Two Eastern Carolina Towns Get Rural Grants From State

Two Eastern Carolina towns will end up receiving grants, previously funded by the state Rural Economic Center.

Gov. Pat McCrory's office says grants will be issued to the 14 programs, including $108,787.43 to the Town of Plymouth and $42,861.95 to Bath.

The governor's office said Sunday the $730,000 will come from the Commerce Department.

McCrory asked the Office of State Budget and Management to freeze grants of Rural Center funds after a state audit found that the center had failed to follow the law and regulations in handing out the money.

The director of the center, Billy Ray Hall, and the woman who chaired the agency's board, Valeria Lee, resigned last month after the audit's release.

The Rural Center is a private nonprofit group that has received more than $650 million from the state in the past 26 years.