IOWA CITY — Given fervent opposition to a proposed $230 million University of Iowa Health Care hospital in North Liberty — including the economic threat posed to community providers like Mercy Iowa City — the State Health Facilities Council on Wednesday narrowly denied UIHC permission to proceed — halting the project for now.Despite UIHC arguments that it is too full and desperate for more beds, operating room space and emergency department capacity, the five-member council charged with granting a certificate of need for the project sided by a slim 3-2 vote with opponents who argued a new 300,000-square-foot, 36-bed hospital is unnecessary, insufficient to address the needs UIHC says it has and detrimental to existing care.“This is more than just a building project,” Andrew Ashby, pulmonologist and medical director for Mercy Iowa City’s Intensive Care Unit, told the council during a nearly seven-hour discussion.