Illinois Public Media News
The Illinois Department of Insurance is the only agency that stands in front of the merger of Carle Foundation Hospital and Cale Clinic Association.
The deal would have the not-for-profit Carle Foundation purchase the for-profit clinic for $250 million. The clinic's Health Alliance Medical Plans would be the only business to remain for-profit.
Yesterday without opposition, the state Health Facilities and Services Review Board approved a certificate of need clearing the way for the purchase. Carle says the merger will make the organization a stronger health care provider and give the clinic's doctors a stable place of employment. Federal regulators have not raised any questions about the deal - if the state insurance department approves, Carle says the merger could be completed in April.
After mold and ventilation problems delayed the completion of the new Champaign County nursing home, the county board went after the nursing home's builders to collect damages. Now the last of those efforts is completed.
Arbitrators have ruled that Otto Baum Company, one of the prime contractors on the project, must pay Champaign County $405,000 for problems caused by mold found on wood during nursing home construction. After outstanding bills owed to Otto Baum are paid, the county will be ahead by nearly $150,000. Rantoul Township Republican Stan James serves on the county board's facilities committee. He says the settlement of the mold issue frees the county board up to focus on other concerns.
"That's one less thing on our plate, and now we can move on. We've got bigger budget issues to tackle and a host of issues due the economy that we need to be focusing on," James said.
While Champaign County is receiving some money in the binding decision, the arbitrators say the county also shares in the responsibility. The arbitrators' report say that the county, Otto Baum Company and construction manager PKD all should have known that unvented heaters were not adequate to keep mold away from wood used in nursing home construction.
Damages from Otto Baum, plus previous awards from other firms involved in nursing home construction are providing Champaign County with about $1.3 million in payments to help make up for extra costs and delays in nursing home construction. Facilities Committee Chairman Steve Beckett estimates that the payments fall $300,000 to $500,000 short of the county's expenses.
While one area county has gotten out of nursing home operations, the Champaign County Nursing Home appears to have turned a corner after a number of financial problems.
A week from today, Livingston Manor in Pontiac will have a new operator. Livingston County Board Chairman Bill Fairfield says while the level of care there is good, he says the facilities are nearly 50 years old, with one bathroom per wing. As a result, Fairfield says it's hard to find new patients. Livingston Manor has about 35 residents now, with 122 beds.
County officials have spent the last couple of years working with the non-profit Good Samaritan Home of Flanagan to assume operations at the Pontiac home. And by September 2011, Fairfield says Good Samaritan will have a new facility built, with the help of an economic development grant from the county.
"They have a couple of ideas on property, which would be somewhere in the vicinity of St. James Hospital in Pontiac, to build a new facility," said Fairfield. "And I believe that once they have a facility that is modern, with a private bath and all, that you will see the census rise."
Census has not been a problem of late at Champaign County's nursing home. Mike Scavatto is president of Management Performance Associates, the St. Louis based group that's helping with management of home. He's aiming for an average census of about 195 patients, and they're close to it now. But there's also been an increase in private pay residents, a lower percentage of them on Medicaid, and less contract nursing. But Scavatto says there are other goals in mind.
"We're very interested in expanding our services in dementia and doing more with rehabilitation. And I think those are the two key services that will help us out," said Scavotto.
The Champaign County Nursing Home closed out 2008 with a one-point-8 million dollar loss. Scavatto expects losses from 2009 to show a figure closer to 150-thousand dollars.
A national ranking of counties based on the health of their residents puts Vermilion County near the bottom in Illinois.
Champaign County ranked 31st, Vermilion 96th in the survey put out by the University of Wisconsin and the Robert Wood Johnson Foundation. The authors wanted to put public health in a new light to motivate people to discuss those issues in their communities.
Champaign Urbana Public Health Department administrator Julie Pryde thinks the study will do that, though counties already have a regular four-year process to assess health issues and act on them.
"In Illinois we do something called the I-Plan, which is a local assessment of need, and we're getting ready to do that again," Pryde said. "So I think (the report is) very timely and it will be more data and more information that will help stimulate discussion when we get in these groups."
The study used factors ranging from access to medical care and healthy food to smoking and obesity rates. Vermilion County health administrator Steve Laker says some of his county's low rankings are in areas that use patient interviews rather than raw numbers.
"Self-assessment, self-reported data is always a little suspect," Laker said. "But what they're saying here is true. If they're using the same data everywhere and it's just as suspect everywhere, then it may be relative."
Laker says Vermilion County's blue-collar history has a lot to do with its low public-health ranking. He says community stakeholders are already meeting this afternoon (Wed) to talk about the survey.
The Vermilion County Health Department will continue operations for at least another three months. The Vermilion County Board voted 22 to 1 Tuesday night to extend a loan to the health department, in lieu of overdue state funding.
