How to Start a NEMT Business in Kansas

Welcome to Kansas, the Sunflower State, where the golden fields stretch as far as the eye can see and the community spirit shines just as brightly. In Kansas, the warmth of the people matches the sunny landscapes, reflecting a character that is both resilient and welcoming. With deep agricultural roots, Kansans embody a blend of hard work, ingenuity and a neighborly heart. It's a place where small-town charm meets forward-thinking innovation, making it the perfect backdrop for your entrepreneurial journey. Just like Bambi and his friends in the forest, in Kansas, you'll find a supportive and nurturing environment that fosters growth and success.

But Kansas isn't just charming; it's caring too. It’s an excellent place in the Midwest to launch your non-emergency medical transportation (NEMT) business for several reasons. From the bustling urban centers of Kansas City, Overland Park and Wichita to the expansive rural areas across the state, there are abundant opportunities to establish your NEMT business.

The NEMT industry plays a crucial role in providing essential healthcare access to everyone. If you have a caring nature and possibly work in healthcare already but are considering transitioning from scrubs to software, starting an NEMT business in Kansas could be an incredibly rewarding career adventure. Whether you're drawn to entrepreneurship by a passion for helping others or by the potential for innovation in healthcare services, Kansas offers a promising environment to start your journey.

As a care-tech company dedicated to supporting our customers and their passengers, we are committed to setting your NEMT business on the road to success. We take pride in providing informative content about the NEMT industry, along with streamlined product features such as Run Bambi Run, designed to save you time in your daily operations. Whether you're a seasoned NEMT broker or a new NEMTpreneur, we're here to assist you in launching and maintaining a sustainable NEMT business.

This Bambi Knows Best series will guide you through each crucial step in starting your own certified NEMT business in Kansas. From researching the local market and crafting a business plan to navigating regulations, securing funding, building your fleet, hiring and training your team and managing essential technology, we've got you covered every hop of the way.

As you dive into your own research, we recommend hiring local consultants and connecting with other NEMT business owners in your area for valuable insights. At Bambi, we believe in growing a forest of friends over frenemies!

Below is a hoof-full of a table of contents that allows you to follow along or click through to the articles that pertain to your particular needs.

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Part 1: Research the Kansas NEMT market
Part 2: Develop a business plan and get registered in Kansas
Part 3: Study Kansas’ regulations and get insured
Part 4: Secure funding in Kansas
Part 5: Flesh Out Your NEMT Fleet in Kansas
Part 6: Hire and Train Up Your NEMT Dream Team
Part 7: Take Care of That Tech

In summary, launching an NEMT business in Kansas requires dedication, meticulous planning, and an unwavering commitment to providing exceptional patient care. By conducting thorough research of the Kansas market, understanding local rules and regulations, securing funding and vehicles, assembling a skilled team and leveraging technology, you can navigate challenges with the agility of Bambi and establish a thriving NEMT business that positively impacts your local Kansas community.

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In This Guide

• Part 1: A Several Part “Bambi Knows Best” State-By-State Series Part 1: Research the Kansas NEMT Market
• Part 2: A Several Part “Bambi Knows Best” State-By-State Series Part 2: Develop a Business Plan and Get Registered in Kansas
• Part 3: A Several Part “Bambi Knows Best” State-By-State Series Part 3: Study Kansas’s Regulations and Get Insured
• Part 4: A Several Part “Bambi Knows Best” State-By-State Series Part 4: Secure Funding in Kansas
• Part 5: A Several Part “Bambi Knows Best” State-By-State Series Part 5: Flesh Out Your NEMT Fleet in Kansas
• Part 6: A Several Part “Bambi Knows Best” State-By-State Series Part 6: Hire and Train Up Your NEMT KS Dream Team
• Part 7: A Several Part “Bambi Knows Best” State-By-State Series Part 7: Take Care of That Tech

Part 1: A Several Part “Bambi Knows Best” State-By-State Series Part 1: Research the Kansas NEMT Market

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Before launching a new NEMT business in Kansas, it's essential to conduct thorough market research. This ensures that you're not entering an oversaturated market and helps identify any gaps in existing NEMT services. For instance, you may find that while there are NEMT providers in your area of Kansas, they only offer services to Adult Day Care centers. This presents an opportunity to expand your services to rehabilitation centers, hospitals and more healthcare facilities. In this section, we'll outline how to get started and where to focus your market research efforts in Kansas.

