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HomeMy WebLinkAboutMinutes 09-13-2022 Work Session 1 APPROVED 10/18/22 MINUTES ORANGE COUNTY BOARD OF COMMISSIONERS WORK SESSION September 13, 2022 7:00 p.m. The Orange County Board of Commissioners met for a Work Session on Tuesday, September 13, 2022 at 7:00 p.m. at the Whitted Human Services Center in Hillsborough, NC. COUNTY COMMISSIONERS PRESENT: Chair Renee Price, Vice Chair Jamezetta Bedford, and Commissioners Amy Fowler, Sally Greene, Jean Hamilton, and Anna Richards COUNTY COMMISSIONERS ABSENT: Commissioner Earl McKee COUNTY ATTORNEYS PRESENT: John Roberts COUNTY STAFF PRESENT: County Manager Bonnie Hammersley, Deputy County Manager Travis Myren, and Clerk to the Board Laura Jensen. (All other staff members will be identified appropriately below) Chair Price called the meeting to order at 7:00 p.m. Chair Price, Commissioner Bedford, Commissioner Fowler, and Commissioner Hamilton were present. Commissioner Richards and Commissioner Greene were not yet present. 1. Property Tax Assessment Presentation from UNC School of Government The Board received a presentation on Property Tax Assessment from staff with the UNC School of Government, including basic information on the purposes of a revaluation. BACKGROUND: The Tax Administration office conducts a County-wide revaluation every four years. The most recent revaluation was effective January 1, 2021. Revaluation is a process where all property within a taxing jurisdiction is revalued to its current market value as of an established date. The purpose is to fairly reflect the value of all property and to help ensure that property owners pay equitable tax based on the value of their property. Due to unparalleled increases in the market prior to the January 1, 2021 revaluation date, properties county-wide saw a substantial increase in their property tax values upon the revaluation. In addition, community leaders shared information previously unknown to the Tax Assessor concerning a neighborhood conservation district in Chapel Hill. Under the direction of the Board of Equalization and Review, the Tax Assessor's office reviewed and made changes to the values of many of the properties in the district. These unique situations have increased the amount of contact between constituents and members of the Board of Commissioners concerning property values. This presentation will provide additional information to Board members about Property Tax Assessment and Revaluation to assist the Commissioners in responding to the concerns of taxpayers. The presenters are from the School of Government at the University of North Carolina. The presenters are Christopher B. McLaughlin, Professor of Public Law and Government, and Kirk F. Boone, Teaching Assistant Professor in Public Finance and Government. Professor of Public Law and Government Christopher B. McLaughlin has worked with the School of Government since 2008. Mr. McLaughlin works in the area of local government tax and finance, along with ethics for government attorneys. Mr. McLaughlin has written books on 2 property tax collections, tax foreclosures, and occupancy taxes, and has published over 200 blog posts, including on subjects such as local taxes and legal ethics. Teaching Assistant Professor in Public Finance and Government Kirk F. Boone has worked with the School of Government since 2014 and began his governmental career in 1992 working with the North Carolina Department of Revenue as a Property Valuation Specialist. Mr. Boone holds designations from the North Carolina Association of Assessing Officers and the International Association of Assessing Officers. Mr. Boone is a national instructor for the IAAO International Association of Assessing Officers. Nancy Freeman, Tax Administrator, introduced the speakers. Commissioner Richards arrived at 7:04 p.m. Kirk Boone made the following presentation: Slide #1 Orange County Board of Commissioners Chris McLaugblin & Kirk Boone UNC Sohool of • Seplember 13,2022 lElUNC Slide #2 Presentation goals 1 . Appraisal 2. Reappraisal 3. Equity & Education Kirk Boone said a goal of the process is to be objective. 3 Slide #3 Appraisal What is Appraisal? Generally-An opinion of value. Legal Definition-The true value of property or the process by which true value is ascertained. The county assessor- has general charge of the listing,appraisal,and assessment of all property in the county in accordance with the provisions of law. Assessment—The tax value Kirk Boone showed the Board books with all of the North Carolina tax laws. He showed a book that was specifically for property tax laws, which was a significant portion of the overall tax laws for the state. Commissioner Greene arrived at 7:08 p.m. Slide #4 Appraisal What is true value? The price estimated in terms of money at which the property would change hands between a willing and financially able buyer and a willing seller, neither being under any compulsion to buy or to sell and both having reasonable knowledge of all the uses to which the property is adapted and for which it is capable of being used. —NCGS 105-283 Slide #5 Appraisal True Value estimated True Value= Market Value, as of a date Market value vs. Market price Cost approach Sales Comparison approach Income approach Real property"appraisers"? 