HomeMy WebLinkAboutMinutes - 19850529MINCTl'ES
ORANGE COU'!~'X B~ OF COMMISSIONERS
SPEC2AL i+IEE.TING
$LIDGE'I'
NlAY 29, 1985
The Orange County Board of Commissioners met in special session on May 29,
1985 at 7:30 in the Courtroom of the Old Past Office in Chapel Hill, North
Carolina for the purpose of hearing a presentation by the Chapel Hill/Carrboro
Schools on operating and capital requirements for 1985-86 and a presentation
from County P4anager Kenneth R. Ttxx~pson on the major cost elements of a 1D~
personnel increase proposed by the state.
~S~(~T RS~$~SENT~ Chair willhoit arr-J Commissioners Shirley t+]arshall,
Moses Carey. Ben L1_oyd and Norman 4~alker.
County t4anager Kenneth R. Thompson, Dire.^tor of Finance
Gordon Baker, Assistant County triar~ager Albert Iiittrell, Financial Analyst Donna
Clayton and Clerk to the Board Beverly A. Blythe.
Dr. Parrish, Chair of the Chapel Fiill/Carrbora Schools, noted the budget
is nonexpansionary and the recommer~ation from the County tanager is greatly
inadequate to fully fund the budget.
Sue Baker, School Board Member, stressed that full funding of the budget
in just a continuation of their present programs and services with no increase
in staff. She requested that this continuation be funded. She gave a brief
sur[¢nary of the achievements by Chapel Ha11-Carrboro students.
Dr. Mayer, Superintendent of Schools, made the following conanents:
1. Student population continues to climb with an expected enroll-
ment for 1985-86 of 5,334 students.
2. The 1984-85 budget was supplemented with approximately 5800,000
from the furu3 balance which is a nonrecurring source of revenu-
e.
3. The budget request represents a status quo budget for program
expenditures with a 5~ inflationary factor built into non-
.: program expenditures with exceptions in several areas.
Dr. Mayer gave an overview of the preliminary budget and su~rized
certain key items:
1. Revenue projections are based on a per pupil allocation of $782
for 5,334 projected students which equals 5946,439.
2. A district tax increase of 3.7 cents to 19.3 cents will yield
5602,494.
3. The appropriation from the County represents 87.ag of all local
funds.
a. Eighty-five percent (8S~) of the request will go for employees,
Harvey Gay, Finance Officer, described the process by which the budget was
Put together and detailed information about changes in the actual amounts of
money being spent:
1. Ten percer~ (IO$) salary increase is in the budget for all
employees.
i. Five percent (5~) inflation increase for all nonsalaried cost
except for utility cast, telephone cost, insurance cost, etc.
3. Referring to Category 1, current capital is a reflection of the
five-year, lorxl-range capital plan.
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He noted that all other items listed were presented in the budget last
year but Here cut. The only additional request is for storage space.
He summarized the new items in Category 2 and listed the replacement items
in category 3.
Chair Willhoit asked that at a future budget session a discussion be held
to determine the discrepancies in the deficit from last year and whether the
oN.y enhancements available are due to reprioritizing items within the budget.
He asked that information be provided on the :~-nplications of growth and the
method for calculating the increase in the fixed costs. He'asked that further
discussion be held on the fund balance and haw the carryover items affect the
fund balance.
Chair Wi.1.lhoit asked to what extent had the Basic Education Program been
considered as a program enhancement and will it suppl~nent any of the local
money.
Dr. Mayer indicated the Basic Education Program calls for the reduction of
class size which is the current class size so it would ultimately free up scone
of the money for reduced class size in 7, S, and 9 that local funds are now
used for and therefore that local money could be used for other areas of loco].
effort.
Gerd' House, Chapel Hill School Administrator, pointed out that the six
million mentioned for the Basic k7ducation Program is the figure for the entire
project over a number of years and not the amount received for one year.
After further discussion by the Board and conm~erits by the School p,~~
istrators, Kenneth Thompson outlined some o~ the issues that may have a bearing
on the 1985-86 budget. For 84-85 the School Board requested S1,071,OD0 as an
increase. The Board funded the cost of salary increases in the amount of
5566,000 which represented 10~ for all employees and aI! additional Q.8$ for
certified positions. The per pupil was increased to $653 based on an average
daily membership of 4,938. The district tax was increased by one cent and the
Hoard requested that Chapel Hill-~Carrboro azapropri«te $106,000 fry fund
balance. The current capital for 84-85 totaled 5480,900 plus 580,000 from the
sales tax reserve for the science lab. The recoam~xadation far 1985-85 i.s
5378,000 plus 1.5 million (both school systems) from the sales tax revenues to
fund capital projects to enable Chapel Hill to begin construction of multi-
purpose space in 1986-87 at a cost of 5816,000, and cafeteria space for
5250,000.
After a lengthly discussion it was decided that a decision needs to be
made in the near future on how to phase in the long range capital projects and
the method for funding.
Revenues for the current expense budget were discussed ark the fut~
balance. Harvey Gay indicated tl-,at nothing had been received from back taxes
or from fines and forfeitures. Aftez further deliberation it was determined
that there is a difference in the amount of revenues that may be received and
the amount allocated for personnel. The supplements for all teachers, state
and local, are paid from local funds.
Dr. Mayer noted that the appropriation last year did not cover the salary
reguirlts which included a 14.8 increase £or everyone, and that the deficit
must be included in the budget for 1985-86.
Chair Willhoit adjourned the special meeting. The next regular meeting
will be held on June 4, 1985, 7:30 p.m. in the Superior Courtroom, Hillsborough
Nnr"Fh Carnl ina.
V V 11 ~ V
Don Willhoit, Chair
Beverly A. Blythe, Clerk