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HomeMy WebLinkAboutAttachments for January 16, 2026 Board Retreat Agenda 1 Attachment 3-a Orange County To: Board of County Commissioners From: Kelly Guadalupe, Strategic Planning Manager Travis Myren, County Manager Date: January 16, 2026 Subject: Orange County Strategic Plan Performance Measures Background On February 20, 2024, the Board of Commissioners approved a Countywide Strategic Plan for FY2024-25 through FY 2028-29. This plan includes a mission, vision, guiding principles, six goals and objectives associated with each goal. Revised objectives and performance measures for each of the six strategic goals were adopted in April 2025. These performance measures track progress toward the Strategic Goals and ensure the plan is achieving its intended outcomes by providing concrete data on how the county is performing against set objectives. The measures are tracked quarterly. Twice each year, the County Manager's Office prepares an update to the Board for each Strategic Goal including specific milestones and challenges. 2 Strategic Plan Progress Report 2026 Board Retreat 3 TABLE OF CONTENTS Cover........................................................................................................................ 3 Mission,Vision and Values.................................................................................................. 4 Coals........................................................................................................................ 5 Environmental Protection and Climate Action.............................................................................. 6 HealthyCommunity.........................................................................................................11 Housingfor All..............................................................................................................19 Multi-modal Transportatio n................................................................................................ 26 Public Education/Learning Community....................................................................................30 Diverse and Vibrant Economy..............................................................................................35 Cover 4 Orange County Strategic Plan FY202S-2029 FY2025-2026 First Quarter Progress Report ft- k ;t *J Strategic Plan Progress Report 12026 Board Retreat Page 3 Mission,Vision and Values 5 Mission Statement Orange County is a visionary leader in providing governmental services valued by our community, beyond those required by law, in an equitable, sustainable, innovative, and efficient way. Vision Statement We are a diverse, inclusive, and healthy County working together to strengthen our community and enhance the quality of life for all residents. Guiding Principles Communication and Awareness Stewardship and Advocacy We provide information and opportunities for We make proactive data-supported decisions and engagement in a transparent manner so that all advocate to local,state and Federal governments in our community have knowledge, in response to our community's needs in a way understanding, and a voice. that best utilizes our resources. Inclusivity and Engagement Partnership and Collaboration We foster an environment in which all are We build meaningful relationships and welcomed, represented, and empowered to connections that allow us to create holistic and participate in and feel connected to their integrated systems of support for all. community. Social Justice Dedication and Respect We reject oppression and inequity by ensuring We commit to our roles in public service and fair and equitable treatment of all people. organizational excellence by fostering the skills, talents, and innovation of our residents, Climate Action and Sustainability employees,volunteers, and boards needed to We recognize that our environment is critical to carry out this work. our existence and are deliberate in protecting, preserving, and sustaining our natural resources for the continued good of all. Strategic Plan Progress Report 12026 Board Retreat Page 4 Goals 6 Strategic Priorities ffhivii4nlnental Protection and Climate Action Promote sustainability and resiliency across the County and collaborate with our partners to activate our community, protect and preserve our natural resources, and reduce greenhouse gas emissions. Priority 2 Healthy Community Increase equitable access to care and social safety net programming to promote the physical,social, and mental well-being of our community. Priority 3 Housing for All Promote equitable and accessible housing and address housing disparities through policies, partnerships, and collaboration to create a thriving community. Wisdtityr*dal Transportation Collaborate with our regional partners to expand, integrate/connect, and provide accessible public transportation options. F:K&ityMucation/Learning Community Enhance and maintain quality school operations and infrastructure and cultivate lifelong learning. BKeawky find Vibrant Economy Foster an environment that attracts and retains sustainable and diverse businesses and visitors, employment opportunities, and diversifies our tax base. Strategic Plan Progress Report 12026 Board Retreat Page 5 Environmental Protection and