December 2014 – CU-CitizenAccess.org

In order to understand why Champaign is doing so well with their pensions compared to
other Illinois cities and the state itself, we’re going to go through a little crash course about
pensions.
A pension is the benefits paid to employees after they retire, usually a predetermined
amount of money given out each month. The pension is paid out from a pension fund, which is
the pool of money that is used to pay out participating employees’ pensions. The amount of
money within the pension fund is sometimes referred to as the plan fiduciary net position.
Pension funds gain money through employee contributions (the money employees put
into the pension fund), employer contributions (the money employers put into the pension fund),
and investment returns (the money gained from the investing of pensions funds). They generally
lose money through finally paying out an employee’s pension, investment losses, and
administrative upkeep.

Two of the most important concepts when it comes to pensions are total liability and
unfunded liability. Total liability includes the previous costs associated with pensions, but also a
calculation of future costs the pension fund will have to pay for eventually, aka what they will
have to pay when all their employees retire. Employees’ average lifespans, disability rates,
spousal lifespans, etc. are used to calculate what is the most likely amount of money the pension
fund will need o have in order to pay all their employees pensions throughout their lifespan.
As employees pension benefits increase and new employees are hired, the total liability
may become larger than the amount of money the pension fund currently has. This difference
between total liability and available money in the pension fund is called unfunded liability.
Unfunded liability is not due to be paid at the time it is taken on, but there is also no
money to pay for it when it is taken on. Therefore, it is a future payment that is promised to be
paid for later or in parts over time, similar to a loan.
For example, a city establishes a fire department in 1990 with 10 firefighters that when
they retire will receive $10,000 annually. Originally, it was assumed they would collect pension
for 20 years, so the pension fund aimed to have $2,000,000 for the firefighters’ retirement. By
2000, they have the $2,000,000 in plan fiduciary net position, but at this time the state decides
that retired firefighters will receive $15,000 per year instead, and the average lifespan
assumption has increased by 5 years. The pension fund’s total liability has grown from
$2,000,000 to $3,750,000, nearly doubling their original total liability. On top of that,
investments have not returned as much as expected and the city only puts in enough money to
cover administrative costs, so the plan fiduciary net position remained unchanged. While its
$2,000,000 was originally enough to fully fund all the firefighters’ pensions, now it is only
enough to fund 53% of their pensions. There are always a lot more moving funds and

calculations involved in real life examples, but this simple example sums up what has been
happening with many Illinois city pensions.

Read more about the article Domestic violence task force on ‘hiatus’

Darrell Hoemann/C-U Citizen Access

Lisa Little, a court advocate with Courage Connection at Lincoln Square on Friday, December 12, 2014.

Domestic violence task force on ‘hiatus’

Post author:CU-CitizenAccess.org
Post published:December 23, 2014
Post category:Article Justice

Johnathan Hettinger/For CU-CitizenAccess.org --Despite hundreds of domestic violence arrests each year in Champaign and Urbana, a task force formed to address the issue has…

Read more about the article Local domestic violence shelter forced to turn away hundreds

Darrell Hoemann

From left: Stephanie Thurman and Lisa Little, a court advocates with Courage Connection and Isak Griffiths, executive director with the groups Angel Tree fundraiser at Lincoln Square in Urbana on Friday, December 12, 2014.

Local domestic violence shelter forced to turn away hundreds

Post author:CU-CitizenAccess.org
Post published:December 23, 2014
Post category:Article Neighborhoods

Johnathan Hettinger/For CU-CitizenAccess.org --The only domestic violence shelter in Champaign-Urbana has had to turn away hundreds of women and children because it does not…

Read more about the article Inspectors find negligence, abuse in central Illinois nursing homes

Darrell Hoemann

A review of Illinois Department of Public Health documents found that one of the residents at Champaign Urbana Nursing and Rehab left the facility alone and traveled nearly 40 miles away.

