HCMC earns $250,000 in tax credits years ago
Hillsboro Community Medical Center stands to gain from a Kansas Department of Commerce income tax credit program. The community service program of tax credits allows citizens to make a donation to the hospital and then be awarded state income tax credit and a charitable donation federal income tax credit.
As Mike Ryan, chief executive office of HCMC explained it, if someone gives $1,000 to HCMC, he or she can take a $700 state income tax credit.
"A person in the 25 percent tax bracket can make a donation of $1,000 and get a $700 state income tax credit, plus a charitable donation federal income tax credit of $250," said Ryan. "So the donation of $1,000 costs the giver $50.
"However, I would encourage anyone considering making a donation to talk to his or her tax professional to determine the exact impact on taxes," he added.
Monday morning Ryan was in good spirits after receiving a check for $100,000 from Mike Padgett, market president of Central National Bank, the largest contribution so far. HCMC's total contributions are $110,000, with another $120,000 in pledges. The hospital can give tax credits for as much as $357,000 in donations. The minimum a donor can give and still get the tax credit is $250.
The two-year renovation plans for HCMC include adding parking lots at a correct slope, striped handicapped parking stalls near the front door, handicapped curb cuts and ramps and automated doors, a side latch clearance at all swing doors a minimum of 18" to the latch side of the frame, Americans with Disabilities Act transaction counters at the admission desk, patient accounts, and reception area, and making current waiting room rest rooms ADA approved.
According to HCMC statistics, 72 percent of its patients are over the age of 65 and 77 percent of those are 75 or older. The aging patient base brings disabilities and HCMC has no ADA- approved access to its facility.
The estimated cost of the project is $550,000 and the City of Hillsboro has a capital equipment fund, approximately $60,000 a year, for the hospital which HCMC could use for the improvements.
The hospital was awarded the money on July 1 and has until Dec. 31, 2005, or 18 months, to complete the project. Ryan has been in contact with David Riffel of Howard and Helmer in Wichita on plans for the project. Riffel already has drawn up a tentative plan to make HCMC more ADA compliant.
"Howard and Helmer have done work at Tabor College, Hutchinson Hospital, and minor work at our hospital," said Ryan. "We will probably use them."
Ryan's goals include making the hospital more recognizable as a hospital from the street, having a receptionist in the reception area at all times, and rearranging the business, records, and human resources departments.
"The tax credit program is an easy way for a person who owes significant state income tax to keep the money here and help the hospital," said Ryan. "Otherwise, the money goes to Topeka."
Ryan and HCMC will actively solicit contributions as long as they have tax credits available.
