By Jamey Dunn
Thousands of Illinoisans could lose long-term federal unemployment benefits at the start of the new year.
Congress is currently trying to work out a budget deal that both parties can live with, and the long-term benefits may be on the chopping block. The benefits kick in after the typical 26 weeks of state benefits run out. Currently, the maximum time frame over which benefits are allowed, including Illinois benefits and the federal benefits combined, is 73 weeks. The extension was signed into law by former President George W. Bush in 2008 at the beginning of the recent recession.
According to the Illinois Department of Employment Security (IDES), if Congress does not vote to continue the benefits, 80,000 people in the state would lose benefits in January. Those benefits total $25.6 million each week. The average weekly benefit to an individual is $320 and the largest possible benefit is $562. The 109,00 Illinoisans currently collecting state benefits would not be affected immediately, but 36,000 of them would qualify for the federal benefits if they do not find jobs in the first quarter of next year.
U.S. Rep. Paul Ryan, a Republican from Wisconsin, and U.S. Sen. Patty Murray, a Democrat from Washington, have been working to reach a deal that would set the spending numbers for a federal budget, and the unemployment benefits are reportedly on the table. The federal government shut down for more than two weeks in October, after lawmakers could not reach a budget agreement. Some Republicans held out on budget votes because they wanted to halt or delay the rollout of the Patient Protection and Affordable Care Act. The shutdown ended after Congress voted to fund the government through January 15.
U.S. Sen. Richard Durbin, a Democrat from Illinois, said he hopes the benefits would be included but said it is not a deal breaker at this point. Durbin told CNN that the benefits might be addressed in a separate bill. "From my understanding, that's more between [House] Speaker [John] Boehner and (President Barack Obama) at this point,” he told CNN. Boehner has said he is open to approving a continuation of the benefits.
An estimated 1.3 million would lose benefits nationwide. Continuing the program would cost projected $25 billion. Supporters say that while the country has technically recovered from the recession, continuing high unemployment rates and the large numbers of long-term unemployed people across the country indicate that the benefits are still needed. “While today’s job growth allows most newly unemployed individuals to find work after a several weeks, the long-term unemployed face additional hurdles,” IDES Director Jay Rowell said in a prepared statement. “Ending this modest program based on a calendar date rather than economic principles and job skills could slow economic growth.”
But those who are opposed to continuing the program argue that the feds must step down the spending that was justified by the country’s economic collapse. “These have been extraordinary extensions, and the Republican position all along has been, we need to get back to normal here at some point,” U.S. Rep. Tom Cole, a Republican from Oklahoma, told ABC News. “I don’t see much appetite from our side for an extension of benefits. I just don’t.”
Showing posts with label federal funding. Show all posts
Showing posts with label federal funding. Show all posts
Tuesday, December 10, 2013
Thursday, October 17, 2013
State operations back to normal as federal shutdown ends
By Jamey Dunn
Illinois budget officials say operations returned to normal today after the federal government reopened.
According to Gov. Pat Quinn’s budget office, all laid off state workers are back on the job. Federal workers were also asked to report back to work today. And for now, programs that were potentially threatened by a loss of funding, such as Head Start, are in the clear. The federal measure will fund the U.S. government through January 15 and extend the so-called debt ceiling to February 7.
Only one member of the Illinois congressional delegation voted against legislation, approved last night, to extend the funding of the government, as well as the country’s ability to pay its bills. U.S. Rep. Randy Hultgren, a Winfield Republican, said he voted against the agreement because it would not help reduce the country’s deficit. “It’s ridiculous to pay lip service to addressing our debt every few months and then do nothing,” he said in a written statement about his vote. “Procrastinating on our debt endangers our economic well-being. If we cannot address this problem now, after what this country has endured — then when?”
However, enough Republicans backed off their demand that the Patient Protection and Affordable Care Act, otherwise known as Obamacare, be defunded or delayed to approve the extension an avoid a potential default. U.S. Rep. Rodney Davis, a Republican from Taylorville, who signed on to a letter to House Speaker John Boehner that urged a push to defund Obamacare, voted in favor of the bill that has, at least temporarily, ended the federal shutdown. “From the very beginning of this debate I’ve stated that while I remain opposed to Obamacare, a government shutdown is absolutely unacceptable. Since then, I’ve voted for multiple bipartisan bills to reopen parts of the federal government while hoping that cooler heads would prevail and Republicans and Democrats would come together and negotiate in good faith. Today is no reason to celebrate because Congress finally did what we were sent to Washington to do — govern,” he said in a prepared statement. “That is why I voted in support of the bipartisan agreement to reopen the government and remove the threat of default, which could have had disastrous effects on an already-fragile economy.”
As the clock begins ticking on the new deadlines, lawmakers are set to return to negotiations over the federal budget. “For the past 16 days, my neighbors and all Americans needlessly suffered from a government shutdown and fear of a U.S. default on our national debt. Small businesses in my district had SBA loans and contracts with the government delayed. Federal employees who honorably serve our country went without paychecks, and veterans had many of their programs suspended. Tragically, even death benefits for family members of our fallen military heroes were put on hold. The American people deserve better,” said U.S. Rep. Tammy Duckworth, a Democrat from Hoffman Estates. “It was absolutely essential that Congress vote to reopen our government and raise the debt ceiling, and I am relieved that we can move forward as a nation. Now, the real work of creating a budget that invests in our economy and reduces the national debt begins.”
