History of SHAESA
Ambulance Division
Prior to 1973 the ambulance service was
provided through the Van Buren County Sheriffs
Department via roving ambulances and a sub
station at South Haven Township Hall. In
1973 the Sheriff's department turned the
service over to local units of government
and Van Buren County passed a ½ mil
ambulance tax to be given to several ambulance
districts. The county tax was divided and
distributed between each ambulance district
on a per capita base. These districts or
ambulance services were operated by fire
departments, VBEMS and South Haven Township.
South Haven Township Ambulance provided
services to the City of South Haven, South
Haven, Casco and Geneva Townships. Whenever
the township ambulance was in service the
City fire department provided a back-up
ambulance using their rescue truck.
In 1979 South Haven Township asked the
City Fire Chief to take over daily oversight
and operations of the Ambulance Service.
The townships three employees and a new
ambulance were placed in the city's fire
station. When the ambulance responded to
a call one township employee and one of
the city's firefighters staffed the rig.
Then in 1980 the township added one more
employee under a federal grant program known
as CETA to provide additional time off for
their employees.
The City agreed to take over the ambulance
service in 1982. The township agreed to
transfer to the city over $70,000 of fund
balance. This money was then used to purchase
a new ambulance. The four township employees
were hired by the city and the city's firefighters
who where not trained as an EMT received
their medical training bringing the total
crew of Firefighter/EMT to twelve.
Through the late eighties and early nineties
ambulance revenues from service charges
deceased steadily. Changes in Medicare &
Medicaid were primary causes, unpaid collectables
and increasing overhead accounted for the
other causes. Medicare went through many
changes and services providers could choose
to accept what Medicare approved (Medicare
Provider) or not to participate and bill
the patient the full amount of the service
given. VanBuren County, South Haven Hospital
and our area doctors reported a 70% Medicare/Medicaid
customer base.
For instance a bill for ambulance service
may be $250.00, Medicare may approve 60%
or $150.00 and of this total they would
pay 80% or $120.00. If the patient had a
Medicare part B rider, they would pay the
$30.00 difference if the patient had met
his/her
deductible. As a Medicare provider the check
for either 120 or 150 dollars would be sent
directly to us and we could not bill for
the balance of the $250.00. If we did not
participate Medicare would send the check
of 120 or 150 to the patient and we could
bill for the full $250.00. In 1991 with
input from our independent billing company
it was decided not to participate in Medicare
in order to decrease the amount of write
downs & write offs (the amounts Medicare
did not approve).
What we had anticipated was an increase
in revenue but what actually happened was
an increased in hardship to our older customers.
Many being on a fixed income would pay anywhere
from $5 to $15 dollars a month to payoff
their balance, some couldn't pay at all
and very few could pay it all. What actually
happened was the billing company after a
few months would write off the balances
and our revenues did not increase. We did
however increase the financial and emotional
stress to our older population. In 1998
the SHAESA Board hired a new billing company
and we began once again to accept Medicare.
In 2000 new rules were adopted by Medicare
and the Federal Government and every ambulance
company must be a provider (accept Medicare).
Also in 2000 we became an advance life support
(paramedic) agency and we believe this will
provide some relief by increasing what Medicare
will approve in our billings. Medicaid is
mandatory and we must accept what they approve
to pay us. At this writing we are paid a
$119.00 flat fee.
At the end of fiscal year 1989 the ambulance
budget had a thirty thousand deficit and
each succeeding year that amount climbed
ten thousand more. It was decided to increase
ambulance billing rates and we assumed that
additional revenues would be received from
these increases. These rate changes were
placed in the budget but were actually uncollectable
from at least 70% of our customers there
by compounding the annual deficits. By 1992
the city asked for a ten dollar per capita
from each township and then in 1993 they
requested a seventeen dollar per capita
subsidy. Prior to 1992 the townships paid
a contractual amount of approximately $3.00
per capita while the City's residents were
paying $27.00 per capita. It was decided
by all parties (Casco, South Haven &
Geneva Townships and the City) to explore
other options for ambulance service. An
Ambulance Study Committee was formed and
met over the next four years.
