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EMS billing transition slows receipts; chief seeks ambulance re‑box while councilors question intergovernmental charges
Summary
EMS officials described a billing vendor transition that delayed collections and reported expected long‑lead capital needs including an ambulance re‑box. Councilors raised concerns about long‑standing intergovernmental charges levied on EMS and asked whether those funds could be redirected toward retention bonuses.
Nick Arvias, chief of EMS, and Fire Chief Jeff Kindert described EMS revenue, billing changes and capital needs during the Committee of the Whole budget review.
Arvias said the city’s ambulance billing transitioned to a new vendor to gain lower fees (from about 6.5% to 4.5%) and that the change caused a two‑month lapse in collections while the new vendor and hospital systems established data exchange. He told the council that the department collected about $3.4 million from Medicare/Medicaid last year and that collections for 2025 are temporarily depressed by the transition; staff project a modest savings from the lower vendor fee once the migration is complete.
Chief Kindert asked the council to fund a re‑boxed ambulance and a power cot from EMS motor equipment funds. He proposed a capital ask of $1.235 million from the EMS motor equipment account for a re‑boxed ambulance and a power cot and explained that replacing or re‑boxing vehicles is an established life‑cycle strategy: chassis and boxes can be recombined to extend service life and manage costs. He warned that new engines and apparatus have long lead times (18–32 months) and urged earlier ordering to avoid fleet gaps.
Council discussion turned to “intergovernmental charges” that departments outside the general fund pay to central administration for centralized services (accounts payable, accounts receivable, purchasing and similar functions). One councilor said EMS already subsidizes fire apparatus capital and payroll and objected to continuing to charge EMS an intergovernmental fee of roughly $223,000 per year. Finance staff explained the charge reflects a longstanding allocation model and that similar intergovernmental contributions are expected from other non‑general funds.
No final budget decision was made in the meeting. Arvias and Kindert said they will continue to work with finance staff to reconcile revenue timing from the billing transition and to finalize capital plans for apparatus and ambulance re‑box schedules.
