EAST SPENCER — To say these are troubled times for East Spencer government doesn’t exactly cover the scope of the town’s recent problems.
It’s a town operating in the red without a budget and without an audit. Decimated by desertions, its police department is down to two full-time officers and no police chief.
The town owes the city of Salisbury roughly $200,000 on an outstanding water bill.
Citizens have held protests outside Town Hall about high water bills, while town officials acknowledged in August that contractors for the town had been incorrectly reading water meters for up to a year.
Business Partners USA, hired by the town in February 2000 to handle most of the town’s operations, has severed its ties with the town, saying it’s still owed money for its services. Over the past 15 months, state officials say the town paid Business Partners more than $450,000, though contracts and budget amendments don’t back up that large amount.
Frustrated with their inability to obtain town financial records, a group of citizens organized, hired an attorney, held meetings and put up a slate of four candidates for this year’s Nov. 6 election.
Two aldermen resigned within the past year. Donald Caldwell gave up his seat over concerns about the town’s relationship with Business Partners USA. Chris Sharpe resigned in the wake of news about East Spencer’s outstanding debt to Salisbury for water.
They were not replaced.
But the worst news came Sept. 21 when the Local Government Commission gave the town until Oct. 19 to meet a laundry list of requests or face having the state assume financial control of East Spencer.
The Local Government Commission said the town violated provisions of at least 14 state statutes in its financial practices over the past 15 months. It ordered East Spencer officials to approve a 2001-2002 budget, finish an audit for the 1999-2000 fiscal year, submit a plan for managing its water-sewer utility, appoint an experienced finance officer and install an adequate accounting system and internal controls.
Since Sept. 21, Mayor Kenneth Fox, with some help from his board members, has been working behind the scenes, meeting with Local Government Commission and Salisbury officials, Rowan Sheriff’s Department representatives, auditors and other agencies.
Fox hopes that if the town can show enough progress in meeting the state’s demands before Oct. 19, East Spencer might be given a grace period.
While completing a full audit will be difficult, Fox says, he believes the town can present a balanced budget, maintain a small police force with the county’s help and rely on Salisbury to assist in managing the utility.
“I think our response to the state is going to be strong,” Fox says.
In recent months, the town has brought in a team of outside consultants, including Benchmark Inc., Cavanaugh & Associates and Robert Segal.
Benchmark has provided a budget officer. Cavanaugh identified five major water leaks in town pipes, which the town has repaired, and Segal gave the town what Fox believes is the truest picture of East Spencer’s ailing water-sewer system and what has to take place to make it solvent again.
But many candidates for the East Spencer town board assume — and actually look forward to — the state’s stepping in to right East Spencer’s financial ship.
“I think it’s very important that the state comes in and assists in getting the records together and bringing the town back to self-reliance,” says mayoral candidate and retired nurse Erma Jefferies.
Ada Partee Susong, a first-time candidate for the Board of Aldermen, acknowledges that getting a clear picture of where East Spencer stands financially may be difficult without the state’s help.
“I would like to start with a clean slate, if I do come in,” she says.
The Nov. 6 election pits Fox against Jefferies for the mayor’s job, which is a two-year term.
The election also offers seven candidates vying for three available seats on the East Spencer Board of Aldermen. Aldermen serve four-year terms.
Two of the available seats were held by Caldwell and Sharpe, who are not seeking re-election. Incumbent Jerry Miller is running for another term.
The challengers include Pratibha Davis, Phronice Johnson, Titus King Sr., John L. Rustin Sr., Robert Smith and Susong.
Many candidates say their first priority would be to pay Salisbury for East Spencer’s outstanding water bill. The candidates also speak of a need for the town to unite, to keep citizens informed and be realists about what’s ahead.
“It’s probably going to hurt us for awhile,” Smith says.
Most of the candidates believe the current board should be held accountable.
“After seeing what this administration has done — it seems like they’ve come in and raped the town,” says Johnson, a student loans collection manager at Winston-Salem State University.
King says citizens need to have more confidence in the town board. He promotes issuing a monthly financial report to residents “so they know where their money is going.”
Other candidates, such as Davis, believe the town should quit being so preoccupied with what has happened in the past and create a vision for the future — something that will bring young people and families into East Spencer.
Rustin, a former mayor and alderman, says whatever happens a new board must be given time straighten things out.
Here’s a capsule look at some of the views of each candidate:
Kenneth Fox
As early as 1998, Fox says, he urged his town board colleagues to consider consolidation of the town’s water-sewer utility with Salisbury, “and there was a reluctance to move on it.”
Fox says “the economy of scale makes sense” for Salisbury to manage or take over the system.
“I believe there is an interest on their part to do it — they’re in the water business,” Fox says.
Fox also mentions his faith in John Witherspoon as budget officer. “He is highly respected by state officials, who have every confidence in his ability to develop an accounting system that will satisfy the state’s requirements,” Fox says.
“In addition, he is providing training and guidance for our staff.”
Fox says he is working with the state, a private corporation and a network of professionals to implement a recovery program.
“Funding will be provided at no cost to the town to help offset budget shortfalls for the remainder of the fiscal year,” Fox says, adding that a program also is being developed to crete new revenue sources.
“Sometimes community leaders are afraid to face what they believe are negative issues or people in the community,” Fox says. “These people get left out of the decision-making process, due to fear.”
Fox says he is not afraid to challenge people to make the town better.
“It’s getting better already,” he says. “You will soon see.”
Erma Jefferies
Jefferies says she became heavily interested in the town’s affairs earlier this year when she and other citizens were denied access to public records involving the town’s revenues and expenses.
