New Markets Tax Credit Partnership Leverages HRSA Grant for Los Barrios Unidos Community Clinic
With roughly 39 percent of its residents uninsured, the community of Southwest Dallas, Texas is in desperate need of primary care. Many providers in the community either won’t take uninsured patients or have long waiting lists. To address these challenges, Los Barrios Unidos Community Clinic (LBUCC), is building a new facility with $8.9 million in financing from the Primary Care Development Corporation (PCDC) and Capital One Bank.
When completed, the new 21,400 sq. ft. primary care facility will have 18 exam rooms, offering medical, pediatric, mental health services and a women, infant and children (WIC) program. Expected to open by summer 2016, it will serve 4,080 new patients through 11,200 visits. The community will also be buoyed by the creation of 24 new permanent jobs.
“PCDC and Capital One have made a major investment in the Southwest Dallas community that will enable LBUCC to open a health center to help over 4,000 patients get the quality primary care they deserve,” said LBUCC CEO Leonor Marquez. “With this financing, we can complete construction of this essential health center and open our doors as soon as possible.”
PCDC partnered with Capital One Bank to provide LBUCC with $5 million of New Markets Tax Credits and a $3.6 million bridge loan to help LBUCC complete construction of the new facility. The transaction leverages a $5 million capital grant from the Health Resources and Services Administration (HRSA) to complete facility construction.
“Primary care is essential to the health and economic stability of families and communities,” said Louise Cohen, CEO of PCDC. “We are delighted that our New Markets Tax Credits will help families in Southwest Dallas access quality primary care through LBUCC’s new, modern facility. Working with LBUCC and Capital One, we were able to use our capital where it can have a major impact on the lives of thousands of families.”
“We welcome opportunities to provide financing that benefits the communities we serve,” said Capital One Commercial Banking Senior Vice President Mary Jo Hoch. “In primary care, and specifically LBUCC, we see the return on investment in terms of healthier families and communities.”
LBUCC, based in West Dallas, is the largest community health center in Dallas. As a federally qualified health center, LBUCC cares for patients regardless of their ability to pay.
About Los Barrios Unidos Community Clinic
In 1972, the residents of several West Dallas, Texas neighborhoods united to open a community clinic in a portable building to serve a population disenfranchised from the economic and social services of the city due primarily to language and cultural differences. Los Barrios Unidos Community Clinic (LBUCC) has experienced a steady growth over the past 44 years, now operating three facilities and serving over nearly 23,000 patients.
At LBUCC, no one is turned away for the inability to pay. Patients benefiting from LBUCC’s services may pay on a sliding fee scale. The Clinic also accepts Medicaid, CHIP, Medicare and private insurance.
LBUCC is one of three federally funded community health centers in the Dallas County area designed to provide comprehensive primary care services that prevent illness and promote health. There are over 1,100 federally funded community health centers in the United States providing a health care home for over 18 million Americans. Community health centers reduce hospitalization costs by over 200% by reducing the pressure on hospital emergency rooms.
Founded in 1993, Primary Care Development Corporation (PCDC) is a nationally recognized nonprofit organization dedicated to expanding access to quality primary care, to improve the health of families and communities, lessen disparities and reduce healthcare costs. PCDC offers training and technical assistance on providing healthcare services that are accessible, high-quality, and compassionate; affordable capital to renovate and expand community health centers so that services are offered in settings that promote efficiency, dignity, and respect; and advocacy to advance public policies that strengthen and sustain quality primary care. To date, PCDC has helped over 1,000 primary care practices improve delivery of care and financed over $670 million to enhance primary capacity in low-income communities.
About Capital One
Capital One Financial Corporation (www.capitalone.com) is a financial holding company whose subsidiaries, which include Capital One, N.A., and Capital One Bank (USA), N.A., had $212.9 billion in deposits and $313.7 billion in total assets as of September 30, 2015. Headquartered in McLean, Virginia, Capital One offers a broad spectrum of financial products and services to consumers, small businesses and commercial clients through a variety of channels. Capital One, N.A. has branches located primarily in New York, New Jersey, Texas, Louisiana, Maryland, Virginia and the District of Columbia. A Fortune 500 company, Capital One trades on the New York Stock Exchange under the symbol “COF” and is included in the S&P 100 index.
PCDC: Michael Cook, email@example.com, 212-437-3929
Capital One: Michael Bulger, firstname.lastname@example.org, 646-836-5214
LBUCC: Joleen Bagwell, email@example.com, 214-379-2280