Report on Internal Control Over Financial Reporting and on Compliance and other matters based on an audit of the financial statements performed in accordance with Government Auditing Standards, for the year ended June 30, 2009

              REPORT DIGEST
OFFICE OF THE STATE
COMPTROLLER
STATEWIDE FINANCIAL
STATEMENT AUDIT
For the Year Ended:
June 30, 2009
Summary of Findings:
Total this audit 4
Total last audit 3
Repeated from last audit 2
July 14, 2010
State of Illinois
Office of the Auditor General
WILLIAM G. HOLLAND
AUDITOR GENERAL
This Report Digest is also available on
the worldwide web at
www.auditor.illinois.gov
The CAFR is available on the worldwide
web at
http://www.ioc.state.il.us
Our Report on Internal Control over
Financial Reporting and on Compliance is
also available on the worldwide web at
www.auditor.illinois.gov
INTRODUCTION
The Illinois Office of the State Comptroller prepares the State of
Illinois Comprehensive Annual Financial Report (CAFR). The CAFR
is the State’s official annual report which provides the readers with the
financial position of the State as of June 30, 2009, and results of
operations during the fiscal year.
The financial section of the CAFR includes the Independent
Auditors’ Report on the basic financial statements, the management
discussion and analysis, the basic financial statements, required
supplementary information, and individual fund statements and
schedules.
AUDITORS’ OPINION
The June 30, 2009 financial statements of the State of Illinois are
fairly presented in all material respects.
The financial statements reflect a continuing financial deficit. At
June 30, 2009:
 The net assets of governmental activities continued to
deteriorate and the deficit increased by $5.4 billion from FY08
to FY09. Overall, net assets of governmental activities are
reported as a deficit of $29.9 billion. (Exhibit 1)
 The General Revenue Fund deficit increased by $3.7 billion
from FY08 to FY09. The June 30, 2009 deficit was $7.7
billion. (Exhibit 2)
Over time, increases and decreases in net assets measure whether
the State’s financial position is improving or deteriorating. A
comparison of Illinois’ financial position to other states is contained in
Exhibit 3.
REPORT ON INTERNAL CONTROL OVER FINANCIAL
REPORTING AND ON COMPLIANCE
In accordance with Government Auditing Standards, a report on
our consideration of the State of Illinois’ internal control over financial
reporting and our tests of its compliance is also issued as part of our
financial statement audit. This report is a separate document and is
summarized in this document. Our report noted significant financial
reporting deficiencies at several State agencies. We also reported the
State’s decentralized internal control system is not adequate.
COMPTROLLER
Currently & During the Audit Period: Honorable Daniel W. Hynes