Evangeline Community Action, Inc. - Louisianaapp1.lla.la.gov/PublicReports.nsf/66EA1CEF5C0CEB...Evangeline Community Action Agency, Inc. Ville Platte, Louisiana We have audited the

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EVANGELESECOMMUNITY ACTION AGENCY, INC.

Ville Platte, Louisiana

Financial Report

Year Ended January 31, 2005

Under provisions of state law, this report is a publicdocument. Acopy of the report has been submitted tothe entity and other appropriate public officials. Thereport is available for public inspection at the BatonRouge office of the Legislative Auditor and, whereappropriate, at the office gf the parish clerk of court.

Release Date

TABLE OF CONTENTS

Page

Independent Auditors' Report 1 -2

FINANCIAL STATEMENTS

Statement of financial position 4Statement of activity 5Statement of functional expenses 6-7Statement of cash flows 8Notes to financial statements 9-12

SUPPLEMENTAL INFORMATION

INDIVIDUAL PROGRAMS

Combining statement of financial position 15-16Schedule of grant revenue 17

INTERNAL CONTROL, COMPLIANCE AND OTHER GRANT INFORMATION

Report on Internal Control Over Financail Reporting and onCompliance and Other Matters Based on an Audit of FinancailStatements Performed in Accordance with Government Auditing Standards 19-20

Report on Compliance with Requirements Applicableto Each Major Program and on Internal Control OverCompliance in Accordance with OMB Circular A-133 21-22

Schedule of expenditures of federal awards 23Notes to schedule of expenditures of federal awards 24Schedule of findings and questioned costs 25-26Summary schedule of current and prior year audit findings

and corrective action plan 27

KOLDER, CHAMPAGNE, SLAVEN & COMPANY, LLCC. Burton Kolder. CPA*Russell F. Champagne. CPA*Victor R. Slaven, CPA*Conrad 0. Chapman. CPA*P. Troy Courville, CPA*Gerald A. Thibodeaux, Jr., CPA*

Robert S Carter, CPAAllen J. LaBry. CPAHarry J. Clostio, CPAAl Leger. CPAPenny Angelle Scruggins. CPAChristine L. Cousin, CPAMary T. Thibodeaux, CPAKelly M. Doucet, CPAKenneth J. Rachal, CPACheryl L. Bartley, CPA, CVAMandy B. Self, CPA

* A Professional Accounting Corporation

CERTIFIED PUBLIC ACCOUNTANTS

P.O. Box 588Ville Platte, LA 70586

Phone (337) 363-2792Fax (337) 363-3049

WEB SITE:WWW.KCSRCPAS.COM

MEMBER OF:

AMERICAN INSTITUTE OFCERTIFIED PUBLIC ACCOUNTANTS

SOCIETY OF LOUISIANACERTIFIED PUBLIC ACCOUNTANTS

INDEPENDENT AUDITORS' REPORT

Mr. Gervis LaFleur, Executive Director, andMembers of the Board of Directors

Evangeline Community Action Agency, Inc.Ville Platte, Louisiana

We have audited the accompanying statement of financial position of the Evangeline CommunityAction Agency, Inc. (a nonprofit organization) as of January 31,2005, and the related statements of activities,functional expenses, and cash flows for the year then ended. These financial statements are the responsibilityof the management of Evangeline Community Action Agency, Inc. Our responsibility is to express an opinionon these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in the United Statesof America and the standards applicable to financial audits contained in Government Auditing Standards.issued by the Comptroller General of the United States. Those standards require that we plan and perform theaudit to obtain reasonable assurance about whether the financial statements are free of material misstatement.An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financialstatements. An audit also includes assessing the accounting principles used and the significant estimates madeby management, as well as evaluating the overall financial statement presentation. We believe that our auditprovides a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, thefinancial position of the Evangeline Community Action Agency, Inc., as of January 31,2005, and the changesin its net assets and its cash flows for the year then ended in conformity with accounting principles generallyaccepted in the United States of America.

In accordance with Government Auditing Standards, we have also issued our report dated July 14,2005, on our consideration of Evangeline Community Action Agency, Inc.'s internal control over financialreporting and our tests of its compliance with certain provisions of laws, regulations, contracts, and grantagreements and other matters. The purpose of that report is to describe the scope of our testing of internalcontrol over financial reporting and compliance and the results of that testing and not to provide an opinion onthe internal control over financial reporting or on compliance. That report is an integral part of an auditperformed in accordance with Government Auditing Standards and should be considered in assessing theresults of our audit.

