Resolution 114-2014 ,
RESOLUTION NO. 114 -2014
A RESOLUTION BY THE MONROE COUNTY BOARD OF
GOVERNORS SETTING UP A 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
WHEREAS, both employment agreements 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,the billing and collections functions were brought in-house by the BOCC
and the BOG in order to increase collections; and
WHEREAS,a portion of the salary for each of the two positions (Billing Supervisor and
Billing Specialist) is paid from the BOCC budget and a portion is paid by Board of Governors
budget,because air ambulance revenues are deposited into the BOCC budget and ground-
ambulance revenues are deposited in the Board of Governors budget; and
WHEREAS,the BOCC and the Board of Governors wish to establish a financial
incentive program in order to incentivize the employees to increase collections; and
WHEREAS, Section 215.425,Florida Statutes,provides that any bonuses that will be
paid to employees for work already performed must be implemented through a policy, ordinance,
rule or resolution, which notifies the employees who will be eligible for the bonus in advance of
evlauation period of the performance standards and the evaluation process by which the bonus
will be awarded; and
WHEREAS, Section 409.913(10), Florida Statutes,provides that payments for the
services of billing agents or persons participating in the preparation of a Medicaid claim shall not
be based on amounts for which they bill or on the amount the provider receives from Medicaid
(Note: only 3.6 percent(3.6%) of Monroe County's collection revenues in the past twelve
months ending February 2014 came from Medicaid); and
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•
WHEREAS,in the past 12 months excluding Medicaid,Monroe County collected$2.3
million for combined ground and air ambulance runs,which translates to 33.7% of amounts
billed before adjustments; and
WHEREAS,it is the intent of the legislative body to describe the financial incentive
program for Fire Rescue billing personnel through this resolution.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF GOVERNORS OF
MONROE COUNTY,FLORIDA,THAT
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. The initial time period covered by this financial incentive program for Billing Supervisor
and Billing Specialist shall run from May 1, 2014 to April 30, 2015. Thereafter, each
year, the evaluation period("Evaluation Period") shall run from May 1 to April 30.
4. The average collection rate for air and ground ambulance combined during the time
period March 1, 2013 through February 28, 2014 not including Medicaid accounts was
33.70% ("Baseline Collection Rate").
5. 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.
6. 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.
7. 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
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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).
8. This bonus program shall continue from year to year until revised by the BOCC and shall
apply to whatever personnel hold the position of Billing Supervisor and Billing
Specialist. In subsequent years, the starting point, i.e., the Baseline Collection Rate, shall
be the collection rate for the preceding twelve months, i.e., May 1 to April 30.
9. 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 11th day of
June 2014.
Representative,Norm Anderson Yes
Representative, Clark Snow Yes
Representative, Danny Kolhage Yes
Representative, George Neugent Yes
Representative,David Rice Yes
0 g e&vcc;,,,>,,
-s'dA he, j BOARD OF GOVERNORS OF FIRE AND
.‘ A , AMY HEAVILIN, CLERK AMBULANCE DISTRICT 1 OF MONROE
_ COUNTY,FL
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By. G CI By. / . __
Deputy Clerk Chairman
MONROE COUNTY ATTORNEY
A ROVED AS TO FORM:
Page3of3 I,i.4+10-1
,DY HIA L. HALL
ASSISTANT COUNTY ATTORNEY
Date S- 14— ao1 f