Illinois budget officials say operations returned to normal today after the federal government reopened.
According to Gov. Pat Quinn’s budget office, all laid off state workers are back on the job. Federal workers were also asked to report back to work today. And for now, programs that were potentially threatened by a loss of funding, such as Head Start, are in the clear. The federal measure will fund the U.S. government through January 15 and extend the so-called debt ceiling to February 7.
Only one member of the Illinois congressional delegation voted against legislation, approved last night, to extend the funding of the government, as well as the country’s ability to pay its bills. U.S. Rep. Randy Hultgren, a Winfield Republican, said he voted against the agreement because it would not help reduce the country’s deficit. “It’s ridiculous to pay lip service to addressing our debt every few months and then do nothing,” he said in a written statement about his vote. “Procrastinating on our debt endangers our economic well-being. If we cannot address this problem now, after what this country has endured — then when?”
However, enough Republicans backed off their demand that the Patient Protection and Affordable Care Act, otherwise known as Obamacare, be defunded or delayed to approve the extension an avoid a potential default. U.S. Rep. Rodney Davis, a Republican from Taylorville, who signed on to a letter to House Speaker John Boehner that urged a push to defund Obamacare, voted in favor of the bill that has, at least temporarily, ended the federal shutdown. “From the very beginning of this debate I’ve stated that while I remain opposed to Obamacare, a government shutdown is absolutely unacceptable. Since then, I’ve voted for multiple bipartisan bills to reopen parts of the federal government while hoping that cooler heads would prevail and Republicans and Democrats would come together and negotiate in good faith. Today is no reason to celebrate because Congress finally did what we were sent to Washington to do — govern,” he said in a prepared statement. “That is why I voted in support of the bipartisan agreement to reopen the government and remove the threat of default, which could have had disastrous effects on an already-fragile economy.”
As the clock begins ticking on the new deadlines, lawmakers are set to return to negotiations over the federal budget. “For the past 16 days, my neighbors and all Americans needlessly suffered from a government shutdown and fear of a U.S. default on our national debt. Small businesses in my district had SBA loans and contracts with the government delayed. Federal employees who honorably serve our country went without paychecks, and veterans had many of their programs suspended. Tragically, even death benefits for family members of our fallen military heroes were put on hold. The American people deserve better,” said U.S. Rep. Tammy Duckworth, a Democrat from Hoffman Estates. “It was absolutely essential that Congress vote to reopen our government and raise the debt ceiling, and I am relieved that we can move forward as a nation. Now, the real work of creating a budget that invests in our economy and reduces the national debt begins.”
Wednesday, October 09, 2013
Illinois Head Start programs remain open — for now
By Jamey Dunn
So far, most Illinois Head Start Programs have stayed open during the partial shutdown of the federal government, but that could change if the bickering in Congress drags on.
Head Start provides food, medical care and preschool to low-income children. The shutdown left more than 20 Head Start programs serving 19,000 kids nationwide in the lurch because they were set to start their fiscal years and receive grant money on October 1. Some states have stepped in with funding to keep the doors open at Head Start centers. Today, John and Laura Arnold, a wealthy Texas couple, announced that they donated $10 million to help the programs that did not receive federal funds. When federal funding is restored, those agencies plan to repay the Arnolds.
Entities that administer Head Start have different fiscal-year starts for the program because they must submit grant applications and information to obtain their funding each year. Lauri Morrison-Frichtl, executive director of the Illinois Head Start Association, said that if all programs submitted their renewal information at once, it would overwhelm staff responsible for reviewing the applications. “They couldn’t handle all of our Head Start programs at the same time.” No Illinois Head Start centers start their fiscal year on October 1. However, Morrison-Frichtl said that two Head Start operations in the state had trouble getting their funding after the shutdown. Two Rivers Head Start Agency, which serves the Aurora area, was shut down for one day this week but has since reopened after the problems with funding were cleared up. East Central Community Action Agency’s Head Start program also had issues with funds but did not close. “There wasn’t enough staff in [Washington] D.C. to man the system, and so when people were having trouble, there wasn’t anyone there to figure out what was going on.” If the shutdown continues into November, she said that two programs — CEFS Economic Opportunities Corp. in Effingham and Project NOW in East Moline — would see their federal funds cut off. The two organizations serve a combined total of 10 counties and more than 860 children.
This fiscal uncertainty comes after Head Start funding was cut by a little more than 5 percent in March under automatic federal spending reductions known as sequestration. In Illinois 1,700 children were booted from Head Start. “The majority of our programs across the state cut kids,” said Morrison-Frichtl. “There’s huge waiting lists.” And she says as poverty has grown in the state, “the demand is more than ever.” Head Start programs in Illinois have also cut staff hours and benefits, reduced transportation and field trips for kids and cut back on supplies. Morrison-Frichtl said she recently lobbied the Illinois congressional delegation to restore some of the funding cut by the sequester. “I truly believe in a balanced budget. But I also know the way we value and prioritize our spending is important,” she said. “When children — the only meal they get during the day is at Head Start, and they wake up in the morning and are hungry when they come back to school — that should be the priority. ... They deserve a good start before they hit the public school system.” But she said the current political climate does not make her optimistic about having some of the money put back.
