Posted: 1/3/06
Ambulance rates to increase, electrical rates will follow
By Jane Palen
Managing Editor
The Caledonia Ambulance Service will increase its base rate 20 percent for 2006.
Ambulance director Robert Augedahl spoke to the Caledonia City Council Monday evening and explained that the city has been falling behind and needs to increase its rates to offset expenses. The new rate for an non-subsidized emergency call will be $630, up from $525. The rate for subsidized emergency calls will also increase 20 percent, from $325 to $390.
Patients are charged the lower subsidized rate if they are from a township that helps subsidize the ambulance service. Patients are charged the non-subsidized rate if they are from a city or township that does not subsidize the ambulance service.
Currently, Medicare allows only $375.89 for a non-subsidized call, and pays 80 percent of that amount, or $300.71. The other 20 percent can be billed to the patient or his insurance. The difference of $149.11 (based on 2005 rates) is not collectable.
Augedahl said that the Medicare reimbursement will increase for 2006, but there will still be a gap between what the ambulance service charges and the Medicare reimbursement.
The Caledonia Ambulance Service is licensed to provide basic life support and has approval to administer some advanced life-saving medications and procedures, including aspirin and nitroglycerin for chest pain; cardiac defibrillation, albuterol for breathing problems, glucagon for low blood sugar, and epinephrine for allergic reactions.
The council approved the new rates unanimously.
City braces for ìA perfect stormî
The council briefly discussed a letter from Tri-County Electric Cooperative regarding a number of factors that are converging to create ìa perfect stormî of increased energy demands, rising energy costs and mounting difficulties in delivering energy to the consumer.
Tri-County Electric Cooperative of Rushford purchases power from Dairyland Power and resells it to consumers, including the City of Caledonia, which is Tri-Countyís largest customer.
ìAn increase in electrical rates is inevitable as we strive to meet the challenges of ìthe perfect storm,îî the letter concluded.
Specifically, the challenges are the need to build new power plants under new, more restrictive government regulations; an anticipated 100 percent increase in rail rates for 2006; a doubling in the price of coal from $7 per ton to $14 per ton; rising interest rates; and the volatile nature of natural gas prices, among other factors.
The cityís current contract with Tri-County, which limits the amount that the wholesale price can increase, expires on April 30 of this year. Representatives of Tri-County Electric met with Mayor Morey and Councilman Paul Fisch, and recommended that the city have a rate analysis done by PowerPlus Engineering. If four of the five communities served by Tri-County participate, the cost to each would be $6,640.
The council agreed to participate in the rate analysis and to share the information with the public. With cooperation from the public, the city can get lower rates and pass the savings on to the customer. For example, energy consumed in off-peak hours costs less than energy consumed during peak hours, so making adjustments in energy usage can result in savings.
Employee wage
increases approved
The council also set the wages for employees not covered by the city labor association. The increases approved by the council include: Chief of Police Randy Shefelbine, from $23.75 per hour to $24.50 per hour; city clerk administrator Robert Nelson, from $58,300 per year to $60,200; librarian Marla Burns from $12.60 per hour to $13.15 per hour; Eileen Jacobson, library assistant, from $9.50 to $10.05; and tree disposal site attendant, from $7.50 to $8 per hour.
Caledonia Argus
314 West Lincoln St.
P.O. Box 227
Caledonia, MN 55921-0227
507/724-3475
E-Mail: editor.argus@ecm-inc.com