Climate Action 7 Inity)tnental Protection and Climate Action Promote sustainability and resiliency across the County and collaborate with our partners to activate our community, protect and preserve our natural resources, and reduce greenhouse gas emissions. Objectives , bdentify the priorities and resources necessary to implement the Climate Action Plan. west in our infrastructure to reduce the environmental impact of the County fleet/facilities and improve safety. TTnprove educational opportunities for r ' County staff and community members on climate action and available resources to advance climate action projects. Mcentivize and promote sustainable agriculture and local food systems development through supportive policy, funding,farmland protection and educational outreach. Review land use policies to promote and connect Town, County, and private trails and open spaces. Protect water supply/watersheds. Conserve and protect high-priority open space, including Natural Heritage sites, nature preserves,watershed riparian buffers, and prime/threatened farmland. Wclude environmental stewardship objectives in the Comprehensive Land Use Plan. Strategic Plan Progress Report 12026 Board Retreat Page 6 Environmental Protection and Climate Action 8 1 .1 Climate Action Plan Strategies 1.1 Implement 50% (35) of Climate Action Climate Action Plan Strategies Implemented Plan Strategies by June30,2029, and document stra tegy sta tus in Climate Action Tracker. \ The measure is currently on track to achieve �\ the 2029 target,having implemented 21 30 Climate Action Plan Strategies as of June 30, 21 2025. 0 1 .2 Energy Use 7.2 Reduce the energy intensity (energy used in KBTU, or one- Energy Used in County Facilities 88 thousand British thermal units, - 86.8 KBTUs per sq.ft. 87.2 KBTUs per sq.ft. per building square foot)of ( 86 County facilities by 70% to 78.5 a KBTUs per square foot by June 84 30,2029. m 82.4 KBTUs per sq.ft. -*-Target 82 +Actuals Ln Energy use is decreasing as planned, i 80 and is on track to reach the target w 78.5 KBTUs per sq.ft. ♦ - - - - - - • before June 30,2029. LED conversion 78 projects contribute to this success. Baseline(FY23- Jul-Dec 2024 Jan-Jun 2025 24) Strategic Plan Progress Report 12026 Board Retreat Page 7 Environmental Protection and Climate Action 9 1 .3 Solar Energy Generation 7.3 Increase the annual solar energy Solar Generated by County Facilities 4,000,000 generated at County facilities by 767016 by o June 30,2029. 3,011,619 KBTUs 3,011,619 KBTUs 3,000,000 ♦ - - - - - - - - -0 2,217,652 KBTUs u The measure is currently on track to meet its >�F- 2,000,000 m target by June 30,2029.The County expects C: 1,127,947 KBTUs w 1,000,000 solar generation to increase due to recent and o IL L planned projects.The Efland EMS Station Ln 0 recently completed its solar installation,and Basel ine(FY23-24) FY24-25 the County has secured grant funding to install solar at the Cedar Grove Community Center. ♦• Target � Actuals The County plans to add solar to the Southern Human Services Center and the Drakeford Library Complex,and is conducting a solar feasibility study to help prioritize future projects. 1 .4 Vehicle Replacement 1.4 Replace 75916 of County non-first responder vehicles each year with Replacement Vehicles that are Electric � 100 electric or other alternative fuel vehicles (biodlesel, ethanol, hydrogen, etc.). Y 75 75% U) a� U o 50 74%,or 23 out of 31 vehicles replaced,were j w replaced with electric vehicles in FY24-2536 of ��0 U 25 �a the 208 vehicles in the ounty fleet are electric 0 vehicles. 0 Baseline (FY23-24) FY24-25 ♦• Target + Actuals Strategic Plan Progress Report 12026 Board Retreat Page 8 Environmental Protection and Climate Action 10 IS Environmental Protection and Sustainable Practices 7.5Increase the rating in the bi-annual communitysurvey on the following two questions by one percentage point every2years: How wouldyou rate the County: • As a community committed to green &sustainable practices • Asa place that prioritizes environmental protection The 2023 Community Survey indicated a(vMitive response to the County's commitment to green and sustainable practices.There was a 60%positive response to the County's prioritization of environmental protection.The 2025 Community Survey will be administered in winter 2026. 1 .6 Sustainable Farming Practices 7.6 Establish a baseline and increase the number of sustainable farming practices farmers Sustainable Farming Practices Implemented 1,500 implement after participating in sustainable farming programs, outreach, or education each 468 year. Ln � 1,000 7 U In '+ p i 0 563 a, a 500 In FY2024-25: E D z • 19 sustainable farming practices were funded 0 through the agricultural economic development Baseline FY24-25 grant program, • 442 landowners conducted soil health management, i Additional Practices Implemented and i Baseline • 7 properties were managed through prescribed burning. Strategic Plan Progress Report 12026 Board Retreat Page 9 Environmental Protection and Climate Action 11 1 .7 Land Protection 7.7 Permanently protect 300 additional acres of Acres of Land Protected by Easement farmland, priority natural areas, riparian buffer lands, floodplains, and wildlife habitat over the next 5 years. 