Princeville, an eastern North Carolina town that was the first charted by African-Americans in the country, was taken over by the state for the second time last year, and has drawn investigations for corruption and mismanagement. The town was decimated by flooding from Hurricane Floyd 14 years ago.
North Carolina’s powers to intervene on such a broad level are unlike other states. The system is widely credited with giving North Carolina higher municipal bond ratings and lowering borrowing costs for taxpayers statewide.