Fire Division
The South Haven Fire Department was organized
in 1888 and employed a fulltime fire warden
known now as the Fire Chief. Records show
that in the 1920s the department had four
fulltime drivers and five part-time firefighters.
The City fire services were also provided
to Casco, South Haven and Geneva Townships
via contracts. In 1957 Casco Township decided
to have their own fire department and their
first station was built at the intersection
of 64th street and 107th avenue. By the
late fifties and through the mid seventies
the City fire department had eight fulltime
firefighters, a fulltime Chief and up to
seventeen part-time firefighters.
In 1982 the South Haven Fire Department
was operating the ambulance service and
through contracts were providing ambulance
service to Casco, South Haven and Geneva
Townships. Casco also contracted for the
fire department to act as the first response
unit to their southwest lower corner of
the township in 1984. During the mid eighties
many of the Casco and South Haven firefighters
trained together, I believe that this helped
in the merger of the two departments.
During the late eighties and early nineties
budget deficits in the ambulance division
took funds from the fire division in an
attempt to balance the ambulance budget.
There were no cash reserves targeted at
apparatus or critical equipment replacement.
The city had three new trucks and a new
fire station to pay for and with the removal
of funds to the ambulance budget few if
any necessities could be purchased. With
the formation of the Ambulance Study Committee
in 1992 it was clear that any changes made
in the ambulance service would conversely
affect the fire service also.
Ambulance Study Committee
This committee was appointed from each
governmental unit and was comprised of members
from each unit's board or council. The first
meeting was held in 1992 and the committee
would meet every other week and sometimes
twice a week for the next few years. Quotes
from private and public ambulance services
were received along with service level studies.
In the proposals the private firms would
reduce the number of ambulances increasing
response times to second and third calls.
The department had and still requires station
#3 (City fire station) to be minimally staffed
with two. This requires calling in off duty
staff and part-time personnel when less
than four persons are on duty. It was decided
that it was in the best public interest
to keep the fire and ambulance service together
and that it be operated by a municipality
and not a private firm. The committee made
a milestone decision in 1994 to hire a consulting
firm to study the feasibility of creating
a joint fire and ambulance service.
David M. Griffith consulting was hired
to prepare a study of the fire and ambulance
service and give the committee a recommendation
for implementation of a joint governmental
service. Included in the study were; a time
line for implementation, a first year budget
with a capital replacement component and
what legal basis to follow. The report was
accepted in late 1994 and the decision to
form an Authority through the Michigan Urban
Cooperation Act was agreed to by all governmental
units by mid October 1995.
The new authority was to start operations
on January 1, 1996 giving the committee
only a few short months to get all necessary
matters in place. One of the first was the
appointing of the Authority Board members
from each governmental unit and choosing
a name for the legal documents needed.
South Haven Area Emergency Services
Authority
The first SHAESA Board was comprised of
members from the Ambulance Study Committee.
At their first meeting members installed
Robert Freye as Chairman, Ross Stein as
Vice Chair, Alan Overhiser as Secetary,
Linda Irwin as Treasurer and Alan Vanderberg
as Administrator. The board also approved
Randy Van Wynen as the Executive Director
(aka Fire Chief).
At the first board meeting approvals for:
the first years budget, the lease &
equipment agreements with Casco and the
City, the administrative agreement with
the City and a labor contact with the union
were approved. Under the agreement no employee
would be placed in a worse position and
service levels could not be reduced. .
While many of the consultant's findings
were used the Chief recommended not to reduce
the fulltime staff to eleven and place them
into a three-shift system or to use the
proposed equipment recommendations. The
board agreed to keep the staff at twelve
and to retain two shifts in order to provide
the maximum number of personnel on duty
and reduce the probability of increasing
overtime. Board meetings are currently held
at 7pm on the first Wednesday of the month
at fire station #3.
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