183 South Beadle RoadLafayette, LA 70508Phone(337) 232-4141Fax (337) 232-8660

113 East Bridge StreetBreaux Bridge, LA 70517Phone(337)332-4020Fax (337) 332-2867

133 East WaddilMarksville. LA 71351Phone (318) 253-9252Fax (3 IB) 253-8681

1234 David Drive, Suite 105Morgan City, LA 70380Phone(985)384-2020Fax (985) 384-3020

408 W. Cotton StreetVille Platte, LA 70586Phone (337)363-2792Fax (337) 363-3049

332 W. Sixth AvenueOberlin. LA 70655Phone (337) 639-4737Fax (337) 639-4568

200 South Main StreetAbbeville, LA 70510Phone (337) 893-7944Fax (337) 893-7946

1

Our audit was performed for the purpose of forming an opinion on the basic financial statements ofEvangeline Community Action Agency, Inc. taken as a whole. The accompanying schedule of expenditures offederal awards as required by U.S. Office of Management and Budget Circular A-133, Audits of States. LocalGovernments, and Non-Profit Organizations, and the financial information listed as "SupplementalInformation" on pages 15-17, is presented for purposes of additional analysis and is not a required part of thebasic financial statements. Such information has been subjected to the auditing procedures applied in the auditof the basic financial statements and, in our opinion, is fairly stated, in all material respects, in relation to thebasic financial statements taken as a whole.

The financial information for the preceding year, which is included for comparative purposes, wastaken from the financial report for that year in which we expressed an unqualified opinion on the basicfinancial statements.

Kolder, Champagne, Slaven & Company, LLCCertified Public Accountants

Ville Platte, LouisianaJuly 14, 2005

FINANCIAL STATEMENTS

EVANGELINE COMMUNITY ACTION AGENCY, INC.Ville Platte, Louisiana

Statement of Financial PositionJanuary 31,2005 and 2004

2005 2004ASSETS

Current assets:CashOther receivablesGrant receivable

Total current assets

Fixed assets at cost - less accumulated depreciationof $457,868

Total assets

LIABILITIES AND NET ASSETS

Liabilities -Current liabilities:

Accounts payableAccrued liabilitiesDeferred revenue

Total current liabilities

Net assets -Unrestricted net assets:

OperationsFixed assets

Total unrestricted net assets

Total liabilities and net assets

$100,5028

42,855143,365

232,223

$ 77,52122,08720,923120,531

22,834232,223255,057

$140,641$ -

17,658

158,299

90,507

$375,588 $248,806

$ 49,29320,33066,579

136,202

22,09790,507

112,604

$375,588 $248,806

The accompanying notes are an integral part of this statement.

4


Statement of ActivityYear Ended January 31,2005

Support:Government grantsLocal grantsDonated services and facilitiesMiscellaneous income

Total support

Expenses:Program services -

Energy Assistance ProgramsTeen Pregnancy PreventionLocal grantsMigrantFood servicesHe ad start

Total program services

Support services -Community Services Block Grant

Total expenses

Change in net assets

Other changes in net assets:Additions to fixed assetsChange in clearing accounts

Total other changes

Total net change in net assets

Net unrestricted assets, beginning

Net unrestricted assets, ending

Unrestricted

Operations

$ 1,966,46312,040

451,114344

2,429,961

10,905-

7,6548,960

136,2771,929,492

2,093,288

142,215

2,235,503

194,458

(193,728)7

(193,721)

737

22,097

FixedAssets

$ -----

--310

-51,425

51,735

277

52,012

(52,012)

193,728-

193,728

141,716

90,507

Totals2005

$1,966,463 $12,040

451,114344

2,429,961

10,905-

7,6549,270

136,2771,980,917

2,145,023

142,492

2,287,515

142,446

77

142,453

112,604

2004

1,748,83848,810

429,756410

2,227,814

12,809953

51,95618,556

143,6381,890,422

2,118,334

167,988

2,286,322

(58,508)

--

(58,508)

