HomeMy WebLinkAbout1996 04 08 Regular Item C
;.,
~OMMISSION AGENDA
ITEM
c
REGULAR X
CONSENT
INFORMATIONAL
Meeting
MGR IlrJt'f IDEPT --.!)~
Authorization /
8 April 1996
REQUEST: The Fire Department requesting the City Commission review the staffs
response to the "ANAL YSIS OF COST ESTIMATES FOR EMERGENCY
MEDICAL TRANSPORT - CITY OF WINTER SPRINGS, FLORIDA - FIRE
DEP ARTMENT PROPOSAL" Prepared for: Lifefleet Atlantic Ambulance
Service~ by: Fishkind & Associates, Inc..
PURPOSE: The purpose of this item is to assure that the City Commission is informed of all
the pertinent details regarding this issue, and to provide the Commission with
information prepared by the Department in response to the Fishkind report.
CONSIDERATIONS:
· This Commission item is needed to respond to a recently published Transportation Cost
Model prepared by Fishkind & Associates, for Lifefleet Atlantic Ambulance Service that is
being distributed to local governments by Lifefleet.
· The Fire Department intends on keeping the City Commission informed of all information
relative to this issue, and to insure that the financial safeguards that were enacted with City
Ordinance # 613 are strictly adhered to.
o The Fire Department has been providing Emergency Medical Services to the Citizens of this
community since 1974.
· The Fire Department has been providing Transport Services since January 15, 1996.
Atlantic Lifefleet Ambulance provided Transport Services to the City from January 1991 to
January 15, 1996.
o The Fishkind report maintains that the City understated the full cost of providing transport
services as a result of the City utilizing incremental cost rather than a full cost methodology.
~
· Attachment "B" reveals that the actual impact on the Fire Department budget since assuming
the transport services on January 15, 1996 is an additional $15.97 per transport. Based upon a
conservative collection rate of 50% ofthe transport fee of$184.63, the Department will
receive a net increase in revenues of$76.35 per transport. The yearly projected net revenue
for the transport service is $58,022.20 based upon a 50% collection rate and a total of760
transports.
ISSUES:
· Is there excess capacity in the Winter Springs Fire Pepartment as stated in the Fishkind
Report?
Staff agrees that the Winter Springs Fire Department has excess capacity when excess
capacity is defined as resources that can be applied to other activities without affecting the
level of service of the organization. Staff does not agree with excess capacity as used in the
Fishkind Report since the Fishkind Report fails to articulate the prohibitions on the reduction
of service levels in their utilization of the concept of excess capacity.
Fishkind's use of the excessive capacity concept suggest that the excess capacity could be
eliminated without resulting cost. This is not true in Winter Springs since none of the excess
capacity available for transport services can not be eliminated from the Fire Department
budget without corresponding reduction of service levels.
· Are the incremental costs provided by the City accurate?
The Fishkind Report states that the incremental costs prepared by the City "are a reasonable
basis for estimating the incremental cost". Staff agrees with the Fishkind Report.
· Was the City's cost analysis compiled on the basis of a "full cost" model?
The Fishkind report states that the City's analysis of cost was provided on the basis of
incremental cost rather than a full cost basis. Staff agrees with the Fishkind report. Staff never
represented that its analysis was based upon a "full cost" cost model.
However, staff does not agree that a "full cost" model is applicable to the question of whether
the City should take over emergency transport. Although the "full cost" model presented in
the Fishkind report is an interesting academic exercise, it does not address the real issue
involved in the questions of the feasibility of the City taking over emergency transport.
If the issue was something similiar to "would it be more cost effective to utilize the excess
capacity in the Fire Department to perform expanded fire prevention activities or to maintain
fire hydrants" a full cost model would probably be more applicable.
There are many different cost models. The desired cost model should be the model that best
addresses the issues confronting the decision makers. An "incremental" type cost model is
more applicable to the issues involved in the question of the feasibility of the City of Winter
Springs taking over emergency transport, than a full cost model.
Staff believes the more pertinent issues in this question are as follows:
1. Can the City provide an equal or higher level of service?
The actual experience to date reflects that the time between the initial call for help and the
initiation of transport has decreased since the City began providing emergency transport. On
average Lifefleet arrived on the scene in 8 minutes, the City's service arrives in less than 5
minutes.
2. Can the City provide an equal or higher level of service without an any additional cost to the
taxpayer?
Experience to date reflects the out of pocket cost to the citizen has decreased from an average
of$325.00 (information provided by Seminole County) per call from Lifefleet to $184.63
from the Fire Department. This has resulted in a net savings of$140.37 to the customer.
3. Can the City provide an equal or higher level of service to the taxpayers at no additional cost
and without the need to add additional tax dollars to the Fire Department budget to provide
these services?
Actual experience to date demonstrates no additional tax dollars being required to fund these
services, and a net revenue to the Department of$76.35 per transport based upon a 50%
collection rate.
CONCLUSIONS:
1. There are many different cost models. The desired cost model should be the model that best
addresses the issues confronting the decision makers. An "incremental" type cost model is
more applicable to the issues involved in the question of the feasibility of the City of Winter
Springs taking over emergency transport, than a full cost model.
2. Experience to date indicates that the feasibility projections of the City were valid.
3. At the point in time when cost analysis suggests that the private sector can provide an equal or
higher level of service, at a lower out of pocket cost to the customers and the City, the City
will look positively toward privatizing emergency transport services again.
)'
..
FUNDING:
No additional funding is requested.
RECOMMENDATION:
The Commission accept this report and provide additional direction the Commission
deems necessary.
