Revised -- Final bank loan brings Community Hospital project funding to nearly $35 million

Community Hospital Association in McCook, Neb., is the recipient of a $15 million loan from the Thayer County Bank of Hebron, Neb. that will be guaranteed by the USDA Rural Development. Earlier this week, the Association was awarded a $17 million loan, funded under the American Recovery and Reinvestment Act. The hospital will contribute the remaining $2,730,000 needed for the renovation and expansion of the local hospital.

"Thayer County Bank is happy to represent a group of Independent Community Banks in Nebraska who have teamed up to provide financing, with assistance from USDA Rural Development, for the improvements to the Community Hospital," said President Patrick Kenner, Thayer County Bank. "As our nation moves toward the modernization of health care it is vital that our rural communities update their facilities and service offerings. It is also important that we provide the financing necessary to reach new levels of efficiency through the upgrading of medical facilities as is being done in McCook."

Independent Community Banks in Nebraska involved in the McCook Community Hospital project funding are: West Gate Bank-Lincoln, Bank of Lewellen, Pathway Bank, McCook National Bank, Plattsmouth State Bank, State Bank of Bartley, Bruning State Bank, First Central Bank of McCook, Farmers State Bank of Wallace, Home State Bank-Louisville, American National Bank of Sidney, AmFirst-McCook and Thayer County Bank-Hebron.

"It is a great pleasure for USDA Rural Development to team with Thayer County Bank in assisting the Community Hospital with funding that will enhance the delivery and quality of health care for the area; impacting the lives of many area residents," said Nebraska State Director Maxine Moul, USDA Rural Development. "Investing in quality health care is crucial to the future of the rural residents of Nebraska."

Hospital improvements totaling $13.4 million have been completed over the last 20 years to accommodate the health care needs of the area. In 1989 the hospital had a $3.2 million project for renovations and remodeling followed by $1.2 million in 1994 to expand the clinic and connect it to the hospital. In 2000 a $1.9 million addition and remodel took place. In 2003 a $3.2 million project was completed for a new medical office building. Then in 2007 the hospital built a new rehabilitation center for a total of $3.9 million. Rural Development has been able to participate in several of the hospital's projects over the years through a combined total of $5 million in loan assistance.

"We are investing in the future of health care and the region we serve," said President and Chief Executive Officer James P. Ulrich, Jr., Community Hospital Association. "The new patient and surgery wings will further our ability to provide quality health care services for years to come."

"We are very excited about the availability of funding from all sources," said Vice President Finance and Chief Financial Officer Troy Bruntz, Community Hospital Association. "The hospital is very conscious of project costs and anticipates using much less than available."

U.S. Sen Ben Nelson said, "This investment in McCook's Community Hospital is not only a long term investment in the health of southwest Nebraska residents long into the future but it is an investment in economic development for McCook in the near future as it creates jobs during more than 2 years of construction".

"USDA Rural Development is pleased to assist the hospital as they strive to provide the best health care possible to the surrounding rural residents," said Area Technician Natalie Furrow, USDA Rural Development. "We have had a long relationship with the hospital and they continue to impress us with their devotion to Red Willow County and the surrounding area. This project will allow the hospital staff to better care for their patients and will also allow the hospital to respond to the changing needs of today's health care."

"The population of our region continues to age and require more health care services. This project, along with continued staff and technology development, will enable us to excel and fulfill our mission of providing for the health care needs of our region through quality, efficient, and patient-centered care," said Ulrich.

The proposed hospital project would expand the facility to a total of nearly 98,000 square feet. A new 25 bed acute patient wing will be added housing five nursing support areas, two labor-delivery-recovery rooms, a waiting area and nursery. The current acute patient wing will be demolished. The operating area will be expanded for a total of four operating rooms with a sterile processing department, two endoscope rooms, five post anesthesia care units and nine preoperative holding areas. The front entrance will be remodeled to better serve patients waiting for outpatient and radiology services. An area will be added to house the mechanical and electrical upgrades to include boiler replacement and installation of emergency generators.

Community Hospital is a Critical Access Hospital that provides acute inpatient and outpatient care, skilled nursing, emergency medicine, surgical, obstetrics and delivery, diagnostic, a pharmacy and rehabilitation services. The Hospital offers two rural health clinics, an outpatient

services center, home health and hospice programs, visiting specialists, sleep study and orthopedic clinics. The hospital serves the 11,500 residents of Red Willow County as well as residents of Frontier, Furnace, Hayes, and Hitchcock counties in Nebraska; and Cheyenne, Decatur, and Rawlins counties of Kansas.

"The hospital improvement and expansion project excites me on several different levels," said Chairman P. Mark Graff, McCook National Bank. "Patients will receive a more comfortable hospital visit; while medical service providers are able to offer their exceptional care in a more efficient and effective manner. A common trait progressive rural communities have is access to excellent medical services. This project will keep our hospital as a key economic engine in both the services it provides and the direct economic effect it has on our community. This upgrade will positively impact lives in Southwest Nebraska for years to come."

"Many factors contribute to the successful recruitment and retention of families with one being the ability to access quality medical services. Through this project, we will continue to be attractive to families looking to relocate to McCook," said Ulrich.

For more information on USDA Rural Development Community Facilities, contact Natalie Furrow at (308) 534-2360 Ext. 102, natalie.furrow@ne.usda.gov or 1202 South Cottonwood Suite 3 North Platte, Neb. Visit: www.rurdev.usda.gov/ne