171,112

$ 22,834 $232,223 $ 255,057 $ 112,604


5


Statement of Functional ExpensesYear Ended January 31,2005

Program Services

SalariesContract labor/consulting feesPayroll taxesRetirement

Total salaries and related expenses

DuesEnergy assistanceFood and nutritionGardeningCoolingInsuranceContributed services and facility costsMedical and dentalMiscellaneousOther occupancyParent involvementPrinting/advertisingProfessional feesRentRepairs and maintenanceSeminars and workshopsSupplies and materialsTelephoneTravelUtilities

Total expenses before depreciation

Depreciation expense

Total expenses

Energy Teen FoodAssistance Pregnancy Local Migrant Services

Grants Prevention Grants Program Program

$ 10,050 $ -

769

10,819

7

79

10,905

$ - $ 4,140 $ 20,3522,908

561 1,919

2,908

30

1,936432

1,459

889

4892,134

1,410

4,701 22,271

142

84

113,524

13

469

7,654 8,960 136,277

310

$ 10,905 $ - $ 7,654 $ 9,270 $136,277


6

Program ServicesHead

Summer StartChildcare Program

$ - $ 952,115-

91,26729,476

1,072,858

--

15,890--

131,875451,114

2,3388,9004,6831,307

8747,000

32,40028,00619,59384,27411,97136,57019,839

1,929,492

51,425

$ - $1,980,917

TotalProgramServices

$ 986,6572,908

94,51629,476

1,113,557

-30

129,414--

132,017451,114

4,2749,3454,6831,307

8747,084

32,40028,00620,55187,87411,97138,94819,839

2,093,288

51,735

$2,145,023

SupportServices

CommunityServices

Block Grant

$ 115,376-

9,901-

125,277

575-

1,991-

6,2181,015---.---

2,400--293

2,386478

1,582

142,215

277

$ 142,492

Totals2005

$1,102,0332,908

104,41729,476

1,238,834

57530

131,405-

6,218133,032451,114

4,2749,3454,6831,307

8747,084

34,80028,00620,55188,16714,35739,42621,421

2,235,503

52,012

$2,287,515

2004

$1,111,7603,605

107,12628,847

1,251,338

1,38035,537

137,3913,0413,164

140,664429,756

7,0468,7204,8322,6401,3669,631

35,40022,15525,73545,68415,55432,71223,863

2,237,609

48,713

$2,286,322


Statement of Cash FlowsFor the Year Ended January 31, 2005 and 2004

2005 2004Cash flows used for operating activities:

Change in net assets

Adjustments to reconcile change in net assetsto net cash provided by operating activities:

DepreciationInrease in other receivablesIncrease in grant receivableIncrease in accounts payableIncrease in accrued liabilitiesIncrease (decrease) in deferred revenue

Net cash provided by operating activities

Cash flows from investing activities:Purchase of equipment

Net increase in cash and cash equivalents

Cash, beginning of period

Cash, end of period

$142,453 $(58,508)

52,012(8)

(25,197)28,2281,757

(45,656)

48,713-

(1,365)8,8075,0657,966

153,589

(193,728)

10,678

(1,267)

(40,139) 9,411

140,641 131,230

$100,502 $140,641

The accompanying notes are an integral part of this statement

8


Notes to Financial Statements

(1) Summary of Significant Accounting Policies

A. Nature of Activities

Evangeline Community Action Agency, Inc. (The Agency) is a non-profitorganization, which was organized on February 25, 1965, and which shall continue inexistence for a period of 99 years from that date unless dissolved earlier. It receivesgrants from federal and state governments to conduct various community serviceprograms, and its primary purpose is to better the conditions under which people in theEvangeline Parish area live.

B. Financial Statement Presentation

Evangeline Community Action Agency, Inc. has adopted the provisions ofStatements of Financial Accounting Standards No. 117, "Financial Statements of Not-for-Profit Organizations". Statement No. 117 requires Evangeline Community ActionAgency, Inc. to report information regarding its financial position and activitiesaccording to three classes of net assets: unrestricted net assets, temporarily restricted netassets and permanently restricted net assets. In addition, the agency is required topresent a statement of cash flows.

C. Basis of Accounting

The accompanying financial statements are presented on the accrual basis ofaccounting in accordance with generally accepted accounting principles.

