Beth Wood says new NC auditor is ‘not qualified.’ Here’s how Jessica Holmes responds.

Beth Wood drew rebukes from fellow Democrats over her endorsement of Dave Boliek in the state auditor’s race, but the longtime top government watchdog said that anyone who knows her shouldn’t be surprised she’s backing the candidate she thinks is “best able” to do the job.

Wood’s endorsement of Boliek, a Republican, and her criticism of Jessica Holmes, the Democratic incumbent who was appointed by Gov. Roy Cooper to replace her last year, has generated strong reactions since it was reported by WRAL on Sunday.

But Wood, who resigned last year in the wake of months of controversy over her use of state vehicles, told The News & Observer that her decision had nothing to do with politics, and was based solely on which candidate she felt has “the competencies, the experience, and the expertise to run that agency.”

“I’m just shocked that people are up in the air because I’ve picked a Republican,” Wood said in an interview on Monday. “It’s not about party to me, it’s never been about party. It’s about who’s the most qualified.”

Why Wood says Holmes isn’t qualified

Wood said she decided to support Boliek, an attorney and small business owner who has served on the UNC-Chapel Hill Board of Trustees since 2019, including as the board’s chair, after having multiple conversations with him that showed her he had the most relevant experience to bring to the job, and “really had an understanding of what the agency should be doing.”

Not only does Wood think Holmes shouldn’t remain at the helm of the auditor’s office for the next four years, she also questioned why Holmes was selected to replace her in the first place.

Wood initially planned to run for another term, but later dropped out and resigned, after she was indicted for misusing her state vehicle for personal errands. She pleaded guilty to those charges, and earlier in the year, to separate hit-and-run charges stemming from a crash in downtown Raleigh.

After deciding to resign as auditor last year, Wood said she recommended to Cooper that he appoint her chief deputy to finish out the remainder of her term, a certified public accountant like Wood who she said “would not have missed a beat had she stepped in until the election.”

Instead, Cooper appointed Holmes, a lawyer and former Wake County commissioner who also served as the board’s chair. Holmes announced she would be running for the full four-year term on the ballot this year when Cooper named her as Wood’s replacement.

Wood took issue with the search for her replacement focusing on finding someone who would run for the office, as opposed to an interim leader who had worked within the office and could effectively manage it until voters chose an auditor in November.

Instead of being chosen based on qualifications, Wood said, “I think she was picked because of race and gender, hoping to make her more electable.” Holmes is Black and Boliek is white. Holmes became the first Black woman on North Carolina’s Council of State when she took over as auditor.

Wood, who became the first woman elected as auditor in 2008, said she would always tell people to vote for her because she was the “best candidate,” and because of her knowledge, skills, and experience, not because of her gender.

Being appointed in December gave Holmes the advantage of incumbency, and nearly a full year in office to build experience as the top watchdog of state agencies and government, but Wood said that doesn’t count for much because she believes Holmes is “not qualified” to lead the office.

Wood said her concerns date back to her first meeting and interactions with Holmes during her final two weeks in office. Wood said she offered during that transitional period to “spend unlimited time” with Holmes “showing her the ropes, and that was ignored.”

During one meeting, Wood said she was concerned to see Holmes didn’t take any notes, and seemed uninterested in understanding the agency.

Wood also said she was concerned by Holmes stating during an interview with WRAL last week that she is focusing more on collaborating with agencies and their internal auditors to prevent fraud and waste on the front end, “as opposed to the back end, which makes for less of an opportunity for a news story, but is in the best interest of North Carolinians.”

“That is a direct conflict with the independent standards that the state auditor is required to function under, and so that tells me, clearly, she does not understand what the function of that job is,” Wood said.

Holmes and other Democrats respond

After Wood endorsed Boliek on Sunday, Democrats were quick to reaffirm their support for Holmes, and slam Wood for what they said were political and petty attacks.

Anderson Clayton, the chair of the N.C. Democratic Party, said that Holmes understands “the value of a dollar and the impact of government services on our everyday lives,” and said there was no one Democrats “trust more to protect our tax payer dollars and root out corruption than her.”

