The State of Louisiana has notified BRF that the process has started to terminate the contract to operate safety net hospitals in Shreveport and Monroe, Louisiana Gov. John Bel Edwards issued this statement regarding the decision:

I am disappointed that we have not been able to reach an agreement with BRF about the operation of the public-private partnership hospitals in Shreveport and Monroe.   When I set out to renegotiate these contracts, I did so in an effort to provide quality healthcare to our citizens while ensuring that the agreements were in the best interests of the taxpayers.  I am confident that we have struck that agreement with all of our other partners.  I remain fully committed to supporting the medical school in Shreveport and to making sure that the  people of north Louisiana have access to quality hospital and clinic care.

University Health issued this statement regarding the decision to end the relationship with BRF:

"North Louisiana Safety Net Hospitals Unfairly Targeted With Significantly Worse Private Partnership Agreement Among the nine public private partnerships throughout the state, only the two safety net hospitals in North Louisiana are being singled out by the state and LSU for significantly worse terms in new operating agreements."

Steve Skrivanos, chairman of the University Health board of directors says: “We cannot sign an agreement that unfairly targets the Shreveport and Monroe hospitals while putting the healthcare of North Louisiana citizens at risk.” He adds “The citizens of North Louisiana should demand transparency from the state and LSU about what is really going on here.”

All of the other safety net hospitals have signed new agreements. “The Shreveport and Monroe hospitals would have a signed agreement as well if we had been offered the same type of terms as New Orleans, Baton Rouge and Lafayette instead of significantly different ones,” said Skrivanos. He goes on to say: “the BRF was asked by the state and LSU to step in and save the Shreveport and Monroe hospitals from closure in 2013 and it did,” said Skrivanos.

The state does say that negotiations will continue with BRF during the 45 days it will take to terminate the contract.

In fact, the governor's executive counsel Matthew Block is scheduled to meet with BRF officials Monday morning in Shreveport.