A University of Iowa Hospitals & Clinics proposal to build a $230 million acute care hospital in North Liberty is not sitting well with nearby Mercy Iowa City, the Corridor Business Journal reported. Mercy officials are calling the project an unnecessary duplication of services, a waste of state resources and a competitive grab that threatens the survival of the 150-year-old Catholic community hospital and other nearby medical facilities. UIHC proposes to build a four-story North Liberty complex that would include 36 inpatient rooms, up to 16 operating rooms, an emergency department and advanced ancillary services that Mercy said it already provides along with other providers.