* From Ed McManus…
The State of Illinois now says that it has paid providers for July and August developmental disability services–a total of $120 million. Late this morning, attorneys for the Rauner administration and comptroller Leslie Munger complied with U.S. District Judge Sharon Coleman’s order, which was issued Wednesday after attorneys for the people with disabilities asked her to hold state officials in contempt of court.
“As of Aug. 28, the Department of Human Services has processed all vouchers for community-based services . . . that would have been provided in July and August 2015″ on the same schedule as in previous years,” the lawyers for the state said, and “as of Aug. 28, the comptroller has paid all of the vouchers.” (State’s filing attached)
Ed McManus, a Wilmette-based consultant to many of the providers, said it is good news. “But we never should have had this payment crisis in the first place,” McManus said. “These agencies serving some of the state’s most vulnerable residents have waited two long months, ever since the new fiscal year began July 1, providing group-home and home-based services without getting paid a nickel. Many of them had exhausted their reserves and maxed out their lines of credit, and they were on the verge of collapse, which would have left the thousands of people they serve homeless. What kind of a state do we live in, where our government would allow this to happen?”
Attorneys for the state said between Aug. 18 and 27, the comptroller has made $786 million in payments to entities not covered by the Ligas consent decree–including state employee payroll, debt service, aid to schools, state retirement systems, child care, foster care and Medicaid providers. Details of those payments were submitted to the judge.
“The payments in this case do not exist in a vacuum,.” the state said. “They compete against the state’s other obligations, many of which are also covered by court orders. The state is operating at a deficit of a minimum of $300 million per month to make payments necessary to cover all of the state’s priority obligations. . . . Because of the state’s cash flow problems, the comptroller must evaluate on a daily basis the amount of cash on hand and determine which payments may be made. While the state will continue to diligently process payments to providers under the Ligas consent decree, it is not possible for the state to commit to making each of many specific payments on specific days.”
State officials face “extraordinarily difficult circumstances posed by the state’s current budget crisis and cash-flow problems,” the lawyers said, and therefore the judge should deny the request for a contempt order. Also, the judge should “clarify that compliance does not mean doing the impossible.”
The state had said at a court hearing Wednesday that $76 million in bills had been paid. The additional $44 million was paid since Wednesday, they said.
* From the state’s filing, which is here…
Per this Court’s August 26 Order, a list of payments the Comptroller has made since August 18 to entities not covered by this Court’s June 30 and August 18 Orders is provided in Exhibit B and the attachment thereto.
In broad terms, between August 18 and August 27, the Comptroller has made $786.4 Million in payments to entities not covered by this Court’s June 30 and August 18 Orders.
Of this amount, approximately $194 Million was for State employee payroll per court order, $101.8 Million for debt service, $188.4 Million for General State Aid to schools for K-12 education, $233.7 Million for State retirement systems, $8.2 Million for child care, $0.7 Million for foster care per court order, and $10.6 Million for payments to Medicaid providers per court order.
*** UPDATE *** “Exhibit B” can be read by clicking here.
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*** UPDATED x1 *** Question of the day
Friday, Aug 28, 2015 - Posted by Rich Miller
* Yesterday’s story about Mrs. Rauner’s group blasting away at Gov. Rauner’s child care cuts sparked a Mary Mitchell column…
But don’t think this is a real Rauner vs. Rauner showdown.
As president of the Ounce of Prevention Fund, part of Diana Rauner’s job is to keep the organization focused on its mission of supporting early learning programs for at-risk children.
Right now, that mission is being threatened by her husband’s budget ax, but you don’t see Diana Rauner out front on this issue.
Instead, the Ounce of Prevention Fund distributed the unsigned “Action Alert” by email to the organization’s database.
Diana “Rauner signs off on all of our advocacy efforts,” said Megan Meyer, a spokeswoman for the organization.
“I can’t speak to whether she saw this particular alert. The Ounce statement has not been authored under Diana’s name, but she is aware of and reviews all of our statements,” Meyer said.
That makes the situation even more ludicrous.
Frankly, I would have expected Diana Rauner to have greater sway over her husband when it comes to this issue. […]
During Gov. Rauner’s campaign, Diana Rauner argued that her role at the Ounce of Prevention Fund was not a conflict of interest, even though the organization gets a lot of its funding from government grants.
That sounded disingenuous then, and it certainly looks disingenuous now.
I’m not sure that she really substantiated or justified any of her points in that column. So, it’s up to you.
