• Wed. Feb 11th, 2026

How Whiteville plans to address financial issues

How Whiteville plans to address financial issues

WHITEVILLE, N.C. (WECT) – Whiteville officials are outlining plans to address financial issues highlighted in a recent audit that found a $700,000 budget deficit and a nearly $2 million reporting error.

In a sit-down with WECT Investigates, Interim City Manager Colburn Brown, who also serves as the city’s finance director, said Whiteville’s finances are under control.

“We don’t have any concerns from our end. The financials are solid. We feel good about where we’re going,” Brown said.

The audit found the city brought in about $6.2 million in revenue but spent around $7 million last year, with the fund balance dropping from $3.9 million to $3.6 million.

Brown, though, said the auditors break down revenues and expenses differently than his finance team does. On the city’s end, the deficit last year was only $17,000, he said. He attributed that to the auditors excluding certain revenues from their report, but including the full costs of items the city borrowed money for, like cars and trucks.

Now, Brown is creating a 20-point plan to address the financial issues. The goals include cutting city costs, increasing their tax collection rate and being more efficient with tax dollars. Last year, the city took over tax collection from Columbus County, and collected about 97% of property taxes. The goal, Brown said, is 99%, which would add roughly $50,000 to the city’s coffers.

“We have to make sure every dollar, there’s a return on investment,” Brown said.

Last year, Whiteville’s expenses increased with more money going to the police and fire departments, while revenues dropped. Brown said inflation has had a significant impact on the city’s finances, but is confident the changes he’s implementing will help offset that.

“There are opportunities for us to improve,” he said. “I see a bright future for the City of Whiteville.”

The audit noted the $1.9 million reporting error as a material weakness, with Whiteville’s books not reflecting the true value of the city’s wealth.

According to the audit as a result of the error, “The City’s management and other users of the financial statements do not have accurate information for decisions-making and monitoring of the City’s financial position and adherence to laws, regulations, and other requirements…Errors in financial reporting could occur and not be detected.”

That error, Brown said, was tied to the Vineland Station site getting donated to the county. The $1.9 million reflects the value of the property, but Brown said it took weeks to add that asset to the city’s books. By the time they noticed, it was too late to be included in the audit.

“I’m not making excuses, but it happens,” Brown said. “We want to mitigate it, we don’t want it to happen frequently, but occasionally these things happen. And we’re taking all the steps to prevent them.”

Those steps include checking the city’s books earlier and more frequently, Brown said.

Brown said he will provide more details on his 20-point plan at the next city council meeting on Tuesday, Jan. 27. Both Brown and Mayor Terry Mann have said the city does not plan to raise taxes, but Brown said they will have to budget creatively.

link

By admin