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Board approves ProActive MD contract; city to pay $30,000 more annually, staff says savings likely later
Summary
The Martinsville Board approved an agreement with ProActive MD to provide health services previously contracted through Marathon Health; staff said the new contract will cost the city about $30,000 more per year initially but could produce net savings of $20,000–$25,000 annually once additional services are routed through the provider.
The Martinsville Board of Works and Safety voted June 23 to approve an agreement with ProActive MD for occupational and employee health services. Staff said ProActive MD was selected through a joint bid process with the county and school system and that the city and county will partner on the contract; the school system is not participating in the new contract.
City staff told the board the agreement increases the city’s annual cost by about $30,000 compared with the prior arrangement with Marathon Health, but added the change will allow the city to route pre‑employment screenings, workers’ compensation and injury reporting through ProActive MD and that those operational changes are expected to produce annual savings in the $20,000–$25,000 range.
Board members asked whether the additional cost was budgeted; staff replied the cost fits within the current budget and that the city expects net savings. The board approved the contract by motion and voice vote.
Staff said the change consolidates additional services under the new vendor, which the city views as better value overall despite the initial higher annual cost.
