Manning (Iowa) Regional Healthcare Center has obtained $21 million in federal direct loans from the U.S. Department of Agriculture to help fund a $24.8 million replacement hospital, according to a news release.
The health system, which includes a 17-bed critical access hospital, obtained the USDA Communities Facilities program funding with help from banking firm Lancaster Pollard, who managed the short-term financing because the federal loans cannot be used to fund construction.
The federal funding was structured as two $10 million tax-exempt revenue bonds and a $1 million taxable note, all priced at an effective annual rate of just more than 1 percent, according to the release. Manning will fund the remaining $3.8 million needed for the 62,000-square-foot replacement facility, which will house an emergency department, inpatient and outpatient services and Manning's existing 13-bed chemical dependency treatment center, Manning Regional Healthcare Clinic and the West Central Iowa Healthcare Foundation in a one-story building.
The project is expected to be completed by 2014, according to the release.
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The health system, which includes a 17-bed critical access hospital, obtained the USDA Communities Facilities program funding with help from banking firm Lancaster Pollard, who managed the short-term financing because the federal loans cannot be used to fund construction.
The federal funding was structured as two $10 million tax-exempt revenue bonds and a $1 million taxable note, all priced at an effective annual rate of just more than 1 percent, according to the release. Manning will fund the remaining $3.8 million needed for the 62,000-square-foot replacement facility, which will house an emergency department, inpatient and outpatient services and Manning's existing 13-bed chemical dependency treatment center, Manning Regional Healthcare Clinic and the West Central Iowa Healthcare Foundation in a one-story building.
The project is expected to be completed by 2014, according to the release.
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