HomeMy WebLinkAboutAgenda - 03-06-2014 - 7b 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: March 6, 2014
Action Agenda
Item No. 7-b
SUBJECT: Authorization for Triangle Transit Authority to Levy an Additional Three Dollar
($3) Vehicle Registration Tax in Orange County
DEPARTMENT: Attorney/ Planning and PUBLIC HEARING: (Y/N) No
Inspections
ATTACHMENT(S): INFORMATION CONTACT:
Resolution Authorizing the Research John Roberts, County Attorney, 919-245-2318
Triangle Regional Public Transportation Craig Benedict, Planning Director, 919-245-
Authority to Levy the Full Eight Dollar 2592
($8.00) Vehicle Registration Tax on Motor
Vehicles Registered in Orange County
PURPOSE: To consider a resolution authorizing Triangle Transit Authority ("TTA") to levy an
additional $3 vehicle registration tax in Orange County.
BACKGROUND: In June 2012 the Orange County Board of Commissioners approved the
Orange County Bus and Rail Investment Plan ("Plan"). The Plan provides the method and
procedures whereby additional bus service, bus rapid transit, and light rail service may be
provided in Orange County. In addition to state and federal funding, the Plan designates as
funding for these certain services the vehicle registration tax authorized by North Carolina
General Statute (NCGS) 105-561 ($3).
TTA currently levies a $5 vehicle registration tax in Orange County pursuant to the authority
granted in NCGS 105-561. The vehicle $3 vehicle registration tax is an expansion of this tax to
the maximum amount authorized by the statute which is $8.
In December 2012 the Board of Commissioners approved a similar resolution. However, TTA's
general counsel subsequently formed the opinion that the language of NCGS 105-561 required
all three counties, Durham, Orange, and Wake, to approve the increase in order for it to take
effect. Only Durham and Orange approved the increase. TTA successfully secured an
amendment to NCGS 105-561 in the 2013 legislative session. The amendment allows the tax
to be implemented in each county that approves it.
The resolution authorizes TTA to move forward with the levy of these taxes.
FINANCIAL IMPACT: The annual revenue expected from the TTA $3 tag fee, once fully
implemented, is projected at approximately $338,000 a year with 2% growth per year per the
adopted Orange County Bus and Rail Investment Plan.
RECOMMENDATION(S): The Manager recommends the Board approve and authorize the
Chair to sign the attached resolution.
2
RES-2014-015
ORANGE COUNTY BOARD OF COMMISSIONERS
RESOLUTION AUTHORIZING THE RESEARCH TRIANGLE REGIONAL PUBLIC
TRANSPORTATION AUTHORITY TO LEVY THE FULL EIGHT DOLLAR ($8.00) VEHICLE
REGISTRATION TAX ON MOTOR VEHICLES REGISTERED IN ORANGE COUNTY
WHEREAS, the Orange County Board of Commissioners has adopted the Orange County
Bus and Rail Investment Plan; and
WHEREAS, the Orange County Bus and Rail Investment Plan provides for the levy and
disbursement of the full amount of the eight dollar ($8.00) motor vehicle registration tax
authorized by North Carolina General Statute (NCGS) §105-561(a); and
WHEREAS, pursuant to NCGS §105-561(a) the Research Triangle Regional Public
Transportation Authority currently levies a motor vehicle registration tax of five dollars ($5.00)
on motor vehicles registered in Orange County and desires to levy the full amount; and
WHEREAS, the Research Triangle Public Transportation Authority has created a special tax
district consisting of Orange and Durham counties for the purpose of increasing the motor
vehicle registration tax in those counties by three dollars ($3.00) as provided in NCGS §105-
561(d); and
WHEREAS, the Research Triangle Public Transportation Authority Board of Trustees
conducted a public hearing on the proposed increase in the tax rate in accordance with
NCGS §105-561(b)(1); and
WHEREAS, the Research Triangle Public Transportation Authority's Special Tax Board,
pursuant to NCGS §105-561(b)(2), adopted a resolution approving the three dollar ($3.00)
increase in the tax rate in the special tax district to the full amount of eight dollars ($8.00).
NOW, THEREFORE, BE IT RESOLVED, that it being in the best interest of the citizens and
residents of Orange County, the Orange County Board of Commissioners hereby authorizes
and approves the levy of an additional three dollars ($3.00) of the motor vehicle license tax
as authorized by North Carolina General Statute §105-561.
This the 6t" day of March 2014.
Barry Jacobs, Chair
Orange County Board of Commissioners
Attest:
Clerk to the Board of Commissioners