News Release
Release No.STELPRD4018605
ContactTammi Schone605-352-1102
CF Program
Madison, SD, Oct 17, 2012 --

@@The United States Department of Agriculture (USDA) Rural Development has awarded $20.5 million to Madison Community Hospital under their Community Facilities Direct Loan Program. The funds, leveraged with a $10 million Rural Development Guarantee with AgStar, $1.3 million loan from Heartland Consumer Power District, $300,000 loan from Sioux Valley Energy, and $480,000 loan from Sioux Valley Energy’s Revolving Loan Fund will be used for a complete hospital replaced on a new site, to maintain the delivery of quality healthcare.

"Funding by USDA Rural Development for this major project is a crucial step toward ensuring Madison Community Hospital's goal to build a new state of the art facility for our community,” said Tamara Miller, Chief Executive Officer, Madison Community Hospital. “This project will build upon the quality of care the hospital and our associated physician clinics provide by offering the best possible environment for patient care.  We have greatly appreciated the USDA Rural Development staff assistance in the application process and look forward to working together on this project."

The existing site has been expanded and remodeled several times over the years and is reaching the end of its useful life. The current location presents difficulty with access and little room to expand. The new site is located near a highway bypass that goes around the south and west side of the community connecting the major highways into Madison. The one-story facility will house 22 licensed inpatient beds, ancillary medical services, support services, medical clinic, and many other amenities will be offered. In addition, it will be energy efficient, meet today’s changing health care codes, allows for economic expansion and growth along with maintaining the existing staff of 145 employees.

“Madison Community Hospital has been in existence for over a century. The focus to provide high-quality compassionate care in a new facility will allow for continuation of their mission,” said USDA Rural Development State Director Elsie Meeks. “This project is an example of the Obama Administration’s ongoing commitment to provide rural areas access to adequate health care. It encourages economic development and maintains the quality of life for South Dakota’s rural residents.”

“AgStar is proud to partner with USDA Rural Development to fund the replacement of the Madison Community Hospital.  As a critical access hospital, the new facility will allow staff to continue providing exceptional healthcare close to home, which is crucial for rural communities. In addition, the project offers expanded options and service, ensuring the long-term vitality of the communities it serves,” explained Bob Madsen, Associate Vice President at AgStar Financial Services. “In addition to our partnership with USDA, AgStar is proud to be working with Farm Credit Services of America and First Bank & Trust of Madison to help this rural community leverage existing, locally-based resources and skills to ensure healthcare services remain in the community.”  

Since 2009, USDA has provided more than $8.1 billion in investment to bring modern, updated water and waste water capacity to thousands of rural communities – helping to safeguard the health and wellbeing of millions.

For additional information on Rural Development projects, please visit Rural Development’s new interactive web map featuring program funding and success stories for fiscal years 2009-2011. The data can be found at:

Since taking office, President Obama's Administration has taken historic steps to improve the lives of rural Americans, put people back to work and build thriving economies in rural communities. From proposing the American Jobs Act to establishing the first-ever White House Rural Council the President is committed to a smarter use of existing Federal resources to foster sustainable economic prosperity and ensure the government is a strong partner for businesses, entrepreneurs and working families in rural communities. The Rural Council is working to break down silos of information and to find areas for better collaboration and improved flexibility in administering government programs and to work closer with local tribal and non-tribal governments, non-profits and private companies to leverage federal support to enhance the services offered to rural beneficiaries. Under Secretary Vilsack's leadership, USDA has instituted a comprehensive plan to strengthen the Department as a model service provider and to ensure that every farmer and rancher is treated equally and fairly as part of "a new era of civil rights" at USDA. He and President Obama have made it a priority to resolve all of the past civil rights cases facing the Department.

USDA, through its Rural Development mission area, administers and manages housing, business and community infrastructure programs through a national network of state and local offices. Rural Development has an active portfolio of more than $172 billion in loans and loan guarantees. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America.