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Chowan County budget needs scrutiny, not secrecy

Posted to: Editorials Opinion North Carolina




About the only thing missing in Chowan County's fiscal crisis is a slide whistle - the silly sound effect used in cartoons to signal a pratfall. Then again, it's unlikely taxpayers need the warning.

Among the latest bumbling tumbles: The North Carolina Attorney General's Office asked the county to remove from its Web site an 11-page document from the Office of the State Auditor about Chowan's ongoing budget fiasco.

The county complied with the request, explaining on its Web site that the document was "a preliminary draft," not a report, and that it was "confidential, a work product and not intended for public release."

So much for government in the sunshine.

Residents had been waiting for nearly a year for the report - sorry, the "preliminary-draft-not-a-report" - delving into what led to an emergency property tax increase of 9 cents last year and a 3.5-cent increase this year, plus cuts in services and personnel.

The document includes a number of recommendations but does not present evidence of criminal wrongdoing. It also states clearly that the findings are based on a preliminary investigation and that the auditor's office doesn't have authority to conduct a full inquiry.

The office concluded, among other things, that the County Commission "did not exercise due vigilance of fiscal matters" during a 10-year period when almost $29 million was transferred from reserve funds.

Retired County Manager Cliff Cope-land contends the commission was aware of the transfers, but the commissioners - some of whom admitted they hadn't read budgets or audits - say they thought the reserves were intact.

Meanwhile, officials at Capstrat, a Raleigh-based lobbying firm, question the preliminary-draft-not-a-report's comments regarding $260,000 they received from the county over a four-year-period. They told The Pilot's Connie Sage that the auditor's office never contacted them for information.

The auditor's office concluded that Copeland didn't obtain approval to hire the firm to lobby for federal funds for two projects. Noting the lack of detail in invoices, the agency suggested the county "continue to ascertain specific benefits received from its association with the lobbyist" and pursue recovery of funds if no benefits can be found.

Capstrat officials are defending their work. CEO Ken Eudy said that Copeland told the firm "not to send extensive reports" and that other officials were aware of the firm's efforts.

Last week, the commission suspended funding for the economic development agency, a joint venture with the town of Edenton, that was involved in the lobbying contracts.

Commissioner Kenny Goodwin said it's unclear who did what in the dispute: "It's not our job to decide who's telling the truth and who's not."

But someone does need to figure it out. The preliminary-draft-not-a-report isn't a sufficient examination of what went wrong in Chowan. The U.S. Attorney's Office is now reviewing the matter; either state or federal authorities should provide taxpayers with a more detailed look at the county's financial management.

And the results must be public. Chowan County is, after all, Exhibit A for what happens when not enough eyes are watching the flow of tax dollars.



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must

must admit, this editorial was nothing that great. just putting out there something that has been written 100 times by Sage. no doubt this doesn't need secrecy. that is what got chowan county in trouble with Copeland. His secret withdrawals and secret contracts. time for copeland to face questions under oath and answer for the mess and pain he has caused!!!!!

Legal Reason

The document was removed because their is an ongoing criminal investigation. It can be sealed for up to 3 years because of North Carolina General Statue ยง 132-1.1. The truth will all come out, eventually, as soon as it has been determined whether there needs to be criminal charges.

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