Imerman, Mark D.; Otto, Daniel

-, (February 25 2004)

This report was commissioned by the Marengo Memorial Hospital to evaluate the market
potential for a new kidney dialysis facility. Marengo Memorial Hospital is a rural hospital located
in Marengo, a town of 2,535 people in north central Iowa County, Iowa (see the star in Map 1).
In 2001, the hospital reported a capacity of 25 acute-care beds, 228 admissions, 8,485 inpatient
admission days, and 8,750 outpatient visits.
Marengo Memorial Hospital intends to add space in order to expand its wellness, health
maintenance, and community programs. One of the options for use of this added space is a fivestation
hemodialysis facility. Our primary goal is to determine whether there is enough current
and anticipated demand for in-center hemodialysis services within the immediate area and
surrounding region to support such a facility. Our secondary aim is to determine the utilization
levels at which a five-station hemodialysis facility's operations can be self-financed.
For the purposes of this report, it is assumed that suitable facility space will be included in
hospital expansion, regardless of whether the space is utilized for dialysis operations. This report
focuses on the potential market for and operational costs and revenues associated with the
proposed dialysis facility.

Full Text