Chatham-Kent's (CK) council has approved a multi-million dollar cheque to keep its EMS service.
Medavie EMS signed a five-year contract back in 2024 for over $82 million.
Included in the agreement was a clause allowing the ambulance service to end the contract if it couldn't provide normal services due to circumstances beyond its control. It officially invoked the clause, citing rising employee costs.
"These increases were far above the estimates used when Medavie bid on the contract and are similarly being experienced in the ambulance sector across the province, including those with municipally run services," read a report created by the municipality's administration.
Roughly $225,000 will come out of the Labor Relations reserve to cover increased costs for the rest of 2026. The remaining funds would come from future budgets.
Due to a lack of prior bidders to oversee the municipality's EMS service, also approved the process to fill the next contract, which would take effect on January 1, 2030, should start in 2027.
The financial adjustment was approved unanimously.
