Chair.

“Since we began, we have advocated for New Orleans East to be part of a larger local healthcare network and the association with LCMC creates that long-term opportunity once the new facility is complete next spring.  We have been able to bring our experience in construction management and operational planning to this project and we remain committed to the partnership that is helping rebuild New Orleans and restore its healthcare services,” said  John Finan, Jr., President & CEO of Franciscan Missionaries of Our Lady Health System, Inc.

"LCMC is honored to be considered by the City of New Orleans and Hospital Service District A to advance the ongoing development and recovery of New Orleans East," said Steve Worley, CEO of LCMC. "The New Orleans East Hospital will bring vital access to medical care to the people of this community and create jobs and opportunities for its continued progress. LCMC's purpose is to create a stronger and healthier region through supporting the best healthcare facilities in each community. We believe this project is essential for the revitalization of this important part of our community. Through this partnership, our financial strength as a health system helps ensure long-term and sustainable success."

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Last updated: 5/18/2016 2:21:13 PM

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