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Finance committee recommends renewing EMS billing contract at reduced rate of 6%
Summary
Finance members discussed EMS billing services and voted to recommend approving a new three-year contract with the current billing company after negotiating the rate down from 8.5% to 6% for new business; legal review and a 60–90 day termination clause were noted.
Finance committee members reviewed the EMS billing services agreement and a proposed three-year contract at the committee meeting on May 26.
City presenter (Speaker 3) said the billing company was approached after another firm offered a lower price and that negotiations produced a new rate of 6% (down from 8.5%) for new business. "They did come down from 8.5%... I got them up to 6%," the presenter said, and added that legal counsel had reviewed the agreement and that the contract would include an exit clause (about 60–90 days) if the company fails to meet terms.
Committee members emphasized the billing firm's role in improving collection performance and asked that staff continue to monitor collection metrics. The committee moved to recommend the new contract terms to the Common Council for final approval.
Next steps: staff will provide the contract and legal review to the Council; the committee noted the importance of continued oversight on collections and performance metrics.