Meanwhile, Gov. Pat Quinn’s office announced that 53 Department of Military Affairs employees and 20 Department of Employment Security employees have returned to work. That means that only 23 federally funded state employees are currently laid off. However, Quinn’s office says that more layoffs could come as the shutdown continues.
Quinn wrote a letter to U.S. House Speaker John Boehner and members of the Illinois congressional delegation urging them to end the shutdown. “We need to end the shutdown now. This is not good for our economy. It’s not good for Illinois. It’s not good for any state in the union,” Quinn told reporters earlier this week. “We need some common sense in Washington to end this nonsense.”
So far, most Illinois Head Start Programs have stayed open during the partial shutdown of the federal government, but that could change if the bickering in Congress drags on.
Head Start provides food, medical care and preschool to low-income children. The shutdown left more than 20 Head Start programs serving 19,000 kids nationwide in the lurch because they were set to start their fiscal years and receive grant money on October 1. Some states have stepped in with funding to keep the doors open at Head Start centers. Today, John and Laura Arnold, a wealthy Texas couple, announced that they donated $10 million to help the programs that did not receive federal funds. When federal funding is restored, those agencies plan to repay the Arnolds.
Entities that administer Head Start have different fiscal-year starts for the program because they must submit grant applications and information to obtain their funding each year. Lauri Morrison-Frichtl, executive director of the Illinois Head Start Association, said that if all programs submitted their renewal information at once, it would overwhelm staff responsible for reviewing the applications. “They couldn’t handle all of our Head Start programs at the same time.” No Illinois Head Start centers start their fiscal year on October 1. However, Morrison-Frichtl said that two Head Start operations in the state had trouble getting their funding after the shutdown. Two Rivers Head Start Agency, which serves the Aurora area, was shut down for one day this week but has since reopened after the problems with funding were cleared up. East Central Community Action Agency’s Head Start program also had issues with funds but did not close. “There wasn’t enough staff in [Washington] D.C. to man the system, and so when people were having trouble, there wasn’t anyone there to figure out what was going on.” If the shutdown continues into November, she said that two programs — CEFS Economic Opportunities Corp. in Effingham and Project NOW in East Moline — would see their federal funds cut off. The two organizations serve a combined total of 10 counties and more than 860 children.
This fiscal uncertainty comes after Head Start funding was cut by a little more than 5 percent in March under automatic federal spending reductions known as sequestration. In Illinois 1,700 children were booted from Head Start. “The majority of our programs across the state cut kids,” said Morrison-Frichtl. “There’s huge waiting lists.” And she says as poverty has grown in the state, “the demand is more than ever.” Head Start programs in Illinois have also cut staff hours and benefits, reduced transportation and field trips for kids and cut back on supplies. Morrison-Frichtl said she recently lobbied the Illinois congressional delegation to restore some of the funding cut by the sequester. “I truly believe in a balanced budget. But I also know the way we value and prioritize our spending is important,” she said. “When children — the only meal they get during the day is at Head Start, and they wake up in the morning and are hungry when they come back to school — that should be the priority. ... They deserve a good start before they hit the public school system.” But she said the current political climate does not make her optimistic about having some of the money put back.
Meanwhile, Gov. Pat Quinn’s office announced that 53 Department of Military Affairs employees and 20 Department of Employment Security employees have returned to work. That means that only 23 federally funded state employees are currently laid off. However, Quinn’s office says that more layoffs could come as the shutdown continues.
Quinn wrote a letter to U.S. House Speaker John Boehner and members of the Illinois congressional delegation urging them to end the shutdown. “We need to end the shutdown now. This is not good for our economy. It’s not good for Illinois. It’s not good for any state in the union,” Quinn told reporters earlier this week. “We need some common sense in Washington to end this nonsense.”
Tuesday, October 01, 2013
Insurance marketplace goes online despite federal shutdown
By Jamey Dunn
After the federal government shut down at midnight in a battle over Obamacare, the online health insurance marketplaces that are a cornerstone of the law rolled out across the country today.
Federal Government Shutdown
Some Republicans in Congress had been pushing to defund the Patient Protection and Affordable Care as a condition for their votes to approve a federal budget. Last night House Republicans approved a one-year delay in the Affordable Care Act’s requirement that all Americans have health insurance. The Senate rejected it, and the House refused to take up an extension of the federal budget previously approved by the Senate.
With no budget in place, all but what has been deemed “essential services” of the federal government have shut down. National parks and monuments are closed. Research labs have stopped their work. Many regulatory bodies will only maintain a bare bones staff. For instance, only 5 percent of the staff at the Environmental Protection Agency will work through the shutdown.
Social Security and federal entitlement programs, such as Medicare will continue to pay benefits. Mail service will also continue. So will services deemed necessary for safety or national security, such as the work done by the Federal Aviation Administration. However, most federal employees who report to work today will not be paid as long as there is no budget in place. Notably, members of Congress will continue to receive their checks, though some have vowed to forgo pay until the government is running again. The U.S. Constitution has a provision similar to the Illinois Constitution that prohibits any change in lawmakers’ pay during their terms. The 27th Amendment was intended to keep federal lawmakers from voting to increase their pay, but it will also keep their $174,000 annual salaries coming during the shutdown. Gov. Pat Quinn is currently trying to challenge that notion in Illinois after he vetoed the money for lawmaker’s salaries. Quinn says they should not be paid until the approve changes to the states troubled pension system. But a judge ruled last week that the move violated the state Constitution. Quinn is appealing to the Illinois Supreme Court.