4 Kirk Boone said the true value is estimated as of January 1 st by county appraisers. He said that sales comparisons are the gold standard for estimating true value. He said that income approach is an estimate based on the future value. He said that every county appraiser must understand the three approaches, as well as mass appraisals. He said that real property appraisers must be certified, and county appraisers must be certified by the NC Department of Revenue. Slide #6 Appraisal The connection Reappraisal Appraisal Reappraisal Market value as of a date Market value as of a date Usually one property All properties One appraiser Multiple contributors Appraiser must be Assessor and Appraisers certified must be certified The three approaches The three approaches USPAP Appraisal USPAP Appraisal Process Process Quality measured by Quality is measured by comparability of sales statistical testing Kirk Boone said that the USPAP Appraisal Process is developed by the Appraisal Foundation in Washington, D.C., which sets professional standards for appraisers. Commissioner Richards asked if the four-year revaluation cycle is set by statute. Kirk Boone said no. He said there are legal requirements and that prior to 1958, some counties had not reappraised property in decades. He said the study committee found that not reappraising caused inequities, and the General Assembly passed a law requiring revaluations every 8 years. He said that in recent years, studies have found that 8 years is too long of a period to wait for revaluation. He said that Orange County is on a 4-year cycle and Durham County was previously on a 3-year cycle. He said that to go on an annual revaluation cycle would be difficult due to the way North Carolina property tax laws are written. Slide #7 Reappraisal Legal Requirements Equity a Equity is the driver of reappraisal —Prior to 1959 — 1958 Property Tax Study Committee — 1981 Property Tax Study Committee Since 1959 Counties must reappraise all real property as of January 1 at least once every 8 years. 5 Slide #8 — Reappraisal Four Farces or value, n _ t ' k � y• 1 Phystal ! Economic Governmental 2915 Social A. r HagFtwhwlc -- JT Kirk Boone said that appraisers must consider anything that affects value. He showed a map of market areas and neighborhoods in Iredell County. Slide #9 Reappraisal + r s.. Kirk Boone showed a closer picture of an area of Iredell County which is more densely populated and therefore has more neighborhoods defined for appraisals. 6 Slide #10 Reappraisal Why Reappraise often ? Equity Low Income Owners FE10 Income owners }errs-7L of-arke[value mledian Median Median medmn Median Median 'aw If wme bw9Atr1&e Aiseiw sal+s saes FSeSSW A7erbrt1 Sarei -ASSM 41over Value price p�ri0 Wkk valve NAU�vllgn in0prrecwflets Ya.1r RQaapralsal MH IMAM A0,000 Lc" L91CMD iqc,offll M ahs 203A 1WPM 1I1ZDXI 0.Sa9 1 OU 1 cU0 2% 2715 WOOD 164 0.S TS 190,00 KLZOm U= 4% 257E I MOOD L&6J00C a%5 L90,Lrm za 000 L,.4t3 6% n37 IM000 1&IXXU 0.557 190.00 214,000 o.an B!6 2D33 190,M! 190)X(l QS-07 19gm0 32g000 G.afi4 109t 2919 I-D t 9 19,)XU HE 194.MV ZD%000 G.341 12% 2�O�G IV ow 0 15i'm G.92s1 3M.Ma nZwol G.M19 11% �ODGrEiill 20�L 19�.C�0 195� LWU �d}Q �A6 ThI¢gW4rm9F Yn034-oh-grq diLPOG?4Iq Ingpm a 10 UWQV LvCuld r,?np Sq IMGSt In pMpVtlej with jrgWWr;ppWliklgn Kirk Boone said he was at a conference recently where people from the Lincoln Institute of Land Policy said that the most fair and equitable way to administer a property tax is through sound assessment and appraisal principles, and frequent revaluation accompanied by adjusting the tax rate. He said that values go up, which are captured in a reappraisal. He said that the Board can adjust the tax rate to collect the same amount of property tax. He said that high income areas tend to have property that appreciates more quickly. He said investors tend to buy in areas where there would be the quickest appreciation. He said that assessed values must stay the same until the next reappraisal. Commissioner Richards said that property owned by investors versus properties that are owner-occupied are not considered differently. Kirk Boone said that is correct. Commissioner Richards asked if that was factored into the assessment at all. Kirk Boone said that is not factored into the value. He said it is certainly an issue for local governments. Commissioner Richards said it is an issue in Orange County because of investors purchasing homes in the Northside neighborhood, and she felt it contributed to reappraisal issues Kirk Boone said that in North Carolina what they have seen is that investors are purchasing single-family residences. He said in Mecklenburg County, 90% of single-family homes under $400,000 in value are corporate owned. Commissioner Richards asked how that is taken into account. Kirk Boone said that assessors have an obligation to do one thing. He said they do not create value. He said assessors and appraisers report what is really happening in the market. He said they report what buyers and sellers are doing. He said that the solution to the issue described by Commissioner Richards is more frequent reappraisal. He said that gentrification is a big issue. He said the assessor's office reports what the properties are selling for. He said the solution for gentrification might come from the Board, planners, the County Manager, and the assessor, who can report on what is happening in the market. Chair Price asked about the maps on slide #8 and #9. She asked how the neighborhoods were decided. Kirk Boone said it is a manual process by the tax assessor's office, but that the assessor's office has access to software programs that can analyze where neighborhood boundaries should be drawn. He said the manual side is starting with a property, then go outward from that point where the four forces of value are no longer affecting property the same way. He said at that point a boundary would be drawn. Chair Price said that there are neighborhoods in Orange County where the forces of gentrification are uneven. She said the map looks uneven and asked if it is arbitrary where lines can be drawn. Kirk Boone said no. Chair Price said the map showed what looked like little islands for neighborhoods. Kirk Boone said those areas could be subdivisions, or an area that has different zoning. He said boundaries can be political boundaries, city or town limits, or physical limits like a river. Chair Price said it looks like someone could cut out a specific street. Kirk Boone said that is possible. He said it could be a street, a railroad line, a vacant lot, or something the appraiser has seen when collecting data. Chair Price said that she was referring to the map on slide #9. Kirk Boone said that the map on slide #9 showed a closer view of one area of Iredell County that was next to a lake. He said that many of those neighborhood boundaries were likely subdivisions. Chair Price said some neighborhoods looked landlocked. She used Hillsborough as an example and asked if assessors would create a neighborhood boundary just around the Whitted Building, or would the whole street be part of the neighborhood. Kirk Boone said that assessors would not cut out just a block on a street. He said neighborhood boundaries are related to the forces of value. He said that he was not aware of how Iredell County drew their boundaries, but he understands the method of drawing boundaries. Slide #11 Reappraisal Reappraisal accuracy Maintain accurate property data between cycles. —Physical and other pertinent info. —Geographic areas assigned to appraisers. —Pick up new construction accurately. —Check existing parcels for accuracy. —Communicate with property owners. 