Welcome to the DCFS Financial Reporting web page. Here you will find important information regarding the year-end financial reporting requirements including information on who is required to do an audit, consolidated financial report (CFR), instructions and forms.
All year-end financial reports are due 180 days after a providers fiscal year end. The Department will notify providers in the fall (after the June 30 fiscal year end) of reports due.
The provider agency shall submit two (2) copies of all required reports within 180 days of the end of the provider agency’s fiscal year to:
Office of Planning and Budget Development
Department of Children and Family Services
Mail Station 440
406 East Monroe Street
Springfield, Illinois 62701-1498
The following has been added to the CFR instructions to clarify the columns on the revenue schedule.
Account Title – Please note that Fees & Purchase of Service revenues and Grant revenues must be reported separately for each major funding source identified on the form. The differences between “Fees & Purchase of Service”, “Grant Revenues”, “Contributions & Other”, “Investment Income” and “Net Assets Released from Restriction” are discussed further below
Agency Total – The agency total column reports the total funding for the agency. The amounts listed here must agree with the total funding identified in the certified independent audit report. All funding, regardless of source, must be reported in this column.
All Other Not Allocated – This column will contain the difference between the “Agency Total” column and the sum of the program columns.
Program Columns – The revenues reported for each program required to be separately reported.
The audit checklist has been replaced with a Checklist and Interrogatory for Financial and Statistical Reporting. The new checklist brings into one document the significant year-end reporting requirements. The checklist can be completed by staff in your agency. However, questions now asked within the checklist may necessitate consultation with your independent auditors. Your agency’s leadership is also now asked to attest to the accuracy of the statements made in completing the checklist. It is not expected the changes will increase the cost of the independent audit.
A provider is required to report in the following instances:
A certified independent financial audit is required when the provider agency accrues revenue of more than $150,000 from the Department during the State fiscal year. Financial audits must be performed in accordance with Government Auditing Standards. If your agency is required to provide a certified independent financial audit, the Checklist and Interrogatory for Financial and Statistical Reporting must be completed and enclosed with the annual audit and cost reporting submission documents. The checklist should be completed by private agency staff.
If a certified independent financial audit is required AND your agency’s State of Illinois, DCFS Contract meets the requirements of Exhibit C; a Consolidated Financial Report (CFR) is due. The Consolidated Financial Report (CFR) must be bound within the certified independent audit report. The independent auditor shall provide an opinion expressing the accuracy of the Cost and Revenue schedules of the Consolidated Financial Report (CFR) in relation to the audited financial statements.
If a certified independent financial audit is NOT required, but your agency is required to submit a CFR; the CFR is not required to be opined by the independent auditor.
All governmental and not-for-profit organizations must also consider federal reporting requirements and federal audit guidelines. If the total of all sub recipient federal funds expended by your Agency during the Agency’s fiscal year exceeds $500,000, the audit must be completed in accordance with the guidance specified in the Office of Management and Budget (OMB) Circular A-133 Audits of States, Local Government, and Non-Profit Organizations and be submitted to the Department. The Department will notify your agency of sub-recipient dollars received from DCFS.
Please note that your agency shall adhere to any additional reporting requirements stated in the contract program plan.
Please use and include the Checklist and Interrogatory for Financial and Statistical Reporting to ensure all requirements are met and that the following items are included in the Independent audit package and/or A133 audit submitted.
Statement of Activities with changes in net assets
Statement of Functional Expenses for each individual contracted program
Statement of Cash Flows
Notes to the Financial Statements
Report on Compliance and Internal Controls in accordance with Government Auditing Standards
OMB A-133 Audit if Required including the Data Collection Form for Reporting on Audits of States, Local Governments, and Non-Profit Organizations [SF-SAC]
The independent certified public accountant may elect to add a paragraph to the opinion on the basic financial statements. Or, the independent certified public accountant may issue a separate report on the supplementary information. In either case, an opinion must be expressed on the Cost and Revenue schedules of the CFR. An example of an acceptable opinion follows:
Our audit was performed for the purpose of forming an opinion on the basic financial statements of XYZ, taken as a whole. The accompanying supplemental information is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole.
The manner and extent to which the independent certified public accountant performs particular procedures to support their opinion on the CFR are determined by the independent certified public accountant using his or her professional judgment, but those procedures must include at least the following:
Obtaining DCFS Rules (89 Illinois Administrative Code Sections 356, 357, 360 and 434). Available at http://www.state.il.us/dcfs/policy/index.shtml. Obtaining DCFS instructions for preparing the CFR Schedule of Program Costs and Revenue and comparing the classifications used therein to those allowed by the instructions.
Agreeing the total expense amounts detailed in the CFR Schedule of Program Costs to the provider’s GAAP based financial statements.
Agreeing the total revenue amounts detailed in the CFR Schedule of Program Revenue to the provider’s GAAP based financial statements and to the program that the revenue was received for.
