www.thecentersquare.com – By Emilee Calametti | The Center Square – (The Center Square – ) 2025-04-01 12:50:00
(The Center Square) — Louisiana’s 2024 single audit requires the attention of the state government as 35 findings were reported with 16 of those being repeat findings from previous audits.
The total amount questioned relating to federal programs is $260.6 million. According to the LLA, some of the 35 findings need attention from the state government as some concern compliance reports, regulations, contracts, and grant agreements. Of that amount, the Louisiana Department of Health constitutes more than $260.1 million of the questioned costs.
The 35 findings were throughout several federal agencies, including the Department of Children and Family Services, Louisiana Workforce Commission, LSU at Shreveport, LSU Health Science Center in New Orleans, Southern University in Baton Rouge, University of Louisiana in Monroe, Louisiana Department of Health, Louisiana Tech University, and the Governor’s Office of Homeland Security and Emergency Preparedness.
The Department of Children and Family Services had $4,685 in questioned costs for overbilling of different programs as well as underbilling SNAP programs. There were also instances reported of unauthorized employee fuel transactions by a former DCFS employee that totaled $97,500 in the fiscal year 2024.
The employee under investigation resigned as of March 31, 2024. Due to misappropriation, there is an additional $37,746 in question for the DCFS. The department has $42,431 in total questioned costs.
In a response to the LLA, DCFS said, “DCFS concurs with the finding and has zero tolerance for unauthorized use of state or federal funds.”
They stated the department has developed procedures to monitor transactions every month. “Any DCFS employee engaged in such an unauthorized use of state and federal funds would be terminated.”
The Louisiana Department of Health also has $87 million in question for medical assistance programs. The audit found inadequate documentation for billed services totaling $17,402 in federal funds. For Medicaid, there is $28,793 in questioned costs, and CHIP programs have $6,042.
Both of these instances concern beneficiaries invalidly enrolled. There is $172,802 in question for ineligible maternity kick payments. The LDH also exceeded the allocated amount for DSH payments by $4,225,716 and $168 million in questioned federal costs for Medicaid expenditures.
In response to the DSH payments, the department stated, “LLA has identified $4,225,716 of total computable payments made in excess of the global DSH allotment for FFY 2016. The department will recoup funds from the facility that was overpaid and return the FFP portion of that overpayment to CMS.”
LSU Health Sciences Center in Shreveport has $2,686 in questioned costs. This is the sixth consecutive year the LSUHSC-S did not ensure proper documentation.
The University of Louisiana at Lafayette has $18,707 in questioned costs relating to Geosciences, Mental Health Research Grants, and Allergy and Infectious diseases research. The university also has $63,790 in separate questioned costs for the Office of STEM Management and Fossil Energy Research Development. The university has $82,497 in total questioned costs.
Louisiana State University at Shreveport has $101,159 in questioned costs for Federal Pell Grant Programs and Federal Direct Student Loans. The university did not return Title IV funds to the U.S. Department of Education in the required timeframe.
There were $101,159 in outstanding checks to students and parents as of January. These were issued between September 2014 to May 2024, and not returned to the USDOE.
Southern University at Baton Rouge has $39,555 in questioned costs relating to Federal Pell Grant Programs and Federal Direct Student Loans not returned to the USDOE per the guidelines of Title IV funds.
Louisiana Tech University has $206,451 in questioned costs for misappropriating research and development cluster funds. Nine electronic fund transfer payments were made to an out-of-state university that were fraudulently diverted to unknown individuals.
Many of the agencies released responses to the findings and questioned costs in the auditor’s report.
Emilee Ruth Calametti serves as staff reporter for The Center Square covering the Northwestern Louisiana region. She holds her M.A. in English from Georgia State University and soon, an additional M.A. in Journalism from New York University. Emilee has bylines in DIG Magazine, Houstonia Magazine, Bookstr, inRegister, The Click News, and the Virginia Woolf Miscellany.She is a Louisiana native with over seven years of journalism experience.