ATTACHMENTS:
Attachment "A" - ANALYSIS OF COST ESTIMATES FOR EMERGENCY
MEDICAL TRANSPORT - CITY OF WINTER SPRINGS, FLORIDA - FIRE
DEPARTMENT PROPOSAL.
Attachment "B" - Fire Department Transport Report dated 1 April 1996
COMMISSION ACTION:
Attachment
"A"
EiSHKiND
& ~IATES
EII'E'" .,
w..... .,~ . ~: ~ ':'>~"t ..,~
~t:: . <:' ~~':~
, -,., . ':. . -~
~'."'..""
'.0...
J:;:
ANALYSI.S OF COST ESTIMATES
FOR EMERGENCY MEDICAL TRANSPORT
CITY OF WINTER SPRINGS, FLORIDA
FIRE DEPARTMENT PROPOSAL
PREPARED FOR:
L1FEFLEET ATLANTIC
PREPARED BY:
FISHKIND & ASSOCIATES, rNC.
12424 RESEARCH PARKWAY, SUITE 275
ORLANDO, FLORIDA 32826
407 -382-3256
MARCH 6, 1996
~~ . Research Parkway. Suite 275, Orlando, Florida 32826 . (407) 382-3256 . FAX (407) 382-3254
ATTACHMENT "A"
. f . f
-:
EXECUTIVE SUMMARY
ANALYSIS OF COST ESTIMATES
FOR EMERGENCY MEDICAL TRANSPORT
CITY OF WINTER SPRINGS
(1) Incremental cost per transport will be $342 per trip not $185 per trip
Winter Springs reports that the cost per transport will be $184.63.
However, this estimate understates the true costs to the City. The
estimate fails to account for overhead, fringe benefits, retirement costs,
maintenance, and operating costs. Furthermore, even this estimate of
$342 is low because it does not count the costs of using excess capacity
in the Fire Department.
(2) Revenue shortfall will range from $91,000 to $101,000 per year
With revenues at $185 per trip, the City's transport service will generate
substantial losses which the tax payers of the City will have to make up.
The tax payers would be better off without the City providing transport.
(3) County subsidy not accounted for by the City
Presently, Seminloe County and the City have a mutual aid compact.
Each helps the other with first response to an emergency call so as. to
provide excellent response times and service. However, if the City
provides transport, its rescue units will be otherwise engaged. This will
force the County to provide more responses.
(4) Full cost of City Transport will be over $1,357 per trip.
The estimated cost per trip of $342 is an incremental costs which
assumes that the excess resources in the Fire Department are employed
at no cost. When the cost of using these excess resources is included,
the true full cost to the City's transportation city will be $1,357 in 1996.
(5) Methodology and data sources
A nationally recognized cost accounting model developed by the
American Ambulance Association was used to estimate the full costs of
providing transport service. The model was calibrated using data
provided by the City or taken from the City's 1995/96 budget.
1
ATTACHMENT "A"
. .
-:
ANALYSIS OF COST ESTIMATES
FOR EMERGENCY MEDICAL TRANSPORT
CITY OF WINTER SPRINGS
1.0 Introduction
LifeFleet Atlantic requested that Fishkind & Associates, Inc. conduct an
independent and unbiase.d analysis of the City of Winter Springs, Florida,
to provide emergency medical transportation services. Or focus is strictly
on the cost and revenue estimates developed by the City. We have not
examined the ability of the City to perform the services It intends. to
provide, projected response times, or examined the related operational
Issues.
Fishkind & Associates, Inc. are independent economic and financial
consultants. We have no other connection with LifeFleet Atlantic other
than this assignment. We are being paid $500 for this report and will be
compensated on an hourly basis for consultations and presentations.
All of the data and assumptions used in this report are provided herein.
The model used to conduct the analysis was developed by Arthur
Andersen LLP for the American Ambulance Association, AAA, and is in
the public domain. We believe that our results are conservative and can
be readily replicated using the model. To the maximum extent possible,
the data uses here were either provided by the City or available through
the City's budget. Whenever this in not the case, the sources and
assumptions used herein are clearly discussed.
2.0 Methodology
To evaluate the cost estimates for the City of Winter Springs to provide
emergency medical transportation services, Fishkind & Associates, Inc.
used a cost accounting model developed by Arthur Andersen, LLP for
AAA. The model is contained in a detailed computerized spreadsheet.
This model provides a detailed framework for exploring full costs, both
direct and indirect, of providing emergency medical transportation
services.
2
ATTACHMENT "A"
. .
The AAA model was developed by Arthur Andersen LLP, and it was
extensively reviewed by Professor Charles Horngren. Professor
Horngren is the Edmund W. Littlefield Professor of Accounting at
Stanford's Graduate School of Business. He concludes that the AAA
model is the appropriate model for analyzing the cost of providing
emergency medical transport services like to proposed by Winter Springs.
Fishkind & Associate"s, Inc. calibrated the AAA model using the
information provided by the Winter Springs Final Budget Fiscal Year
, 1995/96 for the Fire. Department, and with information provideq by Fire
Chief Lallathin, of the Winter Springs Fire Department.
3.0 Cost Analysis of Winter Springs to Provide Emergency Medical
Transportation Services
According to the Chief Lallathin, of the Winter Springs Fire Department, it
stated it could provide quality emergency medical transportation services
as follows:
Cost per transport
$184.63 (all inclusive)
Additional Manpower
o
Additional Equipment
2 ambulances (already purchased)
Uncollectable accounts
25%
Billing Fee
$9 per transport
We have analyzed these data developed by the City. Generally, they are
a reasonable basis for estimating the incremental costs to the City.
