Dollars & Sense September‘13

E - N E W S L E T T E R F R O M I L L I N O I S C O M P T R O L LE R

J U D Y B AAR T O P I N K A.

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Letter from the Comptroller: ILLINOIS NONPROFIT ADVISORY

COUNCIL LAUNCH pg.2

POWER PROGRAM HELPS

LOCAL AUTO REPAIR SHOP pg.4

Hi Readers,

Welcome to Dollars & Sense- Issue 3!

As usual it’s a whirlwind of activity over here at the Comptroller’s Office.

Luckily, we’ve gathered some of the highlights from the summer months for you.

Take a minute to look through. I’m sure something will catch your fancy.

If I can suggest—Check out the Illinois Nonprofit Advisory Council on page two.

It’s no secret these are tough times for Illinois, but it can be especially difficult

for our service organizations that rely on payment from the state to keep things

afloat. This Advisory Council lets me regularly sit down with nonprofit leaders

from around the state, learn the ins and outs, see where the problems are and

decide what we can do to bring these groups some much-needed relief. And

what’s more—we have some pretty spectacular members with brilliant ideas. I’m

very much looking forward to our next meeting and can’t wait to report back

with what we have in the works.

Also, this is the second time we’ve dedicated an entire page to the POWER

Program: Providing Opportunities for Work through Education and Resources.

The POWER Program was launched to ensure that small and minority-owned

businesses had the resources they needed to land state contracts. I’m happy to

report; it has been a big hit in communities across the state. When you flip to

page four make sure to read about one of our participants, the Good Samaritan

Auto Repair Shop. I’m very proud of our team for having a hand in their success.

Please enjoy this issue of Dollars & Sense. We have some really great stuff. And

as always, contact us with comments or suggestions.

Until next time,

Judy Baar Topinka

Illinois State Comptroller

CHICAGO—Comptroller Judy Baar Topinka recently joined

nonprofit leaders from across the state in announcing the formation

of the Illinois Nonprofit Advisory Council to tackle staggering

fiscal challenges facing service organizations.

Topinka made the announcement following a successful first

meeting in which the Council made brief introductions and got right

to business discussing the state’s financial situation. The group

highlighted the effects of state payment delays and shared details

for minimizing financial hardships.

“Many of our nonprofit organizations serve our most vulnerable

residents, and they simply cannot wait months on end for payment

from the state,” Topinka said. “These meetings are intended to

highlight the seriousness of the situation, and address what we can

do about it.”

The Illinois Nonprofit Advisory Council aims to strengthen the

relationship between nonprofits and state government in order to

find solutions and bring much needed relief to service

organizations. Quarterly meetings will be held to maintain an

ongoing dialogue .

“Nonprofit organizations provide critical services to people across

Illinois and account for nearly 10 percent of the state’s workforce.

So when nonprofits struggle, it affects us all,” said Valerie Lies,

President and CEO of Donors Forum, and one of the Council

members. “I want to thank Comptroller Topinka for creating this

Council and for her ongoing leadership on this issue.”

One year ago Topinka embarked on Illinois Has Heart, a 4-day,

11-stop statewide tour to encourage Illinois nonprofit agencies to

contact her office if they were on the verge of closing due to state

payment delays. Additionally, she directed staff to prioritize

payments for day programs, child group homes, community living

facilities and other programs serving the developmentally disabled.

For more information or questions regarding the Illinois

Nonprofit Advisory Council please contact IOC Director of

External Affairs Marshette Turner at

TurneMM@mail.ioc.state.il.us.

Comptroller Judy Baar Topinka greets Andrea Durbin, CEO of the Illinois

Collaboration on Youth at the Illinois Nonprofit Advisory Council’s first meeting.-Picture by Teresa Potasiak

Council discusses nonprofit fiscal challenges in first meeting

TOPINKA LAUNCHES

IL NONPROFIT ADVISORY COUNCIL

Dollars & Sense - 2

Comptroller Judy Baar Topinka listens to Valerie Lies, President and CEO of Donors Forum as she speaks to press at the launch of the Illinois Nonprofit Advisory

Council at the James R. Thompson Center in Chicago -Picture by Teresa Potasiak

Nonprofit Advisory Council Member and

Donors Forum President & CEO Valerie Lies

discusses the importance of streamlining the

state contracting process for nonprofits in her

Huffington Post Chicago Blog:

FROM THE COUNCIL:

VALERIE LIES

HOW NONPROFITS AND GOVERNMENT

CAN WORK TOGETHER TO TACKLE

ILLINOIS CHALLENGES

TINLEY PARK—Comptroller Judy Baar

Topinka took the podium at a recent Chicago

Southland Chamber of Commerce Regional

Consensus Luncheon and apologized to the

crowded room of on-looking business owners.

“I hate to be such a downer by talking about

Illinois finances. I’ve been told that being the

Chief Fiscal Officer of this state is like being the

skunk at the picnic,” Topinka joked. “So I

apologize in advance.”

The visit was one of many stops Topinka has

made at Chambers across the state in recent

months to discuss the state’s fiscal situation and

collaborate on how to get Illinois back on track.

But between the state’s deepening bill

backlog, the worst pension situation in the

nation and continuous downgrades from credit

agencies, Topinka is still sharing the “sad truth”

and poor outlook of Illinois finances at each

meeting.