100 200 Tbf5asure is on track to meet its five-year During the first year of tracking the measure,the County protected an additional 67.242 acres,or 22.4%of the goal. 0 67 300 Strategic Plan Progress Report 12026 Board Retreat Page 10 Healthy Community 12 Wiaift Z:o m m u n i ty Increase equitable access to care and social safety net programming to promote the physical, social, and mental well-being of our community. Objectives [Improve harm reduction,prevention,and therapeutic interventions for adults and children experiencing behavioral health issues,substance use eF disorder,and intellectual or developmental disability. _4 Expand access to quality,affordable healthcare services.(e.g.,Crisis Diversion facility,Medicaid expansion,crisis response, behavioral health). Ftaes FERHS•.q IPyR.K FERgc NCc„,oT ss,o Provide protective services for our most vulnerable Fwfe:6,NCN o S Is w community members with practices and resources that support reducing risk factors,ensuring safety, and achieving permanency. Support the basic needs and financial security of low-income families through a robust safety net of economic supports that help build long-term financial security. Provide deflection,diversion,therapeutic interventions,and re-entry support,including housing forjustice-involved children and adults. Envest in,support,train,and retain our community safety,health,and emergency services employees and direct care workforce. Provide sustainable,equitable,and high-quality community safety and emergency services to meet the community's evolving needs. Lhvest in services and programs that improve the health and quality of life of the community(e.g., recreation and public open spaces,arts,etc.) Strategic Plan Progress Report 12026 Board Retreat Page 11 Healthy Community 13 2.1 Post Overdose Response Team ( PORT) Implementation 2.7 Implement Post Overdose Response Team (PORT): • PORT contacts 90%of patients referred within 24 hours. • PORT establishes and maintains an 80016 induction to transfer of care and completion of medication- assisted treatment for opioid-use disorders. In its first twelve months of operation, PORT has not yet met the ambitious target of a 90 percent contact rate within 24 iattem.jUm teeomtact patients for referral,but successful contacts are often challenging when the team does not have a patient's phone number or address. The rate of induction to transfer of care is meeting the target of 80 percent. Because the absolute number of PORT inductions is small,a minor amount of variation can dramatically impact the percentage from one quarter to the next. o PORT Patient Referral FART Induction to Transfer of Care �, 100 0 " 120 i ♦ - - - •- - - � - - - • 4-1 100% N 90% 90% 90% 90% C: U 0 75 0 100 � 4LO- N 50 46% U O 80% 80% 80% 80% 80 - -70% — � - - -� a � 25 60 G�O,�,lx t�O�� ��0,V� ,�0 G�O,vlx 0�� 0&�' ,p0`��' QO r a 7� C9 OG 7 P 7 O 7 P 7 ♦• Target ♦• Target + Actuals + Actuals 2.2 Medicaid Enrollment 2.2 Increase enrollment of Medicaid-eligible residents by 7% (200 individuals)annually through Fiscal Year 2028-29. In FY24-25,the measure exceeded its target.Enrollment of Medicaid-eligible residents increased by 5 percent from June 2024 to June 2025.Quarter 1 of FY25-26 showed a continued increase in enrollment,with some leveling off. Strategic Plan Progress Report 12026 Board Retreat Page 12 Healthy Community 14 Medicaid Enrollment 22,000 21,500 �21,292�-1,36721, 443 21,495 21,520 c M 21,0 w U 21,000 20,858 20,682 c D 20,616 20,500 20'412 • ♦ Target U t Actuals Q) ry 20,000 � ,ti0 ,LO ,ti0 ,1O ,ti0 ,ti0 ,LO ,LO ,ti0 ,ti0 ,1O ,1O ,1O ,1O ,LO IQ vz a� 2.3 Deflection and Diversions from the Legal System 2.3 Increase by2%annually the number of Deflections and Diversions from the Legal System individuals deflected or diverted from criminal 600 legal system involvement, by referring individuals to the Criminal Justice Resource Department 421 41 400 deflection and diversion programs. �The Criminal Justice Resource Department 200 reported three fewer deflections and diversions from the legal system in FY24-25 than in FY23-24. 0 Baseline(FY23-24) FY24-25 ♦• Target(429) Actuals Strategic Plan Progress Report 12026 Board Retreat Page 13 Healthy Community 15 2.4 Employee Retention 2.4 Through Fiscal Year2028-29, maintain an Frontline Employee Retention 100 annual retention rate of86%or more among: 0 96.5% 0 95 • Deputy Sheriffs, • EMTs and Paramedics, 90 977 Call Takers and Telecommunicators, and 86.0% 86.0% Protective Services Social Workers Q85 846�0/0 - - - - - - - ♦ E w 80 The measure is currently meeting and exceeding Baseline(FY23-24) FY24-25 the target.The first year saw an overall frontline employee retention increase of 12.5 percentage ♦•Target points,10.5 percentage points more than the +Actuals proposed target. 2.5 EMS Response Time 2.5Achieve by April 7,2025, and maintain a 65% adherence rate to a 75 minute or less emergent EMS Adherence to Critical Response Time goo total response time for events requiring critical °; o N 80.0% 78.0% intervention by Emergency Medical Services. N a, g0 73 7% 73 0% Q 65.0% 65.0% 65.0% 65.0% 65.0% 65.0% In the first year, EMS adherence to the critical 60 response time increased by12 percentage points, ,y0 ,SOT yCIP yCI)T/ ,L0& surpassing the target rate by over 10 percentage �'�� �69 �0C points.July to September 2025 adherence rate ����� �J\ Cps 'ate V4 was well above target,at 78%. ♦• Target + Actuals Strategic Plan Progress Report 12026 Board Retreat Page 14 Healthy Community 16 2.6 Mental Health Training 2.6 Train 80 individuals annually on mental health Mental Health Training loo 87 topics, including Mental Health First Aid and 80 80 Applied Suicide Intervention Skills. 