Capitol Fax.com - Your Illinois News Radar » Appellate court rules against social service providers
SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Appellate court rules against social service providers

Thursday, Jun 15, 2017

* Background is here. Press release…

The Appellate Court dismissed today the Pay Now Illinois coalition suit. A statement from Pay Now Illinois Chair Andrea Durbin is just below.

We are terribly disappointed in today’s ruling from the Appellate Court.

The Appellate Court has directed providers to the Court of Claims for relief. This is at best a theoretical, not a practical remedy. Even prior to the destructive budget impasse, human service providers routinely waited years for a judgement, and then had to wait for a subsequent appropriation to be paid. This process could literally take three, four, or even five years. When providers are due payment for service from an entire year or more, waiting for half a decade for payment does nothing to help providers meet payroll and pay their bills today. Further, the Court of Claims is in no way equipped to handle the massive filings that would result if all providers and vendors who are owed money from the State of Illinois sought relief through this means.

Providers contemplating contracts for FY18 should consider the state of affairs as it exists today. We have no budget for FY17 or FY18, the partisan warfare continues in Springfield, and at this point we have a total breakdown in the functioning of our state. This decision helps to remove some of the uncertainty that providers have faced over the past two years.

Pay Now Illinois still has a case pending in St. Clair County. We expect a decision shortly and certainly hope for a different outcome. We will also evaluate our next steps as a coalition; we have tried to go directly to the Illinois Supreme Court before and will consider whether to pursue that option again.

The real losers from today’s decision are the children, youth, families, and communities we serve – the elderly, the disabled, the homeless, people with mental health needs, or people who are addicted, victims of sexual assault or domestic violence, youth who run away from home or who are in trouble with the law – as well as the hundreds and thousands of employees who come to work each day trying to keep people safe, healthy, and able to achieve their potential. No one should rejoice in this decision.

* The ruling is here.

…Adding… Law Bulletin

The panel rejected the coalition’s assertions that Rauner has acted beyond his gubernatorial authority by entering into contracts which weren’t funded, and then vetoing the appropriations bills that would have funded them.

“The governor was not obligated to approve any or all portions of appropriations bills by the General Assembly,” Justice Eileen O’Neill Burke wrote in the 35-page opinion on behalf of the three-judge panel. “Indeed, both the governor and the General Assembly are constitutionally constrained to propose or pass budgets and appropriations that do not exceed estimated available funds.”

- Posted by Rich Miller        

30 Comments
  1. - RNUG - Thursday, Jun 15, 17 @ 12:35 pm:

    Disappointed but not surprised.


  2. - Oswego Willy - Thursday, Jun 15, 17 @ 12:45 pm:

    Terribly disappointing.

    Signed contracts with no intent on paying them, and no recourse for abiding by your end of the contract… and it’s the doing of social service work, no less…

    Very sad.

    My best to the coalition, and to Ms. Durbin.


  3. - No Raise - Thursday, Jun 15, 17 @ 12:45 pm:

    I would hope that any provider of goods or services to the state be given notice by CMS of the repayment scenario and that the provider sign off on this. Can’t believe any providers are unaware of this claims-delay situation but at least if they sign off that they will accept their 9% interest with understanding of the payment delay it would indicate some level of fundamental fairness and knowledge.


  4. - Rich Miller - Thursday, Jun 15, 17 @ 12:47 pm:

    ===Terribly disappointing===

    I feel bad for them. But if the courts allow bills to be paid without legislative appropriations, then the governor would have limitless spending powers. Not a good thing.


  5. - Andrea Durbin - Thursday, Jun 15, 17 @ 12:51 pm:

    No Raise, most of us do not get prompt pay interest. We have passed a bill this year to promote Prompt Pay Equity, but have heard that the Governor will veto on the basis of “we can’t afford it.” That did not stop the GA from passing (by a much wider margin) a bill to give utility companies prompt payment interest. Just thought you would like some facts.


