REPORT DIGEST
LABOR RELATIONS BOARD
COMPLIANCE
EXAMINATION
For the Two Years
Ended: June 30, 2011
Release Date: February 28, 2012
Summary of Findings:
Total this audit: 6
Total last audit: 8
Repeated from last audit: 5
State of Illinois, Office of the Auditor General
WILLIAM G. HOLLAND, AUDITOR GENERAL
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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
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SYNOPSIS
• The Board did not maintain adequate controls over the
recording and reporting of State property.
• The Board did not have adequate controls over its receipt processing.
FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS
INADEQUATE CONTROLS OVER THE RECORDING AND REPORTING OF
STATE PROPERTY
The Board did not maintain sufficient controls over the
recording and reporting of State property.
We noted the following:
• Two of 8 (63%) Quarterly Reports of State Property (C-15’s) prepared by the Board and submitted to the Illinois Office of the Comptroller (IOC) did not accurately reflect Board equipment transactions. The FY10 equipment additions were overstated by $9,519.
• For seven of 25 (28%) addition items tested, the Board temporarily transferred out these items without supporting documentation.
• The Board included two equipment items totaling $10,225 on the property listing that were under an operating lease and not State property.
• One item purchased during the period was not properly
added to the property listing resulting in a $705 understatement.
We recommended the Board strengthen controls over the
recording and reporting of State property by reviewing their inventory and
recordkeeping practices to ensure compliance with statutory and regulatory
requirements. (Finding 1, pages 8-9)
Board officials accepted the finding and recommendation and
stated they will ensure compliance with recommendation.
INADEQUATE SUPPORT FOR AND UNTIMELY DEPOSIT OF RECEIPT
TRANSACTIONS
The Board did not have adequate controls over the deposit of
receipts. During our testing we noted
the following:
• Five of 19 (26%) receipts tested, totaling $68, were not deposited in a timely manner. The receipts were submitted 3 to 8 days late.
• Four of 19 (21%) receipts and corresponding Treasurer’s
Drafts tested, totaling $107, were not submitted to the Illinois Office of the
Comptroller (IOC) within 30 days. The
Treasurer’s Drafts were submitted between 18 and 54 days late.
We recommended that the Board comply with the State Officers
and Employees Money Disposition Act by making timely deposits into the State
Treasury. In addition, the Board should
submit Treasurer’s Drafts to the IOC in a timely manner. (Finding 2, pages 11-12)
Board officials accepted the finding and recommendation and
stated they will ensure compliance with recommendation.
OTHER FINDINGS
The remaining findings are reportedly being given attention
by the Board. We will review the Board's
progress toward implementation of our recommendations in our next examination.
AUDITORS’ OPINION
We conducted a compliance examination of the Illinois Labor
Relations Board as required by the Illinois State Auditing Act. We have not audited any financial statements
of the Illinois Labor Relations Board for the purpose of expressing an opinion
because the Illinois Labor Relations Board does not, nor is it required to,
prepare financial statements.
WILLIAM G. HOLLAND, Auditor General
WGH:MFP
AUDITORS ASSIGNED
Our special assistant auditors for this engagement were
Washington, Pittman, & McKeever, LLC.