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Mount Olive commissioner admits to unpaid water bill named in state audit

Mount Olive Town Commissioner Delreese Simmons admitted during the town’s board meeting Monday evening that he was the commissioner named in the recent State Auditor’s report on mismanagement of the town’s utility bills and system.

“You all read the audit and it said a commissioner had also not paid their water bill and that person was me,” Simmons said during the commissioners’ comments period near the end of the meeting. He claimed the bill should never have been in his name.

“This is not my home. Never lived there,” Simmons added. “I got that home for a homeless person. It’s not my water bill. I’m not going to pay it. I got it for homeless people.”

Mount Olive Town Commissioner Delreese Simmons (center) admitted to being the commissioner named in the State Auditors report as the one who had unpaid water bills. Simmons claimed the bills are not his and that he won’t pay them. He also claimed the town loses “hundreds of thousands of dollars each month” as a result of businesses in town not paying water bills. Mark Grady for Duplin Journal

Simmons went on to make serious claims about how the town has handled water bills.

“A lot of businesses around this town owe thousands and thousands of dollars in water bills,” he said. “Not a hundred, thousands. We don’t lose hundreds of dollars a month; we lose hundreds of thousands per month.”

After the meeting, the Duplin Journal inquired whether Simmons had any documentation to support his assertion that the town is losing hundreds of thousands each month. He replied, “They know,” repeating it for emphasis.

The State Auditor’s report noted that the town lost a total of $210,000 in revenue due to an error in rate entries into the system. However, it did not indicate that this loss is ongoing.

According to interim town manager Glenn Holland, the error has been corrected, and the town is in the process of installing new water meters that can be read remotely via radio transmission, which will make them much more accurate than the old system.

Simmons’ comments were partly in response to statements made by Mount Olive resident Brent Heath during the public comment period of the meeting.

“We all understand that water and sewer services cost money, but what we can’t accept is mismanagement and unfairness,” Heath said. “The State Auditor’s report makes it clear that for years Mount Olive has had serious problems in the way utility bills were handled.”

Heath stated that the existing problems have resulted in some residents paying less for water and sewer services while others are paying more. He mentioned that the system might be in the process of being corrected; however, those who have been overpaying have no way to be reimbursed for their excess payments. He also referenced the State Auditor’s findings, which indicated that some town employees had exploited the system.

“Two employees of the water department were found to have manipulated the system so that their own services were never cut off (for non-payment of their bill),” Heath said. “And one of our very own commissioners had nearly a year’s worth of bills go unpaid while still receiving services.”

During Simmons’ comments, he pointed out Heath in the audience twice, saying, “You like to talk.” Mayor Jerome Newton responded to Simmons by saying, “Don’t point at anybody.” Simmons also questioned the legality of Holland serving in dual roles as interim town manager and town finance officer. Holland assumed the finance officer role after the previous finance officer and two other employees left following the audit.

Town attorney Carroll Turner addressed Simmons’ concerns.

“Since there was a legal issue mentioned, I want to say we thoroughly investigated that and there is absolutely no question that the town manager can serve as finance officer,” Turner said. “Mr. Holland didn’t have to do that (take on the finance officer duties). He saved the Town of Mount Olive a lot of money being bonded. We were in a situation where we had to do something pretty quickly.”

Turner said it’s not uncommon for a town manager to also act as finance officer in smaller towns.

During the town manager’s report at the meeting, Holland said work continues to find a solution to the wastewater treatment problems that have plagued the town forcing the state to place the town under a sewage moratorium, meaning it can not add any more flow into the town wastewater treatment facility, which has brought development in town mostly to a halt.

Holland said he met with a new consultant, TRC Companies, to discuss viable options for treating wastewater. He said the town will also meet with an engineer from McGill Associates to look at changes in both the wastewater treatment improvements and sewer collection rehabilitation projects.

The town sought prices from both TRC and McGill on renovations and they both came in at $4 million over budget, Holland added.

In an update to the town’s response to the State Auditor’s report, Holland said they have already taken care of issues revealed in the report regarding the Mount Olive Airport.

“All outstanding fuel invoices have been collected, the fuel account has been closed and all utilities are being paid for by Bass Aviation,” Holland said.

In other business:

  • The board approved a resolution to implement 11 policies required by towns participating in Community Development Block Grants.

  • A request to lease a town football field to the Fellowship of Christian Athletes, who currently run a youth football program with 60 to 100 participants, including athletes and cheerleaders, was tabled. This decision allows the town attorney to publish a public notice regarding the long-term lease required by the state.

The next town board meeting is scheduled for Nov. 10, due to municipal elections.