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1 | Identify existing NEMT providers in your area

Across the state of Kansas, there are numerous NEMT providers servicing both rural areas and urban centers. Directories aggregate these providers, and many healthcare facilities partner with NEMT services. It's wise to explore all options and be bold, like Bambi, by reaching out to them for guidance! Although these providers may be your competitors, they could also become valuable business partners. Approach them thoughtfully to gain insights into your market. Below are some helpful directories, services and providers to begin your search for NEMT business in Kansas:

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• The Kansas Department of Health & Environment is on a mission to protect the health and environment of all of Kansas and so is a great resource for reaching out to find out about NEMT providers across the state.
• Belfast Transportation LLC: Based in Kansas City, Belfast Transportation LLC is a leading provider of NEMT services. They offer ambulatory, wheelchair and out-of-area trips.
• ACC MedLink: Specializing in long-distance medical transport, Kansas Medical Transport provides services from Kansas to other states, covering distances of 200 miles or more.
• Uber Health: Offers HIPAA-enabled NEMT services. Healthcare providers can request and monitor patient rides through their platform.
• The Office of Kansas Medicaid (OCCK) contracts with KanCare providers to offer NEMT services throughout Kansas exclusively for Medicaid-recipient passengers. A minimum advance notice of 48 hours is required for booking.
• Your favorite search engine. Of course, one can always do an internet search via the keywords, “NEMT providers in Kansas” or get more granular with your search by putting in specific municipalities (i.e. “NEMT companies in Wichita”).

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2 | Assess the demand for NEMT services

Determine if there is adequate demand for your NEMT business to enter the market in your local area of Kansas. Also, consider whether you'll be crossing multiple jurisdictional lines or operating within a minimal radius. To make this assessment, research local hospitals, health and wellness facilities, including establishments such as:

• Adult Day Care (ADC) Centers. It is not exactly known how many ADCs Kansas has throughout the state, however a great place to contact would be Kansas Department For Aging and Disability Service (KDADS). Adult Day Services Network is an aggregator of the ADCs in Kansas and Active Day is one of the most prevalent chains operating in Kansas.
• Dialysis Clinics. As of the latest information available, there are approximately 70 dialysis clinics in Kansas. These clinics provide essential dialysis services to patients with kidney disease, including both hemodialysis and peritoneal dialysis treatments. For the most accurate and current count, it would be best to check with the Centers for Medicare & Medicaid Services (CMS), the Kansas Department of Health and Environment (KDHE), or other health regulatory agencies that oversee dialysis facilities in Kansas. They maintain up-to-date records of healthcare facilities, including dialysis clinics.
• Physical Therapy Centers. There are numerous physical therapy centers across Kansas, providing a range of rehabilitation services to patients. Finding the exact number of physical therapy centers in Kansas can be a bit challenging as the information isn't always centrally compiled. However, there are several ways to estimate this. For instance, Kansas Department of Health and Environment (KDHE) would be good to reach out to as they oversee healthcare facilities in Kansas and may have information or a directory of licensed physical therapy centers.
• Hospitals: As of the latest information, Kansas has a total of 141 hospitals. These hospitals include various types such as general acute care hospitals, critical access hospitals, specialty hospitals and psychiatric hospitals. For the most accurate and current count, you may want to verify with the Kansas Department of Health and Environment (KDHE) or other authoritative sources. Some of the major hospital systems are University of Kansas Health System, HCA Midwest Health and AdventHealth Shawnee Mission
• Rehabilitation centers. For exact numbers, we recommend reaching out to the Kansas Department of Health and Environment (KDHE), the Kansas Physical Therapy Association (KPTA) or the American Physical Therapy Association (Kansas Chapter). They can provide more detailed and up-to-date statistics and resources regarding the number and types of rehabilitation centers across the state of Kansas.
• Nursing homes and assisted living facilities.As of the latest available data, there are approximately 340 nursing homes in Kansas. This number can fluctuate slightly due to closures, openings or changes in licensing status. For the most accurate and current count, it's advisable to check with the Kansas Department for Aging and Disability Services (KDADS) or other authoritative sources. These organizations maintain comprehensive databases and can provide detailed statistics regarding nursing homes in Kansas.
• Outpatient care centers. There are a significant amount of outpatient care centers throughout the state — talk to your local hospitals for more information on these numbers.

3 | Decide on a target market

After researching NEMT market opportunities and assessing demand from healthcare facilities, identify the demographic that strategically makes the most sense to target. Will you focus on seniors, individuals with disabilities or a broader patient population? Specializing in a specific group will allow you to tailor your services and marketing strategies more effectively.

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As of the latest estimates in 2023, the population of Kansas is approximately 2.9 million people. The population is varied across the state and includes urban centers like Witchataw, as well as suburban and rural areas.(Source: United States Census Bureau - Kansas Population Estimates)

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4 | Choose a specific NEMT service (or offer them all!)

