|USDA RURAL DEVELOPMENT AND REID ANNOUNCE $16.3 MILLION IN LOANS FOR BOULDER CITY HOSPITAL|
|Boulder City, NV., Mar 27, 2013
@@USDA Rural Development and Reid Announce $16.3 Million in Loans for Boulder City Hospital
(Boulder City, NV—March 27, 2013) State Director Sarah Adler announced Wednesday that USDA Rural Development has approved a direct loan of $13.87 million and a guaranteed loan of $2.44 million for Boulder City Hospital to complete a major renovation and expansion that will enable the hospital to further develop its ‘age in place’ services. The United States Department of Agriculture (USDA) remains focused on carrying out its mission, despite a time of significant budget uncertainty. Today’s announcement is one part of the Department’s efforts to strengthen the rural economy
The non-profit critical access hospital will be expanded by over 19,000 square feet to provide a state- of-the-art surgical center, expanded emergency department, and enhanced services for physical and occupational therapy. The expansion will result in 28 additional beds and is expected to retain 200 jobs and create an additional 90 jobs upon completion.
Adler was joined by Senate Majority Leader Harry Reid at the announcement.
“This is a truly significant day for Boulder City,” said Reid. “For rural Nevadans, location should never hinder one’s health and well-being and now Boulder City Hospital will finally have the space it needs to administer care at the highest level. These renovations will also create much-needed jobs in Nevada to update this medical facility and equip it to serve the Boulder City community for future generations.”
As a result of the funding, the hospital’s pharmacy, home health, lab and dietary areas will be remodeled. The admissions lobby, surgical area, physical therapy, long-term care and Emergency Department will be renovated and expanded. The hospital will add a 10-bed geriatric psychiatric care unit, a 10-bed acute rehabilitation program and eight additional long-term care beds which will allow the hospital to continue to support the aging population in this rural community.
Construction is scheduled to begin this spring, with expected completion in 2014. The hospital will remain open during the renovation. The renovation will remodel 21,498 square feet of the current building, and add 19,170 square feet. Approximately 250 construction jobs are anticipated over an 18-month construction period.
The Boulder City Hospital originally opened as a federally funded health care facility to serve the workers constructing the Hoover Dam. It has operated continuously since 1954, and serves as the only critical access hospital in the area, providing health care services to Boulder City, visitors to the Lake Mead National Recreational Area, and neighboring communities.
Partners who are making essential contributions to the project include the Rural Community Assistance Corporation, which is providing a $2.44 million loan, supported by a guarantee from USDA Rural Development; the City of Boulder City, which is providing assistance with utilities through the construction period; Clark County, which has committed $250,000 to the project, and Building Hope Nevada, the nonprofit project developer. The USDA direct loan of $13.87 million is for 40 years at 3.125%.
Boulder City Hospital has faced significant fiscal challenges for some time. A recent feasibility study and business plan showed the hospital had to expand, enhance and develop services, and target them to a wider range of customers in order to increase cash flow and be sustainable for the long-term.
“I am tremendously proud of the team effort that has brought together this funding and development partnership that is creating a new life of opportunity for Boulder City Hospital,” said Adler. “The $16.3 million investment we are making enhances the long-term stability of the hospital. Our agency exists to retain and grow the community anchor institutions that are the heartbeat of small towns all across America, and we are pleased to be doing it here today in Boulder City.”
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 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 areas.
USDA has made a concerted effort to deliver results for the American people, even as USDA implements sequestration – the across-the-board budget reductions mandated under terms of the Budget Control Act. USDA has already undertaken historic efforts since 2009 to save more than $700 million in taxpayer funds through targeted, common-sense budget reductions. These reductions have put USDA in a better position to carry out its mission, while implementing sequester budget reductions in a fair manner that causes as little disruption as possible.