CHICAGO STATE UNIVERSITY
For the Two Years Ended:
For the Year Ended:
Summary of Findings:
Total this audit 1
State of Illinois
Office of the Auditor General
WILLIAM G. HOLLAND
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CHICAGO STATE UNIVERSITY FOUNDATION
FINANCIAL AND COMPLIANCE AUDIT
For The Two Years Ended June 30, 1999
|FINANCIAL OPERATIONS (CURRENT FUNDS)||
Investment and Dividends
|BALANCE SHEET (ALL FUNDS)||
JUNE 30, 1999
JUNE 30, 1998
Cash and Investments
LIABILITIES AND FUND BALANCES
Total Liabilities and Fund Balances
During Audit Period: Mr. Katey' Assem
Currently: Mr. Katey' Assem
Continued existence of negative fund balance in restricted fund
FINDING, CONCLUSION, AND RECOMMENDATION
NEGATIVE FUND BALANCES
The Foundation's Board Designated Fund has a negative fund balance of $437,000. The continued existence of a negative fund balance in this restricted fund could raise concerns about the Foundation's ability to meet its ongoing operating expenditures. (Finding 1, page 14). This finding has been repeated since 1995.
We recommended the Foundation establish a plan to properly address the deficit and more closely monitor expenditures.
The University's President, Elnora D. Daniel, responded that the Foundation will make transfers from unrestricted fund accounts to cover the negative fund balances. Additionally, the Finance Committee will look at ways to increase fundraising activities so that negative balances will be eliminated completely. (For previous Agency responses, see Digest Footnote #1.)
Fifteen of the 16 prior audit findings and recommendations were either implemented or not repeated.
Our auditors state the financial statements of Chicago State University Foundation as of June 30, 1999 and for the year then ended are fairly presented in all material respects.
WILLIAM G. HOLLAND, Auditor General
SPECIAL ASSISTANT AUDITORS
Washington Pittman & McKeever, LLC were our special assistant auditors for this audit.
#1 NEGATIVE FUND BALANCE - Previous Agency Responses
1998: The Foundation concurs. The Finance Committee of the Foundation is
addressing this issue.