CHICAGO OFFICE:
MICHAEL A. BILANDIC BLDG. • SUITE S-900
160 NORTH LASALLE • 60601-3103
PHONE: 312/814-4000
FAX: 312/814-4006

SPRINGFIELD OFFICE:
ILES PARK PLAZA
740 EAST ASH • 62703-3154
PHONE: 217/782-6046
FAX: 217/785-8222 • TTY: 888/261-2887

OFFICE OF THE AUDITOR GENERAL

WILLIAM G. HOLLAND

SUPPLEMENTAL DIGEST
DEPARTMENT OF CORRECTIONS
JUNE 2007
Today we are releasing a total of 37 reports for the Department of Corrections.
The reports include the General Office, 27 adult correctional centers, 8 youth centers and
Correctional Industries.
The Department of Corrections – General Office report contains a Department-wide
financial audit for the year ending June 30, 2006 and a compliance attestation examination for the
two years ending June 30, 2006. The Correctional Industries report also contains a financial audit
for the year ending June 30, 2006 and a compliance attestation examination for the two years
ending June 30, 2006. The other 35 reports being released are limited scope compliance
attestation examinations of individual adult correctional centers and youth centers for the two
years ending June 30, 2006. In all, the reports contain a total of 102 report findings, which is
significantly up from 53 audit findings reported in the June 30, 2004 engagements. Eleven of the
current adult and youth center reports had no findings; this is down 42% from 19 with no findings
for the two years ending June 30, 2004. The eleven facilities are to be commended for their
record in maintaining good fiscal controls.
The more prevalent findings in the 2006 engagements were in the areas of statutory
mandates, internal control, payroll and personnel and inventory. The attached schedule of Major
Findings by Topic summarizes the findings disclosed in our reports.
We also have included summaries of certain operational and statistical data in the
attached charts and schedules. For example, one chart provides details on the average total
population and rated capacity by center. For 2006, the Department had an average total
population of 46,572 residents in centers having a rated total capacity of 35,512. This is an
increase from 2004 when the Department had an average total population of 45,451 residents in
centers with a rated total capacity of 34,151. Based on the information provided in the reports,
the population of adult residents is 11,355 (or 33.6%) over capacity. Another chart provides
details on the average yearly cost per resident by center. For 2006, the average yearly cost per
resident ranged from $14,779 to $55,367 in adult correctional centers and from $50,008 to
$125,208 in youth centers.
INTERNET ADDRESS: AUDITOR@MAIL.STATE.IL.US
RECYCLED PAPER • SOYBEAN INKS

Major Findings by Topic
Number of Findings

FY06
21

FY04
13

Topic
STATUTORY MANDATES

Failure to prepare and submit required reports to the Governor, General Assembly and other
required entities. Commissary operations were not in compliance with Unified Code of
Corrections. Failure to establish subcommittee on Woman Offenders; required documents not
received upon inmate admission; written notice of restrictions on correspondence not provided;
and noncompliance with the Illinois Procurement Code. Individuals who access inmate master
file not documented; notice not displayed regarding Whistle Blower Protection; inmate benefit
and trust fund not used properly; failure to provide educational programs; HIV pamphlets not
available in English; and failure to include all relevant costs in computing manufacturing cost.

18

6

INTERNAL CONTROL

Weaknesses in internal controls over locally held funds at Centers were noted in the following
areas: 1) Only one of two required signatures was present on checks; 2) A former employee
was still an authorized signer, and an individual not authorized to sign checks was signing
checks; 3) A lack of segregation of duties was identified for writing checks, reconciling accounts,
posting activity, collecting cash, making deposits, and mailing checks; 4) Reconciliation to
general ledger accounts not performed at a Center; and 5) Bank reconciliations not performed
at a Center for two funds. Inmate Benefit Fund expenditures made without committee approval,
and weaknesses were noted involving security doors and access to keys at a Center.

16

8

PAYROLL & PERSONNEL

Lack of independent review of payroll documentation; no documentation of approval of payroll
vouchers; standardized procedures for separated employees not being followed; untimely
submission of Statements of Economic Interest; and employee performance evaluations not
performed timely. Inadequate documentation of employee training; time sheets not submitted in
compliance with State Officials and Employees Ethics Act; and loans for payroll errors not being
repaid timely. Inadequate control of employee overtime; compensatory time; work hours and
leaves of absences; and temporary assignments.

12

5

INVENTORY

Weaknesses in inventory controls led to: 1) Inventory being overstated; 2) Receiving and usage
information not entered into the inventory system timely and accurately; 3) Reconciliation of
physical inventory to perpetual inventory records not performed; 4) Monthly physical inventory
counts not performed; 5) Average unit cost of inventory not computed properly; 6) Errors in
annual physical inventory counts. Surplus inventory was not handled in accordance with
Department directives.

8

6

CONTRACTUAL SERVICES, COMMODITIES & OPERATION OF AUTOMOTIVE EQPT.
Inadequate contract monitoring procedures for medical service contracts. Contracts not
approved prior to the start date. Inadequate procedures regarding State vehicles.

(Continued)

(Major Findings by Topic continued)
Number of Findings

FY06
8

FY04
0

Topic
MISCELLANEOUS DISBURSEMENT / VOUCHER PROCESSING
Payments made for efficiency billings without adequate documentation to support how amounts
were computed, center locally held fund disbursements did not agree to, or have supporting
documentation. Center vouchers were: 1) Not approved for payment timely; 2) Not input with
the correct account code; and 3) Not charged to the correct fiscal year. Center improperly paid
employees for meal reimbursements.

