LORAIN, OH – (October 30, 2012) Lorain County Health & Dentistry (LCH&D), a Federally Qualified Health Center designated by the Health Resources & Services Administration (HRSA), and the largest safety-net provider of primary health care in Lorain County, today announced a unique public-private financing collaborative which enables the adaptive re-use of a vacant warehouse building in downtown Lorain. The building will serve as LCH&D’s main location and will enable expansion of services, including the addition of a vision clinic and behavioral health services. 22 new jobs will be created, and, when fully staffed, an additional 7,500 patients will be seen annually. The expansion is essential to meet growing demand for affordable primary care. The project represents a major, private capital investment in a low-income and highly depressed neighborhood.
“The Lorain County Health & Dentistry project is a win-win-win,” said Stephanie Wiersma, President & CEO of LCH&D. ” The city will benefit as a vacant property at the gateway to downtown is wonderfully refurbished; Lorain County Health & Dentistry will enjoy a permanent, and expanded, home with no long-term debt; and, those most in need in our community will have greater access to affordable primary health care. We couldn’t be any more pleased.”
Financing for the project includes a $6.5 million federal New Markets Tax Credit allocation from the Development Fund of the Western Reserve (DFWR), a community development entity controlled by the Development Finance Authority of Summit County (DFA). DFWR has also awarded a $2.6 million State of Ohio New Markets Tax Credit allocation to this project. PNC is an investor in the project.
“This project meets many of the objectives of the New Markets Tax Credits program,” said DFWR Board President, Patricia McKay. “It is a very rewarding project of which we are proud to be a part.”
“The Lorain County Health & Dentistry building is a prime example of the progress that communities can realize when private and civic institutions bring a shared vision to life,” said Paul Clark, PNC regional president. “By contributing our tax credit and financing expertise in support of this project, PNC is committed to helping LCH&D expand access to essential healthcare services and related job opportunities.”
The total project cost is $8.5 million. Other funding sources include a $5.9 million Health Resources & Services Administration Capital Development Grant, Commercial Rehabilitation Tax Credits and a bridge loan from Lorain National Bank. With the completion of the facility, and the addition of staff, LCH&D will be operationally able to serve the area’s 26,000 low income residents.
“We’re excited to be involved in the financing of this project. We are proud of the work LCH&D does for our community and are pleased they have found a permanent headquarters location. This new location on Broadway will be an important part of the revitalization of downtown Lorain. As a community bank, LNB is committed to helping our community succeed,” stated Daniel E. Klimas, President and CEO of Lorain National Bank.
Christopher Burnham, President of Development Finance Authority of Summit County, remarked, “We gratefully acknowledge the members of our Ohio Congressional delegation for their foresight and vision to enable investments like this to occur in our communities using the New Markets Tax Credit program.”
About Lorain County Health & Dentistry
Since 2002, Lorain County Health & Dentistry has provided primary and preventative health care to people of Lorain County, Ohio and surrounding areas regardless of ability to pay. LCH&D offers prenatal/women’s health care, pediatrics, family/adult medicine, podiatry, asthma/allergy care, and general dentistry, and, as a Federally Qualified Health Center, specifically seeks to serve low income, uninsured and underserved persons. Enabling services include outreach and community support, interpretation/translation, and assistance with prescriptions and transportation. Vision and behavioral health services will be added at the new facility. Fees are discounted for uninsured patients who qualify (based on Federal Poverty Guidelines). Visit www.lorainhealth-dentistry.org.
About The Development Fund of the Western Reserve
The Development Fund of the Western Reserve is a Community Development Entity (CDE) certified by the Community Development Finance Institute (CDFI), a program of the U.S. Treasury. Its purpose is to deploy New Markets Tax Credits that target low-income communities throughout an 18-county service area in Northeast Ohio. DFWR actively seeks projects that will attract private capital and have: significant economic and community impacts; efficient turnaround of taxpayer dollars to put funding to work as quickly as possible; and/or, that will achieve environmental sustainability and reduced energy costs. DFWR is one of only 70 CDE’s nationally to receive an allocation of New Markets Tax Credits in 2012. The Development Finance Authority of Summit County (DFA) is the management entity for DFWR. DFA works with economic development, legal, and financial professionals, and the entire business community to bring economic development to Summit County and Northeast Ohio. DFA’s overarching goal is to drive community development and enhance the economy and quality of life in our region.
Contact: Stephanie Wiersma Company: Lorain County Health & Dentistry Phone: 440-233-0159 or Cell 440-213-3531 Email: Stephanie.Wiersma@lorainhealth-dentistry.org
Contact: Christopher Burnham Company: Development Finance Authority of Summit County Phone: 330-762-4776 or Cell 330-730-2200 Email: Chris.Burnham@developmentfinanceauthority.org