Panel Orders $475M Payment for Damaged New Orleans Hospital

A federal arbitration panel has awarded the Louisiana $474.8 million in federal funds to replace Charity Hospital in New Orleans, which has been closed since Hurricane Katrina struck, according to a report by the New York Times.

The state plans to replace Charity, a state-owned facility for the low-income patients, with a new $1.2 billion academic medical center.

The ruling ends Louisiana's dispute with the Federal Emergency Management Agency over how much of the hospital's damage was caused by Katrina.

Read the New York Times' report on Charity Hospital.

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