However, this is not a suitable basis for determining the full costs to the
City for prov}ding emergency medical transportation services. The City's
estimates must be considered only an incremental cost analysis because
their estimate assumes that the existing Fire Department has .excess
human and physical resources to contribute to the transport program.
Such resources are not without costs.
3
ATTACHMENT "A"
, ,
4.0 Results of the Analysis of the City of Winter Springs Cost Estimates
for Providing Emergency Medical Transportation Services
(1) True Incremental Cost Per Transport $342 not $185
Using the AAA model and the assumptions provided by the City as
described above, the true incremental cost of providing emergency
medical transportation services is estimated to be not $184.63 per
transport, as the City has estimated, but $342 per transport for the first.
year. The City's estimates understate the indirect costs for the operation.
The City has probably calculated the direct salary costs for their
personnel fairly accurate, along with the costs of pension benefits,
overtime, and expenses for continuing education of the staff.
A sum!TIary schedule developed from the AAA model is included in
Appendix 1. This provides the details of our analysis based upon the
City's basic assumptions.
Finally, it is important to note that this in only an incremental cost
analysis. The full cost is actually much higher when the costs associated
with utilizing the Fire Departments excess resources are included. A full
cost analysis is provided in Appendix 2.
(2) Subsidies Will Exceed $89,000 Per Year
The expected revenues flowing to the City from providing transportation
services are estimated to be about $140,000 per year initially and will rise
to over $276,000 by the year 2000. However, total costs will initially
exceed $194,000 and rise to almost $306,000 by the year 2000. As a
result, there will be an estimated deficit of almost $89,000 initially. This
deficit will jump to just over $98,000 by the year 2000. Over the first five
years of operation, the transportation service will likely cost the taxpayers
of Winter Springs almost an extra $474,000. Thus, the tax payers of
Winter Springs would be better off if the City does not enter the
emergency medical transportation business.
(3) Subsidies From Seminole County Not Included
The estimates provided here are conservative. The true deficit will be
higher than estimated here. The main reason is that there is a hidden
subsidy to Winter Springs if it provides emergency medical transportation
services. The City has a mutual aid pack with Seminole County for
4
ATTACHMENT "A"
emergency medical services. When there is a call in the City, the City's
EMS units provide the first response. If a City unit is on a call and
another City unit is either unavailable or too far away, then a County unit
is dispatched.
Winter Springs has commenced transporting victims. In doing so, that
City unit will be out of service while it is transporting the patient.
Transportation and follow-up will likely take the unit out of service for
approximately 60 minutes. This will place a greater burden on the
remaining City units and will result in a higher probability that .a County
unit will be called to provide service to a City resident. Since the County
does not charge for such first response service to the City under the
current mutual aid compact, the City receives a subsidy from the County
when the City unit is on a transport and the County must respond.
Depending upon the transportation load the City experiences, the County
may be required to add resources to meet the augmented service calls.
This cost has not been included in the analysis presented here. .
(4) Cost Estimates Provided are Only Incremental Costs Not Full
Costs for the Service
The cost estimates presented in this report are based upon the City's
estimates of how it will staff its transportation service. The City claims it
can provide full service with existing staff, along with two transport
vehicles. This is insufficient to staff an emergency transportation service
24 hours per day, 365 days per year.
This means that the City will rely on its excess capacity in the Fire
Department to provide much of the transportation related resources
necessary to staff and equip a full-time emergency transportation service.
On a stand alone basis, a full-time emergency medical transportation
service would likely require a staff of 12, with two ambulances. Appendix
2 provides a summary analysis of such a service using the AAA model.
The cost per transport would exceed $1,357 on a full cost basis, based
upon the City's expected level of transportation requirements. Clearly,
this would not be cost effective. However, it does reflect the full costs of
such a service were it not for the existing capacity in the Winter Springs
Fire Departm-ent.
5
ATTACHMENT "A"
Finally, it is useful to observe that many fire departments across the U.S.
have significant excess capacity. This is largely the.result of less need to
suppress fires because of improved building design, better building
materials, and increasing use of sprinkler systems. Fac~d with excess
capacity, fire departments can either down size or search for new
missions. Many departments have focused on emergency medical
transportation as one way to absorb their excess capacity. However, it
must be emphasized that employing excess capacity in this way does not
mean that the use of such resources is free. To the contrary, it can be
very expensive, as pointed out in this report. .
6
ATTACHMENT "A"
APPENDIX 1
AAA MODEL ANALYSIS OF PROPOSED
. EMERGENCY MEDICAL
TRANSPORTATION BY THE CITY OF
WINTER SPRINGS, FLORIDA
ATTACHMENT "A"
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
REVENUE, EXPENDITURES, PROJECTED PROFIT OR SHORTFALL, AND BREAKEVEN ANALYSIS
REVENUE:
Schedule Flscel Yeer Fiscal Vear Fiscal Vear . Fiscal Vear Flscel Vear
Reference 1996 1997 1998 1999 2000 Total
Gross Revenue from Transports A $140,319 $ 166,208 $ 196,873 $233,196 $276,221 $1,012,816
Uncollectable Amount A (35,080) (41,652) (49,218) (58,299) (69,055) (263,2041
Additional Annual Revenue - Nontransport A 0 0 0 0 0 0
Net Revenue A $105,239 $ 1l.1.656 $147,655 $174,897 $ 207 ,165 $ 7.59,6 12
EXPENDITURES:
Direct Costs:
Salaries, Benefits and Continuing Education 8 $ 105,209 $119,011 $134,632 $162,316 $172,332 $ 683,4 99
Ambulance and Ambulance Replacement C 19,600 19,600 19,600 19,600 19,600 98,000
Fleet Maintenance D 19,873 23,061 26,842 31.370 36,786 137,920
Medical Equipment and Supplies E 15,560 17,296 18,809 20,660 22,663 94,767
Vehicle Uabllitv Insurance F 10,000 10,500 11,025 11,576 12,166 65,266
8illing Out source Services G 6,840 8,269 9,973 12,043 14,641 61,656
Other Direct Costs H 0 0 0 0 0 0
Total Direct Costs $ 177 ,082 $197,716 $220,881 $247,464 $277,966 $1,121,098
Indirect Costs:
Total Indirect Costs 17 ,708 19,772 22/088 24,745 27,797 112,110
Total Costs $194,790 $217,487 $242,069 $272,109_ $306,763 !',233,208
PROJECTED PROFIT (SHORTFALL) ($89,661} ($ 92"!!';!?J ($96,316) ($97 ,302) ($98,6971 ($473,6961
8REAKEVEN ANALYSIS:
Gross Revenue per Transport to Recover Costs J $342 $332 $322 $314 $307 $321
;x:.
