Representatives Dan Bishop, Lauren Boebert, Bob Good elected to the Board of the House Freedom Caucus – The Robesonian

November 05, 2021

RED SPRINGS Commissioners here extended the towns sewer line rehabilitation project to more streets and were told of the towns clean audit during a regular meeting Tuesday.

The sewer rehab project is funded by a $1,988,741 grant from the N.C. Department of Environmental Qualitys Division of Water Infrastructure.

The project has been bid out and a construction grant awarded for $1,158,837.50, Town Manager David Ashburn said in a public hearing held at the meeting.

Ashburn said there were remaining funds left to rebuild or replace sewer lines on Malpass Avenue, and Saratoga, Taylor, Oak, Grantham, Haywood, Jackson, McMillan, and Church streets.

No members of the public spoke for or against the action during the public hearing. Commissioners approved adding those streets to the scope of the project.

Resolution concerning Red Springs Rescue Squad

In other matters, commissioners also approved an obligor resolution to execute the contract between the town and Lumbee River Electric Membership Corporation to secure the Red Springs Rescue Squads building and property. The board previously voted to move forward with the loan, but a formal resolution was approved Tuesday.

As part of the resolution to secure the Rescue Squad building and land on West Fourth Avenue, the town must pay $114,734 with a down payment of $15,000. The loan amount of $99,734 includes $5,592 in closing costs and a 1% interest rate over an eight year period. The towns annual payment computes to just under $13,000, Ashburn said.

Town audit results

Commissioners also heard good news concerning the towns 2020-21 fiscal year audit from Lee Grissom, of S. Preston Douglas and Associates.

The town is on the right track internally, Grissom said. The staff did a good job and Im seeing continuous improvement.

The towns general fund increased by $284,000 in the fiscal year ending June 30. The town also has the highest fund balance in the last six years. It also has twice the Local Government Commissions minimum needed in cash reserves.

The towns cash flow was reported at $3.3 million, which also is its highest in six years.

The only area of improvement would be the water fund, Grissom said.

Though the water fund saw benefits of federal and state funding, with about $3.4 million in grant funding passing through, the operating income needs to increase, Grissom said.

The debt-service ratio for the water/sewer fund also was an area of concern.

He encouraged the town to consider reallocating expenses or raising rates.

This is nothing new to the town of Red Springs, he said. This has kind of been the story for the last several fiscal years.

Red Springs has about $20 million in fixed assets and $10 million in long-term debt. Some debt is associated with the water treatment plant project and depreciation of assets.

Forty percent of the debt is related to employee pension, retirement and sick time, Grissom said.

Ashburn said the water treatment plant should be online in the next week and that the town will see cost savings and efficiency by using the new facility. He hopes with the towns work to improve the water system, leaks can be prevented.

The town is collecting just under 95% of property taxes, which is the highest in the last six years. The towns collection rate was 92%-94% from 2016 to 2020. The state average is 98%-99%, Grissom said.

This is something that Robeson County municipalities struggle with, Grissom said.

The town also turned its audit into the LGC in September, before its due date in October, Ashburn said.

Thank you to the Finance department for all the hard work that you do to keep us moving in the right direction, said Mayor Pro Tem Chris Edmonds.

Mayor Edward Henderson said the audit was the one of the best the town has seen. He also said it is the result of hard work, sacrifices and professionals doing a professional job.

Holiday observances

The town offices will be closed for Veterans Day on Nov. 13; Thanksgiving on Nov. 25 and 26; Christmas on Dec. 24, 27 and 28; and New Years Eve on Dec. 31.

A Christmas tree lighting event will take place on Dec. 4 at 6 p.m. at Martin Luther King Jr. Park.

The Red Springs Christmas Celebration on Main Street will take place Dec. 11 from 1 p.m. to 5 p.m. and the Christmas parade will be held at 3 p.m. To participate in the parade, call the Red Springs Chamber of Commerce at 910-843-5441.

The Red Springs and Northern Railroad Foundation is seeking volunteers for a Christmas train ride event, anyone interested in getting involved can contact Tim Parnell at 910-237-1836.

Ashburn said the town is decking the halls early this year because of the amount of decorations it plans to put out. Residents and motorists can expect to see Christmas decorations soon, he said.

My hope is that we can continue to move this town and push it forward, Henderson said.

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Representatives Dan Bishop, Lauren Boebert, Bob Good elected to the Board of the House Freedom Caucus - The Robesonian