Illinois officials say the federal shutdown would not halt state services in the short term. State employees who are paid with federal funds will face temporary layoffs as soon as tomorrow. The timing of the layoffs could vary across agencies because some may have enough cash on hand to keep employees working longer. According to Quinn’s office, the agencies that could see layoffs include the Departments of Labor, Veterans’ Affairs, Military Affairs, Illinois Emergency Management Agency, Office of Health Information Technology and the Department of Human Services’ Bureau of Disability Determination, which evaluates applicants for disability benefits. When the federal government last shut down in 1995, the state laid off 1,200 employees.
If the shutdown drags on, federally funded programs could be in danger. Some states are already looking to tap into rainy day funds if Congress does not pass a budget soon. But Illinois, which cannot pay its bills on time under normal conditions, does not have that option. The biggest immediate impact on states will likely be an economic one as thousands of their residents are laid off. About 800,000 federal workers nationwide will be laid off until a federal budget is approved. According to the Pew Charitable Trust’s news service, Stateline, Illinois has 45,801 civilian federal employees, but some of them will continue to work. Retired federal employees will continue to receive their benefits. “Unfortunately, the possible consequences to state economies of a federal shutdown or not increasing the national debt limit are severe. States are partners with the federal government in implementing most federal programs. A lack of certainty at the federal level from a shutdown therefore translates directly into uncertainty and instability at the state level,” said a letter that the National Governor’s Association sent to President Barack Obama and congressional leadership. “That uncertainty can lead to the suspension of programs and services, increased borrowing costs or even layoffs — all actions that will weaken our economies and potentially stall the national recovery.”
Affordable Care Act Questions and Answers
While the political battle that held up approval of a federal budget was essentially over a push to defund the new health care law, the implementation of Obamacare will continue largely unscathed by the shutdown. The Affordable Care Act falls into a category of mandatory spending along with other federal programs such as Medicare. This spending actually makes up the majority — 57 percent — of the federal budget.
Do I have to buy insurance right away? No. The exchange is open for business. Any coverage you buy now will not kick in until January 2014. But you must buy your insurance before December 15 to ensure that your coverage will begin in January. If you wait longer, your coverage would begin later. The open enrollment period for 2014 ends on March 31, 2014. After that date, you can only sign up if you have a life event, such as a marriage or career change.
What kind of insurance coverage is available on the exchange? The plans offer a base level of coverage for 10 service categories, including ambulatory care and prescriptions. The plans have a metal ranking, with bronze being the lowest cost plans. Under such bronze plans, consumers would likely pay lower premiums but would have more out-of-pocket costs, such as copayments. Under the higher-premium gold and platinum plans, patients would likely pay less out of pocket. The rates in Illinois will vary across the state.
Does my employer have to help pay for my insurance? Starting in 2015, businesses with more than 50 employees will be required to offer coverage to full-time employees or face penalty fines. Small businesses can opt to use the exchange to buy coverage for their employees starting today, but they are not required to.
I already have insurance. Will I have to buy a different kind? Most likely no, especially if you get your coverage through your employer. Those with bare bones plans or catastrophic plans would have to get more coverage to meet the insurance mandate that is part of the Affordable Care Act.
Can I keep seeing my doctor? Yes, if you do a little research. Some plans sold on the exchange will only cover care within the provider network for that plan. You should check to see if your doctor is in the provider network of a plan before you buy. You should be able to find provider information for each plan on the exchange’s website. Here is more info from the federal website.
I smoke or chew tobacco. Do I have to pay more for coverage on the exchange? Yes. Tobacco users will pay higher premiums for insurance. For instance a 40-year-old smoker in Cook County will pay $44 more per month for a basic bronze plan. The law allows insurance companies to charge smokers twice as much, but states can opt to keep the rates lower. Insurance plans offered on the exchange are also required to cover programs to help smokers quit. Here is more info.
I’m young, healthy and broke. Do I have to buy insurance? If your parents have insurance and are willing to let you stay on their plan, you can until you turn 26. If you are younger than 30, you may be eligible for catastrophic plans offered through the exchange. You also may be eligible for insurance subsidies or Medicaid.
How do I find out if I am eligible for subsidies or Medicaid? If you make between 138 percent and 400 percent of the federal poverty level — $15,856 to $45,960 for individuals — you will be eligible for federal subsidies that will cut your monthly premiums. If you make less than 138 percent of the poverty level, you could be eligible for Medicaid. You can use this subsidy calculator from the Henry J. Kaiser Family Foundation to assess your personal situation.
What happens if I am not covered? If you do not get coverage in 2014, you will likely face a penalty on your tax bill in 2015. The fee would be 1 percent of your household income, or $95 a person, whichever is more. Fees for having uninsured children would be $47.50 per child. That penalty is capped at $285. If insurance premiums are more than 8 percent of your household income, or you do not make enough to file federal income taxes, you are exempted from the individual insurance mandate. There are some other exemptions to the individual mandate, including a religious exemption. For more info on exemptions to the mandate, see this story in the Washington Post.
