The Balance Sheet

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The Balance Sheet

The Balance Sheet is the blog of the Local Government Commission staff. Click below to sign up to receive email alerts when new blog posts are released.

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For announcements and resources related to the impacts of COVID-19, visit our Local Government COVID-19 Resources page.

COVID-19 Resources

Two Important Upcoming Deadlines

Thursday, January 14, 2021

A reminder that two important deadlines are coming soon:

January 25 - LGC-203 reports (semi-annual reports of cash and investments) are due for the December 31, 2020 reporting period. These reports are required to be filed by all local governments and public authorities other than charter schools. For more information, please see the LGC-203 webpage or contact

February 15 - COVID Impact Reports (a new, one-time report required under Session Law 2020-3). The finance officer of each county, municipality, water district or authority, sewer district or authority, sanitary district, and metropolitan sewage district must submit this report. For information and a complete list of units subject to this reporting requirement, please see our COVID Impact Report webpage or contact CIR@nctreasurer....

Local Government Finance Course – Openings and Overview

Friday, January 8, 2021

Interested in learning more about the pre-audit function? The budget development process? The role of the finance officer and governing board in the annual audit?

Beginning this month, local government finance employees have many options to learn more about these topics – and many more – through the “Local Government Finance in North Carolina – A Practical Approach,” course.

James Sprunt Community College, Blue Ridge Community College, Wilson Community College, and Central Piedmont Community College all will be offering the course. See the Training Opportunities section of our website for course availability.

The website also includes an overview of course’s 13 modules which cover a variety of topics of interest to finance officers, finance staff, governing bodies, and others interested in the basics of local government finance in North Carolina.

Compliance Supplement Addendum

Tuesday, January 5, 2021

The federal government has issued the 2020 Compliance Supplement Addendum that many auditors have been waiting for to finish up compliance audits.  Please see the addendum here.

New 1099 Form for 2020

Monday, January 4, 2021

Local governments need to be aware that there is a new 1099 form for 2020 filing – the 1099 NEC. NEC stands for non-employee compensation and this new form must be used in lieu of a 1099 MISC for reporting payments to individuals other than employees. The $600 reporting minimum still applies, as does the "no minimum" requirement for attorneys and health care providers. The penalties for not using the correct form are high, and the IRS will not "count" a 1099 MISC that was filed in error but on time as a timely filing. Learn more at or consult your payroll experts. 

NC Local Government Finance Community College Course Being Offered this Spring

Monday, December 21, 2020

Several campuses are offering the NC Local Government Finance community college course this spring. This course is a basic overview of local government finance in North Carolina and includes topics such as local government finance and accounting, the role of finance officer, the pre-audit and budget processes, and the fiscal management requirements for local governments found in North Carolina General Statutes, primarily the Local Government Budget and Fiscal Control Act (NCGS 159 Article 3).

Details are available in the Training Opportunities section of our Information for Finance Officers webpage. For general questions about the course, please contact; for registration information or details about the specific course offerings, please contact the colleges directly.

LGC-203 Report Due January 25

Friday, December 18, 2020

Reminder: the LGC-203 Cash and Investments report for the December 30, 2020 reporting period is due on or before January 25, 2021. You may initiate and submit your LGC-203 report for the December 30 reporting date via the LOGOS system beginning January 1, 2021. This reporting requirement applies to all local governments and public authorities under G.S. 159-33 and G.S. 115C-446 but does not apply to charter schools.

All LGC-203 reports are submitted via the LOGOS system. If your unit needs to request new accounts or make changes to access to the system, please email

LGC-203 resources are available on our LGC-203 webpage,  including:

  • The LGC-203 Quick Reference Guide – a summary of the amounts you’ll be asked to report and the statements you’ll be asked to upload when you submit your LGC-203 report.
  • A link to the...

COVID Impact Report Form Now Available

Thursday, December 10, 2020

The General Assembly, via Session Law 2020-3, modified NCGS 159-33.1 and implemented a one-time reporting requirement regarding the financial impact of COVID-19. The finance officer of each county, municipality, water district or authority, sewer district or authority, sanitary district, and metropolitan sewage district must report financial data no later than February 15, 2021. A list of units required to report can be found on our COVID Impact Report webpage.

** The report form is now available to begin recording the data required to be submitted. **

Please note:

  • Data must be reported on a monthly basis covering the period July 1, 2019 through December 31, 2020. Much of the report can be completed before the end of the year and we encourage you to begin the report as soon as possible to facilitate completion by the February 15 deadline.
  • The data requested in the report includes specific items required by the legislation, as well as additional items that LGC Staff requested to allow a thorough analysis of the potential financial impacts of COVID-19. We encourage you to use the open text question to provide a narrative response describing any financial impacts not...

New Director of Fiscal Management Section

Thursday, December 3, 2020

The State and Local Government Finance Division of the Department of State Treasurer is pleased to announce that Susan McCullen has been named Director of the division's Fiscal Management Section. Susan steps into the role previously held by Sharon Edmundson, who now serves as Director of the State and Local Government Finance Division and as Secretary of the Local Government Commission. With both local government service and time with the division, Susan brings many years of experience to the position. Feel free to reach out to Susan at or 919-814-4302.

Memo Regarding GASB Statement 87

Wednesday, December 2, 2020

An important new memo from LGC staff has been issued related to GASB Statement 87, (Leases). Please see Memo 2021-05 on our Memos webpage.

GFOA Webinar for Elected Officials – December 1

Friday, November 20, 2020

The National GFOA has introduced its first publication of the new Elected Official’s Guide Series to assist local elected leaders in making effective policy. The first book is Understanding the Fiscal Health of your Community. To help introduce the series, and this first book in particular, GFOA is offering a free webinar on December 1, 2020, from 1:00-2:15 PM (EST). The webinar, Prepared Leaders Make Effective Policy: GFOA’s Elected Official’s Guide Series Introduction, will provide 1.5 hours of CPE. We encourage units to share this information with your elected leaders and staff. 

Learn more and register for the webinar here.