U.S. Rep. Collin Peterson announced that USDA Rural Development has approved a loan of $13.5 million for construction of a new critical access hospital in Warren.
"Critical access hospitals are a lifeline in our smaller rural communities," Peterson said. "I want to commend the leaders in Warren who understand the importance of local access to health care and worked hard to get this project off the ground."
Kevin Smith, CEO of North Valley Health Center, said "This is something that has been in the works for five years and this news is very exciting for us. This will enhance health care services into the future and allow us to better meet the health needs of our area. This project also comes with help from the Otto Bremer Foundation and the generosity of the citizens of the communities we serve."
This USDA Rural Development Community Facility Direct Loan term is for 40 years at 3.375 percent. The total project cost is estimated at $14.75 million.
Minnesota Rural Development Director Colleen Landkamer said, " "In addition to access to essential health care services, this project means jobs and economic development in Warren and the surrounding region. Projects like this help build stronger and more sustainable communities in rural Minnesota."
Critical Access Hospitals must be licensed and operating as a non-profit, participating in the Medicare program, and be located in a rural area.