Northstar reports rising calls, proposes modest subsidy changes for Rangeley

Steve Smith, representing Northstar EMS, told a joint meeting of the Rangeley Board of Selectmen and the Budget Committee that the regional emergency medical service is seeing steady increases in call volume and has adjusted its subsidy formula.

Smith said Northstar’s proposed budget shows systemwide subsidies of about $1,400,000 — an increase he described as roughly $94,000 from the prior year — and that the advisory board adjusted the formula to add a $7,500 baseline and to change the bill rate and distance factor. "We're budgeted to lose $200,000 this year," Smith said, and he told the committee the system handled 7,673 calls in the fiscal year, "which is a 5% increase from the year before." He also said Rangeley’s proposed subsidy change equates to a roughly 2% increase for the town and later provided the per‑town figure as $3,287.

Why it matters: Northstar provides emergency coverage across a widely distributed service area, and subsidy formulas determine how operating shortfalls are shared among member towns. Smith said the advisory board sought to blunt sharp year‑to‑year jumps for small towns by instituting a uniform $7,500 starting amount and fine‑tuning distance and bill‑rate factors so that remote and small towns are not charged disproportionately when formula changes are applied.

Smith gave more operational detail during his presentation. He said long‑distance transfers accounted for a share of calls but that 15% of last year’s call volume were transfers, and that transfers to nearby facilities make up a portion of the workload. He also described coordination with neighboring companies — Scarborough and Brunswick resources, for example — to handle transfer demand and to avoid double billing on some transfers.

Committee members asked for clarification about the town’s dollar impact and contract timing; Smith confirmed the roughly $3,287 increase for Rangeley and that the agreement timing triggers an automatic renewal in April unless otherwise acted on. He offered to return with further detail if the committee’s upcoming study or town discussions make that helpful.

Next steps: No vote on changing the contract was recorded in the transcript. Smith invited committee members to contact him with follow‑up questions; staff said they would include Northstar subsidy details as part of the capital and operating budget deliberations.