Carolina Journal News Reports
RALEIGH—Federal Election Commission records indicate that U.S. Rep. Frank Ballance received at least $25,000 for his 2002 election from 23 pastors and their families. At least 12 of the pastors have received grants for their churches from the John A. Hyman Foundation, a nonprofit organization chaired by Ballance. More connections may surface when the foundation files the required reports with the IRS.
The organization, which claims to run substance-abuse programs, is totally funded through the state budget. Ballance, a Democrat representing North Carolina’s 1st District, helped start the foundation, and as a state senator arranged about $2 million in funding for it since 1993. The foundation failed until recently to file financial statements required by the state and the IRS.
Carolina Journal compared Ballance’s FEC report with the Hyman Foundation’s grant information that Ballance released to the Roanoke Rapids Daily Herald last week. Among the givers whose churches also received funding from the foundation are:
• United Solid Rock Church in Norlina received $6,500 from the foundation, and its pastor, Moore Bynum, gave Ballance $1,000.
• White Oak Baptist in Enfield received $7,500, and pastor Ray E. Bynum gave $1,500.
• Nebo Baptist in Murfreesboro received about $70,000 over the past five years, and pastor Robert Holloman and his family gave Ballance $4,000.
• Hollister REACH, a church-related program in Norlina, received $1,500, and Pastor James M. Johnson gave Ballance $500.
• Mt. Olive Baptist in Windsor received $11,000, and Pastor James E. Jones gave $500.
• Conetoe Chapel received $10,000, and Pastor Richard Joyner gave $250.
• Greenwood Baptist, where the foundation has its headquarters, received more than $30,000 in rental payments for office space. Pastor Eddie W. Lawrence gave Ballance $2,000.
• Oak Grove Baptist in Littleton received $7,500, and Pastor David Moore and his wife gave Ballance $2,400.
• Ebenezer Baptist in Rocky Mount received $7,500, and Pastor Thomas L. Walker gave $1,500.
• Oak Level United Church of Christ in New Bern received $7,500, and Pastor Leon White gave $500.
Ballance also directed money to other organizations. The Warren Record reported in December 2002 that the Norlina Public Library received a $5,000 grant from the foundation “through the efforts of Congressman Frank Ballance.” The library donation was not listed with the information the foundation released to the Daily Herald.
CJ also found several discrepancies between the unaudited statements on file with the General Assembly for the past two years and the audited financial statements submitted to the Department of Correction last week . Among the discrepancies for the year ending June 2001 were $228,951 for salaries in the first report versus $101,670 in the audited report, and $2,871 for contractual services versus $12,393 on the audited version.
For the year ending June 2002, the first report stated $75,346 for “prevention mini-grants,” while the audited version stated $47,500. Also appearing on the audited report was $25,000 for “administrative fees” — a category not listed on the original report.
The state Senate has eliminated the foundation’s $225,000 funding request for next year and the state auditor is looking into the organization.
Carrington is associate publisher of Carolina Journal.