D. Fixed Assets and Depreciation

Fixed assets are recorded at cost. Depreciation of fixed assets is calculated onthe straight-line basis over an estimated useful life of five years. The Agency followsthe practice of capitalizing all expenditures for equipment and fixtures in accordancewith each program's grant guidelines.

E. Budgets

Evangeline Community Action Agency, Inc. does not adopt budgets on a fiscalyear basis. Each grant program's budget is based on its individual program year end andis approved by the program at the inception of the program. Budgetary amendmentsmust generally be approved by the program as well.

EVANGELINE COMMUNITY ACTION AGENCY, INC.


Notes to Financial Statements (Continued)

F. Compensated Absences

Vacation and sick leave are recorded as expenditures of the period in whichpaid. Sick leave is accumulated at 1 1/2 day's pay per month but is not payable upontermination or resignation. Annual leave accumulates at the rate of 1 1/2 days permonth after the first three months. Upon termination or resignation, a maximum of ninedays can be paid to the employee. Also, only nine days can be carried over from year toyear. Any liability Evangeline Community Action Agency, Inc. might have in thisregard at January 31, 2005, is considered immaterial; therefore, no liability has beenrecorded in the accounts.

G. Donated Services and Materials

Contributions of materials, facilities and services are recognized if they (a)create or enhance nonftnancial assets or (b) require specialized skills, are provided byindividuals possessing those skills, and would typically need to be purchased if notprovided by donation. These donated services and facilities were recorded at marketvalue.

H. Statement of Cash Flows

The Evangeline Community Action Agency, Inc. considers all highly liquidinvestments with maturity of three months or less at the date of acquisition to be cashequivalents.

I. Total Columns

Total columns are presented to facilitate financial analysis. Data in thesecolumns do not present financial position, results of operations and changes in netassets in conformity with generally accepted accounting principles. Neither is such datacomparable to a consolidation.

J. Income Tax Status

The Agency qualifies as a tax-exempt organization under Section 501(c)(3) ofthe Internal Revenue Code and, therefore, no provision for federal income taxes is madein the accompanying financial statements.

K. Estimates

The preparation of financial statements in conformity with generally acceptedaccounting principles requires management to make estimates and assumptions thataffect certain reported amounts and disclosures. Accordingly, actual results could differfrom those estimates.

10




(2) Grant Receivable

Grants receivable consisted of the following at January 31, 2005:

Due from the Louisiana Department of Education:Food Services Program $ 15,996

Due from U.S. Dept. of Health and Human Services:Headstart 26,692

Due from various local grants 167$ 42,855

(3) Fixed Assets

Fixed assets at January 31,2005 consisted of the following:

Furniture, fixtures and equipment $210,964Vehicles 479,127

690,091Less: Accumulated depreciation (457,868)

$232,223

(4) Operating Leases

The Evangeline Community Action Agency, Inc. leases various buildings under operatingleases expiring in various years. The minimum annual commitments under these operating leases areconsidered to be immaterial.

(5) Retirement

All employees of Evangeline Community Action Agency, Inc. participate in the SocialSecurity System. The Corporation and its employees contribute a percentage of each employee's salaryto the System (7.65% contributed by the Corporation, 7.65% by the employee). Retirement amountsare paid to the Social Security System, which is responsible for administration and disbursing benefits.The Corporation has no further liability for future deficits in the system.

Employees of the Evangeline Community Action Agency, Inc. have the option of participatingin a defined contribution retirement plan. The Agency's contributions are equal to 3% of the annualsalary of participating employees. During the year ended January 31, 2005, the Agency's contributionto the plan totaled $29,476.

11




(6) Pending Litigation

There is no pending litigation against the Evangeline Community Action Agency, Inc. atJanuary 31,2005.

(7) Compensation Paid to Members of the Board of Directors

Members of the Board of Directors of Evangeline Community Action Agency, Inc. receive nocompensation and are reimbursed only for any expenses incurred relating to the Agency's business,which must have appropriate supporting documentation.

(8) Contributed Facilities. Services, and Materials

Contributed facilities represent the estimated fair rental value of office and storage space. Thetotal contribution for the year amounted to $30,072. Contributed services represent volunteer teachers,doctors, and attorneys in which the value of the service creates or enhances non-financial assets or theservice is specialized and would otherwise be purchased if not provided by donation. Contributedservices are reflected in the financial statements at the fair value of the services received, whichamounted to $421,042 for the year ended January 31,2005.

