REPORT DIGEST

ENVIRONMENTAL PROTECTION TRUST FUND
COMMISSION

COMPLIANCE EXAMINATION
FOR THE TWO YEARS ENDED JUNE 30, 2020

Release Date:  July 14, 2021

FINDINGS THIS AUDIT:  1

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

FINDINGS LAST AUDIT: 2

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

• (20-01) The Commission did not have
adequate controls over the
administration of its accounts
receivable

FINDINGS, CONCLUSIONS, AND
RECOMMENDATIONS

INADEQUATE CONTROLS OVER ACCOUNTS
RECEIVABLE

The Environmental Protection Trust
Fund Commission (Commission) did not
have adequate controls over the
administration of its accounts
receivable.  As of June 30, 2020, the
Commission’s accounts receivable
balance was approximately $20.6
million, of which approximately $19.4
million had been due over one year.
The Illinois Environmental Protection
Agency (Agency) handles all financial
activities for the Commission.

During testing, the auditors noted the
following:

• Twenty of 40 (50%) accounts
receivable tested, totaling $272,249,
were over one year past due and had
not been referred to the Office of
Comptroller’s Offset System, the
Department of Revenue’s Debt
Collection Bureau, or the Attorney
General. In addition, two of 40 (5%)
accounts receivable tested, totaling
$21,505, were over 90 days past due
and the Commission had not sent
notification letters to reaffirm the
debt or referred the accounts to the
Offset System. Further, for seven of
40 (18%) accounts receivable tested,
totaling $1,943,056, the Commission
did not timely refer the accounts to
the Offset System.

• One of 40 (3%) accounts receivable
tested, totaling $20,000 was not
established timely.  The time elapsed
from the due date to the set-up of the
receivable was 197 days.  (Finding 1,
pages 7-9)  This finding has been
repeated since 2010.

We recommended the Commission pursue
all reasonable and appropriate
procedures to collect on outstanding
debts as required by State laws and
regulations. We also recommended the
Commission ensure its accounts
receivable balances are promptly
recorded.

Commission officials agreed with the
recommendation.

ACCOUNTANT’S OPINION

The accountants conducted a compliance
examination of the Commission for the
two years ended June 30, 2020, as
required by the Illinois State
Auditing Act.   The accountants stated
the Commission complied, in all
material respects, with the
requirements described in the report.

This compliance examination was
conducted by Roth & Company LLP.

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:PH