HomeMy WebLinkAboutMinutes 03-18-2025-Business Meeting 1
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MINUTES
ORANGE COUNTY
BOARD OF COMMISSIONERS
BUSINESS MEETING
March 18, 2025
7:00 p.m.
The Orange County Board of Commissioners met for a Business Meeting on Tuesday, March 18,
2025, at 7:00 p.m. at the Southern Human Services Center in Chapel Hill, NC.
COUNTY COMMISSIONERS PRESENT: Chair Jamezetta Bedford, Vice-Chair Jean Hamilton
and Commissioners Marilyn Carter, Amy Fowler, Sally Greene, Earl McKee, and Phyllis Portie-
Ascott
COUNTY COMMISSIONERS ABSENT: None.
COUNTY ATTORNEYS PRESENT: John Roberts
COUNTY STAFF PRESENT: County Manager Travis Myren, Interim Deputy County Manager
Caitlin Fenhagen, and Clerk to the Board Laura Jensen. (All other staff members will be identified
appropriately below)
Chair Bedford called the meeting to order at 7:00 p.m. All commissioners were present.
1. Additions or Changes to the Agenda
None.
2. Public Comments (Limited to One Hour)
a. Matters not on the Printed Agenda
None.
b. Matters on the Printed Agenda
(These matters will be considered when the Board addresses that item on the agenda below.)
3. Announcements, Petitions and Comments by Board Members
Commissioner Fowler said the Board of Health held a retreat during which they discussed
the Board of Health strategic plan. She said they did a tour of the school that was for African
Americans in the 1950s and then reviewed the legislative agenda. She said they are hoping to
promote screen-free week in May, and they will send the information to the BOCC.
Commissioner Portie-Ascott attended the Partnership to End Homelessness meeting and
they have reviewed the data of performance over the last year. She said that the goal is that
someone who is unhoused and comes to them would not be unhoused for more than 90 days.
She said once they are in permanent housing, only 11% become homeless again. She said she
attended the Housing Matters event focused on housing affordability. She said that there is a
shortage of 9,555 units in Orange County and this includes substandard and new units needed.
She said in 5 years, Orange County will need 13,000 units and this does not include subsidized
housing. She said she attended the evaluating the manager class with some other commissioners
and the county manager. She said it was very interesting and they shared tools they can use to
make it specific to Orange County. She said she attended the tax and finance steering committee
meeting with the NC commissioners, and they discussed changed that will have an impact on the
counties. She said she also attended the legislative breakfast.
Vice-Chair Hamilton said she attended the legislative breakfast the previous day. She said
that Representative Buansi and that Representative Price shared the bills they are working on
and took time to listen to the Orange County requests. She said there was not a quorum, so there
2
will not be minutes because it was not an official meeting. She petitioned for a subcommittee of
three commissioners and appropriate staff to be developed to review existing evaluation methods
of the manager, attorney, and clerk and she asked that this be done after budget season. She
also petitioned for a dashboard on the county website showing the impact of federal funding cuts.
Chair Bedford reminded the Board about the ribbon cutting at the Drakeford Library
Complex and that they have time allotted for remarks. She said her husband went to the Repair
Cafb and encouraged people to bring broken items to a future event so they can be repaired and
reused. She said that they were able to fix a clock that he brought and that it was all for free. She
said it is a non-profit and they volunteer time and supplies to fix broken items for free. She said
that she created a document with the learning needs they want to go over and she is mentioning
this to get it in the public record. She said they need more time to pay attention so they will not
be able to follow the calendar exactly as planned.
Commissioner Greene said she is part of the interview process for a new GoTriangle CEO
this week and they have four more to go.
Commissioner Carter said the vernal equinox will be on March 20. She said there are
many people who celebrate the first day of spring and wished everyone a happy day.
Commissioner McKee said he is happy spring is here. He said the Orange Grove FD put
on a breakfast and he attended that on Saturday. He suggested that people go and enjoy the
fellowship. He echoed Commissioner Portie-Ascott's comments on the number of housing units
needed in Orange County. He said they will need to figure out some way to address affordable
housing needs in the county.
Commissioner Fowler said on Friday, May 30 the Orange County Health Department will
host an event regarding measles at the Whitted Building in Hillsborough.
4. Proclamations/ Resolutions/ Special Presentations
a. OWASAAnnual Update Presentation
The Board received a presentation and information from the Orange Water and Sewer Authority
(OWASA) on recent activities.
BACKGROUND: At the beginning of each calendar year, OWASA representatives appear before
the Board of Commissioners to make a presentation on recent OWASA activities. Orange County
appointees Michael Hughes and Johnny Randall and OWASA Executive Director Todd Taylor will
present the annual update. A presentation on the Water Bill Relief Program will be given by Mary
Tiger, OWASA Director of Community Relations.
Michael Hughes, Orange County appointee to the OWASA Board of Directors, introduced
OWASA staff in attendance and made the following presentation:
Slide#1
OrangeOrange Water and Sewer Authority
3
Slide #2
Presentation
• WaterTreatment Plant — Capital Improvements
• OWASA's Care to Share Program
• Water Bill Relief Program
• Celebrating 15 Years of Reclaimed Water
• OWASA Supports Western NC
• Q&A
Slide #3
PFAS?What are
• A large group of synthetic chemicals r !�
manufactured since 1940s
• PFAS can accumulate in the environment and in fwefcx,ixc „•
Tt
humans.
• Linked to adverse human health effects
Common consumer
products with PFAS
:"a Source:NC Stote Extension
O 0 0 f5fD00
■ Example PFOA molecule,acid form „AM1x[S SI NT
FI-Tu
rormw e.rs
r•°R-T•xT
4
Slide#4
�►'_
f Water
Treatment
❑ Emxironmant
PFAS Cycle in theek
_ Rrefighting foam n-Wastewater 1
Treatment rJ
to8s&Wvs[cwanr ireatnrwu to
Environmenti,,.,��t_,. , Wwm Infrastructure
- - Di-king water and food
1��1 2:
121 Human Exposure
Image:Illinois
Environmental
Protection Agency
Slide#5
EPA lowered
Health Advisory Levels; EPA finalizes regulations;
OWASA engaged consultant and OWASA began pilot and
Began Wastewater expanded drinking water design of drinking water
Monitoring Program monitoring program treatment technology
2019 2022 2024
2018 2021 2023 2029
Began Drinking Water Launched PFAS EPA released proposed April 2029
Monitoring Program Dashboard drinking water regulations; Compliance Date
OWASA completed initial for EPA PFAS limits
technology review
5
Slide#6
April 2024: • established drinking water
regulations for PFAS.
Four(4) parts per trillion is
equivalent to 3 tablespoons
in the 3-billion-gallon Cane
Creek Reservoir.
Slide #7
Red= biosolids 5¢Y Rp
application fields for
• • • another utility (land
application ceased in
samplesin 2017.) `1 4
downstream
NV KS RU :
of former
biosolids
application
r.
!i
fields
� r
v
r
v
F
O
�C 1
TEAR RD
i 1
Source:Division of Water Resources Non-Discharge Permit Records,l4!8
__.TZv, 4
6
Slide#8
Our current water treatment process reduces
PFAS compounds.
PFOS PFOA
110
100
a 90
0 80
70
v
60
a s0
a 40
30
C
N
PFOA
V ?0 MCL PPt .� ■ MCL PPt T F
-::r.�r.F�.
Cane Creek Reservoir Treated drinking water Cane Creek Reservoir Treated drinking water
Quarterly Monitoring Results 2018- 2024
Slide #9
Objectives of •
PFAS Treatment Technologies
• Evaluate effectiveness of different media
• Understand how variations in source water
quality affect treatment performance t
• Inform design and operational strategies
• Estimate life of media to help inform future �.
operation and maintenance costs "`
7
Slide#10
How are we goingto remove
PFAS Facility Preliminary Concept Site Plan
His
Michael �, • t - �i iiiiii
� f
Michael Hughes showed a conceptual plan for future OWASA building improvements in
slide#10. He said a clear well is a large tank which serves as onsite storage as well as a chlorine
contact chamber for chlorination, which has a serpentine flow to ensure that the chlorine is
effective at removing bacteria before it goes out to elevated tanks.
Slide #11
How are we goingto remove
PFAS Facility Preliminary Concept Site Plan
y
9 .6
8
Slide#12
History • Bill
G S100 18%
m
8 $90 16% n
e+1 rD
C $80
O 14%
Z7 r $70
N C 12%
m O $60 w
0E 10%
m `v $5o p
a ° SPA d
r $40 ro
6% E
Co i $30 n
C $20 4% N
M
$10 2% n
$0 0% v
I've �o� ti tios° tio�ti tio�° tio�`° yo�� lop ryoyti yotia
-no-Average Bill Amount based on 3,000 gals Rate Increases 4-CPI%
Slide #13
Capital • • • gram — As Proposed
What will it cost?
10 Year Planning Horizon — 3 Options
Annual FY 2031-
CIP Tota JJFY 2026 FY 2027 FY 2028 FY 2029 FY 2030 2035 10-Year Total
Option 1 $32.5 $74.7 $81.2 $56.9 $27.3 $180.3 $452.9
Option 2 $30.0 $56.0 $52.2 $44.7 $61.3 $208.6 $452.8
Option 3 $30.6 $58.2 $55.6 $47.3 $61.3 $208.6 $461.6
Potential Water Rate Increases
FY 2026 1 FY 2027 1 FY 2028 1 FY 2029 1 FY 2030
CIP Option 1 11,16 10% 9% 9% 3%
CIP Option 2 8% 7% 7% 7% 7%
CIP Option 3 8% 8% 8% 7% 70A
Michael Hughes said that the planned projects may not be able to be done at the same
time, but the clear well needs to be done first. He said that the median water bill will double in
the next ten years.
9
Slide#14
What's Next in the Process ofDetermining
Rates for FY •
• Board Review of the FY 2026 Draft Operating Budget— March 131"
• Public Hearing on OWASA's Fiscal Year 2026 Budget and Rates— May 8th
• Board Approval of the OWASA's Fiscal Year 2026 Budget and Rates —June 121"
• New Rates go into effect— October 2025
• Rate Study—to be Completed next Year
• Cost of Service:The study will analyze the costs of providing our services
• Rate Design:The study will include analyzing billing consumption records to determine
customer usage profiles
• The rate study will evaluate potential rate structure modifications and the impact of those
modifications on customers.Rate structures not currently used by OWASA(and allowable
under state statute,bond order,etc.) may also be considered.
Mary Tiger continued the presentation:
Slide #15
F EEr7
Water Bill Relief Program • • •
discussion with the OrangeI Board
CountyI •
10
Slide #16
Strategic Priority: t
Equitable ServicesSTRATEGIC PLAN
-
• Goal:Increase the2023-2027
adequacy and accessibility
of customer assistance
funding
• Initiative:Evaluate and
update customer
assistance program
7F
Slide #17
The Current e of OWASA Bill Affordability
Water Bill Assistance
Care to Share
• Supported 84 families in 2024 CARE to
• Donations:$25,702 r SHARE
• Assistance provided:$18,475
• Significant effort to increase donations
and increase households served F'PPD...t.t,day!