  6. - Oswego Willy - Thursday, Jun 15, 17 @ 12:54 pm:

    ===I feel bad for them. But if the courts allow bills to be paid without legislative appropriations, then the governor would have limitless spending powers. Not a good thing.===

    Yep. Agree. That’s why I find it disappointing.

    The importance of the budgetary process and following the governing principle, that is more important, well beyond today and the ruling.

    I’ll be anxious to watch other rulings that are along this parameter too.


  7. - RNUG - Thursday, Jun 15, 17 @ 1:06 pm:

    So … now it’s going to be interesting to see if the Illinois Court of Claims will agree the contracts are valid or will claim the non-appropriation exception.


  8. - Mama - Thursday, Jun 15, 17 @ 1:43 pm:

    Can someone tell me if this ruling will apply to everyone (including doctors and dentist)whom contracted with the state & provided services, but they have not been paid?
    Thanks


  9. - RNUG - Thursday, Jun 15, 17 @ 1:51 pm:

    == Can someone tell me if this ruling will apply to everyone (including doctors and dentist)whom contracted with the state & provided services, but they have not been paid? ==

    This case was mostly about the Social Service agencies​. I assume you are referring to the Group Insurance issue, which is different.

    Specifically to the Group Health issue, the doctors, etc. are getting paid … just up to 2 years late because there is not enough cash.


  10. - Helpless and hopeless - Thursday, Jun 15, 17 @ 2:00 pm:

    “I feel bad for them. But if the courts allow bills to be paid without legislative appropriations, then the governor would have limitless spending powers. Not a good thing.”

    Obviously, the Governor already has “limitless spending powers.” He can keep issuing contracts knowing that they never have to be paid. Where’s the limit on that? Doesn’t that matter to anyone? Where’s the check on the executive branch’s power? For the record, the legislature attempted to appropriate on multiple occasions only to have it vetoed. Even when legislators talk about appropriations, it gets shut down unless it’s attached to “reform.” Here’s some business friendly reform. Don’t issue useless contracts. Don’t allow the stealing of good and services simply because it’s the government doing it. Don’t lie to voters saying you want IL to be compassionate. It’s not compassionate (or ethical) to tell “taxpayers” you are fighting for us when you’re running up billions in bills that we’ll ultimately pay at higher and higher interest rates as our state tumbles to junk bond status. It’s not compassionate for the Exec to say he feels badly for social services providers when he could stop stealing from those agencies, their employees, their clients, and their communities.


  11. - No Raise - Thursday, Jun 15, 17 @ 2:04 pm:

    Unclear on the prompt pay interest comment. Isn’t it true that providers receive 9% on claims 30 days after submission of and/or approval of invoice? CMS advises that medical providers certainly receive this. Please clarify.


  12. - Andrea Durbin - Thursday, Jun 15, 17 @ 2:16 pm:

    No Raise. Only certain providers are eligible for the Prompt Pay interest under the statute. Many are excluded, including all youth service and child welfare providers.


  13. - titan - Thursday, Jun 15, 17 @ 2:32 pm:

    +++ - Helpless and hopeless - Thursday, Jun 15, 17 @ 2:00 pm: … He can keep issuing contracts knowing that they never have to be paid. … +++

    Prior appropriation laws go back into the 1800s, and used to be ultra-rigorously enforced. Vendors need to be aware of the risk of performing services or providing goods if there is no prior appropriation for their contract.


  14. - LTSW - Thursday, Jun 15, 17 @ 2:34 pm:

    Not good news for state employees if you extend the appellate courts reasoning to the employee pay case.


  15. - Helpless and hopeless - Thursday, Jun 15, 17 @ 2:36 pm:

    No Raise. Plus, for those human service providers that are eligible, the interest doesn’t even start until 90 days past due. Don’t you wish you could get that deal from your cable, credit card, utilities companies!


  16. - Amalia - Thursday, Jun 15, 17 @ 2:54 pm:

    feel badly for them, but not only is Justice Burke (this one) smart, but she’s a Dem! sometimes the case does not match the need.