6

5

ACCOUNTING REPORTS AND RECORDS

Failure to maintain proper administrative and accounting controls over locally held funds;
inadequate controls over locally held fund general ledgers; and inaccurate reporting packages
submitted to General Office. Weaknesses in preparation of Industries financial statements; lack
of adequate documentation when making commissary purchases; and adult transition center
records not properly maintained.
5

3

PROPERTY, PLANT & EQUIPMENT

Failure to adequately control fixed assets noting: 1) Additions and deletions to the property
system were made in error; 2) Property system not timely updated; 3) Assets on property system
not located; 4) Missing identification tags; and 5) Surplus and scrap equipment on hand.
Inadequate segregation of duties over maintaining records and physical inventory of equipment;
fixed asset report not accurately prepared; and center personnel unable to provide requested
reports.
4

3

REVENUES AND APPROPRIATIONS

Locally held fund receipts not deposited timely; cash receipts not independently verified;
proceeds from the sale of assets not collected by Correctional Industries; and the Department
did not pay revolving fund billings.
3

2

EDP

Payroll timekeeping system is not automated; Center duties were not segregated for access to
enter and approve invoices; and automated management information system not completely
installed.
1

2

ACCOUNTS PAYABLE & ACCOUNTS RECEIVABLE

Center information improperly recorded in accounting system resulting in misstatements to
accounts payable.
102

53

TOTAL REPORT FINDINGS BY TOPIC

Rated Capacity and
Actual Population
0

Maximum Security

FY06

FY04

Stateville CC

Average Population
Rated Capacity

9,936
9,669

9,513
8,482

Dwight CC

Residents Above
Capacity

500

1,000

884

1,500

267

1,153

3,476

464

Tamms CC

1,031

Medium Security

FY06

FY04

Average Population
Rated Capacity

25,147
17,196

24,433
17,196

700

1,542
1,800
1,865

952

Danville CC

1,812

896

Dixon CC

FY04

Lawrence CC

Average Population
Rated Capacity

8,717
5,613

8,610
5,613

Lincoln CC

2,007

1,102

1,998

1,046

1,681

500

1,894

1,074
857
974

Sheridan CC

2,159
2,434

Pinckneyville CC
518
500

Decatur CC
East Moline CC

Adult Transition Ctr.

FY06

FY04

Average Population
Rated Capacity

1,313
1,280

1,343
1,280

33

688

Robinson CC

656
600

Southwestern IL CC
Taylorville CC

1,100
925

Adult Transition Centers

FY04

Average Population
Rated Capacity

1,459
1,754

1,552
1,580

Residents Above
Capacity

IYC Chicago
IYC Harrisburg
IYC Joliet
IYC Murphysboro

-295

-28

IYC Kewanee
IYC Pere Marquette
IYC St. Charles

Source: Illinois Dept. Of Corrections (Unaudited)

IYC Warrenville

92
130
375
276
250
344
89
156
200
354
27
68
330
318
96
108

1,470

1,172

600

Vienna CC

FY06

1,200
1,100

Vandalia CC

Juvenile Centers

1,129

600

Jacksonville CC

63

2,257

961

Logan CC

2,997

1,961

1,011

Shawnee CC

FY06

1,800

896

Western IL CC

Minimum Security

1,930

1,174

Hill CC

7,237

2,186

1,430

Illinois River CC

3,104

1,518

950

Graham CC

7,951

3,500

3,098

Centralia CC

Residents Above
Capacity

3,000

Menard CC

Big Muddy CC

Residents Above
Capacity

2,500

3,301
3,187

Pontiac CC

Residents Above
Capacity

2,000

1,488
1,602

1,313
1,280

Average Population
Rated Capacity

Total
Average Population
Rated Capacity

FY06
46,572
35,512

FY04
45,451
34,151

Residents Above
Capacity

11,060

11,300

4,000

Average Yearly Cost Per Resident
$66,903

IYCPere Marquette

$125,208
$77,886

IYCMurphysboro

$75,452

IYCChicago

$81,299
$97,291
$76,973

IYCKewanee
$59,421

IYCSt. Charles

$58,921
$57,017
$55,367
$53,953
$50,008

Tamms CC
IYCHarrisburg
$33,581

Sheridan CC*

$40,417
$35,100

Decatur CC

Dwight CC
Stateville CC
Jacksonville CC
Adult Transition Ctrs.
Dixon CC
Vandalia CC
Lincoln CC
East Moline CC
Lawrence CC
Centralia CC
Menard CC
GrahamCC
Taylorville CC
Robinson CC
Vienna CC
Pinckneyville CC
Danville CC
Western IL CC
Logan CC
Illinois River CC
Shawnee CC
Big Muddy CC
Hill CC
$-

$65,410

$50,704

IYCJoliet

Southwestern IL CC

$81,924

$80,816

IYCWarrenville

Pontiac CC

$95,012

$34,308

$31,314
$33,101
$28,402
$30,745
$31,491
$29,984
$32,305
$28,269
$23,898
$23,540
$21,240
$22,629
$20,431
$21,977
$22,562
$20,890
$20,904
$20,825
$18,832
$19,941
$23,738
$18,861
$18,804
$18,517
$18,249
$18,348
$18,319
$17,957
$17,583
$17,655
$17,813
$17,654
$17,181
$17,432
$15,927
$17,414
$15,443
$15,596
$15,282
$15,411
$16,242
$15,324
$15,371
$15,319
$15,219
$15,136
$16,452
$14,883
$14,775
$14,779
$20,000

$40,000

Maximum
Medium
Minimum
Juvenile
Adult Transition

Fiscal Year 2004
Fiscal Year 2006

$60,000

* Facility closed August 2002 and subsequently reopened January 2004
Source: Illinois Dept. Of Corrections (Unaudited)

$80,000

$100,000

$120,000

$140,000