8 Kirk Boone said that between revaluations, appraisers must keep up with developments and changes that might affect values. Slide #12 Reappraisal Kirk Boone described the images in slide #12 and said that appraisers consider similar characteristics when comparing homes and creating appraisals. He said that they focus on location, square footage, topography, and any updates to the properties to create a mass appraisal. Slide #13 Reappraisal Mass appraisal models Model Specification— structure, approach, and characteristics important to value. Model Calibration— the amount each characteristic impacts value. — Calibrated with cost, sales, and income data Residential properties — arms-length sales and market cost data are used to appraise all comparable properties (sold and not sold). 9 Slide #14 Reappraisal al Sales/Income/Cost File Sales in Neighborhood 0901 and cost data from builders and developers indicate: MMMMMM q#k 2000 2500 3000 1500 $120 $240,000 $300,000 $360,000 $180,000 Bath 1F1H 2F1H 2F2H 1F1H 2FOH _$1,000 +S1,000 +$1,500 -$1,000 bass Fireplace Y+4.000 N Y+4.000 N $4,000 Grave C D-20% B +20% C C Avg Value $243.000 $240.800 $438.600 $181,000 Kirk Boone said that data from properties would be used to create a mass appraisal. He showed that some characteristics add or decrease value based on the neighborhood market. Commissioner Hamilton asked if it is one equation for all of the property in a county and then the different variables and coefficients have to capture the different variables for each neighborhood. Kirk Boone said no. Commissioner Hamilton asked if it is an equation by neighborhood or for the whole county. Kirk Boone said that typically, several neighborhoods make up a larger market area. He said that there could be one model for market area that takes the neighborhood into consideration. He said that there is not one equation or coefficient for the whole county, but there could be for a neighborhood. He said that all of the equations then come together with the use of the software. He said they need to be able to explain the models instead of saying that a computer did it. He said that many times the model structures and coefficients are done by multi-linear regressions and other statistical processes that are not completed by hand. Commissioner Hamilton asked how often someone examines the neighborhood and how it might be changing to update the model. Kirk Boone said all that work must be done before the next reappraisal. He said this is all done years in advance. Commissioner Fowler asked about the "grade" of a home, listed on slide #14. Kirk Boone said that some of the characteristics consider types of standards that are set in a data collection manual. He said that some of the characteristics considered are quality of construction and the condition. He said that these are two subjective areas. 10 Slide #15 Reappraisal Examples of Data collected QuantitativelObjective Qualitative/Subjective Number of Baths Topography Land Area Traffic Square Feet living area Condition Garage Style Outbuildings Views Parch size Other ranks Fireplace - Excellent,Fair,Poor Other measures and More difficult to verify counts Slide #16 Reappraisal Statistics — Ratio Studies ""'Y Assessed values 1 Qualified sales price Central Tendency— .90 to 1.10 —Median Spread— 5 to 15, sometimes 20 —Coefficient of Dispersion Vertical Equity(.98— 1.03) —Price Related Differential Slide #17 Median —Accuracy Equity COD - Precision Law accuracy Low aoourazy Law Pre Imn Pr iw— High JGG4raGY N"Jh itt4riGY Low Precisicn sign[vecision 11 Slide #18 Equity Horizontal Equity - Median/COD Are all classes / locations/ stratum of properties being appraised at the same appraisal level — Commercial, Residential, Vacant Land — Neighborhoods and other areas — Strata (size, age, quality) Slide #19 Equity Polygon example Appraisal Level 6A D2 Area Area0 Area Area Raadernial —Canmeroai Vacant Land 12 Slide #20 Equity Vertical Equity — PFD Equity between low and high value parcels If high value parcels are under-appraised relative to low value — regressive PRD>1.03 — If low value parcels are under-appraised relative to high value — progressive PRD<.98 — No bias - PRD acceptable range .98-1 M He said that vertical equity is regressive, and they do not want to be. He said that if high value parcels are under appraised compared to lower value appraisers that is not good. He said that there is also progressive bias. He said the goal is to have no vertical equity bias. Slide #21 Equity NICYIM'SN fnoo-.fYO�1'1• p rFO I{O i M'4 Yew OR HG 61+� 4 A �2 . I it x 34 +b 54 4G '4 x7 M+r~M-W% 16 �� - - _ I � +tiw+ays+Ok■ Ob WWd-4al r 6 B f rrtn La. 0-0 r 4 1y N 3D 4 Y] 64 TO K 144 PkwaPkM id 1.2 l..w..w■i� t l�o x,ln iiL• 1 am%* oa $ MO 1.13 r..mxNr 6+ 8 10 ro- J4 5u � rn A k. r1 EQ 6# n UM 13 Kirk Boone said that the best way to visualize vertical equity is by using a scatter plot. He said that this is an old example, but if the dots are even around the horizontal line then you do not have a problem. He said the middle and bottom examples are depictions of problems. Slide #22 Appraisal Final Thoughts Reappraisal a y Staffing and Resources Education Reappraisal Pod cast for elected officials https://Podcast.sog.unc.edu12021103125 prcpe rty=revaluatian/ E- ^[i] Commissioner Richards asked for clarification on defining a neighborhood boundary. Kirk Boone said it does not have to be a physical boundary. Commissioner Richards asked if boundaries are set early in the process and if they can be changed. Kirk Boone said they are set early, and once they