During the latest meeting of the North Carolina Local Government Commission, over $1 billion in financing requests from state agencies and local governments were approved. One of the largest requests came from the North Carolina Housing Finance Agency, who was granted approval to issue $750 million in revenue bonds. This funding is intended to increase the supply of affordable housing in the state by purchasing mortgage loans or other mortgage-related obligations of low- and moderate-income homeowners. Additionally, the North Carolina Turnpike Authority received approval to refund Build America Bonds used for the construction of the Monroe Connector toll road.
Approved Projects
– **North Carolina Housing Finance Agency:** The agency was granted approval to issue $750 million in revenue bonds to support affordable housing initiatives in the state.
– **North Carolina Turnpike Authority:** The authority received approval to refund Build America Bonds for the Monroe Connector toll road, aiming to avoid potential future subsidy cuts and reduce debt service payments.
– **Wake County:** Approval was granted to sell $321 million to refinance bonds for school construction and public improvement projects, with significant savings in interest payments.
– **City of Charlotte:** The city was given the green light to sell $137 million of certificates of participation for various government building improvements and equipment purchases.
– **City of Wilmington:** Approval was received to issue $32 million in bonds for multiple capital projects, including street improvements and the construction of a sports complex.
– **Inlivian Housing:** The organization got approval to sell $30 million of conduit revenue bonds to aid in acquiring a multifamily residential rental facility for lower-income residents.
– **Cleveland County Water:** The organization received approval to issue $12 million of USDA bonds for improving weirs to reduce erosion in creek banks.
– **High Point:** Approval was granted to issue $5.4 million in general obligations to extend a road for development purposes.
– **CarolinaEast Health System:** The health system obtained a $45 million unsecured line of credit to manage day-to-day operational expenses following a cyberattack that disrupted its services.
Concerns Raised
During the meeting, State Treasurer Dale Folwell highlighted concerns regarding the fiscal management of municipalities across the state. More than 100 municipalities are at risk of missing the deadline for filing their fiscal year 2023 audits, with some areas having not submitted audits for multiple years. Session Law 2023-59 mandates the LGC to send notices to non-compliant counties and municipalities by April 1, with consequences for those failing to meet the deadline.
While the approvals signify a significant investment in various projects across North Carolina, the concerns raised regarding audit compliance highlight the importance of financial accountability and transparency in government operations. It is essential for state agencies and local governments to ensure timely and accurate financial reporting to maintain public trust and effective financial management.