REPORT DIGEST

 

LINCOLN DEVELOPMENTAL

CENTER

 

LIMITED SCOPE

COMPLIANCE AUDIT

For the Year Ended

June 30, 2002

and the

CLOSE-OUT AUDIT

For the Period Through

June 30, 2003

 

Summary of Findings:

 

Total this audit                       1

Total last audit                       5

Repeated from last audit        0

 

Release Date:

May 20, 2004

 

 

 

 

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 TDD (217) 524-4646

 

 

This Report Digest is also available on

the worldwide web at

http://www.state.il.us/auditor

 

 

 

SYNOPSIS
  • The Lincoln Developmental Center did not maintain adequate controls over the commodities inventory during the close-out period.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

{Expenditures and Activity Measures are summarized on the reverse page.}

 

 

                                       LINCOLN DEVELOPMENTAL CENTER

 

 

                                       LIMITED SCOPE COMPLIANCE AUDIT

                                             For The Year Ended June 30, 2002

                                                                     and

                                                       CLOSE-OUT AUDIT

                                           For the Period Through June 30, 2003

 

EXPENDITURE STATISTICS

FY 2003

FY 2002

FY 2001

! Total Expenditures (All Appropriated Funds) 9;

$4,988,498

$32,077,741

$33,564,489

OPERATIONS TOTAL

          % of Total Expenditures

     Personal Services

          % of Operations Expenditures

Average No. of Employees

Average Salary Per Employee

 

* Based on two month period before closure

**Information not meaningful due to closure

$4,988,498

100%

$3,354,645

67.2%

440*

**

$32,068,741

99.97%

$23,518,234

73.3%

600

$39,197

$33,555,489

99.97%

$24,473,388

72.9%

661

$37,025

 

Other Payroll Costs (FICA, Retirement)

          % of Operations Expenditures 9;

$713,095

14.3%

$4,959,989

15.5%

$5,108,162

15.2%

Commodities

          % of Operations Expenditures 9;

$115,138

2.3%

$1,513,429

4.8%

$1,693,631

5.1%

Contractual Services

          % of Operations Expenditures 9;

$747,972

15.0%

$1,842,894

5.7%

$1,983,353

5.9%

All Other Items

          % of Operations Expenditures

 

GRANTS TOTAL

          % of Total Expenditures

$57,648

1.2%

 

$0

0%

$234,195

.7%

 

$9,000

.03%

$296,955

0.9%

 

$9,000

.03%

  • Cost of Property and Equipment

  • Cost of Inventories on hand

$45,464,420

$0

$47,684,086

$404,883

$44,168,799

$382,693

SELECTED ACTIVITY MEASURES

FY 2003

FY 2002

FY 2001

! Average Number of Residents

*

292

382

! Ratio of Employees to Residents

*

2.05/1

1.73/1

! Cost Per Year Per Resident

*

$141,742

$115,707

* Information is not meaningful due to closure

FACILITY DIRECTOR

10/01/01 to 8/30/02 Closure: Ms. Peggy Davidsmeyer

7/01/01 to 9/30/01: Ms. Gwendolyn Thornton

 

 

 

 

 

 

 

The Lincoln Developmental Center did not maintain adequate controls over commodities inventory during the close-out period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

INADEQUATE CONTROLS OVER COMMODITIES

The Lincoln Developmental Center (Center) did not maintain adequate controls over the commodities inventory during the close-out period. The Center failed to record transactions related to inventory transfers and did not follow normal transfer procedures during the closure, therefore documentation of items, quantities and dollar amounts transferred to other Department of Human Services centers does not exist.

Good business practices require that internal controls be in place and operating to maintain effective accounting control over assets and ensure that they are properly reported.

We recommend that normal commodities inventory procedures be maintained and followed during closure of departmental facilities. (Finding 1, page 8)

According to management’s response, the policy for maintaining and distributing excess/surplus commodities during future closure of departmental facilities will be followed.

 

AUDITORS' OPINION

We conducted a limited scope compliance audit and close-out audit of the Center as required by the Illinois State Auditing Act. Financial statements for the Department are included in the audit report of the Department of Human Services – Central Office.

 

_____________________________________

WILLIAM G. HOLLAND, Auditor General

WGH:JAW:pp

SPECIAL ASSISTANT AUDITORS

Our special assistant auditors were J.W. Boyle & Co., Ltd.