Audit: Gueydan Memorial Guest Home Making Administrative Duty Changes
According to a release from the Louisiana Legislative Auditor's office, management at Gueydan Memorial Guest Home may need to make some changes to its supply requisitions and accounting practices.
The external audit found the non-profit facility appears to have violated Louisiana's public bid law because it did not have documentation for bids supplies totaling between $10,000 and $30,000 during the year. Hospital administrators said they will change purchasing procedures.
The report also notes an inadequate separation of duties, where the same person is in charge of accounts receivable as well as posting cash receipts, issuing credit memos, writing off account balances, writing off account balances, reconciling bank statements and accessing incoming checks from customers. Auditor's found the sames issues with segregation of accounting duties in a 2013 audit of the facility, but stated:
"The Hospital District is aware of and evaluated this problem and concluded that it would not be cost beneficial or possible with the limited resources available to create a segregated accounts receivable environment. However, the Hospital District will continue to monitor this issue and the board and management will review account receivable financial information on a timely basis." --Hospital Service District No.3 Parish of Vermilion, State of Louisiana D/B/A Gueydan Memorial Guest Home Financial Report, March 31, 2014.