Dignity Health, owner and operator of St. Joseph’s Hospital and Medical Center, has begun the process of seeking state approval to provide their own ambulance services to patients. However, current ambulance providers are taking measures to ensure this does not happen. 

American Medical Response currently provides Dignity-owned facilities with a majority of their non-emergency transportation and has threatened to terminate the contract they currently have with Dignity. While the changing contract will not affect the service AMR provides for Dignity patients, it may lead to higher bills for Dignity itself.

New ambulance companies wishing to enter into a particular geographic region must first go through the Arizona Department of Health Services to obtain a “certificate of necessity.” In June 2016, Dignity filed an application to provide non-emergency ambulance services to patients in Maricopa County through a company called Community Ambulance.

During the application process, a public process is opened which allows competitors to intervene before an administrative law judge. AMR, which is Maricopa County’s largest ambulance company, has moved forward to oppose Dignity’s “certificate of necessity.” Two other ambulance providers, ABC Ambulance and Maricopa Ambulance have also taken steps to prohibit Dignity from transporting patients with their own ambulances.

According to Neal Thomas, founder of ABC Ambulance, “There are enough providers to serve on the market. We have excess capacity and everybody is fighting to provide calls.”

A hearing date has not yet been scheduled, but when it is, the case will be seen by an administrative law judge. During the hearing, the judge will analyze all the evidence and decide whether to grant the “certificate of necessity” to Dignity’s partner, Community Ambulance. Ultimately, the state Health Department director will decide whether or not the authorize the certificate.

“We believe the market is very well served currently,” said John Karolzak, AMR’s Arizona government and public affairs director. “Other providers in the marketplace agree.”