~
~
;x:.
C")
:::r::
3::
fTl
:z
~ 03/08/96
FISHKIND & ASSOCIATES, INC. USING AAAMODEl1
Page 1
=
;x:.
:x:-
-I
-I
:x:-
C)
:::c
3::
IT1
::z:
-I
03106/S1 e
=
:x:-
filu'Y,..
1810
lUll
IUO
uSIa
2000
r"'O.-.I\"
'1~.701
'1'1.011
'134.0:12
'162,:115
.. n .3':U
H., lncon'f
Usa 41651.551)
1191 tl92.0J2)
U!)O 1'9~.:J15)
1999 Ct91.3021
2000 IUO.5111
0,,.... DII,e.,
U1.613
t10.1~
tUG.2U
U5.13t
. '05.634
~~.ct.
eI),JOO
'11,112
122,OU8
124,10
U1,181
"
.n
! .",
.;us
-Ill
PROJECTED SHORTFALL
....
,..,
""
>000
""
WINTfR SPRINOS FIRE DEPARTMENT INCREMENTAL COST flASIS
PROFIT OR laSS ANALYSIS
FISCAL YEARS 1996.2000
fl9l"1'40 a ASSOCLATES. t~. USf.IQ AAAMOOEL 1
,.... I
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
)::>
-l
-l
)::>
n
:c
3:
IT1
~ 03/08/96
GROSS AND NET REVENUE
=
FISHKIND & ASSOCIATES, INC. USING AAAMODEL1
)::>
Page 1
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
GROSS REVENUE PER TRANSPORT
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
1996 1997 1998 1999 2000
Base Rate per Transport $184.63 $190.17 $195.87 $201.75 $ 207 .80
Other 0.00 0.00 0.00 0.00 0.00
Subtotal: $184.63 $190.17 $195.87 $201.75 $207.80
Mileage:
Rate Charged/Mile $0.00 $0.00 $0.00 $0.00 $0.00
Average Miles per Transport 4.0 4.0 4.0 4.0 4.0
Subtotal: Mileage Charge $0.00 $0.00 $0.00 $0.00 $0.00
Total Gross Revenue per Transport $184.63 $190.17 $195.87 $201.75 $207.80_
)::>
---j
---j
)::>
n
:r:
3:
/T1
~ 03/08/96
FISHKIND & ASSOCIATES, INC. USING AAAMODEL1
Page 1
-
)::>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
SALARY, BENEFITS AND CONTINUING EDUCATION COSTS
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
Position 1996 1997 1998 1999 2000
(Sch.8-1) (Sch. B-2) (Sch. B-3) (Sch. B-4) (Sch. B-5)
Ad ministra tive/Support
Support Position 1 $0 $0 $0 $0 $0
Support Position 2 0 0 0 0 0
Support Position 3 0 0 0 0 0
Firefighter IParamedic:
Level 1 105,209 119,011 134,632 152,315 172,332
Level 2 0 0 0 0 0
Level 3 0 0 0 0 0
Level 4 0 0 0 0 0
Level 5 0 0 0 0 0
Total Personnel Costs $105,209 $119,011 $134,632 $152,315 $172,332
)::.
-i
-i
)::.
n
:c
3:
rr1
~ 03/08/96
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
Page 1
-
)::.
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
'.....on
Suppan Poahlon 1
Suppan POlhloo 2
&"ppon Poahlon :I
fh.UOhl.'/P....nedlc:
hw'"
It....a 2
by" 3
levul4
hn'&
)::>
-l
-l
)::>
n
:c
3:
rr1
:z
-l
03108/98
=
)::>
111
Ho<.wly
R.',
'25.00
21.00
~1.00
12.00
13.00
116.6-0
".50
11.50
SALARY, BENEFITS & CONTINUING EDUCATION COSTS
1996
121-1.5.tll 131 151-131'~ 181 111-131'\4 181-131'14 181-181+111+1.1 1101 tllI-121'll01 1121-131+ 141 + 151+ 101 + I 1131
Ow-wtlm. 141 fUA Total W.n-..... "-tlfe, 1..., R......od T.... lola' COlli lalary, he"
R... T..., 'anme4lo O'l.-,Imo Huhh Comp. 8Wl.It,. ."".f1t. He",,, .1 Coni. Ed. P'Umlunt, OT. H., .f
160% S"lty 'umJurn 1614 ~ -!!... 814 COil Cont. Ed.IV.., C.... Sandhi" Coni. Ed. flE.
nJ. '62.000 n/. nJ. '1.600 13.8.0 13.1~0 18.280 nJ. nJ. 1110.280
nJ. .3.800 nJ. nJ. 1.500 3.06. 2.8~1 7.11. nl. nJ. 50..50
nJ. 43.880 nI. nJ. 1,500 3,06. ~..21 1.11. nJ. nJ. 50.060
'..00 36..00 3.lKlO 6,310 1.600 ~.612 ~.163 8.104 76 1.360 62.806
1..60 38,810 3.lKlO 6,1ti3 1.600 ~.12' ~.3n ..663 16 1,'.3 6..63.
