Chattanooga’s only independent health system is preparing for a major new chapter. Erlanger has announced plans to partner with Prisma Health, one of the Southeast’s largest nonprofit health systems, in a proposed agreement that includes more than $2 billion in long-term investments. The funding would support upgrades at Erlanger Baroness and Erlanger East which will expand specialty care services, introduce new technology, and strengthen medical education, research, and workforce development programs.

For patients, daily care remains unchanged for now. Appointments, providers, and services will continue as usual while the partnership moves through a lengthy approval process involving local, state, and federal agencies. Erlanger’s Children’s Hospital, Level I Trauma Center, transplant services, and community care programs will remain in place, along with the Erlanger name and current workforce. Prisma Health also plans to establish its East Tennessee headquarters in Scenic City, with current Erlanger CEO Jim Coleman continuing in a regional leadership role. Leaders from both organizations say the goal is to preserve its local identity while providing the resources needed to support future growth and improve healthcare access throughout the region.

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