REPORT DIGEST

REGIONAL OFFICE OF EDUCATION #38

LOGAN/MASON/MENARD COUNTIES

FINANCIAL AUDIT

(In Accordance with the
Single Audit Act and OMB Circular A-133)

For the Year Ended:

June 30, 2004

Summary of Findings:

Total this audit                          1

Total last audit                          2

Repeated from last audit           0

Release Date:

November 16, 2005 

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 is also available on

the worldwide web at

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

SYNOPSIS

·        The Regional Office of Education #38 had several audit adjustments from prior year audits and other current transactions that had not been recorded in the general ledger.

         {Expenditures and Revenues are summarized on the reverse page.}

FY 2004

FY 2003

TOTAL REVENUES

$634,621

$407,117

Local Sources

$118,678

$121,366

% of Total Revenues

18.70%

29.81%

State Sources

$267,029

$285,751

% of Total Revenues

42.08%

70.19%

Federal Sources

$248,914

$0

% of Total Revenues

39.22%

0%

TOTAL EXPENDITURES

$636,736

$403,771

Salaries and Benefits

$347,779

$351,560

% of Total Expenditures

54.62%

87.07%

Purchased Services

$274,314

$41,186

% of Total Expenditures

43.08%

10.20%

All Other Expenditures

$14,643

$11,025

% of Total Expenditures

2.30%

2.73%

TOTAL NET ASSETS¹

$194,421

$196,536

INVESTMENT IN CAPITAL ASSETS¹

$31,924

$37,951

1         In fiscal year 2004, Regional Offices of Education implemented Government Accounting Standards Board (GASB) Statement No. 34 which established a new financial reporting model for state and local governments.  Government-wide financial statements are prepared using full accrual accounting that reports Total Net Assets.   The fiscal year 2003 ending general fixed assets have been restated to reflect the changes required as part of the implementation of GASB Statement No. 34.

              Percentages may not add due to rounding.

REGIONAL SUPERINTENDENT 

During Audit Period:  Honorable Jean Anderson

Currently:  Honorable Jean Anderson

The Regional Office of Education #38 had several audit adjustments from prior year audits and other current transactions that had not been recorded in the general ledger.

FINDINGS, CONCLUSIONS AND RECOMMENDATIONS

UNRECORDED TRANSACTIONS

       The Regional Office of Education #38 had several audit adjustments from prior year audits and other current transactions that had not been recorded in the general ledger. The net effect of the unrecorded transactions was an increase in net assets in the amount of $76,424.  (Finding 04-1, page 12)

        The Regional Office of Education #38 is required to maintain financial accounting records in accordance with generally accepted accounting principles, which includes ensuring that all transactions are recorded.

         The Regional Office of Education #38 agreed with the recommendation to post all proposed adjustments from this audit and implement procedures to ensure that all transactions are recorded timely and properly.

AUDITORS’ OPINION

      Our auditors state the Regional Office of Education #38’s financial statements as of June 30, 2004 are fairly presented in all material respects.

_____________________________________

WILLIAM G. HOLLAND, Auditor General

WGH:JRB

SPECIAL ASSISTANT AUDITORS

        Our special assistant auditors were Benford Brown & Associates, LLC.