|
REPORT DIGEST ILLINOIS VENTURES,
LLC FINANCIAL
AUDIT For the Year Ended: June 30, 2008 COMPLIANCE
EXAMINATION For the Two Years Ended: June 30, 2008 Summary of Findings: Total this audit 1 Total last audit 2 Repeated from last audit 1 Releas January
State of
Office of the Auditor General WILLIAM G. HOLLAND AUDITOR GENERAL
To obtain a copy of the
Report contact: Office of the Auditor
General
(217) 782-6046 or TTY (888)
261-2887 This Report Digest and Full
Report are also available on the worldwide web at
|
SYNOPSIS
{Expenditures and Activity Measures are summarized on the reverse page.} |
ILLINOIS VENTURES, LLC
FINANCIAL AUDIT AND COMPLIANCE EXAMINATION
For the Years Ended June 30, 2008
|
FINANCIAL
OPERATIONS |
FY 2008 |
FY 2007 |
|
OPERATING REVENUES........................................ OPERATING EXPENSES Salaries Retirement and fringe benefits..................................... Professional Fees....................................................... Insurance................................................................... Travel ...................................................................... Office Rent................................................................ Other......................................................................... Total.................................................................... OPERATING INCOME.............................................. NONOPERATING REVENUES................................. Unrealized Appreciation on Investments Held................... INCREASE IN NET ASSETS..................................... |
$4,196,850 $1,610,085 399,275 192,446 36,621 118,764 130,140 314,858 $2,802,189 $1,394,661 917,606 1,037,907 $3,350,174 |
$4,237,535 $1,562,791 0 156,658 41,421 106,802 123,783 318,355 $2,309,810 $1,927,725 357,629 708,367 $2,993,721 |
|
SELECTED ACCOUNT
BALANCES |
AT JUNE 30, 2008 |
AT JUNE 30, 2007 |
|
Cash.............................................................................. Accounts Receivable...................................................... Prepaids and Other Assets.............................................. Capital Assets................................................................ Investments.................................................................... Total Assets................................................................. Accounts Payable........................................................... Accrued Expense........................................................... Net Assets..................................................................... Total Liabilities and Net Assets................................. |
$69,736 $651,315 $32,057 $71,914 $10,760,326 $11,585,348 $149,189 $213,728 $11,222,431 $11,585,348 |
$723,777 $156,645 $30,561 $91,393 $7,454,198 $8,456,574 $31,772 $553,874 $7,870,928 $8,456,574 |
|
DIRECTOR |
|
During Audit Period: Mr. John Banta Currently: Mr. John Banta |
|
Violation of University Guidelines and Governmental
Accounting Standards
Retirement and Other Benefits totaling $399,275 were
not recognized in the Company’s financial statements
Guidelines Requirements |
INTRODUCTION Illinois Ventures, LLC is a for profit limited liability
company created by the Board of Trustees of the FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS USE OF UNIVERSITY RESOURCES Illinois
Ventures LLC, and its subsidiary Illinois Ventures GP, LLC (Company) used The Company was formed on May 30, 2000 and is a component
unit of the
During fiscal years ended June 30, 2008 and 2007, the Company received legal services from the University without charge and recorded such in their accounting records. However, the Company had not recognized retirement or other benefits provided by the University for Company employees which are employed by the University and reimbursed by the Company. Estimated costs related to these benefits were $399,275 for fiscal year 2008. This amount was subsequently recorded on the Company’s Statement of Revenues, Expenses and Changes in Net Assets as revenue and as an expense. Governmental Accounting Standards Board Statement No. 24 Accounting and Financial Reporting for Certain Grants and Other Financial Assistance requires the Company to record support and expenses for on-behalf payments made by an entity to a third party on behalf of the Company. University Guidelines adopted November 30, 1982, (as amended September 10, 1997) by the Legislative Audit Commission, Section VI, University Related Organizations, Subsection G(4): “The University budget and accounting processes must identify expressly all support provided the URO. Revenue accounts will be maintained to identify all payments received from the URO for repayment of funds advanced and as reimbursement for the use of university assets, facilities or services. If the URO maintains separate financial records, companion entries will, of course, appear in these records as well.” (Finding 1, Page 10) We recommended that the Company work with the University to establish a system for tracking the use of University resources and that appropriate amounts be recorded on the Company’s financial statements. Company personnel stated that they have adopted the recommendation and have taken steps to coordinate with the University to implement the recommendation for the current and subsequent periods.
AUDITORS’ OPINION
Our auditors stated that Illinois Ventures, LLC and its subsidiary financial statements are fairly presented in all material respects as of June 30, 2008. ____________________________________ WILLIAM G. HOLLAND, Auditor General WGH:TLK:pp SPECIAL ASSISTANT AUDITORS
Our special assistant auditors were Clifton Gunderson LLP. |