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University of Iowa News Release


March 28, 2011

UI Hospitals and Clinics makes nearly $700 million impact on Johnson County economy

University of Iowa Hospitals and Clinics generates 14,743 jobs that add more than $694 million to Johnson County's economy, according to the latest study by the Iowa Hospital Association (IHA). In addition, UI Hospitals and Clinics employees by themselves spend more than $244.4 million on retail sales and contribute nearly $14.7 million in state sales tax revenue.

"This report shows what an incredible impact University of Iowa Hospitals and Clinics has on this area, both in terms of number of people employed as well as the financial contribution," said Jean Robillard, M.D., vice president for medical affairs with UI Health Care.

"University of Iowa Hospitals and Clinics plays a major role in maintaining not only the physical health but also the economic health of Johnson County," said Ken Kates, chief executive officer of UI Hospitals and Clinics and associate vice president of UI Health Care.

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 70,484 people and create another 67,247 jobs outside the hospital sector. As an income source, hospitals provide $3.8 billion in salaries and benefits and generate another $2.3 billion through other jobs that depend on hospitals.

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 329,793 Iowa jobs, or one-fifth of the state's total employment.

"Just as no one provides the services and community benefits found at our hospitals, there is also no substitute for the jobs hospitals provide and create," said Kirk Norris, IHA president and CEO. "Iowa hospitals are at the foundation of Iowa's economy and remain major employers and business partners in all parts of the state. Iowa's economic security is directly tied to having one of the finest health care systems in the nation.

NOTE TO EDITORS: This news release includes information provided by the Iowa Hospital Association

STORY SOURCE: Joint Office for Marketing and Communications, University of Iowa Health Care, 200 Hawkins Dr., W319 GH, Iowa City, Iowa 52242-1178

MEDIA CONTACT: Molly Rossiter, 319-356-7127,