How do I access the exchange? Go to www.healthcare.gov click the “apply now” button and then choose Illinois as your state. You can also go directly to the Illinois exchange, called Get Covered Illinois. Here is a checklist of the personal information you will need to purchase a plan. Note: As of this morning the federal site has a very slow load time, so you may be waiting a while. When I attempted to access the federal site, the system was down. It is likely overloaded by curious browsers and reporters like me trying to check it out on the first day. You may want to give it a little time before you try to use it to buy insurance. Or try out the direct state site. In the meantime, you can check out some of the information provided in this blog to do a little research.
I don’t have regular access to the Internet. How do I get signed up? I do have Internet access, but I find the marketplace confusing and could use a little help. Where can I find it? There is help available both in person and over the phone. You can find the numbers for a federal toll-free help line here. There are also local groups working to help people navigate the marketplace and get insurance. You can find one of these groups in your area by entering your ZIP code here.
Here is more info from the state of Illinois, including a short video that explains some of the key components of the law.
After the federal government shut down at midnight in a battle over Obamacare, the online health insurance marketplaces that are a cornerstone of the law rolled out across the country today.
Federal Government Shutdown
Some Republicans in Congress had been pushing to defund the Patient Protection and Affordable Care as a condition for their votes to approve a federal budget. Last night House Republicans approved a one-year delay in the Affordable Care Act’s requirement that all Americans have health insurance. The Senate rejected it, and the House refused to take up an extension of the federal budget previously approved by the Senate.
With no budget in place, all but what has been deemed “essential services” of the federal government have shut down. National parks and monuments are closed. Research labs have stopped their work. Many regulatory bodies will only maintain a bare bones staff. For instance, only 5 percent of the staff at the Environmental Protection Agency will work through the shutdown.
Social Security and federal entitlement programs, such as Medicare will continue to pay benefits. Mail service will also continue. So will services deemed necessary for safety or national security, such as the work done by the Federal Aviation Administration. However, most federal employees who report to work today will not be paid as long as there is no budget in place. Notably, members of Congress will continue to receive their checks, though some have vowed to forgo pay until the government is running again. The U.S. Constitution has a provision similar to the Illinois Constitution that prohibits any change in lawmakers’ pay during their terms. The 27th Amendment was intended to keep federal lawmakers from voting to increase their pay, but it will also keep their $174,000 annual salaries coming during the shutdown. Gov. Pat Quinn is currently trying to challenge that notion in Illinois after he vetoed the money for lawmaker’s salaries. Quinn says they should not be paid until the approve changes to the states troubled pension system. But a judge ruled last week that the move violated the state Constitution. Quinn is appealing to the Illinois Supreme Court.
Illinois officials say the federal shutdown would not halt state services in the short term. State employees who are paid with federal funds will face temporary layoffs as soon as tomorrow. The timing of the layoffs could vary across agencies because some may have enough cash on hand to keep employees working longer. According to Quinn’s office, the agencies that could see layoffs include the Departments of Labor, Veterans’ Affairs, Military Affairs, Illinois Emergency Management Agency, Office of Health Information Technology and the Department of Human Services’ Bureau of Disability Determination, which evaluates applicants for disability benefits. When the federal government last shut down in 1995, the state laid off 1,200 employees.
If the shutdown drags on, federally funded programs could be in danger. Some states are already looking to tap into rainy day funds if Congress does not pass a budget soon. But Illinois, which cannot pay its bills on time under normal conditions, does not have that option. The biggest immediate impact on states will likely be an economic one as thousands of their residents are laid off. About 800,000 federal workers nationwide will be laid off until a federal budget is approved. According to the Pew Charitable Trust’s news service, Stateline, Illinois has 45,801 civilian federal employees, but some of them will continue to work. Retired federal employees will continue to receive their benefits. “Unfortunately, the possible consequences to state economies of a federal shutdown or not increasing the national debt limit are severe. States are partners with the federal government in implementing most federal programs. A lack of certainty at the federal level from a shutdown therefore translates directly into uncertainty and instability at the state level,” said a letter that the National Governor’s Association sent to President Barack Obama and congressional leadership. “That uncertainty can lead to the suspension of programs and services, increased borrowing costs or even layoffs — all actions that will weaken our economies and potentially stall the national recovery.”
Affordable Care Act Questions and Answers
While the political battle that held up approval of a federal budget was essentially over a push to defund the new health care law, the implementation of Obamacare will continue largely unscathed by the shutdown. The Affordable Care Act falls into a category of mandatory spending along with other federal programs such as Medicare. This spending actually makes up the majority — 57 percent — of the federal budget.
Do I have to buy insurance right away? No. The exchange is open for business. Any coverage you buy now will not kick in until January 2014. But you must buy your insurance before December 15 to ensure that your coverage will begin in January. If you wait longer, your coverage would begin later. The open enrollment period for 2014 ends on March 31, 2014. After that date, you can only sign up if you have a life event, such as a marriage or career change.
What kind of insurance coverage is available on the exchange? The plans offer a base level of coverage for 10 service categories, including ambulatory care and prescriptions. The plans have a metal ranking, with bronze being the lowest cost plans. Under such bronze plans, consumers would likely pay lower premiums but would have more out-of-pocket costs, such as copayments. Under the higher-premium gold and platinum plans, patients would likely pay less out of pocket. The rates in Illinois will vary across the state.
