SVT Health Center will use the grant to renovate the old Sunland Development building west of the health center and purchased earlier by SVT.

The annex will be a wellness center with facilities for physical therapy, massage therapy, acupuncture, homeopathic therapy, women's health and health education, said Sarah Richardson, director of public affairs for Seldovia Village Tribe.

"The Seldovia Village Tribe is very appreciative of the funding to support our expansion of a wellness center for the communities of the lower peninsula," said Crystal Collier, president and chief executive officer of the tribe.

The renovated annex will include exam treatment rooms, a training room and conference room and a reception area.

It also will have medical records storage and a shipping and receiving area. Some facilities will be moved from the current building to free up space there, especially in the dental examination area.

The SVT Health Center expansion also will bring more health-related jobs to the peninsula, Richardson said. SVT currently has 24 employees. Health professionals also could be hired on a contract basis, she said.

"It could be community collaboration. It could look like new hires. It could look like anything," Richardson said.

SVT Health Center opened in July 2007, after Seldovia Village Tribe had worked 12 years to get a health center built in Homer. The 7,000-square-foot new building replaced an old 1,500-square-foot center. The $1.2 million SVT Health Center was funded partially with grants from the Anchorage-based Rasmuson Foundation, the M.J. Murdock Charitable Trust, the Denali Commission and the Department of Housing and Urban Development.

Although SVT Health Center serves tribal members living in the Homer area, Richardson emphasized that as a federally funded community health center it is open to anyone regardless of income. The health center is a primary medical and dental care center that accepts Medicare, Medicaid and private health insurance, and bills on a sliding fee scale based on family size and income.

ARRA funds support building or renovating clinics and adopting electronic health record and health information technology systems. Obama also announced a demonstration program to support delivery of advanced primary care to Medicare clients through community health centers.

"Together, these three initiatives funding for construction, technology and a medical home demonstration project won't just save more money and create more jobs, they'll give more people the peace of mind of knowing that health care will be there for them and their families when they need it," Obama said.

Alaska Island Community Services in Wrangell also received $3.7 million in the latest round of Recovery Act grant awards.

The SVT expansion project has not yet been put out to bid, Richardson said. The project is planned to be finished by October 2011.

Michael Armstrong can be reached at michael.armstrong.@homernews.com.