Abstract:Large language models (LLMs), including zero-shot and few-shot paradigms, have shown promising capabilities in clinical text generation. However, real-world applications face two key challenges: (1) patient data is highly unstructured, heterogeneous, and scattered across multiple note types and (2) clinical notes are often long and semantically dense, making naive prompting infeasible due to context length constraints and the risk of omitting clinically relevant information. We introduce CLI-RAG (Clinically Informed Retrieval-Augmented Generation), a domain-specific framework for structured and clinically grounded text generation using LLMs. It incorporates a novel hierarchical chunking strategy that respects clinical document structure and introduces a task-specific dual-stage retrieval mechanism. The global stage identifies relevant note types using evidence-based queries, while the local stage extracts high-value content within those notes creating relevance at both document and section levels. We apply the system to generate structured progress notes for individual hospital visits using 15 clinical note types from the MIMIC-III dataset. Experiments show that it preserves temporal and semantic alignment across visits, achieving an average alignment score of 87.7%, surpassing the 80.7% baseline from real clinician-authored notes. The generated outputs also demonstrate high consistency across LLMs, reinforcing deterministic behavior essential for reproducibility, reliability, and clinical trust.