Is our County Commission begging for a law suit? | Eastern North Carolina Now

    Publisher's Note: This article originally appeared in the Beaufort Observer.

    According to Beaufort County Manager Randall Woodruff, the majority on the Beaufort County Commission are planning on paying for a new jail they are proposing by using non-voter approved long-term debt rather than submitting the issue to a vote of the people.

    But Article V, Sec. 4 of the N. C. Constitution provides: "The General Assembly shall have no power to authorize any county, city or town, special district, or other unit of local government to contract debts secured by a pledge of its faith and credit unless approved by a majority of the qualified voters of the unit who vote thereon, ..." In recent years a number of local governments have subverted this constitutional mandate. That is what Beaufort County proposes to do.

    Clearly the intent of the Constitution is that the people should vote on any indebtedness that requires the debt to be serviced by taxation. The subversion of Article V. Sec. 4 began when it was proposed that a local government could take on debt that was to be serviced by non-tax revenue, or even tax revenue that would be generated by the project itself. The problem, of course, is that a jail does not increase the tax base. In fact it decreases it as it takes property off the tax rolls that otherwise could be income producing property (such as selling or leasing land in an industrial park). The only way a jail can be paid for is by taxing the people. Thus, the burden is on the County Commission to show that they can finance a jail without using the taxing authority they have been given if they are not going to submit it to the people to decide.

    Of course, the gimmick they use to subvert the Constitution is to say that they are not pledging the full faith and credit (taxing authority) to repay the debt. But that is blatant deception. There simply is no way they can pay off the debt without using taxpayer money. And if they use tax money to pay for a jail that is money they cannot use to fund schools, provide EMS service or other county functions. It may just take a law suit to settle the legal questions.

    Sarah Curry, writing for the John Locke Foundation has a recent article on the issue of "Local Government Debt Increasing, and Sometimes Without Voter Approval" in a January 15, 2014 article posted at www.johnlocke.org. We would commend this article to our County Commissioners, County Manager and County Attorneys.