SPRING LAKE — Nearly three years after the Local Government Commission took over the town of Spring Lake’s finances, the town is ready to move forward without the LGC’s control, Spring Lake Mayor Kia Anthony said last week.
The Local Government Commission monitors the finances of 1,100 local governments and agencies in North Carolina. All government agencies are required to seek the commission’s permission before borrowing money, according to its website.
The commission took control of Spring Lake’s finances in October 2021 after the town faced a $1.8 million deficit but continued to spend money, the LGC’s 2021 resolution on the matter stated.
In March 2022, State Auditor Beth Wood, who is part of the LGC, released a report on an investigation by her office that found evidence that Spring Lake’s former finance director, Gay Tucker, used town funds for personal use.
Tucker, who was removed from the position in March 2021, was sentenced to four years in federal prison in December 2022 for embezzling more than $560,000 from the town.
In mid-July, the LGC voted to release Spring Lake’s finances from its constant oversight.
In a July 31 statement to The Fayetteville Observer, State Treasurer Dale Folwell, who is part of the LGC, said that the LGC had fulfilled its “statutory duty to the town and taxpayers,” by helping to “keep Spring Lake from drowning,” due to its financial past.
Folwell said that moving forward, “Spring Lake must continue to fulfill all of the requirements of the Local Government Budget and Fiscal Control Act,” which “were in place even while the Local Government Commission was in financial control.”
“If Spring Lake drowns again because of cost overruns, lack of transparency or embezzlement, it should lose its charter,” he said.
Moving Spring Lake forward
During an Aug. 6 interview, Spring Lake Mayor Kia Anthony said town officials learned the LGC released Spring from the state agency’s control a few hours before the LGC’s July meeting
“I know they’ve been working with us a few years and took over before I got into office,” Anthony said. “It’s been a long journey for them and us. There’s a culture change in Spring Lake that I think has led to the LGC returning control. This is exciting news.”
Anthony won her first term as mayor in 2021 and was sworn in two months after the LGC took control.
Anthony said that the town’s administration has changed since the LGC came in, with new town manager John Rorie; interim police chief Errol Jarman; and new finance director James Overton.
“All of those were key hires, especially with our finance director and manager, and it was a critical step with us finally getting the LGC out of our hair,” she said. “We had been working pretty hard. Since Mr. Rorie came on, we were able to finish a number of financial policy updates and meet fiscal accountability requirements. We were able to adopt and pass a balanced budget, and we are in the process of getting fully caught up on our audits.”
The town also received a $750,000 stormwater infrastructure grant and learned last week it received a grant to help mitigate flooding, she said.
Aside from the previously LGC-approved projects, Anthony said there are no other upcoming large projects.
“We want to make sure we have incremental, sustainable growth, while we’re also still in the process of stabilizing our finances,” she said. “We’re not jumping into any major projects right now, because we want to make sure we have a firm and solid grip on our policies and practices that we’ve been implementing over the past few years.”
Anthony said that she, the town’s administration and the Spring Lake Board of Commissioners are focused on moving the town forward for the betterment of residents and are “always open to working” with the local community.
“What sustains a community is the partnerships. We welcome the business community, religious community and nonprofits to come in and talk to us and tell us what they have to offer our town and what we can do to assist them.
“We’re all for working with those who care about Spring Lake. One thing we push at Town Hall with our employees is, ‘You have to want to be here. You have to want to do more and you have to want to get better.’ We respect our citizens, community and those who want to be with us and work with us.”
Staff writer Rachael Riley can be reached at rriley@fayobserver.com or 910-486-3528.
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