CHICAGO (CBS) – Representatives of Illinois nursing homes say Governor Pat Quinn’s proposed cuts in Medicaid funding will devastate the industry and could leave seniors homeless.

Quinn has said the state has to find $2.7 billion in cuts to Medicaid spending, or the program will collapse.

Under his proposals, seniors living at nursing homes would feel those cutbacks according to Pat Comstock, executive director of the Health Care Council of Illinois.

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“What will happen to some of these residents is that they may not be able to stay here. They may lose their home,” Comstock said.

Comstock spoke at a North Side nursing home – where Jeanne Goss is a resident – and she says things are bad enough as it is.

“We never have enough nurses… or anything like that. We have to run around all over the place looking for help,” Goss said.

The nursing home industry representatives say they understand cuts are needed somewhere – but they say this is the wrong approach.