:n.~6 48.346 3.lKlO 8..60 1,600 3.24' 2.1.' 1.625 16 1,1.. 8..313
~'.16 ,U,336 3.lKlO 1.302 '.600 3.463 2,980 1.... 16 1..68 10.308
28.26 62.325 3.lKlO 7.1" 1.600 3...3 3.130 ..302 16 I.... ".240
flSIIKIND 6 ASSOCIATES. INC. US&NQ AAAMOOEll
0.0
0.0
0.0
2.0
0.0
0.0
0.0
0.0
11'1-1121'1131
To.aI
C."'P"ullloft
.. Cont. [d.
10
o
o
106.20.
o
o
o
o
2.0 '106208
"-vo ,
WINTER SPRINGS fiRE DEPARTMENT INCREMENTAL COST BASIS
'odd."
Suppon Po.hloo 1
Suppon PO"lloo 2
s..,ppon Pgt4llon 3
FI.ollgh..tJPatM'Ndlc:
l....d I
hn.'
bvel J
In.... ..
lava 6
::t::o
-l
-l
::t::o
n
:c
3:
IT1
:z
-l
0~IOU/90
=
::t::o
=
111
Hourtw
"'..
125.76
21.6~
21.63
12.38
13.38
16.91
11.00
16.03
SALARY. BENEfiTS & CONTINUING EDUCATION COSTS
1991
m-I.6'111 131 161-111'" III 171-111' ,. IBI-131'" IBI-III.171'IBI 1101 1111-121'1101 11>1-131+141'161'181'1 (1)1
O..,..,lmo 141-131'" HiA To,.. Wo""",' R.Un. To,at .........04 T.t" lo.aI COIU lal....... T....
"'I. T.... r.,.rnodka O....l1.lm. H ..hh Comp. hnoU" IlIf\olh. HoUR .f Cont. t:.. rr."""m.OT, H., ..
160~ Iia",y r,.mtum 16,. ~~ "" Co.. Coni. Ed./V.., c.... aWl.'h. .. Coni. Ed. nil
nJ. 163.610 nJ. n/. 11.676 13.709 13.210 16,6~B n/. n/. 162.09B
n/. .....8&0 n/. n/. 1,676 3.109 2.B99 7,020 nJ. n/. 62.014
nJ. 00,900 n/. nJ. 1.676 3.149 2,699 7.020 nJ. n/. 62.010
18.60 ~6.966 3.900 6.070 1.616 2.6B7 2.217 ..~1B 16 I.~91 60,098
20.09 40,038 ~,OOO 6.926 1.676 2.6103 2,402 ..7BO 76 1.60. U.IOB
23.96 07,136 ~ .110O 7.0B6 1.616 ~.301 2.B.0 7,7BI 16 1,79. 88.211
26.09 60.016 ~.OOO 1.621 1.676 3.667 3,048 B.IBI 16 1,912 12.329
27.00 63,606 3 .110O 7.976 1.676 3.713 3,234 B.6BI 76 2.02B 1e.~1IO
FISIIKIND. ASSOCIATES. INC. USING AAAMODEL I
0.0
0.0
0.0
2.2
0.0
0.0
0.0
0.0
1t01-IUI'lnl
Tot"
C:.""PM\ullon
.. Cont. Ed.
10
o
o
119.011
o
o
o
o
2,1. lUJ.lU..1..
......,. I
WINTER SPRINGS FIRE DEPAATMENT INCREMENTAL COST BASIS
SALARY, BENEFITS & CONTINUING EDUCATION COSTS
1998
III \21-1.6'111 131 161-131'" 1.1 171-13"" ..1-.31'" 111-1."171'(.1 1101 II11-IWIIOI 1121- m..OI'161.l81'1 1131 1141-1121'1131
Ov.,Um. 141 fL6A T.,.. Wo...... R.tlr.. To.at Req~ed hcat tohl C...: 5.h,IY. 1.... 10.a!
Hourly Ra.. T.,.. ranmedlQ OVw1lm. Huhh Compo BW\ofh. IWl.fh. Hou... 0' Coni. (d. h.mIu",.OT. No, of C."'PanUIJon
Po.hl." Ral. 160% """1 ".mJum 16~ ~ ~ ." C.I' Coni. Ed.lV.., C."I 8.n.,l1. & Coni. EcI. fTE, . C.nl. fd.