59 Ln 50 The Health Department and Criminal Justice 25 Resource Department trained a combined 87 individuals on mental health topics in FY24-25, 0 exceeding the annual target. In the first quarter of Baseline FY24-25 Jul-Sep 2025 FY25-26,59 individuals have already been trained. (FY23-24) ♦• Annual Target Actuals 2.7 Child Support Collection 2.7 Work with families to collect at least 709,6 of all current child support owed and collect arrears for at least 70916 of the families served by the Child Support Services Program annually. The collection rates are currently meeting and exceeding the target by at least 3 percentage points. Child Support Collection Rates 74 73.5% 73.3% 0 0 Ln 73 c 0 U m 72 o -0- Target U t Current Owed Collections oQ 71 f Arrears Collections a _0 70.0% 70.0% _0 70.0% ♦ — — — — — — — — — — — — — — — • U 69 Baseline(FY23-24) FY24-25 Strategic Plan Progress Report 12026 Board Retreat Page 15 Healthy Community 17 2.8 Food - Insecure Households Served 2.8 Serve 96%of the estimated eligible food- Estimated Eligible Food-Insecure Households Served insecure Orange County households with food 100 and nutrition services annually. o -0 96.0% 96.0% 95 94.2% - - - - - � N The measure met the target in FY24-25. The County served a monthly average of 9,440 090 89.0% participants. In the first quarter of FY25-26,the 0 percentage of estimated eligible households = 85 served decreased by 7 percentage points. Baseline FY24-25 Jul-Sep 2025 (FY23-24) ♦• Target t Actuals 2.9 Family Success Alliance Program 2.9 Provide 728 families annually with case- 150 Family Success Alliance Program management through the Family Success 11 _ _ _ _ 141 _ _ _ _ i. Alliance program to connect them to °DL Too medical/mental health care, housing, or food with support, information, and referral services. Ln Ln S0 43 In FY24-25,the number of families served through 0 the Family Success Alliance increased by 24 Baseline FY24-25 Jul-Sep 2025 families from the baseline of117 to 141, exceeding (FY23-24) the target for this measure. So far in FY25-26, 43 families have been provided case management. -0- Target(128) Actuals Strategic Plan Progress Report 12026 Board Retreat Page 16 Healthy Community 18 2.10 Child Reunification 2.70 Increase the percentage of children achieving Children Exiting Foster Care Through Reunification permanency through reunification when exiting 33 foster care by 7 percentage point peryear. 32% Q 32 0 In the past year,the percentage of children 31io 31 achieving permanency through reunification 0 • when exiting foster care increased by 2 ' 30 34" c percentage points, exceeding the target set. 29 Baseline(FY23-24) FY24-25 ♦• Target t Children Reunited 2.11 Mobile Crisis Team Responses 2.77 Increase by 70 quarterly the number of 977 Mobile Crisis Team (CARE) Responses ioo responses made by the Mobile Crisis Team m 74 69 (CARE). o ro 85 _ -60- -Ln + a 5o a In FY24-25,team responses grew beyond the A_z � target in the second and third quarters,with a dip 0 in the fourth quarter when the Call Center �3T �611� �CIP �4, yP Counselor position was vacant. In quarter one of �� Gp�G 7�\�e� FY25-26,team responses increased from the C P previous quarter. ♦•Target In FY24-25,the team served 349 unique Mobile Crisis Team (CARE) Responses individuals and 93% of responses were diverted from a criminal charge. 2.12 Cultural Competence Training 2.72A//first-responder county employees complete annual training to ensure cultural competence. Staff are developing a training curriculum which will be piloted in FY25-26. Strategic Plan Progress Report 12026 Board Retreat Page 17 Healthy Community 19 2.13 Community Survey Response to Amenities and Activities 2.13 Increase positive responses to the statement: "County provides adequate amenities, access to leisure activities, and cultural activities"by 1 percentage point in the 2027 and 2029 community surveys. The 2023 Community Survey indicated a 53.8% positive response to the statement.The 2026 Community survey will be administered in winter 2026. Strategic Plan Progress Report 12026 Board Retreat Page 18 Housing for All 20 I bidtwlfo r AI I Promote equitable and accessible housing and address housing disparities through policies, partnerships, and collaboration to create a thriving community. Objectives Use regular federal and local funds to build and/or acquire new affordable housing. address need and any policy barriers to Y increase access to emergency shelter beds and other low-barrier housing, including eviction diversion. — - - - - bivest in permanent supportive housing and help residents achieve housing stability. Prioritize and select County-owned land and/or facilities, including the Greene Tract, as part of an overall plan of facilities to create crisis, bridge, low barrier, affordable, and permanent housing. Review County ordinances, policies, agreements, and the regulatory processes to streamline practices, and increase opportunities and reduce barriers to construct housing. 