Capitol Fax.com - Your Illinois News Radar

That funding is not what it appears

Posted in:

Illinois

* In what could turn out to be the most misreported story of the summer, we keep reading that the new budget “deal” funds private social service providers at 87 percent of last fiscal year. That just isn’t so.

Doug Schenkelberg at the Heartland Alliance, for one, claims that some providers will see cuts closer to 30 percent. And it may be a whole lot more once the governor finishes with over $2 billion in mandated spending cuts and agency reserves.

More…

Meanwhile, even the social service agencies supposedly rescued by the budget agreement aren’t confident. The budget supposedly funds community-based services at 87 percent of last year’s level. But how the money is distributed is up to Quinn.

“We’re still in the dark,” said Dale Morrissey, chief executive officer of the Champaign-based Developmental Services Center. “They’re telling us it will be seven to 10 days at the earliest before we’re going to know what’s going on.”

Morrissey said social service providers don’t know how funds will be awarded, so he can’t make any decisions on reinstating laid-off employees.

From the AP…

The budget, which Quinn signed Wednesday, promises cuts of 13 percent instead of 50 percent in grants to service providers. But that’s an average — he could end up giving some programs full funding and slashing others more deeply.

And the governor and legislators warn that the new budget is far from solid. Quinn could order more cuts at the end of the year.

So additional money now will be nice, but no one will rush to spend it, said Janet Hasz, executive director of the Supportive Housing Providers Association, whose members run programs to shelter the homeless and mentally ill, those with chronic physical illnesses or substance-abuse problems.

* And then there’s the $3.2 to $3.6 billion in payments owed to vendors and providers which be delayed even further by this budget. Many social service providers haven’t been paid in months, and they’re gonna have to wait even longer now. It’s a double-whammy. The state cuts what it’s sending them and it’s delaying paying what’s already owed. Not good.

* Wishful thinking…

“The state of Illinois may have let these people down, but the citizens aren’t going to let that happen,” said Pekin resident, Suzan Tisdale. Frustrated with the state’s budget issues Tisdale is going around it.

She is organizing a concert in Pekin’s Mineral Springs Park on July 25. The proceeds will benefit four agencies that support Illinoisans with developmental disabilities. “Do it yourself, you’re probably going to raise more money in a faster amount of time and you won’t have all the bureaucracy and red tape to go through,” she said.

There’s no way that little concert will raise “more money” than the state funding unless they get some really big names to Pekin.

* True…

Yet, we’re encouraged to look on the bright side. “It does avoid a meltdown,” said Senate Minority Leader Christine Radogno. “More importantly, it avoids a tax increase.” Apparently that’s Illinois’ new threshold for success: Anything short of a complete and unconditional collapse and our legislators deserve a standing O.

* Related…

* Plunging Revenue Squeezes State Budgets Further

* Illinois Agrees on a Budget but Fails to Solve Deficit Issue

* Illinois Budget Gives Quinn Broad Authority

* Budget passed; Quinn must meet challenge to cut

* Behind the numbers of the new state budget

* Illinois’ ’stable budget’ loaded with buts

* Good, bad and ugly in the budget

* More profiles in failure

* SJ-R: State’s embarrassing new budget fixes nothing

* Illinois State Budget Up in the Air

* Social services could return with new budget, but funding will be lower

* State budget lacking details?

* Budget deal not clear-cut on social services

* As more state cuts loom, hard for agencies to plan

* Unions in limbo over state budget

* Citizens Pick Up State’s Slack

* Stimulus funding produces little education excitement

* State seeks $3.5B in stimulus funds for rail

posted by Rich Miller
Friday, Jul 17, 09 @ 11:14 am

Comments

The percentage of the cuts isn’t accurate, mainly because even under the 50% budget, the cut weren’t equitable. Some programs got cut by up to 75% or more, or completely eliminated. So even if the number is 30%, there is no way to know exactly how those dollars are going to be spent. The Department of Human Services has already shown they most likely will not go throught their line items from FY09 and equitably cut from programs. They are going to pick and choose which ones get funding and at what levels.

Comment by Really?? Friday, Jul 17, 09 @ 11:20 am
Sounds like one big mess! Too bad those organizations that do some real good in our communities are getting the shaft! Wonder how many pork projects are out there!

has anyone heard about all the state layoffs…. have all the notices gone out for the 2600 state employees…..or has Quinn added more I haven’t heard anything on that end….

Comment by what a mess Friday, Jul 17, 09 @ 11:27 am
It makes you wonder why Quinn made the deal. It’s lousy government and he will wear the jacket for all of it.

Comment by wordslinger Friday, Jul 17, 09 @ 11:41 am
One of the linked articles says that 600 layoff notices have gone out but they aren’t effective until September 30. So, Quinn could withdraw them.
Despite all of Quinn’s hype about the terrible sacrifices facing state government employees, it doesn’t sound as if anyone has actually lost a state job yet. Maybe a few upper level, long-time hacks, but I doubt it. They have protection, whether they do any useful work (they don’t) or not.

Meanwhile, unionized state employees (97 percent of them) have a total wage package of 15 percent over four years according to another article above. They’ll get a 4 percent raise this year and a 4 percent raise next year if the article is accurate. Then they’ll get a six!! percent raise the year after that! Lots of manager types (the ones in the union now since last year) will probably see their salaries move into the $100k range under our Pat and the Dems, and a lot of the ones who got into six figures under our Blago will move along to the approach or exceed the $125,000 range because they’re making a ton o money money now and the raise will be on top of that.And don’t forget overtime. For some frontline supervisors in agencies like DCFS we are talking really big bucks. $150k maybe–salary and overtime?

