Is it possible to qualify hospitals under community services to LMI individuals if they do not serve more than 50% LMI persons?

What kind of community service is a banker doing at the hospital? The banker must be using banking expertise to get CD service credit.

I have seen CD investment credit as a donation to the hospital's foundation to support a program to pay for indigent patients. That would be a program serving LMI, but this is investment credit, not service credit.

Agree, however, I mosting looking from a CD loan point of view. Can the loan to the hospital qualify for CD loan credit if the hospital serves less than 50% LMI?

Not in my opinion. The hospital does not have as its mission to serve primarily LMI.

Now if the loan purpose was to support the hospital in a new focus of serving primarily LMI, maybe building a satellite office in an LMI census tract, or on an indian reservation, that might work for CD loan credit.

Pale Rider - Do I understand you that a donation to our local hospital's charitable care program which covers expenses for indigent patients would count as an investment credit?

Random- if your question is regarding community development loan credit. I think you need to dig more if you are looking for CDL credit.
I just got our examiners to accept a loan to build a new hospital in a non- low/mod area.
The current hospital had deteriorated. However it was deemed a "critical access hospital" by the state which worked in my favor. I presented it as if the bank had not funded the loan the healthcare in the area would be underserved. There was more I presented such as job retention/creation too.

Another angle to consider...is the loan creating an additional department or wing that would create jobs?

This is not a loan. I am curious if it could apply as a community development investment as Pale Rider mentioned. Our local hospital said it had been approached by another bank about doing this.

Yes, if you make the donation to the Hospital's foundation, a non-profit, to specifically support LMI patients, you should be able to get CRA investment credit.

I agree with PR. Donations that are earmarked for LMI programs are eligible for CRA credit. I always found putting restrictions on the donations, and getting documentation of how the donation was used, goes a long way to get credit.