Other ❑■A'
$Ass is8tance provided by other entities in 2024: j
■
Amil
®SCAN M E
Slide #18
The Current State of • ' ' Bill Affordability
Disconnections . Non-Payment
598 accounts disconnected for
non-payment in 2024
Of these,167 were disconnected for
non-payment multiple times
11
Slide#19
StateThe Current of Bill Affordability
Rates Projected Rates
• $ 1 15.551month for 4,000 gallons
• Requires 15.9 hours at minimum wage
(pre-tax)
• 5-year rate increase projected:
42-49% increase
Mary Tiger said if you add any of the three rate option projections, they will amount to 42-
49% in five years. She said that they will try to keep increases low, but they will need to continue
to provide the services customers expect.
Slide #20
Ow
not",.
• Provide sustained water bill support to low-income
High-Level Goals households served by OWASA
for Sustained • Minimize administrative burden for residents to
Water Bill Relief apply and qualify for sustained water bill assistance,
thereby increasing the use of the program
Program
Proposed Strategy:Utilize FNS assistance
qualification to pre-qualify recipients of water bill relief
12
Slide#21
Program Options:
Estimated Costs and Customer Impact
Eligibility Resident FNS-Receiving Assistance Percent of Average Annual Cost of
Customers (Remaining to Be Paid)
$57.78/month 50%($57.78) $60,317
Qualify for 87
FNS;55+ $1 15.55/month 100%($0) $120,634
$57.78/month 50%($57.78) $172,647
Qualify for 249
FNS $1 15.55/month 100%($0) $345,263
Mary Tiger said the numbers on slide #21 are examples and estimates of the impact.
Slide #22
Do County Commissioners support the concept
of this • • •
Is the Board of County Commissioners willing to
support the program financially?
Mary Tiger, Director of Community Relations
Commissioner McKee asked if OWASA can't set a sliding scale for rate impacts.
Mary Tiger said that was correct. She said under state statute, OWASA is required to
charge reasonable rates, and ability to pay cannot be a factor.
13
Johnny Randall, Orange County appointee to the OWASA Board of Directors, continued
the presentation:
Slide #23
Celebratingof - -dWater!
fl
UNC conserves drinking water by flushing
- yYYt A with reclaimed water in this building.
z
_ Caution-Do Not Drink This Water'-No Tomar
'Not that—really thought you would
North Carolina Botanical Garden,UNC-Chapel Hill
Slide #24
Celebrating •
• Reclaimed water became available in 2009 and is an essential component of
OWASA's efforts to conserve water and increase community drought
resilience.
• Highly treated wastewater is taken through additional disinfection and
pumped through about 5 miles of separate pipes to UNC-Chapel Hill,UNC
Hospitals, NC Botanical Garden,and St.Thomas Moore Catholic School.
• The system treats and distributes around 1.8 million gallons per day and is
designed to accommodate 3 mgd as demand increases.
• Since inception—OWASA has supplied 3.6 billion gallons of reclaimed water
to our partners,which is enough water to fill all three of our reservoirs.
Slide14
4WASA k
Y '{
Slide
Western
North Carolina , , ;,• �.:�:= .• _-
�f
4
Hurricane Helene �'��
•
NCWaterWarn Desk
Jessica Godreau working at the NCWaterWARN
NC EOC Center — Raleigh
• What is NC WaterWARN? �� i � J
• OWASA has been a member of �.
NCWacerWARN since 2017 •,� ,
• 5 OWASA employees staffed the : �r _•
NCWaterWARN EOC desk for 14 shifts. t' �f
• Received requests for Labor,Equipment, •-' ��
Ma[erials and other resources needed from
utilities impacted from Hurricane Helene. '`,'Rj:; �
• Connected utilities like OWASA and ::, �,1�y�'`1 •�
Fayetteville PWC who volunteered to help
restore water and wastewater services -
with utilities who requested resources.
Desk
Slide #27
I
Unloading OWASA Lcwboy with Ductile Iron Pipe in Black Mountain —
• Coordinated with utilities from all over
the state . locate andprovide
needed resources to the affected areas.
• Delivered emergency repair
PWCfrom OWASA inventory,Fayetteville
and Durham Water Management to
Black Mountain.
^Z.
GreensboroSteve Naylor with
. •
15
-
Black Mountain, NC '
Deployment I : MainslServices � �' 4ll !
• Mobilized and provided resources to assist -
with restoring water service to the r"-*` "
community. � �� W
• Worked with Black Mountain team to plan
Alex Cheek and crew holding a toolbox talk
before repairing a waterline in Black Mountain.
and prioritize repair activities to expedite
restoravon of water service.
• Performed multiple repairs including: �
• Locate,repair or abandon damaged I.5"- 10"
watermains
• 5ervire Line transfers to restore service to
business and residential customers.
Slide
0.
f .
ew water service and Repairing a large hole in a 61, OWASA and FVV
damaged watermain that watermain m the Swannanoa River to earthen dam to iscilate and repair a 10"
feeds the western end of Black Mountain restore tank site transmission main in Swannaroa River.
Slide #30
�•( h 1 i Y 9_*
a f•. L
Black Mountain, NC
Deployment 2:ServiceslValves
• Provided resources to assist with res[oring
water service to heavily impacted
neighborhoods.
• Performed valve and service repairs and °., � �.
restoration including: { ��'�;; � � ��
• Locace,excavace,inspect,and operate 157 Water�# _;_ ��
meters and 90 isolation valves.
• Locate,restore,repair,and replace damaged valve , `
and meter infrastructure from erosion and debris. A l
• Backfitl,restore,and protect exposed watermains ` t � ; 1
in heavily eroded areas. _ �
• Demobilized OWASA resources when assignment
was complete.
Slide16
on which affected valve.
F
our'e—utilizing valve truck to locate, Ethan Hall working on a meter under a
hydrant infrastructure. access,and inspect valves an,,meters. home that was moved due to flooding.
Slide #32
Asheville, NC
OF
Deployment 3:Lab RelieflSampling
• Provided labor and resources to relieve
Asheville WTP laboratory compliance
team.
• Performed distribution system water
quality sampling.
• Sampled an analyzed pro#files for surface �° .T ,�`
water quality at I�lorth Fork and Bee P �
Tree Reservoirs. ��9 �'� �
• Performed laboratory analysis of -
supplemental water quality parameters.
OWASA,and Davidso n Water teams
Slide #33
ready to lift the Boil WaterAdvisory.
Izzy testing for metals and turbidity in Simon sampling for water quality at Izzy sampling for chlorine concentration
Asheville WTP Lab, the outermost extents of the in the Asheville's water distribution
distribution system. system
i yy
• IY. � 1 '.rn N
Beech Mountain, NC i .,;
Deployment 4:CCTV Inspection � ' �
s I
• Utilized specialized offroad equipment �� �i ti� = i,pp, �
to access and inspect offroad ���,,r� '�`� w 'f�� s I��
17
Slide#34
infrastructure. •� ,�, Y �_
• Inspected 060 LF of sewer mains ;= a
along the inaccessible outfalls. �,_� ° ��;�
Noah Miller and Jackson Lashley performing
CCTV inspe,ctions in an outfall o Beech Mtn
Slide #35
Jackson lowering camera into an Inspecting a damaged AeFial cno5sing Working with Beech Mountain team to
inaccessible debris covered ManholeL a�ong a creek channel in the valley.. locate and address damaged sewer main.
Slide
• What did we f nd? •;� -
• Damagedlmissing pipe ��`v
• Pipe blockages with rock,dirt,and debris a \�e� X •.4v�6� � �
F
• Sanitary Sewer Overflows � � yr±
• Missing manholes covered with dirt and ru "
debris from eroded areas
•
WeCome
ToWe cannot forget tc,recognize the folks that stayed• - - OWASA so that we could
18
Vice-Chair Hamilton said she supports the Care to Share program. She said that county
commissioners are faced with a lot of needs in the community and are getting ready to go into
budget discussions. She said that she appreciates having the numbers, but she doesn't know if
they can provide funding.
Commissioner Carter applauded OWASA's efforts in western North Carolina. She asked
if the county has provided funding in the past to OWASA customers during rate increases.
Mary Tiger said county assisted with ARPA funding.
Commissioner Carter asked if there has been a role for the municipalities.
Mary Tiger said Carrboro and Chapel Hill provided funding through ARPA.
Chair Bedford said she believes that legally, if the county provided water bill assistance
for OWASA, she thinks they would also need to provide funding to all of the water utilities that
serve the county. She said she had previous experience in water usage and assistance and data
shows that a customer must pay a portion of the bill otherwise they have no incentive to conserve
water. She said that she liked the scenarios presented for types of assistance. She said the county
is looking at the outside agency process and said that staff and the County Manager could look
at the bigger picture. She said it is important to see what the county would have to cut in order to
provide $300,000 or more. She said these leave big budget questions. She said that water is
number one in the hierarchy of needs.
Commissioner Fowler agreed with Chair Bedford on equitable funding across the county.
She said that some residents do not pay their water bill, but it is included in the cost of their rent.
She said that brings an equity issue. She said that is one of the questions that she has.
Chair Bedford said some multifamily have individual meters, but it varies.
b. Child Abuse Prevention Month Proclamation
The Board approved a proclamation declaring April 2025 as Child Abuse Prevention Month.
BACKGROUND: April is National Child Abuse Prevention Month. The Department of Social
Services (DSS) and other community organizations are concerned about the continued incidence
of child abuse and neglect in Orange County and in the state of North Carolina. In Fiscal Year
2023-2024, 574 reports of suspected child maltreatment were assessed in Orange County. For
the state of North Carolina, there were 58,419 reports assessed within the same period. Currently,
61 children are in the custody of Orange County Social Services due to serious abuse and neglect
issues within their families. As of December 2024, there were 10,899 children in the custody of
social services across the state.
Most child abuse and neglect issues reported to Social Services involve substance use, domestic
violence, unsafe discipline, supervision, or care of children. Social Services is working to increase
education and awareness of these issues and to identify strategies to improve the safety of
children in the community.
Community members can make a difference in the life of a child by making connections. Lending
a helping hand or listening ear to a parenting neighbor or friend can help alleviate stress and
provide a positive impact on a child's life. Increasing social connection and providing concrete
support are integral protective factors.
Parents, grandparents, and family members can ensure children are safe in their care by properly
securing the firearms and ensuring all medications or potentially harmful substances are
inaccessible to children.
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DSS encourages all individuals to "Wear Blue" on Friday, April 4, 2025, to kick off Child Abuse
Prevention Month. Social Services is planning to provide awareness materials to community
members at the Sportsplex Family Fun Day on April 5, 2025.
The Board is asked to support this effort and to encourage the community to become more aware
of the issues impacting children and families.
Brittany Mann, Program Manager for Orange County DSS, introduced the item.
