Ambulance biller says Streator will generate about $1.34 million to offset $1.1 million for personnel

City Council will seek to finalize personnel contract, billing company deal

Streator City Hall

The pieces of Streator’s 911 ambulance service are coming together.

The City Council is expected to vote 7 p.m. Wednesday, July 20, at its regular council meeting to finalize a contract with American Medical Response Solutions providing two certified paramedics and two EMT-B technicians beginning Oct. 1 for the next three years at a cost of $1,138,000 for 2022-23; $1,114,000 for 2023-24; and $1,148,534 for 2024-25. The city also will have the option to renew the contract a fourth and fifth year.

The City Council will vote to approve a contract with Northern Illinois Ambulance Billing, Inc., based in Mendota, to provide billing services for the 911 ambulance operation. The company estimates Streator will receive more than $1.34 million per year in ambulance income after enrollment in the Ground Emergency Medical Transportation program (which it would be eligible after one year of service). The proposed contract would compensate the company 7.5% of actual receipts, which is estimated to be about $100,000 per year.

“Contracting these services will eliminate the need to hire and train an employee and avoid delayed billing due to employee vacation and sick leave,” said City Manager David Plyman in a memo to City Council.

Northern Illinois Ambulance Billing Inc. serves more than 40 cities and fire protection districts throughout Illinois. The company has worked with Streator without charge in estimating its call volumes and projected income from the service.

Streator bought a refurbished ambulance at a cost of $164,000 with a mid-September delivery and also bought an ambulance from the city of Ottawa to serve as a back-up at a price of $50,000. The city intends to buy another refurbished ambulance not to exceed $200,000. The city is purchasing these vehicles from COVID-19 relief funds.

Streator elected to take control of its ambulance service this fall by contracting personnel and billing services, as well as buying and owning vehicles and equipment after AMT proposed it would need $400,000 in 2022-2023 to continue operating 911 ambulance service in Streator. The compensation would hike $100,000 in each of the next three years. Under that arrangement, the city would not have control over billing services.