* The Question: Should Mrs. Rauner stay on as president of the Ounce of Prevention Fund? Take the poll and then explain your answer in comments, please.
online survey
*** UPDATE *** From the Ounce…
Dear Editor:
While we applaud the Sun-Times for drawing attention to the Child Care Assistance Program changes, we are disappointed that rather than focus on the impact of changes—the families who are faced with the difficult decision of providing for their families or ensuring their children are safe and cared for—the Sun-Times instead chooses to sensationalize Rauner vs. Rauner in Mitchell: Illinois’ first family at odds over budget cuts.
For more than 30 years, the Ounce of Prevention Fund has fiercely advocated to ensure that young children living in poverty have access to the quality early experiences they need to succeed in school and in life, and that parents have the resources they need to ensure quality experiences for their children.
During this time of unprecedented budget uncertainty and assault on low-income families, the Ounce has been on the front lines with our advocacy partners, battling to urge the General Assembly, governor and administration to work together to find a fair, fully-funded budget that serves all of Illinois’ citizens.
From formal statements conveying our point of view to time-sensitive action alerts activating supporters and media stories highlighting the families and providers at risk, the Ounce has been vocal. We have publicly advocated against child care changes and urged an end to the budget impasse that is holding our most vulnerable citizens hostage. We have worked with partners in early learning and other social services organizations to highlight the impact of this ongoing budget stalemate. And we have worked within all facets of the government, meeting with legislators and the administration, and filing formal complaints, comments and requests for hearing.
As always, our entire organization—from our board of directors to our leadership to our staff—is fully committed to our mission and continues to serve children and families in need.
Anne Lea Tuohy
Chairman of the Board
Ounce of Prevention Fund
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*** UPDATED x1 *** Point, counter-point
Friday, Aug 28, 2015 - Posted by Rich Miller
* Democratic point…
A top aide to the Illinois treasurer said Thursday it was “unlikely” that the state’s cash balance was so low last week that the comptroller couldn’t follow a federal judge’s order to pay for services for the developmentally disabled.
The treasurer’s office pointed to daily balance sheets showing the state began the day on Friday with more than $217 million and ended it with more than $57 million on hand. The treasurer’s office also questioned whether Comptroller Leslie Munger only wrote checks to vendors whom she had to pay.
“Is it possible that the comptroller last Friday only paid those bills that are under some court order? It’s certainly unlikely. It’s especially unlikely given that they ended the day with $57 million,” said Greg Rivara, spokesman to Treasurer Mike Frerichs. ”They certainly could have at least paid some of those individuals on Friday, and she chose not to.”
* Republican counter-point…
“I wish he had contacted us before making such an absurd statement. To look at a balance and say there’s plenty of cash is as ridiculous as looking at my bank account after I’m paid and thinking I have money to burn,” said comptroller spokesman Rich Carter. “That might be true if I didn’t have a mortgage to pay, a car payment to make and kids to put through school. Similarly, the balance in the state’s checkbook has fluctuations as we accrue funds for the larger payments we’re obligated to make. ”
I side mostly with Carter at the comptroller’s office on this one. They have to make payroll, pay bond debt and fund pensions. All that requires them to stockpile money for big pay-out dates. The comptroller’s office has been doing this for a very long time, and they have experienced, non-partisan staff handling this stuff. The treasurer’s office has no such track record.
* However, this is a valid point…
“The comptroller’s office said money is tight because the tax increase was allowed to expire. The tax increase was allowed to expire because the governor asked that it expire,” Rivara said. “If the comptroller’s position is that there is a cash shortage, certainly, part of that is tied to the governor.”
Yep.
*** UPDATE *** Letter from comptroller candidate and state Sen. Daniel Biss…
Illinois State Comptroller Leslie Munger 201 Statehouse
Springfield, IL 62704
Dear Comptroller Munger,
In my capacity as chairman of the Senate committee on Human Services, I write to seek clarification regarding payments to service providers across the state. It is unclear which payments have been made, and perhaps more importantly, the process by which the payments have been prioritized.