  17. - WWGD - Thursday, Jun 15, 17 @ 2:57 pm:

    Just the worst news ever. All one can do is pray. They are hurting the weak, poor and disabled. So, sad.


  18. - No Raise - Thursday, Jun 15, 17 @ 3:10 pm:

    Thanks for the clarification. I always said that if the constitutionally-protected were not safe from non-payment, then what protection would a vendor even have for default on a regular claim? It’s turning into economic anarchy, but at least vendors have the option of not doing business with the state. Retirees and employees with health insurance claims are stuck.


  19. - RNUG - Thursday, Jun 15, 17 @ 3:27 pm:

    == Unclear on the prompt pay interest comment. Isn’t it true that providers receive 9% on claims 30 days after submission of and/or approval of invoice? ==

    Where it does apply, 1% per month after first 3 months (90 days).


  20. - Seats - Thursday, Jun 15, 17 @ 3:34 pm:

    RNUG - if a state employee turned in a travel voucher in January of 2016 but the comptrollers office said it wasn’t received until January of 2017; and as of June it still hadn’t been paid out. Would that employee be eligible to receive interest on his payment? Thanks


  21. - Bigtwich - Thursday, Jun 15, 17 @ 3:52 pm:

    If I recall correctly, if you win in the Illinois Court of Claims you are not paid until the legislature appropriates the money.


  22. - No Raise - Thursday, Jun 15, 17 @ 3:55 pm:

    RNUG— Do you have any information whether CMS formally notifies providers about the claims delay before the providers sign a contract to provide goods or services to the State, including group health services? Thank you.


  23. - RNUG - Thursday, Jun 15, 17 @ 4:44 pm:

    == Would that employee be eligible to receive interest on his payment? ==

    I have no idea of the current process or rules. Been gone too long.


  24. - RNUG - Thursday, Jun 15, 17 @ 4:46 pm:

    == RNUG— Do you have any information whether CMS formally notifies providers about the claims delay before the providers sign a contract to provide goods or services to the State, including group health services? ==

    Same answer as above, been gone from CMS too long.


  25. - RNUG - Thursday, Jun 15, 17 @ 4:48 pm:

    == If I recall correctly, if you win in the Illinois Court of Claims you are not paid until the legislature appropriates the money. ==

    That’s my understanding also, based on when a relative represented their agency in Court of Claims cases.


  26. - RNUG - Thursday, Jun 15, 17 @ 4:52 pm:

    == Would that employee be eligible to receive interest on his payment? ==

    Adding … back when I was turning in travel vouchers, I don’t recall ever getting any interest regardless of how long it took to get paid … but back then it was rare for a travel voucher payment to be more than 3 or 6 months after submission.


  27. - My New Handle - Thursday, Jun 15, 17 @ 5:21 pm:

    Caveat emptor. A fraudulent governor will sign only fraudulent contracts.


  28. - Union Man - Thursday, Jun 15, 17 @ 7:58 pm:

    State Employees are On Deck!


  29. - Living it daily - Friday, Jun 16, 17 @ 12:08 am:

    I wonder if BVR paid the multi state Lottery pot to stay in again like last year, (without an appropriation)?


  30. - A doctor who cares for Illinois incarcerated - Friday, Jun 16, 17 @ 3:06 pm:

    Physicians are specifically excluded from the Court of Claims.


Sorry, comments for this post are now closed.


* Reader comments closed for the weekend
* Amazon HQ2 site list unveiled
* Out of sight out of mind?
* Frerichs tries to use state investments to prod Facebook into cleaning up its act
* The rise of the billionaire governors
* Camelot promises to grow lottery sales by 40 percent
* Munger tries to defend Rauner veto of Debt Transparency Act
* Rauner: "I can’t comment on any business disputes"
* Question of the day
* Rauner finally takes a stand on a federal issue
* Moody's says "political backlash" against pop tax could make other tax hikes more difficult
* Report: Amazon subsidy could add up to $2 billion
* *** UPDATED x1 *** 10,800 jobs lost in a single month, but Illinois media barely notices
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* MLB open thread
* Yesterday's stories

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............
<


Loading


* Chicago releases list of possible Amazon headqu.....
* Compare possible Amazon sites as Chicago's HQ2 .....