Dismissing Wood’s comments, Clayton said Democrats wouldn’t be swayed by the “opinion of a disgraced auditor who misused State property, in direct conflict to the whole point of their job.”

Morgan Jackson, the top political advisor to Cooper, praised Holmes in a statement to WRAL and told The N&O in a statement that it was a ‘tragic situation for Beth Wood to lose her job because she misused state property and was convicted of crimes,” and said Wood was “trying to curry favor with Republicans by attacking her successor in hopes of getting a job.”

“What a truly sad turn of events for her and her reputation,” Jackson said.

In response, Wood said the notion that her comments about the auditor’s race were in pursuit of a job was “BS.” She added, “I have a great-paying job, and I don’t have to go to a Democrat or a Republican for a job.”

Wood currently works as the director of rural government services at the Greg W. Isley, CPA, PA firm in Raleigh.

Holmes declined an interview request on Monday, but told The N&O in a statement that she did not seek and would not have accepted Wood’s endorsement, claiming that Wood hadn’t lived up to her longstanding reputation as an unbiased, professional and respected auditor.

“I inherited an incredibly competent but demoralized staff and audits that were several years old, some of which were fiscally irresponsible and or politically or personally motivated fishing expeditions intended to make headlines as opposed to making a difference to ensure the public’s trust in government spending,” Holmes said. “I stand by my approach, and statutory responsibility, to be the state’s “independent” auditor, to be solutions-oriented to prevent fraud, waste and abuse, and to call it out without bias or political puppeteering.”

Responding on Tuesday, Wood said Holmes was “absolutely incorrect” and was “trying to shift the conversation from her not being able to do the job.” Wood said Holmes inherited a “well oiled machine,” and said her record as auditor “speaks for itself.”

Holmes also criticized Boliek, her Republican opponent, for telling former President Donald Trump during a recent campaign stop in Asheville, as Trump described it, that “I’m only in politics for you.”

“North Carolinians should know that I am only in politics for them,” Holmes said.

Asked about that comment on Monday, Boliek said it was an “off-handed comment” by Trump, who was referring to a conversation they had before the event, during which Boliek told Trump that “his initial campaign in 2016 inspired me because he came from the business world and he was not a career politician.”

“Clearly I’m running to work on behalf of every North Carolinian,” Boliek said in a text. “And my campaign is not predicated on parsing every word someone says good or bad about me.”

Candidate experience and Wood’s support for Boliek

On Monday, the political action committee for the State Employees Association of North Carolina endorsed Holmes in the auditor’s race.

Boliek has been endorsed by Trump and several top GOP lawmakers, including Senate leader Phil Berger and House Speaker Tim Moore.

Asked about Wood’s endorsement, Boliek said he thinks it says a lot about his “competency and ability to lead the office” to have her support.

Boliek said that in multiple conversations with Wood, he talked with her about her experience in the office and the philosophy she brought to it, as well as the professionalism in the office and what it needs moving forward.

In an interview, he said that he believes the state auditor needs to “leave party politics at the door,” and represent “every single North Carolinian, to make sure that their tax dollars are spent correctly and with a return on investment.”

Unlike Wood, neither Boliek nor Holmes are certified public accountants. Libertarian Bob Drach isn’t a CPA either, but has experience in the private sector as a certified management accountant and treasurer, according to his campaign website.

Wood said that while none of the three candidates running are CPAs, she believes Boliek’s experience “certainly is in arenas more closely related” to the auditor’s office than Holmes, and that the difference between the two major-party candidates “is huge.”

Wood also said she was surprised to see Boliek face criticism for outlining areas of government and specific agencies that he believes are long overdue for a thorough audit, beginning with the Division of Motor Vehicles, which has been under scrutiny by state lawmakers as well.

She said she did the same thing when she was running, pointing to Medicaid cost overruns and efficiency as an example of a target she identified while campaigning, for an audit that would have the “most impact” for North Carolinians.

“He’s not going after anybody politically, he’s going after a division of an agency,” Wood said.

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