BILLINGS, Mont. — Intermountain Health has officially broken ground on what will become Montana’s first large-scale medical supply warehouse — a milestone project aimed at transforming how hospitals and clinics across the state receive critical medical resources.

At a recent ceremony off Elysian Road, just south of I-90, Intermountain leaders, local officials, and community members gathered to celebrate the start of construction on the new Intermountain Consolidated Services Center. Once complete, the facility will serve as a centralized hub for warehouse operations, supply chain distribution, laundry services, and a vital transportation network for healthcare sites throughout Montana.

Bringing Critical Supplies Closer to Home

“For decades, hospitals in Billings, Butte, Miles City, and beyond have relied on supplies shipped from out of state, over 500 miles away. In winter, that distance becomes a real barrier,” said Lee Boyles, president of Intermountain St. Vincent Regional Hospital and head of the Montana-Wyoming market for Intermountain Health. “For the first time, critical supplies will be stored right here in Montana, with local courier teams delivering them where and when they’re needed. This isn’t just logistics, it’s resilience and safety.”

Once operational, the new facility will handle the storage and shipping of more than 500,000 medical supply items each year, helping ensure steady delivery even during severe weather or emergencies that can cut off remote regions.

More Than a Warehouse

Beyond just supply storage, the new Consolidated Services Center will also run a regional laundry service to keep linens clean and safe for patients while reducing operating costs. Its transportation and courier fleet will cover an estimated 325,000 miles annually, making around 25,000 stops to deliver supplies, lab specimens, equipment, medications, and other essentials to rural and urban healthcare facilities alike.

Jobs, Economic Boost, and Community Impact

Construction of the Billings hub will employ nearly 100 workers through 2026. Once opened, the center is expected to create 70 permanent local jobs, including more than 30 new roles with competitive pay, benefits, and opportunities for growth in Montana’s healthcare support sector.

The project also builds on Intermountain’s growing investment in Billings. In June, the health system began work on the new Intermountain St. Vincent Regional Hospital replacement project — a state-of-the-art 737,000-square-foot, 14-story facility set to open in 2029.

Meeting Montana’s Evolving Healthcare Needs

Intermountain’s Billings investments mark a significant step in strengthening healthcare resilience across the Northern Rockies — especially for rural communities that historically face long wait times and supply chain risks due to distance and weather.

With the new Consolidated Services Center slated for completion by late 2026, Intermountain leaders say they are focused on ensuring Montana’s hospitals and clinics have faster, more reliable access to vital medical resources — and a stronger foundation for future growth.

Originally reported by Intermountain Health.