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Rural Health Information Hub

Formerly the
Rural Assistance Center

Example Scenario: ABCD Organization

ABCD is located in Minnesota and serves 200,000 people in a portion of the state. In 2010, ABCD received $500,000 in grants from HRSA and $200,000 from other sources. Project expenses included hired personnel, contract personnel, as well as equipment and supplies. The project has not purchased any multipliers to use in estimating its local economic impact.

After all inputs are entered for ABCD Organization, the tool provides an analysis for:

  • Total program spending
  • Total economic impact
  • A breakdown of economic impact by category:
    • Impact vs. personnel spending
    • Impact vs. equipment/supplies spending
    • Impact vs. contract spending
    • Impact vs. other operational spending
  • A ratio of the economic impact based on HRSA program funding

Overall, this particular example shows a low return on total program spending. For every dollar of total funding received, the program created $1.04 in community benefits. These results are due to relatively large out-of-area spending. Only 25% of consultant services and 50% of equipment were purchased inside the grantee's service region.

However, if we consider economic return on HRSA funding alone, the return is much higher. For every dollar HRSA granted, the program created $1.45 in community benefits.

Economic Impact Report

Total economic impact $ 726,500
Ratio of economic impact to total spending 1.04
Ratio of economic impact to HRSA funding 1.45
* Ratios show the dollars returned to a community per dollar invested.

Project Information

Organization ABCD Organization
State Minnesota
Area served Part of State, using standard multipliers
Population served 200,000
Year 2010
Grant type Outreach
Funding
HRSA $ 500,000
Other Sources $ 200,000
Total $ 700,000
Total spending $ 700,000

Spending Details

Hired personnel Amount % Local Industry code Description  
Administration $ 50,000 100% 561100 Office Administrative Services
Management consulting and technical assistance $ 100,000 100% 541610 Mgt Consulting
Medical Care $ 250,000 100% 621A00 Physician, Other Provider Offices
Subtotal: $ 400,000    Impact compared to spending: 1.45
 
Equipment and supplies Amount % Local Industry code Description  
Computers $ 100,000 50% 4A0000 Retail Trade
Subtotal: $ 100,000    Impact compared to spending: 0.73
 
Contract Personnel Amount % Local Industry code Description  
Better Care R US $ 200,000 25% 541610 Mgt Consulting
Subtotal: $ 200,000    Impact compared to spending: 0.36