The Central Lincoln County Ambulance Service Board approved a new formula for determining each town’s required budget for emergency response during a special meeting on Dec. 6.
Starting in 2023, the formula for calculating how much residents in each town owe in taxes will be an even split between call volume, population, and property valuation.
The current calculation of cost to each town, which is passed to residents in taxes, is an even split between call volume and valuation. Board members voted in a previous meeting and confirmed on Dec. 6 that the current calculation would remain in place for the year 2022.
Each town that owns the service and sits on the board had one vote, while towns that have a contract for service with CLC Ambulance Service do not vote.
The new formula for splitting the service’s budget passed 4 to 1, with the towns of Bristol, Newcastle, Nobleboro, and South Bristol voting in favor of the change to incorporate population, and Peter Goth, an emergency physician, on behalf of the town of Bremen voting against the change.
The town of Damariscotta abstained as there was not a representative present.
The board members will bring the new calculation as part of the new inter-local agreement to town board of selectmen meetings to finalize the new agreement, which will need support from residents, as well.
The majority of the towns originally wanted to keep the current system in place, but South Bristol Selectman Chester Rice said his residents are “paying twice what every other town is paying,” despite having the lowest emergency call numbers.
He suggested an even split between call volume from the town of origin of the resident, instead of the origin of the accident, which is how the CLC service currently operates, which Bristol Selectman Joseph Rose said would be a logistical “nightmare.”
Most other public services, such as fire departments and schools, are based on property tax valuation, Nick Bryant, the service chief, said.
“It’s how you level the playing field, please don’t lose sight of that,” Bryant said.
Because of its many shopping centers, Damariscotta is responsible for covering many of the emergency calls, making its cost for the ambulance service high compared to most of the other towns.
However, the number of calls based on residency ranges so widely year to year, one sick person who needs emergency transportation between their home and the hospital in a year could alter the valuation of what each town owes, Bryant said.
The current formula was updated 10 years ago to include the town of origin of the calls instead of just the tax valuation of the town after it was requested by the town of South Bristol.
The South Bristol Board of Selectmen is considering pulling out of the contract if the cost difference wasn’t leveled out, which could “potentially be the end of the service,” Rice said.
But private ambulance services are more costly, and despite the budget increase for CLC to help retain and recruit workers that are burning out from low pay for double shifts, the cost is low compared to other options, Goth said.
In one year, the ambulance service bills about $1 million in emergency service calls, but in reality only makes about $300,000 back, Bryant said. “Transfers are where we make up our profit.”
Bryant presented several different scenarios and options for splitting the cost of the ambulance service that board members had suggested in the past, including basing it on call volume and population alone, or 50% call volume, 25% population, and 25% tax valuation. But board members compromised on an even split between all three factors.
“I don’t like it, but I’m not going to say no,” Rice said. “It’s $10,000 cheaper than what I’ve got now.”
Newcastle Selectman Tor Glendinning said the compromise is worth it despite some towns, such as Nobleboro and Bristol, paying slightly more to make it work because “we need everyone at the table,” including South Bristol selectmen.
Though the board had previously voted to maintain the current payment system for the following year, Rice said the town’s taxes would be raised disproportionately high compared to other towns that own the service, given the roughly $350,000 increase in next year’s budget to pay emergency medical response workers higher wages.
The ambulance service sent request letters to each town last month with their bills for the 2022 fiscal year, and Bryant said he was concerned about sending out letters again asking for more money from towns based on a new calculation for the current year.
South Bristol should pay the $10,000 next year to save $100,000 over the next 10 years of the inter-local agreement.
But Rice said the change “shouldn’t be postponed any further.”
But board members voted to maintain the current calculation for next year.
“I can’t in good conscience vote to change it next year if we already agreed not to,” said Ellen McFarland, the Newcastle representative to the board.
