Technical college gets audit, makes changes

The Louisiana Legislative Auditor’s Office completed its evaluation of South Central Louisiana Technical College and cited numerous items out of compliance as stated in the report.

The audit covered the period from July 1, 2014, through June 30, 2016.

“We took it in a positive light,” said South Central Louisiana Technical College Director Earl Meador. “And we’re just happy that we didn’t have anything major that we couldn’t correct.

“We had some things that we needed to correct that’s in our response. We put procedures in place and I feel good about it.

“I expect auditors to find things and that’s why we have auditors,” he said. “I guess I take it in the spirit of they make us better.”

Among the findings:

—The college, as of June 23, 2016, had not completed monthly bank reconciliations for its three bank accounts from April 2015 through May 2016.

—The college did not maintain adequate control over the assessment and refunding of student tuition and fees.

—The college did not make timely efforts to collect on past-due student accounts generated from the fall 2012 semester to the summer 2015 semester, with unpaid balances totaling approximately $215,145 at June 30, 2016.

—The college did not maintain adequate control over its Banner Enterprise Resource Planning system that processes transactions and maintains data related to student records and registration, financial aid, human resources, payroll, and financial operations during fiscal years 2015 and 2016.

Select expenses and examined support of transactions were properly authorized, accurately recorded, adequately supported and in compliance with laws and regulations.

Also in the audit:

—No exceptions were identified with capital assets-movable property. The college owns more than 2,124 items with original costs of approximately $8,824,674.

After reviewing the latest annual inventory property certification at each site, auditors verified the existence and completeness for a sample of tagged property items.

—No exceptions were noted with administering the Federal Pell Grant.

—The college has adequate control over the payroll processing and documentation to ensure time and attendance sheets were appropriately approved by the employees’ supervisors and the rate of pay was computed accurately.

—No exceptions were identified regarding nonpayroll expenses.

Auditors performed procedures that ensure refunds and returns were accurately calculated and disbursed based on student withdrawal dates.

Although enrollment has increased 22 percent over the last five years, tuition and fees revenues have fluctuated.

According to management, this is because of a decrease in student credit hours as a result of the significant economic downturn in the oil and gas industry.

Implementation of changes began as early as July.

“This was the finest, in-detail audit I’ve ever seen,” Meador said. “They really picked it to pieces. But I thought it was something that we could solve. We solved everything.

“Every school has these. They find something at every school they go to. That’s why you do those things, to make sure you’re 100 percent, not 98 percent.”

South Central Louisiana Technical College has campuses in Morgan City, Reserve and Thibodaux.