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Pa. Ambulance Service Seeks Tax Lifeline

Matthew Nojiri

Oct. 01--Matthew Stairiker says the Lower Alsace Ambulance Association is facing major financial challenges at every turn.

The cost to drive to emergency calls is rising, while the payments from Medicare and Medicaid to handle those calls have remained flat.

A decline in volunteers has meant more paid emergency medical technicians are filling scheduling gaps, and repairing an aging ambulance cost the association $10,000 this year.

"Operating with no cushion is very scary," said Stairiker, president of the ambulance company. "It's a struggle to make payroll."

Stairiker is asking officials from Lower Alsace Township and Mount Penn to consider a new emergency services tax to help the association cover its costs.

The tax probably won't come in time for next year, Stairiker said, but he hopes the municipalities will consider it for 2014.

"The money just isn't there for us right now, and we've been struggling desperately," said Buddy Ward, vice president of the ambulance company.

The association provides 24-hour ambulance service in Lower Alsace and Mount Penn and handled about 900 calls in 2011.

The company has a budget of about $380,000 and is mostly funded through its membership drives and insurance reimbursement for taking emergency calls, Stairiker said.

During a recent Mount Penn Borough Council meeting, Stairiker estimated the association was running a $10,000 deficit this year.

"We're just kind of bleeding down what was a great capital reserve," he said. "We had a good capital reserve fund for many years."

The association recently refinanced its mortgage on its station in Lower Alsace and took out a line of credit just to make weekly payroll, Stairiker said.

The ambulance company is looking for ways to increase revenue. One option, Stairiker said, would be to upgrade the association's status so it could handle more emergency calls for things like cardiac care.

The move would mean hiring a paramedic and adding some equipment, but the upside could be more revenue.

Lower Alsace officials said they were interested in helping, but it's too late to levy an emergency services tax for 2013. The township gives the association $14,000 a year and plans to increase its donation for 2013, said township Supervisor Todd Weikel.

"At this point, we're just trying to help them out," Weikel said.

Weikel said the township would likely ask Mount Penn to match its donation.

During a recent borough council meeting, members said they wanted more time to look at the association's budget. They plan to talk to the Lower Alsace officials.

"We just got this (the association's budget) tonight," said Councilman Dennis Swartz. "I want to digest it. I want to look at the numbers."

Ward said the ambulance association will need help from both municipalities.

"We don't know how we are going to continue to operate in the future if both municipalities don't pull together for us," he said.

Contact Matthew Nojiri: 610-371-5062 or mnojiri@readingeagle.com.

Copyright 2012 - Reading Eagle, Pa.

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