The Smith County Memorial Hospital (“SCMH”) project involves the construction of a new 61,700 square foot (SF) Critical Access Hospital to replace SCMH’s functionally obsolete existing hospital facility in a rural part of north-central Kansas (“Project”). The new hospital will offer 16 inpatient beds, a 28-bed long term care unit, a 6,115 SF surgery center, outpatient clinic services, radiology and labs units, a cafeteria, physical therapy, occupational therapy, wellness facilities, and the required administrative, maintenance, and support services. Additionally, SCMH will carry over to the new facility all of its current programming and outreach programs, including its scholarship package, which covers education costs for potential nursing staff, lab and radiology techs, in exchange for full-time employment commitments after graduation.
Located in Smith Center, Kansas, the Smith County Memorial Hospital (the “Sponsor”) has directed care for this non-metropolitan, medical underserved community for over 65 years – providing surgical, emergency, diagnostic, labor & delivery, nursing, and physical therapy services to a patient base that is 65% Medicare/Medicaid patients. The existing 35,000 SF facility has worked to serve the critical health needs of the area. However, according to SCMH, the facility has grown to be spatially restricted, functionally ineffective, and unaccommodating to the modern technological medical standards/requirements of modern hospitals. Current conditions are forcing patients to share medical treatment areas, bathrooms, and shower rooms.
Based on the initial design plans provided by SCMH, the Project will confront a host of operational inadequacies allowing for streamlined processes, technological enhancements, decreased patient wait times, increased patient volume, as well as the expansion of medical services/programs. In specific, the NMTC financing will allow for the Project to provide the following:
- Purchase of additional medical equipment (imaging and radiology)
- Upgraded surgical suite that will feature more advanced equipment, allowing SCHM to expand breadth of services
- Paved secondary access—the only paved access route to the hospital is US-36; the Project could utilize NMTC financing to pave a second route to the hospital for ambulance and patient traffic
- Additional scholarships for nursing students, as well as lab and radiology technicians
Overall, based on information provided by SCMH and using economic impact projections, it is expected that the Project will allow for the retention of all 200 full-time staff and will create 10 FTE positions immediately. Further, it is anticipated that 7,612 low-income persons (LIPs) and 11,418 low-income residents (LICRs) will have access to the healthcare services provided by SCMH, which are much needed in a region designated as a Medically Underserved Area.
- Medically Underserved Area
- 10 FTE jobs created
- 95 construction jobs
The Project is located in a severely distressed and medically underserved census tract within an underserved state for NMTCs as designated by the CDFI Fund. It will provide needed services to the distressed community by allowing increased access to health and wellness care needed to serve the rural community of Smith Center, Kansas. It is anticipated that the center will provide expanded services to 7,612 LIP and 11,418 LICRs patients while creating 10 permanent jobs and retaining all 200 existing FTE positions. Based on the CDE’s mission of providing subsidized financing to medical facilities which
support distressed communities in medically underserved areas this project appears to directly align with the CDE’s mission.