REPORT DIGEST

DANVILLE CORRECTIONAL CENTER

LIMITED SCOPE

COMPLIANCE ATTESTATION EXAMINATION

For the Two Years Ended:

June 30, 2006

Summary of Findings:

Total this audit 2

Total last audit 1

Repeated from last audit 0

Release Date:

June 20, 2007

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 Full Report is also available on the worldwide web at

http://www.auditor.illinois.gov

SYNOPSIS

♦ The Center erroneously reported inventory balances for FY2005.

♦ The Center did not exercise adequate control over locally held fund cut-off procedures.

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

ILLINOIS DEPARTMENT OF CORRECTIONS

DANVILLE CORRECTIONAL CENTER

LIMITED SCOPE COMPLIANCE ATTESTATION EXAMINATION

For The Two Years Ended June 30, 2006

EXPENDITURE STATISTICS

FY 2006

FY 2005

FY 2004

· Total Expenditures (All Appropriated Funds).......

$28,302,494

$28,862,749

$28,287,331

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

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

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

Average Salary Per Employee.........................

Student, Member and Inmate Compensation...................

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

$17,482,465

61.8%

336

$52,031

$337,059

1.2%

$17,661,984

61.2%

343

$51,493

$341,821

1.2%

$17,073,990

60.4%

353

$48,368

$361,716

1.3%

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

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

$2,881,154

10.2

$4,042,714

14.0%

$3,652,750

12.9%

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

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

$5,601,300

19.8%

$4,663,506

16.2%

$4,556,697

16.1%

Commodities............................................................

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

$1,792,992

6.3%

$1,939,260

6.7%

$2,264,344

8.0%

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

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

$207,524

0.7%

$213,464

0.7%

$377,834

1.3%

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

$55,706,685

$55,692,698

$54,843,684

SELECTED ACTIVITY MEASURES (Not Examined)	FY 2006	FY 2005	FY 2004
· Average Number of Inmates....................................	1,812	1,804	1,825
· Ratio of Correctional Officers to Inmates..................	1 / 6.84	1 / 6.58	1 / 6.49
· Cost Per Year Per Inmate........................................	$15,596	15,999	$15,443
· Rated Inmate Capacity..................................................	896	896	896
· Approximate Square Feet Per Inmate............................	31	31	31

CENTER WARDEN(S)

During Audit Period: Blair Leibach (7/1/04 - 10/15/04) John Chambers (10/16/04 – 6/30/06)

Currently: John Chambers

Overstated inventory balances were reported

Employee Commissary Fund expenses posted to incorrect fiscal year

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

FY 2005 INVENTORY BALANCE ERRONEOUSLY REPORTED TO CENTRAL OFFICE

The Center erroneously reported inventory balances for FY 2005 to the Central Office.

The final priced inventory reported by the Center to the Central Office at June 30, 2005 was $337,404. The perpetual inventory balance, adjusted after a complete physical inventory, was $297,921. Thus a difference of $39,483 in overstated inventory balances was reported as of June 30, 2005. (Finding 1, page 10)

We recommended that reports submitted to the Central Office be reviewed and thoroughly reconciled to ensure accuracy in reporting.

Agency officials stated that the Center has implemented additional procedures to ensure the amounts reported are correct.

IMPROPER YEAR END ACCOUNT POSTING

The Center did not exercise adequate control over locally held fund cut-off procedures.

The Center posted three FY 2006 Employee Commissary Fund expenses totaling $2,795 to FY 2007.

(Finding 2, page 11)

We recommended the Center review its transactions approaching year-end and subsequent to year-end to identify expenditures to be recorded in the proper accounting period.

Center officials accepted our recommendation.

AUDITORS’ OPINION

We conducted a compliance attestation examination of the Center as required by the Illinois State Auditing Act. This was a limited scope compliance examination that also included performing certain audit procedures with respect to the accounting records of the Center to assist our audit of the entire Department of Corrections. Financial statements for the entire Department will be presented in that report.

____________________________________

WILLIAM G. HOLLAND, Auditor General

WGH:KMC:drh

SPECIAL ASSISTANT AUDITORS

Our special assistant auditors for this audit were E. C. Ortiz & Co.