HomeMy WebLinkAbout508_Reduing Ambulance Service CIP from 25% to 15%U LS A COUNTY CLERK - I; 0APY' HIASTINGS RCP_1 103 5 07/17/95 09:36:15
DOC' 9 95060619- Tr,E?Z-- 000 PGS 2. B/P 5728/1424-14�
CITY OF OWASSO, OKLAHOMA
015,0INANCE O. 508
BE IT ORDAINED BY THE CITY BY THE CITY COUNCIL OF THE CITY OF
OWASSO, OKLAHOMA, THAT, TO-WI]1-:
-Section 1® Part 13 - Public Safety, Chapter 2 -Fire
Department, Article C - Ambulance Service, Section 13-237 -
Establishment of Funds, Utilization of Revenues, of the Code of
ordinances of the City of Owasso, Oklahoma, is hereby amended to
provide as follows,
B. In addition to the foregoing there is hereby created
Section 2. This Ordinance shall become effective thirty
(30) days from the date of first publication as provided by State
Law.
APPROVED
T
S
this 6Jdav of 1995.
Marcia,/ Bou we11,,,' City Clerk
APPROVZD AS TO FORM:
Ronald D. Cates, City Attorney
2780-288.or3
CITY OF OWASSO, OKLAHOMA
Charles L. Burris, Mayor
9
pursuant to the provision of the Municipal Budget Act,
Section 17-201 of Title ij- of the Oklahoma Statues, a
capital improvement fund, such to be separate and apart
I
from any other existing capital improvement fund within
the city, and denoted as the Owasso Ambulance Service
M � /")E0_\
'Wef14-y-,,�4Ve pe-Ee - - _0'
Capital Improvement Fund. el �
Ln
Fifteen 12ercent (150) of all monies received for the
Ln
®
benefit of the ambulance service herein created whether
--resulting from the increased water rate herein charged,
subscription fees, service fees, donation, or grants,
=COO
shall be placed to the Owasso Ambulance Service Capital
0 X 0
Improvement Fund to be utilized solely for improvement
Cn 0
related to equipment and -facilities of the ambulance
00
04 CL
4 if
s�-'rVIce; p.0"'IC1 I _ - v __ no expenditures are made � __
from the fund within a period of five (5) years from the
date of initial deposit therein, then, in such event, no
additional accumulation therein shall occur and such
percentage amount, subsequently received, shall be paid
into the Enterprise Fund, above created, for use for the
purposes set forth in the Enterprize Fund.
Section 2. This Ordinance shall become effective thirty
(30) days from the date of first publication as provided by State
Law.
APPROVED
T
S
this 6Jdav of 1995.
Marcia,/ Bou we11,,,' City Clerk
APPROVZD AS TO FORM:
Ronald D. Cates, City Attorney
2780-288.or3
CITY OF OWASSO, OKLAHOMA
Charles L. Burris, Mayor
9
Afflidavit Of Publication
Published in the Owasso Reporter, Owasso, Tulsa County. Oklahoma, June
�+rn Tp�,q�pcqy 1995 -
STATE OF oKLAiJO A COUNTY, Y, ss: ClITY OF OWASSO, OKUU40MA
ORDINANCE NO. SW
Bill R. Retherford, of lawful age, being duly sworn
and authorized, says that he is the publisher of the
OWASSO REPORTER _ ' a weekly
ne,vspnper printed in the city Of
OWASSO
'alslsa County, Oklahoma, a newspaper qualified to
rlrntices, advertisements and publications
as provided in Section 1J6 of Title 25, Oklahoma
Statutes 1977 i and 1983 as amended, and thereaRer,
and complies with all other requirements of the laws
OF Okir Ilona w -, th reference to lsgal publications.
7,int said notice, a true copy of which is attached
hereto, was published in the regular edition of said
news,miper during; the period and time of publication
and not in a supplement, on the following dates:
JUNE 15 1199 5
useraei! d s�o:^n'to before me is 15th
da cif �a June 199 5
Notary Public
�; � � ..•.�� y' - March 20, 1997
h'ly � t assl�ai expilres:
PUBLISHER'S FEE $53,20
AN ORDINANCE RELATING TO PART 13 _ PUBLIC SAFETY,
CHAPTER 2 - FIRE DEPARTMENT, ARTICLE C - AMBULANCE
SERVICE, SECTION 13-237 - ESTABLISHMENT OF FUNDS, UTI-
LIZATION OF REVENUES, OF THE CODE OF ORDINANCES OF
THE CITY OF OWASSO, OKLAHOMA. AMENDING SECTION 13-
237 B BY REDUCING THE OWASSO AMBULANCE SERVICE CAPI-
TAL IMPROVEMENT FUND FROM TWENTY -FIVE PERCENT (25 %)
TO FIFTEEN PERCENT (15 %), AND DECLARING AN EFFECTIVE
DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF OWAS-
SO, OKLAHOMA, THAT, TO -WIT:
Section 1. Part 13 - Public Safety, Chapter 2 - Fire Department, Article C
- Ambulance Service, Section 13-237 - Establishment of Funds, Utilization
of Revenues, of the Code of Ordinances of the City of Owasso, Oklahoma,
is hereby amended to provide as follows,
B. in addition to the foregoing there is hereby created pursuant to the
provision of the Municipal Budget Act, Section 17 -201 of Title it of the
Oklahoma Statues, a capital improvement fund, such to be separate and
apart from any other existing capital Improvement fund within the city, and
denoted as the Owasso Ambulance Service Capital Improvement Fund.
