REPORT DIGEST

PRISONER REVIEW BOARD

COMPLIANCE EXAMINATION

For the Two Years Ended:

June 30, 2008

Summary of Findings:

Total this audit 5

Total last audit 4

Repeated from last audit 3

Release Date:

December 9, 2008

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 Report is also available on the worldwide web at

http://www.auditor.illinois.gov

SYNOPSIS

¨ The Board did not exercise adequate control over recording and reporting of State property.

¨ The Board did not have adequate controls over the deposit and accounting of cash receipts.

¨ The Board did not exercise adequate control over voucher processing.

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

PRISONER REVIEW BOARD

COMPLIANCE EXAMINATION

For the Two Years Ended June 30, 2008

EXPENDITURE STATISTICS

FY 2008

FY 2007

FY 2006

Total Expenditures .............................................

$1,592,918

$1,305,633

$1,228,969

Personal Services..........................................

% of Total Expenditures...........................

Average No. of Employees......................

$852,982

53.55%

$765,557

58.64%

$718,899

58.50%

Other Payroll Costs (FICA, Retirement)................

% of Total Expenditures...........................

$204,250

12.82%

$145,049

11.11%

$111,895

9.11%

Contractual Services......................................

% of Total Expenditures...........................

$227,007

14.25%

$212,616

16.28%

$202,324

16.46%

Travel.................................................................

% of Total Expenditures....................................

$67,832

4.26%

$81,369

6.23%

$86,425

7.03%

All Other Items.............................................

% of Total Expenditures...........................

$240,847

15.12%

$101,042

7.74%

$109,426

8.90%

Cost of Property and Equipment.........................

$546,074

$526,377

$547,082

SELECTED ACTIVITY MEASURES (not examined)

FY 2008

FY 2007

FY 2006

CASE REVIEWS

ADULTS:

Parole Reviews................................................

Release Reviews..............................................

Good Conduct Credit Reviews...........................

All Others........................................................

Total Adult Considerations...................................

127

25,786

4,578

15,508

45,999

165

33,160

5,679

16,889

55,893

195

25,069

4,921

21,315

51,500

JUVENILES:

Parole Reviews................................................

Discharge Reviews...........................................

All Others........................................................

Total Juveniles Reviewed.....................................

1,605

541

2,280

4,426

1,707

480

1,980

4,167

1,862

506

2,498

4,866

AGENCY CHAIRMAN

During Audit Period: Jorge Montes

Currently: Jorge Montes

Property items not tagged appropriately or recorded on property records

Property records were overstated by $15,631

Finding repeated since 2002

Board does not maintain a cash receipts ledger or a list of receipts received

RDT completed two years after receipt was deposited

Vouchers were approved from 2 – 581 days late.

Board charged vouchers to the incorrect fiscal year

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

INACCURATE REPORTING OF FIXED ASSETS

The Board did not exercise adequate control over recording and reporting of State property.

Twenty one property items totaling $26,950, were not tagged, recorded on the Board’s property records, or included on the Quarterly Fixed Asset Report.

The Board’s property records and the Quarterly Fixed Asset Report were overstated by $15,631. The Board traded in 5 vehicles through the Department of Central Management Services; however, the Board did not remove the old vehicles totaling $78,354 from the Board’s property records and did not add the new vehicles totaling $62,723. (Finding 1, Pages 9) This finding was first reported in 2002.

We recommended the Board comply with the Illinois Administrative Code and the State Property Control Act by ensuring all property under its jurisdiction is recorded accurately on their property records.

Board officials accepted our finding and recommendation and stated that the Board will make every effort to ensure property is recorded accurately and timely. (For the Board’s previous response, see Digest Footnote #1)

INADEQUATE CONTROLS OVER RECEIPTS

The Board did not have adequate controls over the deposit and accounting of cash receipts. We noted the following:

· Fifteen of 15 receipts tested totaling $615 did not contain documentation of the date received, so timeliness of deposit could not be determined.

· Receipts were not recorded in the Board’s records. The Board did not maintain a cash receipts ledger or a list of receipts received.

· One Receipt Deposit Transmittal (RDT) was not submitted to the Office of the State Comptroller in a timely manner. One deposit totaling $30 was dated 6/29/04. The RDT was completed on 8/22/06, over two years from the date of deposit. (Finding 2, page 11-12)

We recommended the Board strengthen controls over cash receipts by maintaining a record of each receipt including the date, payor, purpose and amount and ensure receipts are deposited timely.

Board officials accepted our finding and recommendation and stated that the Board will utilize the policies and procedures of the Public Safety Shared Services Center in maintaining cash receipts records.

VOUCHER PROCESSING WEAKNESSES

The Board did not exercise adequate control over voucher processing. We noted the following:

· Fourteen of 121 (12%) vouchers tested, totaling $32,709 were approved for payment from 2 to 43 days late.

· Sixty-nine of 121 (57%) vouchers tested, totaling $316,860 did not contain date stamps from the Board, so lateness could not be determined.

· Ten of 121 (8%) vouchers tested, totaling $19,808 were not signed and dated by the Board’s receiving officer.

· Twelve of 121 (10%) vouchers tested, totaling $41,915 were approved for payment from 3 to 581 days late. All twelve were Internal Service Fund bills.

· Six of 121 (5%) vouchers tested, totaling $22,133 were charged to the incorrect fiscal year. (Finding 3, Pages 13-14)

We recommended the Board comply with the Illinois Administrative Code procedures and the State Finance Act and implement controls to ensure vouchers are approved within the required time frame. In addition, we recommended the Board pay expenditures with the correct fiscal year’s appropriations and implement procedures to ensure the requirements of the Illinois Procurement Code are adhered to.

Board officials accepted our finding and recommendation and stated that the Board will make every effort to ensure vouchers are processed timely and in accordance with required policies.

OTHER FINDINGS

The remaining findings are reportedly being given attention by the Board. We will review the Board’s progress toward implementation of our recommendations in our next audit.

AUDITORS’ OPINION

We conducted a compliance examination of the Prisoner Review Board as required by the Illinois State Auditing Act. We have not audited any financial statements of the Board for the purpose of expressing an opinion because the Board does not, nor is it required to, prepare financial statements.

___________________________________

WILLIAM G. HOLLAND, Auditor General

WGH:TLD:neb

AUDITORS ASSIGNED

This audit was performed by the Office of the Auditor General's staff.

DIGEST FOOTNOTES

#1 - INACCURATE AND UNTIMELY REPORTING OF FIXED ASSETS

2006: Accepted. The Board, via the Department of Corrections, has implemented an automated property control system. The system will add internal controls to help prevent the errors noted in the audit.