Two hospitals under Baton Rouge-based Louisiana State University Health Care Services Division changed their names as they came under private management by the Biomedical Research Foundation in Shreveport, La., Tuesday, according to Shreveport Times and News Star reports.
Shreveport-based LSU Medical Center is now University Health, and E.A. Conway Medical Center in Monroe, La., is now University Health Conway. BRF will operate the hospitals through BRF Hospital Holdings, a nonprofit limited liability company, according to the Shreveport Times.
The privatization of these hospitals is part of a broader move to privatize nine hospitals under LSU Health Care Services Division in an attempt to cut costs. However, a report from the Louisiana Legislative Fiscal Office found the privatization will generate about $38.8 million less in lease payments than the $140.3 million projection in the state budget.
In addition, while the Louisiana legislature has said the privatization plan will save the state $100 million annually, a state audit said layoffs associated with the plan could cost more than $40 million.
Several LSU hospitals have already changed over to private management and have new names, including W. O. Moss Memorial Health Clinic in Lake Charles, formerly Walter O. Moss Regional Medical Center, and University Hospital and Clinics in Lafayette, formerly University Medical Center.
More Articles on LSU Health Care Services Division:
LSU Hospital Privatization to Produce $39M Less Than Expected
LSU Approves Closure of Huey P. Long Medical Center
Louisiana Panel Approves Privatization of LSU Hospitals