Broken Arrow City Council
Meeting of: 04-16-2019
Title:
title
Consideration, discussion, and possible approval of and authorization to execute an agreement by and between EMS MC and City of Broken Arrow for participation in the Oklahoma Emergency Medical Services Certified Public Expenditure Program
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Background:
The City of Broken Arrow and the Broken Arrow Fire Department would like to enter into an agreement with Public Consulting Group (PCG) by doing an addendum with our current third party billing administrator for the ambulance service (EMSMC). The reason for this partnership is the Fire Department would like to utilize the expertise of PCG to devise the proper papers, forms, and audit information that the State of Oklahoma will require in order to process payment for the City of Broken Arrow to receive federal share monies for the transport of Medicaid patients. The State of Oklahoma and the Health Care Authority have passed recent legislation that would allow EMS transport services in Oklahoma to receive federal share money to aid in the recovery process of Medicaid transports. In a typical year the Broken Arrow Fire Department transports approximately over 400 Medicaid patients to the area hospitals. A typical transport currently without the aid of PCG or federal money is around $348.00, and with the federal share of 62%, the City of Broken Arrow would get an additional $1,450.00 or more per Medicaid transport. Receiving this federal share money could stand to generate over $600,000 or more annually for the City of Broken Arrow. Currently the way legislation is written the federal share can never fall below 50% but can go higher than 62%. This is a federal share and state recovery program done all over the United States, but until recently wasn’t happening in the State of Oklahoma until the recent legislation was passed.
The Broken Arrow Fire Department plans to enter into an agreement with PCG and EMSMC which gives 10% of our earned profit to PCG for payment for utilizing their services. The great news is by using PCG, they do not bill the City of Broken Arrow until the City of Broken Arrow has actually received funds from the State of Oklahoma. PCG does not have an hourly wage or any fees, other than the standard 10% of what the City receives from the State. PCG will prepare all the proper forms and give to the City’s finance department for review and the City of Broken Arrow will actually submit the paperwork to the State of Oklahoma for reimbursement. Once the State of Oklahoma receives the paperwork and tenders the check back to the City of Broken Arrow, the City’s finance department will cut a check for 10% of the profit to PCG once a bill is received from PCG. The first reporting period started October 1st, 2018 and goes to June 30th, 2019. From there on the plan runs consecutively every fiscal year, which would be concurrent with the City of Broken Arrow’s fiscal year. The first payment to the City of Broken Arrow from the State of Oklahoma should be anticipated March of 2020 for the first reporting period. After the first period the City will receive funds every year approximately four to six months after the period closes every June 30th of that fiscal year.
The Broken Arrow Fire Department and the City of Broken Arrow would like to enter into this agreement with PCG to include three cost reporting periods with two additional option periods as this will cost the City of Broken Arrow nothing until, and only if the City receives funds from the State of Oklahoma for Medicaid transport services.
Cost: No Cost
Funding Source: No Source
Requested By: Jeremy Moore, Chief of Fire
Approved By: Michael L. Spurgeon, City Manager
Attachments: EMS MC Amendment
Recommendation:
recommend
Approve and authorize execution of an agreement with EMS MC for participation in the Oklahoma Emergency Medical Services Certified Public Expenditure Program.
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