Money Problems at Family Alliance

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.

= = = = =
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.


Money Problems at Family Alliance — 5 Comments

  1. Opportunity to consolidate!!

    Imagine the cost savings of eliminating most of the administrations involved in the directory you can find at this link:

    Each one of these so-called not for profits that are supported with your tax dollars has its own payroll, its own grant writer(s), its own admin staff, its own building(s) etc. etc. etc.

  2. I agree.

    Bernie Sanders said for every military member we had 1 1/2 administrators; isn’t that ridiculous.

    Instead of crying about pensions let’s put a cap on the amount of a pension so we don’t hurt the workers but those who have used the system to drive up their pensions to unbelievable amounts.

    Also when people claim the loser take all the money we have enough losers out here.

  3. I am not a rocket scientist but I do have an understanding of basic math…50 staff members helped 1100 people last year.

    that equates to 220 persons per year, per employee.

    BFD…that leaves 144 days free and clear,

    it appears to me,being the cynic I am is they are more worried about their income as opposed to helping Seniors…..

    what does helping 1100 citizens mean?

    ..was it with a phone call or a physical check? exactly .how did they help?

  4. I think this is the key statement:

    “They were informed they must continue to serve all individuals or deny access to everyone and abandon their contract.”

    Stated another way:

    Continue to fulfill the contract, not get paid and go bankrupt or end the program and live to fight another day.

    They chose to go bankrupt.


    Family Alliance is a 501(c)3 non-profit.

    From their website:

    “Family Alliance provides care during the day, enabling caregivers time to work, run errands, rest, and generally maintain a lifestyle that defines quality of life for them.

    If your goal is to keep your care recipient home for as long as possible, Family Alliance services help. Our day rooms are staffed with trained medical and clinical professionals who are caring, respectful, creative, fun and compassionate.

    Behavioral health counselors are on hand as well to provide counseling as needed.”


    Illinois state government is in complete disarray and it has been building up to this point for decades.

    Rather than living within their means all sorts of games were played by both political parties.

    So the new Sheriff tries to put some sustainable reforms in place but the entrenched power brokers and special interests refuse to reform.

    Right now we walking on quicksand.

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