Scathing Report on Shreveport Financial Practices
A new report shows several critical deficiencies in Shreveport's Finance Department. The Government Finance Officers Association has done a detailed analysis of the department and found several problems that need to be corrected.
I have included the full link to the report if you need some reading materials, but here are some of the problems the report highlights.
Lack of Clear Policies and Procedures. City policies are incomplete and outdated.
Antiquated, Manual Processes. The City is heavily reliant on manual processes that are being conducted outside of the City’s financial system. In addition, some City processes do not follow industry best practices.
Lack for Training Additional training is needed in all major areas examined.
Poor and Inconsistent Communication. Communication overall within the Finance Department and between departments is lacking.
Lack of Organizational Accountability The City suffers from a lack of staff being held
accountable for their job duties and responsibilities. This was mentioned repeatedly through onsite interviews from staff across City departments.
In light of the recent indictment of a former city employee for theft of fuel amounting to about $400,000 dollars, this report says "FuelMan purchases are supposed to be reviewed by supervisors on a weekly basis and signed off/approved, although the statements are not being signed-off by supervisors"
The report recommends the city review, adjust, and re-implement policies and procedures related to FuelMan fuel purchases. This report also says the city should consider stopping the purchase of fuel at “non-City” pumps.
This report has been submitted to the City Council and the Administration. The Audit Committee of the Council is expected to discuss the findings and recommendations made in this report during its next meeting.