LLA Press Release – 8/31/15
Lack of proper accounting for funds from the Lifetime Membership Account and a donation that was never deposited were among the four findings reported for the Grambling University National Alumni Association’s 2013 fiscal year audit, made public Monday by Legislative Auditor Daryl Purpera.
CPA Rosie D. Harper’s report also said the association had no documentation to classify deposits totaling $21,586. Association management agreed with the auditor’s recommendation to create procedures to correct this condition.
Dues paid into the Lifetime Membership Account are permanently restricted, according to the report released by the state auditor. “However, the interest earned on the Lifetime Membership account is unrestricted and can be transferred to the General Fund,” the audit said. “During 2013, $7,459 of permanently-restricted funds, respectively, were either expended or not deposited to the Lifetime Membership Account.”
Management said in response to the finding that, moving forward, the office staff person will complete and provide timely bank reconciliations for all of the association’s accounts. Additionally, the designated financial officer(s) will review and sign off on the reconciliations in a timely manner.
In the other finding that mentions missing funds, a $5,400 donation was made to the association but never deposited into the bank. The auditor recommended that the association improve its internal control policies and procedures to ensure that all funds received are deposited in a timely manner. The association agreed with the recommendation.
See here the complete report.