A recent financial audit has raised serious concerns about how public funds were handled in Gonzales. The findings highlight multiple cases of non-compliance with state laws, especially related to public contracts and financial procedures.
Audit Findings and Key Issues
The audit for the 2024–25 fiscal year was conducted by Ericksen Krentel. It revealed three major instances where the city failed to follow Louisiana Public Bid Law.
One of the most concerning findings was related to four public works projects worth over $1.6 million. According to the audit, the city could not provide proper documentation showing that these projects were advertised and competitively bid, as required by law.
The law clearly states that projects above a certain value must go through a fair bidding process. However, in these cases, there was no proof that such procedures were followed.
Concerns Over Sidewalk Project
A specific project involving sidewalk work at Municipal Park drew heavy criticism. The contract was reportedly given to Liberty Fence & Supply without proper bidding or evaluation.
The total cost of this project was around $287,000. Instead of one clear payment, the amount was split into multiple smaller invoices. When combined, these payments exceeded the legal threshold that requires competitive bidding.
The audit also pointed out that the city failed to check the contractor’s qualifications before awarding the job. This raised further concerns about oversight and accountability.
Licensing Violations Add to Issues
The situation became more serious when it was revealed that the contractor involved did not have a valid license for the type of work performed. Reports showed that the contractor had not held an active license for years.
This directly connects to the audit’s finding that the city did not properly verify contractor qualifications before making payments.
Response from City Leadership
Tim Riley responded by saying that these issues were present before his administration began. He took office in January 2025, while the audit covers a period that started earlier.
The mayor stated that the audit helped uncover long-standing problems and assured that corrective steps have already been taken or will be implemented soon.
Changes Introduced by the Administration
After reviewing the issues, the current administration introduced new measures to improve transparency. These include requiring at least three bids for most projects, especially those above smaller amounts.
The audit firm had also recommended similar steps, suggesting that competitive bidding should be used more consistently.
Additional Financial Concerns
The audit also found problems with credit card usage. In many cases, receipts were missing, and there was no proper review or approval process. This indicates weak internal controls.
Another issue involved the city’s gas billing system. While charging different rates for residents inside and outside city limits is allowed, the city had not officially approved this practice through an ordinance. This has now been corrected.
Budget and Administrative Issues
The audit highlighted delays and irregularities in budget approvals. In some cases, required budget amendments were not made on time, even when spending or revenue varied significantly from the plan.
There was also a delay in approving the General Fund budget for the next fiscal year. The council initially rejected it without clear reasons before finally approving it later.
Why This Audit Matters
This audit is important because it shows how gaps in procedures can lead to serious compliance issues. Public funds must be handled with transparency and accountability, especially when large projects are involved.
It also highlights the need for strong oversight, proper documentation, and adherence to laws designed to protect public interest.
