Illinois Administrative Code › Title 89 - SOCIAL SERVICES › Part 507 - AUDIT REQUIREMENTS OF DHS › Section 507.10 - Audit Requirements

Current through Register Vol. 48, No. 28, July 12, 2024
a) Based
			 on the specific requirements of subsection (b) or (c), whichever applies, each
			 Provider receiving purchase of service or grant contract funding from the
			 Department of Human Services (Department) shall annually submit to the
			 Department a Financial Summary, Personnel/Administrative Information,
			 independent audit report, revenue and expense data in a form prescribed by the
			 Department, and/or a Grant Report to enable the Department to perform fiscal
			 monitoring and to account for the usage of funds paid to the Provider under
			 Agreements with the Department. The information necessary to complete these
			 reports must be obtained from the Provider's accounting records. These reports
			 must be maintained on any generally accepted accounting principles (GAAP) basis
			 or adjusted to report on any GAAP basis. Providers subject to these
			 requirements shall be notified by registered or certified letter no later than
			 May 31 of the year of the contract. This letter shall contain detailed
			 instructions related to the Financial Summary, Personnel/Administrative
			 Information, independent audit requirements, and Grant Report, including
			 provisions for requesting waivers, modifications and filing
			 extensions.
b) If the Provider's
			 combined purchase of service or grant contract funding for Department programs
			 is less than $500,000 and/or the Department performs rate calculations or
			 expense and revenue analysis, the Provider will be required to submit revenue
			 and expense data in a form prescribed by the Department. Copies shall be filed
			 with the Department's Office of Contract Administration as directed in the
			 registered or certified letter referenced in subsection (a). The report shall
			 be submitted within 120 days after the end of the Provider's fiscal year. If
			 any of the programs are grants the Provider will be required to submit a Grant
			 Report.
c) If the Provider's
			 combined purchase of service or grant contract funding for Department programs
			 is $500,000 or more and/or the Department performs rate calculations or expense
			 and revenue analysis, the Provider shall be required to submit revenue and
			 expense data in a form prescribed by the Department. If any of the programs are
			 grants the Provider will be required to submit a Grant Report. All Providers
			 with a combined purchase of service or grant funding for Department programs of
			 $500,000 or more are required to submit an independent audit report, the basic
			 requirements are:
1) The audit shall be
			 conducted by a Certified Public Accountant or Certified Public Accounting Firm
			 licensed in the State of Illinois;
2) The audit report shall include the
			 financial statements prescribed by the Financial Accounting Standards Board for
			 Not-For-Profit Organizations, or the Governmental Accounting Standards Board
			 for Governmental Entities, as appropriate;
3) The audits shall be conducted in accord
			 with the "single audit" requirements and standards when the Provider receives
			 or expends Federal funds that cumulatively exceed the Federal threshold. These
			 requirements are detailed in Federal OMB Circular A-133, "Audits of States,
			 Local Governments, and Non-Profit Organizations" (2003, no later amendments or
			 editions included) (Financial Standards and Reporting Branch, Office of Federal
			 Financial Management, Office of Management and Budget, 725
			 17th Street, NW, Washington, DC 20503);
			 and
4) The report shall be
			 submitted within 120 days after the end of the Provider's fiscal year. Two
			 copies of any reports prepared in accordance with Federal OMB Circular A-133
			 shall be filed with the Department's Office of Contract Administration. Any
			 request for an extension of time to file an independent audit report, Financial
			 Summary, Personnel/Administrative Information, Grant Report or supplemental
			 revenue and expense data shall be submitted to the Department's Manager of the
			 Office of Contract Administration. The Manager of the Office of Contract
			 Administration shall respond in writing to each such request within 14 days
			 after it is received by the Office of Contract Administration.