The City of Lenoir received a strong fiscal outlook from its auditor during Friday's Committee of the Whole meeting at City Hall.

Despite the difficult economic climate, the city added $334,000 to its undesignated fund balance during the 2008-09 fiscal year that ended June 30, the equivalent of more than 20 percent of its general fund. Total assets, including the city's water and sewer department, exceeded liabilities by nearly $62 million.

"I think the city is in excellent financial shape," Morganton-based auditor Eric Bowman said. "Of my governmental jobs, this is one of the best I have."

Lenoir had $3.65 million in undesignated cash reserves at the end of the year and maintained its A bond rating.

"Five years ago, our financial situation was drastically different than it is now," Lenoir City Manager Lane Bailey said.

Councilman David Stevens recalled that fund balance had dropped down to 12 percent back then and said, "If you look at where we have come, we are more able to wrestle with these difficult economic times."

Mayor David Barlow noted the solid numbers have come without an increase in the property tax rate during the past four years.

Meanwhile, Broyhill Furniture President Jeff Cook made his second visit this week with a government body, updating the council on the consolidation of upholstery manufacturing operations into the former Pacemaker facility. In a presentation similar to the one he made with the Caldwell County Board of Commissioners on Monday night, Cook reiterated that the company has brought more than 230 jobs to the county since the consolidation, with an average working week of 40.2 hours since the beginning of the year.

"This is just the opening chapter of our work," Cook said.

In other business, the council:

* Approved the demolition of five dilapidated houses, including 1412 Essex Place SW, 503 Foster Place NW, 506 Foster Place NW, 701 Stage Street NW and 206 Prospect Street NW.

* Received an update on the Broadway Street bridge replacement. Public Works Director Charles Beck said the bridge is scheduled to be finished by the middle of December.

Also, the Mulberry Street bridge replacement project is set to be sent out for bids in December, with construction commencing in the spring. Once the project begins, Beck said, the bridge likely will be closed for 6 to 8 months.

* Learned that the Veterans Plaza project remains on schedule for a dedication on the Nov. 11 Veterans Day holiday. Also, Bailey said additional research revealed that City of Lenoir employees will in fact have a paid holiday on Veterans Day.

* Listened to a report from Tony Gallegos of the Western Piedmont Council of Governments concerning the recommendations for the Lake Rhodhiss watershed restoration project. The suggestions will be discussed at the Oct. 20 city council meeting.

* Moved the 6 p.m. Oct. 20 meeting to the former council chambers on the third floor of City Hall due to early voting at the City-County Chambers. Also, the Nov. 3 council meeting will at City Hall due to Election Day.