(The Center Square) — According to a recent audit, the Louisiana Office of Public Health failed to properly handle the finances of its clean drinking water fund in 2023.
An audit by the Louisiana Legislative Auditor’s Office examined the last fiscal ending in June 2023 and found weaknesses in cash management, financial reporting and payroll for the Drinking Water Revolving Loan Fund Program.
This fund was established in 1997 to provide low-interest loans and technical assistance for public water systems to ensure safe drinking water. The program is funded through U.S. Environmental Protection Agency grants and some state funds.
According to the report , the Office of Public Health failed to adequately review the fund’s financial report causing the financial statements and other related disclosures to have numerous errors requiring adjustments.
One error on the statement involved $2.7 million of statutory dedicated funds being erroneously reported as operating revenue. According to auditors, this money should have been recorded as non-operating revenues.