A request by Gold Cross EMS for an increase to the subsidy the city pays for transporting Richmond County’s indigent patients failed Tuesday on a split commission vote.
Augusta commissioners voted 5-5 on Commissioner Brandon Garrett’s motion to increase the subsidy to Gold Cross, the city’s sole emergency ambulance provider, by $950,000 to $1.6 million from the current $650,000.
Commissioners Catherine McKnight, Alvin Mason, Sean Frantom, John Clarke and Garrett voted to increase the subsidy. Commissioners Jordan Johnson, Dennis Williams, Ben Hasan, Francine Scott and Mayor Pro Tem Bobby Williams voted against it. To pass, a motion must receive six votes. Mayor Hardie Davis Jr., who could have voted to break the tie, was absent from the meeting.
Garrett said contract negotiations between the city and Gold Cross have been ongoing for more than 60 days and that Gold Cross is in a critical place with the current costs of diesel fuel and the increasing number of non-paying patients.
“And we need to make sure our citizens are provided the best care we can provide from Gold Cross,” Garrett said.
MORE: Saga with Gold Cross EMS continues
Commissioner Dennis Williams asked whether the company had provided any documentation about why they need more funding and why they need it now.
Gold Cross Vice President Steven Vincent said that the past two years with the pandemic, inflation and supply-chain disruptions have wreaked havoc on the entire emergency services industry.
“What we’re dealing with right now is the rise in fuel costs, especially diesel,” Vincent said.
When the company’s Memorandum of Understanding with Gold Cross was done two years ago, the average cost of diesel was $2.42 a gallon. Last year, it was $3.10, and now it is $5.30 a gallon.
“That’s $75,000 more a month in addition to what we’re already spending on diesel,” Vincent said. “We couldn’t plan for that two years ago.”
Medicare pays a little more than $200 on indigent calls. Medicaid pays slightly more than $100 per call.
“The rest of the $1,700 you see on a bill, we write off,” he said.
And Gold Cross receives nothing for the first 10 miles an ambulance travels on a call, which is most of them, he said.
The company prides itself on having new ambulances and replaces them every year or two, but now new ambulances are in short supply, so maintenance costs also have increased, Vincent said.
Insurance deductibles have also skyrocketed, and Gold Cross is not being reimbursed, he said.
In 2019 about 20% of the patients they transported did not pay the ambulance bill. In 2020, that number rose to 38%. In 2021, it was 41%. And this year, 51% of patients do not pay.
“What we’re asking for is immediate relief and to continue contract negotiations, Vincent said.
He also noted that when Gold Cross transports a patient and they don’t pay, that patient can call the next day, and Gold Cross responds.
“In Augusta, if you don’t pay your property taxes, what happens?” he asked. “If you don’t pay your water bill, your water gets cut off.”
God Cross’s automobile and workers comp insurance costs have also risen as much as $200,000 to $300,000 a year, Vincent said.
Commissioner Alvin Mason said he’d brought up the subsidy issue in April.
“This should not be new to anyone,” he said. “We are in a partnership, and we need to ensure our community is covered. We also have to have accountability. More sooner than later this contract needs to be put in place. That ensures accountability. That holds a person accountable.”
MORE: Augusta Commission asks committee to look at Gold Cross contract
Mason said commissioners need to stop looking at the city and Gold Cross as having an adversarial relationship.
“We tried to do this ourselves and did a very poor job,” he said, referring to the city’s recent failed attempt to have the fire department take over ambulance service.
“I am in favor of assisting our partners, so that we can take care of our community,” Mason said.
Commissioner Ben Hasan said the commission has allowed Gold Cross to make adjustments, including increasing the amount it charges per mile to $28 per mile from $16.50 last year.
“We’re not partners with Gold Cross,” he said. “Let me be very clear about that. In 2005, when Gold Cross came in, Richmond County was in charge of our own ambulance service. In 2011-2013, we became co-owners of the zone. In 2014, Gold Cross became outright owners of the zone. The state clearly made mention that Augusta don’t owe Gold Cross a dime. We’re trying to give a subsidy to take care of the indigent population.”
Hasan also warned commissioners they would be giving away their leverage in the ongoing contract negotiations by approving the increased subsidy.
“I’m not saying Gold Cross is not losing money,” he said. “I’m just saying nobody is talking about the quality of service we’re receiving.”
Sylvia Cooper is a columnist with The Augusta Press. Reach her at sylvia.cooper@theaugustapress.com
