REPORT DIGEST

 

WOLCOTT, WOOD AND TAYLOR, INC.

 

FINANCIAL AUDIT

 

For the Year Ended:

June 30, 2003

 

Summary of Findings:

Total this audit 1

Total last audit 1

Repeated from last audit 0

 

Release Date:

January 28, 2004

 

 

 

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 TDD (217) 524-4646

 

 

This Report Digest is also available on

the worldwide web at

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

INTRODUCTION

Wolcott, Wood and Taylor, Inc. (WWT) is an Illinois
not-for-profit corporation created by the Board of Trustees of the University of Illinois. WWT was created to provide billing and collection services and practice management support services for the Medical Service Plan of the College of Medicine of the University of Illinois at Chicago.

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

Our report contains one finding concerning an improper segregation of duties in the cash receipts area. The
president has authority to perform all functions in this
area. WWT accepted our recommendation to improve controls in the cash receipts area by having the University electronically transfer funds directly to WWT's bank account.

We will review progress towards implementation of our recommendation during our next audit.

AUDITORSí OPINION

Our auditors stated the Corporationís June 30, 2003 financial statements are fairly presented in all material respects.

 

____________________________________

WILLIAM G. HOLLAND, Auditor General

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SPECIAL ASSISTANT AUDITORS

Our special assistant auditors were Clifton Gunderson LLP.

 

                                        WOLCOTT, WOOD AND TAYLOR, INC.

                                                       FINANCIAL AUDIT

                                              For the Year Ended June 30, 2003

 

FINANCIAL OPERATIONS

FY 2003

FY 2002

OPERATING REVENUES

 

OPERATING EXPENSES

Salaries

Software Maintenance

Rent

Depreciation

Third Party Claim Processing

Supplies

Professional and Contractual

Other

    Total

 

NONOPERATING REVENUES (EXPENSES)

Investment Income

Interest Expense

    Total

 

INCREASE (DECREASE) IN NET ASSETS

NET ASSETS - Beginning of Year

NET ASSETS - End of Year

$5,206,095

 

 

$3,030,834

165,914

333,206

512,275

322,237

238,268

75,370

131,236

$4,809,340

 

 

$10,093

(300,160)

$(290,067)

 

$106,688

$(4,016,126)

$(3,909,438)

$2,850,186

 

 

$2,341,128

143,813

292,625

466,450

339,957

149,594

139,833

121,030

$3,994,430

 

 

$14,039

(340,803)

$(326,764)

 

$(1,471,008)

$(2,545,118)

$(4,016,126)

 

SELECTED ACCOUNT BALANCES

AT JUNE 30,

2003

AT JUNE 30,

2002

Cash and Investments

Accounts Receivable

Capital Assets

Current Liabilities

Note Payable

$858,909

$108,934

$668,838

$263,577

$5,360,000

$365,740

$202,954

$903,261

$217,663

$5,360,000

DIRECTOR

During Audit Period: Mr. Morley Kerschner

Currently: Mr. Morley Kerschner