NEMT providers offer a variety of services in their vehicle fleets, including ambulatory, stretcher and wheelchair support. It's recommended to start with one service based on the needs of your target market and market gaps, and then expand from there. This approach ensures sustainability! Take note of what competitors are doing and either differentiate yourself or identify a niche neighborhood that could benefit from your support. Start with a well-equipped fleet to meet the specific needs of that service, whether it's supporting ADCs or physical therapy centers.

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5 | Understand the different Medicaid delivery models

KanCare is Kansas' Medicaid program administered by the state. Before January 2013, transportation for Medicaid beneficiaries was provided statewide through a broker by the Kansas Department of Health and Environment. Since January 2013, the state transitioned to a mandatory Managed Care Organizational (MCO) approach under a Section 1115 Demonstration Waiver, requiring all Medicaid recipients to enroll in one of three designated health plans, which are the following: are Aetna Better Health of Kansas (Aetna), Sunflower State Health Plan (Sunflower), and United Healthcare Community Plan of Kansas (United).

In Kansas, the Medicaid program primarily utilizes a managed care delivery model for NEMT. And those three aforementioned MCOs provide NEMT services throughout the state.

How it works is that these managed care organizations are contracted by the Kansas Department of Health and Environment (KDHE) to provide comprehensive healthcare services, including transportation, to Medicaid beneficiaries. They manage and coordinate NEMT services for eligible individuals, ensuring they have access to necessary medical appointments and services.

Under Kansas' revamped NEMT program, each MCO is contracted with a broker to oversee medical transportation services. Two health plans have partnered with LogistiCare which is now Modivcare, while the third has engaged Access2Care, a subsidiary of American Medical Response. These brokers operate under full-risk, competitively bid contracts.

Here are some fast KS facts according to report State-by-State Profiles for Examining the Effects of Non-Emergency MEdical Transportation Brokerages on Transportation Coordination:

• NEMT Model is run by Managed Care Organizations
• The Operating Authority is Federal Section 1115 Demonstration Waiver
• NEMT expense is classified as a “Medical Expense” (Source: Kaiser Family Foundation)
• 13% live below poverty (US Census 2015 5-Year Estimates)
• 50% live in Urbanized Areas (US Census 2010)
• $9.9 Million is the estimated annual NEMT 2013 expense (Source 2014 National NEMT Survey)
• 458,030 is the 2013 estimated number of annual NEMT trips

6 | Getting Paid

NEMT fee schedules in Kansas are structured according to the guidelines and rates established by the Kansas Medicaid program. Here’s how it works:

NEMT services for Medicaid recipients in Kansas are reimbursed based on the fee schedule set by the Kansas Medicaid program. This schedule outlines rates for different types of transportation services, including mileage rates for various vehicle types and rates for waiting time.

Kansas Medicaid operates under a managed care model, where some Medicaid recipients are enrolled in Managed Care Organizations (MCOs). These MCOs have specific contracts and fee schedules with NEMT providers. Providers must adhere to the rates and guidelines set by the MCOs when delivering services to their members. Think of it as a quasi-employment scenario.

To receive payment, NEMT providers submit claims for the services they have rendered to Medicaid recipients. Claims must detail the type of service provided, mileage accrued, and waiting times. These claims are then processed by the Kansas Medicaid program or the relevant MCO. Upon verification that the services rendered align with the fee schedule and additional guidelines, payment is issued.

Well done for navigating through this information-packed first part! Now, let's progress to Part 2 on developing a business plan. Click here to continue, or skip ahead to other sections in the series by visiting the table of contents.

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Part 2: A Several Part “Bambi Knows Best” State-By-State Series Part 2: Develop a Business Plan and Get Registered in Kansas

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Now that you’ve gained insights from your Kansas NEMT market research in Part 1, it’s time to develop a detailed business plan. This plan is essential for registration and obtaining funding. If you require further assistance, consider contacting local business consultancies like Kansas Business Services.

We also recommend furthering your research through the Kansas Department of Commerce and The Kansas Secretary of State. Starting a new business in Kansas involves several important steps such as: selecting a business structure, registering the business, obtaining the necessary licenses and permits and understanding tax obligations.

Also, we recommend looking at NetWork Kansas as a valuable resource available statewide that allows entrepreneurs and small business owners to connect with over 500 NetWork Kansas partners throughout the state. This is a great place to learn from each other regarding business plan development and where to look for funding opportunities when the time’s right.

Here is a simple guide to help you through this process:

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1 | Choose a Business Entity

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Decide on the legal structure of your business. Common options include Sole Proprietorship, Partnership, Limited Liability Company (LLC), and Corporation (C-Corp or S-Corp). Each structure has different legal and tax implications so be sure to understand the differences.