* EXCHANGE: Encounter group spawns group of lifelong friends
* EXCHANGE: Woman finds meaning in helping animals in need
* Medical students in limbo as young immigrant program ends
* Chicago releases list of possible Amazon headquarters sites
* Chicago Public Schools enrollment declines by about 10,000
* Police end investigation of Illinois woman's freezer death
* Group works to reopen Civil War museum in Illinois
* Rauner outlines $200 million in cuts to Illinois budget
* 2nd school forfeits football game at Chicago due to safety
* 2nd school forfeits football game at Chicago due to safety

* Illinois Lottery's new manager projects $4B in sales
* UIS students could study at newly proposed Chicago research center
* Aaron Schock attorneys contest federal claims on misstatements
* Under the Dome Podcast: Will lawmakers address gun control during the veto session?
* Chicago lawyer announces bid for Illinois attorney general
* Illinois borrows $1.5B at reduced interest to pay down debt
* Rauner cuts human services, other area in state budget
* Pritzker makes list of richest Americans; Rauner releases tax returns
* Pritzker makes list of richest Americans; Gov. Rauner doesn't
* Pritzker makes list of richest Americans, Gov. Rauner doesn't

* Is Dem primary over? No, but Pritzker rivals need to pick up pace
* The biggest Chicago-area building sales
* Here are the sites Chicago is pitching to Amazon
* Emanuel's challenges are far from over
* Clarification


* 2 charged after thousands of illegal cigarettes found in Skokie raid
* 3 people shot in Greektown
* Man shot in East Garfield Park
* 24-year-old man shot in Humboldt Park
* Man, 21, seriously wounded in Fernwood shooting
* Man, 42, wounded in Humboldt Park shooting
* Man, 21, shot during armed robbery in Belmont Cragin
* Man grazed by bullet in Oakland
* Re-envisioned ‘Dracula’ a hysteria of blood-letting
* Georgia Nicols horoscopes for Oct. 21, 2017


* How to talk to Holocaust survivors in the future? In Take a Stand's holograms, an answer
* 3 shot at Taco Burrito King in Greektown
* The kindest team in the major leagues
* For Cubs, once may not be enough, but twice had better hurry
* Five key questions facing the Cubs this offseason
* Reputation restoration: Bears rebuilding defense and rediscovering pride
* Reader wonders if parental jealousy is normal
* Georgia lawmaker, the wife of ex-HHS Secretary, asks about quarantining HIV patients
* Judge tosses $417 million award in Johnson & Johnson baby powder cancer case
* Cubs will try to protect pitching prospects while bridging gap to majors


» Lawmaker Says Facebook Refuses To Fact Check Ads
» State Week: Chasing Amazon, Bonding Debt
» Teaching Kids To ‘Say Something’ In An Era of School Shootings
» Illinois Issues: Cities Lose Out On Retail Tax As Online Shopping Booms
» What Could Hurt Chicago’s Bid For Amazon’s HQ2?
» At CPS, More Special Education Dollars Go To White, Wealthier Students
» Illinois Bond Sale To Help Pay $16bn Debts
» Mayor To Propose Higher Prices For Ridesharing, Big Concerts
» WBEZ Investigation: CPS Secretly Overhauled Special Education At Students’ Expense
» How's The Illinois Economy? For Rauner Administration, Depends On The Audience


