North Carolina State Audit Finds Financial Weaknesses in Columbus County

The North Carolina Office of the State Auditor released a performance audit identifying significant financial management concerns in Columbus County. The report found that the county filed its Fiscal Year 2024 audit 78 days late and had not yet completed its Fiscal Year 2025 audit by July 2026. Additionally, auditors flagged unresolved material weaknesses in internal controls.

The county's General Fund balance declined to 18.96% of expenditures in 2024, falling below the 20% benchmark set by the North Carolina Local Government Commission. This financial cushion was further strained by an estimated $2.64 million loss in property tax revenues, attributed partly to the October 2023 shutdown of a pulp machine at Hammermill Paper Company.

Government of Columbus County officials agreed with the findings and recommendations. While the county stated the report does not conclude they are in a financial crisis, they committed to rebuilding the fund balance and improving the timeliness of future audits to ensure better financial stewardship.