North Carolina towns warned over critical financial problems

The North Carolina Local Government Commission (LGC) has issued formal notices and warnings to the towns of Ronda and Rowland, demanding corrective action plans within 30 days to address severe financial mismanagement.

Ronda, located in Wilkes County, has been on the state’s Unit Assistance List since 2015. The town faces issues including late audits, budget violations, problems with federal payroll tax payments, and persistent deficits in its Water and Sewer Fund.

Rowland, in Robeson County, has been on the assistance list since 2020. Its financial struggles include the use of restricted grant money for current operations, late audits, and ongoing losses in its Water and Sewer Fund.

State Treasurer Brad Briner, chair of the commission, warned that the situation is critical, stating, “We are tasked with making sure that no municipalities in North Carolina go bankrupt, and we are perilously close here.” Briner noted that if satisfactory plans are not provided, the commission may consider the dissolution of the municipalities.