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Winneshiek Medical Center: "We may have to consider increasing the tax subsidy"

Posted: Wed, Nov 7, 2012 6:04 PM

The taxpayer subsidy of Winneshiek Medical Center ranks fifth lowest in the state among 42 Critical Access Hospitals in Iowa, say hospital officials.

Chief Administrative Officer Gretchen Dahlen presented the figures to the WMC Board on Wednesday evening, saying the median tax subsidy for county-owned critical access hospitals in Iowa with patient revenues over $30 million was over one million dollars a year.

Dahlen also pointed to hospitals such as Dallas County Hospital, Cass Cpounty Hospital and Story County Hospital, where taxpayer subsidies are over $2 million.  "We could be at $2 million and not be out of line," she told board members.  Winneshiek Medical Center currently receives just under $436,000.

Winneshiek Medical Center Board President Ben Wyatt said the taxpayer subsidy has not changed since 1992.  If the amount had changed with inflation, the current subsidy would be $643,603.

Dahlen concluded, "Because the competitive environment facing Winneshiek Medical Center has eroded key profitable patient services, which have been duplicated in our community, we may have to consider increasing the tax subsidy.in order to continue providing the level of service Winneshiek County citizens are used to expect."