REPORT DIGEST

OFFICE OF THE TREASURER - COLLEGE SAVINGS
PROGRAM

FINANCIAL AUDIT
FOR THE YEAR ENDED JUNE 30, 2023

Release Date:  September 19, 2024

FINDINGS THIS AUDIT: 1

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

FINDINGS LAST AUDIT: 0

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, 400 West
Monroe, Suite 306, Springfield, IL
62704-9849
(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

The College Savings Program (Program) was
established in March 2000 pursuant to P.A.
91-0607 which authorizes the State Treasurer
to establish and administer a “qualified
state tuition program” under Section 529 of
the Internal Revenue Code of 1986, as
amended. Participants of the Program have a
choice of two Section 529 investment
programs, the Bright Start College Savings
Program and the Bright Directions College
Savings Program. The State Treasurer
selected an investment firm (Manager) to
advise the Office on the investment of the
Trust assets, to administer the Trust
assets, and to provide other services
relating to the Program. The Treasurer acts
as trustee and is responsible for the
overall administration of the program.

To administer the Program, the Treasurer has
established a division entitled “The College
Savings Program Division.” The revenues and
expenditures of the division are recorded in
an enterprise proprietary fund maintained by
the Treasurer entitled College Savings
Program Administrative Trust Fund. An
investment trust fund was used to account
for assets held by the Program in a trustee
capacity or as an agent for individuals
throughout the United States. At June 30,
2023, assets in this fund totaled
$17,305,941,034.

SYNOPSIS

• (23-01) The Office of the Treasurer
(Office) had inadequate internal controls
over the Office’s College Savings Program
financial statement preparation and review
process.

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

INADEQUATE INTERNAL CONTROLS RELATED TO
REVIEW OF FINANCIAL STATEMENTS

The Office of the Treasurer (Office) had
inadequate internal controls over the
Office’s College Savings Program financial
statement preparation and review process

During preparation of the College Savings
Program notes to the financial statements,
the Office incorrectly included savings
account amounts in the total for the
investment note disclosure, resulting in an
overstatement of $405,369,294. This was
updated to the correct amount in the final
financial statements (Finding 1, page 148).

We recommended the Office improve controls
over the College Savings Program financial
reporting process by performing and
documenting due diligence procedures to
verify the accuracy of financial reporting
disclosures.

The Office accepted the recommendation and
stated they will implement procedures to
improve on the College Savings Program
financial reporting internal control
processes.

AUDITOR’S OPINIONS

The auditors stated the financial statements
of the Office of the Treasurer – College
Savings Program as of and for the year ended
June 30, 2023, and June 30, 2022, are fairly
stated in all material respects.

This financial audit was conducted by Crowe
LLP.

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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