A study by the Iowa Hospital Association (IHA) found that, in 2021, Orange City Area Health System (OCAHS) provided nearly $1 million in total community benefits, including charity care and bad debt. The study also found that OCAHS employed close to 600 people, which had a multiplier effect in the area economy of over 1,100 people. Direct labor expenses totaled about $33.4 million in wages, with a multiplier of nearly $54 million in the region.
Community benefits are activities to improve the health status and increase access to health care. Besides uncompensated care and charity care, community benefits include health screenings, support groups, counseling, immunizations, nutrition services, and transportation programs. These efforts, with IHA’s advocacy, help ensure the financial stability of hospitals, making it possible for them to provide the services and programs most-needed by their communities.
“We continue to acknowledge and accept the role of our health system as a key economic driver in the communities we serve,” stated Marty Guthmiller, CEO of Orange City Area Health System. “We greatly appreciate the trust and confidence placed in us by our patients, families, and staff, enabling the significance of this kind of economic impact.”
IHA compiled data for the study from the American Hospital Association’s annual survey of hospitals, the Bureau of Labor Statistics and the Bureau of Economic Analysis. IHA used Regional Input-Output Modeling System multipliers to calculate the data, which includes statewide, hospital-specific and county totals. IHA also conducted a separate survey, compiling hospital-submitted data about Iowa hospital community-benefit programs and services.