Commissioner Carter read the proclamation:
ORANGE COUNTY BOARD OF COUNTY COMMISSIONERS
PROCLAMATION
CHILD ABUSE PREVENTION MONTH
April 2025
WHEREAS, child abuse and neglect is a serious problem affecting every segment of our
community, and finding solutions requires input and action from everyone; and
WHEREAS, in Fiscal Year 2023-2024, 574 reports of suspected child maltreatment were
assessed by child protective services in Orange County; and
WHEREAS, child abuse can have long-term psychological, emotional, and physical effects that
have lasting consequences for victims of abuse; and
WHEREAS, children who are loved and nurtured grow up to be healthy, creative, and productive
community members; and
WHEREAS, it is the goal of Orange County to improve the quality of life of all children who live
here; and
WHEREAS, we acknowledge that we must work together as a community to increase awareness
about child abuse and to continue to promote the social and emotional well-being of children and
families in a safe, stable, and nurturing environment;
NOW, THEREFORE we, the Board of County Commissioners of Orange County, North Carolina,
hereby proclaim April 2025 as "Child Abuse Prevention Month" and call upon all residents to join
together to prevent child abuse.
THIS IS THE 18th DAY OF MARCH, 2025.
Jamezetta Bedford, Chair
Orange County Board of Commissioners
A motion was made by Commissioner Carter, seconded by Vice-Chair Hamilton, to
approve and authorize the Chair to sign the proclamation declaring April 2025 as Child Abuse
Prevention Month in Orange County.
VOTE: UNANIMOUS
20
5. Public Hearings
None.
6. Regular Agenda
a. Periodic Review and Approval of Amendments to the Orange County Board of County
Commissioners Advisory Board Policy
The Board conducted a periodic review and approve amendments to the Orange County Board
of County Commissioners Advisory Board Policy.
BACKGROUND: The Advisory Board Policy was adopted February 21, 2012, and included a
provision that the BOCC would conduct a periodic review of the policy. The last periodic review of
the Advisory Board Policy took place at the BOCC's November 10, 2022 work session.
The current version of the Advisory Board Policy is included as Attachment 1.
Attachment 2 includes suggested amendments by Clerk's Office staff.
Attachment 3 includes information on all of the boards to which the Board of Commissioners
makes appointments, including type of board, board descriptions, composition requirements, any
special appointment or recommendation requirements, term lengths and limits, and the relevant
policies.
Tara May, Deputy Clerk to the Board, introduced the item and reviewed the background
materials.
Chair Bedford reviewed the suggested changes on Attachment 2. She asked how
individual advisory board policies and procedures were developed and approved.
Tara May said individual advisory board policies and procedures were developed by the
County Attorney when the BOCC Advisory Board Policy was developed and approved.
Chair Bedford asked for clarification about the difference between "domicile" and
"residence" in the suggested changes.
Tara May said there is not a clear way to determine "domicile" from "residence," and the
change is suggested to be more inclusive of residents.
John Roberts said that many years ago, there was an issue of a Planning Board member
who was alleged to have their permanent residence in another state. He said that the change
was made to address that issue.
Commissioner Fowler clarified that was when the word "domicile" was added. She said
schools use the word "domicile."
Vice-Chair Hamilton said that in other instances, "residency" is defined by how long you
have lived in an area. She said that kind of definition is not in the advisory board policy.
Chair Bedford said she looks at the number of years in Orange County on advisory board
applications.
Commissioner Fowler said they would have to attend monthly meetings.
Vice-Chair Hamilton said people can come from elsewhere to attend meetings. She said
it may be something to think about in future updates.
Chair Bedford said in other states there are questions about electing people who spend a
large portion of the year out of state.
Commissioner Carter asked why there was a strikethrough of item D.5 under Section III,
Membership.
Tara May said item D.5 states "may direct," and there is another section on orientation and
how that will be handled. She said the other reference is under Section V, Organization, and it
discusses how they will do orientation.
21
Commissioner Portie-Ascott asked to look at item B — Composition, under Section III,
Membership. She asked what steps the Board will take to make sure that they are appointing
members to advisory boards that are representative of the community.
Tara May said that they can have a conversation about that at a future date. She said she
has worked with Community Relations in the past, and she can continue working with them for
advertising and reaching out.
Chair Bedford said it would not go under a policy document, but they could have a general
discussion about different methods of reaching out to new groups.
Vice-Chair Hamilton said it is important to look across all the advisory boards when
considering representation.
Commissioner Fowler brought up keeping members who have extensive experience as
ex-officio members, thereby opening positions for new applicants. She said ex-officio members
could keep working on projects they'd been involved in, but they couldn't be a voting member.
Chair Bedford said she felt people should roll off boards and then reapply in the future.
Commissioner Greene said she did not recall having ex-officio members.
Chair Bedford said that they've let people have an extra year two or three times, once for
the Economic Development Advisory Board.
Commissioner Greene said she liked Commissioner Fowler's idea.
Commissioner Carter said she supported the idea of having ex-officio members to keep
continuity on the board.
Chair Bedford asked if it is needed. She said they've done it three times and they've said
they won't do it again. She said she has concerns about undoing their efforts to improve
representation on boards.
Commissioner Portie-Ascott mentioned Section III, Membership, item E, "Terms," which
describes the number of terms an advisory board member can serve. She said that they've
discussed not allowing people to serve on the Board of Adjustment and the Planning Board at the
same time. She asked if this was the appropriate time to discuss the issue.
Tara May said the way this has been applied was that of the boards listed in the BOCC
Advisory Board Policy, an applicant couldn't serve on more than two of those. She said typically
they haven't included a quasi-judicial board or a town board, for example.
Commissioner Carter asked if they should have language for specific boards.
Chair Bedford suggested that John Roberts and Tara May bring back an amendment to
the BOCC if there was consensus to add language to the advisory board policy stating that
applicants could not serve on both the Board of Adjustment and the Planning Board at the same
time. She noted the majority of commissioners were nodding their heads in affirmation.
John Roberts said that policies and procedures for individual advisory boards take
precedence over the advisory board policy approved by the Board of Commissioners. He
suggested putting that requirement in the Planning Board policy or rules of procedure.
Commissioner Fowler said she thought there used to be a requirement that one person
serve on both Planning and the Board of Adjustment.
Chair Bedford said that was a misunderstanding.
Vice-Chair Hamilton said there is an understanding that not serving on two boards only
applies to boards under the BOCC Advisory Board Policy. She asked if that could be changed to
apply to other boards as well, such as quasi-judicial boards.
Tara May said yes, it is the Board's policy, and they can make that change.
Chair Bedford asked what other quasi-judicial boards this could apply to.
John Roberts said the other quasi-judicial board is the Animal Services Hearing Panel.
Vice-Chair Hamilton said even the Planning Board was not created by the county and
operates according to state statutes. She said there are other similar boards, such as the Board
of Health and the DSS Board.
22
Chair Bedford said that John Roberts and Tara May can work on that language and bring
it back to the Board.
Commissioner Portie-Ascott asked about item H, "Removal." She asked how Tara May is
notified of attendance.
Tara May said she receives attendance reports quarterly.
Commissioner Fowler said the Board used to see those reports, and she asked why they
were no longer included in agenda items.
Tara May said there was discussion about what to include as attachments and it was
decided to not include attendance reports.
Chair Bedford asked if that process is working.
Tara May said yes.
Vice-Chair Hamilton said it was good to have a review of the policy. She asked Tara May
if the word "commissions" should be kept.
Tara May said it was noted at the beginning that all boards and commissions would be
referred to as advisory boards in the policy.
A motion was made by Commissioner Greene, seconded by Vice-Chair Hamilton to
approve the amendments to the BOCC Advisory Board Policy.
VOTE: UNANIMOUS
7. Reports
a. Medicaid Expansion in Orange County One Year After Implementation
The Board received an update on Medicaid Expansion in Orange County one year after initial
implementation.
BACKGROUND: State lawmakers approved legislation in early 2023 that called for Medicaid
expansion in North Carolina, and then-Governor Roy Cooper signed it into law in March 2023. On
December 1, 2023, the legislation went into effect in North Carolina expanding Medicaid access
to more North Carolinians. Medicaid now covers people ages 19 through 64 years with incomes
up to 138% of the Federal Poverty Level. This is about $20,000 for an individual and about
$34,000 for a family of three.
Medicaid provides comprehensive medical coverage including services like primary care,
maternity care, hospitalizations, prescription drugs, and hearing and vision. Those previously
receiving full Medicaid coverage under other programs were not affected by these changes and
have continued receiving services.
Orange County Social Services staff worked hard to prepare for and implement the expanded
Medicaid program in Orange County. In FY 2023-2024 the Orange County Board of County
Commissioners approved the creation of nine (9) new, permanent positions to support the
increased workload. Social Services staff developed plans for hiring, training, and rollout of the
new program and began taking applications on December 1, 2023.
As of December 31, 2024, more than 4,600 Orange County residents have been enrolled in the
new Medicaid program.
23
Lindsey Shewmaker, DSS Director, introduced the item and made the following
presentation:
Slide #1
ORANGE COUNTY
NORTH CAROLINA
Board of County Commissioners
March 18,2025
'C
Slide #2
0 0 ' 0 0 0 0
backgr—d orange County outreach Events oemograpnle tn.ti—send Federal Ch-g.. Questions
Expansion pat. ❑ate accuracy and P.—bte
impacts
a.•
24
Slide#3
Background: Medicaid in Orange County
Medicaid Recipients by Category
• There are currently(February 2025)
21,367 Orange County residents z�
receiving Medicaid
• Medicaid currently covers pregnancy
through end-of-life care
• North Carolina's Medicaid program 4°
covers several optional services in
addition to federally mandated
coverage and is considered excellent
health insurance
$170,400,638.46in Medicaid e%
expenditures for Orange County
residents in SFY2024 21 a1 ,hosae�W
�mhR nng re
•EµaMeG Medxad
0M
[IEP�¢M OF
SOCLILS£RV[CES
Lindsey Shewmaker said that over half of the recipients are children.
Slide #4
Expanded Medicaid in Orange County
• Social Services began taking applications for expanded Medicaid(MXP)on December
1,2023
• Orange County DSS hired 9 additional staff to manage the new program
• There were a large number of initial applications that staff worked hard to process
• By the end of December 2024,4,603 Orange County residents were covered by the
new,expanded Medicaid program(MXP).This is 86%of the estimated enrollment in
Orange County in Year1
v ••
ptp,E�EMOF
SOCIw SFANCI+S
25
Slide#5
Total • • ' County by •
Orange County Medicaid Expansion Enrollment
6000
J603
5000 3.502 3792 3929
3,253 3]11 4161 4283 4419
7.01] 4068
2,]99
4000 2512
2101
3000
2000
1000
0
November. December. lanuary.2024 February, Merch.2024 Apr11.2024 May.2024 June.2024 July,2024 AAus1.2024 September, October. N—mbar. December,
20M W23 2024 2024 2024 2024 W24
■Orange Ceunry Medicaid Expansion Enroilmeni •
0M
1)6PARIMENCOP
SOOAL SFRy10E5
Slide#6
Orange County MXP Recipients February 2024
Oran
6
• ' CountyF'
RecipientsMXP i...
y
thr• •
February 2024
l
x --
o ETl
DF1'AR M OF
SOCIAS.SEIiVICPS
Lindsey Shewmaker these maps give a better idea of where recipients live.