Reviewing the methodology used to allocate costs among programs for reasonableness ensuring that the methodology was consistently followed. Agreeing allocated amounts to the general ledger and applicable payroll records.
Read 89 Illinois Administrative Code 356.60 (Disallowable Costs and Reduced Reimbursement) and the CFR instructions to ensure that those costs are included on Line 47 of the CFR and a detailed list of those costs are included either in a separate attachment or through the use of the on-line CFR.
Mathematically checking all footings and cross footings on the CFR Schedule of Program Costs and Revenues.
Provider agencies contracted for delivery of 24-hour substitute care services(1), Medicaid Agency Counseling and Intact Family Services programs shall submit two (2) copies of an annual Consolidated Financial Report (CFR).
(1)24-hour Substitute Care Services include:
Childcare Institution Programs
Shelter Care Programs
Group Homes Programs
Independent Living And Transitional Living Programs
Community Integrated Living Arrangements Programs
Agency Foster Care Programs
A Consolidated Financial Report (CFR) is also due for the contract types listed below (identified by the 3 letter contract descriptor code found on the first page of the boiler plate in upper right hand corner) when a provider accrues revenue exceeding $150,000 from the Department during the State Fiscal Year.
ADP
Adoption
ILO
Independent Living Option
AFC
Adolescent Foster Care
INO
Institution Out Of State
APS
Adopt. Preserv. Service
LAN
Local Area Network
AVA
Advocate Agency
MAC
Medicaid Agency Counseling
CAR
Treat/Res Child Abuse
MAD
Medicaid Adoption
CAS
Child Advocacy Support
MCG
Medicaid Group Home
CAY
CAYIT
MCI
Medicaid Institution
CCI
Child Care Institution
MCT
Medicaid Treatment Foster Care
COR
Court Ordered Home Study
MGF
Medicaid Group Home Fee For Service
CPM
Child Pers/Phy Maint
MIO
Medicaid Inst Out State
CSA
Counseling Agency
MLC
Medicaid Ind Living Comprehensive
CSC
Counseling Central Office
MPA
Medicaid Post Adopt
CSI
Counseling Intact Family
MSL
Medicaid Supervised Independent Living
CST
Counseling Toxicology
NOR
Norman Cash Assistance
DRS
Differential Response
PCC
Performance Contract Traditional
EFS
Extended Family Service
PCD
Performance Foster Care Downstate
FCA
Agency Foster Home
PCS
Performance Cook - Small
FCE
Foster Care Exempt
PPT
Pregnant & Parenting Teen
FCI
Foster Care Initiative
PRH
Provider Agency Relative Home
FCN
Foster Care - Nonstandard Rate
SOC
System Of Care
FCS
Foster Care Sibling
TLP
Transitional Living Program
FIC
Foster Care - Intake Closed
TLS
Transitional Living Systems
FPS
Family Preservation
TYP
Transitional Youth Program
FTF
Family To Family
VIT
Visitation
GH
Group Home
YES
Youth Emergency Shelter
HAB
Agency Family Habilitation
YIC
Youth In Crisis
IFS
Intact Family Services
The final list to be distributed after June 30, 2013 may contain additional new codes.
Most generally excluded from reporting on the CFR are governmental entities, individuals, contractual employees, electronic data processing services, and out of state providers serving 5 or fewer DCFS youth.
If a certified independent financial audit is NOT required, but your agency is required to submit a CFR, the CFR is not required to be audited.
If you are required to submit the CFR to more than one State Agency (Illinois Department of Human Services (DHS), Children and Family Services (DCFS) and the State Board of Education/Illinois Purchase Care Review Board (ISBE/IPCRB)), you must start all the CFR schedules (except Report of Service Units) with the “Total Agency” columns, taken from the audited financial statements, then break out into columns, all programs that all entities require you to report in detail. In this way, only one set of CFR schedules needs to be completed, with copies submitted to all the entities requiring submittal.
All seven (7) schedules of the Consolidated Financial Report must be completed.
Agency Information Page
Program Names Schedule
Costs Schedule
Revenues Schedule
Service Units Schedule
Personnel Schedule
Contractual Schedule
A web application is used to electronically collect Consolidated Financial Report (CFR) data from provider agencies. Submission of your CFR through this new web application sends the data to each applicable Illinois state agency. The provider agency must still submit a paper copy of the CFR upon which an In Relation To Opinion has been issued.
Audit and cost reports are necessary to evaluate the costs for similar provider services during the same time period. Unless the Department determines that circumstances do not warrant the following action, noncompliance with the fiscal reporting requirements included in this Part and the cost reporting requirements in accordance with 89 Ill. Adm. Code 356.40 (Cost Information Requirements of Providers) will result in:
withholding of rate increases; or
non-renewal or termination of the purchase of service contract; or
withholding of current contract payments in full or in part for services provided (the MRO rate and billing expectations will not be changed and foster parent rates will not be reduced). Such withholding of payments will occur 60 days after the provider has received written notice from the Director of the Department of his/her designee.
