Columbus County responds to state audit, says it agrees with recommendations

Nc Money
State Audit Response (Credit: MGN)

COLUMBUS COUNTY, NC (WWAY) — Columbus County leaders say they are committed to improving financial management and transparency following the release of a performance audit by the North Carolina Office of the State Auditor.

In a statement released Wednesday, the Columbus County Board of Commissioners said it welcomes the audit and agrees with its findings and recommendations, calling the review a “constructive, independent” assessment that will help strengthen the county’s financial practices.

County officials also emphasized that the audit does not conclude Columbus County is in a financial crisis, has a structural deficit, or relied on one-time funding to support recurring operations.

Instead, officials said the audit identified warning indicators that require continued monitoring and improvement. The county has been on the Local Government Commission’s Unit Assistance List since 2020.

According to the county, one of the biggest financial challenges has been a decline in taxable property values, largely due to reduced operations at International Paper, the county’s largest manufacturing employer. Officials said the decrease of about $328 million between the fiscal year 2024 and fiscal year 2026 budgets is the result of economic conditions rather than county mismanagement.

County leaders outlined several steps they are taking in response to the audit, including:

  • Completing and submitting the fiscal year 2025 financial statement audit on time while addressing repeat findings from the previous year’s audit.
  • Developing a plan with timelines to restore the county’s General Fund balance to the Local Government Commission’s recommended 20% benchmark.
  • Increasing budget transparency by providing the Board of Commissioners with regular budget-to-actual reports and clearer explanations of major revenue assumptions.
  • Implementing a formal hiring and succession plan for key financial management positions.
  • Continuing to work with the Local Government Commission through technical assistance, training, and other available resources.

County officials said they remain committed to responsible financial stewardship, transparency, and accountability while continuing to provide essential services, including public safety, human services, and education support.

The county said it will provide regular public updates on its progress implementing the audit’s recommendations and will release additional information once its fiscal year 2025 audited financial statements are complete.

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