26
Slide#7
Orange County MXP Recipients December 2oz4
`1
Orange
• w
� n
MXP Recipients
thr• •
December 2024
N%PRea0ier450aruly_dylatlb _�
SParze Q EFJ �
F�COES
Slide #8
Demographic Observations
• NCDHHS built a Medicaid Expansion Dashboard and updates data monthly
-dicaid.ncdhhs.gov/reports/medicaid-expansion-dashboard
• In the first year of enrollment,Orange County residents receiving MXP were mostly:
Not Hispanic In Chapel HRL,
Carrboro,and
HiLLsborough
DEPMTM ENT OF
SOCLILSFAVICFS
27
Slide#9
Outreach Effortsand Events
Southern Orange County and Southern Orange County and Northern Orange County and
Chapel Hill Carrboro Hillsborough
Rogem-Euba nks Community Center
Estes ParkApartrents
White Cross Fire Department CoUins Crossing Apartments
CaFrbara in Motion Events
Justice United
• 00
0M
D OP
SOCLU.SERVICES
Slide #10
Timeliness • Accuracy Measures
Medicaid Report Passed every month in 2024
Card
95-99%timeliness in 2024
Recipient Passed every month audited in 2024
Eligibility
Determination 90-100%accuracy in 2024
Audit(REDA)
•
l
DEPoRTMEVT6
Lindsey Shewmaker said that the state did not change or waive any of the reporting. She
said they drew the unlucky straw as being in the audit during the same year as expansion and
they passed each month. She said this is a huge testament of the work the staff does daily.
28
Slide#11
Orange County's Medicaid Expansion Team
=A�
70
From left to right:Julie Cales.Kizzy Laws.AprilMartlndale.John Beasley,Louise Moize l
Shaw
ntia Dawson,Cathie Ortiz,Muriel Hickman-Dixon
Not Pictured;Angie Dinerte uiiriai`MFivr or
sucusuevlces
Slide #12
Federal Changes and Possible Impacts
• Work requirements
• Estimated 47%of North Carolina Medicaid enrolleeswouId be impacted by work requirements*
• Cessation of waivers
• North Carolina currently has 7 waivers either approved or pending approval
• I nclud es 191 5b wa ivers(I nnovati on)a nd 1115 waive rs that would provi de ongoi ng cove rage for
children
• Block grant/Funding reduction
• Reduction of services
• Reduction of coverage groups
• Federal Medical Assistance Percentage changes
'Medicaid Work Reouirements Could Put 36 Million People at Risk of Losing Health Coveraee Center on Budget and Policy Priorities f
DEPARTMENT OF
5()CI.LLSERNCGS
Lindsey Shewmaker said that information is changing almost daily right now. She said that
NC has legislation that automatically adopts any work requirements that are imposed at the
federal level. She said that they do not know what those look like, but she said they tend to be
burdensome for recipients and staff. She said that they usually do not lead to more recipients
being employed because only 8% of them would be able or eligible for work. She said that it is
estimated that caps would result in $30 billion dollar cut in federal funds to NC Medicaid over ten
years. She said that any cut in federal funds will impact recipients including hospitals and
pharmacies.
Commissioner Fowler asked if Innovation waivers would go away.
29
Lindsey Shewmaker said it is unknown at this time, but the federal government has a lot
of discretion over what happens with waivers. She said the 1115 waivers just got approved by the
General Assembly, but they can be terminated.
Vice-Chair Hamilton asked for a description of the waivers so everyone could understand
them more fully.
Lindsey Shewmaker said she could get that information to the Board because they can be
very complex and have a lot of pieces.
Commissioner Fowler read part of the statutory wording for 15B waivers.
Chair Bedford said the overall purpose of those has been to keep people with disabilities
out of institutions and provide different services. She said that has over 17,000 people on the
waiting list in North Carolina.
Lindsey Shewmaker said the waivers allow changes based on the state's desires to move
in a different way from the federal government policy.
Commissioner Portie-Ascott asked if the waivers are cut immediately or if they would have
time to prepare.
Lindsey Shewmaker said there is a lot of discretion and complete unknowns. She said
they really do not know.
Chair Bedford said that the budget reconciliation process doesn't need the 60 votes in the
senate and that could also have an impact.
Commissioner Carter asked about the impact of the evaluation audits if they were
implemented every year rather than done every 3 years.
Lindsey Shewmaker described the administrative burden for audits. She said during the
audit, they will pull ten approvals and ten denials and those are sent to staff to make sure all
documents are uploaded for the auditor. She said it takes the auditor a full month for the twenty
cases. She said if there are any issues they have 30 days to rebut the findings. She said that it
takes staff supervisors 4-5 hours a month. She said it is more stressful than anything else because
if they make an error, the county is financially responsible for those errors. She said the audits
demand perfection.
Slide #13
OptionaL Medicaid Covered Services
• Groups in North •
GroupsServices
Personal• Prescription drugs Adults 18-64 up to 1331/a FPL(Expansion population)
• 00'
Inpatient• Adult dental and optical services Dependent children 19-20 in AFDC limits
• psychiatric services Pregnant women
Non-mandatory• practitioner services Children
- Health clinics Family Planning 1340/o-195%FPL
Medically needy
Working disabled
AssistanceRecipients of State-County Special,
Participants in the Breast and Cervical Cancer
.•
DOI&T FNTOF
SOC_SE_CES
30
Slide #14
Federal - • - Changes• When Medicaid Expansion legislation(NC Session Law 2023-7)was written in North
Carolina,it included specific provisions related to the federal medical assistance
percentage(FMAP).If this rate falls below 90%,Medicaid coverage for the expanded
population in North Carolina"shall be discontinued as expeditiouslyas possible"
• This would cause the loss of benefits for most of the 4,600 Orange County residents
enrolled in expanded Medicaid
• It would also increase uncompensated care for providers,including UNC Health,
Orange County Health Department,Orange County Emergency Services,pharmacies
and other medical providers
••
I�
50C-'MENI'OF
SOGUL5EPVICES
Commissioner Greene asked for clarification on FMAP.
Lindsey Shewmaker said that the federal medical assistance percentage (FMAP) and that
is the rate that the federal government matches for the states that expanded Medicaid. She said
that North Carolina is responsible for 10%. She said this is an area where the federal government
cuts would make an impact and they are concerned. She said that cuts to agriculture will most
likely hurt SNAP benefits. She said the materials are not happy reading, but it is important to
follow. She said that staff in Raleigh think that the most likely impacts would be to the work
requirements and the required matching percentages.
Slide #15
Lindsey Shewmaker,Director
lshewmaker(o)orangecountync.gov
Louise Maize,Human Services Supervisor
lmoize( orangecountync.g_ov ••
SW:ULSERVI61
31
b. Occupancy Tax Uses Discussion
The Board discussed the potential usages of Occupancy Tax proceeds for future year budgeting.
BACKGROUND: The County has collected Occupancy Tax for several decades through State
authorization of Session 1991-392 (Attachment 1). This three percent (3%) levy on all room and
lodging rentals is collected by the County and used to fund the Visitors Bureau division of the
Economic Development Department, the Arts Commission division of the County Manager's
Office, and some related Outside Agencies. This authorization provides broad flexibility to the
County to utilize Occupancy Tax. However, the law applicable to Orange County predates the
current State guidelines for Occupancy Tax statutes (Attachment 2). The current guidelines
recommend that new authorizations restrict two-thirds (2/3) of Occupancy Tax proceeds to be
used to promote tourism and travel, and one-third (1/3) to be used for tourism-related
expenditures. The information below relies on this higher standard in its analysis, as the County's
authorization is subject to change by the North Carolina General Assembly.
In reviewing the prior year actual expenditures and current year budget for the Visitors Bureau
Fund, the County easily exceeds the two-thirds (2/3) standard for Occupancy Tax. The Visitors
Bureau also maintains a long-term contract with the Town of Chapel Hill that the Town provides a
set amount of its Occupancy Tax funds to the County to support the County's Visitors Bureau. The
funds have been used to increase advertising for summer events in Chapel Hill in FY 2025. In the
table immediately below, the expenses in the Visitors Bureau Division exceed both the revenue
generated by the Town contract and two-thirds (2/3) Occupancy Tax guideline by $234,740 in FY
2024, and is budgeted to exceed the guidelines by $801,423 in FY 2025.
BudgetRevenue and Expenses IFY 2024 Actuals IFY 2025 Revised
Town of Chapel Hill Contribution $ 457,439 $ 531,855
2/3rd of Occupancy Tax $ 1,482,399 $ 1,526,871
Guideline Revenues $ 1,939,838 $ 2,058,726
Visitors Bureau Division Expenses $ 2,174,578 $ 2,860,149
Expenses Above Guidelines $ 234,740 $ 801,423
During the FY 2024-25 Budget adoption process, there was a proposed Commissioner
amendment to redirect $69,000 of fund balance from the Visitors Bureau to fund General Fund
expenses. That amendment failed by a vote of 3-4, with the majority of the Board preferring to
revisit the issue in greater detail prior to the Board's FY 2025-26 Budget process.
The following chart provides a summary on the recent revenues and expenditures in the Visitors
Bureau Fund. Occupancy Tax has been very volatile in the last 10 years, due to the pandemic
and the inflation that followed. There are a few items to identify in reviewing these trends. First,
the revenues in the fund bounced back from the pandemic faster than anticipated, resulting in an
accumulation of fund balance in FY 2022, FY 2023, and FY 2024. The intent of the FY 2025
budget is to spend down a significant portion of that accumulated fund balance. The department
has needed to come back to the Board through budget amendments to recognize additional
revenues during the last four (4) years and identify spending plans. The majority of the fund's
expenditures fund the staff of the Visitors Bureau, the fixed costs of the visitor center, and the
programmatic costs of the Visitors Bureau: advertising, market research, and publications. As
Occupancy Tax revenues have rapidly decreased and then increased, the majority of the change
in expenditures has occurred in the programmatic costs. Those were cut to as little as $260,000
during the pandemic and have grown to as much as $1.8 Million during the FY 2025 budget. The
32
Arts Commission and some outside agencies are included in the fund's budget but are less than
10% of the FY 2025 budget.
Allocation of Revenues and Expenditures in Visitors Bureau
Fund
$4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$0 tM I
(D a) (D a) (D a) (D a) (D a) () a) a) a) a) a) a) a) a) a)
c c c C c c c c c c c C c C c C c C c c
a) a) a) a) a) a) a) a) a) a) a) a)
> a > a > a > a > a > a > a > a > a > a
a) x a) x a) x a) x a) x a) x (D x (D x a) x a) x
if w ir w ir w ir w cc w cc w cc w cc w cc w ir w
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Rev
Bud
■Occupancy Tax Revenue ■Town of CH Agreement
■Other VB revenue ■VB Personnel Costs
■VB Fixed Operating Costs ■VB Programmatic Operating Costs
■Payment Back to County ■Net Arts/Outside Agency
For this discussion, County staff will present the recent budgets and actual expenditures in the
Visitors Bureau Fund, and how those usages align with the Occupancy Tax guidelines and the
County's strategic plan. Staff will then address three broad categories of options for the Board to
discuss:
1. Retain the current allocation and usage of Occupancy Tax between the Visitors Bureau
and the Arts Commission.
