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Cuts in State Funding May Force LGH to Close University Hospitals and Clinics

May 07, 2018 04:30PM ● By News Desk

The future of University Hospital and Clinics continues to hang in the air as Lafayette General Health took its first step towards shuttering the institution Tuesday, April 3.

Lafayette General Health announced its intent to close UHC June 30 in a letter to Gov. John Bel Edwards and LSU’s governing board. The letter stated that LGH will terminate its partnership with the state in operating UHC if the state does not appropriate full funding by the end of the anticipated second special session.  

“The continued reduction in funding for UHC makes its operation untenable and creates systematic risk for our not-for-profit, community-owned health system,” said LGH President David Callecod in the news release.

The health system, which oversees hospitals and clinics in nine Acadiana parishes, operates UHC under agreement with Louisiana State University and the state. University Hospital and Clinics is home to the Graduate Medical Education training programs and employs more than 800 staff members.

Before LGH assumed responsibilities for UHC in 2013, LSU operated state charity hospitals in the state as training sites for residents and fellows. The facilities offer free and reduced charity care for people who meet financial eligibility requirements.

Last year, UHC saw more than 54,000 patients and conducted more than 149,000 clinic visits. According to the Lafayette General website, LGH has contributed more than $1 million into UHC for various upgrades and new equipment for surgical imagery and cardiac testing. Lafayette General Health has invested over $11.5 million into improvements.