Item G1BOARD OF COUNTY COMMISSIONERS
C ounty of M onroe A(I Mayor George Neugent, District 2
T he Fl orida Keys 4� �� m Mayor Pro Tem David Rice, District 4
l Danny L. Kolhage, District I
„ Y
„; ° W Heather Carruthers, District 3
Sylvia J. Murphy, District 5
County Commission Meeting
June 21, 2017
Agenda Item Number: G.1
Agenda Item Summary #2789
BULK ITEM: Yes DEPARTMENT: Fire & Ambulance District 1 Board of
Governors
TIME APPROXIMATE: STAFF CONTACT: Gary Boswell (305) 289 -6004
9:30 A.M. BOARD OF GOVERNORS
AGENDA ITEM WORDING: Approval of a resolution rescinding Resolution 114 -2014 and
setting forth the revised bonus [financial incentive] program for Monroe County Fire Rescue Billing
Contract Employees.
ITEM BACKGROUND: A revision of the financial incentive program in order to define Net
Collections and to specify that net collections will be used to measure billing collection
performance.
PREVIOUS RELEVANT BOCC ACTION: At the June 2014 meeting the Board of County
Commissioners passed Resolution 100 -2014, and the Board of Governors passed Resolution 114-
2014, in order to establish a financial incentive program in order to incentivize the employees to
increase collections.
CONTRACT /AGREEMENT CHANGES:
Rescinding BOG Resolution 114 -2014
STAFF RECOMMENDATION: Approval
DOCUMENTATION:
Fire Rescue - Bonus (financial incentive) program - Revised BOG Resolution 2017 v4 clean
Fire Rescue - Bonus (financial incentive) program - Revised BOG Resolution 2017 v4 WITH
EDITS
FINANCIAL IMPACT:
Effective Date:
Expiration Date:
Total Dollar Value of Contract:
Total Cost to County:
Current Year Portion:
Budgeted:
Source of Funds:
CPI:
Indirect Costs:
Estimated Ongoing Costs Not Included in above dollar amounts:
Revenue Producing:
Grant:
County Match:
Insurance Required:
Additional Details:
If yes, amount:
N/A
h]W TA1 IH17."
Gary Boswell
Completed
05/15/2017 1:52 PM
James Callahan
Completed
05/15/2017 2:02 PM
Pedro Mercado
Completed
05/15/2017 8:58 PM
Budget and Finance
Completed
05/16/2017 10:02 AM
Kathy Peters
Completed
05/16/2017 12:42 PM
Board of County Commissioners
Pending
06/21/2017 9:00 AM
RESOLUTION NO. -2017
A RESOLUTION BY THE MONROE COUNTY BOARD OF
GOVERNORS RESCINDING RESOLUTION 114 -2014 AND
SETTING FORTH THE REVISED BONUS [FINANCIAL
INCENTIVE] PROGRAM FOR MONROE COUNTY FIRE
RESCUE BILLING CONTRACT EMPLOYEES.
WHEREAS, in February 2014, the Monroe County Board of County Commissioners
( "BOCC ") and the Board of Governors of Fire and Ambulance District No. 1 ( "Board of
Governors ") approved an employment agreement for the position of Billing Supervisor, in order
to bring the function of billing and collection for Monroe County Fire Rescue ground and air
ambulance runs in- house; and
WHEREAS, in April 2014, the BOCC and the Board of Governors approved an
employment agreement for the position of Billing Specialist, also for the purpose of bringing the
function of ambulance billing and collection in- house; and
WHEREAS, both employment agreements set a base salary for each position, and then
state that in lieu of any annual merit or cost -of- living adjustment, the employees will be eligible
for a financial lump sum incentive based upon billing and collections performance; and
WHEREAS, in July 2014, the BOCC passed Resolution 100 -2014 and the Board of
Governors passed Resolution 114 -2014 in order to establish a financial incentive program in
order to incentivize the employees to increase collections; and
WHEREAS, staff desires to revise the financial program in order to define net
collections, and to specify that net collections will be used to measure billing collection
performance.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF GOVERNORS OF
MONROE COUNTY, FLORIDA, THAT:
Section 1. Resolution 114 -2014 is hereby rescinded in its entirety.
Section 2. Monroe County Bonus Program
1. For the purpose of this resolution, the terms "bonus" and "financial incentive" are
used interchangeably.
2. For the purpose of this resolution, the term "Collections" refers to collections from all
sources not including Medicaid.
3. For the purpose of this resolution, the term "Net Collections" refers to gross
collections from all sources not including Medicaid, net of all non - collectable
(mandatory) contractual allowances, refunds, and the write -off portion of Trauma Star
resident waivers.
