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Field Study · Employer-Supported Childcare

The CCM Health Child Care Center

How a community-owned hospital in a town of 6,000 built the care that let its people come to work.

CCM Health Montevideo, Minnesota Critical access hospital 25 beds
38
Average age of CCM nurses (vs. 44 nationally)
2 wks
From opening to its first childcare-driven hire
70
Children in the new center (up from 24)
$2.4M
Committed to the new center (2025)

Montevideo, Minnesota, is a town of about 6,000 people — and the place its own hospital was struggling to staff. The problem wasn't that people didn't want to work there. It was that they couldn't.

A hospital that couldn't be staffed

CCM Health, a 25-bed community-owned critical access hospital, put the problem in a single sentence from its leadership: "We had people who wanted to work, but they couldn't work because they didn't have child care."

In a childcare desert, a hospital loses nurses not to competitors but to the kitchen table — staff who leave, or never apply, because there's no one to watch their children.

The nurse who called

Leadership began thinking about a center back in 2018, recognizing the care gap as a direct barrier to recruiting and retaining staff. It took two years to turn that recognition into a building. Then, within two weeks of the center opening, a nurse who was seeking employment called with a question that captured the whole problem: "I just lost my child care for my twins. Do you have any openings for RNs?"

Within two weeks she was on staff — and still is today. One hire doesn't solve a workforce crisis, but it names it: the hospital wasn't short on willing workers. It was short on a way for them to be there.

What they built

The CCM Health Child Care Center opened in January 2020 — licensed for 24 children, located right across from the hospital, and owned and operated by the hospital itself rather than an outside provider. It grew to 31 children, and in 2025 the hospital committed to a $2.4 million replacement building for up to 70.

The hospital's own nurses now average 38 years old against a national average of 44 — a gap leadership credits to the center pulling younger clinicians into a town they might otherwise have passed by.

How it happened

The mechanics, end to end

A straightforward chain from the business problem to the results — with the funding and the people who made it move made explicit.

1
Business Problem

A workforce that couldn't show up

Recruiting and retaining staff in a rural childcare desert. The hospital experienced it as vacancies, unfilled shifts, and candidates who never applied.

2
What They Built

On-site care, owned by the hospital

A child care center across from the hospital, owned and operated by CCM Health itself — so the care was usable and the hours aligned with clinical work.

3
Who Was Involved

A community-owned hospital leading the way

  • CCM Health — conceived, funded, and operates the center.
  • City of Montevideo & Chippewa County — the community owners behind the hospital's mission.
4
How It Was Funded

Cost-based reimbursement, not a one-off

As a critical access hospital, CCM is reimbursed cost-based by Medicare — a structure that made operating the center financially viable as a workforce investment.

5
Results

Hires that followed

  • First hire within two weeks of opening — a nurse who joined because care existed.
  • Nurses averaging 38 versus 44 nationally.
  • 24 → 31 children, with a $2.4M replacement building for up to 70 now underway.
What Rural Communities Can Learn

Transferable lessons, not a template

This isn't an argument that every employer should build its own center. It's the set of moves this community got right — and they hold up even at a smaller scale.

1.

Own the problem

The hospital treated the care gap as its own workforce risk, not a personal struggle — and held itself responsible for fixing it.

2.

Count a single hire

One nurse hired because care existed proved the thesis. Small, concrete wins justify bigger bets.

3.

Use your payer mechanics

Cost-based reimbursement made operating a center sustainable. Understanding your own funding structure is half the design.

4.

Start small, scale with proof

24 children became 31, then a 70-child build. The center earned its expansion.

5.

Anchor younger talent

A 38-year-old average nursing age shows the center pulls in a generation a rural town otherwise loses.

Sources

Where this comes from

This field study is assembled from public, independent reporting on the initiative.

  1. Healthcare Financial Management Association — Childcare center at CCM Health helps in recruiting and retaining staff
  2. Minnesota DHS — Child care licensing record
  3. Upper Minnesota Valley RDC — CCM Health Employee Child Care
  4. CCM Health — New child care center
The interview

Hear how they did it

The people behind this initiative — how it was conceived, assembled, funded, and approved — in their own words.

▶ Hear How They Did It
Webinar in preparation — link will go live here