(9) Grant Revenue

The Agency's major source of revenue is grants from federal and state governmental entities.The use of these funds is restricted to the purpose set forth in the individual grant agreements. Suchgrant agreements are subject to review and audit by governmental agencies. Such audits could result ina request for reimbursement by the grantor for expenditures disallowed under the terms and conditionsof the appropriate agency. In the opinion of Evangeline Community Action Agency, Inc., suchdisallowances, if any, will not be significant.

(10) Concentrations

The Agency receives a substantial amount of its support from the U.S. Department of Healthand Human Services - Headstart program. A significant reduction in the level of this support orsuspension in funding may have an effect on the continuing operations of the Evangeline CommunityAction Agency, Inc.

12

SUPPLEMENTAL INFORMATION

13

INDIVIDUAL PROGRAMS/FUNDS

Accounts Payable/Payroll -The clearing accounts which are used for the disbursement of accounts payable and payroll checks for allprograms.

Migrant Program -To account for federal grant funds passed through the Louisiana Department of Education to be used forprograms and activities to benefit the children of migrant families in the area.

Food Services Program -To account for receipt and expenditure of federal grant funds passed through the Louisiana Department ofEducation for meals for needy children at Headstart locations.

Summer Child Care Program -To account for the receipt and disbursement of federal grant funds passed through the Louisiana Departmentof Social Services, Office of Family Support, which provides educational, psychological, nutritional,medical, dental and social services to needy pre-school children in the area during the summer months.

Commodities -To account for the receipt and expenditure of federal grant funds and commodities passed through theLouisiana Department of Agriculture and Forestry to be used to distribute donated food commodities toneedy households.

Community Service Block Grant -To account for the receipt and subsequent use of federal grant funds passed through the LouisianaDepartment of Labor to be used for administrative and other budgeted purposes.

Head Start Program -To account for the receipt and expenditure of funds received from the U.S. Department of Health & HumanServices for Head Start, which provides educational, psychological, nutritional, medical, dental and socialservices to needy pre-school children in the area.

LIHEAPVTANF Energy Assistance -To account for the receipt and subsequent use of federal grant funds passed through the LouisianaDepartment of Health & Human Resources to be used for the payment of home energy bills for qualifyingresidents of the area.

Local Grants -To account for local funds received for energy grants, medicine assistance and teen outreach programs.

Fixed Assets Fund -To account for the fixed assets of the corporation and depreciation provided on those assets.

14


Combining Statement of Financial PositionJanuary 31,2005

Accounts Food SummerPayable/ Migrant Services ChildPayroll Program Program Care Commodities

ASSETS

Current assets:CashOther receivablesGrant receivable

Total current assets

Fixed assets at cost - less accumulateddepreciation of $490,113

Total assets

LIABILITIES AND NET ASSETS

Liabilities:Accounts payableAccrued liabilitiesDeferred revenue

Total liabilities

Net assets, unrestricted

Total liabilities and net assets

$22,038 $ -8

-

22,046

$ 22,046 $ -

$ 2,192 $ -22,087

-

24,279

(2,233)

