By Theresa Opeka
Carolina Journal
North Carolina State Auditor Dave Boliek continues to keep a close eye on the state’s finances, as evidenced by his questions and report from his department at Tuesday’s Council of State meeting.
During the review of the minutes and expenditures, he questioned the North Carolina Division of Parks and Recreation’s $3.25 million purchase of land from The Nature Conservancy (TNC) to expand Weymouth Woods Sandhills Nature Preserve in southern Moore County. As a result, the park’s acreage will increase by one-third.
TNC just purchased the land on March 25 for $4 million, so the state is getting the property below cost.
The area also borders Fort Bragg.
Brian Strong, Director of North Carolina State Parks, told Boliek that part of the funding, $1.7 million, is from the US Army via the Readiness and Environmental Protection Integration (REPI) program for protection or a buffer around military bases ensuring that there isn’t development that will impact them. The remainder, $1.55 million, comes from the North Carolina Land and Water Conservation Fund.
The piece of property has been in the state’s long-term acquisition plan for a number of reasons, including protecting longleaf pine, which has dwindled significantly and will provide additional recreation for hiking, horseback riding, and other outdoor activities.
It will also allow the US Army to use additional lands for military purposes where they wouldn’t have to worry about violating any federal laws protecting endangered wildlife like the Red-Cockaded Woodpecker.
During his monthly report, Boliek said that his office had completed more than 20 full audits since the beginning of the year and his term, including North Carolina Central University, and several more are in process, including continuing a “deep dive” into the Division of Motor Vehicles (DMV) numerous operational issues that are ongoing.
Current DMV Commissioner Wayne Goodwin announced in February that he would step down once his term ends this year.
Regarding the NCDMV, Democrat Gov. Josh Stein told reporters at the meeting that more offices were opening up at 7 am, which will hopefully address the backlog of people waiting for an appointment.
He said that while the agency needs to operate more efficiently and fill vacancies, current workers also need to be paid more.
In other matters, Boliek said his team continues to track money spent, including Helene recovery efforts on the Helene Recovery Dashboard, which is updated weekly on his office’s website.
The data is also more detailed.
“I’ll give you an example,” he said. “Originally, we had identified dollars in one section simply as nongovernment organization-other grants which really has no meaning, and that is now classified specifically as money that goes directly to assist childcare centers, and so that’s the type of detail that we’re wanting to do in our public-facing efforts in the auditor’s office.”
A third party is also evaluating the auditor’s office. It is examining the overall organization and structure of the office, the current team, future needs for key personnel, technology currently in use, and new technology that can help it be more efficient and effective.
The office is also in the process of developing a strategic plan that will serve the state.
Boliek said his office will closely examine government spending, including the structure of government contracts and the state’s relationship with vendors across North Carolina, in the coming weeks and months.
“Private industry can and does lend tremendous benefits to the operation of state government in our state,” he told Council members. “We can’t serve as members of the Council of State and North Carolinians without private industry and the partnerships that we develop, and have developed over the years and continue to develop across a broad spectrum of industries. We’ve contracted with a firm, for example, to lead our own look under the hood so we can get an objective third-party assessment so we can become more efficient and thus provide a solid return on investment to taxpayers for our work.”
Boliek said tough questions should be asked about how much the state can spend on certain services with added context, noting a contract to quote managerial advisory services to the Department of Environmental Quality (NCDEQ). It deals with assistance with two specific rebate programs that are part of the Inflation Reduction Act of 2022.
North Carolina received $209 million designated to give a maximum per dwelling rebate of up to $14,000 for electrical appliances like hot water heaters and $16,000 for whole home upgrades based on income and a needs assessment.
The program is only available in two counties, and the contract divides the state into seven different phases.
Boliek said the state is slated to spend $22.5 million on marketing websites and qualifying contractors in the cities. Even though it is only about 11% of the money allocated to the state, he said the $22.5 million is a lot of money and doesn’t include additional internal resources that NCDEQ will put forward.
“Interestingly enough, the federal guidelines would actually have allowed North Carolina to use more than $41 million for that purpose, and that’s a figure of up to 20%, which quite frankly seems to be a number simply plucked from thin air,” he said. “The point I want to make is that we should look deeper than just a percentage of our contract attached to administration programs. We as a state should contextualize our spending.”
He said the $22.5 million, for example, is nearly his office’s entire budget and more than the direct appropriation it receives from the General Assembly on an annual basis.
Theresa Opeka is the Executive Branch reporter for the Carolina Journal.