CHIPPEWA COUNTY, Mich. (WLUC) – Delinquent payments that former Michigan Department of Corrections (MDOC) health provider Wellpath owes to EMS agencies could leave a portion of the Upper Peninsula without emergency response, according to the Michigan Association of Ambulance Services (MAAS).

EMS providers operating near Michigan prisons provided emergency services to inmates in partnership with Wellpath. According to MAAS, those EMS providers have not received payments for their treatment of patients, even though Wellpath’s contract with the state of Michigan ends in April 2024.

Under Michigan law, EMS agencies must respond to 9-1-1 requests, including calls to Michigan prisons. Three state prisons are located within the Kinross EMS service area in Chippewa County.

MAAS says Kinross EMS, which serves a 640-square-mile area of ​​eight municipalities, could soon be without emergency services and see 39 jobs affected unless it receives payment. MAAS said Wellpath owes Kinross EMS nearly $500,000, which represents 11% of the agency’s budget. The organization said this means Kinross EMS is less than a month away from being unable to make payroll due to lack of compensation.

“The lack of compensation for our emergency care in Michigan prisons has become a serious crisis that will soon impact our ability to serve our communities,” said Kinross EMS Director Renee Gray. “EMS is expected to respond 24/7/365 and it is not acceptable to not receive compensation for our work, especially when we help the state of Michigan.”

According to MAAS, he alerted state leaders to this issue over the summer, asking that the state of Michigan reimburse the lack of compensation for emergency services. MAAS said that “to date, the state has taken no action to rectify this situation and the nearly $6 million shortfall is taking its toll on EMS agencies, which will impact lifesaving operations quickly without reimbursement.”

The State, however, says it is taking action.

TV6 contacted the MDOC, which said: “The State entered into a contract with Grand Prairie Healthcare Service, PC and remitted full payment for services, which included those provided by Grand Prairie, Wellpath and their subcontractors, in compliance with the contractual obligations of the State. As of April 22, 2024, the entities owed their subcontractors an estimated $35 million for services provided during the term of the contract. Grand Prairie and Wellpath have not provided updated data on outstanding payments, despite numerous requests from the State. The State has filed a formal complaint against Grand Prairie and Wellpath and is currently seeking damages.”

TV6 is working to find out what stage of the court process the claim is currently at.

In addition to Kinross EMS, MAAS said other affected agencies have had to freeze hiring of new employees, delay purchases of replacement medical equipment, reduce cost-of-living increases for employees and halt the purchase of new ambulances.

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

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