HomeNewsHealth System Creates $27.9 Million Impact on Local Economy

Health System Creates $27.9 Million Impact on Local Economy

Orange City Area Health System (OCAHS) generates 657 jobs that add $27.9 million to the area economy, according to the latest study by the Iowa Hospital Association (IHA). In addition, OCAHS employees by themselves spend nearly $6.5 million on retail sales and contribute over $388,000 in state sales tax revenue.

“While our primary purpose is, and will remain, serving the health needs of the area, one cannot overlook our contribution to the local economic health of the region,” reports Martin W. Guthmiller, CEO of Orange City Area Health System. “Local health systems are a key element to a local economy.”

“One of the key factors in economic development is attracting quality, high paying jobs,” states Orange City Economic Development Director, Mark Gaul. “Not only does OCAHS provide state-of-the-art healthcare to the region, it is one of the largest employers in our community.”

Gaul adds, “Health care is not only a field that provides quality jobs, but it is a growing field as well. Orange City Area Health System is an anchor in our community and is key to our area’s economic health. We appreciate everything that OCAHS provides to our local economy and cannot take that for granted.”

”The IHA study examined the jobs, income, retail sales and sales tax produced by hospitals and the rest of the state’s health care sector.  The study found that Iowa hospitals directly employ 71,437 people and create another 57,792 jobs outside the hospital sector.  As an income source, hospitals provide $4.2 billion in salaries and benefits and generate another $1.8 billion through other jobs that depend on hospitals.

“People are often unaware of the contributions that hospitals make to their local economies, including the number of people they employ, the significance of hospital purchases with local businesses and the impact of their employees’ spending and tax support for an entire region,” said Kirk Norris, IHA president/CEO.  “Just as no one provides the services and community benefits found at community hospitals, there is also no substitute for the jobs and business hospitals provide and create.”

Orange City Area Health System includes a critical access hospital and emergency medical services, four family practice clinics served by 16 providers, surgical services, obstetrics services/birth center, a sports medicine clinic, physical and aquatic therapy, home health and hospice, a retirement community, and a senior care center. More information at ocHealthSystem.org.