Negotiations between the state and the Biomedical Research Foundation of North Louisiana, operator of the state’s two north Louisiana safety net hospitals, resumed this week after Gov. John Bel Edwards’ administration began the process of terminating the public-private partnership contract last week.
The state’s contract with BRF is the lone agreement to be renegotiated of the nine deals, including one with Our Lady of the Lake Regional Medical Center, that former Gov. Bobby Jindal signed to privatize Louisiana’s charity hospitals. The Edwards administration contends the deals were costly and unfavorable for the state.
Edwards tells The News-Star he remains hopeful a deal can be reached despite the notice of termination issued last week. The notice started the clock on the 45-day termination window.
On Monday, Edwards’ executive counsel Matthew Block traveled to Shreveport to meet with BRF Chairman Steve Skrivanos to keep negotiations moving.
“There are a lot of moving parts. I’m not surprised we’re not where we want to be to put this deal together … but I hope we’re going to have good news about the partnership with the state and the Biomedical Research Foundation,” Edwards says.
BRF contends the proposal presented was unfair when compared to the deals offered the other partners.
Under its new deal, Our Lady of the Lake will receive $111.9 million plus $5.5 million to develop the new ER in north Baton Rouge, as well as $13.7 million in back payments it says are due from the state, for a total of more than $131 million.