Today, the Comptroller’s Office has more

than 85,000 unpaid bills totaling nearly $5

billion. With the inclusion of bills being held at

various state agencies, the total exceeds $7.5

billion. Topinka noted that number would be

larger if tax season had not brought in $1.3

billion more than expected.

“We already used those dollars to pay down

bills— which is why the current backlog is $7.5

billion and not eight or nine

right now,” she said. “Only in

Illinois would that qualify as

good news.”

She encouraged audience

members to reach out to their

representatives and demand a

different approach to finances.

“As someone who has made

a career of nagging until I get

answers,” Topinka said. “I can

tell persistence pays off. So

stay at it and don’t get

discouraged.”

THE LEDGER An Ongoing Effort

If you are interested in scheduling a program, please contact the Consumer Affairs Division at 217-782-2673 to set up an appointment. Our staff will work closely with you to schedule a date and deliver counseling of importance to your audience.

THE BASICS OF BUDGETING

IDENTITY THEFT AND FRAUD

THE NEXT STEP

COMPTROLLER’S FINANCIAL WORKSHOPS

TOPINKA DELIVERS HER TWO

CENTS TO CHAMBER

Comptroller Topinka speaks to local business leaders at the Southland Chamber of Commerce Regional

Consensus Luncheon September 9.

When The Ledger was launched in

April 2012, Comptroller Topinka

assured taxpayers the site was an on-

going project that would continue to

restore the fiscal integrity to the state.

The site has since seen various

updates and additions—with more to

come.

As of this month, the public has the

ability to view individual non-

confidential payments issued by the

Comptroller’s Office. Each payment

listed comes with the appropriation

line, the issue date and payment

amount.

Furthermore, if the payment was

made against a contract kept in the

Comptroller’s records, then users can

view a summary of that agreement—

including the issuing agency, how it

was issued, as well as other payments

made against it.

Comptroller urges local leaders to fight against fiscal mess

Dollars & Sense – 3

The Ledger set a record high of

7,300 unique visitors in one day.

Comptroller Topinka catches up with Southland Chamber of Commerce leaders

at the Regional Consensus Luncheon September 9.

POWER PROGRAM HELPS

GOOD SAMARITAN

Providing Opportunity for Work

through Education and Resources

CHARACTER ● CAPACITY ● CAPITAL COLLATERAL ● CONDITIONS

PROGRAM

8TH ILLINOIS BLACK CHAMBER OF

COMMERCE CONVENTION

Dollars & Sense – 4

Topinka’ s POWER share resources at convention

Due to the collapse of the real estate industry over the last

decade, banks are more cautious than ever lending money.

Real estate—what was once considered a safe risk by

banks—has become a troubled asset and borrowers are

finding they owe more to the bank than what their home is

currently worth in today’s market.

Although banks are slowly beginning to lend money

again, it is important to know what they look for in

considering both home and business loan applications.

I like to refer to the “5 C‟s.”

The first factor, Character, refers to a borrower's

reputation. Capacity measures a borrower's ability to repay

a loan by comparing income against recurring debts. The

lender will consider any Capital the borrower puts toward a

potential investment, because a large contribution by the

borrower will lessen the chance of default. Collateral, such

as property or large assets, helps to secure the loan. Finally,

the Conditions of the loan, such as the interest rate and

amount of principal, will influence the lender's desire to

finance the borrower.

Another tip to consider: Get organized first! With

business loans in particular, it is useful to put together a

business plan. A plan will not only streamline the process of

starting up a business, but it also a useful material to show

bankers. If an accountant can assist in formulating this plan,

great! If not, help is available through the Small Business

Development Centers which are located throughout the

state.

-John Cieslik, Small Business Ombudsman, POWER

POWER liaison John Cieslik shares

valuable tips in applying for loans

THE FIVE „Cs‟

CHICAGO—State Comptroller Judy Baar Topinka

and representatives of her POWER Program attended the 8th

Annual Illinois Black Chamber of Commerce Convention. The

convention hosts a cross sectional gathering of entrepreneurs, corporate

entities, policy makers and elected officials. POWER liaisons were on

hand to share resources provided by the Comptroller’s Office with

attending, small and minority business owner.

Comptroller Judy Baar Topinka poses with Representative Robin Kelly at the Illinois Black Chamber of Commerce Convention August 22.

CHICAGO—Located at 2801 E. 79th Street in Chicago’s 7th ward, Good

Samaritan Auto Repair has been a community institution and recently

became a POWER program success.

Good Samaritan was established in 1992 by Haitian emigrant Jacques

Eugene as both a way to support his family and give back to his

community as a small business owner. Mr. Eugene, a good Samaritan

himself, has been active in assisting his neighbors in times of need

through pro bono auto work

and community based training

and hiring.

Recently, Comptroller

Topinka’s POWER Program

was able to assist Mr. Eugene

and Good Samaritan with

registration for the Illinois

procurement bulletin board,

certification preparation and

resource referrals. Through

community partner Chicago

Neighbor Initiatives, POWER

helped Mr. Eugene in receiving

$18,000 in operating capital to

allow his business tackle the

challenges of today’s market

place.

Good Samaritan owner Jacques Eugene and staff pose for a photo in front of the Good

Samaritan Auto Repair.

POWER participant finds success through program