Does my employer have to help pay for my insurance? Starting in 2015, businesses with more than 50 employees will be required to offer coverage to full-time employees or face penalty fines. Small businesses can opt to use the exchange to buy coverage for their employees starting today, but they are not required to.
I already have insurance. Will I have to buy a different kind? Most likely no, especially if you get your coverage through your employer. Those with bare bones plans or catastrophic plans would have to get more coverage to meet the insurance mandate that is part of the Affordable Care Act.
Can I keep seeing my doctor? Yes, if you do a little research. Some plans sold on the exchange will only cover care within the provider network for that plan. You should check to see if your doctor is in the provider network of a plan before you buy. You should be able to find provider information for each plan on the exchange’s website. Here is more info from the federal website.
I smoke or chew tobacco. Do I have to pay more for coverage on the exchange? Yes. Tobacco users will pay higher premiums for insurance. For instance a 40-year-old smoker in Cook County will pay $44 more per month for a basic bronze plan. The law allows insurance companies to charge smokers twice as much, but states can opt to keep the rates lower. Insurance plans offered on the exchange are also required to cover programs to help smokers quit. Here is more info.
I’m young, healthy and broke. Do I have to buy insurance? If your parents have insurance and are willing to let you stay on their plan, you can until you turn 26. If you are younger than 30, you may be eligible for catastrophic plans offered through the exchange. You also may be eligible for insurance subsidies or Medicaid.
How do I find out if I am eligible for subsidies or Medicaid? If you make between 138 percent and 400 percent of the federal poverty level — $15,856 to $45,960 for individuals — you will be eligible for federal subsidies that will cut your monthly premiums. If you make less than 138 percent of the poverty level, you could be eligible for Medicaid. You can use this subsidy calculator from the Henry J. Kaiser Family Foundation to assess your personal situation.
What happens if I am not covered? If you do not get coverage in 2014, you will likely face a penalty on your tax bill in 2015. The fee would be 1 percent of your household income, or $95 a person, whichever is more. Fees for having uninsured children would be $47.50 per child. That penalty is capped at $285. If insurance premiums are more than 8 percent of your household income, or you do not make enough to file federal income taxes, you are exempted from the individual insurance mandate. There are some other exemptions to the individual mandate, including a religious exemption. For more info on exemptions to the mandate, see this story in the Washington Post.
How do I access the exchange? Go to www.healthcare.gov click the “apply now” button and then choose Illinois as your state. You can also go directly to the Illinois exchange, called Get Covered Illinois. Here is a checklist of the personal information you will need to purchase a plan. Note: As of this morning the federal site has a very slow load time, so you may be waiting a while. When I attempted to access the federal site, the system was down. It is likely overloaded by curious browsers and reporters like me trying to check it out on the first day. You may want to give it a little time before you try to use it to buy insurance. Or try out the direct state site. In the meantime, you can check out some of the information provided in this blog to do a little research.
I don’t have regular access to the Internet. How do I get signed up? I do have Internet access, but I find the marketplace confusing and could use a little help. Where can I find it? There is help available both in person and over the phone. You can find the numbers for a federal toll-free help line here. There are also local groups working to help people navigate the marketplace and get insurance. You can find one of these groups in your area by entering your ZIP code here.
Here is more info from the state of Illinois, including a short video that explains some of the key components of the law.
Tuesday, March 05, 2013
House preempts Quinn and approves a spending cap the day before his budget speech
By Jamey Dunn
The Illinois House kicked off its budgeting process a day before Gov. Pat Quinn is scheduled to present his budget plan.
The House approved a spending cap of $35.08 billion today, preempting the estimate that will presumably be a part of Quinn’s plan. “It ... means that if the governor walks into this chamber tomorrow, walks up to that podium and proposed to spend more than $35.081 billion, then he puts himself at odds immediately with this chamber,” said Arlington Heights Rep. David Harris, the ranking Republican on the House Revenue and Finance Committee, which produced the estimate. Rep. John Bradley, who chairs the committee, said it moved ahead because Quinn’s budget office was “all over the place” with its revenue estimates. “If the House adopts this number today, the House will have already spoken,” he said before the floor vote.
The revenue estimates approved in the last two years have been the basis for the budgets that lawmakers ultimately sent to Quinn. Those estimates were approved, however, after Quinn presented his plan. “It’s the same process we’ve used for the last two years ... and it’s the first and most crucial step in beginning the budget process,” said Bradley, a Marion Democrat. The projection means lawmakers will have more to work with than last year, when the estimate was $33.7 billion. “The revenues are expected to be stronger this year than last year, and we have significant spending pressures that we’re going to have to deal with,” Bradley said. “I think we’re going to have close to $2 billion of additional pressures this year, and that’s not including whatever may or may not have happened with regards to the contract announcement.” He said that the committee was still working to estimate the cost of the new contract for state workers. The American Federation of State, County and Municipal Employees is in the process of ratifying the proposed three-year contract, which includes pay raises and requires employees to contribute more to their health care costs in retirement. He said the estimate also takes into account federal across-the-board budget cuts, known as the sequester, that went into effect on Friday.
The revenue committee’s estimate was created by the bipartisan legislative Commission on Government Forecasting and Accountability. “We drove down into the numbers of the COGFA report, and we determined that the COGFA numbers, unlike in previous years, we believed were accurate,” Bradley said. He said he thinks the estimate will be lower than Quinn’s projection. “I anticipate and I predict we’ll be below the governor’s number tomorrow.” Quinn’s office did not respond to questions about the House’s projection.
