REPORT DIGEST ILLINOIS GRAIN INSURANCE CORPORATION FINANCIAL AUDIT FOR THE TWO YEARS ENDED JUNE 30, 2021 Release Date: June 16, 2022 FINDINGS THIS AUDIT: 1 CATEGORY: NEW -- REPEAT – TOTAL Category 1: 0 -- 1 -- 1 Category 2: 0 -- 0 -- 0 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 This digest covers the Illinois Grain Insurance Corporation’s (Corporation) Financial Audit as of and for the two years ended June 30, 2021. A separate digest covers the Corporation’s State Compliance Examination for the two years ended June 30, 2021. SYNOPSIS • (21-01) The Corporation did not fund the $2,000,000 Grain Insurance Reserve Fund as required by the Grain Code. FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS GRAIN INSURANCE RESERVE FUND NOT FUNDED The Illinois Grain Insurance Corporation (Corporation) did not fund the $2,000,000 Grain Insurance Reserve Fund as required by the Grain Code. On April 5, 2005, the Corporation remitted the $4,000,000 balance due the General Revenue Fund that was borrowed prior to June 30, 2003. The Corporation has not yet established the $2,000,000 Grain Insurance Reserve Fund as required by the Grain Code after repayment of funds owed the General Revenue Fund. (Finding 1, page 19). This finding has been repeated since 2005. We recommended the Corporation comply with the law by working with the Office of Management and Budget to obtain the necessary appropriation to fund the Grain Insurance Reserve Fund or continue to seek legislative relief from the statutory requirement. Corporation officials accepted the finding and stated it has requested $2 million appropriations from the Office of Management and Budget to fund the Grain Insurance Reserve Fund for Fiscal Year 2022 and Fiscal Year 2023 and will continue to request appropriations for future Fiscal Years. AUDITOR’S OPINION(S) The auditors stated the financial statements of the Corporation as of and for the years ended June 30, 2020, and June 30, 2021, are fairly stated in all material respects. This financial audit was conducted by Adelfia LLC. 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:jv