The U.S. Agriculture Department's Rural Development agency is providing a $20.5 million loan to help build a new hospital in Madison.
Loans from other organizations will also help Madison Community Hospital build a complete new facility on a site near a highway bypass around the eastern South Dakota city.
Officials say the one-story facility will have 22 inpatient beds, a medical clinic and other services. The new hospital will allow for expansion.
The hospital project also is getting financial help from AgStar Financial Services, the Heartland Consumer Power District and Sioux Valley Energy.