Council approves about $3.4M ambulance account write-off covering years 2020–2025

Municipal Services staff told the council the annual ambulance account write-off will improve the accuracy of receivables reported for the fiscal year ending Sept. 30, 2026. Director Alexander explained that Medicare and Medicaid accounts are discounted to allowable rates; for the reporting period the maximum allowable amounts totaled $2,957,488.32, or about 87% of the packet's listed $3.4 million write-off. "The maximum level rates for Medicare and Medicaid for the calendar service year of 07/01/2025 through 12/31/2025 is $2,957,488.32," Alexander said.

Alexander described the remaining 13% ($437,542.93) as including contractual collection agency accounts, deceased patients with no known estate, approved bankruptcies and hardship accounts. After discussion about collections practices and recent use of an external collection agency, a council member moved to approve write-offs determined uncollectible totaling $3,395,031.25; the council approved the motion by voice vote.