HomeMy WebLinkAboutMinutes - 19950619APPROVED 8/22/95
MINUTES
ORANGE COUNTY BOARD OF COMMISSIONERS
BUDGET WORK SESSION
JUNE 19, 1995
The Orange County Board of Commissioners met in Regular Session on
June 19, 1995 for the purpose of holding a budget work session at 7:30
p.m. at the Homestead Community Center in Chapel Hill, North Carolina.
COUNTY COMMISSIONERS PRESENT: Moses Carey, Jr., Chair, and
Commissioners Stephen Halkiotis, Alice Gordon, Bill Crowther and Don
Willhoit.
COUNTY STAFF PRESENT: County Manager John M. Link, Jr., Assistant
County Managers Rod Visser and Albert Kittrell and Deputy Clerk to the
Board Kathy Baker (other staff members are identified below where
appropriate) .
Chair Carey convened the meeting at 7:30. He indicated he hoped
that the Commissioners could agree on a budget during this session. He
distributed a proposed budget proposal and explained each of the items
included. This proposal would result in a final tax rate of 94.80
cents and a district tax rate of 1.54 cents. He mentioned that this
proposal would provide additional resources to the Orange County school
system to fund some of the projects that they have requested and would
provide additional resources to the Chapel Hill-Carrboro school system.
A copy of that proposal, in its entirety, is in the permanent agenda
file in the Clerk to the Board's office.
Commissioner Gordon mentioned that the proposal recommending the
appointment of a citizen committee to review all areas of County
Government has her support. She felt that the recurring capital budget
needed to be reviewed and an equity adjustment considered to reflect
the fact that the student ratio is approximately 600-40o with Chapel
Hill-Carrboro being 600 of the students and Orange County 400.
Commissioner Willhoit pointed out that 1.5 cents would fully fund
the Orange County school system's request and under fund the Chapel
Hill-Carrboro request by $67,000. The Orange County system could be
required to pay for solid waste collection disposal by contracting with
the County or a private hauler. They could also apply for a small
grant from the Landfill Owners Group for innovative projects. The
increase in the utility line item for both the Chapel Hill-Carrboro and
Orange County Systems could be eliminated by deliberate attention to
energy conservation. Each department and/or building occupant at the
University receives a utility usage statement along with a comparison
with last year. This needs to be instituted at both school systems and
with the County buildings.
Commissioner Gordon spoke in support of funding the new High
School start-up costs and the field hockey team.
Commissioner Halkiotis indicated that deliberate effort on the
part of the school systems will be required to reduce utility expense.
A plan needs to be created and teachers, staff, custodians, and
students need to be educated. He mentioned that increased technology
for new schools makes the achievement of energy efficiency even more
difficult. He requested accurate figures from each school system for
utility cost and the implementation of an initiative between County
government and the two school systems to look at current utility costs
and the creation of an incentive program for reduction of these costs.
Commissioner Crowther made reference to his list of budget
recommendations which differed substantially from those listed on Chair
Carey's proposal. He agrees with not raising the district tax and
suggested raising the general tax rate 1.75 cents with 1.5 dedicated to
the school systems directly. That would be $485,868 to the Chapel
Hill-Carrboro district and $347,216 to the Orange County district. In
conjunction with the Manager's suggested 4 cent property tax increase
the total increase using this plan would be 5.75 cents which he feels
is too large an increase. He will support a 2.75 cent tax increase or
a 91.25 tax rate. He feels the shortfall could be cut out of the
general fund or a 20 across-the-board cut in County expenditures
including both school systems. He stated that the County's increase in
taxes should not exceed the projected inflation rate for 1995-1996
which is 3.10.
Commissioner Halkiotis mentioned that the Citizen Work Group
proposed by Chair Carey would be able to identify areas where
innovation and more efficient use of resources could occur. This could
bring about a real cost savings.
Chair Carey commented he felt that the proposal he presented takes
care of current needs and allows for a start on trying to address
future capital needs which have already been identified.
Mary Bushnell mentioned that the current proposal leaves Chapel
Hill-Carrboro Schools with no discretionary money whatsoever. They will
have no money to complete projects such as an operational analysis.
This school system is being penalized because they are growing so fast.
She asked the Commissioners to consider her comments in their decision.
In response to a comment regarding savings through energy conservation,
she mentioned that it was not possible to decrease utility costs and
increase facilities at the same time.
Commissioner Willhoit asked if the 5o increase in utility costs
was for inflation or for new facilities. Superintendent Pedersen
indicated that that increase was for inflation.
Commissioner Gordon commented that this proposal funds the growth
for the school system but does not include anything additional for the
Chapel Hill-Carrboro System. She felt that was a hardship for the
school system. She agreed with Mary Bushnell's comments.
Chair Carey mentioned that he could not support the proposal
presented by Commissioner Crowther because it was not possible to make
cuts across-the-board. Much of the County's budget is not negotiable
and cannot be cut which would make the suggested cuts a real hardship
on the departments and programs which are not mandated by the state or
federal governments.
Commissioner Willhoit mentioned it is important that land be
purchased as it becomes available. He hoped that the money allocated
for School Capital Reserve would be used for that and not for other
purposes.
A motion was made by Commissioner Halkiotis, seconded by
Commissioner Willhoit to adopt the Manager's proposed budget with the
eight (8) proposals presented by Chair Carey which sets a general tax
rate of 94.75 cents and a district tax at 15.5 cents. and provides a
per pupil allocation of $1,571 per student.
VOTE: AYES: 4 (Chair Carey and Commissioners Halkiotis, Gordon and
Willhoit)
NOS: Commissioner Crowther
County Manager John Link indicated that as he understood the
proposal, there would be an additional fund balance of $112,240. That
money would include $57,998 for the Junior League Middle School
Program, along with an additional $18,000 for the Chapel Hill Library,
$5,000 for the Carrboro Library and $32.00 for the Mebane Library. The
increased appropriation to the Chapel Hill-Carrboro School System would
be $402,576 and to the Orange County Schools $287,693. One (.Ol)
additional cent on the Property Tax for School Capital Reserve would
result in $476,000. The per pupil allocation is $1,571. The property
tax rate would be set at 94.75 per $100 assessed valuation. The Chapel
Hill-Carrboro City School District Tax is set at $15.4 cents The Fire
Districts would remain as they are in the Manager's Recommended Budget.
There being no further business, the meeting was adjourned. the
next regular meeting of the Board of Commissioners will be held on
Monday, June 26, 1995 at 7:30 p.m. in the Orange Water and Sewer
Authority Community Meeting Room, Carrboro, North Carolina.
Moses Carey, Jr., Chair
Kathy Baker, Deputy Clerk