Late Payments in Illinois Wreak Havoc

June 22, 2011; Source: Northwest Herald | In McHenry County, Illinois, Family Service and Community Health Center is asking the county Mental Health Board for a $900,000 loan/cash advance so it can meet payroll. The cash shortage is due to very late payments from the state of Illinois which is well known for that problematic practice. State money comprises 32% of the organization’s annual budget of $6.5 million. The Mental Health Board, with laudable foresight, went ahead and did a survey of other local agencies which might also be affected and found not only that the state is behind three to nine months but that Medicaid payments are also running seven to nine months behind, a situation that makes smooth operation of these critical agencies almost impossible.—Ruth McCambridge