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Council approves third‑party ambulance billing contract with MRS at 6% fee
Summary
The South Berwick Town Council approved a three‑year contract with Medical Recovery Services to handle ambulance billing at a 6% collection fee, with staff estimating revenue of roughly $250,000–$270,000 and local hardship criteria to be handled by the vendor in coordination with town staff.
The South Berwick Town Council voted to contract with Medical Recovery Services (MRS) to provide third‑party ambulance billing services under a three‑year agreement at a 6% collection fee.
Staff reported the town solicited proposals and that MRS and Comstar bid at comparable rates. The manager recommended MRS after outreach to neighboring services showed many had switched to MRS. Staff estimated annual billing revenue at $250,000–$270,000 and said 6% of that would be the vendor’s fee. The town will pay start‑up fees and MRS will act as the town’s primary billing contact.
Council members asked how hardship cases and discounts would be handled. Staff said first‑line disputes would be handled by the company and that the vendor would report accounts that required local intervention; local officials retained discretion over hardship concessions.
A motion to enter the contract passed on a roll call, recorded in the meeting as unanimous in favor (5–0).
What’s next: Staff will finalize the contract, complete Medicare setup and vendor onboarding so billing can begin under the new vendor’s systems ahead of the next billing cycle.