67icrease opportunities for public employees to buy and rent homes where they work. 7-xpand resources and invest in housing designed for our aging and disabled residents. Rehabilitate and repair existing housing to preserve naturally occurring affordable housing and avoid displacement. crease representation of people with lived experience on housing related matters. 10.Support unhoused residents in obtaining temporary and permanent housing. 11. Ensure timely and thorough investigations and dispositions to all civil rights and fair housing complaints. Strategic Plan Progress Report 12026 Board Retreat Page 19 Housing for All 21 3.1 Affordable Housing Units 3.7Increase the number of affordable (80%AMI or Affordable Housing Units Constructed below) housing units funded by Orange County 15 by an average of 70 annually over 5 years, o, 10 prioritizing 60916 AMI or below. 10 8 • 0 0 o In FY24-25, 9 units were funded and 3 were 5 3 constructed. Due to construction schedules,there Z) will naturally be some variation from year to year. z 0 0 Baseline(FY23-24) FY24-25 ♦• Target Housing Units 3.2 Cold Weather Emergency Beds Available 3.2Increase the number of immediately accessible cold weather emergency Cold Weather Emergency Beds 75 beds available in the community by25961 V) by 2026. CO 50 0 20 iv The measure is currently meeting and E 25 exceeding the target. In the last year,the z 28 35 number of cold weather emergency 0 beds increased from the baseline of 28 Baseline(FY23-24) FY24-25 beds to a total of 55 available between Orange County and the Inter-Faith IFC Cold Weather Beds Council for Social Service. • OC Cold Weather Beds Baseline Strategic Plan Progress Report 12026 Board Retreat Page 20 Housing for All 22 3.3 Transition to Permanent Housing 3.3 Establish a baseline and increase by 5 per year the number of individuals moved from Bridge Housing programs to stable permanent housing. FY24-25 is the baseline year for this measure. 6 individuals were moved from Bridge Housing programs to stable permanent housing. 3.4 Permanent Supportive Housing 3.4 Increase the number of households housed in Households Housed by Permanent Supportive Housing permanent supportive housing by 10016 annually. 30 25 0 22 The number of households housed in permanent 20 18 20 o a, supportive housing increased from the baseline 0 0 of 18 households to 20 households in FY24-25, _ 10 meeting the annual target. In the first quarter of F FY25-26,25 households were housed, already z 0 surpassing the target of 22 households. Baseline FY24-25 Jul-Sep 2025 (FY23-24) ♦• Target Households Housed Strategic Plan Progress Report 12026 Board Retreat Page 21 Housing for All 23 3.5 Eviction Diversion Programs 3.5 70%of residents served by eviction diversion Program Recipients Avoiding Eviction 90 programs avoid eviction in the next 72 months. 82% 87% 0 0 80 In FY24-25, program recipients who avoided Q o eviction increased by 5 percentage points from L, ._ 70% 82%to 87%, exceeding the target success rate. w 70 • Ln 0 ry 60 Baseline (FY23-24) FY24-25 ♦• Target + Actuals 3.6 Development Permit Approval 3.6 Establish baseline and decrease by5% the median amount of time it takes from first development permit application to certificate of occupancy issuance for housing developments by June 30, 2029. The baseline median development processing time is expected in FY25-26. Staff are pursuing strategies this fiscal year to improve software and staff workflow. 3.7 Employee Assistance Programs 3.7 Establish a baseline and increase by5% the awareness of available housing and rental assistance programs among county employees by June 30, 2029. In FY25-26,staff will establish a baseline level of awareness through survey, and then pursue strategies to increase awareness among staff of programs available. Strategic Plan Progress Report 12026 Board Retreat Page 22 Housing for All 24 3.8 Repair and Rehabilitation of Housing Units 3.8 Increase by an average of 10% Housing Units Repaired or Rehabilitated annually over5years the number of 30 26 housing units repaired or rehabilitated. 28 _ _ _ _ _ • 22 - - - - - • �- 20 The measure exceeded the target in = 13 FY24-25.22 housing units were repaired ° 10 a� and 6 were rehabilitated by the Housing E Department.50%of the FY25-26 target z o was achieved in the first quarter of the Baseline(FY23- FY24-25 Jul-Sep 2025 fiscal year. 24) ♦• Target • Actuals 3.9 Board Members with Lived Experience 3.9 At least 25016 of Orange County Partnership to End Homelessness, Housing Choice Voucher, and Affordable Housing Advisory Board Members are individuals who have experienced homelessness or housing insecurity themselves by June 2029. The measure is on track to meet the target by June 2029. In FY24-25, an average of 16% of board members were individuals with lived experience: • 29% of individuals on the Housing Choice Voucher Advisory Board, • 6.7%of individuals on the Affordable Housing Advisory Board, and • 20%of individuals on the Partnership to End Homelessness Advisory Board. Strategic Plan Progress Report 12026 Board Retreat Page 23 Housing for All 25 3.10 Unhoused Individuals 3.70 Reduce the number of individuals 200 Individuals Who are Unhoused who are unhoused by 70%peryear, In prioritizing protection from 150 148 149 displacement. c 100 ° In FY24-25,the number of individuals a� who are unhoused increased from 148 E 50 Z individuals to 149 individuals. 