(The Center Square) – Inadequate controls and ineffective internal functions highlight findings in an audit of the Louisiana Department of Environmental Quality.
The audit was performed by the Louisiana Legislative Auditor’s Office to assess the financial reporting for the department for the period of July 1st, 2022 until June 30, 2024.
For the third consecutive engagement, auditors found the department did not have an effective internal audit function and did not fully adhere to the Institute of Internal Auditors’ international standards.
This is because the department does not have a quality assurance and improvement program and has not completed an annual internal assessment.
Both are required by the institute’s standards, which according to state law applies to any agency with an appropriation level of $30 million. The department was appropriated $146 million for fiscal year 2023 and $154 million for fiscal year 2024.
The department also did not have adequate controls to monitor the collection of penalties and settlements for the Hazardous Waste Site Cleanup Fund, which may result in uncollected or untimely collection of revenues.