Inadequate controls, improper reimbursements, and fraudulent payments highlighted a recap of audits from the first quarter of this fiscal year. The Louisiana Legislative Auditor’s Office compiled the reports from local and statewide agencies to find issues in the first quarter of fiscal 2025. There were three state agencies with deficiencies. The Louisiana Department of Health’s Drinking Water Revolving Loan Fund was found to have inadequate controls over their financial statements, resulting in $855,606 in excess federal funds above the allowed budget. Next the Governor’s Office of Homeland Security and Emergency Preparedness’ Public Assistance Program approved reimbursement requests that were out of the scope or cost estimate by over $19 million. This was also a result of inadequate controls and not being in compliance with applicable FEMA regulations and guidance. That same office made similar mistakes in their Hazard Mitigation Grant Program, with over $2.5 million reimbursed without supporting documentation. There were three local agencies with deficiencies as well. Many of these were results of fraud. The city of Bogalusa used ARPA funds to improperly pay bonuses to city employees and officials to the tune of $468,125. The city also made improper leave payouts in the amount of $368,132. In the case of the town of Mamou’s Savoy Medical Management Corp., the fraud happened accidently. The organization’s vendor was subject to a business email compromise resulting in a fraudulent modification to the payment instructions. As a result, the organization wired cash in the amount of $226,330 to an unknown scammer posing as its vendor. Calcasieu Parish Waterworks District No. 8 was the last governmental body to have issues in reporting. It is estimated that the district incurred a loss of cash collections for billing and security deposit payments in the amount of $481,439 for the periods 2020 through 2023. It appears that the plant manager and/or the office manager violated criminal statutes by misappropriating customer payments related to security deposits and monthly water usage billing. In addition, these actions compromised the district’s ability to properly operate the water system.