0 Baseline(FY23-24) FY24-25 • Unhoused Individuals ♦• Target 3.11 Housing Discrimination Cases Processed 3.77 Process 8 housing discrimination cases peryear. Housing Discrimination Cases Processed io s 8 The measure is currently 8 ♦ -� a� delayed from meeting the 6 target.The Housing o 5 ♦• Target Discrimination Investigator � • oC Processed position was vacant in FY23-24, 4 • Referred to HUD z preventing the County from 2 2 2 2 processing housing 0 discrimination cases. In FY24- 0 25,staff referred cases to the US Baseline FY24-25 Jul-Sep 2025 Department of Housing and (FY23-24) Urban Development (HUD) for processing. The County has resumed processing cases in FY25-26. Strategic Plan Progress Report 12026 Board Retreat Page 24 Housing for All 26 3.12 Rent Cost Support Vouchers 3.72 Continue providing rent cost Rent Support for Households Through Vouchers support through federal housing choice 750 650 655 I^ - - - - - - - - - - a� vouchers for 650 households annually. U 0 500 o The Emergency Housing Voucher 250 program is ending four years early, � resulting in fewer available vouchers.To z 0 absorb the decrease and prepare for Baseline(FY23- Dec 2024 Jun 2025 opening the waitlist,the department 24) only issued a handful of new vouchers in 2025. Actuals ♦• Target The number of households supported is expected to increase to 640 by June 2026. Strategic Plan Progress Report 12026 Board Retreat Page 25 Multi-modal Transportation 27 Width"da I Transportation Collaborate with our regional partners to expand, integrate/connect, and provide accessible public transportation options. Objectives IIdentify priorities and resources necessary to ` implement the Orange County Transit Plan. +'. tncrease community awareness of all modes of transportation, including transit, bike and pedestrian,vehicle, and all other modes. Support road projects that address congestion and reduce commute time using the County's Complete Streets policy. Coordinate transit investments with municipal and county land use planning to reduce vehicle miles traveled and to provide more equitable access to shopping, employment, medical centers,college campuses, etc. Invest in implementing the County's Safe Routes to Schools plan. Update transportation-related plans to provide more multimodal options, including rural Orange County. Strategic Plan Progress Report 12026 Board Retreat Page 26 Multi-modal Transportation 28 4.1 Transportation Ridersh i p 4.7 Increase ridership by 5% Ridership on Transportation Services 40,000 each year on fixed route, demand response, and mobility 29,605 29,605 on-demand transportation (A 30,000 Q 175� services. � 7 887 9,306 ♦• Target 0 20,000 • Mobility on Demand • Fixed Route In FY24-25,the combined E z • Demand Response ridership of 29,660 trips 10,000 surpassed the target of 29,605 trips. 0 Baseline(FY23- FY24-25 24) 4.2 Outreach Events 4.2 County transportation information is included in 90 Outreach Events with Transportation Information 100 outreach events each year. 90 90 c aD w 75 Information was included in 53 _F_ U outreach events in FY24-25, by a ♦•Target � 50 g the Transportation Department p • Events and the Department on Aging. o The Transportation 25 53 Department began prioritizing Z this objective in late FY24-25, 14 and anticipates continued progress toward the target in FY24-25 Jul-Sep 2025 the future. Strategic Plan Progress Report 12026 Board Retreat Page 27 Multi-modal Transportation 29 4.3 Community Survey Transportation Satisfaction 4.3 Increase by 7 percentage point every two years the percentage of residents who are satisfied with biking, walking, and bus travel, as reported in the community survey. The 2023 Community Survey indicated a 33.9%satisfaction rate for walking,21.7%for biking, and 16.2%for bus. The 2026 Community survey will be administered in winter 2026. 4.4 Transportation Network Connections Additional Transportation Network Connections Transportation Services added three network 4 connections in FY24-25. c 3 A bus stop at Whitted Human Services o C 3 Building ._ o Q, 2 A transfer stop at the Orange County Library a � u in Hillsborough 1 ♦ — — — — — — - The Hillsborough Circulator was split into two 0 routes,the Orange Loop and Blue Loop, reducing headways and increasing Baseline(FY23-24) FY24-25 operational efficiency. ♦• Target Connections Added Strategic Plan Progress Report 12026 Board Retreat Page 28 Multi-modal Transportation 30 4.S Transportation Service Timeliness 4.5 Increase by 7 percentage point each year the percentage of on-time pick-ups and drop-offs on fixed route, demand response, and mobility on-demand transportation services. On-time rates are close to 100%for both Fixed Route and Demand Response services.The Transportation Department continues to explore additional ways to improve service. For Fixed Routes, "on-time" pick-ups and drop-offs have a range of+/- 5 minutes. Fixed Route service continued steady service delivery with a 99.9% on-time service in FY23-24 and a 99.4% in FY24-25. Demand Response service has a window of 15 minutes before a scheduled time and 10 minutes after a scheduled time to be considered on-time.The Transportation Department improved its on-time Demand Response service by 5% in FY24-25 to 84%. The County considers a 15-minute average wait time