EMSA announces new financial transparency initiatives

October 31, 2011

Statement by James L. Griffin, M.D., chairman, EMSA board of trustees

As the EMSA board chairman, it is my responsibility, along with that of the entire EMSA board, to ensure the trust operates with the taxpayers’ best interest in mind.   The EMSA board reviews the operating budget annually and works diligently with EMSA management and the board’s budget committee to create a budget that accurately anticipates EMSA’s upcoming financial needs and operating expenses. 

Since its establishment in 1977, EMSA has provided nationally recognized emergency medical care to the citizens of Tulsa and, since 1990, Oklahoma City. EMSA has always maintained high standards of medical excellence while receiving exemplary remarks for being financially sound with its budget.   

In recent weeks, EMSA has been under scrutiny for various purchases over the past 15 years. Despite the fact that these expenses only add up to a miniscule portion of our budget, I would like to take a moment to explain some of these purchases. While we pride ourselves in being good stewards of public funds, the instances being scrutinized are only a handful of items that have been purchased over the past 30 years. 

While terrazzo flooring may sound like a luxury expense, I can assure you that was not the reason behind its installation. Since the North Lansing facility was built in1988, we have had numerous issues with the flooring due to water infiltration. Historically, floors have only lasted a short period of time before the tiles would buckle up and pop off. After replacing the flooring for a second time, and determining the second flooring material wasn’t working any better, we consulted a building expert. The expert examined the foundation and moisture levels and recommended that we install terrazzo tile as it would last indefinitely and not have any of the problems of the two previous floor surfaces.   Terrazzo tile is one of the most durable types of flooring and is found in numerous public buildings including courthouses, city halls and public schools. 

In 2002, EMSA purchased a $999 Christmas tree after the previous tree broke. Over the years, this tree has provided immense enjoyment and comfort for the staff and emergency medical responders who have some of the most stressful jobs in the city. The cost of this artificial tree is minimal in comparison to purchasing a live tree every year. 

 

At the request of the City of Tulsa finance department, EMSA maintains a cash balance for the Eastern Division. The cash balance is approximately 10 percent of EMSA’s disbursements. This is not a cash reserve. This cash is for operating expenses. This is the only cash EMSA has. The cash at the end of any given month is not an accurate reflection of EMSA’s balances because approximately $1.5 million is paid to EMSA’s contractor around the 8th of each month. 

With hundreds of employees, plus family members, EMSA and the contractor routinely provide food to large groups as part of employee appreciation and other events. In 2000, we purchased a large-capacity outdoor grill. When you cook for hundreds of people over a sustained period, a standard Weber grill will not suffice. In fact, EMSA’s previous grill melted under the pressure of cooking for a large group. 

While it appears we have not been transparent throughout this process that has not been our intent.   We take full responsibility for any missed opportunities for communication and for those instances where we unknowingly have not been as transparent as we should have. As a board, we commit to upholding our responsibility for fiduciary oversight and providing adequate support to EMSA’s management  in this area. Going forward, we are implementing new initiatives and enhancing current practices to make it easier for elected officials and citizens to access and understand our finances.   Work has already begun to ensure citizens will have access to:

-          Easier access to the EMSA financial reports on www.emsaonline.com.

-          Ability to watch online coverage of the EMSA board meetings at www.emsaonline.com.

-           Annual community report accessible online at www.emsaonline.com or by mail upon request.

-          Increased visibility and access to the EMSA ethics hotline.

-          Increased discussion with city officials by reinstituting monthly financial reviews at City Council committee meetings.