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Committee recommends lease for near‑site employee clinic with Marathon Health at Oak Point

Oakland County Economic Development & Infrastructure Committee · March 26, 2026
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Summary

The committee recommended to the board a lease with Marathon Health for a near‑site employee clinic in the Oak Point building; staff described a multi‑piece interlocal/service/lease arrangement, expected initial losses with break‑even by year three, and shared access with other communities under an interlocal agreement.

The committee voted to recommend a lease agreement with Marathon Health to establish a near‑site employee clinic in approximately 5,000 square feet of county‑owned space at the Oak Point building on Elizabeth Lake Road.

CFO Brian Leler outlined the three components of the project: an interlocal agreement, a services agreement and the lease that designates space and sets rent/space allocation terms. The lease requires base rent plus the tenant’s share of the county building space allocation (utilities, common maintenance), tenant‑paid capital improvements/tenant improvements and reimbursement to the county for relocating county staff (pre‑trial justice services) now occupying the space. Leler said Marathon will also contribute to the county repair and replacement (capital) account as part of its base rent.

Staff acknowledged the county will invest initially (presentations referenced a projected early loss of about $750,000) with the expectation that scaling and utilization by employees — conservatively estimated at a 25% participation rate — would return the investment over several years (break‑even projected by year three, payback by year five). The clinic will offer primary and urgent care, physical therapy integrated with Hinge Health, mental health services and the possibility of using the clinic for workers‑comp and pre‑employment physicals. The structure is an interlocal cooperative: other participating communities will operate their own clinics while county employees may use others in the network.

Commissioners asked about impacts on employees who already have long‑standing primary care relationships and about family member access; staff said the clinic is a complement to, not a replacement for, existing benefits and is available to covered family members. The committee carried the recommendation to the board.