FOR IMMEDIATE RELEASE

Town of Zebulon Releases FY 2025 Unit Assistance List Scorecard

Town seeks clarification from N.C. Department of State Treasurer to provide residents with additional information about financial scorecard

ZEBULON, N.C. — The Town of Zebulon is making its fiscal year 2025 Unit Assistance List scorecard, recently provided to the Board of Commissioners, available to the public.

The scorecard outlines key performance indicators for the Town and identifies the reasons the North Carolina Local Government Commission (LGC) added Zebulon to its Unit Assistance List. According to the report, the Commission's decision was based on "other financial reasons identified in the audit and findings in a report released by the Office of the State Auditor."

The Unit Assistance List identifies local governments with financial or financial management concerns that require additional attention. The LGC provides monitoring and technical assistance to help local governments address those concerns.

The scorecard also confirms that Zebulon is not under LGC financial control.

What the Scorecard Shows

The scorecard includes financial information for the fiscal year that ended June 30, 2025, along with historical financial indicators. The figures do not, by themselves, represent the Town's current financial position.

According to the report, Zebulon's total General Fund balance was approximately $24.29 million, with an available fund balance percentage of 74.10%. The report also shows a three-year available fund balance trend of -63.20%, calculated using the LGC's scoring methodology.

While the available fund balance percentage remained above the scorecard's 25% scoring condition, the report also shows a decline in that measure over time.

The scorecard includes category scores and thresholds used in the LGC's review. Those numbers should not be mistaken for an overall rating of the Town's financial condition. The Commission also considers audit findings and other financial information when determining placement on the Unit Assistance List.

The Town had funds available and used them for infrastructure and other community investments. The important thing moving forward is to closely monitor how those investments affect our reserves and ensure spending decisions remain consistent with the Town's fund balance policy.

What Happens Next

The Town continues working with LGC staff to address identified concerns, strengthen financial management practices and meet established monitoring requirements.

In the meantime, the Town is providing the original scorecard and educational resources for residents who would like to learn more.

View the FY 2025 Unit Assistance List Scorecard: https://aptg.co/tZ97jp

Key Financial Definitions and Educational Resources

The following resources provide additional information about local government financial reporting and oversight:

• Fund Balance: Explains financial reserves and the difference between total and available fund balance. Understanding Fund Balance

• Unit Assistance List: Explains the purpose of the list and the LGC's role in financial monitoring and technical assistance. N.C. Department of State Treasurer

• Internal Controls: Explains financial procedures and safeguards used to support accurate records and appropriate oversight. Understanding Internal Controls

• Local Government Financial Oversight: Provides background on the state's financial oversight framework. Local Government Budget and Fiscal Control Act Policy

• Annual Financial Audits: Explains the purpose of independent annual financial audits and what an audit opinion means. The Annual Audit

• Office of the State Auditor: Describes the types of audits and reviews conducted by the state, including financial, performance, investigative and rapid response reviews. Types of Audits and Reports

Residents can also follow the Town's financial updates, previous announcements and corrective actions through the Town of Zebulon's Progress Dashboard.

The Town has requested additional clarification from the N.C. Department of State Treasurer regarding the scorecard's indicators and scoring methodology to ensure residents receive clear, accurate information about what the findings mean.

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