Aurora, Illinois

File #: 20-0774    Version: 1 Name:
Type: Reports/Studies Status: Filed
File created: 11/16/2020 In control: Finance Committee
On agenda: 11/19/2020 Final action: 11/19/2020
Title: Follow-up analysis on rating setting for Resident/Non-Resident Ambulance fees based on Finance Committee discussion of November 12, 2020.
Attachments: 1. Attachment 1 November 12 agenda item, 2. Attachment 2 111920 at Cost, 3. Attachment 3 Non-Resident $1,900
TO: Mayor Richard C. Irvin

FROM: Martin S. Lyons, Chief Financial Officer/City Treasurer

DATE: November 16, 2020

SUBJECT:title
Follow-up analysis on rating setting for Resident/Non-Resident Ambulance fees based on Finance Committee discussion of November 12, 2020.
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PURPOSE:
Based on Finance Committee member requests staff has revised the initial analysis and provided alternative rate structures for use in the 2021 Budget. No formal vote is required to enact new rates other than the adoption of the 2021 City of Aurora Budget which will include the revenues for these fees.

BACKGROUND:
On November 12, the Finance Committee reviewed a new rate structure and data base for setting this rate structure. During this review the Committee expressed concern over the resident and non-resident rates being identical, which was the structure from reviewing comparable community data. A second issue of discussion was to analyze the increase of non-resident rates up to the City's cost of service level.

The analysis below and attached addresses these issues. Attachment 1 is a pdf of the 2012 Finance Committee agenda packet for this item.

DISCUSSION:
Fire and Finance Department Staff met with Andres Medical Billing Staff (Andres) to review the following as a follow up to the 11/12/20 Finance Committee discussion

Non-transport fees are currently being charged for supplies, etc. by the City. A large majority of non-transport cases are for resident services and as such staff does not recommend pursuing an adjustment of this fee at this time.

The current average Advanced Life Support (ALS)/ALS2 cost estimate provided to the State of Illinois is $2,271. In discussions with Andres, they noted that many insurance coverages begin to decline ambulance fees above $2,500 as being above usual and customary. Attachment 2 is a worksheet showing a new rate structure with resident fees set at $1,600 on average and non-resident fees set at our cost rate. Attachment 3 is a workshee...

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