UMass Memorial Health Care joins $700M community investment commitment

Photo | Courtesy UMass Memorial Health Care President and CEO Eric Dickson, MD

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UMass Memorial Health Care of Worcester has joined 13 other hospitals and health systems in committing to make $700 million in investments aimed at addressing the economic, racial and environmental resource disparities impacting community health outcomes.

The 14 health systems pledged to invest more than $700 million toward impact investing. According to UMass Memorial, the commitment of 1% of its investment income toward this kind of investing is part of a four-part community program including investing, purchasing, hiring and volunteering.

The goal of the investment commitment is to create sustainable returns for the institutions while deploying that investment capital to address social determinants of health needs in their communities.

Place-based investing creates healthy and thriving communities by increasing available capital for positive social, economic, or environmental impact, according to UMass. It supports local and diverse business development and empowers low-income people to create, manage, and own enterprises.

The decision was made in response to the impact factors outside of hospital walls have on patients. According to a release from UMass Memorial, social, economic, environmental, and behavior-related factors account for up to 80% of the health outcomes a community experiences. These type of investments include financing for affordable housing development, building a new grocery store in a food desert, childcare centers, federally qualified health centers, and minority- and woman-owned business enterprises and local businesses.