Kinross EMS says late payments from former MDOC health care provider could jeopardize services

CHIPPEWA COUNTY, Mich. (WLUC) – According to the Michigan Association of Ambulance Services (MAAS).

Ambulance services operating near Michigan prisons provided emergency care to inmates in partnership with Wellpath. These ambulance providers have not received payment for treating patients, despite Wellpath’s contract with the state of Michigan set to expire in April 2024, according to MAAS.

Michigan law requires emergency services to respond to 9-1-1 requests, including calls to Michigan prisons. Three state prisons are in the Kinross Ambulance Service service area in Chippewa County.

MAAS says Kinross Ambulance Service, which serves a 640-square-mile area of eight communities, could soon be left without emergency services and 39 jobs affected if it doesn’t get paid. MAAS said Kinross EMS owes nearly $500,000 to Wellpath, representing 11% of the agency’s budget. The organization said this means Kinross EMS will be unable to pay wages in less than a month due to a lack of compensation.

“The lack of reimbursement for emergency care in Michigan prisons has become a serious crisis that will soon impact our ability to serve the community,” said Kinross EMS Director Renee Gray. “EMS is expected to respond 24/7, and it is unacceptable to not be compensated for our work, especially when we are helping the state of Michigan.”

MAAS said it alerted state leaders to the problem this summer, calling on Michigan to make up for its lack of compensation for emergency responders. MAAS said, “To date, the state has taken no action to correct this situation, and a nearly $6 million shortfall is impacting EMS agencies, which will quickly impact life-saving operations without reimbursement.”

However, the state says it is taking action.

TV6 contacted MDOC, which stated, “The State entered into a contract with Grand Prairie Healthcare Service, PC and remitted full payment for services, including services performed by Grand Prairie, Wellpath and their subcontractors, fulfilling the State’s contractual obligations. As of April 22, 2024, the companies owed their subcontractors approximately $35 million for services performed during the contract period. Grand Prairie and Wellpath have been unable to provide updated data on outstanding payments, despite multiple requests from the state. The State has filed a formal complaint against Grand Prairie and Wellpath and is currently seeking damages.”

TV6 is trying to find out where the lawsuit currently stands in the legal process.

In addition to Kinross EMS, MAAS said other impacted agencies had to freeze new hiring, delay the purchase of new medical equipment, reduce cost-of-living increases for employees and stop purchasing new ambulances.

MAAS calls for funds to be reimbursed through a budget supplement during the Lame Duck session before it concludes.