2. Direct a portion of the Occupancy Tax funding to cover other existing County expenses
that meet the Occupancy Tax guidelines.
3. Direct a portion of the Occupancy Tax funding to start new initiatives that meet the
Occupancy Tax guidelines.
Staff will also briefly discuss the Visitors Bureau Board's Fund Balance policy of fifteen percent
(15%). This policy has not been recognized by the BOCC, but has often been followed by staff in
practice. Staff will discuss how this policy could be codified by the BOCC, and how a fund balance
policy for a restricted revenue fund would differ from a General Fund fund balance policy.
The County maintains several programs in funds outside of the General Fund. The most
discretionary of these funds are the Inspections Fund, Visitors Bureau Fund, Article 46 Fund,
Sportsplex Fund and Solid Waste Fund. The County does not have formal fund balance policies
for any of these funds, but weighs the following issues when reviewing the fund balance during
the budget process — the current and upcoming obligations of the fund, the long-term debt and
capital requirements, and the stability of the revenue source. The Visitors Bureau Fund does not
fund any long-term capital or debt, and does not have any upcoming obligations, but has been
highly variable over the last ten (10) years, and is more vulnerable to downturns during
recessions. Therefore, the fund does not need to maintain a significant fund balance, but will
33
either need to significantly reduce expenses or rely on County subsidy in the event of a recession
or other major disruption.
Kirk Vaughn, Budget Director, made the following presentation:
Slide #1
ORANGE COUNTY
NORTH CAROLINA
Occupancy Tax Use Discussion
March 18, 2025
BOCC Business Meeting
Slide #2
OCCUPANCY TAX STATUTORY AUTHORITY
• Orange County has authority to collect
Occupancy Tax through 1991 law.
— 10% of revenues used for visitor informational
services and support cultural events.
• Predates modern NCGA guidelines on
Occupancy Tax, which places greater restrictions
— 2/3rds for promoting tourism and travel
— 1/3rd for tourism-related expenditures
• As the statutory authority is subject to change by
NCGA and state courts, staff recommend
aligning broadly with stricter guidelines in future
allocations. ,I_
ORANGE COUNTY
NORTI I CAROLINA
Commissioner Greene asked if the county uses 100% of the funds.
Kirk Vaughn said that in current usage exceeds the higher guidelines. He said that they
are above the 2/3s guidelines.
34
Slide #3
VISITORS BUREAU FUND
• Occupancy Tax revenues are budgeted in a
special revenue fund - the Visitors Bureau Fund
• Other major revenue in the Fund - Town of
Chapel Hill contribution.
— Town provides a portion of its prior year's Occupancy Tax to the
Visitors Bureau Division through long standing contract. Funds
specified for visitor center activities
• Majority of Visitor Bureau Fund supports the
Visitors Bureau Division
• Fund also supports the operations of the Arts
Commission, and some related outside
agencies.
— Less than 10% of Fund's FY 25 Budget ORANGE
NORTH C:AROLINA
Kirk Vaughn said that the funds also include the Arts Commission.
Slide #4
VISITORS BUREAU FUND REVENUES
$3,000,000
$2,500,000
38%Average
5.7%Average Annual Increase
$2,000,000 Annual Increase
50%
$1,500,000 Revenue
Loss
$1,000,000
$500,000
$-
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Rev
Bud
■Occupancy Tax Revenue ■Town of CH Agreement ■Other VB revenue
— Revenue has been quite volatile, but has grown much
faster since Covid than Pre-Covid trend
ORANGE COUNTY
NORTH CAROLINA
35
Slide#5
VISITORS BUREAU FUND USES
S4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000 $ K
$1,500,000 $ K
$1,165K $1 i4gK $264K $
$1,o00,0o0 JK $979K $355K
$500.000 , , '
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Rev
Bud
■VB Personnel Costs ■VB Fixed Operating Costs ■VB Programmatic Operating Costs
■Net Arts/Outside Agency ■Payment Back to County
— As revenues changed drastically, the county mostly
reflected changes in Visitors Bureau's programmatic
expenses ORANGE COUNTY
• Advertising, Market Research, Promotions NORTH CAROLINA
Commissioner Carter asked about the payment back to the county. She asked if it would
hold steady.
Kirk Vaughn said it would hold steady in FY26 and then would not continue.
Slide #6
PERFORMANCE MEASURES OF VISITORS BUREAU
• Visitors Bureau tracks how it supports Tourism &
Travel for County
— Visitor attraction at 25 key sites
— Media coverage of county
— Visitor and business inquiries
— Tourism economic impact
— Demand for hotels & meeting facilities
— Publish visitor materials
— Advertise small business and farms in county
— Operate a walk-in visitor center
— Business referrals
ORANGE COUNTY
NORTH CAROLINA
36
Slide #7
PERFORMANCE MEASURES OF VISITORS BUREAU
Performance Measures 2021-2022 1 2022-2023 2023-2024 1 2023-2024 2024-2025
Actual Actual Budget Projected Budget
Service:Tourism Communications
Outcome Measure:Increased media coverage,visitation,and interest in visiting Orange County.
trategicPlan Priority: 6.Diverse and Vibrant Economy
Build attraction visitations—The Visitors Bureau
racks numbers of visitors visiting 25 major 1.78M 1.97M 2.1M 2.11V 2.5M
select attractions throughout Orange County
Media Stories on 0 range County—The Visitors
Bureau sends press releases and works with
ravel writers and digital influencers to write 247 276 250 250 260
stories about Orange County.Includes stories
with and without Bureau assistance
Fulfill inquiries of potential visitors and 3,000 3,500 4,500 4,725
business travelers
Annual Tourism impact—Economic impact is
measured by spending,employment,payroll $194M $236M $248M $248M $260M
and tax revenues from the hospitality industry
Service:Tourism Sales
Outcome Measure:Increase number and variety of leads to hotel properties with meeting space.
Strategic Plan Priority: 6.Diverse and Vibrant Economy
Definitemeetingbookings 25 1 31 1 30 34 36
sales leads for hotels 98 1 154 1 100 1 125 135
FY 2025 Budget Document ORANGE COUNTY
NORTH CAROLINA
Slide #8
CURRENT COMPLIANCE WITH GUIDELINES
• Both in 2024 Actuals and 2025 Revised Budget,
County easily exceeds stricter guidelines for
Occupancy Tax usage.
Revenue and Expenses FY 2024 Actuals FY 2025 Revised Budget
Town of Chapel Hill Contribution $ 457,439 $ 531,855
2/3rd of Occupancy Tax $ 1,482,399 $ 1,526,871
Guideline Revenues $ 1,939,838 $ 2,058,726
Visitors Bureau Division Expenses $ 2,174,578 $ 2,860,149
Expenses Above Guidelines $ 234,740 $ 801,423
• Board could redirect funds for Tourism-related
Expenditures and maintain 2/3rds rule.
• Visitors Bureau would still have $1 M
programmatic expense budget in FY 24 an�L25
ORANGE COUNTY
NORTH CAROLINA
37
Slide #9
ALTERNATIVE USES FOR 1/3RD OCCUPANCY TAX
Tourism-related Expenditures — Expenditures that
are designed to increase the use of lodging
facilities, meeting facilities, and convention facilities
in the county by attracting tourists or business
travelers. Can include capital expenditures.
Related Strategic Plan Priorities -
GOAL 2: HEALTHY COMMUNITY
• OBJECTIVE 7. Invest in services and programs that improve the
health and quality of life of the community (e.g., recreation and
public open spaces, arts, etc.)
GOAL 6: DIVERSE AND VIBRANT ECONOMY
• OBJECTIVE 1. Provide family-oriented and inclusive programming
or other cultural events for residents and visitors
ORANGE COUNTY
NORTH CAROLINA
Slide #10
ALTERNATIVE USES FOR 1/3RD OCCUPANCY TAX
Tourism-related Expenditures — There are plenty of
activities that a county funds that could be
reasonably interpreted as being related to travel
and tourism.
• Operational costs and debt service related to regional
parks & athletic facilities
• Funding cultural events and art events
• Public Safety support at special events
• Parking Decks, Water& Sewer and other infrastructure
investments in commercial areas
ORANGECOUNTY
NORTH CAROLINA
38
Slide #11
OPTIONS FOR BOARD DISCUSSION
• Option 1: Retain the current funding trends for
Visitors Bureau, Arts Commission, and Outside
Agencies.
• Option 2: Identify existing county investments
that fit reasonable definition of tourism-related
expenditures to charge to Visitors Bureau Fund,
possibly decreasing General Fund tax burden.
• Option 3: Plan new initiatives that fit reasonable
definition of tourism-related expenditures to
charge to Visitors Bureau Fund.
ORANGE COUNTY
NORTH CAROLINA
Commissioner Carter asked if the county would be in compliance with current occupancy
tax guidelines with option 1.
Kirk Vaughn said the county already exceeds the guidance. He said they are above 66%
so option 1 would provide additional funds above what the statute requires.
Chair Bedford said all three options meet the current guidelines.
Commissioner Carter said she had misunderstood the required spending and the 1/3 was
the floor but it was clearer now.
Commissioner Portie-Ascott asked if additional help for the Arts Commission would fall
under option 1 or 2.
Kirk Vaughn said he saw that as a combination of options 1 and 3 since they already fund
from those. He said they are not exclusive so they could provide additional support to option 2.
Chair Bedford asked about the lease on the consent agenda for the Eno Arts Mill.
Kirk Vaughn said that it is in the Visitors Bureau fund, but the lease is funded through
revenue generated by the Arts Commission.
Slide #12
VISITORS BUREAU FUND BALANCE POLICY
• Visitors Bureau Board's Fund Balance Policy -
15% minimum unassigned fund balance
• Not recognized by BoCC, but followed in practice
• Due to revenue growth, $1,125,806 has
accumulated in available fund balance.
— FY 25 Budget plans some draw down of fund balance
• No requirement to maintain minimum fund
balance. General Fund backstops all other funds.
ORANGE COUNTY
NORTH CAROLINA
39
Slide #13
VISITORS BUREAU FUND BALANCE POLICY
• During Budget Process, staff review fund balance
for various funds based on following criteria:
— Current or Future Obligations
— Long Term Capital or Debt
— Volatility of Revenue
• Visitors Bureau Fund does not have extensive
obligations or capital expenditures but has shown
significant volatility.
— During future recession, fund will either cut expenses
significantly, or receive county subsidy
ORANGE COUNTY
NORTH CAROLINA
Commissioner Carter asked about the county's fund balance policy and how it is affected
by advisory board fund policies.
Kirk Vaughn said that there are no other advisory boards with fund balance policies except
the Visitor's Bureau. He said the fund balance policy that the county has is specifically for the
general fund.
Commissioner Fowler asked if during the pandemic if the 15% got spent down and then
came to the Board for a backstop.
Kirk Vaughn said yes and if you look at the balanced since then, they exceeded that 15%
and then rebuilt because of the fast revenue growth.
Slide #14
DISCUSSION/QUESTIONS
• Questions for staff?
