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HomeMy WebLinkAboutAgenda 11-06-2025; 8-e - Resolution Updating Compensation for Board of Equalization and Review Members 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: November 6, 2025 Action Agenda Item No. 8-e SUBJECT: Resolution Updating Compensation for Board of Equalization and Review Members DEPARTMENT: Tax Administration ATTACHMENT(S): INFORMATION CONTACT: Draft Resolution Nancy Freeman, Tax Administrator, (919) 245-2735 PURPOSE: To receive results from a state-wide survey of compensation provided to Board of Equalization and Review (BOER) members, review options for updating compensation for Orange County's BOER members, and approve a resolution authorizing updated compensation levels for BOER members. BACKGROUND: The Orange County Board of Equalization and Review is a three-member board appointed by the County Board of Commissioners that hears property owner appeals regarding property tax assessments and property tax exemptions. The BOER is a quasi-judicial body responsible for ensuring tax assessments align with state law by reviewing tax lists, correcting errors, and adjusting property values to fair market standards. In recent years there have been fewer applicants for Board of Equalization and Review positions. Additionally, the compensation for the BOER members has not been adjusted since at least 2013. 2025 is a revaluation year with an unprecendented increase in property values, which has resulted in the number of formal appeals to the BOER being higher than in previous revaluation years. The Tax Office and the Board of Commissioners share the goal to complete the appeals before the end of the calendar year. Currently the BOER meets three (3) days each week for a half-day. In order to complete the appeals, the Tax Office has requested that, for one (1) day per week, the meeting be expanded to a full day. The question has been raised if there should be additional compensation for the BOER members for the additional time. Currently Orange County compensates regular BOER members $75 per meeting and BOER Chair $100 per meeting. The Tax Office requested BOER compensation information from county tax offices state-wide. Thirty-six (36) counties responded, and the results are highlighted below: • The range of compensation for a meeting is $25 to $150, with a median compensation amount of $75. The most frequent payment amount for a meeting is $100. 2 • In eight (8) counties the chair is compensated more than the regular members, with a range of$15 to $75 more, and most frequently the chair is paid $25 more. • For the majority of the counties, meetings generally last for 4 hours, or a half-day. • Seven (7) of the thirty-six (36) counties double the compensation if the meeting is scheduled for a full day. Five (5) of those counties provide lunch. • Two (2) counties schedule for a full day, and each of those pays $100 compensation for the full day. • Three (3) counties pay by the hour, two (2) routinely schedule full days, and a full day's compensation ranges from $105 to $210. The Tax Office recommends an increase in the BOER compensation as follows: • Increase BOER regular member half-day compensation to $100, and add full-day compensation in the amount of$200. • Increase BOER Chair half-day compensation to $125, and add full-day compensation in the amount of $250. • Generally full days are scheduled only one (1) day per week if needed, with the expectation that full days are scheduled only in years when a revaluation has occured. • Provide lunch for participating BOER members when there is a full-day schedule, generally one (1) day per week. The BOER meets on Tuesday, Wednesday, and Thursday of each week. The Tax Office recommends implementing the change in compensation retroactively beginning the week that the first full day of hearings were scheduled, which would be Tuesday, October 14, 2025. FINANCIAL IMPACT: Approval of this change in compensation will result in an increase in the annual expenditure for BOER compensation. Estimated increase in non-revaluation years would be $1,000 per year, and in a revaluation year the estimated increase would be $5,000. Staff believes there are sufficient funds in the current year budget to cover the recommended increase in the compensation if the Board were to make the changes effective as of October 14, 2025. ALIGNMENT WITH STRATEGIC PLAN: This item supports: • GOAL 6: DIVERSE AND VIBRANT ECONOMY OBJECTIVE 5. Increase access to and awareness of resources and assistance available to residents and businesses. RECOMMENDATION(S): The Manager recommends that the Board approve and authorize the Chair to sign the attached resolution approving compensation recommendations for the Board of Equalization and Review (BOER) as follows: 1) Increase BOER regular member half-day compensation to $100, and add full-day compensation in the amount of$200. 2) Increase BOER Chair half-day compensation to $125, and add full-day compensation in the amount of$250; and 3) Provide lunch for participating BOER members when there is a full-day schedule, generally one (1) day per week, with the expectation that full days are scheduled only in years when a revaluation has occured. 3 RES-2025-058 ORANGE COUNTY BOARD OF COMMISSIONERS A RESOLUTION PROVIDING FOR THE REVIEW AND UPDATE OF COMPENSATION FOR THE BOARD OF EQUALIZATION AND REVIEW MEMBERS WHEREAS, North Carolina General Statute 105-322(A) authorizes the Orange County Board of Commissioners to appoint a special Board of Equalization and Review (BOER) to carry out the duties imposed under therein; and WHEREAS, the special BOER is a body appointed to hear property owners' appeals of county appraised real estate values, a duty which requires a significant time commitment and expertise; and WHEREAS, it is the desire of the Orange County Board of Commissioners to provide fair and appropriate compensation for the services rendered by the members of the special BOER; and WHEREAS, the Orange County Board of Commissioners has reviewed the current compensation for the members of the special BOER, and deems it advisable to update the compensation as outlined below: NOW, THEREFORE, BE IT RESOLVED BY THE ORANGE COUNTY BOARD OF COMMISSIONERS THAT: 1. The Orange County Board of Commissioners shall fix the compensation for the members of the special Orange County Board of Equalization and Review at $100 per half-day meeting attended for regular members, and $125 per half-day meeting attended for the chair; and 2. The Orange County Board of Commissioners shall fix the compensation for the members of the special Orange County Board of Equalization and Review at $200 per full-day meeting attended for regular members, and $250 per full-day meeting attended for the chair; and 3. The Orange County Board of Commissioners shall allow for the provision of a mid- day meal for the members of the special Orange County Board of Equalization and Review who attend a full day meeting. 4. This resolution is effective as of October 14, 2025 and all tax years hereafter unless revised or rescinded. This, the 6t" day of November 2025. Jamezetta Bedford, Chair Orange County Board of Commissioners