are set; they are set. Chris McLaughlin made the following presentation: Slide #1 Orange County Board oCommissioners September 13, 2022 Kirk Boone&Chri5 McLaughlin, .,I of Government ta the BUNCSCHOOLOF GOVERNMENT 14 Slide #2 Property4 Limitations on Local 1. Uniformity clause of N.C. Constitution 2. "True value" appraisal standard 3. Limited refunds & releases 4. Appeal Process Slide #3 Chris McLaughlin said that only the General Assembly can set exemptions. Slide #4 North Carolina Constitution., Art. V,, Sect. 2 • Property Tax Classifications& Exemptions: • Power delegated only to the General Assembly • Uniform and statewide • No local exemptions • Property Tax Rates: • One rate per jurisdiction EXCEPT for "special service districts" •Applies to all property: real and personal and RMVs 15 Chris McLaughlin said that property tax rates must be uniform within a jurisdiction and that there cannot be different rates for owner-occupied properties versus investor-owned properties. He said they are not allowed to be creative with rates. He said that the only exception is a special service district. He said those are identified and additional property taxes are levied in that district for additional services. He said that within those districts there must be uniformity on all properties. Slide #5 2. "True Value" Appraisal Chris McLaughlin said this is the goal of an appraisal. Slide #6 "True Value" § 105-283. Uniform appraisal standards. All property, real and personal, shall as far as practicable be appraised or valued at its true value in money. Slide #7 16 Slide #8 Limited Authority for Tax Refunds & Waivers •§ 105-380. No taxes to be released, refunded, or compromised. •The governing body of a taxing unit is prohibited from releasing, refunding,or compromising all or any portion of the taxes levied against any property within its jurisdiction except as expressly provided in this Subchapter. •§ 105-381: Property Tax Release or Refunds only for: • clerical errors • illegal taxes Chris McLaughlin said that the Machinery Act, which has all of the laws for property taxes, only allows refunds or waivers for clerical errors or illegal taxes. He said local boards cannot just decide to forgive taxes. Slide #9 Property - Programs • Cannot create own exemptions • Cannot cap reappraisal value increases • Cannot waive property taxes unless illegal/clerical error • Must justify as housing or welfare programs • Income restrictions • Loans vs.grants? • Tied to length of home ownership? K Chris McLaughlin said the statutory limitations affect property tax relief programs. He said local boards need to have a strong argument for why property tax relief programs are allowed. Slide #10 17 4. Appeal - ss Ai Slide #11 Property Tax AppealProcess • County appraisal presumed to be correct;burden of proof on taxpayer •Some constitutional and statutory restrictions that apply to origfnaf appraisaf process also apply to appeals 1. Informally to the assessor 2. County Board of Equalization & Review ("Bd of MR") 3. State Property Tax Commission 4. State Courts Chris McLaughlin said that appeals are also driven by the goal of finding the "true market value" of a property. He said there are approximately 60,000 properties in Orange County. He said that staff cannot get to all properties, and there will be mistakes. He said that counties cannot appeal a county board of equalization and review decision. Nancy Freeman introduced the Tax Administration staff that were in attendance — Deputy Assessor Chad Phillips, Real Property Appraiser Manager Roger Gunn, and Business Officer Leslie Wilcox. Chair Price thanked them for the work they have been doing. Commissioner Bedford asked if land is assessed separate from the structures. Roger Gunn said they are looking at combined values and that the state requires that appraisers allocate a certain amount of value to land and to buildings. Chair Price asked when neighborhood boundaries can be changed. Kirk Boone said they can be changed prior to the next revaluation. Chair Price asked if they can be changed now. Kirk Boone said that the 2025 reappraisal is already likely planned. He said that a four- year reappraisal schedule is a continuous process. Chad Phillips said that neighborhoods are being reviewed now for the 2025 reappraisal. 18 Commissioner Bedford asked about the Northside neighborhood. She said that the blocks are interspersed. She said that the true value is elevated from the sales approach. She asked if it is appropriate to use an income approach for gentrified neighborhoods like that. Roger Gunn said that the same approach has to be used for the same type of property. He said that is because they all have the capacity to be rented or owner occupied. Commissioner Bedford said that potential use is not the current use and that is hard to swallow as being fair but that she understands the law. Roger Gunn said there is no way of them having an idea of what an intended use of a property might be. Chris McLaughlin said that the goal is true market value. He said they seek the value that buyers would pay for similar properties next door to each other, one rented, one not. He said that sellers would likely sell them for similar prices. Commissioner Richards asked for examples that show neighborhood comparisons with assumptions that they are entering the new cycle with. She said they could show two identical houses and how that might change going into the next revaluation. Commissioner Bedford asked if there are different variables from neighborhood to neighborhood. Leslie Wilcox said if a new home is built, it is assessed through the permitting process. She said a new construction home is not assessed in the same way as a home that had been there for 20 years. 