In the late 1970s, the community planned for a new hospital. This kick started a foundation for fundraising to build and equip the new facility. Construction began and Knoxville Area Community Hospital was completed and ready for business in February of 1981.

In December 2002, Knoxville Area Community Hospital & Clinic received the official designation as a Critical Access Hospital. The Critical Access program provides enhanced Medicare reimbursement for small rural hospitals and became a safety net for Iowa’s rural hospitals. As a Critical Access Hospital, Knoxville Area Community Hospital operates with 25 inpatient beds.

In 2003, the Knoxville Area Community Hospital & Clinic Foundation was re-established to raise funds to help keep the healthcare system modern and responsive to the region’s needs. Since the re-establishment, the Foundation has purchased many pieces of life-saving equipment for the hospital and clinics and has helped with several remodeling and expansion projects.

On July 9, 2003, the Knoxville Area Community Hospital held an open house for it’s new hospice suite. The previous hospice suite had been in use for about five years. A number of donors had approached the hospital about updating the suite. The goal was to provide a living space for family members and friends in the room adjacent to the patient’s room. This allows guests to visit 24 hours a day, seven days a week. It also allows the hospital to care for cancer patients by providing all the comforts of home. The hospital remodeled two existing rooms to create the suite, which is now located closer to the nurse’s station.

In April of 2005, Knoxville Area Community Hospital & Clinic purchased the Pleasantville Clinic located in Pleasantville, Iowa.

In honor of the facility’s 25th anniversary in February 2006, Knoxville Area Community Hospital & Clinics began operating as the Knoxville Hospital & Clinics.

In May of 2011, Knoxville Hospital & Clinics entered into a management agreement with MercyOne-Des Moines and welcomed CEO Kevin Kincaid to the organization.

On April 21, 2015, a new outpatient endoscopy suite was opened. The suite provides surgeons a dedicated area within the surgery department to perform endoscopy. The endoscopy suite consists of a surgical procedure room and an adjoining equipment processing room. The endoscopy suite has improved efficiency during procedures. In addition, having a separate processing room enhances patient safety by immediately removing used equipment from the operating environment.

In April 2016, construction was completed on a major expansion and remodeling project of KHC’s medical facility in Knoxville. Projects included a new physical and occupational therapy facility, cardiac and pulmonary rehab clinic, new Knoxville family medicine clinic, renovation of the hospital patient rooms and medical/surgical wing, remodeled emergency department, and renovated surgical center (waiting room, preoperative patient rooms, and surgical suites), and modernized clinic patient waiting areas.

In March 2017, Peoples Bank donated its Pleasantville branch building at 102 N. Washington to KHC. The building adjoins KHC’s Pleasantville Clinic and provides an opportunity for a much-needed expansion of the clinic. Planning and fund raising for the project is underway.
In August 2017, a project that involved conversion of outdated patient rooms into a modern specialty surgery wing was completed.

On September 5, 2017, Red Rock Healthcare-Pella was opened at 615 Washington Street, Pella, Iowa. The family medicine clinic is a major growth opportunity for KHC that provides patients and their families with even more convenient access to our primary care services.

Knoxville’s first hospital opened in 1935. Owned and operated by Dr. R.V. Mater, he located his medical practice in a large house on the corner of 7th and Montgomery Streets. He used the building to provide the community with a doctor’s office and hospital. Five years later on March 11, 1940, the 27-bed Collins Memorial Hospital was opened. The building and grounds were deeded to the City of Knoxville by the Collins family in memory of Lafe Saxton Collins (1865-1926) and Rema (Fry) Collins (1892-1938), the father and wife of Jackson (Jay) Lafayette Collins (1893-1973). In 1963, Collins Memorial Hospital was purchased by the Mater Clinic Group. Following the purchase, a building project began and a new wing to the hospital was opened in July of 1966. The new wing increased the capacity of the hospital to 50 beds.