• No formal vote by Board required
• Staff will incorporate Board direction into FY
2025-26 Manager's Recommended Operating
Budget, Presented May 6th
ORANGE COUNTY
NORTH CAROLINA
40
PUBLIC COMMENT:
Wendy Smith said she is the Executive Director of the Arts Center. She said she is a native
of Chapel Hill. She said that Tourism is a big business in Orange County. She said that she is one
of the former owners of Cameron's. She said that the county has a Visitors Bureau that brings
the community together, keeps them updated on trends, and spends time scouting for new
sources of business through advertising, marketing, and direct sales. She said the Franklin St
location allows them to help people six days of the week. She said that she supports the Arts
Commission Board and the Visitor's Bureau.
Ashley Nissler said she has served on the Arts Commission and the Orange County Arts
Alliance for about 12 years. She said that due to the occupancy tax they have been able to grow
the work the Arts Commission does and invest in staff. She said they have paid more than 500
artists for work done. She said that the occupancy tax has made it possible for events like the
Uproar Festival for Public Art. She said that it is an economic driver during slow summers. She
said having served on both boards, she said they are thankful for the occupancy tax funding and
the need is even more than the allocation allows. She said they will continue serving and engaging
the community and invited the Board to visit the Eno Arts Mill.
Richard Ellington said he is the President of the Chapel Hill Historical Society. He said it
is important for people to know the history of Orange County. He said that our community would
not be the same without visitors to Orange County. He said when Orange County was created it
contained all or a portion of what is now 13 counties. He said the Visitor's Bureau brings culture,
economic opportunity, and magic to the community. He said they have worked with the Visitors
Bureau to create walking tours, lectures, and events. He said they have a QR code trail, and it
provides history so that they know where we have been so we can be cautious of where we might
end up.
Meredith Sabye thanked Commissioner McKee for coming to the fire department
breakfast. She said she is the co-founder of the Center of Regenerative Agriculture and the owner
of Blue Hill Coffee. She said the Visitor's Bureau has been integral in connecting them to the
community. She said she has served on the Visitors Bureau for a year and a half. She said they
can see the positive and encouraging results from the efforts. She said that people are seeking
unique destinations and experiences. She said that tourism helps the many small businesses.
She said agri-tourism is critical to the long-term success of the farming community. She said
visitors love Orange County and come from all over the world to be part of what they have in this
region. She thanked the Board for their continued support for the Visitor's Bureau.
Lili Engelhardt said she is a former member of the Visitors Bureau. She said she serves
on the diversity community to create a marketing campaign of BIPOC friendly businesses to show
the world the inclusive and welcoming community that they are. She said she is a strong supporter
of tourism in the community as economic development. She said according to the NC Department
of Commerce, tourism in Orange County had solid growth in 2023 and a 13% growth rate in visitor
spending from the previous year. She said the state average is 6.9% and Orange County has
almost doubled the state average. She said tourism supports almost 2,000 jobs in Orange
County. She said tourism generates over $10 million in state tax revenue and over $8 million in
local tax revenue. She said tourism generates benefits in many areas. She said it supports
families and taxpayers and local businesses. She asked for the Board to continue their support
of the Visitor's Bureau.
Commissioner Greene asked for clarification on the origins of the conversation about
Visitors Bureau fund balance.
Travis Myren said this came from a proposed budget amendment during the FY25 budget
discussions about applying some of the occupancy tax funds as a suggestion by Commissioner
Hamilton.
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Commissioner Greene said in the terms of the operating budget, she feels strongly that
this aspect is going well. She said they are trying to market to new markets. She said she supports
keeping the budget the way it is.
Commissioner McKee said a key factor is the better the Visitors Bureau does, the better
small businesses in the county do. He said if the economy goes south, the revenues go with it.
He said they do not have major retail bringing people in and rather have arts and programs that
bring people in. He said people would not know about this without the Visitors Bureau. He said
he has seen the amount of work that goes into getting a program developed to advertise and he
agrees with Commissioner Greene and would not want to tweak something that doesn't have a
problem.
Vice-Chair Hamilton said she supports the Visitors Bureau and the work that it does. She
said it makes sense to her for part of the occupancy tax to be available for other parts of the
county. She said that visitors won't have a good experience in the county without the infrastructure
and services. She said she looks at all the revenue the county gets and how are they going to put
it to its best use. She said they are going into a budget situation that is going to be very
challenging. She said it is not economically efficient to have different buckets of revenue and has
further questions about why it is separate, but ultimately thinks there could be better uses that are
in line with state statutes that would help them reduce the tax burden on residents and the general
fund. She said she supports option 2.
Commissioner Fowler had a question on slide #5. She asked if the green was marketing
primarily.
Kirk Vaughn said that is the advertising, the market research, promotions, and
programmatic expenses of the department.
Commissioner Fowler said it would be nice to track and see if they are getting their return
on investment over the next few years.
Laurie Paolicelli, Visitors Bureau Director, said that can be tracked. She said that she and
the Economic Development team can bring tourism more to the conversations moving forward.
She said she can bring that information to the Board. She said they get requests from other
visitors'centers to partner with them. She said that outside users of facilities need assistance with
planning events. She discussed some of the many things that the Visitors Bureau does to market
events and businesses. She discussed the start of the Visitors Bureau. She said that the Visitors
Bureau board does not believe that occupancy tax should not be used for capital, and they believe
that the current structure works.
Commissioner Fowler said she sees one option has meeting their needs. She asked if
they continued to have ongoing needs. She asked if they are still feeling held back. She said that
earlier there were people asking for help with water and the Board must deal with the needs of
the entire community.
Laurie Paolicelli said that there is increased demand for their services, and expenditures
continue to grow but expenses also have increased. She introduced Hanna Hemphill, budget
director to discuss the increase on the slide.
Hannah Hemphill said they have received increased funding from the Town of Chapel Hill.
She said they have been able to increase some funding based on that. She said they have had
increased programmatic expenses with things like soccer tournaments and music festivals. She
said they have participated in other events throughout the year. She said some of the
programmatic increase is because of the drawdown of fund balance that Kirk was talking about.
Kirk Vaughn said they accumulated a fund balance and that spending that shows an
increase.
Chair Bedford said there is a slide that shows they are still accumulating.
Laurie Paolicelli said the Town of Chapel Hill's partnership gives the Bureau $200,000 per
year and then 50% of anything over a million dollars. She said that went immediately to the
42
marketing budget. She said it doesn't look like an obvious tourist destination. She praised their
staff and partnerships.
Commissioner Portie-Ascott asked if Laurie Paolicelli is concerned about the economic
outlook.
Laurie Paolicelli said that they are unsure of how they will be affected. She said that many
federally funded programs are not allowing staff to travel.
Commissioner Carter referred to slide #13. She asked how fund balance is reflected in
the revenue chart.
Kirk Vaughn said the difference between the expenditures and the revenue is the use of
fund balance in FY25.
Commissioner McKee referred to slide #5. He said he thinks that the increase from 2023
to 2025 seems to be a trend that will continue. He said that other areas are also experiencing this.
He said they will have to work harder to get the programs and events to Orange County.
Laurie Paolicelli said that one advertisement in Our State magazine is $25,000. She said
they must use key words and digital strategies. She said that$100,000 is their advertising budget.
Chair Bedford said she also served a term on the Visitors Bureau and appreciates the
work that they do. She said that they can project the revenue that they will likely get with increased
numbers of events. She said she had concerns about continuing to market in the same ways
each year. She said that they've heard the need for performing arts space and that there is no
space in Orange County. She said that the Eno Arts Mill need additional staff. She said that park
space is used by many people from other places. She said that she agreed that the occupancy
tax should be used to support other county expenses that support these facilities and events. She
said that could free up dollars for the greatest of needs. She said that the work that is done to
broaden and diversify is important. She said the pre-COVID weekday space use is not going to
return. She said it is important to have a budget and she supports preserving what they have
along with staying flexible.
Commissioner Fowler said she agreed with the need for the Visitors Bureau to have a
budget. She said she likes to see the numbers and the impact. She said she would like to see
an increase in sales tax if the county can't use the occupancy tax.
Commissioner Portie-Ascott said she would like to see occupancy tax funds used for
tourism-related expenditures going more in the arts. She said she was supportive of option 2 on
slide #11.
Commissioner Carter said that she believes that the convergence of the arts with tourism
is a unique opportunity, and she would like to see more of that. She said that it is unlikely in a
tough year that the county would grow 50%. She said they should plan for a flattening out or even
a recession. She said there appears to be flexibility, and that she was leaning towards something
like an option 2.
Commissioner McKee said he doesn't want to tinker around the edges of something that
works, and that's how he sees option 2. He said he supports more funding for the arts, but he
does not support tinkering around the edges. He said he doesn't want to see an impact on local
businesses and if they continue what is successful, he thinks it is on the verge of turning Orange
County into a destination.
Commissioner Greene said she agrees that if they go with option #2, it should go to the
arts.
Commissioner Portie-Ascott asked for clarification on slide #5 regarding the funds raised
by the Arts Commission.
Chair Bedford said that the purple shows the expenditures.
Commissioner Portie-Ascott said with that information, she is unclear on what problem
they are trying to solve.
Vice-Chair Hamilton said one of the things she learned about funding non-profits is that
expenditures are not based on the funding source because the funding can change. She said that
43
Chair Bedford mentioned the diminishing marginal returns. She said that if you are only spending
based on revenue flow, it is not efficient fiscal management. She said it doesn't make sense to
her for all of occupancy tax funds to go to one department. She said she thought it should have a
budget.
Chair Bedford said the Visitors Bureau does have a budget.
Vice-Chair Hamilton said that it should be a budget that is based on need. She said many
say it is arts. She said that to have a successful tourist experience, they have to have a county
were everyone is functioning well because the residents are paying for it. She said she wants
occupancy tax to help support infrastructure, and that money should go to the best use. She said
in economic downturns, the county stepped in to help. She said she thinks there should be a
budget and anything above the budget could be spent on something else. She said it is hard to
tease out what the tourism budget brings to the occupancy tax because there are so many factors.
She said they need to look at the best use of every dollar.
Chair Bedford said the problem with the budget this year is that they had people get
evicted because they can't pay rent. She said if they can redirect some of the occupancy tax
dollars, then dollars are freed up to help people with housing or to support housing. She said it
frees up the general fund and allows more flexibility with the dollars.
Commissioner Portie-Ascott asked if it is complicating for them to have a separate fund.
Chair Bedford said the budget directors can manage that and it is not a worry.
Commissioner McKee said it is a unique area and there are unknowns that they can't plan
for. He said the amount of money that comes in, impacts mom and pop stores. He said the fund
balance does not need to continue to grow over 15% and that is what the county has. He said he
only supports option 1. He said that if they get soccer events, they need the flexibility to adapt
and move forward.
Commissioner Carter said she is confused why a county department has a fund balance
policy in addition to the county's fund balance policy. She said she understands this has been
the policy for a longtime, so any changes need to be carefully reviewed. She said she would like
to see a plan to come back in the future to discuss economic conditions because it is tough to
plan for economic uncertainties. She said she would like to invest in the arts and using the
Visitor's Bureau with that as they move forward. She said that she wants to visit the conversation
of fund balance policy and she questions why a department has a fund balance since the county
has one.