2. School Capital Needs Work Group Final Report The Board received the Final Report from the School Capital Needs Work Group and provide direction on next steps. BACKGROUND: The Capital Needs Work Group (the work group) was established in Fall 2021 as a result of a petition by Commissioner Jean Hamilton of the Orange County Board of County Commissioners (BOCC). The petition requested the work group address the capital needs of the two public school systems in Orange County— Orange County Schools (OCS) and Chapel Hill Carrboro City Schools (CHCCS) — especially the older schools, such that an actionable plan (over 10 years) would be developed that would dedicate funds and a process to address the needs. The work group sees value in collaboration and coordinating capital efforts across the BOCC, County staff and two school districts. The County is responsible for allocating capital funds amongst the schools and County capital needs. The school districts are responsible for managing their individual facilities to best meet local needs. In that context, the work group is interested in continuing to explore ways to improve efficiencies and transparency, and to better inform decision-making around the capital needs for all its schools. The work group agreed to present the three recommendations listed below (and as detailed in Appendix 1) to each of the three elected boards represented on the work group for consideration and approval: • Hire a consultant to evaluate the County's approach to school capital planning, design, contracting, and financing. • Research alternative funding sources for school capital improvements. • County and both school districts commit to continue working together on school capital planning through the existing work group. 19 If both school boards and the County agree, and the County moves forward with the consulting assessment, the work group should shift to an advisory role working with the consultant. School districts and the County should appoint board and staff leaders to continue. Chair Price said this report would be discussed with the schools at the upcoming joint work session. Gary Donaldson, Chief Financial Officer, said that a consultant is recommended for creating a matrix. He said they looked at funding sources. He said staff worked with the school systems for a need-based capital grant. Commissioner Hamilton said it was a pleasure to work with the work group, which included commissioners, school representatives, and staff. She said that over the years, a backlog has developed of buildings that need to be renovated or replaced. She said because of the cost, the county needs to be smart about it and prioritize. She said it is a complex issue and a consultant would help. Commissioner Fowler asked if Chapel Hill Carrboro City Schools already had a consultant. Commissioner Hamilton said they are doing a facilities review. Commissioner Fowler asked how that would relate to this project. Commissioner Hamilton said that a consultant would pull together all of the different plans and help the county prioritize what schools would be done first and how it could be paid for. Chair Price said that Commissioner Hamilton had discussed how the funding could be determined by the needs of the schools rather than a split in the total number of students. Commissioner Greene clarified that the prioritization would cross school system lines to determine which schools are in greatest need. Commissioner Hamilton said yes. Commissioner Greene asked what consultants would be qualified to make that assessment about a county with multiple school districts. Commissioner Hamilton said it does not matter if there is one district or two because this examines school by school to determine the needs. Commissioner Greene asked if there are consultants that can provide estimates on how to remodel schools. Commissioner Hamilton said yes, and that Greensboro schools recently used a consultant to determine this. Commissioner Richards asked for clarification on how the schools would be reviewed. She asked who would prioritize the schools. Commissioner Hamilton said the consultants would help determine the needs and then priorities would come from that process. Commissioner Richards said that a combined look at the facilities may be difficult because of the culture of the two systems in place. Commissioner Hamilton said she felt that the capital needs task force showed that the school systems could work together. Commissioner Richards asked if the districts could not figure it out, a third outside party would be helpful. Commissioner Hamilton said that existing maintenance staff are having difficulty managing projects. Commissioner Richards said a combined maintenance facility department across the county could be more efficient. Commissioner Hamilton said this is an opportunity to pull the districts together around facilities and there would probably be a separate project manager to oversee this. She said that 20 they have to try something different, because what they are doing isn't getting where they need to be. She said when you think about the complexity of different pieces, and the willingness to talk, then the report reflects conversations from the work group. She said it could lead to other efficiencies. Commissioner Bedford said she read all of the report and appreciated all of the information. She said she does not see taxpayers supporting a merger of facilities. She said that she supports having a consultant. She said that consultants could help prioritize and show different options for replacement and renovation. She said that she would also like the consultant to review other ways to finance the needs. She said that for swing space as schools are replaced, some schools are able to absorb more students if the school system has the willingness to make the decision. She said that she is concerned about SAPFO, and the school boards have different facility needs based on students. She said they can also talk about construction standards. She said it will be helpful to know when a building is just obsolete and there is no return on investment. She said the group should leave SAPFO alone because the town's attorneys are ready to abandon it. She said they should also look at what land banking looks like. Commissioner Richards said the report came out in the previous week, and both school districts lost students. She said that the county has the second and third highest resourced districts in the state. She said that there are a lot of administrative staff in both districts, and she did not understand why the staff could not figure out what the