REPORT DIGEST

ELGIN MENTAL
HEALTH CENTER

COMPLIANCE AUDIT
For the Two Years Ended:
June 30, 1997

Summary of Findings:

Release Date:
March 12, 1998

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

• The Center did not maintain accurate records for property in its possession. Nineteen items out of a sample of 60 were not at the location listed on Center property records.
  
  
  
  
  
  
  
  

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

FY 1997

FY 1996

FY 1995

• Total Expenditures (All Appropriated Funds)
  
  OPERATIONS TOTAL
  % of Total Expenditures
  Personal Services
  % of Operations Expenditures
  Average No. of Employees
  Average Salary Per Employee
  
  Other Payroll Costs (FICA, Retirement)
  % of Operations Expenditures
  
  Contractual Services
  % of Operations Expenditures
  
  Commodities
  % of Operations Expenditures
  
  All Other Items
  % of Operations Expenditures
  
  GRANTS TOTAL
  % of Total Expenditures
  
  
  
• Cost of Property and Equipment
  

$55,350,216


$55,350,216
100%
$44,382,994
80.2%
1,168
$37,999

$5,275,589
9.5%

$3,381,737
6.1%

$1,550,454
2.8%

$759,442
1.4%

$0
0%


$66,598,940

$53,981,733


$53,981,733
100%
$43,370,089
80.3%
1,174
$36,942

$5,053,811
9.4%

$3,357,639
6.2%

$1,552,164
2.9%

$648,030
1.2%

$0
0%


$61,892,067

$51,323,429


$51,323,429
100%
$41,451,240
81.0%
1,161
$35,703

$4,508,539
8.8%

$3,178,822
6.2%

$1,528,043
2.9%

$566,785
1.1%

$0
0%


$62,150,099

FY 1997

FY 1996

FY 1995

• Average Number of Residents
  
  
• Ratio of Employees to Residents
  
  
• Cost Per Year Per Resident
  
  
• Department's progress in reducing employees' injuries (Workers' Compensation Claims)
  

567

2.06/1

$122,485

327

665

1.77/1

$106,617

365

671

1.73/1

$95,600

388

During Audit Period: Mr. J.W. Holcomb/ Ms. Nancy Staples

Currently: Mr. J.W. Holcomb/ Ms. Nancy Staples

Center staff moved approximately 296 items from one building without updating property records.

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

INACCURATE PROPERTY RECORDS

The Center's property records were inaccurate and indicated a lack of control over Center property. Within an initial sample of 60 items, 19 property items were not at the location listed on property records. During this testing, the auditors discovered that, although property records showed a building to have 296 pieces of equipment, the equipment had been moved to other locations. Subsequently, facility staff were able to locate all but two of these items. In addition, staff could not locate 43 items during the Center's annual inventory of equipment. An outdated property control system, frequent movement of equipment, and lack of sufficient staff to monitor and record equipment transfers were the primary reasons for inaccurate property records. (Finding 1, Page 16)

We recommended the Center implement controls to ensure proper and timely recording of assets and closely monitor Center assets. Center officials accepted the recommendation.

Mr. James Donkin, Chief Internal Auditor for the Department of Human Services, provided the Center's response to the recommendation. The Center's response was received in December 1997. There were no other findings presented in the audit report.

AUDITORS' OPINION

Our auditors report that the financial statements of the locally-held commissary fund of the Elgin Mental Health Center at June 30, 1997 and 1996 are fairly presented.

____________________________________
WILLIAM G. HOLLAND, Auditor General

WGH:JAW:ak

SPECIAL ASSISTANT AUDITORS

Our special assistant auditors were Wolf & Company LLP.