The former City Manager of Rocky Mount operated "unchecked" and went "unaccountable for years" resulting in millions of dollars overspent for the city creating significant financial distress, according to a state audit released Monday.
State Auditor Dave Boliek released details of the audit saying that former manager Keith Rogers Jr. had many "red flags" before being hired by the city council, which he said did not do "due diligence" before hiring him.
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State Auditor Dave Boliek held a news conference Monday morning to discuss the Rocky Mount performance audit. The state previously announced in January that it would release its findings "soon."
“OSA’s audit of Rocky Mount has uncovered serious financial failures, which culminate with an astonishing 78% decline in the city’s cash and investment balances in just two years,” Boliek said. “From the lack of due diligence in hiring the former City Manager, to cycling through five Finance Department directors, it’s clear that Rocky Mount has not been serious about resolving its financial issues.”
Boliek's office began the investigation following the city's admission of a budget crisis in late 2025.
In September, city leaders revealed they spent millions more than the city brought in each month for two consecutive years. It was shortly after that announcement that Boliek stepped in.
The auditor found that the city's financial distress from 2023 to 2025 involved increased spending "with limited oversight from City Council, and with instability in financial leadership."
During 2024 alone, the audit found that the city's capital purchases rose by 153%, including $17.2 million for land for an intended casino and entertainment complex that never came to fruition.
Key findings from state audit
- Former city management was hired without due diligence, including the former City Manager and former Finance Director.
- City financial leadership instability. Since FY 2021, the Finance Department cycled through five directors, including individuals with limited local government finance experience.
- Overspending and loose budget practices. Spending was approved and occurred without thorough feasibility analyses. Additionally, the City Council approved budget amendments to match actual spending, masking excessive spending and normalizing fiscal indiscipline.
- City Council oversight shortcomings. The City Council approved budgets without detailed financial data, missed statutory audit deadlines, and failed to hold City management accountable for lack of transparency.
In response to its financial crisis, the city paused projects, eliminated 86 full-time positions, decreased the budget for part-time staffing, and raised property taxes and utility rates for residents, resulting in an average increase of $20 per month for natural gas and $8 per month for electricity for a typical household.
Rock Mount Mayor Sandy Roberson released a video on Monday answering popular questions being asked about the auditor's report.
“The most painful part of this situation is that our residents are bearing the consequences. That weighs heavily on me. It weighs heavily on every member of this Council. We are deeply sorry that this was not discovered sooner when recovery would have been less difficult,” Roberson said. “Rocky Mount has faced challenges before, and we have overcome them. We will correct these failures. We will strengthen governance. We will operate with full transparency. And we will restore the financial health and public trust that our residents deserve.”