$ 22,046 $ -

$ 12,423 $ 19,148-

15,996

28,419 19,148

$ 28,419 $ 19,148

$ 17,024 $ --

19,148

17,024 19,148

11,395

$28,419 $ 19,148

$1,042--

1,042

$1,042

$ --

1,0421,042

_

$1,042

15

CommunityServices

Block Grant

HeadStart

Program

EnergyAssistance

GrantsLocalGrants

FixedAssets

Totals2005 2004

$733 $34,426 $282 $10,410 $ - $100,502 $140,6418

_- 26,692 _^ 167 - 42,855 17,658

733 61,118 282 10,577 - 143,365 158,299

$ 733 $61.118 $ 282

- 232,223 232,223 90,507

$10,577 $232,223 $375,588 $248,806

733733

$ 733

$ 58,305

58,305

2,813

$61,118

282

$ 282

$ -

10,577

$10,577

$ -

232,223

$232,223

$ 77,52122,08720,923

120,531

255,057

$375,588

$ 49,29320,33066,579

136,202

112,604

$ 248,806

16


Schedule of Grant RevenueYear Ended January 31, 2005

LIHEAP

Migrant

Food Services Program

Community Services Block Grant

Head start

Local grants

$ 10,884

2,516

139,086

142,215

1,671,762

12,040

$ 1,978,503

17

INTERNAL CONTROL, COMPLIANCE

AND

OTHER GRANT INFORMATION

18

KOLDER, CHAMPAGNE, SLAVEN & COMPANY, LLCC. Burton Kolder, CPA*Russell F. Champagne, CPA'Victor R. Slaven, CPA'Conrad 0. Chapman CPA*P. Troy Courv.Ha. CPA'Gerald A. Thibodeaux, Jr., CPA*

Robert S. Carter, CPAAllen J LaBry, CPAMarry j. uosno, orftAl Leger, CPAPenny Angelle Scruggins, CPAChristina L Cousin. CPAMary T. Thibodeaux, CPAKelly M. Doucet , CPAKenneth J. Radial. CPA

BsTcPAPA CVA


D -. - _QQr.U. DOX OOO

VIII6 Piatte, LA 70586

Phone (337) 363-2792FaX '337> 363-3049

WEBSITE\MHMJ Kr^ar^t rnwWWW.KCSRCPAS.COM

MEMBER OF

AMERICAN INSTITUTE OFCERTIFIED PUBLIC ACCOUNTANTS

soc|ETy QF LOU1SIANA


REPORT ON INTERNAL CONTROL OVER FINANCIALREPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMEDIN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

Mr. Gervis LaFleur, Executive Directorand Members of the Board of Directors

Evangeline Community Action Agency, Inc.Ville Piatte, Louisiana

We have audited the financial statements of Evangeline Community Action Agency, Inc., (a nonprofitorganization), as of and for the year ended January 3 1 , 2005, and have issued our report thereon dated July 1 4,2005. We conducted our audit in accordance with auditing standards generally accepted in the United Statesof America and the standards applicable to financial audits contained in Government Auditing Standards.issued by the Comptroller General of the United States.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered Evangeline Community Action Agency, Inc.'sinternal control over financial reporting in order to determine our auditing procedures for the purpose ofexpressing our opinion on the financial statements and not to provide an opinion on the internal control overfinancial reporting. Our consideration of the internal control over financial reporting would not necessarilydisclose all matters in the internal control that might be material weaknesses. A material weakness is areportable condition in which the design or operation of one or more of the internal control components doesnot reduce to a relatively low level the risk that misstate merits caused by error or fraud in amounts that wouldbe material in relation to the financial statements being audited may occur and not be detected within a timelyperiod by employees in the normal course of performing their assigned functions. We noted no mattersinvolving the internal control over financial reporting and its operation that we consider to be materialweaknesses.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Evangeline Community Action Agency,Inc.'s financial statements are free of material misstatement, we performed tests of its compliance with certainprovisions of laws, regulations, contracts and grant agreements, noncompliance with which could have adirect and material effect on the determination of financial statement amounts. However, providing an opinionon compliance with those provisions was not an objective of our audit, and accordingly, we do not expresssuch an opinion. The results of our tests disclosed no instances of noncompliance or other matters that arerequired to be reported under Government Auditing Standards.

183 South Beadle RoadLafayette, LA 70508Phijne (337) 232-4141Fax (337) 232-8660

1 13 East Bridge StreetBreaux Bridge, LA 70517Phone (337) 332-4020Fax (337) 332-2867

133 East WaddilMarksville, LA 71351Phone (318) 253-9252Fax (318) 253-8681

1234 David Drive, Suite 105Morgan City, LA 70380Phone (985) 384-2020Fax (985) 384-3020

408 W. Cotton StreetVille Piatte, LA 70586Phone (337) 363-2792Fax (337) 363-3049

332 W Sixth AvenueOberlin, LA 70655Phone (337) 639-4737Fax (337) 639-4568

200 South Main StreetAbbeville, LA 70510Phone (337) 893-7944Fax (337) 893-7946

19

This report is intended solely for the information and use of the board of directors, management, andfederal awarding agencies and pass-through entities and is not intended to be and should not be used byanyone other than these specified parties. However, this report is a matter of public record and its distributionis not limited.

