Board of Commissioners of Cook County - File #: 14-4341

• File #: 14-4341
• Version: 2
• Name: Special Purpose Fund Reporting
• Type: Resolution
• Status: Approved
• File created: 7/16/2014
• In control: Finance Committee
• On agenda: 7/23/2014
• Final action: 9/10/2014
• Title: PROPOSED RESOLUTION COOK COUNTY SPECIAL PURPOSE FUND REPORTING WHEREAS, pursuant to the Cook County Annual Appropriation Bill, "special purpose funds are used to account for the proceeds from special revenue sources, and the expenditures for specified or restricted purposes"; and WHEREAS, County expenditures from special purpose funds exceed $500 million on an annual basis; and WHEREAS, Cook County engaged McGladrey LLP to perform an audit of the FY2013 basic financial statements; and WHEREAS, the FY2013 Cook County audit affirms that expenditures from said funds must be specific to an allowed purpose, and found a material weakness in the financial accounting and reporting relative to certain special purpose funds; and WHEREAS, a material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and cor...
• Sponsors: JOHN A. FRITCHEY, TONI PRECKWINKLE (President)

Date	Ver.	Action By	Motion	Result
9/10/2014	1	Board of Commissioners	approve as amended
9/10/2014	1	Finance Committee	recommend for approval as substituted	Pass
9/10/2014	1	Finance Committee	recommend for approval	Pass
7/23/2014	1	Board of Commissioners	refer	Pass

title
PROPOSED RESOLUTION

COOK COUNTY SPECIAL PURPOSE FUND REPORTING

WHEREAS, pursuant to the Cook County Annual Appropriation Bill, "special purpose funds are used to account for the proceeds from special revenue sources, and the expenditures for specified or restricted purposes"; and

WHEREAS, County expenditures from special purpose funds exceed $500 million on an annual basis; and

WHEREAS, Cook County engaged McGladrey LLP to perform an audit of the FY2013 basic financial statements; and

WHEREAS, the FY2013 Cook County audit affirms that expenditures from said funds must be specific to an allowed purpose, and found a material weakness in the financial accounting and reporting relative to certain special purpose funds; and

WHEREAS, a material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected, on a timely basis; and

WHEREAS, the audit found that certain special revenue funds that receive resources that are restricted to a special purpose do not have sufficiently detailed information in each individual fund's general ledger detail supporting expenditures; and

WHEREAS, without such information, there is not a sufficient audit trail to support that all expenditures are specific to an allowed purpose; and

WHEREAS, the Cook County Board of Commissioners has both a fiduciary and ethical duty to the County taxpayers to ensure that all financial matters are in accordance with best accounting practices and are fiscally responsible; and

WHEREAS, detailed reporting of special purpose fund transactions will allow the Board and the public to suitably scrutinize and ensure such funds are properly administered.

NOW THEREFORE BE IT RESOLVED, that the Cook County Board of Commissioners does hereby direct that a report of all special purpose fund transactions b...