USDA rejects lending the County money to build a jail without a referendum | Eastern North Carolina Now

    Publisher's Note: This article originally appeared in the Beaufort Observer.

    In a major development in the ongoing debate about building a new jail, the County received a letter today that advised the USDA staff of the Rural Development department of the USDA's state office that the USDA would not fund a loan to build the jail without a vote of the people.

    Click here to read the letter.

    Harold Smith, the Chairman of the Stop The Jail Committee said:

    "We are pleased with the USDA decision to deny any funding for the jail without a referendum of the people of Beaufort County. The Stop The Jail Committee sees this as very positive turn of events in what has been a long battle. The rights of the people of Beaufort County should not be trampled on by any agency. USDA has recognized this. The people of Beaufort County deserve a vote.

    We also know it is not the time for complacency. In addition to pursuing the current lawsuit against the Town of Chocowinity, we understand there will be more hurdles as the process continues. We are prepared to continue our efforts should the Commissioners pursue alternative funding sources. Other lending agencies will obviously face the same precarious exposure that the USDA just turned down. And we firmly believe that other potential lenders will view this project in the same manner as did the USDA, the folly of four inept County Commissioners."

    The group of local citizens has been raising money to use in support of legal action to prevent the building of the project without a vote of the people. They have already filed one law suit against the re-zoning ordinance changed approved by the Town of Chocowinity and were working on filing one against the County to force a vote. As will be noted in the USDA letter this threat had obvious impact on their decision.

    The USDA action does not preclude the County from seeking funding from other sources but it is anticipated that do so would cost more and other lenders are expected to take cognizance to the USDA's refusal to proceed in the face of potential litigation.

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