needs are. She said that she would like to see a tight work plan and a cap on the amount that will be spent. Commissioner Greene said looking at recommendations, she wonders about a consultant that can navigate having two school systems. She said that it seems like a challenge, but not an insurmountable challenge. She said that a consultant can be a neutral third party. She said that the county should be able to produce a strategy. Commissioner Hamilton said that the school systems have high operating resources, but not for capital. She said this is an opportunity. She said that having fewer students might be good timing so the county can focus on renovating. She response to Commissioner Greene's comments, she said that the county has no policies on renovating buildings. She said they can put in policies that say how much the county will spend on building a school. Commissioner Fowler said some groundwork has already been done on this by Chapel Hill Carrboro City Schools. She said the conditions have changed due to fewer students. She said that a consultant can evaluate the existing plans and reprioritize. She said that providing school facilities is an obligation of the county. She said that the need is high, and a priority list would help the county. Chair Price said that there are limits to what a consultant can do coming into a county like Orange. She said that the school systems want to work together, but also remain independent. She said that the consultant can help find efficiencies and economies of scale. She said that they will need to look at a bond referendum in a few years, and the school districts will have to come together on that. She said that she would like to see a scope of work on what the consultant will do. She said that a third party will look at it differently than the Board. Commissioner Bedford said that if there is enough funding then they could use joint ordering for supplies and the architect was clear that you need to build for quality. Commissioner Hamilton said the work group would help develop the scope of work for the consultant, along with the information that comes out of the joint work session later in the month. Chair Price thanked Commissioner Hamilton for her leadership on the group and for getting this along this far. She said this item is to be continued for discussion. 21 3. Animal Services Advisory Board —Appointment Discussion The Board considered an appointment to the Animal Services Advisory Board. BACKGROUND: The charge of the Animal Services Advisory Board is to advise the Board of County Commissioners on matters of concern regarding animal issues and animals services in Orange County and to work with the Animal Services Director on various policy concerns and issues regarding County animal services. The Board of County Commissioners appoints all thirteen (13) members with representation from various related fields and municipalities. The following individual is recommended for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Judy Miller Animal Partial Term 06/30/2023 Welfare/Advocacy If the individual listed above is appointed, the following vacancies remain: POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE Town of Carrboro 06/30/2024 Vacant since 06/30/2021 Town of Chapel 06/30/2024 Vacant since 06/30/2021 Hill At-Large 06/30/2025 Vacant since 06/30/2022 Owner/Manager 06/30/2023 Vacant since 01/05/2022 Retail Pet Services Deputy Clerk to the Board Tara May introduced the item. Commissioner Fowler said she was fine with Judy Miller as the recommended applicant. She also suggested that Kimberly Rider fill Owner/Manager Retail Pet Services position. Commissioner Bedford agreed with the suggestion. Tara May said that Kimberly Rider would meet the qualifications. Commissioner Bedford asked if Denise Doolan was eligible for the Chapel Hill position. Tara May said yes. Commissioner Bedford suggested Denise Doolan for the position. Commissioner Richards supported Denise Doolan for the Chapel Hill position. Tara May said that left the At-Large and the Town of Carrboro positions vacant. Commissioner Bedford said she did not see anyone from Carrboro on the applicant list. Tara May said that was correct, that there were no eligible applicants for the Carrboro position. Tara May said that Jennifer Stout was still interested in the At-Large position. Commissioner Bedford said that Jennifer Stout was already on the Animal Services Hearing Advisory Pool, and she supported Jennifer Stout for the At-Large position as well. The Board agreed by consensus on the recommended applicant, Judy Miller, for the Animal Welfare/Advocacy position, Kimberly Rider for the Owner/Manager Retail Pet Services position, Denise Doolan for the Chapel Hill position, and Jennifer Stout for the At-Large Position. 22 4. Arts Commission —Appointment Discussion The Board considered an appointment to the Arts Commission. BACKGROUND: The Arts Commission recommends strategies to promote the artistic and cultural growth of Orange County, advises the Board of Commissioners on matters involving the arts, and acts as the granting panel for funding programs available to individual artists and non- profit groups sponsoring arts projects in Orange County. The Board of County Commissioners appoints all fifteen (15) At-Large members. The following individual is recommended for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Josh At-Large First Full Term 09/30/2025 Rosenstein If the individual listed above is appointed, no vacancies remain. Tara May introduced the item. The Board agreed by consensus on the recommended applicant. 