SuppoR Poll'lon , .2..62 n/. '66.107 nl. n/. ....64 13.0.2 '3.310 10.026 nJ. n/. 1B3.8U 0.0 '0
SuPPOR P05hloo :l 22.20 nl. 40,340 nl. nf. 1.064 3.244 2.700 7.010 n/. n/. 64.010 0.0 0
SuJlIN)fI POllllloo :I 22.20 nl. 4..340 n/. n/. 1.064 3.244 2.700 7.018 nJ. n/. 64.018 0.0 0
fI4'f1vJl'O.Il'.I.lwr~e:
lent' 12.73 18.10 30.086 3.800 6.034 1.064 2..06 2.204 ...02 76 1.432 66.033 2.4 134..32
bv" 2 13.78 20..8 4',231 3.800 0,103 1..64 2.001 2,414 7.011; 76 1.662 68.00. 0.0 0
Lonl] 118."4 24.07 48,107 3.800 7.217 '.D6" 3.442 2.860 0,040 76 1.060 10.240 0.0 0
Lo,," .. 11.60 20.2. 62,340 3.000 7.14. 1.064 3.... 3.140 8.468 78 _.ueu 74.413 0.0 0
le'ul6 10.67 27.06 66.612 3.800 0.210 1,864 3.000 3.331 0.010 76 2.008 10.600 0.0 0
U . 1li.B32
):::>
--i
--i
):::>
n
:I:
3::
IT1
Z 03/00/80
--i
FISHKIND & ASSOCIATES, INC. USING AAAMODEL1
=
'~.I
):::>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
SALARY, BENEFITS & CONTINUING EDUCATION COSTS
1999
111 m-I.5'11l 1JI 151-131'~ III l7I-IJI'~ 111-tJI.~ 111-111+111+111 1101 (111-121'(101 1121- tJI + '41 + 151 + III +, lnl IUI-I12I'IUI
Ovwtlmo 141 HI" To.al Work.,' IMtlr., h." Roq......, Total hi" Cut: '''..-y. Toe" h...
Houtty Rol. Tota' P.,. ",.dlo Owwtlmo Huhh Comp. 8Wld"_ 8enllh, HDun .. Coni. Eel. Premlum,OT. H., .f COIn9W\...lon
AUI 160~ Salary rnmlum 16% ~ --.!.It. I~ Co.. C04lI, Ed.N.., CUll Ihn.Uu .. Coni. Ed. HE. . Cont. (d.
121.32 n/. 161.122 nl. nil 11.131 13.011 13.400 10.\23 n/. n/. 116.045 0.0 10
22.06 n/. 41.130 nl. n/. \,131 3.34' J.114 1.041 n/. nf. 66.112 0.0 0
22.06 nI. 41,130 nf. nl. 1,131 3.34' 2.811-4 7.04' n/. nf' 66.112 0.0 0
13." 10.11 30.201 3.000 6.803 '.731 2.744 2.362 1.133 76 \,476 61.211 2.1 '62.3"
14.21 21.31 <42,414 3.000 1.211 '.738 2.013 2.640 7.260 16 1,610 11.6\1 0.0 0
.18.84 26.4\ 60.042 3.800 1,406 ',131 3.646 3.031 8.320 16 1,1106 12.203 0.0 0
10.03 21.0. 63,810 3. 000 7.018 1,131 3.n4 3.236 8.146 76 2.020 11.011 0.0 0
11.t2 28.10 61.111 3,900 8.462 1.731 4,002 3.431 O. tll 76 2. t6\ 80,860 0.0 0
2.7 1161.;U~
ruhlon
~ppoft POlhloo I
Suppon Poahlon 2
Suppon Po.hlOt\ 3
Fhollull'lf,r"eIIOl1lJlc:
Lu''''
h'il12
bv" :I
L...... ..
Ln'.6
)::>
--j
--j
)::>
n
:r:
3::
rrl
:z: 03108/01
--j
FISIIKINO. ASSOCIATES. INC. USlNQ AAAMOOElI
=
p..;. I
)::>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST,BASIS
'o.hlon
&,ppon PalA.,on I
"'ppon POdllon 2
St.tppon Po.hlon 3
F'f.11 gJ\ '.,/P a, -.nedlc:
Lt\!. 1
lav" :I
bnl3
Ln....
Len' fi
)::>
-l
-l
)::>
n
::c
~
fTl
:z
-l
03108/8G
=
)::>
SAlARY. BENEFITS & CONTINUING EDUCATION COSTS
2000
111 121-1.6'111 1'1 161-1'1'~ 181 1lI-131'~ III-IW" 111-111+ 111+111 1101 1111-121'1101 1121-131+141+161+181+' 1131 1141-1121'1131
Overtime 141 flU Tot.1 W.rt!..,.' Rotlro, Tot'" 1IoqW04 T.,.. ht..C..tlh..,.... 10". fe.at
H...tv ..... T.... 'anm~o OVertlm. Huhh Compo h"dh, IWlofh, H..". of ClIH'lt. [4. ho"'''''''.OT. N., .t C."'plll'l.....n
R.lo 160,," SalotV ,..",h.U1'l 16~ C". --12!.. 8\4 C.,t Coni. Ed.IY.., CO.II lendh. . Coni. Ed. FTEt & ConI. Ed.
