REPORT DIGEST

REGIONAL OFFICE OF EDUCATION #33

KNOX COUNTY

FINANCIAL AUDIT

(In Accordance with the

Single Audit Act and OMB Circular A-133)

For the Year Ended:

June 30, 2004

Summary of Findings:

Total this audit                          1

Total last audit                          0

Repeated from last audit           0

Release Date:

March 8, 2005

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 is also available on

the worldwide web at

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

SYNOPSIS

·        The Regional Office of Education #33 did not comply with certain statutory administrative requirements.

{Expenditures and Revenues are summarized on the reverse page.}

FY 2004

FY 2003

TOTAL REVENUES

$724,546

$635,350

Local Sources

$65,234

$98,454

% of Total Revenues

9.00%

15.50%

State Sources

$349,653

$521,030

% of Total Revenues

48.26%

82.01%

Federal Sources

$309,659

$15,866

% of Total Revenues

42.74%

2.50%

TOTAL EXPENDITURES

$732,032

$665,639

Salaries and Benefits

$599,392

$483,083

% of Total Expenditures

81.88%

72.57%

Purchased Services

$85,719

$117,617

% of Total Expenditures

11.71%

17.67%

All Other Expenditures

$46,921

$64,939

% of Total Expenditures

6.41%

9.76%

TOTAL NET ASSETS¹

$76,095

$83,581

INVESTMENT IN CAPITAL ASSETS¹

$29,967

$49,467

1         In fiscal year 2004, Regional Offices of Education implemented Government Accounting Standards Board (GASB) Statement No. 34 which established a new financial reporting model for state and local governments.  Government-wide financial statements are prepared using full accrual accounting that reports Total Net Assets.    The fiscal year 2003 ending general fixed assets have been restated to reflect the changes required as part of the implementation of GASB Statement No. 34.

              Percentages may not add due to rounding.

REGIONAL SUPERINTENDENT 

During Audit Period:  Honorable Bonnie L. Harris

Currently:  Honorable Bonnie L. Harris

The Regional Office of Education #33 did not comply with certain statutory administrative requirements.

FINDINGS, CONCLUSIONS AND RECOMMENDATIONS

COMPLIANCE WITH STATUTORY REQUIREMENTS

        The Regional Office of Education #33 did not comply with certain statutory administrative requirements.  The Illinois School Code (105 ILCS 5/3-6) required the Regional Superintendent to report, in writing, to the county board on or before January 1 of each year, stating:  (1) the balance on hand at the time of the last report, and all receipts since that date, with sources from which they were derived; (2) the amount distributed to each of the school treasurers in his or her county; and (3) any balance on hand. 

        The School Code (105 ILCS 5/3-12) also requires that on or before January 1 of each year, the Regional Superintendent shall publish in a newspaper of general circulation published in the region or post in each school building under his/her jurisdiction, certain information regarding the Office’s Institute Fund.  According to Regional Office management, they were unaware of these requirements and had not submitted the required reports.   (Finding 04-1, page 15).

       The Regional Office of Education #33 accepted the recommendation to submit the required reports. 

AUDITORS’ OPINION

      Our auditors state the Regional Office of Education #33’s financial statements as of June 30, 2004 are fairly presented in all material respects.

_____________________________________

WILLIAM G. HOLLAND, Auditor General

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SPECIAL ASSISTANT AUDITORS

        Our special assistant auditors were Ginoli & Company LTD.