St. Landry Parish audit cites theft, management issues

A St. Landry Parish Government audit found nine “signficant” deficiencies in internal controls and reporting and five instances of noncompliance material to statements.
Among the findings reported by Steve Moosa, CPA, of Darnall, Sikes, Gardes & Frederick, was a $3,206 theft at the St. Landry Parish Animal Shelter was not reported, as required, to the legislative auditor’s office and the district attorney.
The theft occurred in July from a safe during a weekend. No arrests have been made.
Parish Council Chairman Harold Taylor said, “The same repetition of the same things the last four years. A bunch of incompetence. Let’s call a spade a spade. Incompetence. Lucky for us we hired a firm to clean this mess up.”
Parish President Bill Fontenot said, “What I have to say is that we did hire that firm, which is something that I’ve been wanting to do and I think it is going to turn things around.”
The Council approved hiring Going, Sebastien, Fisher and Lebouef, an accounting firm, to clear up the problems found in previous audits.
Moosa, of Eunice, said many of the problems resurfaced in the 2015 audit he presented at Wednesday’s meeting.
The firm’s day-to-day oversight should eliminate problems such as incorrect journal entries, Moosa said. and save on auditing costs.
“We had over 200 journal entries to make,” Moosa said.
The 2014 audit cost $70,000, he said. The consultants should save about $30,000, he said.
Until about two years ago Fontenot had an administrative assistant to handle day-to-day operations, but that person left and the job has not been filled.
The audit did state there were no significant deficiencies or material weaknesses in internal control over compliance over the major programs, which are programs over $300,000.
Other findings were:
— The budget was not amended as funds varied 5 percent over or under budget.
—Miscodings in several funds occurred.
— Numerous bank reconciliations were incorrect or incomplete.
— Interfund payables and receivables were not reconciled correctly or timely.
— Capital outlay transactions were not being recorded from the fiscal agent reports. It was noted the last six months of the fiscal year were not recorded in the books concerning the Road District 1 Capital Outlay Fund.
— Animal shelter receipts were not being reconciled and deposited on a timely basis.
— Staff lacked the training and expertise in the selection and application of the financial statement preparation process.
— Adequate documentation was not retained in support of certain credit car transactions totaling $3,166. One American Express charge in February for $3,078 was not supported by documentation.
— Signature stamps for signing checks were not being properly utilized.
— Failure to notify the legislative auditor and district attorney about theft from the animal shelter safe.
— Employees were hired by the animal control facility prior to completing required records for personnel files.
— Sales tax receipts on fuel sales at the parish airport were not reported to the state Department of Revenue in a timely manner.
— Late fees were assessed on credit cards. Credit cards were not paid in full each month for several periods.
— Funds were disbursed without proper authorization and supporting invoices in hand.
Many of management’s responses to the audit findings were the hiring of the consulting firm would solve the problems.
On the money side of the audit, the only entity found with a deficit was the airport maintenance fund at $151,731.
The parish’s general fund had $2,352,381 on hand as of Dec. 31, 2015.
Road District 1 — the Smooth Ride Home Program — had $26.7 million on hand as of Dec. 1, 2015.