A budget deficit at the Slave Lake Air/Ground Ambulance Society has led councillors from the Municipal District of Lesser Slave River to request a meeting with the board that runs the society.
The society is facing a cash crunch as money is being spent faster than income can be collected.
Although money the society is owed for services is greater than it’s expenses, delays in getting that money is leading to a crisis.
A report given to council in chambers on Sept. 28 says it all: “If none of the $177,500 in receivables are collected before September 30, 2005, payables of $59,100 will be due. This amount exceeds the society’s overdraft: Bad news.”
According to the report, one of the society’s largest customers, Alberta Health and Wellness, may be taking “a rumored 90 days to pay its bills”.
The situation is made worse by problems in the ambulance fleet.
During the summer, one ambulance was taken out of service by an accident and can’t be made usable again.
Other ambulances have been in service for a decade.
The society’s finances began to go awry in April when a planned takeover of ambulance services by regional health authorities across the province didn’t take place, leaving local governments on the hook for costs.
At that time, the society had an anticipated budget deficit of $152,155.
Subsequently, the municipality gave the society $40,625 in provincial grants meant to mitigate the failed transfer.
Last Wednesday, councillors agreed to write another cheque for $17,295 to help curb the cash flow crunch.
Councillors discussed the fact that only months after the society let an administrator go to cut salary costs, the intermunicipal committee between the municipal district and the Town of Slave Lake has recommended that the ambulance society hire a new administrator to sort things out.
“The important thing is that it happens at the society level,” said Reeve Denny Garratt.
He said that the municipality couldn’t help unless the self-governing society asks for help.
Councillor Brian Rosche, who also sits on the ambulance society board, said that hiring an administrator was “putting the cart before the horse”.
He argued that the society needed a business plan before it could attract a qualified applicant.
At this point in the debate, councillors closed the council chambers to the public for fifteen minutes.
When they re-opened the council chambers, councillors voted to question the late payments by Alberta Health and Wellness.
They also voted to ask the ambulance society board to make a motion requesting a special meeting with the municipality.

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