REPORT DIGEST ILLINOIS GAMING BOARD FUND 129 - STATE GAMING FUND FINANCIAL AUDIT FOR THE YEAR ENDED JUNE 30, 2022 Release Date: January 26, 2023 FINDINGS THIS AUDIT: 0 CATEGORY: NEW -- REPEAT – TOTAL Category 1: 1* -- 0 -- 1 Category 2: 0 -- 0 -- 0 Category 3: 0 -- 0 -- 0 TOTAL: 1 -- 0 -- 1 FINDINGS LAST AUDIT: 0 *Finding 22-001 was reclassified from a State Compliance Examination Finding to a Government Auditing Standards finding in the current audit period. 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 INTRODUCTION This digest covers the State Gaming Fund of the Illinois Gaming Board’s (Board) Financial Audit as of and for the year ended June 30, 2022. The Board’s Compliance Examination as of and for the year ended June 30, 2022 will be issued in a separate report at a later date. SYNOPSIS • (22-1) The Illinois Gaming Board (Board) failed to implement an effective change management process to control changes to their applications and data. FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS LACK OF AN EFFECTIVE CHANGE MANAGEMENT CONTROL The Illinois Gaming Board (Board) failed to implement an effective change management process to control changes to their applications and data. The Board utilized a myriad of applications to carry out its duties of regulating the casinos and sports wagering in the State. During our review of the Board’s change control procedures, we noted the procedures were minimal and did not document the basic controls over changes. Specifically, the procedures did not address: • Procedures for requesting changes, • Approval of changes, • Testing requirements, • Documentation requirements, • Implementation reviews, and • Proper segregation of duties. (Finding 1, pages 18-19) We recommended the Board develop a change management policy which details all aspects of the change management process. Board officials accepted the recommendation and stated they were working to implement the necessary improvements. AUDITOR’S OPINION The auditors stated the financial statements of the State Gaming Fund of the Illinois Gaming Board as of and for the year ended June 30, 2022 are fairly stated in all material respects. This financial audit was conducted by CliftonLarsonAllen LLP. JANE CLARK Division Director This report is transmitted in accordance with Section 3-14 of the Illinois State Auditing Act. FRANK J. MAUTINO Auditor General FJM:jp/vrb