Nursing Homes, SEIU Urge Lawmakers to Extend 2011Illinois Income Tax Hike

(Springfield, IL) ­ – The Illinois nursing home industry, a top labor union, and a key Democratic lawmaker called on legislators yesterday to extend the temporary income tax surcharge. The Health Care Council of Illinois, SEIU Healthcare, Illinois and Indiana, and State Rep. Greg Harris (D-Chicago) warned that serious Illinois budget cuts to care for elderly nursing home residents throughout the state would undermine care were the income tax surcharge to expire. “If the income tax surcharge is allowed to die, we could see cuts to Medicaid funding that would be devastating, putting elderly residents at risk,” Shael Bellows, president at Kensington Group LLC and a Board Member of HCCI, said. Bellows also warned of the “catastrophic impact” possible cuts would have on nursing home budgets. “Look, we know where this is headed,” said Bellows. “If we don’t extend the surcharge, we’ll see a nearly 15 percent cut in Medicaid funding. Nursing homes would have no choice but to cut staffing and services for residents.” Health Care Council of Illinois Executive Director Pat Comstock warned of the tax surcharge expiration, “It’s doomsday for us.” Governor Pat Quinn called for making the surcharge permanent in his budget address to the Illinois General Assembly in March. Illinois would see a roughly $1.6 billion drop in revenue if the temporary income tax hike is allowed to expire in January, as scheduled. “No one likes proposing higher taxes,” Bellows said. “But we must not try to balance the budget on the backs of seniors, many of whom cannot stand up and defend themselves.” Harris noted that an extension of 2011 surcharge would not increase taxes. “We’re not talking about increasing income taxes, we’re talking about keeping our taxes at an equal level to what they are today,” said Harris. Denise Gaines, Legislative Director for SEIU Healthcare Illinois and Indiana, which represents workers in the senior health care industry, said, “All these [senior] services are at risk should our state’s revenue decline.” Also joining HCCI’s call for extending the surcharge were State Senator Iris Martinez (D-Chicago). newsdesk@illinoisobserver.net Twitter @IL_Observer