Construction has officially commenced on a new Level II Neonatal Intensive Care Unit (NICU) at Penn State Health Lancaster Medical Center, marking a significant advancement in local pediatric healthcare infrastructure. Following a ceremonial event on January 23, 2026, where hospital leaders gathered to celebrate the milestone, the project has moved swiftly into the active build phase. Primarily, this expansion is designed to address a critical gap in the region’s healthcare services by bringing specialized newborn care closer to the families of Lancaster County. Furthermore, the initiative is backed by the comprehensive expertise of the Level IV NICU at Penn State Health Golisano Children’s Hospital, ensuring that the new unit adheres to the highest standards of medical excellence. Consequently, this development underscores the health system’s broader strategic commitment to decentralizing specialized care and reducing the need for families to travel long distances during medical emergencies.

Advanced Facilities for Specialized Care

The new facility is being engineered to provide a higher level of medical support than a standard newborn nursery, specifically catering to infants born at 32 weeks gestation or later, or those weighing at least 1,500 grams. To facilitate this, the unit will be equipped with advanced medical technology capable of delivering continuous positive airway pressure (CPAP) and short-term mechanical ventilation for mildly to moderately ill newborns. Moreover, the design integrates the unit directly into the center of the existing Family Birthing Suite, a strategic decision intended to keep parents physically close to their infants during recovery. In addition to treating acute conditions, the unit will also serve as a convalescent destination for babies transferring back from higher-level facilities. Therefore, the infrastructure supports a seamless continuum of care, ensuring that transitions between different levels of medical intensity are managed safely and efficiently within the same health system.

Lancaster Medical Center Level II NICU: Factsheet

Project Name: Level II Neonatal Intensive Care Unit (NICU) Expansion

Location: Penn State Health Lancaster Medical Center, East Hempfield Township, Pennsylvania

Parent Organization: Penn State Health

Associated Facility: Supported by the Level IV NICU at Penn State Health Golisano Children’s Hospital (Hershey, PA)

Status: Under Construction (Commenced Jan 2026)

Groundbreaking Event: January 23, 2026

Target Completion: Fall 2026

Unit Capacity: 3 Specialized Beds

Level II NICU Criteria:

Infants born at ≥32 weeks gestation.

Infants weighing ≥1,500 grams (~3 lbs 5 oz).

Mild to moderately ill newborns.

Recovery/convalescent care for transfers from Level III/IV units.

Key Medical Capabilities:

Continuous Positive Airway Pressure (CPAP).

Short-term mechanical ventilation.

24/7 specialized clinical staffing.

Philanthropic Partner: The High Foundation (Lead Donor)

Leadership: Joseph Frank (President, Penn State Health Lancaster and St. Joseph Medical Centers)

Strategic Goal: Minimize travel for families in Lancaster County; provide “care closer to home” while maintaining a direct link to advanced tertiary care in Hershey.

Community Impact and Future Timeline

Ultimately, the completion of this project will dramatically improve the patient experience for new parents in the region by minimizing disruptions in neonatal care. Joseph Frank, President of Penn State Health Lancaster and St. Joseph medical centers, emphasized that the investment is focused on bringing “expert, trusted care closer to home,” thereby alleviating the stress often associated with neonatal hospitalization. Meanwhile, the project has already garnered significant community support, notably receiving its first philanthropic commitment from The High Foundation, which recognizes the vital nature of this infrastructure.

As construction progresses through the year, the team is targeting a completion date in the fall of 2026. Finally, once operational, the three-bed unit will be staffed 24/7, providing peace of mind to the community and ensuring that the most vulnerable patients receive timely, coordinated attention from the moment of birth—a focus on advanced medical facilities that parallels the start of construction on the $1.7 billion Wadsworth Center lab in Albany. This 663,000-square-foot facility, a joint venture by Gilbane and Turner Construction, aims to consolidate five aging locations into a single campus, enhancing New York’s pandemic readiness and public health research capabilities by 2030.