REPORT DIGEST

DEPARTMENT OF CORRECTIONS
ILLINOIS YOUTH CENTER - HARRISBURG

COMPLIANCE AUDIT
For the Two Years Ended:
June 30, 1996

Summary of Findings:

Release Date:
March 26, 1997

State of Illinois
Office of the Auditor General

WILLIAM G. HOLLAND
AUDITOR GENERAL

Iles Park Plaza
740 E. Ash Street
Springfield, IL 62703
(217) 782-6046

SYNOPSIS

• There is a lack of internal control procedures in the Center's payroll function.

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

FY 1996

FY 1995

FY 1994

• Total Expenditures (All Appropriated
  Funds)

Personal Services

 

% of Total Expenditures
Average No. of Employees
Average Salary Per Employee

 

Inmate Compensation

 

% of Total Expenditures

 

Other Payroll Costs (FICA, Retirement)

 

% of Total Expenditures

 

Contractual Services

 

% of Total Expenditures

 

All Other Items

 

% of Total Expenditures

• Cost of Property and Equipment

$11,412,904

$8,042,485

70.47%
222
$36,227

$72,960

.64%

$961,077

8.42%

$1,179,279

10.33%

$1,157,103

10.14%

$18,272,052

$10,638,032

$7,597,288

71.42%
221
$34,377

$67,641

.64%

$837,344

7.87%

$1,077,053

10.12%

$1,058,706

9.95%

$17,786,412

$9,626,824

$6,863,860

71.30%
211
$30,255

$67,643

.70%

$765,245

7.95%

$978,362

10.16%

$951,714

9.89%

$17,247,922

FY 1996

FY 1995

FY 1994

• Average Number of Inmates

432

391

364

• Ratio of Correctional Officers to Inmates

1/2.90

1/2.68

1/2.66

• Cost Per Year Per Inmate

$26,308

$27,111

$26,351

• Rated Inmate Capacity

276

276

276

• Approximate Square Feet Per Inmate

41

44

47

The payroll time report is not compared to supporting documentation to ensure there are no errors.

One employee summarizes data and makes adjustments to the time records.

FINDINGS, CONCLUSIONS, AND
RECOMMENDATIONS

 

LACK OF CONTROLS IN THE PAYROLL FUNCTION

During the course of our audit, we noted that no one at the Center compares the payroll time report to the supporting documentation to ensure there are no errors. The payroll time report is a summary of information used to generate the payroll voucher. In addition, the employee responsible for preparing the payroll time reports can make adjustments to the time records without having them approved by a person independent of that function.

Separation of duties should be incorporated into the system to assure there are no errors in payroll processing. With one employee summarizing all the data and making adjustments to the time records, errors can occur which may not be detected.

We recommended the Center have an employee check the payroll time report on a test basis and for all lump sum payments by comparing it to employee time sheets or original source documents. In addition, an employee independent of the payroll time processing function should approve adjustments made to the payroll time report prior to the adjustments being made. (Finding 1, page 5)

Center management accepted the recommendation, and indicated the information entered on-line to the payroll system will be compared to timekeeping records. In addition, the Center will ensure all adjustments to time records are approved by someone independent of the timekeeping function.

Mr. Mark Krell, Chief Internal Auditor, provided the Center's response to our finding and recommendation.

AUDITORS' OPINION

We conducted a compliance audit of the Center as required by the Illinois State Auditing Act. We also performed certain agreed upon procedures with respect to the accounting records of the Center to assist our single audit of the entire Department. Financial statements for the Department will be presented in that report

____________________________________
WILLIAM G. HOLLAND, Auditor General

WGH:RPU:pp

SPECIAL ASSISTANT AUDITORS

Our special assistant auditors were Kerber, Eck & Braeckel, LLP.