Houston hospitals got their report cards. Photo by Dwight C. Andrews/Greater Houston Convention and Visitors Bureau

Close to half of the Houston area's general acute-care hospitals are at the top of their class, according to new safety grades assigned to U.S. hospitals. But one hospital in the region is failing on the safety front, the grades show.

In its fall 2019 report card for acute-care hospitals, The Leapfrog Group gives letter grades of A, B, C, D, and F based on the hospitals' ability to shield patients from avoidable errors, injuries, accidents, and infections. The nonprofit represents hundreds of public and private employers that buy healthcare benefits.

In the Houston area, 19 hospitals earned an A, with 14 receiving a B, seven getting a C, one picking up a D and one being slapped with an F.

Chris Skisak, executive director of the Houston Business Coalition on Health, notes that 23 percent of hospitals in the Houston areas saw their Leapfrog grades go up while just 11 percent saw their grades go down. The coalition is a regional leader for The Leapfrog Group.

"Houston-area hospitals do care about their grades," Skisak says, "and going back to 2016, most obtained a higher grade after receiving a lower grade the previous assessment period. Houston is fortunate to have [about] 50 percent of its hospitals earn consistent A grades."

For the first time in at least four years, The Leapfrog Group did hit one Houston-area hospital — Huntsville Memorial Hospital — with an F. On the spring 2019 report card, the hospital received a D. In the fall of 2018, the mark was a C.

Huntsville Memorial Hospital currently is combating what's been described as a "dire financial situation."

In a November 1 statement, the Walker County Hospital District, which owns the Huntsville hospital, said the separate nonprofit entity that runs the hospital — Walker County Hospital Corp. — was beset by monetary woes and was on the verge of declaring Chapter 11 bankruptcy. As a result, the district warned, the hospital might close.

According to The Huntsville Item, a proposed rescue of the hospital would place ownership and management in the hands of a joint venture between the hospital district and Plano-based Community Hospital Corp., a hospital management company. The nonprofit Plano company provides supply-chain services to a Huntsville medical practice, Huntsville Orthopedic Surgery and Sports Medicine PLLC.

In the statement, the district's board says it "remains committed to maintaining a viable hospital for the community and to improving hospital operations and services."

The Leapfrog Group graded a total of 42 hospitals in the Houston area. The nonprofit released its fall 2019 report card on November 7.

Houston-area hospitals that earned an A were:

  • Houston Methodist Baytown Hospital
  • HCA Houston Healthcare Conroe
  • HCA Houston Healthcare West
  • Houston Methodist Hospital
  • Houston Methodist West Hospital
  • Houston Methodist Willowbrook Hospital
  • Memorial Hermann Southeast
  • Memorial Hermann Southwest Hospital
  • Memorial Hermann Northeast, Humble
  • Memorial Hermann Katy Hospital
  • HCA Houston Healthcare Kingwood
  • CHI St. Luke's Health Memorial Livingston
  • Houston Methodist Clear Lake Hospital in Nassau Bay
  • HCA Houston Healthcare Pearland
  • Houston Methodist Sugar Land Hospital
  • CHI St. Luke's Health The Woodlands Hospital
  • Houston Methodist The Woodlands Hospital
  • Memorial Hermann The Woodlands Hospital
  • HCA Houston Healthcare Clear Lake in Webster

Skisak says the Leapfrog report card "is a valuable resource for employers to share with their employees so that they can self-navigate to the safest and highest quality hospitals."

"The Leapfrog Hospital Safety Grade offers critical patient safety information to consumers, in an easily digestible way, so that they can make informed decisions about where they seek care in the Houston area," he says in a release.

The Leapfrog Group bases its twice-a-year grades for hospital safety on 28 sets of publicly available data from more than 2,600 U.S. hospitals.

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Houston VC funding nears $1B in first half of 2026, report says

by the numbers

Despite a weak second quarter, venture capital funding for Houston-area startups approached $1 billion in the first half of 2026, the region’s highest first-half total since 2022, according to the latest PitchBook-NVCA Venture Monitor.

This year’s first-half total of $962.4 million represented a nearly 8 percent increase over last year’s first-half total of $891.7 million. Dating back to 2016, this year’s first-half haul lags behind only 2021 and 2022 for the most first-half funding.

Houston’s year-over-year VC jump of 73 percent in the first quarter of 2026 more than made up for the year-over-year drop of 34 percent in the second quarter of 2026, according to the report.

Deal count tells a more encouraging story: Houston startups closed 102 deals in the first half, up from 93 a year earlier and the region’s busiest first half since 2022. However, the average deal size shrank, as no single funding source dominated the total.

Keep in mind that PitchBook and NVCA routinely revise quarterly numbers upward to reflect deals that were reported after a previous quarter’s data was published. So, in the case of Houston, numbers initially reported for the first quarter of 2026 may not match newly reported numbers.

Perhaps the most notable Houston-area deal announced in the first half of this year was Cart.com’s $180 million growth equity investment, led by Springcoast Partners. Cart.com is an e-commerce platform and logistics provider.

