Beyond Health Care: Mississippi Hospitals as Vital Economic Engines

Across Mississippi, hospitals and health systems provide access to vital health care services 24 hours a day, seven days a week, 365 days a year, serving millions of households each year. Less often recognized are hospitals’ contributions to the state’s economy, including the number of people hospitals employ, the impact of hospital purchases and the impact of hospital employees’ spending and tax payments.

Mississippi’s hospitals annually contribute more than $9 billion to the state’s economy. Economic impact data and other findings are in Beyond Health Care: Mississippi Hospitals as Vital Economic Engines. The report was researched by DataGen, a New York-based health care information company, on behalf of the Mississippi Hospital Association (MHA).

“As Mississippi leaders continue to consider the state’s economic priorities and look for ways to create more jobs in our state, they should keep in mind the importance of hospitals and health care to the state economy,” said Sam W. Cameron, MHA President/CEO. “This study shows that health care is much more to Mississippi than hospitals, clinics and doctors. The ripple effect of the health care sector throughout Mississippi's economy is enormous. Hospitals are not only tied to the health of our communities, but also to the health of our state’s economy.”

The research found that hospitals across the state have:

• $9.5 billion total impact on the state economy.
• Operating expenses of $5.2 billion per year
• Capital expenditures of over $758 million per year
• Based on a review of hospital construction projects, hospital physical plant investment, including expansions, renovations and new construction, exceeded over $200 million in 2006.
• 50,260 full time employees
• Payroll of $2.5 billion per year (over $20 million per hospital)
• Average health care employee salary of $39,512 (compared to a Mississippi average of $25,051

In addition to looking at the statewide impact of hospitals, the study breaks down much of the data by regions of the state and by individual hospitals as well.

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A copy of the full report, as well as a link to a high-resolution picture of Sam Cameron, is attached below.

Download economicimpact-fullreport.doc

Sam W. Cameron
President/CEO
Mississippi Hospital Association
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