Medic 1 Ambulance considering new rate structure for municipalities

medic-1

Medic 1 Ambulance is looking at changing the rates it charges to municipalities to cover emergency medical services.

Medic 1 Board Chair Darwin Watson addressed the Benton Harbor Personnel and Finance Committee this week to explain the changes that may be coming. He said when Medic 1 was formed more than 50 years ago by its more than ten municipal owners, a per capita rate structure was put in place, meaning each member would pay a certain amount multiplied by its population.

While the current model worked for decades, Watson said it’s not working anymore.

“Medic 1 has looked at those numbers for the last three to five years, and what we’ve noticed is that we are basically operating the service at a deficit,” Watson said.

Watson said Benton Harbor’s current rate is $11 per person, but now the Medic 1 Board is studying several new models. Depending on what the board decides, he said the city could be asked to pay an annual base rate, plus a new per capita rate that will take into consideration things like call volume.

The executive committee has taken on the task of coming to put together a formula that the board can approve that is basically equitable or closer to being equitable for everybody.”

Watson noted the vast majority of Medic 1’s calls come from the Twin Cities. City Manager Alex Little pushed back, saying Benton Harbor can’t afford to pay more, noting under the least costly of the proposed models being considered, Benton Harbor would be charged an additional $89,000 for the coming year.

Meanwhile, Watson tells us the Medic 1 Board will meet on Thursday, March 26, possibly to select one of its new funding models.