2 | Register Your Business Name and Entity

After selecting the entity that best suits your needs, you'll need to come up with a name for it. Both the entity and the name must then be registered with the Kansas Department of Revenue if you are conducting business in Kansas or with Kansas customers.

3 | Obtain an Employer Identification Number (EIN)

Apply for an EIN from the IRS if you will have employees or operate as a corporation or partnership.

4 | Register for State Taxes

You’ll need to register with the Kansas Department of Revenue for state taxes such as sales tax and employer withholding tax.

Great! To proceed to Part 3, which covers Kansas’ regulations and obtaining insurance, click here. Alternatively, you can skip to other sections in the series by visiting the table of contents here

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Part 3: A Several Part “Bambi Knows Best” State-By-State Series Part 3: Study Kansas’s Regulations and Get Insured

How to Start an NEMT Business in Kansas: A Several Part “Bambi Knows Best” State-By-State Series

To successfully launch your NEMT business in Kansas, you must navigate both state and federal regulations. This involves understanding the specific registration and compliance requirements in Kansas, as well as adhering to federal guidelines.

1 | Find out Kansas's NEMT Requirements

Kansas has specific licensing requirements for NEMT providers. Visit the Kansas Public Health Association and Kansas Department of Transportation for detailed information on obtaining the necessary NEMT licenses and permits.

2 | Stay on top of federal NEMT regulations

NEMT services are also subject to federal regulations established by the Centers for Medicare & Medicaid Services (CMS).. Ensure you are familiar with these federal requirements before starting your business operations.
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3 | Get insured

Securing the appropriate insurance coverage is crucial for establishing a reliable and legally compliant NEMT business. This insurance protects your company, employees and patients against accidents, injuries and other unforeseen events. While ITR is one provider that can cover specific aspects, you will need various types of insurance to fully protect your business.
4 | Obtain necessary licenses and permits

Check with local city and county offices, as well as the Kansas Insurance Department for specifics around NEMT businesses.

5 | Know your employer responsibilities

If you hire employees, you’ll need to comply with employment laws, including workers' compensation insurance, unemployment insurance and the reporting of new hires. The Kansas Department of Labor is a great source of information on this topic!

By following these steps and utilizing available resources, you can ensure that your new business in Kansas is established correctly and complies with state regulations.

You're making great progress in learning about the NEMT business in Kansas — keep it up! To proceed to Part 4 on securing funding in Kansas, click here. Alternatively, you can explore other sections in the series by visiting the table of contents here.

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Part 4: A Several Part “Bambi Knows Best” State-By-State Series Part 4: Secure Funding in Kansas

Here’s an initial list of some of your options in Kansas:

1 | Small Business Loans

The SBA offers various loan programs for small businesses, including the 7(a) loan program, which provides financial assistance for businesses with special requirements.

Kansas Association of Certified Development Companies (KACDC) is also a good place to look for small business loans.

2 | Financial incentives

The Kansas Department of Commerce offers several programs and resources for new businesses, including financial assistance and incentives.

3 | Grants

While direct grants specifically for starting a business are rare, there are grants available for specific purposes such as technological innovation and rural development. If you’re providing NEMT services to Kansas rural residents, you might even have a chance at a grant! Grants.gov is a comprehensive resource for finding federal grants.

You're over halfway through this comprehensive series! To proceed to Part 5 on expanding your NEMT fleet, click here. Alternatively, you can navigate to other sections in the series by visiting the table of contents here.

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Part 5: A Several Part “Bambi Knows Best” State-By-State Series Part 5: Flesh Out Your NEMT Fleet in Kansas

Select your vehicles: Invest in comfortable and accessible vehicles that meet the needs of your patient population. Consider features like wheelchair ramps or lifts to comply with Americans with Disabilities Act (ADA) regulations.

Pick your supporting equipment: There are various equipment options to enhance your fleet, such as ramps, lifts and first-aid kits. Conduct local research to find reputable brands that align with your sustainability goals. Supporting Kansas businesses can also improve efficiency and environmental friendliness.

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Maintain regular vehicle checks: Establish a comprehensive maintenance plan to keep your fleet safe for everyone, including the environment.

You’re almost there! To proceed to Part 6 on hiring and training your dream team, click here. Alternatively, you can skip to other sections in the series by visiting the table of contents here.

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Part 6: A Several Part “Bambi Knows Best” State-By-State Series Part 6: Hire and Train Up Your NEMT KS Dream Team

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Part 7: A Several Part “Bambi Knows Best” State-By-State Series Part 7: Take Care of That Tech

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