5. Board of Health —Appointment Discussion The Board considered an appointment to the Board of Health. BACKGROUND: The Board of Health makes policy and is charged with protecting and promoting public health in Orange County. The Board of County Commissioners appoints all eleven (11) members with representation from specific health-related professions and the general public. The following individual is recommended for Board consideration: NAME SPECIAL TYPE OF EXPIRATION REPRESENTATIVE APPOINTMENT DATE TERM Dr. Allessandra Dentist First Full Term 06/30/2025 Lowery If the individual listed above is appointed, the following vacancy remains: POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE At-Large 06/30/2023 Vacant since 04/20/2022 Tara May introduced the item. She said that there are recent applications that could be considered at a future meeting for the vacant position. Commissioner Bedford said she was ok with the recommended applicant and waiting to fill vacancies until the new applications could be reviewed. Commissioner Fowler said she was happy to wait, but she thought Rachel Royce would be a good fit for the vacant At-Large position. Commissioner Greene said Christina Hilliard sounded interesting. 23 Chair Price said she could support Rachel Royce. Commissioner Hamilton said the Board of Health had not discussed recommendations for the vacant At-Large position. Chair Price noted that the position had only been vacant for a few months. Chair Price and Commissioner Richards asked if the Board of Health is looking for a specific type of applicant. Commissioner Hamilton said it was a timing issue. The Board agreed by consensus on the recommended applicant. The commissioners agreed to wait for the Board of Health to make a recommendation for the vacant position. 6. Commission for the Environment—Appointments Discussion The Board considered appointments to the Commission for the Environment. BACKGROUND: The Commission for the Environment advises the Board of Commissioners on matters affecting the environment with particular emphasis on protection. It educates the public and local officials on environmental issues and performs special studies and projects. It also recommends environmental initiatives and study changes in environmental science and local and federal regulations. The Board of County Commissioners appoints all fifteen members, including 10 At-Large members and five members with expertise in specific fields. The following individuals are recommended for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Geneva Gray Air Quality Partial Term 12/31/2022 Mark Randall Engineering First Full Term 12/31/2024 Regina Baratta At-Large First Full Term 12/31/2024 If the individuals listed above are appointed, the following vacancy remains: POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE At-Large 12/31/2022 Vacant since 07/06/2022. Tara May introduced the item. Commissioner Fowler said she supported Geneva Gray and Regina Baratta, but it did not appear Mark Randall was an engineer and there were several other applicants with an engineering background. Commissioner Bedford suggested moving Mark Randall to an At-Large position. Commissioner Bedford suggested Victor Lancaster for the Engineering position. Commissioner Fowler suggested David McNelis for the Engineering position. Commissioner Bedford said there were several good candidates. The Board agreed by consensus on the recommended applicants, Geneva Gray and Regina Barrata, for Air Quality and At-Large positions, Mark Randall for an At-Large position, and David McNelis for the Engineering position. 24 7. Durham Technical Community College—Appointment Discussion The Board considered an appointment to the Durham Technical Community College Board of Trustees. BACKGROUND: Durham Technical Community College is governed by a Board of Trustees. Four members of the Board are appointed by the governor, four are appointed by the Durham County Board of Commissioners, four are appointed by the Durham Public Schools Board of Education, and two are appointed by the Orange County Board of Commissioners. Trustees serve four-year terms and set local policy for the College. The following position is resented for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM BOCC At-Large Partial Term 06/30/2024 Appointment If the position listed above is filled, no vacancies remain. Tara May introduced the item. She referred to an email Durham Tech sent her the previous day which was forwarded to the Board. She said that the Durham Tech Board of Trustees recommended Janet Hadar for the At-Large position. Chair Price said that this action would be to replace Lee Storrow who was stepping down. She said that the Board of Trustees and President Buxton wanted Janet Hadar due to her connection with UNC Health. The Board agreed by consensus on Janet Hadar. Commissioner Bedford said that it was interesting that the Governor appoints four members, Durham County appoints four members, Durham Public Schools appoint four members, but Orange County only has two representatives. She said the Orange County campus likely doesn't have as many students. Chair Price said that Durham County has invested a lot in Durham Academy. She said that previous changes to the Board of Trustees make up had to go through the General Assembly. 8. Human Relations Commission —Appointments Discussion The Board considered appointments to the Human Relations Commission. BACKGROUND: The Human Relations Commission advises the Board of County Commissioners on solutions to problems in the field of human relationships. It also makes recommendations designed to promote goodwill and harmony among groups in the County irrespective of their race, color, creed, religion, ancestry, national origin, sex, affectional preference, disability, age, marital status or status with regard to public assistance. The Board of County Commissioners appoints all twelve (12) members. The following persons are recommended for Board consideration: 25 NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Jenn Sykes At-Large Partial Term 06/30/2023 Anjail Taylor At-Large First Full Term 09/30/2025 If the individuals listed above are appointed, the following vacancies remain: POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE At-Large 09/30/2025 Vacant since 10/13/2021 Town of Carrboro 06/30/2025 Vacant since 04/07/2022 At-Large 06/30/2025 Vacant since 02/22/2022 Town of Chapel 06/30/2025 Vacant since 01/07/2020 Hill At-Large 06/30/2023 Vacant since 07/11/2022 Tara May introduced the item. Chair Price suggested Nathalie Volkheimer and Ruby Garcia for two of the vacant positions. Commissioner Bedford agreed with those suggestions Commissioner Greene asked why Jenn Sykes would only be recommended