SPRING LAKE, N.C. – All three candidates for mayor said the state's takeover of the town's finances is a chance to rebuild.
What You Need to Know
- North Carolina's Local Government Commission took over the town of Spring Lake's finances on Oct. 5
- Spring Lake is by far the largest town to date to have its finances taken over by the state
- The town is more than $1.2 million in debt
- Spring Lake's financial situation already led to the shutdown of its public transit system last week
Jackie Lee Jackson, Fredericka Sutherland and Kia Anthony all are running to succeed Spring Lake Mayor Larry Dobbins, who is not seeking another term. Whichever among them wins next week's election will face a situation few incoming mayors ever have to contend with: state control of their town's finances.
On Oct. 5, the Local Government Commission took control of Spring Lake's finances, citing years of mismanagement and a budget deficit of around $1.2 million. State Treasurer Dale Folwell's office said besides the deficit, the town has outstanding debt of at least $6.7 million. Folwell's office said this is by far the largest takeover in state history. Spring Lake is home to around 12,000 people. The second-largest town currently under the LGC's control, Robersonville, has a population of about 1,300.
Jackson, a member of the town's board of aldermen, said she was initially skeptical of the takeover, but now sees it as a chance to undo many of the town's mistakes, some of which she said she feels partly responsible for. She said the key now is to improve communications between board members and the LGC and to hire a permanent town manager. Jackson said Spring Lake has gone for too long with interim personnel in too many key positions.
Jackie Lee Jackson, left, said she would prioritize hiring a permanent town manager if elected.
“When you have a lot of interim going on in a place that's trying to manage to keep things going, you're going to have a lot of temporary decisions,” she said.
Fellow board member Sutherland said she has been sounding the alarm about the town's finances for at least the last two years. She said many of Spring Lake's woes go back to staff not following proper procedures for dealing with expenses. Sutherland said city leaders will need to work closely with the LGC and the state auditor's office to make sure any recommendations are implemented.
“It's going to take us 6-7 years to build our fund balance back up,” she said. “We can't just go in there for the title, we have to go in to be a servant.”
Fredericka Sutherland said she would work to ensure town staff followed all budgetary procedures laid out by the state.
Anthony, the only candidate who is not currently an officeholder, said she wasn't surprised by the LGC's actions. Since at least some of the town's leaders after next week's election will be new (the mayor pro tem is also not running and both Jackson and Sutherland are vacating their seats to run for mayor), she said now is the perfect time for the LGC to come in and retrain officials on proper budgeting procedures. She said the situation in Spring Lake underscores the importance of voting this time around.
“It's your opportunity to do what you can to make Spring Lake better,” she said. “It's time to move Spring Lake forward.”
Kia Anthony, right, said she would prioritize working closely with the LGC and attacting new businesses to town.
Spring Lake is one of five towns where the LGC has taken financial control. The others are Robersonville, Pikeville, Eureka and Kingstown. The LGC also has had control of the Cliffside Sanitary District for two years.