for the Mobility on Demand service to be on-time. Average wait times fell from 22 minutes in FY23-24 to 19 minutes in FY24-25. On-Time Pick-Ups and Drop-Offs Mobility on Demand Average Wait Time 110 30 100% 99% 22 a o 100 • • E ^ 19 5 20 Ln (D 15 15 0 90 3 a Q 84% v ' E 80 79% 2 - 10 c Q O 70 0 Baseline(FY23-24) FY24-25 Baseline (FY23-24) FY24-25 t Fixed Route i Actuals + Demand Response Target Strategic Plan Progress Report 12026 Board Retreat Page 29 Public Education/Learning Community 31 I u. AtyMucation/Learning Community Enhance and maintain quality school operations and infrastructure and cultivate lifelong learning. Objectives �Cr foster collaborative relationships with formal . ^T and informal educational organizations and agencies to provide opportunities for community members to meet, connect, and learn together. !xnprove school readiness and educational outcomes by providing access,training,tools, technology,and other resources needed to thrive. Provide support for Durham Tech continuing education,college and career readiness programming. Wnprove learning environments by investing in facilities that address repair, renovation, and educational adequacy needs. l=nvest in and implement a plan that supports schools' operational and facility funding needs. 13:nplement the recommendations of the Schools Safety Task Force. Strategic Plan Progress Report 12026 Board Retreat Page 30 Public Education/Learning Community 32 S.1 Childcare Subsidy Program Enrollment 5.7 Increase by 7%each year the number of children from low-income households enrolled Children Enrolled in Childcare Subsidy Program 750 annually in the childcare subsidy program. C: 586 590 500 The number of children from low-income a) 0 2 households enrolled in the childcare subsidy C: w 250 program increased from the baseline of586 E children to 590 children, an increase of 1%. z 0 Baseline (FY23-24) FY24-25 ♦• Target Actuals S.2 Digital Literacy Workshops Zip Codes Reached by Digital Literacy Workshops 5.2 Reach residents in all 75 zip codes of the county with digital literacy workshops offered annually. U) 11 a� U 9 In Ql of FY25-26, residents in 9 zip codes were a N reached. In FY24-25,the Department on Aging offered 69 classes, and the library provided 64 0 one-on-one digital instruction sessions. Overall, residents in 11 zip codes of the County were reached.The library anticipates implementing a Fiscal Year digital literacy grant to expand programming in FY24-25 0 FY25-26 Spring 2026. Strategic Plan Progress Report 12026 Board Retreat Page 31 Public Education/Learning Community 33 S.3 Long Range School Optimization Plan 5.3Implement the Long Range School Optimization Plan, funding planning for first construction in FY25-26, followed by construction on the first project in FY26-27. Utilize the remaining funds by the end of the 70 year plan period. Districts sending Requests for Proposals and selecting firms for design and Construction Manager at Risk over the next few months. County staff refining interlocal agreement to dictate proper communication around school construction. S.4 School Capital Spending 5.4 Track and report quarterly on school capital spending on high priority needs and other capital uses. Orange County provides funding in a lump sum at the beginning of the fiscal year.The FY24-25 end of fiscal year balance will be available at the financial closeout of the fiscal year. Available Balance of School Capital 70,000,000 $60,600,000 60,000,000 c $50,7` 00,000 a 50,000,000 Ln \$4 0,000 a u 40,000,000 $34,119,784 30,000,000 June 2024 Sept 2024 Dec 2024 Mar 2025 Strategic Plan Progress Report 12026 Board Retreat Page 32 Public Education/Learning Community 34 S.S School Safety Task Force S.S Annual meeting of the School Safety Task Force or other group convened by the Board of County Commissioners to review policies that address safety in the school districts and provide education on laws addressing school disruptions. Implement recommendation#3 in the School Safety Task Force Final Report by FY2025-26 and recommendation #8 by FY2026-27. Recommendation #3 has been achieved:The North Carolina State Emergency Response Application has boundary maps of schools with entrances and exits marked for both school districts.The County Emergency Services Department has access to this system. S.6 Library Visitors 5.6 Establish a baseline and increase visitors to the Southern Branch Library 40,000 Southern Branch Library Visitors by 5%annually. 31,728 30,164 i 30,000 The Southern Branch Library soft opening was on February 3,2025. Foot > 21,050 traffic decreased slightly in the first ° 20,000 a� quarter of FY25-26 compared to the E previous quarter. z 10,000 0 Feb-Mar 2025 Apr-June 202S July-Sept 2025 Strategic Plan Progress Report 12026 Board Retreat Page 33 Public Education/Learning Community 35 S.7 Scholarship Recipients Scholars who Complete a Program or Transfer 5.7Increase by 7 percentage point annually the 60 percentage of Durham Tech Promise scholarship recipients who complete a program or transfer to 58% .Q 58 a four-year college or university. U N 56 In FY24-25,the percentage of scholars who 54Z° complete a program or transfer increased by 5 5 percentage points from 53%to 58%. U `) 52 Baseline (FY23-24) FY24-25 Students typically take 3 years to graduate or transfer,so baseline