4. For the purpose of this resolution, and calculation of the bonus award, the transition
from the previous performance standard and evaluation process to the standard set
forth in this resolution shall occur on July 1, 2017.
5. To account for the transition from the previous Financial Incentive Resolution
Program to this revision, the transitional evaluation time period used to calculate the
bonus award employing the previous performance standard and evaluation process set
forth in Resolution 114 -2014 shall run from May 12015 to June 30, 2017. Thereafter,
each year, the evaluation period ( "Evaluation Period ") shall run from July 1 to June
30.
6. The average collection rate for air and ground ambulance combined during the fiscal
year ending September 31, 2013, not including Medicaid accounts was 33.70%
( "Baseline Collection Rate ").
7. For every one (1) percentage point increase in Collections as a percentage of non
Medicaid billed amounts over Baseline Collection Rate achieved by the end of the
Evaluation Period, each employee shall receive a one -time lump sum bonus ( "Bonus
Amount ") in the amount of one percent (1.0 %) of the employee's unloaded base
salary, up to a maximum increase of ten percent (10 %) of the Baseline Collection
Rate, which will translate to a maximum bonus of ten percent (10 %). By way of
illustration, if Collections increase from 33.70% at the beginning of the Evaluation
Period to 38.70% measured at the end of the Evaluation Period, which is an increase
of five ( 5) percentage points, each employee would receive a bonus in the amount of
five percent (5 %) of the unloaded base salary. Note, for the purposes of this
illustration, a five percentage point increase in collections would total approximately
$340,000 in additional billing revenues and would equate to a lump sum bonus of
$5,300 for the two employees combined in the first year.
8. The bonus amounts will be calculated one time annually, at the end of the Evaluation
Period. The bonus amounts will not be added to the base salary and will not be used
for computing average weekly wage for any other purpose, including but not limited
to FRS, unemployment or workers' compensation.
9. The bonus amounts shall be paid by the BOCC and the BOG in proportion to the
amounts collected by and for each entity at the end of the Evaluation Period. Each
bonus program must be approved by the BOCC and the BOG. If, for any reason, the
bonus program is not approved by resolution by both entities, then each entity will be
responsible for paying its portion of the Bonus Amount, i.e., the total Bonus Amount,
multiplied by the percentage of Collections attributable to ground ambulance (in the
case of the Board of Governors) or air ambulance (in the case of the BOCC).
10. This bonus program shall continue from year to year until revised by the BOCC and
shall apply to proprietary function bill collections and whatever personnel hold the
position of Billing Supervisor and Billing Specialist. In subsequent years, percentage
increase in Net Collections shall be used in comparison to the Baseline Collection
Rate, and shall be the collection rate for the preceding twelve months, i.e., July 1 to
June 30.
11. To be eligible for the bonus, the employee must be employed by Monroe County on
the day that the Bonus Amount is paid out, following the end of the Evaluation
Period.
PASSED AND ADOPTED by the Board of Governors of Monroe County, this
of June 2017.
day
Representative, Norm Anderson
Representative, Clark Snow
Representative, Danny Kolhage
Representative, George Neugent
Representative, David Rice
(SEAL)
ATTEST: KEVIN MADOK, CLERK
BOARD OF GOVERNORS OF FIRE AND
AMBULANCE DISTRICT 1 OF MONROE
COUNTY, FLORIDA
:1
Deputy Clerk
KIM
Chairman
RESOLUTION NO. -2017
A RESOLUTION BY THE MONROE COUNTY BOARD OF
GOVERNORS RESCINDING RESOLUTION 114 -2014 AND
SETTING FORTH THE REVISED BONUS [FINANCIAL
INCENTIVE] PROGRAM FOR MONROE COUNTY FIRE
RESCUE BILLING CONTRACT EMPLOYEES.
WHEREAS, in February 2014, the Monroe County Board of County Commissioners
( "BOCC ") and the Board of Governors of Fire and Ambulance District No. 1 ( "Board of
Governors ") approved an employment agreement for the position of Billing Supervisor, in order
to bring the function of billing and collection for Monroe County Fire Rescue ground and air
ambulance runs in- house; and
WHEREAS, in April 2014, the BOCC and the Board of Governors approved an
employment agreement for the position of Billing Specialist, also for the purpose of bringing the
function of ambulance billing and collection in- house; and
WHEREAS, both employment agreements set a base salary for each position, and then
state that in lieu of any annual merit or cost -of- living adjustment, the employees will be eligible
for a financial lump sum incentive based upon billing and collections performance; and
WHEREAS, in July 2014, the BOCC passed Resolution 100 -2014 and the Board of
Governors passed Resolution 114 -2014 in order to establish a financial incentive program in
order to incentivize the employees to increase collections; and
WHEREAS, staff desires to revise the financial program in order to define net
collections, and to specify that net collections will be used to measure billing collection
performance.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF GOVERNORS OF
MONROE COUNTY, FLORIDA, THAT:
Section 1. Resolution 114 -2014 is hereby rescinded in its entirety.