Kolder, Champagne, Slaven & Company, LLCCertified Public Accountants

Ville Platte, LouisianaJuly 14, 2005

20

KOLDER, CHAMPAGNE, SLAVEN & COMPANY, LLCCERTIFIED PUBLIC ACCOUNTANTS

C. Burton Kolder, CPA"Russell F. Champagne, CPA* D —. Q cooVictorR Slaven, CPA* r.U. bOX OOOConrad O Chapman, CPA- Vj||e pfe^ LA 70586 WEBSITE:

Ge^AThibodeaux Jr CPA* WWW.KCSRCPAS.COM

' Phone (337) 363-2792Robert S. Carter, CPA FaX <337> S63-3049 MEMBER OF:

u]"" J. ̂ SfLC™. AMERICAN INSTITUTE OFAM ,̂1 ™ ' CERTIFIED PUBLIC ACCOUNTANTS"I LSQBfN OrA

c™ noA SOCIETY OF LOUISIANACERTIFIED PUBLIC ACCOUNTANTS

Kelly M. Doucet, CPAKenneth J. Rachai, CPACheryl L. Bartley, CPA, CVA

set. CPA REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE—8«n T() EACH MAJQR ?ROGRAM AND QN rMjERNAL CONTROL OVER

COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133

Mr. Gervis LaFIeur, Executive Director,and Members of the Board of Directors

Evangeline Community Action Agency, Inc.Ville Platte, Louisiana

Compliance

We have audited the compliance of Evangeline Community Action Agency, Inc., (a nonprofitorganization) with the types of compliance requirements described in the U.S. Office of Management andBudget (OMB) Circular A-133 Compliance Supplement that are applicable to each of its major federalprograms for the year ended January 31, 2005. Evangeline Community Action Agency, Inc.'s major federalprogram is identified in the summary of auditor's results section of the accompanying schedule of findingsand questioned costs. Compliance with the requirements of laws, regulations, contracts and grants applicableto each of its major federal programs is the responsibility of Evangeline Community Action Agency, Inc.'smanagement. Our responsibility is to express an opinion on Evangeline Community Action Agency, Inc.'scompliance based on our audit.

We conducted our audit of compliance in accordance with auditing standards generally accepted in theUnited States of America; the standards applicable to financial audits contained in Government AuditingStandards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits ofStates. Local Governments and Non-Profit Organizations. Those standards and OMB Circular A-133 requirethat we plan and perform the audit to obtain reasonable assurance about whether noncompliance with thetypes of compliance requirements referred to above that could have a direct and material effect on a majorfederal program occurred, An audit includes examining, on a test basis, evidence about EvangelineCommunity Action Agency, Inc.'s compliance with those requirements and performing such other proceduresas we considered necessary in the circumstances. We believe that our audit provides a reasonable basis forour opinion. Our audit does not provide a legal determination of Evangeline Community Action Agency,Inc.'s compliance with those requirements.

In our opinion, Evangeline Community Action Agency, Inc. complied, in all material respects, withthe requirements referred to above that are applicable to its major federal programs for the year ended January31,2005.

183 South Beadle Road 113 East Bridge Street 133 East Waddil 1234 David Drive, Suite 105 408 W. Cotton Street 332 W. Sixth Avenue 200 South Mam StreetLafayette LA 70508 Bresux Bridge. LA 70517 Marksville, LA 71351 Morgan City, LA 703SO Ville Platte, LA 70586 Oberlm, LA 706S5 Abbeville, LA 70510Phone (337) 232-4141 Phone (337) 332-4020 Phone (318) 253-9252 Phone (985) 384-2020 Phone(337) J63-2792 Phone (337) 639-4737 Phone{337) 893-7944Fax (337) 232-8660 Fax (337) 332-2867 Fax (318) 253-8681 Fax (985) 384-3020 Fax (337) 363-3049 Fax (337) 639-4568 Fax (337) 893-7946

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Internal Control Over Compliance

The management of Evangeline Community Action Agency, Inc. is responsible for establishing andmaintaining effective internal control over compliance with the requirements of laws, regulations, contractsand grants applicable to federal programs. In planning and performing our audit, we considered theEvangeline Community Action Agency, Inc.'s internal control over compliance with requirements that couldhave a direct and material effect on a major federal program in order to determine our auditing procedures forthe purpose of expressing our opinion on compliance and to test and report on the internal control overcompliance in accordance with OMB Circular A-133.

