THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Thursday, August 18, 1994 TAG: 9408180548
SECTION: LOCAL PAGE: B1 EDITION: NORTH CAROLINA
SOURCE: BY MASON PETERS, STAFF WRITER
DATELINE: PLYMOUTH LENGTH: Medium: 80 lines
In a few days the Northeastern N.C. Economic Development Commission will get $1.6-million from the state for area pump-priming, and an official of Elizabeth City State University offered Wednesday to handle all the money and write the checks.
``The commission could contract with ECSU to administer the funds,'' wrote Roger A. McLean, university vice chancellor for financial affairs. Also, said McLean, ``we propose to provide accounting and reporting service for $20,000.''
The surprise offer was quickly rejected by a majority vote at a meeting of the economic group in Plymouth.
One commission member who didn't vote was Jimmy R. Jenkins, chancellor of ECSU, who is also vice-chairman of the economic development organization. Jenkins wasn't at the commission meeting.
The ECSU financial offer came when the group met to fulfill the legal requirements necessary before the state can turn over the operating money for 1994-95 as required by a special act of the recently adjourned General Assembly.
The legislators at the same time changed the status of Bunny Sanders, director of the tourist branch of the Economic Commission who had operated independently as a special appointee of Gov. James B. Hunt Jr. The General Assembly decided that the tourist director would henceforth answer to the full commission and would no longer be named by the governor.
Sanders is the daughter of E.V. Wilkins, mayor of Roper, a Democratic leader in the northeast and chairman of the board of ECSU, a predominantly black university within the UNC system.
The change in Sanders' position was initiated several weeks ago when a majority of the commission voted along racial lines to ask the legislature to make Sanders answerable to the commission rather than the governor.
Andrew Allen, chairman of the economic group and a Washington County commissioner, explained Wednesday that the N.C. Department of Commerce could not turn over the money and check-writing responsibility to the commission until legal counsel and an accounting firm were hired to set up the books to meet state regulations. The Commerce Department has been acting as the commission's temporary paymaster.
The funds include ``about $400,000'' left over from $600,000 in start-up funds appropriated when the legislature created the commission in 1993, and $1.25 million authorized to operate the commission through 1995, Allen said.
The group quickly agreed to appoint state Rep. William T. Culpepper III, an Edenton lawyer, to be counsel to the commission.
When Allen moved to name an accountant to set up the books and handle the payroll and disbursements, Sidward M. Boyce Jr., a vice president of the Wachovia Bank in Elizabeth City, began reading McLean's Aug. 17 letter.
The commission had already agreed ``for the time being'' to put the $1.6-million in the Wachovia Bank.
``ECSU welcomes the opportunity to manage and account for funds to be received and expended . . .'' said McLean's letter. ``The hiring and management of personnel will be subject to state personnel rules and regulations . . . direct supervision could, per an agreement between ECSU and the N.E. N.C. Economic Development Commission, remain with the commission.''
The ECSU letter specified that the university would manage both the funds for the full commission as well as the money needed by the tourist division.
``The (ECSU) office of business and finance can provide all the necessary services required ... to include use of motor fleet vehicles, human resources, purchasing assistance, fixed assets accounting, monthly statements, payroll management and check writing.''
After the proposal was rejected, the commission by majority vote decided to hire J.P. Timberlake III, head of an an Edenton accounting firm, to handle the finances.
Timberlake said he could set up the necessary services, payrolls and bonding by the Sept. 1 deadline for the fund transfer.
The Commission also decided to give $5,000 in pump-priming funds to each of the 16 counties in the group's northeastern operating area.
The $80,000 would represent one of the first financial allotments - other than housekeeping costs - that the commission has made since it started work nearly a year ago. by CNB