'20.14 n/. 168.628 n/. n/. 11.82' 14,081 13.612 10.432 n/. n/. 181.868 0.0 10
23.84 n/. ",182 n/. n/. I.B23 3.441 2.060 8.214 nl. n/. ti1.311 0.0 0
23.84 n/. 4".HI2 n/. n/. 1.823 3.44' 2.860 B.214 n/. nl. 61.311 0.0 0
13.61 20.28 40.3B3 3.800 8,811 I.B23 2.B21 2.423 1.013 16 1.618 6B.B62 2.8 '12.332
14.03 21.86 43.148 3.800 8.416 1,823 3.082 2.826 1,611 16 1,848 83.2110 0.0 0
11.46 28.11 62.182 3.800 1,120 I.B23 3.061 3.130 8,004 16 I.U3 14.348 0.0 0
10.61 21.88 66.621 3.800 8,218 1.B23 3.BB1 3.332 8,042 16 2.0B8 18.ne 0.0 0
18.70 28.64 6B.BS2 3.S00 8.118 I.B23 '.122 3.634 0.410 16 2.218 B3.203 0.0 0
2.8 1l1l.33L
FISItKLNO. ASSOCIATES, INC. USINQ AAAMOOEll
".V. I
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
AMBULANCE AND AMBULANCE REPLACEMENT COST
Fiscal Y 8ar Fiscal Y 8ar Fiscal Year Fiscal Year Fiscal Y 8ar
1996 1997 1998 1999 2000
WBCI::iASE OPTION
Cost per Ambulance $49,000 NJA NJA NJA NJA
Number of Ambulances 2 2 2 2 2
Beginning Book Value of Ambulances $98,000 $78,400 $58,800 $39,200 $19,600
Divided by: Remaining Useful Life (in years) 5 4 3 2 1
Total Ambulance Cost $19,600 $19,600 $19.600 $19,600 $19.600
LEASE..oe.JION
Annual Lease Payment per Ambulance
Number 01 Ambulances
Total Lease Cost
NJA
NJA
,N!A
NJA
N/A
,N!A
N/A
N/A
N/A
N/A
N/A
_N!A
N/A
N/A
JU~___
:l:>
-i
-i
:l:>
n
:r:
3::
fT1
~ 03/08/96
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
Page 1
-
:l:>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
FLEET MAINTENANCE COSTS
Schedule Fiscal Year Fiscal Year Fiacal Year Flacal Year Fiscal Yaar
Reference 1996 1997 1998 1999 2000
Direct Lebor Costs D-t $6,000 $6,300 $6.615 $6,946 $7,293
Fuel and Maintenance C9sts D-2 13,873 16,751 20,227 24.424 29,492
Total Fleet Maintanance Costs $19,873 $23,051 $26,842 $31,370 $36,785
:P
-l
-l
:P
n
:r:
:3:
~ 03/08/96
-l
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
Paga 1
-
:P
=
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
FLEET MAINTENANCE: DIRECT LABOR COSTS
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
1996 1997 1998 1999 2000
Average Annual Salary $25,000 $26,250 $27,563 $28,941 $30,388
Fringe Benefits 5,000 5,250 5,513 5,788 6,078
Average Direct labor Costs $30,000 $31,500 $33,075 $34,729 $36,465
FTEs 0.2 0.2 0.2 0.2 0.2
Total Direct Labor Costs $ 6,000 $6,300 $6,615 $6,946 $7,293
:x:-
--i
-l
:x:-
CI
:c
:s:
~ 03/08/96
--i
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
Page 1
-
:x:-
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
FLEET MAINTENANCE: FUEL & MAINTENANCE COSTS
::t:>
-l
-l
::t:>
n
::r:: _
3:
fT1
~ 03/08/96
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
Page 1
-
::t:>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
MEDICAL EQUIPMENT AND SUPPLIES
Schedule Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
Reference 1996 1997 1998 1999 2000
Capital Medical Equipment $10,000 N/A N/A N/A N/A
Radio/Communications Equipment 8,000 N/A N/A N/A N/A
Subtotal Capital Equipment Per Ambulance $18,000 N/A N/A N/A N/A
Number of Ambulances C 2 N/A N/A N/A N/A
Beginning Book Velue of Capital Equipment $36,000 $28,800 $21,600 $14,400 $ 7,200
Divided by: Remaining Useful Life (in years) 5 4 3 2
Annual Cepital Equipment Costs $7,200 $7,200 $ 7 ,200 $7,200 $7,200
Medical Disposable Supplies 8,360 10,095 11,609 13,350 15,353
Total Equipment & Supplies Cost $15.560 $17,295 $18,809 $20,550 $22,553
Number of Emergency Transports: 760 874 1.005 1,156 1,329
)::>
-l
-l
)::>
n
:c
3:
fT1
~ 03/08/96
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
Page 1
-
)::>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
VEHICLE LIABILITY INSURANCE COSTS
Reserve for Liability or Settlements
Fiscal Year
1996
$10,000
Fiscal Year
1997
$10,500
Total Vehicle Liability Insurance Cost
$10,000
$1Q2QQ..
)::>
-i
-i
)::>
()
:r:
3:
~ 03/08/96
-i
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1 .
-
)::>
Fiscal Year
1998
$11,025
$11,025
Fiscal Year
1999
$11,576
$11,576
Fiscal Year
2000
$12,155
$ 1 2, 1 55
Page 1
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
BILLING OUTSOURCE SERVICES
Fiscal Year Fiscal Year Fiscal Year Fiscal Yeaf Fiscal Year
1996 1997 1998 1999 2000
Cost of Billing Outsource per Transport $9.00 $9.45 $9.92 $10.42 $10.94
Number of Emergency Transports 760 874 1,005 1,156 1,329
I
Total Billing Outsource Services Cost $6,840 $8,259 $9,973 $12,043 $14,541
)::>
-l
-l
)::>
n
:r::
3::
ITl
::j 03/08/96
FISHKIND & ASSOCIA TESt INC. USING AAAMODEL 1
Page 1
-
)::>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
INDIRECT COSTS
Schedule Flecftl Yeftr Flecftl Yeftr Flecftl Yeftr Flecftl Yeftr Flecftl Yeftr
Reference 1996 1997 1998 1999 2000
T otftl Direct Costs 1 $177,082 $197,716 $220,881 $247.454 $277,966
Indirect Cost Rate Input Sheet 10% 10% 10% 10% 10%
Total Indirect Costs , $17,708 $19.772 $22,088 $24,746 $27.797
)::>
-j
-j
)::>
n
:r:
3:
ITl
~ 03/08/96
FISH KIND & ASSOCIATES, INC. USING AAAMODEL 1
Page 1
-
)::>
.
