REPORT DIGEST OFFICE OF THE STATE’S ATTORNEYS APPELLATE PROSECUTOR COMPLIANCE EXAMINATION FOR THE TWO YEARS ENDED JUNE 30, 2016 Release Date: April 27, 2017 FINDINGS THIS AUDIT: 3 CATEGORY: NEW -- REPEAT -- TOTAL Category 1: 1 -- 0 -- 1 Category 2: 2 -- 0 -- 2 Category 3: 0 -- 0 -- 0 TOTAL: 3 -- 0 -- 3 FINDINGS LAST AUDIT: 0 Category 1: Findings that are material weaknesses in internal control and/or a qualification on compliance with State laws and regulations (material noncompliance). Category 2: Findings that are significant deficiencies in internal control and noncompliance with State laws and regulations. Category 3: Findings that have no internal control issues but are in noncompliance with State laws and regulations. State of Illinois, Office of the Auditor General FRANK J. MAUTINO, AUDITOR GENERAL To obtain a copy of the Report contact: Office of the Auditor General, Iles Park Plaza, 740 E. Ash Street, Springfield, IL 62703 (217) 782-6046 or TTY (888) 261-2887 This Report Digest and Full Report are also available on the worldwide web at www.auditor.illinois.gov FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS FAILURE TO PROPERLY CHARGE COUNTIES The Office of the State’s Attorneys Appellate Prosecutor (Office) did not ensure charges for legal services rendered to counties for labor relations work complied with the State’s Attorneys Appellate Prosecutor’s Act (Act). The Act (725 ILCS 210/4.01) authorizes the Office to assist State’s Attorneys in the discharge of their duties under the Illinois Public Labor Relations Act (5 ILCS 315). In exchange, each county using these services must “reimburse the Office on pro-rated shares as determined by the [Board of Governors] based upon the population and number of labor relations cases of the participating counties.” In order to test this statutory mandate, the auditors selected nine receipts for labor relations work, totaling $40,261, and requested documentation for how the Office determined the amount charged to the counties. The Office was unable to provide support for its methodology for calculating the charge; therefore, the auditors were unable to determine if the Office’s billing for each county’s contributions for labor relations work complied with the Act (725 ILCS 210/4.01). During the two years ended June 30, 2016, the Office collected $319,093 from counties for labor relations work. (Finding 1, pages 10-11). We recommended the Office implement controls to calculate the reimbursements due from the counties for labor relations work in accordance with the Act. We also recommended the Office retain documentation supporting its calculation of the amounts due from each county. The Office accepted the recommendation and stated it will implement controls to fully comply with the provisions of this Act. OTHER FINDINGS The remaining findings pertain to inadequate controls over personal services and the Office’s postage inventory. We will review the Office’s progress towards the implementation of our recommendations in our next compliance examination. ACCOUNTANT’S OPINION The accountants conducted a compliance examination of the Office for the two years ended June 30, 2016, as required by the Illinois State Auditing Act. The accountants qualified their report on State compliance for Finding 2016-001. Except for the noncompliance described in this finding, the accountants stated the Office complied, in all material respects, with the requirements described in the report. This compliance examination was conducted by the Office of the Auditor General’s staff. BRUCE L. BULLARD Division Director This report is transmitted in accordance with Section 3-14 of the Illinois State Auditing Act. FRANK J. MAUTINO Auditor General FJM:jv