FINDINGS, CONCLUSIONS AND RECOMMENDATIONS
CONTROLS OVER COMPLIANCE WITH
LAWS AND REGULATIONS
The Illinois School Code (105 ILCS
5/3-14.11) requires the Regional Superintendent to examine at least once each
year all books, accounts, and vouchers of every school treasurer in her
educational service region, and if she finds any irregularities in them, to
report them at once, as directed by the School Code.
The
Regional Office did not examine at least once each year all books, accounts,
and vouchers of every school treasurer in the educational service
region. Regional Office officials
noted they believe the mandate is outdated and that they are satisfying the
intent of the statute by other reviews they undertake. For example, the Regional Superintendent
has been examining school district financial statements on an annual
basis. This mandate has existed in its
current form since at least 1953.
The Illinois School Code (105 ILCS 5/3-5)
also requires the Regional Superintendent to present under oath or
affirmation to the county board at its meeting in September and as nearly
quarterly thereafter as it may have regular or special meetings, a report of
all her acts as county superintendent, including a list of all the schools
visited with the dates of visitation.
This mandate has existed in its current form since at least 1953.
The Regional Office did not present
at the September county board meeting, and as nearly quarterly thereafter, a
report of all her acts including a list of all the schools visited and dates
of visitation. The Regional
Superintendent does submit an annual report each fall to the county boards in
the region and holds meetings quarterly with several county board members.
Finally, the Illinois School Code
(105 ILCS 5/3-14.5) requires the Regional Superintendent to visit each public
school in the county at least once a year, noting the methods of instruction,
the branches taught, the textbooks used, and the discipline, government and
general condition of the schools. This
mandate has existed in its current form since at least 1953.
The Regional Superintendent performs
compliance inspections for each public school in her region on a rotational
basis every four years instead of annually.
The Illinois Public School Accreditation Process Compliance Component
document completed at these visits includes many of the items delineated in
105 ILCS 5/3-14.5, but does not include a review of the methods of
instruction and the textbooks used in the district. (Finding 06-1, pages 12a, 12b)
The
Regional Office accepted the recommendation to comply with the statutory
requirements. The Regional Office
responded that with regards to compliance with 105 ILCS 5/3-14.11 and 105
ILCS 5/3-14.5, the Illinois Association of Regional Superintendents of
Schools and the Illinois State Board of Education have agreed to seek
legislation to remove duplicative and/or obsolete sections of the Illinois
School Code. Both parties believe that
105 ILCS 5/3-7 of the Illinois School Code and 23 Ill. Adm. Code 1.20, respectively, contain
more current, thorough, and comprehensive requirements concerning a public
school district’s financial transactions and visitation of public schools by
the Regional Superintendent. As a
result, the two parties working together will seek legislation to repeal
these two sections of the Illinois School Code.
With regards to 105 ILCS 5/3-5, the
Regional Office agreed with the recommendation to attend the county board
meetings in September and quarterly thereafter and present a report of all of
her acts as county superintendent, including a list of all the schools
visited with the dates of visitation as required by the statute.
FINANCE CHARGES AND LATE FEES
The Regional Office of Education #9 did
not make timely payments of their telephone bills, resulting in finance
charges and late fees. During testing
of 90 disbursements, auditors noted 4 instances where the Regional Office had
not made timely payment of their telephone bill and incurred late charges. Regional Office program directors were not
forwarding their telephone bills for payment in a timely manner. Internal control should exist to ensure timely
payments of invoices. (Finding 06-2,
page 12c)
The Regional Office of Education #9 accepted
the recommendation to implement internal controls to ensure that
disbursements are paid in a timely manner in order to avoid late charges.
INTERNAL CONTROL OVER
DISBURSEMENTS AND PURCHASES
The Regional Office of Education #9 did not have adequate internal controls
over certain disbursements and purchases.
In two instances, the Regional Office made disbursements to
vendors dated June 30, 2006, when the related vendor invoices were dated in
July 2006. As a result, cash and
accounts payable were both understated at June 30, 2006 by $6,738.
The Regional Superintendent of
Schools is responsible for establishing and maintaining an internal control
system over disbursements and purchases. (Finding 06-3, page 12d)
The Regional Office of Education #9
accepted the recommendation to not make disbursements until an invoice is
received and to record an account payable at June 30 for the amount of the
invoices.
AUDITORS’ OPINION
Our auditors state the Regional Office of
Education #9’s financial statements as of June 30, 2006 are fairly presented
in all material respects.
_____________________________________
WILLIAM
G. HOLLAND, Auditor General
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SPECIAL
ASSISTANT AUDITORS
Our
special assistant auditors were Kemper CPA Group, LLP.
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