State Budget Stalemate Continues to Cause Real Pain — To Real People

January 26, 2016

There exists a vast set of analogies and metaphors used to illustrate the budget crisis happening in Illinois. 'The flood gates are opening,' 'the walls are crumbling,' 'the ship is sinking.' No matter what the analogy, Illinois is slowly and painfully shutting down, leaving thousands of everyday residents without the most basic of services.

Lutheran Social Services of Illinois announced on Jan. 22 the elimination of 30 programs, cutting off services to approximately 4,700 Illinoisans and leaving 750 Illinoisans unemployed. The state owes LSSI $6 million. This is no longer a hypothetical situation. There are no more 'what ifs.'

That means there are an additional 4,700 people without services, and more cuts are coming. Hundreds of organizations across the state are being forced to consider the decision to cut services.

Photo: Residential rehabilitation, mental health counseling, youth services, services for former prisoners, services for seniors, adult day care, and respite services for veterans and their families are among the programs being cut at Lutheran Social Services of Illinois.

This is the end of the seventh month Illinois has limped along without a budget, and most insiders say there is no end in sight. Ironically, an aspect of the crisis is that the state is spending quite a bit of money through appropriation bills that were signed into law, court orders, and consent decrees that the judicial branch forces the state to pay, and the state’s debt.

But even programs and services receiving payments throughout the impasse are not immune. By most estimates, the money paid is about ninety percent of what was appropriated in FY2015, and Illinois' giant tax decrease at the beginning of 2015 means the state does not have the cash flow to keep up with the payments. We are spending more than the amount collected by the state, growing our debt by the day. And, of course, the model is unsustainable. Eventually even late payments will not be enough to keep us afloat.

What about the rest of the budget not covered under mandatory payments? Providers whose program funding is not court mandated have simply been asked to continue providing services without a guarantee they will ever be paid for their work. In light of working for no pay for seven months and counting, nonprofits are downsizing, canceling programs, or just shutting down.

In other words, the state is collecting less than it is spending, and what the state is spending is far less than what is necessary to provide the services promised to Illinois residents. The result for many Illinoisans is a slew of metaphors and analogies in the media about crumbling homes or sinking ships. But for others, the result is unbearable. Community-based services such as housing, mental health services, home care services for older adults, and addiction services have been yanked out from under Illinoisans' feet, leaving them out on the streets, with untreated mental illnesses, or otherwise in unstable situations.

Those who remain untouched by the impasse should take a moment to consider what it might feel like to lose a critical support: to lose your housing this winter, or to find out the person who assists your mother with her medicine for an hour each day can no longer help, or that your disabled daughter can no longer get the assistance she needs, and that your family relies on. Thousands of people in Illinois are living with these realities.

We should also consider the peripheral damage this inaction is doing to our state: Instilling  a stronger sense of distrust toward our government, creating an uncertain and unstable business climate, and putting some of our federal grants at risk. Those of us in the social impact sector have a responsibility to push our elected officials toward a resolution, as well as to understand the impact of this stalemate on the sector and those it serves.

Perhaps the best metaphor for the Illinois budget crisis is a hurricane — one that lasts longer than expected and leaves behind structural damage that will take years to rebuild. Though it is widely accepted that community-based services are often more effective and less expensive than institutional care such as nursing homes, we are watching nonprofits across the state close their doors for good.

It will take years to bring our communities back to 2014 levels, and the longer we wait for a budget, the longer it will take to reestablish the community support necessary to serve our residents. In essence, we are breaking the most cost-effective system, forcing us to turn to more expensive options.

By the time we are ready to dig ourselves out of this hole, our best options for success will have been wiped away in the storm. The fiscally responsible system to fix this mess is the very thing we are breaking.

— Alison Leipsiger, Manager, Policy + Advocacy

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