Who’s overseeing millions in COVID-19 spending? Mecklenburg commissioners want answers.

When coronavirus began moving across North Carolina in March, Mecklenburg County leaders responded by buying medical supplies, leasing hotel rooms for first responders and offering relief loans to small businesses, among other moves.

All told, Mecklenburg has spent nearly $12 million in its response to the coronavirus pandemic, records show.

As costs keep climbing, at least three county commissioners say they are concerned that taxpayer money has been spent with little or no public oversight.

State law grants elected county commissioners the power to set the county budget and oversee spending, but emails obtained by the Observer show about $2.5 million has been spent on coronavirus even though the Mecklenburg Board of Commissioners did not vote to approve the expenditures.

Earlier this month, Commissioner Susan Harden sent emails to complain that board members were not made aware of some spending related to COVID-19, the illness caused by the novel coronavirus.

Harden, chair of the board’s Audit Review Committee, requested information about how money had been used, how much was spent and if there were plans to audit the expenditures, emails show.

“It seems (an) appropriate oversight role for commissioners to know the amount of dollars committed by taxpayers and the budget line items that are impacted,” Harden said in a May 6 email to County Manager Dena Diorio. “This is not an unreasonable request nor would (it) slow down the process. In fact, this oversight protects everyone involved.”

Diorio responded with an email the same day, saying she had given commissioners consistent updates and sent more than 40 emails since the pandemic began.

Charlotte-Mecklenburg’s emergency operations plan gives the county manager power to direct resources during a crisis, Diorio wrote.

“I am responsible for responding to situations as they arise,” she said in the email. “This gives me flexibility to make urgent decisions that are consistent with my understanding of the Board’s directive and the County’s mission.”

In interviews, three commissioners told the Observer that they had seen no evidence that taxpayer money has been misused.

But commissioners Trevor Fuller, Vilma Leake and Harden said the spending has raised questions about the county’s oversight and transparency as Mecklenburg receives about $39.2 million from the federal government to cover coronavirus costs.

“When it comes to expending taxpayer dollars, there has to be some accountability,” Harden said.

Open government advocates said Mecklenburg’s action is cause for concern because it undercuts citizens ability to track how taxpayer money is used.

North Carolina law requires commissioners make spending decisions final by voting during public meetings.

“We’re in a time when people don’t know who to trust,” said Jane Pinsky, director of the North Carolina Coalition for Lobbying & Government Reform. “We’re at a time when an increase in transparency is needed. It should be dealt with in an open meeting.”

Leading in crisis

The issue reflects lingering tensions between some commissioners and Diorio over what role elected officials should play in the midst of the crisis.

While Diorio and Public Health Director Gibbie Harris have become the face of the local response to coronavirus, some commissioners have repeatedly complained that they have been left out of major decisions.

Some commissioners remain frustrated that they did not learn about the county’s now-expired stay-at home order in March before it was publicly announced and did not take a vote to approve it.

Diorio has said that commissioners chair George Dunlap signed the order prior to it being revealed.

Fuller said commissioners should be making spending decisions instead of county administrators, who are not accountable to voters.

“The board has to have a stronger role,” Fuller said. “The public’s voice has to be heard on these issues.”

In an interview, Diorio told the Observer that she took appropriate action in the face of a public health emergency that demanded swift action to protect residents.

She said some expenditures did not require commissioners’ approval because officials simply redirected money that the board had already appropriated in the county’s budget.

“We knew we had to respond and react,” Diorio said. “I made those decisions because they were the right decisions.”

COVID costs

Emails show that county officials expect coronavirus costs to keep mounting.

Sarah Cunningham, the county’s chief financial officer, said in a May 5 email that the county had spent $11.8 million on public health, economic assistance and operations tied to coronavirusas of April 30.

County commissioners did vote to give a donation to a local COVID-19 charity relief fund, provide loans to small businesses harmed by the crisis and buy computers and other technology needed for government operations during the pandemic.

That totaled $9.3 million, Cunningham wrote in response to questions from Harden.

County administrators used another $2.5 million — without a vote from commissioners — for costs such as enhanced cleaning, portable restrooms for the homeless and personal protective equipment, Cunningham said.

She said Mecklenburg officials anticipated that state and federal government officials would reimburse the county for those costs.

“All of these expenses are subject to our annual financial audit, which includes reviews of internal controls and authorities,” Cunningham wrote.

But Harden said she still isn’t satisfied because she questions whether county administrators should be redirecting large sums of money without permission from commissioners and outside of public view.

“We never received a communication about how much this would cost,” Harden said. “My job as a commissioner is to know where the money is going.”

Commissioners Leake and Fuller said they are considering seeking a legal opinion on how the board should handle the issue.

“My question is what limitations does (county administration) have?” Leake said. “We want people to trust us. I need to be able to justify the decisions we make.”

Commissioner Pat Cotham said there have been times during the pandemic when she wondered why elected officials were not more involved. However, Cotham said, she believes that Diorio followed the county’s spending rules.

If commissioners have questions, Cotham said they can simply ask Diorio for answers. The county also has extensive audits and internal controls, she said.

“Her job is to make big decisions,” Cotham said. “She has always been cautious with our finances. She has a strong record with finance. She is doing an admirable job.”

Emergency operations

On May 6, Diorio emailed commissioners a letter that spells out the Charlotte-Mecklenburg Emergency Operations Plan. Diorio sent the letter in response to questions from Harden.

Signed by Dunlap, commissioners chair, Charlotte Mayor Vi Lyles and town mayors across Mecklenburg County in 2019, the letter says county, city and town managers can direct resources during emergencies.

Diorio said she has spent public money after conferring with other public officials and agencies involved in the coronavirus response.

“We looked at what are our community needs. ...How can we respond effectively,” Diorio said.

Mecklenburg will cover costs for coronavirus with money it receives from the federal CARES Act, a $2 trillion relief package passed by Congress and signed by President Trump, Diorio said.

The county has about $28 million left from its nearly $39 million allotment from the federal government, she said. Diorio said commissioners have told her they want to help decide how that money is used.

Commissioner Mark Jerrell said some board members remain concerned about how to resolve issues surrounding their ability to oversee spending during the coronavirus crisis.

“It is reasonable to raise questions,” Jerrell said. “We do need to explore that.”

This story was originally published May 18, 2020 at 12:59 PM.