for a partial term. Tara May said she chose the seats at random after receiving the recommendations, and that Jenn Sykes could be appointed to another term. She said that Jenn Sykes would still be eligible for two full terms after the partial term ends. Commissioner Greene said the Human Relations Commission is down a lot of members and that the commission is asking the Board to delay further appointments. She asked about the rationale for keeping the positions vacant. Tara May said she did not know the rationale. Chair Price said there was practice for members to vet applicants and that advisory boards and commissions might be looking for certain demographics. She said that she was looking at the long-term vacancies on the list and she thought the Board should fill the vacancies. Commissioner Bedford said there were good applicants. Commissioner Richards asked about the process for filling town positions. Tara May said towns do not need to put forth recommendations for the seats. Commissioner Richards said it is an important board with a lot of vacancies and that they should be filled. Commissioner Bedford suggested Deborah Baker for the other vacant At-Large position. Commissioner Fowler agreed with the suggestion of Nathalie Volkheimer and Ruby Garcia. The Board agreed by consensus on the recommended applicants, Jenn Sykes and Anjail Taylor, Nathalie Volkheimer for an At-Large position and Ruby Garcia for the Town of Chapel Hill position. Commissioner Bedford suggested Deborah Baker since she comes from the Bingham Township and would be a representative from the county. The Board did not come to a consensus on Deborah Baker for an At-Large position. 26 Commissioner Bedford asked if the Human Relations Commission could spend time with Deborah Baker to see if she would be a good fit for the position. 9. Orange County Board of Adjustment—Appointment Discussion The Board considered an appointment to the Orange County Board of Adjustment. BACKGROUND: The Board of Adjustment hears and decides on variance applications, appeals submitted related to official decisions/determinations made by the Planning Director, reviews and takes action on Class B Special Use Permit applications, as well as matters required to pass by the Unified Development Ordinance. The Board of County Commissioners appoints all seven (7) members. The Board of Adjustment does not make recommendations. The following position is presented for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM BOCC At-Large Partial Term 06/30/2024 Appointee If the position listed above is filled, no vacancies remain. Tara May introduced the item. She said that Greg Neimiroski would be an eligible applicant and that he had already received training. The Board agreed by consensus on Greg Neimiroski for the At-Large position. 10. Orange County Parks and Recreation Council —Appointment Discussion The Board considered an appointment to the Orange County Parks and Recreation Council. BACKGROUND: The Orange County Parks and Recreation Council consults with and advises the Department of Environment, Agriculture, Parks and Recreation, and the Board of County Commissioners on matters affecting parks planning, development and operation; recreation facilities, policies and programs; and public trails and open space. The Board of County Commissioners appoints all twelve members with representatives from each of the county's townships plus its municipalities. The following individual is recommended for Board consideration: NAME POSITION DESCRIPTION TYPE OF EXPIRATION APPOINTMENT DATE TERM Roderick Hillsborough Town Limits First Full Term 09/30/2025 Jones (re-appointment) If the individual listed above is appointed, the following vacancy remains: POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE Chapel Hill 03/31/2023 Vacant since 10/13/2021. Township 27 Tara May introduced the item. The Board agreed by consensus on the recommended applicant, Roderick Jones, for the Hillsborough position. Chair Price noted that the Chapel Hill position was vacant. Tara May said that Andrea Zimmerman is eligible for the position. The Board by consensus on Andrea Zimmerman for the vacant Chapel Hill position. 11. Orange Unified Transportation Board —Appointments Discussion The Board considered appointments to the Orange Unified Transportation Board. BACKGROUND: The Orange Unified Transportation Board (OUTBoard) advises the Orange County Board of County Commissioners on the overall planning and programming of transportation improvements in the County. The Board of County Commissioners appoints all fourteen (14) members, with representation from each of the County's townships. The OUTBoard does not make recommendations. The following positions are presented for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM BOCC Cedar Grove Partial Term 09/30/2023 Appointment Township BOCC Little River Township Partial Term 09/30/2023 Appointment If the positions listed above are filled, the following vacancies remain: POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE At-Large 09/30/2023 Vacant since 05/11/2022 At-Large 09/30/2022 Vacant since 07/21/2022 Tara May introduced the item. The Board agreed by consensus on Art Menius for the Little River position and Patricia Hull for the Cedar Grove position. 12. Workforce Development Board - Appointment Discussion The Board considered an appointment to the Workforce Development Board. BACKGROUND: The Workforce Development Board helps individuals and businesses within this five-county region gain access to the programs and services that connect talent to jobs. The following individual is recommended for Board consideration: NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Nancy Coston Department of Social Full Term 06/30/2025 Services Appointee 28 If the individual listed above is appointed, no vacancies remain. Tara May introduced the item. The Board agreed by consensus on the recommended applicant. A motion was made by Commissioner Bedford and seconded by Commissioner Hamilton to adjourn the meeting at 9:25 p.m. VOTE: UNANIMOUS Renee Price, Chair Laura Jensen Clerk to the Board Submitted for approval by Laura Jensen, Clerk to the Board.