Harris said that several issues before the legislature could bring in more revenue next fiscal year. “There certainly are unknowns out there, and maybe those unknowns will be favorable. Depending on what we do with hydraulic fracturing and gaming and telecommunications, maybe the revenue will be higher.” But he cautioned his colleagues not to expect new spending. “While the number is big, I believe that it’s reasonable, but let’s not plan to go out and spend it right away. Because my friends, we can’t spend it on education, or health care, or assistance to the developmentally disabled, or roads or any other needed service because our pensions payment alone goes up by $1 billion. So unless we make reforms to the pension system, this $1 billion increase in revenue goes to one place, and that’s for pensions.”
The next step in the House budgeting process will be to take fixed costs, such as debt service and the pension payments, off of the top of the estimate and then dole out spending numbers to the various appropriations committees. Members of those committees then make spending decisions in their specific areas of state government, such as education. “This was the first step of a long journey we have ahead of us this year,” Bradley said.
The Illinois House kicked off its budgeting process a day before Gov. Pat Quinn is scheduled to present his budget plan.
The House approved a spending cap of $35.08 billion today, preempting the estimate that will presumably be a part of Quinn’s plan. “It ... means that if the governor walks into this chamber tomorrow, walks up to that podium and proposed to spend more than $35.081 billion, then he puts himself at odds immediately with this chamber,” said Arlington Heights Rep. David Harris, the ranking Republican on the House Revenue and Finance Committee, which produced the estimate. Rep. John Bradley, who chairs the committee, said it moved ahead because Quinn’s budget office was “all over the place” with its revenue estimates. “If the House adopts this number today, the House will have already spoken,” he said before the floor vote.
The revenue estimates approved in the last two years have been the basis for the budgets that lawmakers ultimately sent to Quinn. Those estimates were approved, however, after Quinn presented his plan. “It’s the same process we’ve used for the last two years ... and it’s the first and most crucial step in beginning the budget process,” said Bradley, a Marion Democrat. The projection means lawmakers will have more to work with than last year, when the estimate was $33.7 billion. “The revenues are expected to be stronger this year than last year, and we have significant spending pressures that we’re going to have to deal with,” Bradley said. “I think we’re going to have close to $2 billion of additional pressures this year, and that’s not including whatever may or may not have happened with regards to the contract announcement.” He said that the committee was still working to estimate the cost of the new contract for state workers. The American Federation of State, County and Municipal Employees is in the process of ratifying the proposed three-year contract, which includes pay raises and requires employees to contribute more to their health care costs in retirement. He said the estimate also takes into account federal across-the-board budget cuts, known as the sequester, that went into effect on Friday.
The revenue committee’s estimate was created by the bipartisan legislative Commission on Government Forecasting and Accountability. “We drove down into the numbers of the COGFA report, and we determined that the COGFA numbers, unlike in previous years, we believed were accurate,” Bradley said. He said he thinks the estimate will be lower than Quinn’s projection. “I anticipate and I predict we’ll be below the governor’s number tomorrow.” Quinn’s office did not respond to questions about the House’s projection.
Harris said that several issues before the legislature could bring in more revenue next fiscal year. “There certainly are unknowns out there, and maybe those unknowns will be favorable. Depending on what we do with hydraulic fracturing and gaming and telecommunications, maybe the revenue will be higher.” But he cautioned his colleagues not to expect new spending. “While the number is big, I believe that it’s reasonable, but let’s not plan to go out and spend it right away. Because my friends, we can’t spend it on education, or health care, or assistance to the developmentally disabled, or roads or any other needed service because our pensions payment alone goes up by $1 billion. So unless we make reforms to the pension system, this $1 billion increase in revenue goes to one place, and that’s for pensions.”
The next step in the House budgeting process will be to take fixed costs, such as debt service and the pension payments, off of the top of the estimate and then dole out spending numbers to the various appropriations committees. Members of those committees then make spending decisions in their specific areas of state government, such as education. “This was the first step of a long journey we have ahead of us this year,” Bradley said.
Friday, March 01, 2013
Sequester would make Illinois' bad budget situation worse
By Jamey Dunn
Days before Gov. Pat Quinn is scheduled to present his budget plan for the next fiscal year, the reality is setting in that federal spending will be cut across the board.
A plan, referred to as the sequester, to cut $85 billion from the federal budget is expected to kick in. The cuts were meant to force a compromise on deficit reduction measures that would have averted the draconian and widely unpopular reductions, but Congress and President Barack Obama’s administration were unable to work out a deal before today’s deadline. Obama today called the cuts “arbitrary” and “dumb.” The president told reporters in Washington D.C.: “Now, what’s important to understand is that not everyone will feel the pain of these cuts right away. The pain, though, will be real. Beginning this week, many middle-class families will have their lives disrupted in significant ways.”
U.S. House Speaker John Boehner said at a Washington, D.C,. news conference today that “there are smarter ways to cut spending.” However, he said that his chamber had done its part to avert the cuts. “The House has laid out a plan to avoid the sequester. I would hope that the Senate would act.” He added that “discussion about revenue .. .is over.”