Fifteen percent (15 %) of all monies received for the benefit of the ambu-
lance service herein created whether resulting from the increased water
rate herein charged, subscription fees, service fees, donation, or grants,
shall be placed to the Owasso Ambulance Service Capital Improvement
Fund to be utilized solely for improvement related to equipment and facili-
ties of the ambulance service; provided, however, if no expenditures are
made from the fund within a period of five (5) years from the date of initial
deposit therein, then, In such event, no additional accumulation therein
shall occur and such percentage amount, subsequently received, shall be
paid into the Enterprise Fund, above created, for use for the purposes set
forth in the Enterprise Fund.
Section 2 This Ordinance shall be come effective thirty (30) days from
the date of first publication as provided by State Law.
APPROVED this 61h day of June, 1995.
SEAL
ATTEST:
/s/ Marcia Boutwell
Marcia Boutwell, City Clerk
APPROVED AS TO FORM:
/s/ Ronald D. Cates
Ronald D. Cates, City Attorney
CITY OF OWASSO, OKLAHOMA
/s/ Charles Burris
Charles Bums, Mayor
. - v3
MEMORANDUM
TO: THE HONORABLE MAYOR AND CITY COUNCIL
CITY OF OWASSO
FROM: RODNEY J RAY
CITY MANAGER
SUBJECT: REQUEST TO REDUCE TRANSFER TO AMBULANCE CAPITAL
FUND
DATE: June 1, 1995
BACKGROUND:
The Owasso City Council adopted Ordinance #369 on June 16, 1987, wherein a two dollar
ambulance surcharge was added to each water customer's monthly bill. That surcharge was to
be set aside for use by the City to partially fund the emergency ambulance service operated by
the Owasso Fire Department. In establishing the surcharge, the ordinance also mandated that
two funds be created to receive and disperse the revenue generated. One fund, the Ambulance
Service Fund, was to receive all of the revenue generated by the ambulance service (surcharge,
billings, etc). That fund would then transfer 25 % of all revenue to a second fund set up to hold
money for the ambulance's capital needs (major equipment such as ambulances, defibulators,
etc) and known as the Ambulance Capital Fund.
Since 1987 the system has worked exceedingly well. Our emergency medical service is
adequately funded in terms of supplies and equipment. Additionally, the fund transfers $158,000
per year to the General Fund to support about 57% of the salaries for emergency service
technicians (the General Fund subsidizes all ambulance salaries with a contribution of the
remaining 43 %).
In 1993, the City Council adopted Ordinance #469 that allowed the City to begin using a "third
party billing" system. Under that ordinance, the City began billing insurance companies of
patients transported for the ambulance services provided. In cases where patients do not carry
insurance, no billings are made and the service is provided for only the two dollar surcharge.
Revenue projections for FY 1995 -96 include $100,000 to be generated by the third party billing
charges. That represents a significant increase over past years when revenues were generated
using only the surchage and direct billings to patients who were not covered by the surcharge.
As a result of the increased revenue, the projections for transfers to the Ambulance Capital Fund
indicated the fund would have excess money in relation to the projected needs of the
Ambulance Capital Fund
June 1, 1995
Page 2
department's ten year capital plan. Conversely, the Ambulance Service Fund is having trouble
keeping adequate reserves and meeting the needs of the service in terms of materials and
supplies and training.
During the budget preparation process, the staff reviewed the funding sources and revenue
projections for the ambulance services. As a result of that review, it was determined that the
25% transfer from the Ambulance Service Fund to the Ambulance Capital Fund was in excess
of the service's needs and should be reduced. However, it was also noted that a reserve should
be maintained in the capital fund to address unanticipated problems or emergencies. An analysis
of the department's ten year capital plan and reserve needs was then conducted and a
determination made as to the amount of transfer required to meet those needs.
Based on that analysis, the staff believes a 15 % transfer of all revenues generated by the
ambulance service charges is sufficient to fund the ambulance capital needs for the next ten years
and continue to maintain a strong reserve for emergencies. Additionally, the reduced transfer
will allow the Ambulance Service Fund to better meet its needs in the areas of materials,
supplies, training, safety and emergency reserves.
In actual dollars, the impact of this request will be to reduce the projected annual transfer from
$63,000 to $37,800. However, even with the reduced transfer and after purchase of a complete
new ambulance (chassis and box), the Ambulance Capital Fund should end FY 1995 -96 with a
$65,628 reserve. That increase will be saved for the next ambulance purchase (FY 1998),
replacement of equipment, and unanticipated emergencies.
The staff conclusion is that the reduction of the transfer to the capital fund will have a "bottom
line" impact of better allocating financial resources to the areas of need while still providing for
capital needs and reserve needs. The reduction in the transfer will not reduce the allocated funds
to the emergency medical service nor will it offset the use of general funds. All monies
generated by the surcharge, billings and third party billings will continue to be used to subsidize
the ambulance service.
RECOMMENDATION:
The staff recommends Council adoption of Ordinance #508, wherein the transfer of 25% of all
revenue generated by the ambulance surcharge and billings to the Ambulance Capital Fund is
reduced to 15%.
Ambulance Capital Fund
June 1, 1995
Page 3
ATTACHMENTS:
1. Ordinance #508 (Proposed Amendment)
2. Ordinance #369 (Original Ordinance)
3. Ordinance #469 (Allowing Third Party Billing)