Inspectors find negligence, abuse in central Illinois nursing homes

Post author:Claire Everett / For CU-CitizenAccess
Post published:December 21, 2014
Post category:Elderly Watch

State officials have conducted hundreds of complaint-based nursing home inspections across central Illinois since 2011. In the seven Medicare-certified nursing homes in Champaign County alone, inspectors from the Illinois Department of Public Health conducted at least 114 complaint-based inspections.

Read more about the article Inspections find peril in central Illinois nursing homes

Darrell Hoemann

The knitting group at Clark-Lindsey Retirement Village, Urbana, on Friday, Nov. 7, 2014.

Inspections find peril in central Illinois nursing homes

Post author:CU-CitizenAccess.org
Post published:December 21, 2014
Post category:Elderly Watch

After months of interviews and reviewing Medicare data, Illinois Department of Public Health reports, court records and other documents, CU-CitizenAccess.org found that central Illinois…

Read more about the article Husband’s treatment prompts wrongful death lawsuit

News-Gazette contributed photo.

Gerald Warmbier, 71, died Aug. 14, 2013 at Carle Foundation Hospital. His wife, Judy, filed a lawsuit against Heartland of Champaign this year.

Husband’s treatment prompts wrongful death lawsuit

Post author:Robert Holly / For CU-CitizenAccess
Post published:December 21, 2014
Post category:Elderly Watch

After being admitted to the nursing home Heartland of Champaign to recover from a hospital stay for chest pain last year, Gerald Warmbier’s health…

Read more about the article Nursing home ratings sometimes misleading

Darrell Hoemann

Residents sit around a table during a knitting activity session as Clark-Lindsey Retirement Village on Nov. 7, 2014. Clark-Lindsey in Urbana and Country Health in Gifford are the only five-star facilities in Champaign County.

Nursing home ratings sometimes misleading

Post author:Robert Holly / For CU-CitizenAccess
Post published:December 21, 2014
Post category:Elderly Watch Health Care Public Health

Since 2011, dozens of central Illinois nursing homes have improved their five-star Medicare rating, some by as much as four stars. But that improvement, some critics say, is not an accurate representation.

Read more about the article Tips for finding a good nursing home

Darrell Hoemann

Clark-Lindsey Retirement Village residents gather for a “kitchen band” activity session on Nov. 7, 2014.

Tips for finding a good nursing home

Post author:Claire Everett / For CU-CitizenAccess
Post published:December 21, 2014
Post category:Elderly Watch

In one central Illinois nursing home, staff allowed a man labeled as an “elopement risk” to leave and wander 38 miles away. In another facility, two employees were caught whispering that one of the employees was having an affair with a female resident’s husband until the resident started crying.

Read more about the article Central Illinois nursing homes plagued by violations

Darrell Hoemann

A resident participates in a knitting group at Clark-Lindsey Retirement Village on Nov. 7, 2014. Clark-Lindsey in Urbana is one of two federally rated five-star facilities in Champaign County.

Central Illinois nursing homes plagued by violations

Post author:Robert Holly / For CU-CitizenAccess and Claire Everett / For CU-CitizenAccess
Post published:December 21, 2014
Post category:Health Care Public Health

Gerald Warmbier began a medical journey last year that took him to the nursing home Heartland of Champaign. But instead of helping him recover after medical treatment at Carle Foundation Hospital, the nursing home delivered such poor care that it led to his death, according to a lawsuit filed in the Circuit Court of Champaign County by his wife.

Read more about the article Understaffing hard on nursing homes, residents alike

Darrell Hoemann

A sign advertising open positions is leaned against the wall in front of the Heartland of Champaign nursing home, Dec. 11, 2014.

Understaffing hard on nursing homes, residents alike

Post author:Robert Holly / For CU-CitizenAccess
Post published:December 1, 2014
Post category:Elderly Watch

For many, nursing homes seem like the best option for aging family members because facilities offer the promise of 24-hour care. It is a promise, though, that many Champaign County and central Illinois nursing homes are finding hard to keep because of understaffing, particularly when it comes to registered nurses.