RIPLEY • At the Friday, Aug. 2 meeting, Tippah County Supervisors took steps towards the construction of a new hospital. Supervisors, working with the Tippah County Hospital Board of Trustees, have been working for the past two years to repair or replace the aging Tippah County Hospital complex.
Faced with significant building repairs including the need to replace the entire roof, the Trustees advised Supervisors that the cost of repairing and expanding the current hospital would be more than the cost of building a new structure. Based on those recommendations, the Supervisors began working with architects and consultants to determine how a new structure could be funded without any additional taxes.
Supervisors are exploring the use of Federal New Market Tax Credits to help fund the project. According to County officials, the tax credits would allow the Federal government to contribute about $7 million towards the project that would be expected to cost about $20 million.
To advance the project, Supervisors voted to issue $9.5 million in general obligation bonds to be used with the tax credits to help fund the project, according to Board President Jimmy Gunn.
“This past year, the County made its last payment towards the Tippah County Jail that will free up some funds to pay towards a new hospital so the Board believes that we can pay for the bonds within our current budget.” Gunn said.
“We appreciate the Supervisors’ commitment to improving the healthcare facilities for the citizens of Tippah County. This project will help us recruit physicians, save valuable jobs and improve the quality of healthcare for generations.” said Tippah County Hospital Director Patrick Chapman.
Supervisors noted that the resolution to issue the bonds was a preliminary step to show the New Market Tax Credit investors that Tippah County was serious about the project and that no funds would actually be borrowed until other plans were finalized.