Section 2. Monroe County Bonus Program
1. For the purpose of this resolution, the terms "bonus" and "financial incentive" are
used interchangeably.
2. For the purpose of this resolution, the term "Collections" refers to collections from all
sources not including Medicaid.
3. For ffie purpose of gals reso1utl »a., tae ten-1 - ",,let 0111 tiol -Is' refiers to ,cross
c 6i cti »a Ii °» .6 > a >t a 6 c I 'g kedica iaet o ai' i of -co lei to 6e
5. For ffie purpose of tags r sot tloi ., a -lid ca ctl1atlo »a of tae oi-Ws a tae tn'.111s tioll
I - on -i tae prex perfbn - riaiW sta lidard a act ex,ali atlola Process to the stai -,dad :set
for b 1 t ds r tdl tjt »b s aa- !H occur tab ju1V 1, 2017 ",
6. 1-o accoui —la for tae trai Isitlo »a fi -o i ffie prex lour Fl aaiac!af Incei -I m o Resdlutloll
PrO t «tai ° � ! »a, t o t ° a t »a ! t »a t l c ° > t« c 6a t0 t1a0
oi-Ws a eirip10 ffllg tae prex ious l erfo >nria We sta lidar d a -lid ex aivatio»a Process :set
f rffi 'i Reso' f oi, 114 - ')01 s aa.6 rui fi - o i klay 1 ')015 to jui 0, ')01' - Haereafie °,
each veal tai" ex l- t (»a Period (" a1uatj(»a Perl(> ") s aa.6 rui—,a fi -o 1i ju1y 1 to jui
7:
.
7 t�
7. The average collection rate for air and ground ambulance combined during the fiscal
year ending September 31, 2013, not including Medicaid accounts was 33.70%
( "Baseline Collection Rate ").
8. For every one (1) percentage point increase in Collections as a percentage of non
Medicaid billed amounts over Baseline Collection Rate achieved by the end of the
Evaluation Period, each employee shall receive a one -time lump sum bonus ( "Bonus
Amount ") in the amount of one percent (1.0 %) of the employee's unloaded base
salary, up to a maximum increase of ten percent (10 %) of the Baseline Collection
Rate, which will translate to a maximum bonus of ten percent (10 %). By way of
illustration, if Collections increase from 33.70% at the beginning of the Evaluation
Period to 38.70% measured at the end of the Evaluation Period, which is an increase
of five ( 5) percentage points, each employee would receive a bonus in the amount of
five percent (5 %) of the unloaded base salary. Note, for the purposes of this
illustration, a five percentage point increase in collections would total approximately
$340,000 in additional billing revenues and would equate to a lump sum bonus of
$5,300 for the two employees combined in the first year.
9. The bonus amounts will be calculated one time annually, at the end of the Evaluation
Period. The bonus amounts will not be added to the base salary and will not be used
for computing average weekly wage for any other purpose, including but not limited
to FRS, unemployment or workers' compensation.
10. The bonus amounts shall be paid by the BOCC and the BOG in proportion to the
amounts collected by and for each entity at the end of the Evaluation Period. Each
bonus program must be approved by the BOCC and the BOG. If, for any reason, the
bonus program is not approved by resolution by both entities, then each entity will be
responsible for paying its portion of the Bonus Amount, i.e., the total Bonus Amount,
multiplied by the percentage of Collections attributable to ground ambulance (in the
case of the Board of Governors) or air ambulance (in the case of the BOCC).
11. This bonus program shall continue from year to year until revised by the BOCC and
shall apply to proprietary ffii -Wtlo b b 111 coHlectlo bs -lid whatever personnel hold the
position of Billing Supervisor and Billing Specialist. In subsequent years, percentage
increase in Net Collections shall be used in comparison to the Baseline Collection
Rate, and shall be the collection rate for the preceding twelve months, i.e., July 1
to Atfi4 jui-W 30.
12. To be eligible for the bonus, the employee must be employed by Monroe County on
the day that the Bonus Amount is paid out, following the end of the Evaluation
Period.
PASSED AND ADOPTED by the Board of Governors of Monroe County, this
of j ui-W 2017.
Representative, Norm Anderson
Representative, Clark Snow
Representative, Danny Kolhage
Representative, George Neugent
Representative, David Rice
(SEAL)
ATTEST: KEVIN MADOK, CLERK
Deputy Clerk
day
BOARD OF GOVERNORS OF FIRE AND
AMBULANCE DISTRICT 1 OF MONROE
COUNTY, FLORIDA
Im
Chairman