Commissioners approved the college's request that addresses not only the sampling and cleanup of the mold problem at a cost of $33,845, but repairs to the building's heating and air system at a cost of $113,654.

The state Department of Labor sent the college a letter in August saying it had received a complaint of mold in the building.

In an October 14 letter to County Manager Tony Brown, HCC President Ervin V. Griffin Sr. explained the mold cleanup was performed and completed the week of October 9 through 14. The school also contacted Carrier to determine why the heating and cooling system was not dehumidifying the air properly. “They resolved that the system could not be regulated and (two) units were not working properly. In order to keep the mold from returning, we would need to fix the HVAC system in the building and upgrade the controls,” Griffin's letter said.

“If we approve this, where is the money coming from?” Commissioner Vernon Bryant asked.

“The fund balance,” Brown responded. “The contingency is not high enough.”

Commissioner Rives Manning asked Griffin if the college had any funds.

“Last year they (the state) allowed us to transfer to the college budget,” Griffin said. “We spent $140,000 to redo bathrooms. This year they did not give us that leeway.”

Asked why, Griffin responded, “Different people are in charge.”

Asked where the fund balance stood, county Finance Officer Linda Taylor said 10 percent.

While the county moved forward and approved the request, at the end of the meeting Bryant said, “I'm really concerned about our 10 percent fund balance. We can't continue to go into that or we're going to be in a lot of trouble.”

Local Government Commission policy requires that, on June 30, governments maintain a minimum balance of 8 percent of the prior year’s expenditures, or approximately one month of expenditures.

North Carolina counties, according to a 2011 statement from the league, have historically maintained fund balance available levels well above the 8 percent minimum as a cushion against unexpected expenditures, emergencies or declines in revenues.

Bond rating agencies reinforce the notion that fund balance should be above 8 percent and that higher levels are required for sound financial management, the statement said.

The higher balance is often necessary because the available fund balance many times includes restricted amounts, such as sales tax that is restricted for school capital outlay and funds set aside for debt service, according to the statement.