Audit: NC needs better oversight of millions in grant money - WSPA.com

Audit: NC needs better oversight of millions in grant money

Posted: Updated:
RALEIGH, N.C. -

A new audit reveals that North Carolina's Commerce Department gave out millions to companies who promised new jobs but didn't quite follow up.

In the report released Monday, State Auditor Beth Wood highlights grants issued under the department's Job Development Investment Grant program in 2010.

Since the program's inception in 2003, it has awarded 145 grants, totaling more than $600 million.

The award recipients for the audited period were expected to create about 5,800 new jobs and save around 6,800 others statewide. Under the Perdue administration, North Carolina paid $20 million in grants and took those companies at their word that they were meeting their commitments.

The audit points out that the Commerce Department didn't do its own audits or site visits to independently verify.

Some local companies received part of that grant money, including Novo Nordisk Pharmaceuticals and Siemens Energy. Both saved their number of jobs, but failed to create all the new ones and reported no money in investments.

"The audit is strong. It does show room for improvement, there's no question about that," Commerce Secretary Sharon Decker said Monday. "We have followed up on those recommendations and have already made some changes in place."

Decker pointed out that companies now have to formally say that they are keeping their commitments, which becomes legally binding.

The Commerce Department also responded to the auditor's findings by saying it will examine what other states are doing to oversee their grants.

It expects to release its findings and give an update on any changes in mid-November.

RELATED LINKS

Sean Maroney

Sean returns home to North Carolina after spending seven years reporting around the world and across the United States. More>>

  • North Carolina NewsMore>>

  • NC GOP Senate candidates face off as early voting begins

    NC GOP Senate candidates face off as early voting begins

    Wednesday, April 23 2014 11:15 PM EDT2014-04-24 03:15:49 GMT
    The four top-polling Republican Senate candidates, vying to unseat Democrat Kay Hagan, debated on Wednesday night in Raleigh, the night before early voting was set to begin. The primary is May 6, but voters can start heading to the polls on Thursday.During the half hour televised debate, State House of Representatives Speaker Thom Tillis of Charlotte said he was leading a conservative revolution in Raleigh, cutting regulations and taking credit for falling unemployment numbers. Tillis faces c...
    The four top-polling Republican Senate candidates, vying to unseat Democrat Kay Hagan, debated on Wednesday night in Raleigh, the night before early voting was set to begin. The primary is May 6, but voters can start heading to the polls on Thursday.During the half hour televised debate, State House of Representatives Speaker Thom Tillis of Charlotte said he was leading a conservative revolution in Raleigh, cutting regulations and taking credit for falling unemployment numbers. Tillis faces c...
  • NC judge to rule against teacher tenure state law

    NC judge to rule against teacher tenure state law

    Wednesday, April 23 2014 7:18 PM EDT2014-04-23 23:18:26 GMT
    A Guilford County judge is backing two school districts fighting a North Carolina law that phases out job protections for public school teachers in favor of employment contracts.
    A Guilford County judge is backing two school districts fighting a North Carolina law that phases out job protections for public school teachers in favor of employment contracts.
  • Committee proposes rules for drone use in NC

    Committee proposes rules for drone use in NC

    Wednesday, April 23 2014 4:58 PM EDT2014-04-23 20:58:27 GMT
    A legislative committee approved a set of regulations that it hopes will calm people's fears about the use of drones while allowing the industry to flourish.
    A legislative committee approved a set of regulations that it hopes will calm people's fears about the use of drones while allowing the industry to flourish.
  • Top StoriesTop StoriesMore>>

  • NC Early Voting Begins For May 6 Primary

    NC Early Voting Begins For May 6 Primary

    Thursday, April 24 2014 3:18 AM EDT2014-04-24 07:18:21 GMT
    Polls are opening in all 100 counties so people can vote in person before the May 6 primary day in North Carolina.Polls are opening in all 100 counties so people can vote in person before the May 6 primary day in North Carolina.
    Polls are opening in all 100 counties so people can vote in person before the May 6 primary day in North Carolina. Early voting starts Thursday.
    Polls are opening in all 100 counties so people can vote in person before the May 6 primary day in North Carolina. Early voting starts Thursday.
  • Williamston Police: Man Arrested After Tuesday Shooting

