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Janet Cowell, North Carolina Treasurer, on how the state’s economy is going strong despite high unemployment.
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Has held steady at nine point 4% in May that's the fourth -- in the nation.
But unlike other high unemployment states local governments in the tar heel state are not in the red.
-- -- North Carolina treasure is here with us tell us why this is staggering.
North Carolina has the largest number at triple AA rating Muni bonds than any other state how could that heat within nine point 4% unemployment rate.
But we have a lot of accountability in our state Tracy starting with me I help control and make sure we have conservative debt non elected so my next on the line.
And I also chair -- commission that oversees all local government debt so that we make sure they don't get out of control either.
So you have this commission that's been around if I'm not mistaken since 1931.
And as a result no one has missed a bond payment from your state since 1942 is that sure.
That's -- -- -- in the depression North Carolina with a very or state we had a lot of defaults that we put in.
The system that controls and since that time that we've met every payment.
So this commission -- -- Big Brother like isn't it that it comes down on these little municipalities and says -- union -- doing this right.
-- partnership like how we like to deal with debt and resource is so it's not just that we're checking all their audits but we also had university resources like the school of government Chapel Hill.
That helps train new elected officials train finance staff and make sure they've got the tools so they can do their job so when when does the commission -- in how bad does it have to get.
We have stepped end at four times to take over the control of the finances for towns in the pasts.
You know number of years so it's very rare occurrence.
But generally it's when services are shutting down and that government can't meet basic things like.
Water sewer or they're just not collecting the taxes anymore.
You've got yourself to point where -- you know.
I I -- Smart people that say your bonds are safer than treasuries these days from why haven't other states mirrored your program.
I think part of it is it's hard to institute this kind of program when you're not in a crisis and since in 1931 we were we were able to put all these programs in place and create a culture around -- conservative debt management and controls.
It's harder to do that as you know now -- days even with the LA crisis.
Insisting that Bank of America's headquarters is in your fine state I guess that's not affecting things just yet.
You know Bank of America has still have their headquarters and of course Wells Fargo -- so Charlotte still a huge banking town still that -- energy is a new industry there's wow.
Home of NASCAR.
Thanks -- -- Tracy.
Right up next Rombach -- -- let's -- live from -- -- is seen before -- vote that could determine the future of the Euro zone.
Plus -- got -- Stephen Baldwin and BP somebody's suing joke but they're all part of a real life.
