The reaction 13C(α,n)16O is an important astrophysical process producing neutrons for s-process nucleosynthesis of nuclei heavier than iron in low-mass AGB stars. The reaction rate of 13C(α,n)16O at relevant energies is dominated by a 1/2+ state in 17O near the α-threshold. The adopted value for the excitation energy of the state is −3keV below the threshold at 6359keV. However, recent investigations have indicated that the state is, instead of a sub-threshold state, an above threshold resonance state. The observation is also corroborated by neutron scattering studies from 16O. The location of the state and its implication on the low energy behavior of the astrophysical S-factor are of definite interest. The aim of this work is to ascertain the energy location of 1/2+ state in the excitation spectrum of 17O and to estimate its neutron and α-partial widths. Subsequently, we look into the effect of the resultant set of parameters of the state on the S-factor and reaction rate at important astrophysical energies. A multilevel, multichannel R-matrix analysis has been performed for the existing 16O(n,n), 13C(α,n), 13C(α,α) and 16O(n,α) data. The excitation energy of the 1/2+ state in 17O is found to be at 6371.9keV, about 12.9keV above the threshold. The resulting S-factor around the Gamow energy of 190keV (T9∼0.1) is (1.91±0.27)×106MeV⋅b. Relatively, higher S-factor value yields a larger reaction rate for 13C(α,n)16O at the required temperature window. Consequently, larger number of neutrons relevant to S-process nucleosynthesis will be produced from 13C(α,n)16O reaction.