PitchBook-NVCA data shows Houston’s VC activity is growing modestly, delivering better numbers in the first half of 2026 versus 2024 and 2025, but it still sits below the highs of 2021 and 2022. This is one sign that so far in 2026, the national VC boom isn’t benefiting non-hub markets like Houston the way it’s boosting some hub markets, especially Silicon Valley and New York City.

Nationwide, AI dominated VC funding in the first half of this year. The sector made up 86 percent of VC from January through June. The report notes that the markets have still struggled to unlock IPOs, with SpaceX being the biggest exception, and few M&A deals outside health care have been significant.

14 climatech startups join Greentown Houston in first half of 2026

green team

Climatech incubator Greentown Labs reports that 14 startups have joined its Houston community so far this year.

The companies are among 30 new startups to have joined Greentown Houston and Greentown Boston in 2026. Four of the companies are headquartered in Houston.

The startups are working on a range of "hydrogen-powered heavy-duty transport to AI-driven grid interconnection," according to Greentown.

The local startups that joined Greentown Houston include:

  • Houston-based Focis AI, which transforms industrial laser scans into structured asset intelligence to automatically identify, classify and map components in refineries and plants
  • Houston-based Iron Lattice, which develops next-generation memory technology for AI and high-performance computing that improves energy efficiency, endurance and scalability while remaining compatible with existing semiconductor manufacturing
  • Houston-based Orbital Arc, which is developing a new ion engine designed to improve the efficiency and scalability of spacecraft propulsion from low Earth orbit to deep space
  • Houston-based Sustain Energy LLC, which delivers cleaner, lower-cost fuel to industrial customers in pipeline-absent, underserved markets, cutting their energy costs and emissions with no infrastructure investment on their end

Other startups from around the world joined the Houston incubator in the same time period, including:

  • Ankara-based AIS Field, which develops robotic, AI-assisted non-destructive inspection systems, including submersible tank and boiler crawlers
  • San Francisco-based Armada AI, which builds rapidly deployable modular and edge data centers that run on local, stranded, or renewable power
  • San Francisco-based Armeta, which turns complex engineering drawings and legacy documentation into structured, usable data
  • Pittsburgh-based Atlas Robotics, which develops a Physical AI platform that powers autonomous material-handling robots and AI-guided forklifts
  • Ghana-based Cocoa Potash, which transforms high-emissions agricultural waste from cocoa, coconut, and palm-nut into organic potash, fertilizer and renewable energy
  • Israel-based Criaterra, which produces low-carbon, cement-free building materials
  • Italy-based ETAK, which manufactures modular reactors that convert solid waste into clean syngas
  • Kenya-based FelixFusion, which uses its Felix platform to model every grid connection point, including capacity, upgrade costs, and constraints
  • San Diego-based Gemini Energy, which builds next-generation fuel cells for data-center power
  • Tokyo-based Hibot, which develops robotic systems for inspecting and maintaining infrastructure in hazardous, hard-to-access environments
  • Austin-based Sheetak, which designs and manufactures thermoelectric coolers, generators, and assemblies for solid-state cooling and energy harvesting
  • The Netherlands-based ToPerform, which makes AI-powered, non-intrusive fouling sensors that monitor pipelines around the clock and predict the optimal cleaning time

Another 16 startups joined Greentown's Boston incubator. See the full list of new members here.

More than 100 startups joined Greentown last year, according to an end-of-year reflection shared by Greentown CEO Georgina Campbell Flatter. Read more about them here.

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This article originally appeared on our sister site, EnergyCapitalHTX.com.

$12M pharmaceutical manufacturing facility to be built in Sugar Land

coming soon

A nearly $12 million drug manufacturing facility is coming to Sugar Land.

City leaders in Sugar Land recently approved a $1.3 million performance-based incentive for DeliverIt Group, a Sugar Land-based provider of specialty pharmacy, infusion therapy and clinical care services, for the development of the 60,000-square-foot facility.

The facility, which will be registered with the U.S. Food and Drug Administration (FDA), will compound medication. The process of drug compounding combines, mixes or alters ingredients to create a medication tailored to a certain patient. A compounded drug is created when an FDA-approved drug can’t meet a patient’s needs.

The facility, which will employ 55 people, will expand DeliverIt’s offerings from specialty pharmacy and infusion services to advanced pharmaceutical manufacturing. In a press release, the City of Sugar Land says the facility reinforces the suburb’s status as a hub for life sciences and health care innovation.

DeliverIt, founded in 2010, already employs about 60 people.

The $1.3 million incentive, to be distributed over the course of 10 years, is being funded through the Sugar Land Development Corporation’s 4A sales tax program.

“The addition of a pharmaceutical manufacturing operation of this caliber reflects the type of targeted growth we want to see in Sugar Land,” Jennifer Alexander, business development manager for the City of Sugar Land, said in a news release. “Our focus on smart, strategic investment means supporting life sciences innovators in ways that maximize existing assets while driving long-term community prosperity.”

The current size of the U.S. drug-compounding market is estimated at $7.42 billion, and it’s projected to climb to $12.79 billion by 2035, according to Towards Healthcare Research and Consulting.

Drug compounding is gaining momentum due to increases in personalized medicine and personal treatment approaches, with growth being supported by aging populations and the rise of chronic illnesses, Towards Healthcare says.