Tenn. County Establishes Fire-Based Ambulance Service
Oct. 18--Three resolutions approved by the Shelby County Commission on Monday authorized the county fire department to establish a fire-based ambulance service at a cost of $5 million, which includes the one-time expense of $2.5 million for 12 ambulances and a 12 percent increase in fire fees.
In August the county was notified by ambulance contractor American Medical Response that it was not making money under its $1.7 million contract and proposed adjustments that would have increased their payment from the county by as much as $2.8 million a year.
The county expects to operate the service for about a $1 million a year less than AMR.
And although AMR officials have said the county is underestimating how much it will save with its own ambulance service, commissioners approved the resolutions unanimously.
Commissioner Mark Billingsley said he was cautiously optimistic.
"I think the ambulance service is very, very expensive. I hope we come close to what we anticipate. I think it's going to cost more than we're budgeting for," Billingsley said. "If that happens we know what to do, we know the course to take. I hope everybody proves me wrong on that."
The ambulances will be staffed by 60 paramedics/firefighters, many of whom are already employed with the county, said fire Chief Alvin Benson.
The startup cost will be loaned to the fire department from the county's general fund and will be repaid through fire fees, said Tom Needham, county public works director.
The fee increases will be about $4 for the average homeowner, Needham said.
Benson also addressed citizen concern over the now closed Fire Station 60 on Egypt-Central Road.
There are no plans to reassign a fire engine to the station, but the department will place an ambulance there, which also houses the county fire marshal and training personnel, Benson said.
The ambulances will serve unincorporated areas of the county, Arlington, Lakeland and Millington, with Arlington contributing $308,000 a year; Lakeland, $346,000; and Millington, $539,000.
Arlington and Millington have already agreed to partner with the county.
But officials in Lakeland met last week to discuss staying with the county or contracting with AMR to operate an ambulance at the fire station already owned by the city.
"We've had some discussions with Lakeland. They still haven't advised me which way they want to go," Needham said.
In addition to fire fees, ambulance users will pay $1,500 per transport, an amount that could be reimbursed through private insurance or Medicare. During a committee meeting last week, Benson told commissioners they expect to collect about 33 percent of the transport fees, which is on par with Memphis.
The county has committed to response times that mirror those of AMR with nine minutes in the municipal areas and 10.5 minutes in unincorporated Shelby County.
An amendment to the first proposal from Commissioner Heidi Shafer requires the fire department to provide a monthly report on ambulance response times to the commission.
Shafer also cautioned Benson that the fire department should be prepared for delays in reimbursements for Medicare
The ambulances will be purchased from local firm G & W. Diesel Services Inc., with a Dec. 15 delivery date.
AMR has offered to help the county if the ambulances aren't up and running by Jan. 1, but with a cost of $110 an hour per ambulance or about $700,000 a month, it's an option Needham said he hopes to avoid.
The overall problem with the AMR contract is one that could have been predicted, said Commissioner Terry Roland.
"How were they going to do this that much cheaper than the competition? Well, now we found out. They underbid the competition. The competition couldn't make it because they didn't have the business, so they went out. AMR buys them out and now they want to double everything," Roland said. "So, at the end of the day, I believe we can take the money and give better service to our constituents than we're getting right now."
Copyright 2016 - The Commercial Appeal, Memphis, Tenn.