County Board Chairman Jim McMahon says the extension will let the Vermilion County Health Department continue until May --- but with fewer services. That's because county board members also voted 22-1 to formalize more than 400-thousand dollars in budget cuts, eliminating three state grant-funded programs, and cutting 12 jobs. McMahon says a proposal to cut the remaining grant-funded programs from the budget did not come up last night. But he says if the state of Illinois hasn't paid up some of the money it owes the health department by spring, it will be harder to get the county board to continue the loan without cutting even more from the health department's budget..
"It's a very strong possibility, that if the state of Illinois doesn't start paying the bills of this fiscal year", says McMahon, that 53 employees will be let go in an Aprikl or May decision".
McMahon says that would leave about 20 employees to run basic health services --- restaurant inspections, disease control, and water safety. He says he would never allow the Vermilion County Health Department to be eliminated entirely.
McMahon says the the only solution he can see is for the state to borrow money so it can start paying out the grant money it agreed to.
"It's not fair for producers of programs from the state to have to basically borrow money to continue going", says McMahon. He says Governor Pat Quinn should borrow the money "to cover the expense that the state of Illinois has already approved.
Groups representing Illinois hospitals and doctors are disappointed by an Illinois Supreme Court ruling involving caps on some medical malpractice lawsuit awards, but trial lawyers are hailing the decision.
A divided court ruled Thursday that limiting non-economic damages in malpractice cases violates the principle of separation of powers in the state's Constitution. The court says limits the Legislature adopted in 2005 would infringe on the judicial branch's power. In a partial dissent, Justice Lloyd Karmeier says it's the court that is violating separation of powers by second-guessing the Legislature's attempts to reduce health care costs.
Illinois State Medical Society President James Milam says he fears doctors in high-risk specialties will leave the state if their medical liability insurance rates go up as a result of the ruling.
Maryjane Wurth is president of the Illinois Hospital Association. She says the court's decision highlights the need for President Barack Obama and Congress to embrace meaningful medical liability reform as part of health care legislation.
Illinois Trial Lawyers Association President Peter Flowers applauds the decision and says it's time to focus on meaningful insurance reform.
Health care reform has been a dominant issue when candidates for Illinois' US Senate race talk about the country's older Americans... but it's not the only issue. Seniors voting next week in the primary (including Rantoul's Cheryl Melchi, left) are not only questioning the future of issues like Medicare and Social Security but their candidates' ability to address them. AM 580's Jeff Bossert surveyed some East Central Illinois residents for their thoughts.
Several school districts in Champaign County now have a chance to save more money when issuing bonds for school construction projects. AM 580's Jim Meadows reports.
The chance came last week when the Champaign County Board formally designated the county as a "Recovery Zone", ---- an area experiencing economic distress under terms set by the federal Recovery Act. That clears the way for eligible school districts to issue some of their school construction bonds as Recovery Zone bonds --- with the federal government picking up 45 percent of the interest charge.
Cameron Moore of the Champaign County Regional Planning Commission says he's gotten "strong Indications" from the Champaign, Urbana and Rantoul City school districts that they would probably use the Recovery Zone bonds, as they prepare to issue bonds for construction projects in the next couple of months.
Assistant Superintendent Beth Shepperd of the Champaign Unit Four school district says they plan to use about about $1,300,000 in Recovery Zone Bonds as part of their bond issue next month. She calls the opportunity an exciting one, "because it certainly lessens the amount of money that the taxpayers pay for interest, gives us the lowest interest rate available to governmental entitites right now, and gives us more money to good things for our students in the schools." Shepperd says the rest of Unit Four's bond issue will be issued as Build America bonds. She says they are also subsidized under the federal Recovery Act, but at 35%.
The RPC's Moore says the Fisher and Rantoul Township districts could also use the special bonds. But the bonds can only be issued during 2010. The federal government is making $2,349,000 in Recovery Zone bonds available in Champaign County.
Police in Urbana say a thief who made off with hundreds of old X-rays from Carle Clinic probably wanted them for the value of their silver content.
Urbana Police Sgt. Dan Morgan says that on Jan. 13, a man who is believed to have done the same thing at other hospitals in Illinois showed up at the clinic's storage facility and picked up 1,300 packets of X-rays intended for recycling.
Carle Clinic spokeswoman Jennifer Hendricks says X-rays were from 2005 and earlier, and she does not believe the information included with them would be sufficient for identity theft.
Morgan says that if the thief is successful at recycling the X-rays for their silver content, he'd probably get a few hundred dollars --- enough to make the crime a felony.
Before his removal from office, former Governor Rod Blagojevich made it a priority to extend health care to more lower-income Illinoisans. Today more children, their parents and others are covered under state-supervised programs with names like AllKids, Family Care and Illinois Cares RX. But massive budget pressures may make this year's candidates for governor rethink those expansions. AM 580's Tom Rogers looks into what those programs do - and where health care stands in the minds of potential officeholders.
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