Geisinger Health and Highmark Inc. are partnering to create a new, nonprofit health care organization using existing Geisinger locations and its new facilities planned for Muncy Township and Lock Haven, officials announced Tuesday morning.

The organization, born of a $100 million commitment from both Highmark and Geisinger, will serve Clinton, Lycoming, Sullivan and Tioga counties with the Geisinger clinics and Careworks Urgent Care facilities in Lock Haven and Williamsport acting as key access points to care.

The venture will serve both Highmark and Geisinger Health Plan members, including those in Medicare Advantage plans, and patients with other insurance plans. It will work with independent physicians and community-based hospitals to maintain access to care for regional consumers.

“The two of us have really focused on how do we bring a different model that will really help us focus on lowering the cost of care and bringing services together to the northcentral region,” said Lynn Miller, Geisinger executive vice president of clinical operations.

The anticipated Geisinger hospital in Muncy Township will meet emergency, routine and acute care needs and will include a full-service emergency department as well as imaging and lab services, medical oncology services, chemotherapy preparation and general surgery services. Geisinger expects to break ground on the project later this spring, Miller said.

The three-story “HealthPlex” will include a multi-specialty clinic with adult and pediatric primary care, orthopedics, cardiology, ophthalmology, pulmonary services and women’s health services. There will also be a state-of-the-art operating suite and 20 inpatient beds.

“One of the most exciting features of the new relationship between Highmark and Geisinger is the way we will care for our patients and members,” said Dr. Jaewon Ryu, interim president and CEO of Geisinger, in the announcement. “We are transforming how care is delivered in this new HealthPlex in Muncy Township. Using telemedicine technology, patients will have access to

specialists in Danville and across the Geisinger system without having to travel. This not only improves quality, access and convenience, but has the added benefit of reducing health care costs.”

“It’s really about improving access to care, and better managing patients with chronic disease and other complex diagnoses that really require more of a health care team,” said Steve Seftchick, Highmark vice president of network partnership capability and strategic projects, on telemedicine.

Geisinger will rebuild its facility in Lock Haven into a two-story walk-in urgent care center with adult and pediatric primary care offices and imaging and lab services. It also will house physical and occupational therapy as well as a specialty clinic with dermatology, cardiology, gastroenterology, surgery and women’s health services.

“We’ve outgrown it, and we’ve been limited because of the size of our clinic there,” Miller said. “We’ve looked at what the community needs as far as specialty services, so we’ll bring others.”

The new organization’s care delivery and payment models are designed to improve efficiency and effectiveness as well as reduce health care costs.

“We’re really excited about joining forces with Geisinger in this region,” Seftchick said. “I think we have a shared vision around providing access to care.”

The venture will incentivize physicians to keep their patients healthier through better care coordination and disease management, such as ensuring patients receive recommended screenings and other preventive measures.

“Through evidence-based care, population health management and value-based physician payment programs, this new health care organization will bring greater value and lower costs to northcentral Pennsylvania,” said Deborah Rice-Johnson, president, Highmark Health Plan.