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EMS revenue boost sparks debate over new billing rates

June 07, 2024 | Southport City, Brunswick County, North Carolina


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EMS revenue boost sparks debate over new billing rates
In a recent government meeting, officials discussed the addition of three new Emergency Medical Services (EMS) positions, which will cost approximately $199,739. This move is part of a broader strategy to enhance EMS capabilities and improve revenue generation. Starting Monday, the department will implement higher transport fees, projecting an increase in revenue from $370,000 to $566,880 annually. This adjustment is expected to nearly cover the costs associated with the new positions.

Concerns were raised regarding the collection rates from insurance companies, particularly in light of the increased fees. Officials acknowledged that while the new revenue projection is conservative, there is uncertainty about whether insurance providers will honor the higher charges. The discussion highlighted the complexities of billing practices, especially with Medicare serving as a baseline for many medical charges.

The meeting also revealed a shift towards more aggressive collection practices for unpaid bills, which could further enhance revenue. Historically, the department had not pursued collections vigorously, but this new approach aims to improve financial outcomes.

Additionally, officials compared the new fee structure to previous rates, noting significant increases. For instance, the cost for basic life support transport will rise from $300 to $399.12, while more complex transports will see fees increase from $400 to $638.58. The adjustments reflect a broader trend of aligning local EMS fees with county rates, which have also seen increases.

As the department prepares to implement these changes, officials are optimistic about the potential for improved revenue, although the effectiveness of the new billing strategy remains to be seen.

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