Loading...
Item H2BOARD OF GOVERNORS FIRE AND AMBULANCE DISTRICT 1 AGENDA ITEM SUMMARY Meeting Date: July 15, 2015 Department: Emergency Services Bulk Item: Yes X No Staff Contact /Phone #: Chief, James Callahan Deputy Chief, Gary Boswell 289-6088 AGENDA ITEM WORDING: Approval of resolution amending Resolution 114-2014, regarding bonus [financial incentive] program for Monroe County Fire Rescue billing contract employees, to clarify the baseline collection time period. ITEM BACKGROUND: Paragraph 4 of Board of Governors Resolution 114-2014 stated that in the 12 months through February 2014, excluding Medicaid, Monroe County had collected $2.3 million out of $6.8 million total billed by ADPI for combined ground and air ambulance runs, which translated to 33.7% of amounts billed; it has come to the attention of staff that the 33.7% collection rate mentioned in the paragraph was based on fiscal year 2013 and not for past-12-months ending February 28, 2014. PREVIOUS RELEVANT BOG ACTION: At the July 16, 2014 meeting, the the Board of Governors passed Resolution 114-2014, Item G2, in order to establish a financial incentive program, in order to incentivize the employees to increase collections. CONTRACT/AGREEMENT CHANGES: STAFF RECOMMENDATIONS: Approval TOTAL COST: N/A INDIRECT COST: N/A BUDGETED: Yes X No DIFFERENTIAL OF LOCAL PREFERENCE: N/A COST TO COUNTY: N/A SOURCE OF FUNDS: Billing Collections REVENUE PRODUCING: Yes X No AMOUNT PER MONTH Varied Year 2014 APPROVED BY: County AttorneyCR OMB/Purchasing Risk Management DOCUMENTATION: Included Not Required DISPOSITION: AGENDA ITEM # Revised 6/15 RESOLUTION NO. -2015 A RESOLUTION BY THE MONROE COUNTY BOARD OF GOVERNORS AMENDING RESOLUTION 114-2014 REGARDING THE BONUS [FINANCIAL INCENTIVE] PROGRAM FOR MONROE COUNTY FIRE RESCUE BILLING CONTRACT EMPLOYEES TO CLARIFY THE BASELINE COLLECTION TIME PERIOD. 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, paragraph 4 of Resolution 114-2014 stated that in the 12 months through February 2014, excluding Medicaid, Monroe County had collected $2.3 million out of $6.8 million total billed by ADPI for combined ground and air ambulance runs, which translated to 33.7% of amounts billed; and WHEREAS, it has come to the attention of staff that the 33.7% collection rate mentioned in the paragraph above was based on fiscal year 2013 and not for past-12-months ending February 28, 2014, and staff wishes to correct this scrivener's error. NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF GOVERNORS OF MONROE COUNTY, FLORIDA, THAT 1. Paragraph 4 of Resolution 114-2014 is revised to read as follows: The average collection rate for air and ground ambulance combined during the -fiscal year ending September 30, 2013, not including Medicaid accounts was 33.70% ("Baseline Collection Rate"). 2. In all other respects, Resolution 114-2014 is unchanged. PASSED AND ADOPTED by the Board of Governors of Monroe County, this July 2015. Representative, Norm Anderson Representative, Clark Snow Representative, Danny Kolhage Representative, George Neugent Representative, David Rice (SEAL) ATTEST: AMY HEAVILIN, CLERK HA Deputy Clerk day of BOARD OF GOVERNORS OF FIRE AND AMBULANCE DISTRICT 1 OF MONROE COUNTY, FL 1.2 Representative MONROE COUNTY ATTORNEY APPROVED AS TO FORM Assistant County Attorney 2 RESOLUTION NO. 1 F4 4014 A RESOLUTION BY THE MONROE COUNTY BOARD OF ''GOVERNORS, SETTING UP A BONUS [.FINANCIAL INCENTIVE] PR©GkAM 40R 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. I ("Board of Governors") approved an employment agreement for the position of Biding 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 Hiding 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 incentivue 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 evaauation 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 Page 1 of 3 C WHEREAS, in the past 12 months excluding Medicaid, Monroe County collected S2.3 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 I. 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 fi-cm 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 il�iarch l� '�013 lhro h Fel teary28, QUa not including Medicaid accounts was 33 70° {"13asluae Collectin Rati+'') 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 $5,300 for the two employees combined in the first year. 6. The bonus amounts will be calculated one time annually, at the end of the Evaluation Period. The bonus amounts will not be added to the base salary and will not be used for computing average weekly wage for any other purpose, including but not limited to FRS, unemployment or workers' compensation. 7. The bonus amounts shall be paid by the BOCC and the BOG in proportion to the amounts collected by and for each entity at the end of the Evaluation Period. Each bonus program must be approved by the BOCC and the BOG. K for any reason, the bonus program is not approved by resolution by both entities, then each entity will be responsible for Page 2 of 3 paying its portion of the Bonus Amount, i.e., the total Bonus Amount, multiplied by the percentage of Collections attributable to ground ambulance (in the case of the Board of Governors) or air ambulance (in the case of the BOCC). 8. This bonus program shall continue from year to year until revised by the BOCC and shall apply to whatever personnel hold the position of Billing Supervisor and Billing Specialist. In subsequent years, the starting point, i.e., the Baseline Collection Rate, shall be the collection rate for the preceding twelve months, i.e., May 1 to April 30. 9. To be eligible for the bonus, the employee must be employed by Monroe County on the day that the Bonus Amount is paid out, following the end of the Evaluation Period. PASSED AND ADOPTED by the Board of Governors of Monroe County, this llth day of ,Tune 2014. Representative, Norm Anderson Representative, Clark Snow Representative, Danny Kolhage Representative, George Neugent Representative, David Rice AMY HEAVILIN, CLERK a Deputy Clerk STATE OF FLORIDA COUNTY OF MONROE This Copy Is a True Copy or the Original on File in this Oflioe. Wkwo my Wad 94d Offkfal Seat, Thts '1th day of'Jtt A-M, 201+ AMY HEA:'ILIN Ckrk Ciocnit Coc rt ey Yes Yes Yes YR$ Yes BOARD OF GOVERNORS OF FIRE AND AMBULANCE DISTRICT I OF MONROE COUNTY, FL By: Chairman MONROE COUNTY ATTORNEY A RO Ep S FORM: Page 3 of 3 Y HIA L. HALL ASSIS ANT COUNTY ATTORNEY Data —