Officials: James Sprunt CC failed to give proper oversight regarding kitchen incubator


KENANSVILLE, N.C. (WNCT) An investigative report by the North Carolina Office of the State Auditor, regarding the kitchen incubator, found that the college failed to provide proper oversight of the facility, resulting in a loss of at least $97,230 in services contracts in 2016, 2017, and 2018.

James Sprunt Community College acknowledges and accepts the finding of the report and agrees that the lack of governance and oversight on behalf of the college by the college administration was grossly inadequate.

  • As a result of the findings, the college has implemented the following procedures to assure the Kitchen Incubator is properly managed moving forward:
  • All clients utilizing the facility have been required to sign new contracts outlining new operational procedures to be implemented and utilized moving forward. Additionally, each client, with a balanced owed are required to start remitting payments on their balance so their account will be paid in full and reconciled within the next twelve months.
  • The newly hired Small Business Center director will provide programmatic oversight and leadership for the Kitchen Incubator Program.
  • The business office, under the direction and supervision of the Vice President of Fiscal and Administrative Services, will assure that funds related to this program are managed within normal acceptable accounting practices. Invoices and receipts from transactions will be reconciled at the close of each month.
  • A financial report of all transactions regarding the Kitchen Incubator will be presented to the President of James Sprunt Community College at the end of each month.

 “The administration of James Sprunt Community College thanks to the staff of the Office of the State Auditor for the professional manner in which the investigation was managed,” said Dr. Jay Carraway, President of James Sprunt. “The institution has learned from this experience and will endeavor to ensure past mistakes are not repeated.”

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