REPORT DIGEST

SOUTHERN ILLINOIS UNIVERSITY FOUNDATION AT CARBONDALE

EVERGREEN TERRACE FAMILY HOUSING HUD PROJECT AUDIT

For the Year Ended:

June 30, 2004

Summary of Findings

Total this audit                            0

Total last audit                            1

Repeated from last audit           0

Release Date:

March 16, 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

Iles Park Plaza

740 E. Ash Street

Springfield, IL 62703

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

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 Evergreen Terrace Family Housing HUD project (project) for the year ended June 30, 2004.  The financial audit covering the Carbondale Foundation as a whole was issued under separate cover.

      There were no material findings of noncompliance disclosed by our examination.  We commend project management for maintaining an effective system of internal control.

AUDITORS’ OPINION

      Our auditors stated the June 30, 2004 financial statements of the Evergreen Terrace Family Housing HUD project are fairly presented in all material respects.

____________________________________

WILLIAM G. HOLLAND, Auditor General

WGH:KAL:pp

SPECIAL ASSISTANT AUDITORS

      Kerber, Eck & Braeckel LLP were our special assistant auditors for this audit.

FINANCIAL OPERATIONS (ALL FUNDS)

FY2004

FY2003

REVENUE

Rentals..............................................................................

$1,300,444

$1,492,126

All Other Revenues............................................................

24,638

24,068

Total Revenues......................................................

$1,325,082

$1,516,194

OPERATING EXPENSES

Maintenance and Repairs...................................................

$599,957

$731,610

Utilities..............................................................................

369,481

360,829

All Other Expenses............................................................

448,173

443,968

Total Operating Expenses......................................

$1,417,611

$1,536,407

NONOPERATING REVENUES (EXPENSES)

Investment income.............................................................

$7,588

$10,634

Grants from SIU................................................................

243,251

   0

Interest expense.................................................................

(24,200)

(28,522)

             Net nonoperating revenues (expenses)...................

$226,639

($17,888)

                        Increase (Decrease) in net assets................

$134,110

($38,101)

NET ASSETS

Net assets, beginning of year (as adjusted).........................

($8,632)

$29,469

Net assets (deficit), end of year..........................................

$125,478

($8,632)

OTHER SIGNIFICANT ACCOUNT BALANCES

AT JUNE 30, 2004

AT JUNE 30, 2003

Cash and Investments........................................................

$464,522

$469,857

Capital Assets...................................................................

$509,371

$608,964

TOTAL ASSETS............................................................

$1,076,899

$1,196,816

Mortgage Payable.............................................................

$725,075

$872,744

TOTAL LIABILITIES...................................................

$951,421

$1,205,448

Net Assets – Invested in Capital Assets (net of debt)..........

($215,704)

($263,780)

Net Assets – Restricted-Expendable..................................

$307,670

$362,007

Net Assets (deficit) – Unrestricted.....................................

$33,512

($106,859)

TOTAL NET ASSETS (DEFICIT)................................

$125,478

($8,632)

MANAGING DIRECTOR

During Audit Period:  Mr. Bryan Vagner

Currently:  Mr. Bryan Vagner