Commissioner Greene said she thinks of this like an enterprise fund, and they are funded
by the occupancy tax. She said that it is a special revenue tax and the reason that the department
has a fund balance policy. She said she does not feel like she knows how to micromanage the
expenditures. She said she can support some reduction of the fund balance, but she is only willing
out of compromise and ultimately, the Visitors Bureau knows what they are doing with their money.
Chair Bedford said she doesn't think they should have a fund balance if they go with option
2. She said 15% is too high, and she thinks it should be how much it costs to make payroll and
other fixed expenses for a certain number of months like they do with the schools. She said she
would agree to bring it down or set a dollar amount.
Vice-Chair Hamilton said she is not in favor of a department having a fund balance since
the county will step in if need be.
Commissioner Portie-Ascott said the county's budget is complicated. She said she thinks
they have done a tremendous job accumulating the funds, but it is hard for her to understand the
spending of savings. She said she doesn't know how much of a backstop they can be to all
departments, and she is not sure she is in favor of spending it down.
Commissioner Fowler said they are the backstop for all departments. She said they
function like an enterprise fund. She said that it's not for salaried positions, but for marketing. She
said maybe they need $500,000 for those purposes. She said the return on investment is what
she is focused on. She said they have growth in occupancy but the growth in sales tax was not
44
great. She said that the proof is in the pudding, and she is not sure that it has been proven that
the occupancy tax increases the income tax.
Travis Myren said he did not hear majority support to use occupancy tax funds to offset
general fund expenses but there is majority support for spending some on the arts, and in terms
of fund balance, there is an appetite for reduction, but not elimination.
c. Master Aging Plan Balance Discussion
The Board discussed the outstanding balance of the Master Aging Plan project and how the
Master Aging Plan should be budgeted in future fiscal years.
BACKGROUND: The County's Department on Aging has had a long-standing relationship with
Carol Woods.As Carol Woods is a continuing care retirement community, it does not pay property
taxes to the County. Carol Woods has instead provided a $175,000 annual charitable gift to the
Department on Aging, which the County reserves for use for the Master Aging Plan (MAP). Over
the last several fiscal years, the Department has accumulated a large reserve of the donated
funds, detailed in the table below. The primary causes leading to this accumulation are, first, that
the Department had access to one-time Federal grants that needed to be spent down, and second
that there has been a higher rate of vacancies in the temporary staff that were funded out of the
MAP program. For example, of the seven (7) identified temporary staff positions that are intended
to be funded out of the MAP program, only two (2) or three (3) of those positions were filled at
any given time over the last three (3) years.
MAP Balance FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024
Starting Balance $ 99,880 $ 128,263 $ 163,864 $ 251,570 $ 377,911 $ 469,734 $ 579,105
Expenditures $ 146,617 $ 139,399 $ 87,294 $ 78,659 $ 100,965 $ 90,138 $ 130,659
New Revenue $ 175,000 $ 175,000 $ 175,000 $ 205,000 $ 192,787 $ 199,509 $ 216,459
Annual Surplus/(Deficit) $ 28,383 $ 35,601 $ 87,706 $ 126,341 $ 91,822 $ 109,371 $ 85,799
Ending Balance $ 128,263 $ 163,864 $ 251,570 $ 377,911 $ 469,734 $ 579,105 $ 664,904
In response to this balance, the FY 2024-25 Manager's Recommended Budget redirected
$75,000 of the new Master Aging Plan funds to offset the Aging Department's expenses in the
General Fund. There was also a proposed Commissioner amendment to the Budget to redirect
the remaining $100,000 to offset General Fund expenses. That amendment failed by a vote of 3-
4, with the majority of the Board preferring to revisit the issue in greater detail prior to the Board's
FY 2025-26 Budget process.
For this discussion, County staff will present the recent budget history of the Master Aging Plan,
the programs that the MAP program supports (Attachment 1), and three broad categories of
scenarios of how the funds could be spent down. The scenarios are:
1. Expand Aging programming within the MAP project to spend down the balance over 2-3
fiscal years.
2. Utilize the balance to offset the cost of the Department on Aging in the General Fund for
multiple fiscal years.
3. Identify other County initiatives consistent with the donation that could utilize additional
one-time funding.
As the Board discusses the three (3) options, it should keep two (2) considerations in mind. First,
utilizing one-time revenues for ongoing expenses will create a budget gap in future years. Second,
while the County has broad latitude to utilize existing Carol Woods donations, Carol Woods could
withhold future donations.
45
As the Board discusses the use of the balance, staff will also seek Board input on how to budget
future annual Carol Woods contributions. Currently, Carol Woods provides its donation each
December, and the funds are provided directly to the Department on Aging, to be used as
supplemental funding for programs communicated by the department to Carol Woods. The
breakdown of MAP supported programs has not been included in the Manager's Recommended
Budget. The MAP program utilizes its own steering committee and domain teams to identify
priorities and assign funding.
Kirk Vaughn made the following presentation:
Slide #1
ORANGE COUNTY
NORTH CAROLINA
Master Aging Plan Discussion
March 18, 2025
BOCC Business Meeting
Slide #2
MASTER AGING PLAN HISTORY
• Orange County has received charitable gift of
$175,000 from Carol Woods for many years.
• County reserves funds for funding Master Aging
Plan (MAP) identified projects in a multi-year
project ordinance.
- MAP project also includes cost-share donations for R
Place and Handy Helpers programs
• MAP began in 2000, and we are currently in year
3 of the 2022-27 MAP.
• Due to underspending, the MAP project has
accrued a significant balance, $665k at end of
FY 24. Estimated $595k balance by end oLEY-25
ORANGE COUNTY
NORTH CAR01JNA
Kirk Vaughn said that the department received additional ARPA dollars, so now the fund
balance is estimated at $650,000 at the end of FY25.
46
Slide #3
MASTER AGING PLAN HISTORY
• Master Aging Plan funding decisions occur
outside of the BoCC annual budget process.
• MAP sets priorities through formal strategic
planning based on AARP Age-Friendly
Communities framework
• Goals and objectives set in 8 Domains of
Livability, as determined by MAP leadership team
and Aging Advisory Board.
• Stakeholders from county, town leadership,
healthcare, non-profits and advocacy
organizations included in steering committee.
ORANGE COUNTY
NORTH CAROLINA
Slide #4
HISTORY OF MAP BALANCE
• MAP project has typically had some unspent
carryforward funding but has grown significantly
over last 5. years.
MAP Balance FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025
Estimate
tarting Balance $ 99,880 $ 128,263 $ 163,864 $ 251,570 $ 377,911$ 469,734 $ 579,105 $ 664,904
Expenditures $ 146,617 $ 139,399 $ 87,294 $ 78,659 $ 100,965$ 90,138 $ 130,659 $ 194,996
ew Revenue $ 175,000 $ 175,000 $ 175,000 $ 205,000 $ 192,787$ 199,509 $ 216,459 $ 124,375
nnual
urplus/(Deficit) $
nding Balance $ 128,263 $ 163,864 1$ 251,570 $ 377,911 $ 469,734$ 579,105 $ 664,904 $ 594,393
• Causes:
- Disruptions from Covid
- One-time Federal grants that needed to be prioritized
- Turnover in temps charged to project
ORANGE COUNTY
NORTH CAROLINA
47
Slide #5
MAP PROGRAMMING
• Current MAP Projects — Simplified from Abstract Materials
— Handy Helpers — safety and accessibility projects for
homes. MAP funds temp and materials.
— Senior Employment Program — Provides employment
assistance to seniors. MAP funds temp.
— Bilingual Social Worker— Provides casework assistance
to Mandarin population. MAP funds temp.
— Outreach Coordinator — connects with Karen, Burmese,
refugee, and faith communities. MAP funds temp.
— Durable Medical Equipment Loan program — provides
medical equipment to client homes. MAP funds temp
ORANGE COUNTY
NORTH CAROLINA
Slide #6
MAP PROGRAMMING (CONT.)
• Current MAP Projects — Simplified from Abstract Materials
— R Place —Volunteer community caregiver respite
program. MAP funds temp and supplies.
— Communication Assistant — Provides communication
support for all Dept Aging functions. MAP funds temp.
— Fit Lot Construction — built outdoor fitness equipment at
Seymour Center. $71 k of one-time costs to MAP
— Various: Invoicing Coordinator, PhD intern, SHARP
awards, Project EngAGE, marketing
ORANGE COUNTY
NORTH CAROLINA
48
Slide #7
MAP PROGRAMMING
• Of the temps identified in prior slides, only 2-3
roles have been filled at any given time in the last
few years.
— Projects would either be on hold or been progressed by
permanent staff or partner agencies during temp
vacancies
• County does not fund permanent staff in the MAP
project.
• FY 2025 Budget - $75,000 flat allocation of new
Carol Woods Donation to support Aging dept in
General Fund, rather than MAP project.
�1
ORANGE COUNTY
NORTH CAROLINA
Kirk Vaughn said that this $75,000 is being used for permanent staff to support the MAP
project.
Slide #8
PERFORMANCE OF MAP
Master Aging Plan reports on 188 indicators, available on
OC website.
Dept identified 68% of indicators have been either
completed or have serious progress at the end of Year 2.
Related Strategic Plan Priorities-
GOAL 2: HEALTHY COMMUNITY
• OBJECTIVE 2. Expand access to quality, affordable healthcare services.
(e.g., Crisis Diversion facility, Medicaid expansion, crisis response, healthy
living campaign).
• OBJECTIVE 7. Invest in services and programs that improve the health
and quality of life of the community (e.g., recreation and public open
spaces, arts, etc.)
GOAL 3: HOUSING FOR ALL
• OBJECTIVE 7. Expand resources and invest in housing designed for our
aging and disabled residents.
• OBJECTIVE 8. Preserve existing housing stock from disrepair a`r�avoid
displacement. ORANGE COUNTY
NORTH CAROLINA
Kirk Vaughn said this is only for projects for the MAP project and not every project on
aging.
49
Slide #9
OPTIONS FOR BOARD DISCUSSION
• Option 1 : Allow Aging dept to utilize balance on
MAP and expand programming
• Option 2: Utilize balance to offset county cost of
Aging dept
• Option 3: Identify other county programs that are
consistent with the donation that could utilize
one-time funding
• Or combinations of above: Balance could be split
between three options
ORANGE COUNTY
NORTH CAROLINA
Slide #10
OPTIONS FOR BOARD DISCUSSION
Option 1 : Allow Aging Dept to utilize balance on
MAP and expand programming
• Aging has suggested additional programs that could
spend down the funding
— FIT Lot Instructor- $27k per year
— Consultant for School Agism Awareness -$25k per year
— MAP Evaluation and Development-$30k per year
— Project EngAGE Retreats, Video Production, Encore Music
Program,Wellness Programming—$5-10k each per year
• Rate of spend down highly dependent on temp vacancies
on existing and new programming
• If all positions were filled, MAP program would be spent
down by FY 28 or FY 29. Programs then would have to
be stopped or funded by county.
