Minutes from the February 10, 2016, meeting of the McHenry County Board’s Public Health Committee reveal that Family Alliance has financial problems:
Ms. Kim Larson joined the committee members as she was requested, to come before the committee to provide them with the information provided to the Senior Services Grant Commission regarding Family Alliance and the agencies cash flow issues.
Ms. Larson informed the committee members that Family Alliance serves McHenry County’s older adults at their Woodstock and Huntley locations.
They employ 50 people and provided services to over 1,100 individuals last year.
The situation at the State is seriously jeopardizing their ability to continue providing services that help older adults remain in their homes, avoiding hospitalization and/or long term care.
The current State impasse prompted a call to the IDOA (Illinois Department on Aging) to inquire if they could stop serving non-Medicaid who are those persons not included in the consent decree.
At this time the agency is not getting paid for these individuals to obtain services and they are not sure if they will be reimbursed for these costs.
They were informed they must continue to serve all individuals or deny access to everyone and abandon their contract.
The agency made the very difficult decision to continue serving all seniors in need though they have been unable to hire additional staff to meet the full spectrum of needs of the people being served, which is negatively impacting the quality of their programming.
They now find themselves in a cash flow crisis with only one month of operating expenses in the band.
Their board of directors is paying very close attention as to whether they need to stop serving older adults in the County who are funded through the IDOA.
Family Alliance is the only agency in the area that provides this service in this area.
The agency received half payments for their adult day program services provided for July through November, which they were assisted by some Board members and local legislator’s.
This equaled $44,000 of $100,000 that was billed.
The agency has not received any of their behavior health reimbursements for services provided this year.
Their Executive Leadership team is meeting weekly to problem solve.
They have implemented a spending freeze and had to borrow from a line of credit to make payroll, with interest.
The employees can’t accept post dated checks in hopes that one day the agency will be able to honor them and good faith does not keep their lights on.
Ms. Larson stated that our community and Family Alliance needs you and your colleagues in the General Assembly to take this message seriously to find a way out of this budget impasse.
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The committee members were informed a resolution was passed by the Senior Services Grant
Commission to amend the agency’s contract to it to receive monthly allocations.