MetaFund Provides Funding for Health Professional Shortage Area of Oklahoma
August 17, 2018 – Oklahoma City, OK
MetaFund, a Community Development Financial Institution (CDFI), is pleased to announce the completion of a recent transaction involving Stillwater Medical Center (SMC) located in Stillwater, Oklahoma. SMC provides vital medical services to a region of Oklahoma that is federally designated as a Health Professional Shortage Area. SMC has more than 1,200 employees with 100-plus physicians representing more than 30 specialties. As part of SMC’s multi-million-dollar expansion, MetaFund allocated $16 million of New Markets Tax Credits (NMTCs) allocation to this transaction which will result in approximately $5 million of permanent, cash equity toward the purchase of approximately $16 million of sophisticated medical equipment. The NMTCs are typically monetized by an investor – in this case by Bank SNB, a division of Simmons Bank.
“Stillwater Medical Center is thrilled to be partnering with MetaFund to bring new dollars into our Medical Center with New Market Tax Credits to purchase medical equipment that will serve this area for many years to come. The equipment that SMC will purchase with these funds will not only create new jobs but will allow our patients that need treatment to remain in Stillwater without having to travel to Oklahoma City or Tulsa,” said Alan Lovelace, SMC’s Chief Financial Officer.
“This was a meaningful project for us,” said Kevin Fowler, Stillwater market president for Bank SNB. “Despite the hardships rural hospitals face, Stillwater Medical Center has remained strong and is a major economic driver for our region. With the purchase of this new top-of-the-line equipment, SMC continues to set itself apart as the healthcare choice for north-central Oklahoma.”
“This partnership between a CDFI, Bank SNB, a healthcare provider, and a federal tax credit program demonstrates what can be accomplished through diligent collaborative efforts”, said Blake Trippet, MetaFund’s president and Chief Investment Officer.
“Over the past 15 years, MetaFund has received $219 million of NMTC allocations which provide capital in the form of 39% tax credits to worthy projects in distressed areas. MetaFund’s success is directly attributable to our advisory board, our governing board, and our staff which works diligently to identify and vet these complicated projects that benefit distressed communities – areas where this capital is most needed,” added Tom Loy, CEO.
MetaFund has levered its $219 million of NMTC allocations into projects totaling nearly $700 million, resulting in the creation of over 2,200 jobs in Oklahoma.
MetaFund is a statewide non-profit Community Development Financial Institution which also has activities in Arizona, Kansas, Colorado, and Nebraska. In addition to its NMTC program, MetaFund also funds loans in distressed areas and works with its member banks to facilitate otherwise unbankable transactions. As a self-sustaining entity, MetaFund supports itself from revenues related to its mission-oriented loans, investments, and tax credit transactions, and does not rely on charitable contributions, grants, or government funding.
