* Eric Zorn had never heard of the Statehouse’s agreed bill process until he read a letter to the editor. So, he checked into it…

Q. Is it truly “little-known”?

A. Not in Springfield’s halls of power or among the business and labor interests that participate in it. When I ran portions of Gallo’s letter by an assortment of legislators, aides and interest-group officials, many took issue with the characterization. After all, they pointed out, the process has been used routinely for some 30 years, mostly to mediate unemployment, worker’s compensation and other issues in which business and labor interests are in conflict.

On the other hand, the term “agreed-bill process” has only appeared in five Tribune news stories about state government in the last quarter century. And when I asked my sources where and when these stakeholder meetings take place and who, exactly, is invited to participate, the answer was usually vague.

Five times in twenty-five years? Wow. I checked my subscriber archives and found 14 exact phrase matches in the past 18 months. But, that’s my thing, writing about stuff that everybody else in the media ignores.

The process has been used for decades to make sure that neither side gets an unfair advantage in any changes to unemployment insurance and workers’ compensation laws. Labor, business and other stakeholders like local governments and doctors and hospitals (in the case of workers’ comp) all effectively have veto power over everybody else’s proposals.

People once thought the process worked well, until the last workers’ comp agreed bill process produced a badly flawed law that skyrocketed costs here. The system was abandoned this year and a bill was run that was hotly opposed by the docs and hospitals and had lukewarm backing by some business and most of labor. But the system is still in place for unemployment insurance. Whether that’ll last is anybody’s guess. The state’s UI system is deep in the red and a fix is gonna be painful.

* The subject came up for Eric because of an effort by AARP to repeal a state law that reduces Social Security and disability retirement checks by half when seniors collect unemployment benefits. Illinois is just one of two states with such a law on the books. But because the item is subject to the agreed bill process, it can’t move on its own…

Repeal advocates say the offset reduces benefits each year for more than 17,000 Illinois residents over age 62. Opponents say that repeal would cost the strapped state unemployment insurance trust fund some $55 million annually and argue that hike would increase costs to business.

The proposed repeal has been introduced in Springfield every year since 2002, but despite bipartisan sponsorship, has never even gotten a vote in committee, much less a full floor debate. Repeal supporters contend that it dies at the whim of unelected advocates operating in the shadowy recesses of the agreed-bill process.

Thoughts?

* Meanwhile, yeesh…

More than three-quarters of Illinois high school graduates aren’t completely ready for college, based on their ACT scores, state results of the college-admission test released Wednesday show.

Only 23 percent of Illinois’ 2011 high school graduating class — public and private — met college readiness standards in all four ACT subjects tested: English, reading, math and science.

The biggest drag on preparedness, data showed, was college-readiness in science. There, only 28 percent of the 2011 Illinois graduating class scored high enough to predict they will probably land a C or better in the typical college freshmen science course in biology, the ACT report indicated.

Among the state’s African-American students, only 6 percent met that same college-ready science bar.

But…

And although Illinois is one of only four states that require all public high school students to take the ACT, its composite is not that far from the national average of 21.1, noted Mary Fergus, spokeswoman for the Illinois State Board of Education.

* Lots of state workers and retirees breathed a sigh of relief yesterday…

A legislative panel has cleared the way for Illinois to extend temporary health insurance coverage for state employees through June 30.

The Commission on Government Forecasting and Accountability voted 8-1 Tuesday for the extension.

The state now must negotiate new contracts with health insurance companies.

The temporary contracts were set to expire Sept. 28 and were put in place as litigation over state health insurance plans works its way through the courts.

* This decision took way too long…

A state health planning board has voted to approve Cook County’s controverial plan to close Oak Forest Hospital.

The Illinois Health Facilities and Services Review Board voted 7-1 Tuesday in favor of the proposal. One board member voted present. All three new board members appointed recently by Gov. Pat Quinn voted for the county’s plan.

But the vote included a condition requesting county officials return in one year to update the board on the implementation of their plan to convert the hospital to a regional outpatient center. The board also requested the that the county inform the board if they encounter any difficulty getting other local hospitals to take former Oak Forest patients.

The county now plans to close the hospital by Sept. 1.

* But hospitals are up in arms about this decision…

The Illinois Department of Revenue this morning denied three hospitals — including prominent Prentice Women’s Hospital at Northwestern Memorial — their property tax exemptions, a move that could force the hospitals to shell out millions of dollars a year in taxes.

Edward Hospital in Naperville and downstate Decatur Memorial Hospital also were denied, according to one-page rulings the Revenue Department provided.

A department spokeswoman would not specify why the hospitals were denied, referring to a document that outlined a multiprong test the department uses to decide whether a hospital qualifies for an exemption. The test includes a standard that hospitals must dispense “charity to all who need and apply.”

None of the denied hospitals listed uncompensated charity care on their financial statements as part of their exemption requests, the Revenue Department said. But in other records, Northwestern Memorial reported 1.85%, Edward Hospital 1.04% and Decatur Memorial 0.96% of net patient revenue was spent on charity care, the department said.

Appeals are planned…

Edward and Decatur Memorial officials say they plan a vigorous appeal. Edward Hospital says it provided $77 million in charity care and community programs last year. Decatur Memorial officials say the denial was based on information from 2006 and they can prove the hospital currently meets the criteria for a tax exemption.

In a statement, Northwestern officials say they disagree with the decision and will review their options.

At stake are millions of dollars in tax revenues for local communities.

* And our quote of the day goes to Rep. La Shawn Ford…

“Marijuana is not a gateway to the next hard drug, but the gateway to prison,” says Ford, who represents a district (the Eighth) that stretches from Chicago’s west side into the suburbs.

* Roundup…

* Quinn signs bill allowing mining near southern Illinois state park

* Big toll hike runs into flak

* The money is gone for burying Illinois’ poor’

* Thousands Dropped From Illinois Cares Rx Program

* CTU argues for better – not longer – school days

* Rockford School District teachers may start year without contract

* City to pay $30 million, hire 111 black firefighters

* O’Connell interested in Cook County GOP Chairmanship