Audit: Lake Charles’ net position up by $38M

Published 10:30 am Friday, May 9, 2025

The city of Lake Charles’ net position increased by $38 million during the 2024 fiscal year.

The city’s audit for the fiscal year ending September 2024 was presented to the City Council at the regular meeting on Wednesday. McElroy, Quirk & Burch conducted the audit, which was published by the Louisiana Legislative Auditor at the end of April.

Director of Finance Emily McDaniel called the audit “reflective of the strides the city has made to the economy, infrastructure and quality of life for 2024.”

The city’s net position was $774 million at the end of the fiscal year, with total revenues of $212 million and $174 million in expenditures. At the end of FY 2023, the net position was $736 million.

The general fund — the city’s primary operating account, which has to be maintained at 30 percent of expenditure and operating transfers — had $51.3 million in it at the end of FY24. This was a decrease of $3.8 million, but more than what was expected. She said they estimated the ending balance would be $45 million.

The general fund’s revenues totaled $93.7 million, which “supported $81.3 million in expenditures and $16.2 million of operating and capital transfers.”

While sales tax revenues, which account for about 36 percent of total revenues, did decrease by almost five percent, other streams of revenue — property tax, licenses and permits, service charges, interest — offset some of the decrease, she said.

The capital project fund has reserves of $138.6 million. This fund has $46.7 million in expenditures for capital projects, like the demolition and reconstruction of the Lake Charles Police Department annex investigation buildings and the construction of the Southeast Water Plant.

Jason Guillory with McElroy, Quirk & Burch said they were required to issue one finding as part of the report; the report was not filed within the six-month time frame as state audit law required. The city did receive an extension to submit the report and will face no negative ramifications, he said.

The report was submitted on April 21, three weeks later.