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Wed, 10 Aug 2016
The State's Ongoing Failure to Pay
It’s high season for solicitation letters from your favorite nonprofit social service organizations. But this year, if you are in Illinois, you are likely to see something very different. The request won’t tout their effectiveness and the need for you to open your pocketbook just a little wider so they can do more. The request will be a plea for you to open your pocketbook a whole lot wider so they can survive. This year your money won’t be used to expand and serve more clients, but rather to fill the glaring gaps left by the State’s failure to pay contracts since July 1, 2015. Some of these nonprofit agencies will talk about devastating cutbacks to staff and programming; others will talk about being steps from closing their doors. Many will tell you that this year your donation could be the dollar that keeps them in business.

For 13 months the State has forced hundreds of social service companies and agencies to become their creditors - gladly accepting their services, but not paying their bills. Now the social service agencies are turning to the citizens of Illinois and asking - no, begging - them to step in because of the void left by the State. It seems that everybody is doing their part to help the vulnerable populations of Illinois. Everybody that is, except some of Illinois’ elected officials.

While political bluster about the stopgap budget - Public Act 99-524 - garnered lots of headlines, it failed to solve the problem of paying overdue contracts in full and immediately. While some money has trickled in to some social service agencies, it’s been haphazard, erratic, unpredictable and certainly incomplete. The result is that Pay Now Illinois plaintiffs have no mechanism for the financial planning that is part of best business practices because they don’t know how much payment to expect, when to expect it or what will happen next. All of this uncertainty - it’s no way to run a business. But it’s exactly what the State is demanding of the agencies and companies they hire, but don’t pay. That’s why we took our case to Circuit Court to seek a preliminary injunction for immediate and full payment of our contracts. The next hearing date is August 31.

Pay Now Illinois - so we can get on with best business practices.
Posted 12:46


Insurance "Fraud"
In addition to this, Rauner stopped payment on certain state-administrated health insurance plans (mine is one). Here's how it works: I pay my monthly premium to the State University Retirement System for a PPO (administrated by Cigna), and then the state does nothing. Cigna says they cannot pay the doctor because the state hasn't released the funds....but Cigna gets my monthly premium regardless. So I pay my premium every month. I pay my deductibles. If I go to the doctor, the doctor does NOT get paid because Rauner has blocked these payments. Therefore, eventually the doctor's office (or dentist's office or lab) starts hounding me for the remaining payment, even after I've paid my allotted share. E.g., I had a lab bill go into collections not because it wasn't (eventually) paid, but because the lab had to wait over a year to get paid. I had to prove to the lab and to the collections agency that the bill had been paid -- for no other reason than Rauner is a tyrant and not a governor. Basically what this means is that anyone on this health plan gets the "pleasure" of paying a monthly premium and then paying full-price for all medical visits with the hope that at some point in the future you'll get reimbursed by the state. The state is taking my money every month for health insurance that I basically don't get. How is this not fraudulent?
Posted by Jay

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