HELENA, Mont. (AP) - The state has signed a contract with a Tennessee firm to operate a new health care clinic for state employees and has leased a building in Helena to house the clinic.

Lee Newspapers of Montana reports CareHere of Brentwood, Tenn., signed a three-year contract with the state last Wednesday. Sheryl Olson, deputy director of the state Department of Administration, says the contract includes an option to renew for up to 10 years.

The state also leased a former private health clinic building to house the new clinic which will offer low-cost, primary health care for 11,000 state employees and their dependents in the Helena area. Olson says the state hopes to have the clinic open by mid- to late September.