REPORT DIGEST ILLINOIS STUDENT ASSISTANCE COMMISSION FINANCIAL AUDIT For the Year Ended: June 30, 2009 Release Date: March 3, 2010 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 are also available on the worldwide web at www.auditor.illinois.gov

INTRODUCTION This digest covers our financial audit of the Illinois Student Assistance Commission (ISAC) for the year ended June 30, 2009. A compliance examination covering the two years ended June 30, 2010 will be conducted during our next audit cycle. All findings related to ISAC pertain to the Illinois Designated Account Purchase Program. These findings are summarized in a separate report digest for the financial audit of the Designated Account Purchase Program for the year ended June 30, 2009. AUDITORS’ OPINION Our auditors stated the June 30, 2009 financial statements of the Illinois Student Assistance Commission are fairly presented in all material respects. ____________________________________ WILLIAM G. HOLLAND, Auditor General WGH:JAF:pp SPECIAL ASSISTANT AUDITORS Our special assistant auditors for this audit were McGladrey & Pullen, LLP. {Expenditures and Activity Measures are summarized on the reverse page.}

ILLINOIS STUDENT ASSISTANCE COMMISSION

FINANCIAL AUDIT

For The Year Ended June 30, 2009 (Amounts Expressed In Thousands)

FINANCIAL OPERATIONS (All Funds)	FY 2009	FY 2008
GOVERNMENTAL ACTIVITIES Program revenues: Operating grants and contributions......................... Program expenses: Scholarships, awards and grants............................. Interest................................................................ Governmental activities, net (expenses)........................ BUSINESS-TYPE ACTIVITIES Program revenues: Charges for services............................................. Operating grants and contributions......................... Program expenses: Student loan purchase program.............................. Prepaid tuition....................................................... Loan guarantee program....................................... Business-type activities, net (expenses).................. Program activities, net................................. GENERAL REVENUES Appropriations............................................................ Investment income...................................................... Special item – loan purchase settlement........................ Special item – sale of loan portfolio.............................. Other…..................................................................... Change in net assets....................................	$ 5,915 430,626 429 431,055 (425,140) 83,535 37,128 120,663 58,001 74,718 231,148 363,867 (243,204) (668,344) 429,412 1,281 (2,730) - (4,746) 423,217 $ (245,127)	$ 5,052 429,558 569 430,058 (425,006) 114,445 131,839 246,284 101,174 73,559 226,553 401,286 (155,002) (580,008) 429,309 2,579 - (10,855) (4,702) 416,331 $ (163,677)
SELECTED NET ASSET ACCOUNTS	FY 2009	FY 2008
Cash and cash equivalents................................................. Investments and marketable securities................................ Securities lending collateral................................................ Student loans receivable, net Other receivables.............................................................. Notes receivable............................................................... Tuition & accretion payable............................................... Revenue bonds payable and lines of credit.......................... Securities lending collateral obligation................................. Total assets...................................................................... Total liabilities................................................................... Total net assets.................................................................	$ 176,386 964,046 72,331 1,200,038 64,409 48,553 1,221,854 1,426,247 77,663 2,540,826 2,771,954 (231,128)	$ 134,374 987,650 167,529 1,135,038 63,829 98,838 1,102,406 1,270,211 170,776 2,603,605 2,589,606 13,999
AGENCY DIRECTOR
During Audit Period: Mr. Andrew Davis Currently: Mr. Andrew Davis