KINGMAN – Not only does Kingman Regional Medical Center save lives and patch up patients, it’s a huge economic driver for the area, generating $410 million economic impact, according to a study from the Arizona Hospital and Healthcare Association.
With 1,401 full-time jobs, KRMC is the second-largest private employer in Mohave County, the study reported. The hospital also accounts for 1,534 “induced” jobs, or indirect jobs that provide services or products related to the hospital, for a total of 2,935 jobs.
Arizona hospitals and healthcare facilities play an “outsized” role in driving the statewide and local economy, according to the study prepared by Tempe-based Rounds Consulting Group.
“In urban areas, hospitals and other healthcare and bioscience operations have resulted in considerable job creation and economic fiscal benefits,” researchers said in the executive summary. “It is sometimes forgotten these facilities are just as important in rural parts of the state.”
Hospitals statewide are directly and indirectly responsible for more than 176,000 full-time jobs and $24 billion in economic impact, the study found.
“Just as important is the economic benefit created by these institutions in communities like Kingman, where the local hospital is often one of the largest area employers,” said Jim Rounds, president of Rounds Consulting Group.
The report measures the economic and fiscal benefits of hospitals on a local level, focusing on rural areas such as Mohave County where KRMC is one of the most powerful examples.
Havasu Regional Medical Center contributed $182.5 million in economic impact, with 1,168 total direct and indirect jobs.
KRMC has grown over the past 10 years, adding about 800 employees to its payroll, said Brian Turney, chief executive officer of the 235-bed hospital.
“Most people are aware of how the availability of healthcare services impacts their quality of life, but often, an overlooked fact is that hospitals are major contributors to a community’s economy,” he said.
Turney knows that the Arizona hospital association is concerned that some policymakers have turned a “blind eye” to the impact of hospitals to local economies such as Kingman.
“Hopefully, this report will be a good reminder to everyone,” he said.
A strong healthcare system and access to quality hospitals are essential to Arizona’s tourism market and directed tied to the state’s ability to recruit and retain industries outside of healthcare, the report noted.
“This report makes clear that Arizona hospitals are essential not only to the health of Arizona citizens, but also the overall health of our state and local economy,” said Greg Vigdor, president and chief executive officer of Arizona Hospital and Healthcare Association. “Healthcare is the largest single industry in Arizona and one of the few sectors that continued to grow during the Great Recession.”
Hospitals such as KRMC are helping to lead the economic recovery, creating good jobs and generating millions of dollars for economy, as well as providing quality care for Mohave County’s 203,142 population, Vigdor added.
Of note, Arizona hospitals operated at the second-lowers per-capita cost in the nation, 24 below the national average.