    Williamston Police: Man Arrested After Tuesday Shooting

    Wednesday, April 23 2014 11:32 PM EDT2014-04-24 03:32:34 GMT
    Williamston police officers are investigating a shooting after a woman was shot in the head on South Hamilton Street.Williamston police officers are investigating a shooting after a woman was shot in the head on South Hamilton Street.
    An accused shooter is being held at the Anderson County Detention Center after authorities say he shot a woman in the head on South Hamilton Street Tuesday night.
    An accused shooter is being held at the Anderson County Detention Center after authorities say he shot a woman in the head on South Hamilton Street Tuesday night.
  • 2014 NFL Schedule Released

    2014 NFL Schedule Released

    Wednesday, April 23 2014 11:17 PM EDT2014-04-24 03:17:46 GMT
    Seahawks To Open NFL Season vs. PackersSeahawks To Open NFL Season vs. Packers
    As Super Bowl champions, the Seattle Seahawks get to kick off the NFL's regular season by hosting the Green Bay Packers on Sept. 4.
    As Super Bowl champions, the Seattle Seahawks get to kick off the NFL's regular season by hosting the Green Bay Packers on Sept. 4.
  • Most Popular StoriesMost Popular StoriesMore>>

  • Mom bites off dog's ear to save daughter during attack

    Mom bites off dog's ear to save daughter during attack

    Tuesday, April 22 2014 2:49 PM EDT2014-04-22 18:49:19 GMT
    Image from CNN/KHOU-TVImage from CNN/KHOU-TV
    In a backyard in Alvin, swings a very lucky girl. Her name is Mackenzi Plass, or Kenzi for short, and she survived a dog attack and has undergone several surgeries."She'll be two and a half in May," said her very proud mother Chelsi Camp. "She's doing great. You wouldn't know it if you couldn't see."Mackenzi has scars on her face after the ordeal just weeks ago that put her mother's animal instincts to the test."You do whatever you can," said Camp. "I don't have physical strength at my side."...
    In a backyard in Alvin, swings a very lucky girl. Her name is Mackenzi Plass, or Kenzi for short, and she survived a dog attack and has undergone several surgeries."She'll be two and a half in May," said her very proud mother Chelsi Camp. "She's doing great. You wouldn't know it if you couldn't see."Mackenzi has scars on her face after the ordeal just weeks ago that put her mother's animal instincts to the test."You do whatever you can," said Camp. "I don't have physical strength at my side."...
  • Mom wins lawsuit against TSA after breast milk screening problems

    Mom wins lawsuit against TSA after breast milk screening problems

    Wednesday, April 23 2014 4:40 PM EDT2014-04-23 20:40:54 GMT
    A Southern California woman who was held at a Phoenix airport four years ago after refusing to have her breast milk X-rayed has reached a settlement with the Transportation Security Administration. Stacey
    A Southern California woman who was held at a Phoenix airport four years ago after refusing to have her breast milk X-rayed has reached a settlement with the Transportation Security Administration. Stacey
  • Owner of Raleigh 'Party Mansion' guilty of tax evasion

    Owner of Raleigh 'Party Mansion' guilty of tax evasion

    Monday, April 14 2014 4:07 PM EDT2014-04-14 20:07:04 GMT
    Claude Verbal II, who now lives in Miami, pleads guilty to a number of federal tax evasion charges.
    Claude Verbal II, who now lives in Miami, pleads guilty to a number of federal tax evasion charges.
Powered by WorldNow

250 International Dr.
Spartanburg, S.C. 29303

Telephone: 864.576.7777
Fax: 864.587.5430
Email: webmaster@wspa.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.