The Chicago Tribune recently published an article detailing a dispute between the Village of Tinley Park and Trace Ambulance, a local provider that had served the community for over three decades. This summer, the village made the decision to end its 35-year partnership with Trace, claiming the move would result in significant cost savings. However, just days after the contract officially ended, the village received a startling final invoice from Trace for nearly $500,000.
According to Trace President Christopher Vandenberg, the bill was for fees that had typically been waived in the past. “It’s pretty clear we’re owed this money,†he said. The village, however, has refused to pay and has not publicly commented on the matter, citing potential legal action.
In a letter obtained through an open records request, Tinley Park Treasurer Brad Bettenhausen stated, “We do not believe that Trace is or ever was entitled to any additional compensation for these claimed amounts.†The financial conflict began in July, when Tinley Park awarded a $3.7 million contract to Kurtz Ambulance, a competitor based in New Lenox. Kurtz’s bid was 21% lower than what Trace had offered, officials said.
Trace argues that their expired contract included a clause stating the village would pay $200 per hour for any additional ambulance services beyond the number stipulated in the agreement. After being dropped, the company calculated the hours since May 2010 and sent a final invoice totaling $492,206. The village was taken aback by the amount, as they had never been informed of such charges before.
Bettenhausen noted in his response that if such fees had existed, they should have been billed regularly throughout the contract period. “No such notice or billing of such charges has occurred,†he wrote. The village also questioned the accuracy of the charges, saying it could not find any record of having requested the extra service.
On September 5, Vandenberg responded again, reiterating Trace’s demand for payment. Bettenhausen once more denied the request, pointing out that Trace had never previously claimed entitlement to additional compensation for backup ambulances. Vandenberg insisted that the company had historically waived the charge during negotiations.
The tension first became apparent at a public safety meeting in May, where village officials revealed that Kurtz's bid was significantly lower than Trace’s. Vandenberg and Brian Dolan, an executive from Trace’s parent company, attended the meeting and warned the village that ending their partnership could carry risks. Trace had provided ambulance services to Tinley Park since 1979, with only a brief interruption in the 1990s.
Vandenberg also mentioned that during contract negotiations, village officials had asked for cost reductions due to the weak economy, which Trace agreed to. The decision to hire Kurtz, made during a July 1 Village Board meeting, sparked controversy. Some residents and Trace employees criticized the board for cutting ties with a local business that had deep knowledge of the area.
This ongoing dispute highlights the complexities of long-term service contracts and the challenges that arise when organizations seek to reduce costs. As the situation unfolds, both sides remain firm in their positions, leaving the outcome uncertain.
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