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS
BREAKEVEN ANAL VSIS
Schedule Fiscal Ye., Fiscal Year Fiscal YDAt Fiscal Year Fiscal Yeer
Reference 1996 1997 1998 1999 2000 Tolol
Tolol Cosl of EMS TronspDfI $194,790 $217,487 $242,969 $272,199 $305,763 $1,233,208
Leu: Addilionol Nonllonsport Rovenues A 0 0 0 0 0 0
Sublotal: Cosl 01 EMS T,anspo,tto be'Recovored Through
Tronsport Revenues $194,190 $217,487 $242,969 $272,199 $305,763 $I,233,20B
Divided By:
T Olal Emergency Transpolls (per RFPI A 760 B74 1,005 1,156 1.329 6,124
B,eakovon Net Revonuo por Transport $256 $249 $242 $235 $230 $241
Divided By:
COlloclion Role 75% 75% 76% 76% 75% 75%
Breakovon Groll Rovonuo pOI Tronsport $342 $332 .322 $314 $307 $321
)::>
-i
-i
)::>
n
:I:
3:
rr1
Z
-i
03/0B/96
FISHKIND & ASSOCIATES, INC. USING AAAMODELl
Poge 1
=
)::>
..
" r
APPENDIX 2
FULL COST ANALYSIS OF THE PROPOSED
EMERGENCY MEDICAL
. -
TRANSPORTATION SERVICE OF THE
CITY OF WINTER SPRINGS, FLORIDA
SUMMARY TABLE ONLY FROM THE AAA
MODEL OF EMERGENCY TRANSPORT COSTS
ATTACHMENT "A"
)::>
--i
--i
)::>
n
::c
3::
rr1
:z
--i
=
)::>
WINTER SPRINGS FIRE DEPARTMENT INCREMENTAL COST BASIS,
REVENUE, EXPENDITURES, PROJECTED PROFIT OR SHORTFALL, AND BREAKEVEN ANALYSIS
REVENUE:
Gross Revenue from Transports
Uncollectable Amount
Additional Annual Revenue. Nontransport
Net Revenue
EXPENDITURES:
Direct Costs:
Salaries, Benefits and Continuing Education
Ambulance and Ambulance Replacement
Fleet Maintenance
Medical Equipment and Supplies
Vehicle liability Insurance
Billing Out source Services
Other Direct Costs
Total Direct Costs
Indirect Costs:
Total'ndiroct Costs
Total Costs
PROJECTED PROFIT (SHORTFALL)
BREAK EVEN ANALYSIS:
Gross Revenue per Trensport to Recover Cost.
03/06/96
Schedule Flscel Yeer Fiscal Year Flscel Yeer Flscel Yeer Flscel Yeer
Rofcrcnca 1996 1997 1998 1999 2000
A $140,319 $166,208 $196,873 $233,196 $276,221
A (35,080) (41,662) (49,218) (58,299) (69,055)
A 0 0 0 0 0
A $105,239 $124,656 $147,655 $174.B97 $207.165
B
C
D
E
F
G
H
$631,256 $714,064 $807,793 $913,889 $1,033,981
19,600 19,600 19,600 19,600 '19,600
19,873 23,061 26,842 31,370 36,785
15,560 17 ,295 1 B,809 20,560 22,653
10,000 10,500 11,025 11,576 12,155
6,840 8,269 9,973 12,043 14,541
0 0 0 0 0
4703,128 $792,769 $894,042 $1,009,028 $1,139,625
70,313 79,277 89,404 100,903 113,963
$773,441 $872,046 $983,446 $1,109,931 $1,253,588
($ 668,202) ($747 ,390) ($835,792) 1$935,034) ($1.046,422)
$1,367 $1:330 $1,305 $1.280 .1 ,257
J
FISHKIND & ASSOCIATES, INC. USING AAAMODEL 1
~
,"."
"
Total
$1,012,816
(263,204)
o
$769,612
$4,100,994
98,000
137,920
84,767
66,256
61,656
o
$4,538,693
453,869
$4,992,452
(~232.840)
$1.299
Page 1
Attachment
"8"
FIRE DEPARTMENT TRANSPORT REPORT - 1 April 1996
The following information is the ACTUAL impact to the Fire Department budget since
assuming Emergency Medical Patient Transport Services 15 January 1996 for the
City of Winter Springs.
PERSONNEL SERVICES:
No additional impact to the budget has been created since the Fire Department
assumed the transport service function.
FUEL:
, Based upon the miles per gallon the Rescue unit averages, the cost of diesel fuel per
gallon, and the number of average miles round trip per transport, this has created a
$1 .18 per transport fuel cost.
OPERATING SUPPLIES:
From October 1, 1995 - January 14, 1996 the Fire Department used an average of
$8.99 of Operating Supplies, per Emergency Medical Patient that was treated by the
Winter Springs Fire Department, and transported by lifefleet Atlantic Ambulance
Service.
From January 15,1996 - March 31,1996 the Fire Department has used an average
of $12.78 of Operating Supplies, per Emergency Medical Transport.
This indicates supply costs have increased $3.79 per Emergency Medical Transport
over and above what the community was previously providing and was budgeted.
BILLING SERVICES FEE:
The cost for billing services is $9.00 per transport. An additional cost of $2.00 per
transport is averaged for postage, long distance phone charges, and reports. This
totals $11.00 per transport for these costs.
VEHICLES:
No additional impact to the budget has been created since the Fire Department
assumed the transport service function.
NET COST PER TRANSPORT:
$15.97
AMOUNT BILLED PER TRANSPORT:
$184.63
RETURNED REVENUE PER TRANSPORT
100% COLLECTION RATE:
$168.66
RETURNED REVENUE PER TRANSPORT
75% COLLECTION RATE:
$122.50
RETURNED REVENUE PER TRANSPORT
$76.35
Attachment "B"
,,-'. ,.~.-.~, . . ,_.......~~ ", ~........