Ten percent would mean two fewer medics

If Morton Fire Department chief Joe Kelley was asked to cut 10 percent from the paramedic’s budget, two medics would have to be laid off, he said. Outside training would also have to be considered as a cut for the fire department.

Though there has been no serious discussion of any such measure by village officials, the possibility could exist when the village board finalizes the fiscal year 2009-10 budget.

Morton mayor Norm Durflinger requested the information as a way to evaluate each of the village departments’ financial situation.

A $1 million general fund budget deficit, sparked by a drop in retail sales and increasing maintenance and construction costs, has village officials contemplating what can be cut and what should not be cut. All department heads have made efforts to locate 10 percent in their budget.

Morton Fire Department chief Joe Kelley has mulled through his options regarding fire and paramedic budgets.

The revenue source

Though he presides over both departments, each has a separate budget.

Each department affects the general fund budget. However, in the paramedic department’s case, it generates revenue for the village — unlike the fire department or the police department.

The village’s paramedic budget is about $1,009,000.

“Paramedics are unique in that they bring in revenue,” Kelley said.

The average invoice per call is about $630.

“If you look at what other services charge, we’re not the cheapest and we’re not the most expensive,” he said. “We can increase the rates, but that doesn’t mean Medicare will pay more.”

The department relies heavily on Medicare and Medicaid payments, which, Kelley said, often are late. Currently, Medicaid owes $45,000 and Medicare owes $40,000 to the department — $10,000 of the sum is more than 180 days old.

“We incur the cost as taxpayers,” he said. “A big portion of our business is Medicare/Medicaid related.”

Kelley said if two paramedics were laid off, one ambulance would not need to be in operation during the nighttime hours.

“That would eliminate one of the two ambulances we have on duty,” he said. “Additional help would have to come from mutual aid.

“Twelve hours of coverage for the second ambulance would be lost each day,” he added.

In an instance where another ambulance is needed, mutual aid would be requested from a surrounding community. Not only would that increase response times for emergencies, it would also cost the village money.

“That gives away revenue to another community,” Kelley said.

Residents of Morton are discounted $50 per call as a way to cut the cost to taxpayers, Kelley said. That incentive might have to be cut to reduce the department’s budget.

The paramedic department is the single largest non-taxed contributor to the general fund.

“We charge for the use rather than in the form of tax,” Kelley said. “Revenues from medic (services) somewhat offset the costs.”

“(Revenues) are up 10 percent,” Kelley said. “But, call responses are up.”

He said if the village lays off two paramedics, the call response volume would most likely decrease.

Fire training — how important?

The fire department budget is just less than $450,000.

Volunteer firefighters at the Morton Fire Department are paid $10 to $17 per call, depending on an individual’s level of training, Kelley said.

About $125,000 goes toward compensating paid-on-call employees and $40,000 goes toward outside department training.

“Training is very important,” Kelley said. “We have a lot of outside training courses.”

If the fire department was to cut outside training from its budget, the next option is to train from within, using peer experience.

“It would be peer training as opposed to qualified instructor-led training,” Kelley said. “What you lose in that is an outside perspective.”

Kelley would also have to consider the frequency of equipment and suit replacement or repair.

“You really would need to make some very tough decisions,” he said. “(The department) already runs so lean. Making a 10 percent cut is more difficult to find.”

Equally as difficult, he said, is knowing how many on-call firefighters are going to respond to any given emergency.

“You never really know how many are going to show up,” he said. “There are times when not enough people show up.”

He said creating shifts among the volunteer force would almost be a management nightmare.

The fire department has 40 volunteer firefighters.

“We need a good combination of officers and experience,” Kelley said. “It’s not as easy as it sounds.”

When asked if the $10 to $17 amount paid to volunteers could be reduced, Kelley hesitated.

“I’m not quite sure how that would go over,” he said. “It is somewhat more difficult now to get people to show up.”

“Looking for efficiencies has always been a challenge,” he added.

Though not a reliable source of income, Kelley said grants have been a major help to the department.

“It isn’t traditional revenue. However, it cuts back on capital expenses,” he said.