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Hospital Creates $15,425,765 Impact on Local Economy


For Immediate Release


Contact:  Ashley Van Maanen,

June 1, 2019


Hospital Creates $15,425,765 Impact on Local Economy
In all, Iowa’s Health Care Sector Provides 342,914 Jobs Across State

DES MOINES – Hegg Health Center generates 308 jobs that add $15,425,765 to Rock Valley, Iowa’s economy, according to the latest study by the Iowa Hospital Association. In addition, Hegg Health Center employees by themselves spend $3,546,722 on retail sales and contribute $212,803 in state sales tax revenue.

“We are proud to be able to contribute to the economic success of our community” said Glenn Zevenbergen, CEO of Hegg Health Center.  “When community members get their care here in Rock Valley, we in turn are able to reinvest into the community through sustainable and good paying jobs.”

“Having a hospital in a rural community is a vital part of a complete community as it is a building block of development by having quality healthcare close to home.” said Dave Miller, Rock Valley Economic Development Director.  “We are blessed to have first class healthcare in a community our size.”

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 was compiled from hospital-submitted data on the American Hospital Association’s Annual Survey of Hospitals and with software that other industries have used to determine their economic impact.

The study found that Iowa hospitals directly employ 76,203 people and create another 64,453 jobs outside the hospital sector. As an income source, hospitals provide $5 billion in salaries and benefits and generate another $2.7 billion through other jobs that depend on hospitals.

In all, the health care sector, which includes offices of physicians, dentists and other health practitioners, nursing home and residential care, other medical and health services and pharmacies, contributes $18 billion to Iowa’s economy while directly and indirectly providing 342,914 jobs, or about one-fifth of the state’s total non-farm employment.

“Hospitals positively influence their local economies not only with how many people they employ and the salaries of those employees, but also through hospital purchases from local businesses as well as the impact of employee spending and tax support,” said Kirk Norris, IHA president/CEO. “Whether at the local level or statewide, there are few Iowa employers that generate economic activity comparable to hospitals.”

The Iowa Hospital Association is a voluntary membership organization representing hospital and health system interests to business, government and consumer audiences. All of Iowa’s 118 community hospitals are IHA members.

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