Friday, January 29, 2010

A Final Decision on Charity Hospital

A federal arbitration panel ruled in favor of Louisiana and the City of New Orleans and awarded Louisiana $475 million for hurricane related damage to Charity Hospital. This decision settled a dispute between Louisiana and FEMA who disagreed with the damage assesment by the state and has been in limbo for over 4 years.

U.S. Senator Mary Landrieu was said to be the one who was most responsible for creating the arbitration process that was part of the $787 economic stimulus bill. The process settled the question once and for all the difference between what the state was asking, $492 million and what FEMA offered, $150 million. The arbitration board took less than 10 days to make its decision and the state was expecting the decision to take up to two months. Once again, the federal government has shown it can get things done timely.

The plan is to build a teaching hospital whose role will be a safety net for uninsured, a teaching hospital and chief training ground for medical students and post graduate residents from Tulane and Louisiana States universities. It will be located in the Mid-city area of New Orleans. State officials cheered the decision. It is ironic that many of Louisiana's political leaders opposed President Obama's stimulus legislation, yet it was that same stimulus that allowed this process to happen and end a 4 year deadlock. In the future, state officials should mind their manners before making political statements.

It is now the responsibility of state and city officials to get the ball rolling and start the construction. There are no more excuses.