Louisiana lawmakers plan to withdraw \$1.2 billion from the state’s Revenue Stabilization Trust Fund to fund infrastructure, economic development, and technology upgrades. The budget includes \$709M for roads and bridges, \$150M for development sites, and \$59.8M for government tech. Notable allocations include \$280M to attract federal transportation funds, \$101M for bridge maintenance, \$75M for water systems, and \$29M for college repairs. Other spending supports voting machine upgrades, a marketing campaign, and AI monitoring in prisons. Though Louisiana isn’t in a budget crisis, lawmakers cite strong reserve balances. After the withdrawal, \$2.7B remains in the trust fund.
The Louisiana Legislature’s leaders want to spend $1.2 billion that would typically be deposited into a state savings account on infrastructure, economic development and technology upgrades.
State lawmakers expect to send Gov. Jeff Landry a $48 billion budget plan for the fiscal year that starts July 1 by the time their legislative session concludes Thursday. The current plan includes additional money for roadways and bridges ($709 million), economic development site upgrades ($150 million), state government technology improvements ($59.8 million) and public university maintenance projects ($28 million).
The money comes from a state savings account called the Revenue Stabilization Trust Fund, which takes in corporate taxes as well as energy production taxes in excess of $600 million each per year. Established by voters in 2016, the fund was set up to provide an additional source of funding to Louisiana during economic downturns when the state faces budget crises.
Lawmakers gave themselves a significant amount of latitude in the law to access the fund at any time, so long as they can get two-thirds of the House and Senate to vote to draw down the money.
GET THE MORNING HEADLINES.
SUBSCRIBE
The Senate voted unanimously Monday through House Bill 461 to withdraw $1.2 billion. The House is expected to approve the same plan Wednesday or Thursday.
Louisiana is not in the midst of a budget crisis but legislators feel confident about using the money anyway because the state’s two major savings accounts are flush with cash. They also took $717 million out of the account just last year, mostly for transportation and youth prison projects.
Even after the withdrawal, the Revenue Stabilization Trust Fund will have $2.7 billion left. There’s also more than $1.1 billion in the Budget Stabilization Trust Fund, a separate account often referred to as the state “rainy day” fund used to cover budget shortfalls.
Here are some highlights of how the money will be spent:
$280 million: Transportation funding to attract federal money
Rep. Jack McFarland, R-Jonesboro, said this allocation will be used to draw down $1.3 billion in federal funding for transportation projects that could include both new construction and maintenance of existing infrastructure. A list of specific items that would be funded was not provided.
This money would be used to fix and upgrade existing transportation infrastructure, according to McFarland. On top of this money, an additional $63 million is going directly to state transportation districts, where it can also be used for that purpose.
$150 million: Louisiana economic development site investment
The Louisiana Economic Development agency requested this funding in order to pay for physical upgrades and infrastructure at specific sites where the state hopes to attract private sector investment.
For example, the state has already committed to spending millions of dollars to build new roads around the site of the anticipated Hyundai steel mill in Ascension Parish. It will also reimburse Hyundai for some of the construction the company undertakes to build its facility at that location, according to The Times-Picayune. It’s unclear whether any of this funding is committed to the Hyundai project or others recently announced.
On top of this allocation, the economic development agency will also receive an additional $74 million for its “debt service and commitments program” from the $1.2 billion. The department will also get $5 million to launch a marketing campaign for the state.
$101 million: Bridge upgrades McFarland said Louisiana intends to “bundle up” bridge maintenance projects – around 20 at a time – and put them out to bid as a collective in order to get a better price on the construction work. This money would be used to pay for that work.
$75 million: Water system upgrades
This money is supposed to be used to improve local drinking water and sewerage systems in Louisiana. The state has put hundreds of millions of dollars toward similar projects since 2021, but the repairs needed are estimated to cost billions of dollars.
$29 million: College campus deferred maintenance
The funding will support delayed construction projects and repairs at public universities and colleges. It includes $3 million for work at the University of New Orleans, which is being transferred to the LSU System later this year.
$24.1 million: OMV technology upgrades
The state Office of Motor Vehicles experienced outages of its system this spring, leading Gov. Jeff Landry to declare a state of emergency and waive driver’s license fees as members of the public struggled to access the system. The technology motor vehicle offices rely on is approximately 50 years old.
