REPORT DIGEST

ILLINOIS STUDENT ASSISTANCE
COMMISSION –

ILLINOIS DESIGNATED ACCOUNT PURCHASE PROGRAM

FINANCIAL AUDIT

For the Year Ended:

June 30, 2004

Release Date:

May 19, 2005 

State of Illinois

Office of the Auditor General

WILLIAM G. HOLLAND

AUDITOR GENERAL

To obtain a copy of the Report contact:

Office of the Auditor General

Attn:  Records Manager

Iles Park Plaza

740 E. Ash Street

Springfield, IL 62703

(217) 782-6046 or TTY (217) 524-4646

This Report Digest is also available on

the worldwide web at

http://www.state.il.us/auditor

INTRODUCTION

      This digest covers our financial audit of the Illinois Student Assistance Commission – Illinois Designated Account Purchase Program for the year ended June 30, 2004.

AUDITORS’ OPINION

      Our auditors stated the June 30, 2004 financial statements of the Program are fairly presented in all material respects.

____________________________________

WILLIAM G. HOLLAND, Auditor General

WGH:JAF:pp

SPECIAL ASSISTANT AUDITORS

      Our special assistant auditors for this audit were McGladrey & Pullen, LLP.

FINANCIAL OPERATIONS (ALL FUNDS)

2004

2003

OPERATING REVENUES

      Interest - student loans.....................................................

      Interest - investments.......................................................

            Total.........................................................................

$82,335

      6,742

  $89,077

$82,015

      9,733

  $91,748

OPERATING EXPENSES

      Interest expense and loan fees.........................................

      External loan servicing.....................................................

      Salaries and employee benefits........................................

      Management and professional services............................

      Bond issuance and legal fees...........................................

      Line of credit fees...........................................................

      Marketing.......................................................................

      Other operating expenses................................................

            Total........................................................................

$64,987

18,885

10,885

9,158

1,605

1,552

1,203

      2,685

$110,960

$72,409

16,570

9,855

8,011

1,961

1,064

1,434

         850

$112,154

OPERATING (LOSS)........................................................

$(21,883)

$(20,406)

NONOPERATING REVENUES

      Federal special allowance and student interest subsidy......

TRANSFERS IN (OUT) -

      Transfers in......................................................................

      Transfers out..........................................................................................

            Change in net assets..................................................

27,613

    0

       (571)

 $5,159

28,497

6,633

       (571)

 $14,153

SELECTED BALANCE SHEET ACCOUNTS

2004

2003

Unrestricted current assets:

      Cash and investments.......................................................

Restricted current assets:

      Cash and cash equivalents................................................

      Investments (including interest accrual).................................

      Notes receivable..............................................................

      Student loans and interest receivable................................

      Federal special allowance & interest subsidy receivable

Restricted noncurrent assets:

      Notes receivable..............................................................

      Student loans and interest receivable................................

Current liabilities:

      Current portion of revenue/notes and demand bonds payable.......................................................................

      Accounts payable and accrued expenses..........................

Noncurrent liabilities:

      Revenue bonds payable...................................................

Net Assets..........................................................................

$20,748

$109,674

$686,257

$55,559

$459,638

$7,405

$45,458

$2,381,307

$149,734

$15,238

$3,453,476

$147,782

$3,803

$173,455

$601,416

$55,971

$403,678

$6,957

$45,795

$2,064,222

$415,769

$12,466

$2,785,211

$142,623

AGENCY DIRECTOR

During audit Period:  Larry E. Matejka

Currently:  Larry E. Matejka