In addition to the documentation you will be providing to Judge Coleman, and in the interest of ensuring our most vulnerable citizens receive the care they need and deserve, I hope you can take a moment to respond to the following questions:
1. Under which consent decrees, court orders, state laws, and other statutory obligations are bills being paid?
2. What process was used to determine prioritization of those payments?
3. What are the top highest paid vouchers for July and August?
4. Estimated GRF, CSF and EAF (“general fund(s)”) bills on hand as of July 1, 2015, including
bills by governmental category
5. Estimated FY15 general fund bills on hand projected August 31, 2015
6. Estimated FY16 general fund bills on hand projected August 31, 2015
7. Estimated FY16 monthly general fund state employee payroll, based on average payroll for
month ending July 31, 2015
8. Estimated monthly liabilities incurred pursuant to vouchers submitted under consent decrees including: Memisovski v Maram, Beeks v Bradley, Colbert v Rauner, Benson v Blaser, Williams v Rauner, Ligas v Norwood, B.H. v Tate
Now more than ever our committee needs a clear understanding of the mechanisms by which these decisions are made so that we can effectively advocate for the citizens of Illinois. I appreciate your assistance in guiding us through the details of this process.
I would also like to invite you to a Senate committee on Human Services hearing on September 8th at 10:30 a.m. in room C600 of the Bilandic Building. The committee would appreciate any guidance and information you can provide us, and we would be grateful for your attendance.
Thank you again for your attention to these questions. With more information, we’ll be better equipped to serve our shared constituents.
Sincerely,
Daniel Biss
State Senator, 9th District
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Not there yet
Friday, Aug 28, 2015 - Posted by Rich Miller
* Press release…
The Illinois House is expected to vote next week to override a bill that Gov. Bruce Rauner vetoed, Senate Bill 1229. This bill would strip Rauner’s ability to bargain with the government union representing almost all state workers, the American Federation of State, County and Municipal Employees, or AFSCME. Instead, if an agreement is not reached within two months of negotiating, the state’s next AFSCME contract would be decided by an labor arbitrator.
Last week the Illinois Senate voted to override the governor’s veto of this bill, and the measure now needs House approval. Illinois House Speaker Mike Madigan is urging Democrats to follow the Senate’s lead and strip Rauner’s ability to set the terms of the next union contract, but that might not be what voters want, according to a new poll released today by Illinois Policy Action.
The poll was conducted by Ogden & Fry across suburban Chicago legislative districts. In all districts surveyed, very few voters said their opinion of their state representative would improve if the lawmaker consistently voted with Speaker Madigan. Also, in all of the districts surveyed, more than half of voters said they actually would think more negatively of their state representative if he or she voted with Speaker Madigan the majority of the time.
“Suburban lawmakers hold tremendous sway in the budget battle going on in Springfield, and that’s why these poll findings are so important. Even though voters in these districts elected Democrats to represent them, the poll results show they don’t want their representatives to be proxies for Speaker Madigan,” said John Tillman, CEO of Illinois Policy Action. “Speaker Madigan is putting intense pressure on these suburban lawmakers to support his agenda and to override the governor’s veto of the AFSCME bill. But the polling data is extremely clear: Voters think very negatively of politicians who vote consistently with Madigan.”
POLL QUESTION: Do you think of State Representative [NAME] more favorably or less favorably if s/he votes with Mike Madigan 90 percent of the time?
POLL RESULTS:
State Rep. Deb Conroy, 46th district: 51.4 percent less favorably, 22.2 percent more favorably for voting with Madigan;
State Rep. Scott Drury, 58th district: 57.8 percent less favorably, 18.1 percent more favorably for voting with Madigan;
State Rep. Marty Moylan, 55th district: 54.9 percent less favorably, 19 percent more favorably for voting with Madigan;
State Rep. Michelle Mussman, 56th district: 51.6 percent more favorably, 21.5 percent less favorably for voting with Madigan;
State Rep. Elaine Nekritz, 57th district: 52.2 percent less favorably, 16.5 percent more favorably for voting with Madigan;
State Rep. Carol Sente, 59th district: 55.7 percent less favorably, 21 percent more favorably for voting with Madigan;
State Rep. Sam Yingling, 62nd district: 54.1 percent less favorably, 18.1 less favorably for voting with Madigan.
Those Mussman results are kind of odd, no?
…Adding… The group misprinted the Mussman results. From the pollster…
More favorably 76 21.5%
Less favorably 182 51.6%
Undecided 95 26.9%
…
Also, in order to confidently “move” voters to base their election day decision on a single issue, you generally need numbers in the 70s. We’re a long way from that point right now.
Plus, the campaign hasn’t even started yet. The incumbents haven’t fully made their own cases.
In other words, we’ll see.
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