REPORT DIGEST
DRYCLEANER ENVIRONMENTAL RESPONSE TRUST
FUND COUNCIL
COMPLIANCE EXAMINATION
FOR THE TWO YEARS ENDED JUNE 30, 2018

Release Date:  July 9, 2019

FINDINGS THIS AUDIT:  1

CATEGORY:  NEW -- REPEAT -- TOTAL
Category 1:  0 -- 0 -- 0
Category 2:  0 -- 0 -- 0
Category 3:  0 -- 1 -- 1
TOTAL:  0 -- 1 -- 1

FINDINGS LAST AUDIT: 1

Category 1: Findings that are material
weaknesses in internal control and/or a
qualification on compliance with State laws
and regulations (material noncompliance).
Category 2: Findings that are significant
deficiencies in internal control and
noncompliance with State laws and
regulations.
Category 3: Findings that have no internal
control issues but are in noncompliance
with State laws and regulations.

State of Illinois, Office of the Auditor
General
FRANK J. MAUTINO, 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

SYNOPSIS

• (18-01) The Council has several members
serving on expired terms.

OTHER MATTERS

• During Fiscal Year 2018, the Council’s
financial projections for the period of
July 1, 2018, through the Fund’s sunset
date of January 1, 2020, indicated the Fund
had program deficits of approximately
$16,283,310 based on program assumptions as
of July 1, 2018.

• Senate Bill 171 passed both houses of the
General Assembly on May 27, 2019.

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

EXPIRED COUNCIL MEMBER APPOINTMENTS

The Drycleaner Environmental Response Trust
Fund Council (Council) has several members
serving on expired terms.

During testing, we noted Council member
appointments or reappointments had not been
made as required by the Drycleaner
Environmental Trust Fund Act for six of the
seven Council member positions (86%). The
following chart depicts the amount of time
passed as of June 30, 2018, after each
noted Council member’s term expired or
became vacant:

Member #1 -- Term Expired May 1, 2015 --
1,156 Days
Member #2 -- Term Expired May 1, 2016 --
790 Days
Member #3 -- Term Expired May 1, 2007 --
4,078 Days
Member #4 -- Term Expired May 1, 2008 --
3,712 Days
Member #5 -- Resigned March 20, 2018 -- 102
Days
Member #6 -- Term Expired May 1, 2018 -- 60
Days

Subsequent to June 30, 2018, we noted the
following:
• The Governor reappointed members 3 and 6
above;
• The Governor appointed a member to fill
the vacancy left after Member 5 resigned;
and,
• The Council position of Member 1 became
vacant. (Finding 1, pages 7-8)  This
finding has been repeated since 2007.

We recommended the Council continue to work
with the Governor’s Office to obtain
current Council member appointments as soon
as possible.

Council management stated the Council’s
members have applied for reappointment
directly and online and that the Council
will continue to make contacts with the
Governor’s Office to secure appointments
for the terms that have expired. (For the
previous Council response, see Digest
Footnote #1.)

OTHER MATTERS

• During Fiscal Year 2018, the Council’s
financial projections for the period of
July 1, 2018, through the Fund’s sunset
date of January 1, 2020, indicated the Fund
had program deficits of approximately
$16,283,310 based on program assumptions as
of July 1, 2018 (page 14).

• Senate Bill 171 passed both houses of the
General Assembly on May 27, 2019.  This
bill, if enacted into law, would:
1) transfer the Council’s powers, duties,
rights, and responsibilities to the
Environmental Protection Agency;
2) limit administrative costs paid from the
Drycleaner Environmental Response Trust
Fund (Fund);
3) require the prioritization of
expenditures from the Fund in accordance
with rules to be adopted by the Pollution
Control Board;
4) establish an additional administrative
assessment fee;
5) establish criminal penalties for false
statements;
6) abolish the Council on July 1, 2020;
7) prohibit the Council from extending the
Administrator’s contract beyond June 30,
2020; and,
8) extend the sunset date of the Fund to
January 1, 2030 (page 14).

ACCOUNTANT’S OPINION

The accountants conducted a compliance
examination of the Council for the year
ended June 30, 2018, as required by the
Illinois State Auditing Act.  The
accountants stated the Council complied, in
all material respects, with the
requirements described in the report.

This compliance examination was conducted
by the Office of the Auditor General’s
staff.

JANE CLARK
Division Director

This report is transmitted in accordance
with Section 3-14 of the Illinois State
Auditing Act.

FRANK J. MAUTINO
Auditor General

FJM:meg

DIGEST FOOTNOTES

#1 – Expired Council Member Appointments

Council members have applied for
reappointment directly and online. The
Council has and will continue to make
contacts with the Governor’s Office to
secure appointments for the terms that have
expired.