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Wausau committee backs recommendation to contract with Innovia for employee primary care
Summary
The Education Operations Committee voted to recommend that the full Wausau School District board approve a contract with Innovia to provide a district-accessible direct primary care clinic for employees and families, with staff projecting initial-year savings contingent on utilization.
The Wausau School District Education Operations Committee on Sept. 22 voted to recommend that the full board approve a contract to provide a direct primary care (DPC) clinic option for employees and their families.
Staff introduced the proposal after reviewing the district's recent health-plan performance. "We landed at the end of the last plan year at a loss ratio of 116%," a district staff member said during the presentation, citing increased utilization, rising prices and higher stop-loss costs.
John Preuss of M3, the district's benefits consultant, told trustees that DPC clinics operate on a subscription model rather than fee-for-service. "Average cost per employee per year in the public sector is getting kinda high. It's $23,700. Now granted yours is $22,044," Preuss said, adding that DPC or near-site clinics can yield long-term savings of 20% to 30% depending on utilization.
Staff recommended Innovia as the provider after an RFP process that narrowed applicants to two finalists. Presenters said Innovia maintains clinics across the region, staffs each location with a physician, and will offer district employees access to any Innovia site. The proposal lists a subscription fee of $29 per member per month. The staff recommendation set an implementation target of Jan. 1, 2026 (staff corrected an earlier typo that showed 2020).
Trustees pressed staff on operations and measurement. One board member asked about clinic hours and emergency access; staff said Innovia typically sets clinic hours in coordination with the district (often about 7 a.m. to 4 p.m.) and provides a 24-hour telephonic access line. On return-on-investment, Preuss said a district would generally need an average of about three visits per enrolled member in order to reach the utilization levels that produced the savings observed in peer implementations. Stevens Point, for example, logged roughly 800 visits in its first year.
The committee approved a motion to recommend that the full board authorize entering the contract; the voice vote carried with one abstention recorded. The item will be returned to the full board for a formal vote and contract finalization; staff said they will provide reporting samples and quarterly updates to help track realized savings.