Boehner said he would move next week to ensure that the government does not shut down when current spending authority is scheduled to end on March 27. “I did lay out that the House is going to move a continuing resolution next week to fund the government past March 27,” Boehner said today after a meeting with the Obama administration produced no solution to stop the sequester. “And I’m hopeful that we won’t have to deal with the threat of a government shutdown while we’re dealing with the sequester at the same time. The House will act next week, and I hope the Senate will follow suit.” Many hoping for a sequester deal had looked to the March 27 deadline as a potential opportunity for a compromise to avert the cuts.
If a deal is reached soon, much of the brunt of the cuts could still be avoided. However, if the sequester remains in place, Illinois would lose:
According to the Obama administration, cuts to the Head Start program would mean that more than 2,700 children in Illinois could lose access to preschool. Education cuts would put more than 700 educator’s jobs at risk. The state will also be subject to national reductions in military spending. If federal layoffs kick in as scheduled in April, travelers at airports, such as Chicago’s O’Hare, could see long wait times. (For more information on Illinois and a comparison of all the states, see this handy breakdown from The Washington Post.)
But Illinois will not be hit as hard as some states. According to an analysis from the Pew Center on the States, the cuts would be equal to of 2.5 percent of Illinois’ Gross Domestic Product. That compares with states such as Virginia, where the cuts would equal almost 20 percent of GDP. States such as Virginia, with high levels of defense spending, will be especially hurt by the $43 billion in defense cuts called for under the sequester. (For more information, see this analysis from Pew.)
While the federal cuts in Illinois may not be as dire as in some other states, Illinois is heading into an especially difficult budgeting year. Growing pension costs are putting pressure on other areas of spending. The pensions contribution for Fiscal Year 2014 would be more than $6 billion, and the state is projected to have more than $8 billion in unpaid bills by at the end of the current fiscal year. Quinn’s budget office did not return a request for comment on the sequester. Quinn is scheduled to give his budget address on Wednesday.
Days before Gov. Pat Quinn is scheduled to present his budget plan for the next fiscal year, the reality is setting in that federal spending will be cut across the board.
A plan, referred to as the sequester, to cut $85 billion from the federal budget is expected to kick in. The cuts were meant to force a compromise on deficit reduction measures that would have averted the draconian and widely unpopular reductions, but Congress and President Barack Obama’s administration were unable to work out a deal before today’s deadline. Obama today called the cuts “arbitrary” and “dumb.” The president told reporters in Washington D.C.: “Now, what’s important to understand is that not everyone will feel the pain of these cuts right away. The pain, though, will be real. Beginning this week, many middle-class families will have their lives disrupted in significant ways.”
U.S. House Speaker John Boehner said at a Washington, D.C,. news conference today that “there are smarter ways to cut spending.” However, he said that his chamber had done its part to avert the cuts. “The House has laid out a plan to avoid the sequester. I would hope that the Senate would act.” He added that “discussion about revenue .. .is over.”
Boehner said he would move next week to ensure that the government does not shut down when current spending authority is scheduled to end on March 27. “I did lay out that the House is going to move a continuing resolution next week to fund the government past March 27,” Boehner said today after a meeting with the Obama administration produced no solution to stop the sequester. “And I’m hopeful that we won’t have to deal with the threat of a government shutdown while we’re dealing with the sequester at the same time. The House will act next week, and I hope the Senate will follow suit.” Many hoping for a sequester deal had looked to the March 27 deadline as a potential opportunity for a compromise to avert the cuts.
If a deal is reached soon, much of the brunt of the cuts could still be avoided. However, if the sequester remains in place, Illinois would lose:
- $33.4 million for primary and secondary education.
- $24.7 million for educating children with disabilities.
- $6.4 million in funds for environmental protection.
- $3.5 million for substance abuse treatment.
- $1.4 million for job placement programs.
- $764,000 in food assistance for seniors.
- $587,000 in law enforcement and public safety grants.
- $357,000 for children’s vaccinations.
- $273,000 programs that serve victims of domestic violence.
According to the Obama administration, cuts to the Head Start program would mean that more than 2,700 children in Illinois could lose access to preschool. Education cuts would put more than 700 educator’s jobs at risk. The state will also be subject to national reductions in military spending. If federal layoffs kick in as scheduled in April, travelers at airports, such as Chicago’s O’Hare, could see long wait times. (For more information on Illinois and a comparison of all the states, see this handy breakdown from The Washington Post.)
But Illinois will not be hit as hard as some states. According to an analysis from the Pew Center on the States, the cuts would be equal to of 2.5 percent of Illinois’ Gross Domestic Product. That compares with states such as Virginia, where the cuts would equal almost 20 percent of GDP. States such as Virginia, with high levels of defense spending, will be especially hurt by the $43 billion in defense cuts called for under the sequester. (For more information, see this analysis from Pew.)
While the federal cuts in Illinois may not be as dire as in some other states, Illinois is heading into an especially difficult budgeting year. Growing pension costs are putting pressure on other areas of spending. The pensions contribution for Fiscal Year 2014 would be more than $6 billion, and the state is projected to have more than $8 billion in unpaid bills by at the end of the current fiscal year. Quinn’s budget office did not return a request for comment on the sequester. Quinn is scheduled to give his budget address on Wednesday.
Subscribe to:
Posts (Atom)
Posts
