REPORT DIGEST

SOUTHERN ILLINOIS UNIVERSITY

FINANCIAL AUDIT
FOR THE YEAR ENDED JUNE 30, 2020

Release Date:  May 25, 2021

FINDINGS THIS AUDIT:  2

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

FINDINGS LAST AUDIT: 0

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

INTRODUCTION

This digest covers the Southern Illinois
University Financial Audit as of and for
the year ended June 30, 2020.  Southern
Illinois University’s financial audit
report consists of three sets of
financial statements as follows - the
financial statements of Southern Illinois
University; the financial statements of
the Housing and Auxiliary Facilities
System, a segment financial report of the
University issued for bondholders; and
the financial statements of the Medical
Facilities System, a segment financial
report of the University issued for
bondholders.

The University’s Compliance Examination
(including the Single Audit) covering the
year ended June 30, 2020 will be issued
in a separate report at a later date.

SYNOPSIS

• (20-01) The University did not have
adequate internal control over reporting
its census data and did not have a
reconciliation process to provide
assurance census submitted was complete
and accurate.

FINDINGS, CONCLUSIONS, AND
RECOMMENDATIONS

INADEQUATE INTERNAL CONTROLS OVER CENSUS
DATA

The University did not have adequate
internal control over reporting its
census data and did not have a
reconciliation process to provide
assurance census submitted to its pension
and other postemployment benefits plans
was complete and accurate.

During testing, some of the more
significant issues we noted included the
following:

• The University had not performed an
initial complete reconciliation of its
census data recorded by the State
Universities Retirement System (SURS) and
the State Employees Group Insurance
Program sponsored by the State of
Illinois, Department of Central
Management Systems (CMS) to its internal
records to establish a base year of
complete and accurate census data.

• We conducted data matches of (1)
individuals pulled from the University’s
records whom the University believed
should have been participating in SURS
during the census data accumulation
period throughout Fiscal Year 2018 and
(2) the University’s faculty members
teaching a class during the census data
accumulation period throughout Fiscal
Year 2018 to SURS’ records. As a result
of this testing, we identified 14
individuals who had been improperly
excluded from participating in SURS,
which resulted in these people not having
any employee contributions collected by
the University and reported to SURS
during the census data accumulation
period throughout Fiscal Year 2018.
(Finding 1, pages 7-11)

We recommended the University implement
controls to ensure census data events are
timely and accurately reported to SURS
and CMS.  Further, we recommended the
University work with SURS and CMS to
develop an annual reconciliation process
of its active members’ census data from
its underlying records to a report from
each plan of census data submitted to the
plan’s actuary.

The University agreed and stated the
campuses have developed processes to
address the recommendation and will work
toward implementation of those processes.

OTHER FINDING

The remaining finding pertains to
controls over financial reporting of
capital asset additions. We will review
the University’s progress towards the
implementation of our recommendations in
our next financial audit.

AUDITOR’S OPINIONS

The auditors stated the financial
statements of the University, the Housing
and Auxiliary Facilities System, and the
Medical Facilities System, as of and for
the year ended June 30, 2020, are fairly
stated in all material respects.

This financial audit was conducted by
Plante & Moran, PLLC.

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

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