REPORT DIGEST

REGIONAL OFFICE OF EDUCATION #55

WHITESIDE  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                          3

Repeated from last audit           0

Release Date:

April 28, 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 #55 did not submit required reports to the county by the January 1, 2004 deadline. The reports were submitted March 17, 2004.

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

FY 2004

FY 2003

TOTAL REVENUES

$1,172,361

$1,204,980

Local Sources

$183,158

$178,170

% of Total Revenues

15.62%

14.79%

State Sources

$584,646

$815,169

% of Total Revenues

49.87%

67.65%

Federal Sources

$404,557

$211,641

% of Total Revenues

34.51%

17.56%

TOTAL EXPENDITURES

$1,132,827

$1,234,728

Salaries and Benefits

$836,161

$802,496

% of Total Expenditures

73.81%

64.99%

Purchased Services

$205,617

$319,195

% of Total Expenditures

18.15%

25.85%

All Other Expenditures

$91,049

$113,037

% of Total Expenditures

8.04%

9.15%

TOTAL NET ASSETS¹

$366,650

$327,116

INVESTMENT IN CAPITAL ASSETS¹

$77,507

$79,790

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 Gary Steinert

Currently:  Honorable Gary Steinert

The Regional Office of Education #55 did not submit required reports to the county by the January 1, 2004 deadline.

FINDINGS, CONCLUSIONS AND RECOMMENDATIONS

NONCOMPLIANCE WITH LAWS AND REGULATIONS

      The Regional Office of Education #55 did not comply with a statutory administrative requirement.  The Illinois School Code (105 ILCS 5/3-6) requires 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 the 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 Regional Superintendent is also required to submit, in writing, to the county board a statement of the condition of the Institute Fund and of any other fund in his care, custody or control.  According to the Regional Office, fiscal year 2003 audited financial statements, and the Report Card data from the Illinois State Board of Education, which were the basis for the Annual Report, were not available as of January 1, 2004.  The Annual Report was submitted to the county board on March 17, 2004.   (Finding 04-1, pages 12-13).

       The Regional Office of Education #55 accepted the recommendation to ensure that the Annual Report is submitted to the county board on or before January 1 of each year.

AUDITORS’ OPINION

     Our auditors state the Regional Office of Education #55’s financial statements as of June 30, 2004 are fairly stated in all material respects.

_____________________________________

WILLIAM G. HOLLAND, Auditor General

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SPECIAL ASSISTANT AUDITORS

        Our special assistant auditors were E.C. Ortiz & Co., LLP.