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Select Board approves higher ambulance billing rates to match new state law
Summary
The Milford Select Board voted to approve increased ambulance transport billing for commercial insurers—billing up to 325% of Medicare—intended to eliminate surprise balance billing for patients under recent state legislation. The change follows a small Medicare rate increase and will be revisited as state policy evolves.
The Milford Board of Selectmen voted Feb. 23 to approve higher ambulance transport rates for billing commercial insurers, aligning local practice with recent state legislation that permits charging up to 325% of Medicare rates.
Ken Larry, who presented the proposal, said the change is intended to stop so-called balance or surprise billing of patients. "The main goal of the whole thing is to stop the patients from getting these huge bills, unexpectedly," Larry said, describing how commercial carriers will reimburse at the higher rate while Medicare and Medicaid payment rules will not change.
Larry told the board that Medicare’s rates rose about 2% on Jan. 1, and applying the 325% multiplier to the new Medicare figures produced the updated schedule the department is proposing. He said the town’s billing contractor provides monthly breakdowns by insurer and that staff can supply an estimate of the expected revenue impact to the Select Board.
Board members discussed whether the town should approve a fixed percentage now or revisit rates annually to reflect Medicare adjustments; Larry recommended adjusting rates in future years as Medicare changes and noted the state expects to set a more permanent approach by 2028.
A board member moved to approve the increased charges for ambulance transport as presented; the motion passed by voice vote. The board directed staff to provide a revenue estimate at a later date and to return with updated numbers if Medicare rates change.
The action implements billing changes allowed under recent state legislation (referred to in the presentation as SB 245/246) and does not change what Medicare or Medicaid patients pay directly. The town will continue to follow state law about insurer reimbursement and will not balance-bill insured patients.
