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Minutes 08/06/1997 EMERGENCY MEDICAL SERVICE ADVISORY COUNCIL (EMSAC) INFORMAL MINUTES August 6, 1997 2:00 P.M. EMERGENCY MEDICAL SERVICES HEADQUARTERS 3301 East Tamiami Trail Council Bob Laird Excused Members: Sheldon Reed Members: Sharon Hanlon Paul Gunther-Mohr Gary Young Roger Evans Bob Schank Rhona Saunders Fay Biles Palma Fuson Mike Davis Others: Leo Ochs Diane B. Flagg John Yonkosky Barbara Brown Joan Young George Leamon The regular monthly meeting of the Collier County EMSAC committee was called to order at 2:00 P.M. on Wednesday August 6, 1997 by Bob Laird Chairman. Due to the absence of six members, no action would be taken at this meeting. Bob Laird introduced George Leamon, a visitor who was interested in joining the EMSAC group. Chairman Laird stated several years ago while on the Productivity Committee, several complaints were received in regards to the price of the ambulance bills, being to high. He had heard the ambulance bills were going to increase, and he was concerned. John Yonkosky handed out a weekly report sheet, it is the first time in 2 1/2 years that DOR has been to -0- for status report. At this time DOR is completely caught up with the run reports. All bills through the 19th of July have been processed. Trip Tickets have been received through the 27th of July and have been billed through 19th. On the status report under receipts last month $335,000 was collected, compared to monthly budget of $287,500. The annual budget divided by twelve months is how they derive at the monthly budget figure. That is just a figure to work towards. Billing and cash flow is higher in certain months, cash flow is always higher in the last three months of the year. Fay Biles wanted to know how successful collection agencies were with collections. John stated that 25 to 30% is collected. Bills in collection are from October, 1994 to present. Leo stated DOR staff will be working harder to collect fees before being turned over to collection. The collection agency that DOR works with gets 20% of collections. Leo stated the EMS budget is funded through fees and ad valorem taxes. That split has been an average of 50 -50% over the past several years. When the DOR was formed, the board liked the idea of the flat rate, but they wanted to continued to keep pace with medical inflation, especially Medicare increases that may be past along from year to year. Staff recommended that be monitored and make recommendations accordingly. Diane B. Flagg, handed out a brochure entitled "Current Billing Methodology". She stated 43% of the total ambulance runs are Medicare runs. Medicare currently pays based upon $250.00 They will only pay 80% of $250. Regardless of what you charge. Patient pays $50.00 out of pocket. The total amount received for 43% of the bills is $250. DOR has to write off $52.00 as un- collectable, because the patient cannot pay. In the A0326 ALS specialized service, Medicare pays 80% of $282.00 which is $225.00. The patient pays out of pocket $57.00. DOR has to write off $57. As un-collectable. • Under John Yonkosky and Jeff Page's proposed option, mileage is a reimbursed expense, but it also creates several hundred dollars to the bill. They are proposing to have a charge of $4.00 per mile with a 7 mile cap. This is what Medicare reimburses. Actual mileage will be paid up to 7 miles. Base rate of $264.00 plus mileage. Medicare (per John's projection) is expected to increase their base rate reimbursement January 1, 1998, from the current $250. to $292. Based upon that Medicare will pay $233. The patient would pay 20% of the $292, which would be $59.00. Mileage was not charged before as it made the bill too expensive for some areas of the county. There was no mileage cap previously. John stated he has an approved mileage rate from Medicare of $4.11. We can mix the revenue stream somewhat by reducing base rate and charging mileage and come out with more money realized. Since September, 1994 our reimbursement rate from Medicare is still only $250.00. John stated that is due to the 18 month window. June 1, 1995 our rate was $250.00. July 1, 1996'we increased our rate to $302. The rate has to be in place for a twelve month period ending June 30. Before they will give us an increase. More information will be available at the Medifest conference held in Orlando, Fl., next month. Bob Laird excused himself as he had to leave early, but he wanted to thank Sharon Hanlon for all her efforts on the board, as this will be her last meeting as her term will expire on August 31, 1997. Sharon Hanlon said she would not support the increase based on the possibility that Medicaid will not pay the mileage and she felt we recently increased to $302 to take advantage of what Medicaid pays, and if we are now going to reduce to $264 does that mean we have to wait the twelve months again if we need to increase again? Also, she feels there are some agencies that do not pay mileage. Diane stated that historically from 1994 to June, 1995 our rate was $250. Medicare pays $250. Twelve months later July 1, 1995 to June 30, 1996 our rate was $302. Medicare still only paid $250. Our rate has been $302, Medicare is still only paying $250. The next time frame they will look at will be July 1, 1996 through June 30, 1997. Once again our rate has been $302, we won't know until November, 1997 what are rate will increase to. Even though our rate was increased and has been over the time frame they look at, Medicare has not increased our reimbursement. Leo Ochs wanted to know since we did not adjust our current rate on July 1, 1997 what kind of impact will that have on January, 1999. John Yonkosky said it only has an impact if we wait a long time. Again, there is the possibility Medicare will pay only a flat rate. Leo Ochs said the budget figure for FY98 is $3,465,000. Fay Biles inquired if more information would be available after the Medifest Conference. Leo Ochs stated he would'like a recommendation from the Advisory Board, to take back to the County Administrator. The committee agreed to wait until the September meeting to make a recommendation. Meeting Adjourned EMERGENCY MEDICAL SERVICE ADVISORY COUNCIL