McNeese receives clean bill from state auditor

Published 11:00 am Thursday, December 29, 2022

By Emily Burleigh

American Press

The Louisiana Legislative Auditor has determined there are no issues in McNeese State University’s financial reporting process, ensuring McNeese’s financial accountability.

The audit documentation was released on Dec. 19 in a management letter written by Michael J. Waguespack, the legislative auditor. It was stated no evidence of issues in the university’s financial reporting was found.

Waguespack stated in the letter his office “performed procedures at McNeese State University to provide assurances on financial information that is significant to the system’s financial statements; evaluate the effectiveness of McNeese’s internal controls over financial reporting and compliance; and determine whether McNeese complied with applicable laws and regulations.”

LLA’s audit of the La. system’s financial statements and work related to the single audit of the state of Louisiana ended on June 30. As a part of this procedural audit, McNeese’s ability to accurately submit their financial reports, in compliance with all applicable laws and regulations, to the University of System was evaluated. The time period audited ranged from July 1, 2021, to June 30.

LLA stated that McNeese has resolved the prior-report finding from May 12, 2021, that was related to a lack of information technology policies and procedures.

The audit of the system’s financial statements was a primary step of this process. Two main categories of financial statements were examined: statement of net position and statement of revenues, expenses and changes in net position.

The statement of net positions documentation includes the subjects of assets, liabilities and net position. Under the category of assets, cash and cash equivalents, what was due from the State Treasury and capital assets were examined. Liabilities included bonds payable, and net position included the audit of net investment in capital assets and restricted-expendable, restricted-nonexpendable and unrestricted documentation.

The statement of revenues, expenses and changes in net position includes revenues — student tuition and fees net of scholarship allowances, net auxiliary, state appropriations and federal nonoperating, and expenses — education and general and auxiliary enterprise.

It was determined that the account balances and classes of transactions of all listed accounts were, as adjusted, “materially correct.”

LLA stated the purpose of the report is “solely to describe the scope of our work at McNeese.” The report does not serve to “provide an opinion on the effectiveness of McNeese’s internal control over financial reporting or on compliances.”

The LLA did not audit or review McNeese’s Annual Fiscal Report.