Our consideration of the internal control over compliance would not necessarily disclose all matters inthe internal control that might be material weaknesses. A material weakness is a reportable condition in whichthe design or operation of one or more of the internal control components does not reduce to a relatively lowlevel the risk that noncompliance with applicable requirements of laws, regulations, contracts and grantscaused by error or fraud that would be material in relation to a major federal program being audited mayoccur and not be detected within a timely period by employees in the normal course of performing theirassigned functions. We noted no matters involving the internal control over compliance and its operation thatwe consider to be material weaknesses.

This report is intended solely for the information of the Board of Directors, management, and federalawarding agencies and pass-through entities and is not intended to be and should not be used by anyone otherthan these specified parties. However, this report is a matter of public record and its distribution is not limited.

Holder, Champagne, Slaven & Company, LLCCertified Public Accountants

Ville Platte, LouisianaJuly 14,2005

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Notes to Schedule of Expenditures of Federal AwardsYear Ended January 31, 2005

(1) Basis of Presentation

The accompanying schedule of expenditures of federal awards includes the federal grantactivity of Evangeline Community Action Agency, Inc. and is presented on the accrual basis ofaccounting. The information in this schedule is presented in accordance with the requirements ofOMB Circular A-133, "Audits of States, Local Governments and Non-Profit Organizations."Therefore, some amounts presented in this schedule may differ from amounts presented in, or used inthe preparation of, the basic financial statements.

(2) Headstart

In accordance with terms of the grant, the organization has expended matching contributionstotaling $451,114 during the year ended January 31,2005.

23


Schedule of Expenditures of Federal AwardsYear Ended January 31, 2005

Federal Grantor/Pass ThroughGrantor/Program Title

U.S. Department of Agriculture:Passed through State Dept. of

Education, Child and Adult Care Food Program

U.S. Department of Education:Passed through State Dept. of

Education, Migrant Education

U.S. Department of Health and Human Services:Direct Program -

Head start

Passed through State Dept. ofEmployment and Training -

Community Services Block Grant

Passed through State Dept. ofSocial Services - LIHEAP

Total Department of Health and Human Services

Total

CFDA Revenue FederalNumber Recognized Expenditures

10.558 $ 139,086 $ 136,277

84.011A

93.600

93.569

93.568

2,516

1,671,762

142,215

10,884

1,824,861

8,960

1,671,762

142,215

10.905

1,824,882

$1,966,463 $1,970,119

24


Schedule of Findings and Questioned CostsYear Ended January 31,2005

Part I. Summary of Auditor's Results:

1. An unqualified report was issued on the financial statements.

2. No reportable conditions relating to the audit of the financial statements were reported.

3. There were no instances of noncompliance reported which were material to the financialstatements, as required to be reported in accordance with Government Auditing Standards.

4. No reportable conditions in internal control over the major program were disclosed by theaudit of the financial statements.

5. An unqualified opinion was issued on compliance for the major programs.

6. The audit disclosed no audit findings required to be reported under Section 510(a) ofCircular A-133.

7. The major program was the U.S. Department of Health and Human Resources HeadstartProgram, CFDANo. 93.600.

8. The dollar threshold used to distinguish between Type A and Type B programs, asdescribed in Section 520(b) of Circular A-133 was $300,000.

9. The auditee did qualify as a low-risk auditee under Section 530 of Circular A-133.

Part II. Findings which are required to be reported in accordance with generally accepted governmentalauditing standards:

A. Compliance Findings -

There were no compliance findings to be reported in accordance with generallyaccepted Governmental Auditing Standards.

B. Internal Control Findings -

There were no internal control findings to be reported in accordance with generallyaccepted Governmental Auditing Standards.

25


Schedule of Findings and Questioned Costs (Continued)Year Ended January 31,2005

Part III. Findings and questioned costs for Federal awards which include audit findings as defined in Section510(a) of Circular A-133:

There are no findings that are required to be reported under the above guidance.

26

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Evangeline Community Action, Inc. - Louisianaapp1.lla.la.gov/PublicReports.nsf/66EA1CEF5C0CEB...Evangeline Community Action Agency, Inc. Ville Platte, Louisiana We have audited the