WASHINGTON, June 28 /PRNewswire/ -- Nearly one year after Hurricane
Katrina ravaged the Gulf Coast, health centers impacted by the storm won
their first federal rebuilding assistance: tax credits to help restore and
expand much-needed medical offices. On June 1, U.S. Treasury Secretary John
Snow announced that $600 million in tax-credits were available for the
redevelopment of all eligible businesses in the Gulf Coast, including $15
million that will be directed to health centers. But while the tax credits
are a significant boon, they also underscore health centers' startling
need. Louisiana and Mississippi health centers sustained over $60 million
in damage from Hurricane Katrina, including 11 sites that were completely
destroyed. So far health centers have not received any of the direct
federal money set aside for rebuilding in the wake of the massive
Hurricane, which struck nearly one year ago on August 29th.
"Rebuilding is absolutely critical, our patients and communities depend
on it. But to replace the destroyed facilities we need access to capital.
The tax credits are a major help," said Rhonda Litt, Executive Director of
the Louisiana Primary Care Association.
A Massachusetts-based non-profit, Capital Link, was key in securing the
financing for health centers. Eligible health centers can apply to Capital
Link for low-cost loans made possible by the tax credits. Health centers in
parts of Louisiana, Mississippi and Alabama are eligible for this
financing. Even health centers that survived Katrina's path of destruction,
but faced an onslaught of displaced people in need of health care, may
qualify.
Health centers were both victims and responders to Hurricane Katrina.
In Louisiana, they served 19,300 evacuees -- 17,000 of whom were uninsured.
In Mississippi, health centers cared for 17,870 evacuees, 77 percent of
whom were uninsured. Health centers are local, non-profit, and
community-owned. They provide care regardless of patients' insurance status
or ability to pay.
The tax credits are part of the New Markets Tax Credit Program, which
is administered by the U.S. Department of the Treasury. The credits are
designed to attract private sector funding by allowing investors to receive
tax credits for investing in low-income areas.
Katrina-affected health centers have received other support as well.
Health center friends across the nation, for instance, donated $1.7 million
through the Hurricane Relief Fund of the National Association of Community
Health Centers. In addition, the Health Resources and Services
Administration has assisted Capital Link in providing estimates of damage
to health centers.
For more information visit
http://www.treas.gov/press/releases/js4306.htm. For more information about
health centers visit http://www.nachc.com. For more information about
Capital Link visit: http://www.caplink.org.
CONTACT: Mark Lurtz of Capital Link, +1-636-294-1603
SOURCE National Association of Community Health Centers, Inc.
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Related links:
http://www.nachc.com
http://www.caplink.org
http://www.treas.gov/press/releases/js4306.htm
CONTACT:
Mark Lurtz of Capital Link, +1-636-294-1603
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