Louisiana Legislative Auditor
Daryl G. Purpera, CPA, CFE

February 15, 2018

Key Audit Issues 2018 Outlines Impact of Nearly $622 Million in Waste and Inefficiencies

Louisiana’s state and local governments continue to be challenged by a failure to collect all monies owed to them, a habit of paying out more money than they need to, and an inability to adhere to adequate internal fiscal controls. In calendar year 2017, these problems added up to potentially $622 million in waste and inefficiencies.

The audits summarized in Key Audit Issues 2018 reflect a portion of more than 4,300 reports released in calendar year 2017 and represent issues, findings, and/or problems deemed important by the LLA. The $622 million figure was calculated from findings reported to the Joint Legislative Committee on the Budget. Act 461 of the 2014 Regular Legislative Session requires the LLA to report all audit findings that exceed $150,000 to the JLCB quarterly and annually.

This year’s Annual Report emphasizes ongoing problems among state and local governmental entities in adhering to sound financial controls. It also shows several of the State’s public colleges and universities have had problems maintaining control over their administrative computer systems, their federal funding, and their property and equipment.

While the approximately $622 million identified in the Act 461 Reports for calendar year 2017 is an improvement over the $1.6 billion outlined in 2016, the money will not solve the state’s current budget problems in their entirety. However, the sum does represent at least:


The 2018 Annual Report also identifies $386 million to $685 million the State potentially is foregoing because of existing laws and policies related to the Louisiana Department of Health, the Louisiana Tax Commission, and the Telephone Company Ad Valorem Tax Credit.

The goal of the Annual Report is to call attention to these issues and to encourage open, transparent discussion on how best to address the problems, and, ultimately, to improve the efficiency and effectiveness of government for all of the State’s residents.
For more information contact:

Legislative Auditor
225.339.3800



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Office of the Louisiana Legislative Auditor | www.LLA.La.gov