ORANGE COUNTY
NORTH CAROLINA
50
Slide #11
OPTIONS FOR BOARD DISCUSSION
Option 2: Utilize balance to offset county cost of
Aging Dept
• Funds would be used to offset county Aging costs.
— For example: $190k subsidy to GF for 3 years.
• Dept would only be able to use new donations to fund
MAP projects.
• County would be using one-time revenues to support
ongoing expenses, creating future budget gap when
balance is depleted.
• Could jeopardize future Carol Woods donations.
ORANGE COUNTY
NORTH CAROLINA
Slide #12
OPTIONS FOR BOARD DISCUSSION
Option 3: Identify other county programs that are
consistent with the donation that could utilize one-
time funding
• County Staff investigated other department programs to
look for collaboration opportunities
— Aligns with Strategic Plan
— Aligns with MAP efforts,Carol Woods charitable gift and targets aging
demographic
— Dept has ability to utilize one-time funds without creating ongoing operational
obligations
• Housing Urgent Repair Program
— Can utilize funds based on existing relationships with contractors
— Community advocacy group identified $2 million backlog of Naturally Occurring
Affordable Housing repair work.
— Can adjust existing program to restrict funds for aging residents and include aging
safety investments ,r;��
ORANGE COUNTY
NORTH CAROLINA
51
Slide #13
BUDGETING NEW DONATIONS
• Currently donation is made in December each year, but
amount is already anticipated in budget.
• Specific programs or priorities for MAP project are not
specified in budget process.
• FY 25 Budget did specify how much of the Carol Woods
donation should support the Aging dept in General Fund
and how much could be used for MAP project.
• Going forward, what role should BoCC have in directing
how future donations are budgeted?
— Continue to specify split funding of donation between GF and
MAP project
— Or expand to specify individual project funding in MAP project
ORANGE COUNTY
NORTH CAROLINA
Slide #14
DISCUSSION/QUESTIONS
• Questions for staff?
• No formal vote by Board required
• Staff will incorporate Board direction into FY
2025-26 Manager's Recommended Operating
Budget, Presented May 6th or in upcoming
Budget Amendment
ORANGE COUNTY
NORTH CAROLINA
Commissioner Fowler asked if Carol Woods require that their donation be used for MAP.
Chair Bedford said yes.
Commissioner Fowler said since that is a finite amount she would recommend that as the
number one way to spend it.
52
PUBLIC COMMENTS:
Ryan Lavalley said he is one of the coordinators of the Orange County HOME Coalition.
He thanked the Board for looking for funding for home repairs, but asked the Board to not use
MAP funds for that gap. He said since 2017 they have coordinated the layered home repair
network and now, they know the extent of home repairs needed. He said it is more acute in the
upcoming fiscal year due to losses from other revenue streams. He said that the MAP funds are
not an effective place to find the additional funds. He said that the Home Preservation Coalition
revealed the need for home repairs in the county and this would stifle the program that shined the
light on the need. He said Aging staff has effectively steered the budget strategically and
collaboratively. He said there are 2.5 years left in this plan. He said when they build age friendly
communities, they built friendly communities.
Ann Bradford said she is the chair of the Orange County Advisory Board on Aging, and
they are responsible for completing the goals in the MAP. She said for the 2017- 2022 MAP, a
formal evaluation was completed and revealed 90% of projects were completed. She said even
during the pandemic, the department was able to achieve great success. She said some of the
balance is from one-time federal grants. She said there are times that funds have not been used
by other providers and offered to Orange County. She said a capital project will receive the ARPA
$62,000 and will not use existing ARPA funds. She said they anticipate depleting the fund balance
at 2027-2028. She said they need the funds to remain in the department so they can complete
the MAP goals as developed. She said that as the Carol Woods representative to the community,
the funds were specifically given to the department to fund the MAP.
Vice-Chair Hamilton said she is struggling in differentiating between the MasterAging Plan
and Master Aging Projects.
Janice Tyler, Director of the Department on Aging, said that the Master Aging Plan is not
the strategic plan for the Orange County Department on Aging. She said the Master Aging Plan
is the plan for the community. She said it was a massive effort and it was not done in a silo.
Vice-Chair Hamilton said that helps, but it also brings up that its overall for the community.
She said that people don't have food, and if the basics aren't done, she struggles with innovating
when there are still basic needs to be met. She said she is interested in the flexibility of using
funds when we have them because of what they are dealing with. She said everything counts.
Janice Tyler said the community set the priorities. She said there were seven workgroups,
and 160-175 people in the process. She said they had to prioritize the work.
Vice-Chair Hamilton said conditions change, and maybe that's the tension with this MAP.
Commissioner Fowler said she struggles with the idea of not using funds for housing
because it was uncovered by the MAP. She said it would be reckless to not have basic needs
before going into other items. She said that putting some money towards housing would be a
reasonable use.
Chair Bedford said it sounded like Commissioner Fowler was interested in a combination
of options 1 and 3.
Commissioner Portie-Ascott said she her understanding of the need for senior housing
and housing repairs. She asked if there was a way to do both and the requests in option 1.
Chair Bedford asked Janice Tyler asked if the Handy Helper projects are different from the
urgent projects.
Janice Tyler said Handy Helpers are more about accessibility with items like ramps and
grab bars.
Ryan Lavalley said the issue is between the Urgent Repair programs spend about
$15,000-$20,000 and those are the ones that are most needed. He said they need large repairs,
and the need is more than what the Handy Helper program can provide. He said one example is
a mobile home fund. He said it takes a lot of money to do the comprehensive repair that is needed
in the county.
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Chair Bedford said she wanted the Department on Aging to keep the money, and to spend
it as best they can. She said that if Carol Woods keeps sending the funds, it might need to be
spent on something other than positions.
Commissioner Greene said this was a charitable gift that was directed for supporting the
MAP. She said for that reason, she wanted to stick with how it was given. She said it's not broken,
and they don't need to fix it.
Commissioner Carter said that there is a donor supporting important work in the county,
and they should try to fulfill the objectives of the donor. She asked if all the fund balance is due
to underspending of the donor contributions.
Janice Tyler said there are donations of other monies as well.
Kirk Vaughn said the balance is from Carol Woods because the other donations have
equal expenditures.
Commissioner Carter said she agreed with Commissioner Greene.
Commissioner McKee said that it was a gift, and he feels the same about this item as the
previous. He said that Carol Woods provides this donation and directly to be used as
supplemental programs communicated by the department to Carol Woods. He said that there is
communication between the department and Carol Woods on what the donation is used for. He
said the only option he sees is option 1.
Commissioner Portie-Ascott said she did not realize that all the money was Carol Woods
money. She said she supported option 1.
Chair Bedford said it seems to be clear now and she asked the department to spend down
the funds.
Kirk Vaughn asked the Board if they would like to discuss during the budget process on
how the Carol Woods funds are going to spent.
Chair Bedford said it's nice for the Board to know.
Commissioner Carter said she would like to be consistent across departments.
Chair Bedford said other departments don't receive large gifts.
Janice Tyler invited the Board to the steering committee meetings. She said they happen
once or twice per year and the next is on May 16tn
Chair Bedford suggested that it be an information item.
Commissioner Fowler said she didn't understand the question because they can't specify
how donations are used.
Chair Bedford said that now that option 1 is the choice, the donation discussion does not
come into play.
Commissioner Carter said she would want to have a fund balance policy discussion.
Chair Bedford said no one else has a fund balance except the Visitors Bureau.
8. Consent Agenda
• Removal of Any Items from Consent Agenda
• Approval of Remaining Consent Agenda
• Discussion and Approval of the Items Removed from the Consent Agenda
A motion was made by Commissioner Fowler, seconded by Commissioner Greene, to
approve the consent agenda.
VOTE: UNANIMOUS
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a. Minutes
The Board approved the draft minutes for the February 4, 2025, February 11, 2025, and February
17, 2025 BOCC Meetings as submitted by the Clerk to the Board.
b. Recommendations for Rate Renewal of Employee Health and Dental Insurance and
Continued Participation in the North Carolina Health Insurance Pool
The Board approved the Manager's recommendations of employee health and dental insurance
premium equivalent rates for plan year, July 1, 2025, through June 30, 2026, and approved the
County's continued participation in the North Carolina Health Insurance Pool.
c. Eno Arts Mill Suite 27 Lease Amendment
The Board approved Amendment Three to the Eno Arts Mill Suite 27 Lease Agreement.
d. Fiscal Year 2024-25 Budget Amendment #7
The Board approved budget, grant, and capital project ordinance amendments for Fiscal Year
2024-25.
e. Orange Grove Road Sidewalk Professional Engineering Services Contract and
Approval of Budget Amendment#7-A
The Board approved an updated Professional Engineering Services contract for the Orange
Grove Road Sidewalk project and approved Budget Amendment #7-A.
f. Dedication of Six (6) Bus Shelters to the Town of Hillsborough
The Board approved the dedication of six (6) bus shelters to the Town of Hillsborough.
g. Amendment of the Boundary Line Between the University Lake Protected Watershed
and the Jordan Lake Unprotected Watershed on PIN 9851-43-7477 (Maslow Property,
Bingham Township, Orange County, NC)
The Board amended the University Lake Protected and Jordan Lake Unprotected Watershed
boundary line on the unaddressed property with Orange County Parcel Identification Number
(PIN) 9851-43-7477, Bingham Township, to reflect a ridgeline that was professionally surveyed
on the property in January 2025.
h. Acceptance of Art Hanging System Donation
The Board accepted the donation of an art hanging system from the Friends of the Southern
Branch Library.
i. Construction Contract Award for Piedmont Food Processing Center Heating,
Ventilation, and Air Conditioning Replacement
The Board:
1) Approved the County entering into a construction contract with Brady Trane Services, Inc.
for the replacement of the Heating, Ventilation, and Air Conditioning (HVAC) units at the
Piedmont Food Processing Center; and
2) Authorized the County Manager to execute the Agreement, subject to final review by the
County Attorney, and any subsequent amendments for contingent and unforeseen
requirements up to the approved budget on behalf of the Board.
j. Appointments to the Orange County Juvenile Crime Prevention Council (JCPC)
The Board approved appointments to the Orange County Juvenile Crime Prevention Council
(JCPC).
k. Boards and Commissions —Appointments
The Board approved the Boards and Commissions appointments as reviewed and discussed
during the March 11, 2025 Work Session.
I. Approval of Letter to the County's US Congressional Delegation
The Board approved a letter to the County's US Congressional Delegation regarding federal
funding and the impact on local services.
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9. County Manager's Report
Travis Myren reminded the Board about the joint meeting with the Town of Carrboro on
March 27.
Chair Bedford said she would not be present.
10. County Attorney's Report
John Roberts had no report.
11. Appointments
None.
12. Information Items
• Memorandum —2024 Annual Report of the Community Child Protection Team (CCPT)
• February 2025 Child Care Subsidy Monthly Report
13. Closed Session
None.
Adjournment
A motion was made by Vice-Chair Hamilton, seconded by Chair Bedford, to adjourn the
meeting at 11:00 p.m.
VOTE: UNANIMOUS
Jamezetta Bedford, Chair
Recorded by Laura Jensen, Clerk to the Board
Submitted for approval by Laura Jensen, Clerk to the Board