What are your thoughts and/or experiences with losing EMS to private ambulance services?
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If you can provide EMS at a lower cost for the actual delivered service then that is a good thing. To me that means doing it with the existing staff OR fully justifying any increase in staffing. One fatal mistake I think many fire service EMS systems are making is to tie up medics on non advanced cases. One way to avoid that and get increased staffing on Engines is to get medics out of the transportation business. If the medics only staff engines then they won't be pressed into service on routine transports accidentally. If the only assigned staffing on ambulances is EMT-Bs then the new gall/guys get to start out on the routine calls and you don't burn out medics with them. If the new gall/guy wants off the ambulance then he/she will work their butt off to qualify as a medic and become too valuable to tie up on a transport unit for routine transports. Check the figures and you will find that the closest government owned vehicle to any citizen on average is an engine.
Thinking of insurance reimbursements as a cash cow will blow up in your face. Insurance companies do not take multimillion dollar hits and not adjust premiums to compensate. When the law changed to prevent insurers from limiting psychiatric care more than medical care premiums went up to cover increased costs. When the ambulance allowance in their policy gets used more their premiums will go up. They will blame you. There is no such thing as free money!
What the public sector tends to forget, though, is that the fiscal side of the equation is an important to factor into justification for providing services. Many departments jump onto the EMS bandwagon through paramedic staffing or transport services without a solid cost/benefit analysis in place. We cannot expect the public (either through increased taxes or insurance premiums) to support these higher level of services unless we can justify WHY its better for us to do it then private industry.
While we can all agree that more services are better, we cannot leave out the follow-up question of, "Yeah, but is it worth it?"
It has always amazed me how most Fire EMS systems are just "thrown in" with the tax base for Fire. I understand in some areas this tax base is some what substanstial and so it proves and provides further affirmation on why the budget and tax for the fire service is needed. But in may areas the amount of the tax base that goes to a Fire Department is measly compared to other public services...eg water, waste, parks and rec. Why shouldn't publicly funded EMS operations, in and out of the Fire Service beable to bill for their services, just the same as a private company does. It seems that when the budget isnt in that bad of shape and civic leaders wish to show that their in control of the budget, cutting private EMS for a Fire Based service looks like justification of why to have a paid fire department. But when budgets are bad, its easier to cut EMS back out of the FD and not have extra training costs, vehicle maintenance costs, and of course the almighty price of Diesel. We're already there staffing the station, with provided protection areas, aka first dues... I like also how the city of Dallas, Tx has as I think they're called "peak hours" medic units that are staffed during the peak hours of response providing extra response abilities to the areas that have high call and transport volumes. we can be easily self sustaining to bill for these charges. Either way we have to keep our qualifications up cause a engine goes to medical calls in most jurisdictions anyway. We have to buy the supplies to keep on these engines for when we beat the private ambulance coming from across town to the scene and start providing treatment. The people are going to still expect to see a engine to come to the call jsut " as it always has" even in areas that only recently ( in the past 10 to 20 years) started providing Fire based EMS. So I figure its going to be a lot easier for us to bill and get paid by insurance, government health care ( mediCal, medicare etc) then it would be to try to raise the taxes to provide theses services. Also, correct me if I'm wrong but in some areas, ( of course not all) but some areas went to Fire based EMS because of failing levels of service provided by private companies. Anyone really want to hear that at their City Commissioners meeting from the public? And as said by the other commenter, we have been letting insurance and some private companies get a "free ride" for other areas. Cut and rescues, Fire suppression, hazardous condition standbys (power lines down can wrap up several companies for a extended duration as we all know...) I think its time that for SOME of our services we stop just trying to "float the note" and prove that publicly provided services not only are still the most affordable by our customers the citizens, but that dollar for dollar we can provide the most efficient service in the most proficient manner.... Nuff said...end of the rant.
The trends towards fee for service in the fire departments are changing but in many areas of the country it’s a “cultural thing” and many departments won’t event talk about it. In many parts of the country, fire departments do not charge for EMS services although that revenue is available from the patients’ Medicare coverage or private medical insurance. The selling point to municipalities from the private sector is by marketing a self sustaining service to the community, elected and appointed leaders are seeing more dollars for other projects and less for Fire based EMS. Private EMS has been charging Medicare and the insurance companies as a way to stay in business. The reality is that in some areas, private EMS becomes a “business partnership” with the municipality. This may mean a marginal subsidy by the municipality to the private sector which in the long run lowers the municipality’s cost for this essential service. In other larger service areas (think major cities), there is a ROI in the form of a “cash back” arrangement from the private sector to the municipality. This becomes a revenue stream potential that the municipalities are craving. If public Fire and EMS can get on the same business page as the private sector and convince the municipality that we can do the job effectively, efficiently and create a profit in the EMS arena, then the Fire Service can compete head to head with the private sector. Fortunately, there is a trend by Fire/EMS in becoming a fee for service provider. This paradigm change is difficult for many fire departments as they derive much of their current operating costs from property taxes and other special levies. The Fire Chief’s question is, “will fee for service cut into the tax subsidy?” A solid business plan will answer that question. Another potential untapped revenue source for fire suppression activities are the insurance companies. We need seek fee recovery for fires and other events involving insured structures. Insurance companies have been getting a free ride for our services. I postulate that we have not adopted a business model that appeals to the “elected leadership” who are generally business people. As an industry, we need to get on the same page as our elected leadership like the private sector. We are in a fight for survival and the fire service needs to take the gloves off. Is the next threat the privatization of Fire Protection services? I shudder at the thought.
Great illustration and thanks for letting me sound off.
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