What type of organization typically delivers health services at its own local medical facility?

Health Maintenance Organizations (HMOs) are designed to provide a wide range of health services through a network of designated medical providers and facilities. One of the defining features of HMOs is that they often operate their own local medical facilities, where members can access comprehensive healthcare services. This model encourages preventive care and wellness services, promoting a relationship between patients and their primary care physicians, who manage their overall health care needs.

In an HMO, members usually pay a fixed fee for the services rendered, focusing on a primary care physician who acts as a gatekeeper for specialist referrals and additional services. This coordination helps to reduce overall healthcare costs and streamline patient care by keeping it within the HMO's own network of providers.

While other options, like Preferred Provider Organizations (PPOs) and Exclusive Provider Organizations (EPOs), offer flexibility in choosing healthcare providers and often include a wider range of outside options, they do not typically deliver services through their own facilities to the same extent as HMOs. An Insurance Exchange, on the other hand, functions as a marketplace for individuals to acquire health insurance but does not provide health services directly. Thus, the nature of HMOs is what makes this the correct answer to the question.