HCHC creates $22.8 million impact on local economyWritten by Theresa Rose on June 16, 2020
Henry County Health Center generates 439 jobs that add $22,801,656 to Henry County’s economy, according to the latest study by the Iowa Hospital Association. In addition, Henry County Health Center associates by themselves spend $4,323,246 on retail sales and contribute $259,395 in state sales tax revenue.
“Henry County Health Center makes a direct positive impact on our county’s economy. HCHC contributes to the strength of our economy by employing a significant number of area residents. Our associates and the health center purchase goods and services from local businesses which directly supports our economy. In addition, it also benefits the county’s economy when HCHC provides quality healthcare close to home. The services provided attract individuals from other communities who purchase from local businesses while in town,” explained HCHC CEO Robb Gardner. “Having a strong health center is also instrumental in attracting new business, industry and residents to our area. By providing high quality healthcare services to our area communities, we serve the health needs of our population and keep our economy moving forward.”
The IHA study examined the jobs, income, retail sales and sales tax produced by hospitals and the rest of the state’s health care sector. The study was compiled from hospital-submitted data on the American Hospital Association’s Annual Survey of Hospitals and with software that other industries have used to determine their economic impact.
The study found that Iowa hospitals directly employ 77,990 people and create another 66,186 jobs outside the hospital sector. As an income source, hospitals provide $5 billion in salaries and benefits and generate another $3 billion through other jobs that depend on hospitals.
In all, the health care sector, which includes offices of physicians, dentists and other health practitioners, nursing home and residential care, other medical and health services and pharmacies, contributes $19 billion to Iowa’s economy while directly and indirectly providing 347,388 jobs, or about one-fifth of the state’s total non-farm employment.
“Hospitals positively influence their local economies not only with how many people they employ and the salaries of those employees, but also through hospital purchases from local businesses as well as the impact of employee spending and tax support,” said Kirk Norris, IHA president/CEO. “Whether at the local level or statewide, there are few Iowa employers that generate economic activity comparable to hospitals.”
The Iowa Hospital Association is a voluntary membership organization representing hospital and health system interests to business, government and consumer audiences. All of Iowa’s 119 community hospitals are IHA members.