$10 million: LIV Golf and other ‘major’ events
Lawmakers will combine this money with other state funds in the Major Events Incentive Fund for a total of $16.4 million in spending for tourist-heavy events that are expected to generate revenue.
These include $7 million for a LIV Golf League event in New Orleans; $3.5 million for the months-long U.S. Bowling Congress Tournament in Baton Rouge; $1.2 million for Essence Festival in New Orleans and $1.5 million for an Ultimate Fighting Championship event in New Orleans.
$10 million: New voting machines For years, Louisiana has been trying to purchase new voting machines to replace ones that are more than three decades old. This allocation comes as lawmakers passed legislation to change the bid process for purchasing a voting system earlier this month.
$5 million: Upgrade to Medicaid eligibility system
This money is supposed to allow Louisiana to upgrade the technology it uses to make sure Medicaid recipients are eligible for the public health insurance benefit. The Louisiana Department of Health recently announced its intention to start cross-checking its Medicaid rolls with other state databases, including those used by the Office of Motor Vehicles.
$4 million: More grass cutting on state roads
This allocation will be used to pay for additional cycles of mowing along state roads over the next fiscal cycle.
$3 million: AI tool for monitoring state prisoner phone calls Louisiana’s prison system will receive $3 million to help pay for an artificial intelligence tool that monitors and collects data on phone calls from state prisoners. The program Verus, made by the company LeoTech, is used to detect criminal activity, prevent self-harm and assist with public safety, according to the LeoTech’s website.
The company says it does not monitor communication between incarcerated people and their attorneys, spiritual advisors or doctors.
$3 million: Louisiana Supreme Court building security
The court is receiving a blanket $1.8 million to upgrade security at its facility in the French Quarter in New Orleans. Another $1.1 million has been allocated specifically for additional fencing around the building.
$1.8 million: State police payment for the ‘recapture of fugitives’ The state’s top law enforcement agency is receiving $1.8 million for “expenses related to the recapture of fugitives.”
Louisiana Illuminator is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Louisiana Illuminator maintains editorial independence. Contact Editor Greg LaRose for questions: info@lailluminator.com.
Note: The following A.I. based commentary is not part of the original article, reproduced above, but is offered in the hopes that it will promote greater media literacy and critical thinking, by making any potential bias more visible to the reader –Staff Editor.
Political Bias Rating: Centrist
The content presents a detailed and factual account of Louisiana’s legislative budget decisions without any overt editorializing or partisan language. It describes how funds are being allocated across various sectors such as infrastructure, economic development, technology upgrades, and public safety, reflecting a pragmatic approach to governance. The emphasis on bipartisan legislative approval and the inclusion of multiple perspectives and facts suggests a neutral stance aimed at informing readers rather than advocating a particular political viewpoint.
SUMMARY: This week’s Lafayette City and Parish Council agendas include proposed measures to allow UL Lafayette and SLCC student IDs as library cards to boost library use, and a \$100,000 increase for waterproofing the parish jail, where five undocumented workers were recently detained. The City Council will discuss drainage improvements after repeated flooding this spring. Other city matters include rezoning Ramsgate Townhouses and a permit for Five Mile Eatery’s new location, which faces some neighborhood opposition. Joint council items involve donating properties for affordable housing and a pocket park, as well as selecting The Daily Advertiser as the official journal of record.
SUMMARY: Tropical weather is quiet in the Atlantic, with disturbed weather centered over Central America and scattered storms in the Gulf and Caribbean. The Bermuda High remains strong, limiting activity in the Caribbean. In the Pacific, a new storm south of Mexico, Invest 94, is likely to become a named storm and could reach hurricane strength as it moves toward southern Mexico, possibly making landfall midweek near Acapulco. Warm waters and low wind shear support potential intensification. The Atlantic season remains delayed, with peak activity expected in August and September. Meanwhile, a significant heatwave will impact much of the eastern and central U.S. heading into summer’s start Friday.
Meteorologist Payton Malone has the latest update on the tropics for Monday, June 16.
