REPORT DIGEST

ILLINOIS STUDENT ASSISTANCE COMMISSION

–

ILLINOIS DESIGNATED ACCOUNT PURCHASE PROGRAM

FINANCIAL AUDIT

For the Year Ended:

June 30, 2005

Release Date:

May 18, 2006 

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

Iles Park Plaza

740 E. Ash Street

Springfield, IL 62703

(217) 782-6046 or TTY (888) 261-2887

This Report Digest and the Full Report are 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, 2005.

AUDITORS’ OPINION

      Our auditors stated the June 30, 2005 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)

2005

2004

OPERATING REVENUES

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

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

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

$97,567

      10,167

  $107,734

$82,335

      6,742

  $89,077

OPERATING EXPENSES

      Interest and other student loan expenses..........................

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

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

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

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

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

      Occupancy.....................................................................

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

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

$118,243

21,892

11,318

10,353

  2,114

1,345

  908

        901

$167,074

$64,987

18,885

10,855

9,158

1,203

1,552

  881

         3,439

$110,960

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

$(59,340)

$(21,883)

NONOPERATING REVENUES

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

TRANSFERS IN (OUT) -

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

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

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

59,707

    0

       (513)

 $ (146)

27,613

    0

       (571)

 $5,159

SELECTED BALANCE SHEET ACCOUNTS

2005

2004

Unrestricted current assets:

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

Restricted current assets:

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

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

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

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

      Other receivables.............................................................

Restricted noncurrent assets:

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

      Student loans receivable, net............................................

Current liabilities:

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

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

Noncurrent liabilities:

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

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

$43,250

$115,893

$190,614

$57,713

$717,178

$20,316

$39,975

$2,715,991

$130,350

$16,226

$3,607,495

$147,636

$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

AGENCY DIRECTOR

During audit Period:  Larry E. Matejka

Currently:  Larry E. Matejka