Edgerton considers taking ambulance service in-house

By STACY VOGEL   Friday, Dec. 26, 2008
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— The Edgerton Fire Protection District is considering running its own ambulance service after a substantial fee increase from the private company that runs it now.

After preliminary study, the district believes it could save money by taking the service in-house and ending its contract with Curtis Ambulance of Milwaukee.

The district always has contracted with private ambulance services. It has considered running the service itself in the past but always found it would be more expensive, Chief Brian Demrow said.

But Curtis raised its asking price from $103,000 in 2008 to $200,000 in 2009, though it’s since lowered the price to $176,000. Owner and CEO Jim Baker said the higher fee is necessary because volunteers have become scarce in Edgerton and the company has had to hire more full-time employees.

With the higher fee, the district thinks it could save money by running the ambulance service itself, Commission President Jim Linsley said.

“There’s been no formal decision yet,” he said.

The district extended its contract with Curtis for the first six months of 2009 for $88,000 while it studies the issue. It hopes to make a decision within a couple of months, Linsley said.

The district asked LifeQuest Services, a billing company based in Wautoma, to compare Edgerton to surrounding communities and estimate how much it would cost the district to run its own service.

LifeQuest estimated Edgerton could take in about $214,000 a year in revenue, with expenses of about $275,000, for a cost of $61,000. That’s far less than the $174,000 Curtis Ambulance is asking for.

The district also would have to spend about $243,000 in start-up costs, including one new and one used ambulance, the estimate says.

But Curtis disputes LifeQuest’s estimate, Baker said. Among other things, he doesn’t think LifeQuest put enough emphasis on Medicare and other government insurance programs that don’t pay as much for ambulance runs as private insurance. He also thinks the company made some bad assumptions when comparing Edgerton to surrounding communities, he said.

“You’re not saving any money to do that change,” he said.

A LifeQuest representative disagreed.

Shannon Schwersenska, client-business specialist, said most communities run their own ambulance services, and it makes sense for Edgerton to do so as well.

“The company’s that doing their (EMS service) now, in addition to keeping all their revenue, they’re also charging the (district) almost $200,000,” he said.

LifeQuest assumed Edgerton has a mix of medical assistance, Medicare, commercial insurance, and private-pay patients similar to surrounding communities, Schwersenska said.

But Baker said it’s not just about money. If Edgerton ran its own ambulance service, it would take on additional liability and run the risk of burning out its volunteers, he said.

“We believe it’s in their both operational and fiscal best interests to stay private,” he said.

Help wanted

The Edgerton Fire Protection District is looking for a couple full-time fire officials.

The district commission Dec. 11 approved job descriptions for a full-time chief and deputy chief and is collecting applications until Thursday, Jan. 15.

According to the job posting, the district seeks “honest, experienced, and proven leader(s) with integrity” to serve as chief and deputy chief. Applicants should have training in fire department administration and at least five years experience in firefighting and EMS, including supervisory duties, the description says.

The district set aside $160,000 for salary and benefits for the two positions in its 2009 budget, and it will set salaries for the chosen candidates based on their experience, Chief Brian Demrow said.

Demrow currently receives $7,000 a year as part-time chief.

The district hasn’t received any applications for either position yet, Demrow said. Demrow, a city of Edgerton employee, said he’s considering applying for a position.

For more information about the jobs, visit www.edgertonfire.com.

reader COMMENTS
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(1)
nemesis
Dec 26, 2008 at 10:55 a.m.
Suggest removal

What would be the harm in asking for other outside bidders before taking on the job yourself?

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