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INTRODUCTION
The Illinois Educational Labor Relations
Board was created on January 1, 1984 to administer the Illinois Education
Labor Relations Act (115 ILCS 5/1 et seq.). The Board consists of a chairman
and four members appointed by the Governor with the advice and consent of
the Senate. The Board has
jurisdiction over collective bargaining matters between educational
employees and public school educational employers. The Board’s primary
responsibilities under the Act are to process representation petitions
including conducting elections, to process unfair labor practice charges,
and to process mediation/arbitration requests.
FINDINGS,
CONCLUSIONS AND RECOMMENDATIONS
EFFICIENCY INITIATIVE
PAYMENTS
The Board
made payments for efficiency initiative billings from improper line item
appropriations.
Public
Act 93-0025, in part, outlines a program for efficiency initiatives to
reorganize, restructure and reengineer the business processes of the
State. The State Finance Act
details that the amount designated as savings from efficiency initiatives
implemented by the Department of Central Management Services (CMS) shall
be paid into the Efficiency Initiatives Revolving Fund. “State agencies shall pay these
amounts…from the line item appropriations where the cost savings are
anticipated to occur.” (30 ILCS 105/6p-5)
Three billings to the Board from CMS for savings from
efficiency initiatives totaled $10,519. We found that the Board made
payments for these billings not from line item appropriations where the
cost savings were anticipated to have occurred but from line items where
Board staff reported they had available funds. The Board used contractual
services appropriations to pay the billings in both fiscal years. (Finding 1, pages 9 – 10)
We recommended that the Board only make payments for efficiency
initiative billings from line item appropriations where savings would be
anticipated to occur.
Further, the Board should seek an explanation from CMS as to how
savings levels were calculated, or otherwise arrived at, and how savings
achieved or anticipated impact the Board’s budget.
The
Board stated they complied with the directives of CMS and disbursed funds
within the required time specified by CMS. The amount of the expenditures
was not anticipated in the budget, consequently, the contractual services
appropriation had to be used to pay for the initiative savings. The Board
stated that they would contact CMS to substantiate the amount of savings.
UNTIMELY
PROCESSING OF FAIR SHARE CASES AND PAYMENTS
The Board
did not timely hold fair share hearings, issue Recommended Decisions and
Orders, or make fair share payments. We noted the following:
·
Three of 3 (100%) consolidated cases reviewed had
hearings held 123 to 178 days after the last day for filing an
objection. In addition, the
Recommended Decisions and Orders were issued 232 to 315 days after the
close of the record. The
Illinois Educational Labor Relations Rules and Regulations (80 IL Admin
Code 1125.80) states that the hearing shall commence no later than 60 days
after an objection is filed.
In addition, a Recommended Decision and Order shall be issued
within 60 days of the close of record, unless additional time (up to 30
days) is required due to the length of the record and/or the complexity of
the issues involved.
Payment for the three cases had not been made as of the end of
fieldwork.
·
Seven of 10 (70%) vouchers tested involving 144
individual cases finalized by the Board were not processed for payment in
a timely manner. The decisions included fair share disbursements of
approximately $36,835, which includes accrued interest. The vouchers were processed from
133 to 798 days after the Final Order was issued, and no documentation was
maintained to substantiate the delays. (Finding 2, pages 11-12)
We
recommended the Board hold hearings and issue Recommended Decisions and
Orders in accordance with their rules and regulations. We further recommended that the
Board implement controls to expedite fair share payments.
The Board
acknowledged that there were delays in the hearing process, issuance
of the ALJ Recommended Decision and Order and processing of vouchers
pursuant to the Fair Share Hearings. The Board stated that they have
implemented new directives to expedite the hearing process and issuance of
the decisions in fair share cases.
INADEQUATE CONTROLS OVER PERSONAL
SERVICES
The Board
did not have adequate controls over personal services. We noted the following:
·
 The
Board did not timely conduct annual performance evaluations for 16 of 16
(100%) of employees during FY 04 and FY 05. Employee evaluations
were performed between 7 and 220 days late. In addition, there
was no record of an annual evaluation for one employee during the past two
years, and six employees had not received an FY05 evaluation as of the end
of fieldwork. The Board’s Employee Handbook states that an
employee’s performance is to be evaluated at least annually.
·
Timekeeping discrepancies were noted for two of 7 (29%)
employees tested when reviewing travel vouchers for top
travelers. The travel vouchers showed the employees leaving
their homes for business related travel between 1 and 4.5 hours later than
their assigned work hours on 10 days in FY04 and between 1 and 5.5 hours
late on 13 days in FY05. In addition, one FY04 travel voucher showed
the employee also returned home 2.5 hours early. No
itineraries were submitted and the time sheets submitted for the
corresponding days showed the employee to be in the office or on travel
status during the Board’s business hours. The Board’s Employee Handbook
states that official office hours are 8:30 to 5:00, Monday through
Friday. Employees are required to work at their post of duty or in
the field. Any other arrangements require prior written
approval. The rules further state that those employees who are on
travel status or perform work outside of the office must furnish a copy of
their itinerary if they are out of the office for more than 2 hours to the
receptionist and the Office Manager each Monday for that week.
·
Two of 10 (20%) employees tested during an auditor’s field
visit arrived approximately 1 hour after their official starting times,
but no leave time was taken and their timesheets reflected a full day’s
work. In addition, 2 of 10 (20%) of employees who were absent
during the field visit completed leave slips for vacation time 6 and 16
days after the time was taken. The Board’s Employee Handbook
requires employees to arrive at work on time and notify the timekeeper
within one hour of the scheduled starting time if they are absent or late
for any reason. The Handbook also states that approval for
vacation time must be granted in advance. (Finding 3, pages
13-14)
We
recommended the Board conduct performance evaluations annually as required
by policy, implement appropriate controls to monitor employee working
hours including when an employee is on travel status, and obtain prior
approval for employee leave time when required.
The Board
acknowledged that the FY04 and FY05 evaluations were not done in a timely
manner, and stated that most of the delays resulted from the layoff of the
Chief Personnel Officer in FY04. The Board stated that they have issued
notice to all Managers to process all outstanding evaluations and maintain
timely production of evaluations in the future.
OTHER FINDING
The
remaining finding was less significant and is reportedly being given
attention by the Board. We will review the Board’s progress towards
implementing our recommendations during the next examination
period.
Victor
Blackwell, Executive Director, provided responses to our findings and
recommendations.
AUDITORS’ OPINION
We conducted a
compliance examination of the Board as required by the Illinois State
Auditing Act. We have not audited any financial statements of the
Board for the purpose of expressing an opinion because the agency does
not, nor is it required to, prepare financial statements.
____________________________________
WILLIAM G. HOLLAND, Auditor General
WGH:GSR:pp
AUDITORS ASSIGNED
The examination was conducted by staff of the Office of the Auditor
General.
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