“When you don’t show your hand, you’re hiding something,” says Jefferies, who now heads Citizens on the Move for East Spencer. “I just felt like we needed to know what was going on.”
Jefferies blames poor management and incompetence for the failure to maintain adequate records at Town Hall, “and it has fallen on the present administration.”
Jefferies fears the town will lose its police department because of budget concerns and assumes those duties will fall to the Rowan Sheriff’s Department. While she hopes the town will be able to have its own police department again in the future, Jefferies says the Sheriff’s Department might actually improve the law enforcement efforts against drug dealers and prostitutes.
As mayor, Jefferies says she would hope to provide citizens with an open forum and a chance to voice their concerns and be part of the decision-making process. She says it’s important to answer citizen complaints in a timely manner, and in writing.
“The reason I feel I am the candidate goes beyond education and experience,” she says. “It’s the fact that I care. I have an investment in the citizens of our town.”
Pratibha Davis
Davis, the youngest candidate at 27, is partner in an administrative services company that has Business Partners USA as a client and works out of the new Rowan Entrepreneurial Center.
“That’s been a tremendous help to East Spencer,” Davis says of the incubator business center, established by The Empowerment Network community development corporation with the help of Business Partners.
“It gives citizens a chance to see something grow and prosper.”
Davis speaks of the need for increasing the job market in East Spencer. The Empowerment Network’s housing initiative and the business center should help to bring in new citizens, she predicts.
“We just have to work together as a town to get through this difficult time,” Davis says. She adds that younger people must be motivated to help and participate in East Spencer government.
Phronice Johnson
Johnson believes the town started on the right path with the report made in August by Segal, who outlined the mistakes in meter reading, the location of certain leaks, the lack of needed rate hikes and truer estimates of the town’s monthly water usage.
When things are clearer, the town board should call a special meeting for citizens and lay out the utility and budget problems for them, Johnson says.
“Everyone must come on board to say we’re in this together,” she adds.
Johnson has concerns about the number of rundown and vacant houses and overgrown lots in East Spencer. She pushes for the hiring of a town inspector who knows building codes.
Johnson says one of the reasons she decided to run for alderman was all the “outside comments” being made about the town, and she wanted to see things for herself. She adds that she knows what it means to collect money and run a business.
“I want to see the people work together,” Johnson says. “Right now, I see so much division. My main concern is for the city and the people in the city.”
Titus King Sr.
King has run several times for the town board and, as a private citizen, has observed and questioned East Spencer government as much as anyone.
“This stuff has been going on for years, but not at the stage it is now,” King says. “The rate the town has declined in the last two years is troubling.”
King places top priority on making the town’s water-sewer utility an enterprise fund again and finding competent people to manage East Spencer’s finances on a day-to-day basis.
“I will promise them (citizens) that one thing we will get a handle on is this water,” King says.
King also emphasizes “letting folks know what’s going on and keeping them aware.”
King pushes for a town board that will take responsibility and hold itself accountable.
Jerry Miller
Miller and Fox ran as part of a team in 1997 when each man was first elected to the board. Miller has remained a strong supporter of the mayor throughout the last four years.
In 1998, Miller says, Fox recommended that the town bring in professional help to oversee its finances. In the same year, Miller adds, Fox suggested that the town investigate Salisbury’s taking over of the water-sewer utility.
The board failed to follow through on either recommendation, though now that seems to be the course it’s headed on, Miller says.
Miller speaks of continuing economic development efforts and following through on a comprehensive plan that the town board shared with citizens in the spring.
The growth will have to come in the form of new businesses and homes, according to Miller.
John L. Rustin Sr.
Rustin narrowly lost the election for mayor to Fox in 1999, but he still attends most town board meetings and keeps copious notes of what’s going on.
“I am a dedicated person to East Spencer,” says Rustin, also a retired police chief for the town. “All my adult life, I have given my time and effort to upgrade East Spencer.”
If elected, Rustin has pledged to work without a salary. He would only ask the town to pay for any travel expenses he might incur on its behalf, he says.
Rustin likes the idea of appointing a task force of citizens to set down a recovery plan for East Spencer’s water-sewer utility. He also believes state and federal grants and contributions from private Rowan County foundations should be available to address the utility’s infrastructure.
“East Spencer is a part of Rowan County, and we are in need,” Rustin says. “In other words, East Spencer helped to make these foundations.”
Robert A. Smith
Smith says citizens have no confidence in the current town board and express a frustration that things will never change.
The next administration will have to find a way to rebuild that confidence, bring trust and honesty and make town government open to the people, Smith says.
“The board going in there at this time is going to have a lot of proving to do,” Smith says.
Smith says he would bring dedication and commitment to the board. He describes himself as as good listener and as someone sympathetic to people’s needs.
“I’m not big on bragging on myself, but I’m a people person,” he says.
Ada P. Susong
Susong has been a member of the East Spencer Planning Board since 1988 and has lived in East Spencer for almost 30 years.
East Spencer’s future may be connected with Long Street as much as Interstate 85, according to Susong. She envisions converting many of the houses along Long Street into businesses to help the town’s tax base.
“That would be good for East Spencer to have more businesses right there on Long Street, because that is a heavily traveled street,” Susong explains. “We have to have revenue coming into the town to make any improvements.”
Susong wants the town to provide better customer service and bill review practices for water-sewer customers.
She believes the town needs to provide more recreational opportunities and a drug rehabilitation facility. Susong also would like to increase the police force and promote citizen participation in community policing programs.
Contact Mark Wineka at 704-797-4263, or e-mail him at mwineka@salisburypost.com
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