* Guest Column: What taxpayers should demand from next attorney general
* Ed Rogers: The Democratic Party's obsession with Hollywood celebrities was bound to blow up
* Illinois Lottery's new manager projects $4B in sales
* Counterpoint: Updating antiquated systems will open door to transparency
* Point: Taxpayers deserve a better look at the state’s bills
* Thumbs Up: To recent acts of kindness in Springfield
* Eugene Robinson: Trump's the one who didn't know 'what he was signing up for'
* UIS students could study at newly proposed Chicago research center
* Aaron Schock attorneys contest federal claims on misstatements
* Illinois Trial Lawyers Association: U.S. Chamber Poll is another attack on the rights of Illinois citizens


* Safe driving: Fatal teen accidents halved in last decade
* Photo: Light in the dark
* Morgan County sees population increase between 2011-2015
* Police Beat
* Reader photo: Color of night
* Illinois Lottery
* Upcoming Services for Oct. 21
* Pearl Zanotti
* Irene Astin
* Karrie K. Sims


* The Latest: Munich police arrest suspect, say motive unknown
* With single weekly flight, remote St. Helena extends welcome
* WHO chief selects Zimbabwe's Mugabe as 'goodwill ambassador'
* The Latest: Spanish Cabinet meets to act on Catalonia
* Germany: Police say several people stabbed in Munich

* Naperville's Lauren Underwood to run for R...
* Rival: Kinzinger not conservative - MyWebT...
* Measure extends term of FSOC independent m...
* Helsinki Commission urges Erdogan to end p...
* Dissident artist Ai Weiwei and US Rep. Ran...
* Hultgren 'disappointed' about potential re...
* Democratic 14th Congressional District can...
* GOP congressmen say Rauner 'let down' Illi...
* Bipartisan group of lawmakers pushes job t...
* Hundreds of high school students tour Smit...

* Rock Island gets $971183 in federal grants......

* Rock Island gets $971183 in federal grants......
* Rock Island gets $971,183 in federal grant......

* Do knee-jerk pols put any thought into votes they cast on govt. business?
* Chicago Design Week’s best events
* Illinois teacher retirees: What the hell is Walgreen’s up to?
* Raimondo and Rahm make an offer to Amazon. It’s a secret.
* Will Third Time Be The Charm For 4537 N. Clark?
* The Chicago Trib’s scab columnist John Kass calls me a fanatic.
* Hitting Left with the Klonsky Brothers episode #37. Charles Thomas.
* Live From the Green Mill... It's Saturday Night!
* Forgotten Chicago Talks About Chicago's Arcade History, Saturday At The Bezazian
* Positive Loitering At Wilson/Broadway Tonight 6PM - 7PM


* Illinois Awarded Funds to Offer Advanced Training on Detecting Impaired Driving
* Illinois EPA Announces Upcoming Household Hazardous Waste Collection Events
* IEMA Highlights Emergency Preparedness for People with Access and Functional Needs in May - Ready Illinois website offers preparedness tips for people, caregivers
* First Lady Launches Illinois Family Connects
* Governor and Lt. Governor Unveil 2016 Journal of Local Government Shared Service Best Practices

  
* Redesigning the TechCrunch app
* JerryRigEverything slams Pixel 2 durability
* Google Pixel 2: A Fantastic First Impression (Video)
* Google Home Mini starts shipping, Verizon promotes JBL Link 300
* Sharp AQUOS R compact tucks selfie camera into under-5-inch display
* Google kicks off Playtime 2017 for app developers
* Better pictures of OnePlus 5T leak with 2:1 display in clear view

* Petricka undergoes surgery on right elbow
* Avisail sees similarities in rebuild, stellar year
* White Sox Arizona Fall League overview
* Ron Gardenhire’s second chance back in AL Central
* Jimenez among prospects in winter leagues
* The five longest White Sox home runs of 2017
* We may as well talk radical realignment


Main Menu
Home
Illinois
YouTube
Pundit rankings
Obama
Subscriber Content
Durbin
Burris
Blagojevich Trial
Advertising
Updated Posts
Polls

Archives
October 2017
September 2017
August 2017
July 2017
June 2017
May 2017
April 2017
March 2017
February 2017
January 2017
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005

Syndication

RSS Feed 2.0
Comments RSS 2.0
WordPress




Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller