Morning Briefing
Summaries of health policy coverage from major news organizations
21 Years After Katrina, New Orleans Hospital To Be Reborn As Medical Research Hub
AP: Damaged By Hurricane Katrina Decades Ago, Iconic New Orleans Hospital To Get A Makeover
In the chaos of Hurricane Katrina, Charity Hospital in New Orleans became a scene of heartbreak and heroism, with doctors scrambling to keep patients alive without power or functioning medical equipment while floodwaters trapped them inside its darkened halls for days on end. The massive hospital, a New Orleans landmark that long cared for the city’s most vulnerable residents, was shuttered after the last patients and staff were rescued in 2005. Now, as Louisiana marks the storm’s 21st anniversary Saturday, the long-vacant storm-damaged building is on the brink of new life. (Brook, 8/28)
Modern Healthcare: Corewell Health Beaumont Troy Hospital To Add $440M New Tower
Corewell Health is investing $440 million to build a new hospital tower as an addition to its Troy hospital. The project includes an eight-story, 423,000-square-foot tower that includes 180 private rooms and a new emergency department waiting room at Corewell Health Beaumont Troy Hospital. The expansion, which was first reported in October, will add 180 beds to the new tower, pushing the hospital to a total of 654 beds. (Walsh, 8/27)
Modern Healthcare: Villages Health System To Pay $541.5M In DOJ Settlement
The Villages Health System has agreed to pay $541.5 million to resolve allegations it violated the False Claims Act. The provider was acquired by Humana’s CenterWell Senior Primary Care in November 2025. The previous December, Villages Health self-reported to the government it had submitted invalid diagnosis codes to Medicare Advantage organizations, leading to higher payments for patient care, the Justice Department said in a news release Wednesday. The provider in January 2025 notified the affected insurers of the discrepancy, including Humana. (DeSilva, 8/27)
Modern Healthcare: Express Scripts, Prime Therapeutics Face Florida Antitrust Suit
Major pharmacy benefit managers Prime Therapeutics and Express Scripts are facing more antitrust allegations. The Florida attorney general’s office sued the two companies in state court Thursday, claiming the PBMs’ network management agreement allegedly improperly lowered retail pharmacy rates and violated antitrust laws. “Prime and Express Scripts colluded to fix prices and underpay those pharmacies, forcing many to fill prescriptions at a loss,” Attorney General James Uthmeier (R) said in a news release. (Tepper, 8/27)
Modern Healthcare: No Surprises Act Ruling Raises Insurer Reimbursement Risk
Insurers have a new headache to relieve when it comes to the No Surprises Act. A federal appeals court this month affirmed a ruling requiring the government to scrap how it calculates a key metric that determines reimbursements for out-of-network claims through the Independent Dispute Resolution process. The decision will force federal agencies to issue new guidance, according to the Centers for Medicare and Medicaid Services. (Tong, 8/27)
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CIDRAP: Improved Hand Hygiene Had No Impact On Detection Of Multidrug-Resistant Organisms, Hospital Study Finds
A study conducted at four hospitals in Atlanta found that improved hand hygiene had no impact on detection of multidrug-resistant organisms (MDROs), researchers reported today in Infection Control & Hospital Epidemiology. (Dall, 8/27)
