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University of Iowa News Release

Feb. 22, 2006

UI Hospitals And Clinics Helps Fuel Local, State Economic Engines

University of Iowa Hospitals and Clinics is a leading force for economic development in Johnson County and the state with a total economic impact of $458,212,512.

Statewide, Iowa's community hospitals generate nearly 149,000 jobs that add more than $5 billion to the state's economy, according to a comprehensive study by the Iowa Hospital Association (IHA). 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 with software that other industries have used to determine their economic impact.

In Johnson County, UI Hospitals and Clinics employs 7,158 health care professionals and pays salaries totaling $338,299,036. Those health care jobs further fuel the local economy by creating 12,404 total health-care related jobs and generating $165,995,804 in taxable retail sales.

"Hospitals across the state not only provide outstanding care for patients and their families, but they also truly help drive Iowa's economy," said Donna Katen-Bahensky, director and CEO of UI Hospitals and Clinics. "In addition, access to high quality health care helps attract other businesses to our state."

The recently released study found that Iowa hospitals directly employ 69,416 people and create another 79,316 jobs outside the health care sector. As an income source, hospitals provide $2.9 billion in salaries and benefits and generate almost another $2.2 billion through other jobs that depend on hospitals. In addition, Iowa hospital employees by themselves spend $1.8 billion on retail sales and contribute more than $88 million in state sales tax revenue.

In all, Iowa's health care sector, which includes employed clinicians, long-term care services and assisted living centers, pharmacies and other medical and health services, directly and indirectly provides 355,374 Iowa jobs, equal to one-fifth of the state's total employment.

The Iowa Hospital Association is a voluntary membership organization representing hospital and health system interests to business, government, and consumer audiences.

University of Iowa Health Care describes the partnership between the UI Roy J. and Lucille A. Carver College of Medicine and UI Hospitals and Clinics and the patient care, medical education and research programs and services they provide. Visit UI Health Care online at

STORY SOURCE: Joint Office for Marketing and Communications, University of Iowa Health Care, 200 Hawkins Drive, Room E110 GH, Iowa City, Iowa 52242-1009

MEDIA CONTACT: Tom Moore, 319-356-3945,