Under the Dems, and particularly under the hapless Quinn, who has demonstrated that he can’t fire anybody, it’s happy days for state employees, no matter what they are telling the press.

Comment by Anonymous Friday, Jul 17, 09 @ 11:47 am
++The percentage of the cuts isn’t accurate, mainly because even under the 50% budget, the cut weren’t equitable. Some programs got cut by up to 75% or more, or completely eliminated. So even if the number is 30%, there is no way to know exactly how those dollars are going to be spent.++

I completely agree. The 30% we put out there was in terms of a general baseline. It is really going to vary from program to program.

Comment by Doug Schenkelberg Friday, Jul 17, 09 @ 11:49 am
One of the things that concerned me were the way funds were put in the ‘budget’. X amount of funds for “bargaining unit employees” and x amount of funds for “non-bargaining unit employees”.

Gives the impression this isn’t totally about ’savings’ in any made cuts.

Comment by Cindy Lou Friday, Jul 17, 09 @ 11:54 am
What did you expect something that really works?We have watched this bunch for 6 years and the only change is who the governor is.

Comment by Mike an Ike Friday, Jul 17, 09 @ 11:54 am
Before you get hysterical @ 11:47 there is no mention in the article that seems to remember that July 2010 is also when they take a ‘peek’ at how the health insurance premiums are holding up. Don’t get too excited just yet over any ‘raise’ scheduled for the time period.

Comment by Cindy Lou Friday, Jul 17, 09 @ 11:57 am
Those agencies still around have two options - close their doors due to the low rates in FY 10, or accept that they will be flooded with clients because others in their region have dropped out of the service. And the more state funded clients you take, the more you lose.

The Not for Profit mandates that non-profit organizations manage themselves in a feduciarily sound manner. That may prohibit many groups from accepting their new state contracts.

The issue is state government officials — or the one that really matters, the Speaker of the House - putting political considerations miles ahead of governing responsibilities.

Really, if Terry Parke were the current Speaker of the House, could things be any worse?

Comment by Capitol View Friday, Jul 17, 09 @ 11:58 am
Just as strongly as I oppose tax increases without first cutting, means-testing, reforming, merging and purging government, I will fight anyone who wants to believe that state workers in Illinois are a expendable commodity. It isn’t true, and hasn’t been true for almost a decade.

Illinois has a ratio of state workers to citizen that nearly all other states strive to accomplish. Since the roll-out of computers and the Internet, state worker productivity in Illinois continues to increase, even as payrolls have dropped due to retirements. As Illinois state workers improve, so does their pay. To those citizens who believe that improved performance should result in improved pay - Illinois has been doing just that. So while we have been hearing how much each Illinois state worker earns in pay and benefits, we also have the proof that they earn it.

You want to see professionalism in state government? Don’t look to other states for examples - because they are looking here.

While I do not like seeing my wages wasted, I know that they are not being wasted when spent on the personnel behind the desks in our state offices. Yes, I believe there are redundancies and we can benefit from agency mergers, but if you want to know how to accomplish this - ask the state workers who know, not the legislators.

For those who believe that we can cut our government costs by cutting and laying off state workers, you are barking up the wrong tree.

Comment by VanillaMan Friday, Jul 17, 09 @ 12:00 pm
—
Under the Dems, and particularly under the hapless Quinn, who has demonstrated that he can’t fire anybody, it’s happy days for state employees, no matter what they are telling the press.
—
Score one for the state employees. Here’s hoping they can avoid the layoffs altogether.

There’s no reason to layoff state employees when it’s clear that the budget can’t be fixed with cuts.

Comment by Macbeth Friday, Jul 17, 09 @ 12:18 pm
Anonymous:

Just where do you get your info about state employee salaries ? The facts are that state managers did not get a raise for years. Adding injury to insult, we were required to pay our pension contribution, which cut our pay another 4%. If you really knew what you were talking about, you would know that a large number of managers & administrators make less money then the people they supervise. I am 1 of the managers that got into AFSCME as of May 4. Even after all of the raises I receive under the contract, I will be nowhere near a six figure salary. This is with 29 years of state service.

Comment by Fed Up Friday, Jul 17, 09 @ 12:40 pm
in the end quinn will do whatever is politically expident and in his political interest. this has been his m.o. since he replaced blago. he really wants to remain governor at any and all cost.

Comment by Will County Woman Friday, Jul 17, 09 @ 12:47 pm
VM 12:00
I miss your kind of Republicanism at the national level.
To remove any doubt, this is intended as a complement. You would be a welcome addition to Dem side.
Not intended as an insult. ;>)

Comment by Ill_will Friday, Jul 17, 09 @ 2:23 pm
Illinois new motto - why solve a horrendous problem today when you can put it off until it become a catastrophe.

Comment by Ghost Friday, Jul 17, 09 @ 3:24 pm
I am not a Republican. I am not a Democrat. I am a conservative. I am a pragmatist. I am someone who respects proven traditions.

I consider any welcome given to me by any party as a compliment, except for that one that nominated Cynthia McKinney or Ralph Nader.

Comment by VanillaMan Friday, Jul 17, 09 @ 4:34 pm