REPORT DIGEST
DEAF AND HARD OF HEARING COMMISSION
COMPLIANCE
EXAMINATION
For the Two Years Ended: June 30, 2009
Summary of Findings:
Total this audit: 3
Total last audit: 1
Repeated from last audit:
1
Release Date: April 13, 2010
State of Illinois, Office of the Auditor General
WILLIAM G. HOLLAND, 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 http://www.auditor.illinois.gov
SYNOPSIS
The Commission did not maintain sufficient controls over the recording and reporting of its State property.
FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS
PROPERTY CONTROL WEAKNESSES
The Deaf and Hard of Hearing Commission (Commission) did not
maintain sufficient controls over the recording and reporting of its State
property. During testing we noted the
following:
• Four of 8
(50%) Quarterly Reports of State Property (C-15s) submitted to the Office of
the Comptroller (IOC) during FY08 and FY09 did not
agree to the Commission’s property records in the Common Inventory System.
• Property
and equipment expenditures, totaling $4,585, during the FY07 lapse period were
never recorded on the Commission’s property listing or the C-15s submitted to
the IOC.
• The
Commission filed its FY08 Annual Real Property Utilization Report 26 days
late.
• The
Commission did not accurately report the cost of equipment items on its
property records. We noted shipping and
handling charges were not included and one item was reduced by a trade-in
allowance.
• One
equipment item was not recorded at the proper amount and two library books were
not recorded on the Commission’s property records. In addition, one item was reported with an
improper location code.
• The
Commission did not timely record 15 of 49 (31%) equipment items tested,
totaling $10,747, on its property records.
The items were recorded from 33 to 414 days late.
We recommended the Commission strengthen controls over the
recording and reporting of its State property.
Specifically, the Commission should ensure equipment is recorded at its
proper cost and is added to inventory records in a timely manner. In addition, we recommended the Commission
thoroughly review all reports prepared from internal records for accuracy
before submission to the IOC. Lastly, we
recommended the Commission file the Annual Real Property Utilization Report by
October 30 of each year. (Finding 1,
pages 9-11)
Commission personnel agreed with our recommendation and
stated they will review internal controls to improve accuracy and timeliness of
reporting of property control records and will work with the Illinois Office of
the Comptroller to correct any reporting errors.
OTHER FINDINGS
The other
report findings pertaining to untimely filing of Fiscal Control and Internal
Auditing Act certifications and inadequate segregation of duties are reportedly
being given attention by Commission management.
We will review progress toward implementation of our recommendation
during our next examination
AUDITORS’ OPINION
We
conducted a compliance examination of the Commission as required by the
Illinois State Auditing Act. We have
not audited any financial statements of the Commission for the purpose of
expressing an opinion because the Commission does not, nor is it required to,
prepare financial statements.
WILLIAM G. HOLLAND, Auditor General
WGH:JSC:pp
AUDITORS ASSIGNED
This examination was performed by staff of the Office of the Auditor General.