Saturday, April 25, 2020

Cook County is laying the foundation for an eventual bankruptcy filing

BUMPED UP Cook County braces for $200 million revenue gap from COVID-19 — and prepares for ‘how bad this could get’ Don't believe this BS story....she spent the money on motel rooms and patronage, see below

For the county’s general fund, which covers the Sheriff’s Office, the Cook County State’s Attorney and others, the revenue shortfall is around $200 million. That hole is largely due to decreased revenue from the county’s sales tax and other home rule taxes.

By Rachel Hinton Apr 24, 2020, 1:48pm CDT



Cook County Board President Toni Preckwinkle speaks during a news conference earlier this month. Ashlee Rezin Garcia/Sun-Times file

The coronavirus pandemic has blown a hole in the Cook County budget, with preliminary outlooks projecting a shortfall of $200 million.

That hole is largely due to decreased revenue from the county’s sales tax and other home rule taxes, such as the hotel accommodations tax.

But no one knows the depth of that hole and how long it will take to fill it.


“We’re not going to get a handle on this until we have a vaccine, and that’s a minimum of 18 months away,” Cook County Board President Toni Preckwinkle said.

For the county’s general fund, which covers the sheriff’s and state’s attorney offices and others, the revenue shortfall is around $200 million. The shortfall was first reported by WBEZ.

The county’s health fund, which covers the Health and Hospital system, has a projected patient-fee revenue shortfall between $60 million and $75 million, assuming the impact lasts from March to June, said Ammar Rizki, the county’s chief financial officer.

Revenues feeding into the health fund have declined by 43%, and charges related to uninsured and insured patients have dropped by 52% and 40% respectively. Expenses related to coronavirus have increased by $25 million.

Annette Guzman, the county’s budget director, said the county is working with “each of our offices to understand what their anticipated costs are related to [coronavirus] expenditures.” Rizki said it’s “too early to tell” if the county will need to lay off employees to alleviate some of the pressure on its pocketbook.Cook County Chief Financial Officer Ammar M. Rizki addresses the Sun-Times Editorial Board in 2019. Rich Hein/Sun-Times file

“We’ve been looking at a lot of stuff in terms of how bad this could get,” Rizki said.

“We’re really pushing to make sure that the federal government can allow us to use some of these funds for loss reimbursements. Without that we would have to look at other types of expenditure management measures, and so those are discussions that are happening right now, but everything is sort of up in the air.”


Through the Coronavirus Aid, Relief, and Economic Security Act, or the CARES Act, the county has received some federal relief dollars, including $429 million that came in Friday for expenses related to the coronavirus.

That money can’t be put toward the county’s revenue losses, however.

Preckwinkle said the county is part of a national lobbying effort on behalf of local units of government to be able to use the money for lost revenue, but “it’s unclear how that’s going to play out, and that that’s going to be a critical issue for cities, towns and villages and for the counties.”

“If we can use this money, if we can use the CARES Act money for lost revenue, that will put us in a quite different place than if it’s not acceptable,” Preckwinkle said.

But if the county is unsuccessful in getting that clarification and applying the funds to lost revenue, officials would need to pay back the remainder of the funds if they’re not used for coronavirus-related expenses by the end of December, Rizki said.

Preckwinkle said if history is a guide, the virus could rage on in some form for at least two years, so the county is beginning to look at what could happen for its finances over the next two years.

“It’s not just a challenge for this year, in terms of how we use our reserves, but what we’re going to do in the next couple of years, in particular when we estimate that we’ll still be struggling with economic consequences of the pandemic,” she said.


Here is an example of what they are doing with the money.
Cook County Board President Toni Preckwinkle, joined by the Cook County Department of Public Health (CCDPH), Cook County Department of Emergency Management and Regional Security (EMRS)  and area first responders today announced the availability of respite housing for suburban Cook County healthcare professionals, first responders and correctional officers.
“To further help prevent the spread of COVID-19, healthcare workers from hospitals and nursing homes, first responders (including fire, police and EMS workers), and correctional employees who are on the front lines and have experienced repeat exposures, will have a place to safely quarantine away from household members at higher risk of complications from the disease,” said Cook County Board President Toni Preckwinkle.
Hotel rooms for the respite housing program were secured by IEMA. EMRS coordinated planning and logistics for the program. CCDPH is overseeing implementation for those on the front lines of the COVID-19 pandemic.
Those who are eligible for respite housing include, but are not limited to:
  • respiratory therapists, certified nursing assistants, patient care technicians, nurses, cleaning staff, transporters, radiology techs and medical assistants, among others
  • police, fire, and emergency medical service (EMS) personnel employed or contracted by a governmental entity
  • correctional employees
“Given the limited supply of hotel space, and that we are taking a health equity approach, priority is being given to workers who may not be able to afford to rent a hotel room,” said CCDPH Senior Medical Officer Dr. Rachel Rubin.
Respite housing will be offered in 7-day increments. Renewal will be based on the availability of housing and what is needed to address the immediate threat to public health and safety.
“Right now, healthcare workers, first responders and correctional workers are our boots on the ground in the fight against COVID-19,” said EMRS Executive Director William Barnes. “We have an obligation to provide them with this housing option to help them protect their families while they protect us.”
Last week, Cook County unveiled the first phase of its COVID-19 alternative housing plan for people discharged from area hospitals who are unable to safely recover and isolate in their homes, including people who are homeless or housing insecure.
For more information, visit www.cookcountypublichealth.org or call the CCDPH COVID-19 Hotline at 708-633-3319.
Cook County needs to cut spending and begin layoffs.....now. 


11 comments:

  1. Anonymous4/24/2020

    Start with laying off the sheriff, what could you possibly need him for. Empty the jails and close the courts, ever neighborhood for themselves, isn't that what these socialists want anyway.

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    Replies
    1. Anonymous4/25/2020

      Nobody wants the job look they have billboards up on 294 tier 2 pension sucks

      Delete
    2. Anonymous4/26/2020

      and deputies....too many.

      Delete
  2. Anonymous4/25/2020

    What really needs to be addressed are the internal controls. The tone at the top is incredulous. Talk about an audit needing to be done at all levels of county government. Where are you inspector general Blanchard? How is this organization able to get away with this? The county is bleeding money because of waste.

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  3. Anonymous4/25/2020

    How much money is in TIF Districts?

    Why is my new tax assessment on my house $50,000 increase in value with no upgrades or additions?

    I'm thinking about just letting it go into foreclosure live free for 2yrs+ save down payment for new house in Indiana with wife's credit shame on these Democrats.

    ReplyDelete
    Replies
    1. Anonymous4/25/2020

      Why don't you just keep going? All the way to Ohio.

      Delete
    2. Anonymous4/25/2020

      You kidding me Akron, Cleveland, Toledo, Cincinnati are just mini versions of Chicago

      Delete
  4. Anonymous4/25/2020

    Reduce pension benefits to no more than 50% MAX. Only ONE Pension from anywhere. No yearly 3% COLAs.

    ReplyDelete
  5. Anonymous4/25/2020

    IRISH WELFARE is not a sustainable model.

    ReplyDelete
  6. Anonymous4/25/2020

    Her son is untouchable can't be arrested or convicted of any crime!

    ReplyDelete
    Replies
    1. Anonymous4/27/2020

      Black power tattoo on his arm too no show job at McHugh Construction.

      Delete