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Council public‑safety committee refers proposed ambulance billing contract to finance
Summary
The Public Welfare & Safety committee reviewed a request from the fire chief to award a three‑year billing contract that would pay a vendor a percentage of recovered Medicaid/Medicare revenues; the committee voted to refer the request to the finance committee.
At its Feb. 24 Public Welfare & Safety committee meeting the Barberton Fire Department requested authority to award a three‑year agreement to a billing contractor to pursue Medicaid/Medicare reimbursement for eligible ambulance transports.
Fire Chief (present during committee) said the billing service identified an estimated $136,148 that could be collected annually through retroactive and ongoing Medicaid/Medicare recovery; the contractor would receive a contingency fee of 10% of amounts collected. Chief and committee members discussed how recovered funds would be handled; the chief said proceeds would be deposited to the general fund and the fire department could request those funds back through the budget process. Committee members voted to refer the contract request to the finance committee for review.
Why it matters: If effective the service could generate material recurring revenue for the city; the chief said two years of recoveries could fund next year’s apparatus purchases or help offset operating costs. Committee members asked whether funds would remain with the fire budget or go to the general fund; the chief confirmed proceeds would flow to the general fund.
Next steps: The request was formally referred to the finance committee for further review; the committee also noted that more detailed contract language and cost/benefit estimates should be reviewed by finance staff.