calculations are FY20-21 ♦•Target recipients who graduated or transferred by Fall +Actuals 2024. FY24-25 data are FY21-22 recipients' outcomes. Strategic Plan Progress Report 12026 Board Retreat Page 34 Diverse and Vibrant Economy 36 Biri ` end Vibrant Economy Foster an environment that attracts and retains sustainable and diverse businesses and visitors,employment opportunities,and diversifies our tax base. Objectives i Provide family-oriented and inclusive * � programming or other cultural events for residents and visitors. Peview and revise County policies and regulations to support business investment = in Orange County. Streamline and digitize business processes to t� facilitate efficient interactions between employers and County departments. Provide resources to new and expanding, small, creative, and agri-businesses that add character and quality of life to our community to attract employers, employees, and visitors. Wcrease access to and awareness of resources and assistance available to residents and businesses. Provide workforce and business development resources to enhance the skills of residents of the County. fZxpand the non-residential tax base. 6.1 Economic Impact of Tourism Investments 6.7 Establish a baseline of tourism resources invested in community partners producing cultural events by June 30,2025, and evaluate the economic impact annually. The Arts Commission totals are preliminary estimates. Final totals are delayed due to impacts from Tropical Storm Chantal. The Visitors Bureau's impact total includes events for which they were one of many sponsors. Strategic Plan Progress Report 12026 Board Retreat Page 35 Diverse and Vibrant Economy 37 FY24-25 Investment in Cultural Events 10,000,000 $9,485,334 7,500,000 f» 5,000,000 0 Arts Commission Visitors Bureau 2,500,000 0 AWMW$16,320 $268026 Investment - Economic Impact 6.2 Small Business Investment Grant & 6.3 Agricultural Economic Development Grant 6.2 Establish a baseline and increase by 7 6.3 Establish a baseline and increase by 7 percentage point each year the percentage of percentage point each year the percentage of Small Business Investment Grant recipients that Agricultural Economic Development Grant are still in business one year after receiving a Program recipients farms that are still in grant. operation one year after receiving the grant. The first results report will be reported in March The first results report will be reported in March 2026 for fall 2024 awardees.There are 13 recipients 2026 for fall 2024 awardees.There are 11 recipients in the cohort. in the cohort. 6.4 Employment Services Enrollment 6.4 Establish a baseline and increase by3 percentage points annually the percentage of residents enrolled in Employment Services who complete an employment or training-related program and/or gain employment. The County is determining the parameters for what is defined as a program completion. Baseline data will be available in FY25-26. Strategic Plan Progress Report 12026 Board Retreat Page 36 Diverse and Vibrant Economy 38 6.5 Durham Tech Work Program 6.5 Establish a baseline and increase by 7 percentage point annually the percentage of residents enrolled in Durham Tech apprenticeship and workforce development programs who complete an employment or training-related program and/or gain employment. 85% of residents enrolled in FY23-24 completed an employment or training-related program by the end of FY24-25. 98 Back to Work Grants were awarded in FY23-24, and 127 in FY24-25. Strategic Plan Progress Report 12026 Board Retreat Page 37 39 ORANGE COUNTY NORTH CAROLINA FY2025-2029 Countywide Strategic Plan Performance Measure Progress Report Kelly Guadalupe, Strategic Planning Manager January 16, 2026 40 Background • February 20t", 2024 : Countywide Strategic Plan adopted • 5 year plan , FY 2024-25 through FY 2028-29 • The County Manager's Office prepares regular updates to the Board for each Strategic Goal including milestones and challenges • The first year progress update is available on the county website ORANGE COUNTY NORTH CAROLINA 41 Goals • Environmental Protection and Climate Action • Healthy Community • Housing for All • Multi-modal Transportation • Public Education/Learning Community • Diverse and Vibrant Economy ORANGE COUNTY 3 NORTH CAROLINA 42 Early Successes ti I 02+ rL. {,LJ16 r ■ .'f6 2. _ +. I - lea r i f _ ORANGE COUNTY 4 NORTH CAROLINA 43 Environmental Protection and Climate Action 3. Increase the annual solar energy generated at County facilities by 167% by June 30, 2029. Solar Generated by County Facilities ,000,000 In year 1 , solar 00 3,011,619 KBTUs 3,011,619 KBTUs energy generated Y 3,000,000 - — — — — — — — — - at County facilities 2,217,652KBTus increased by 97%. IC 2,000,000 -0- Target v Actuals 1,127,947 KBTUs m e 1,000,000 w L 0 0 f. - Baseline(FY23-24) FY24-25 ORANGE COUNTY NORTH CAROLINA 44 HealthyCommunity IA Implement Post Overdose PORT InducClon to Transfer of Care Response Team (PORT): U 110 `- � o Establish and maintain an 80% 6- 100 induction to transfer of care and F_ 90 completion of medication- S _ 8 _ _ � assisted treatment for opioid-use - - � Target disorders. 70 Actuais U -------------------------------------------- 60 On average, 84% of patients the team treated began the initial phase of starting medication and received a warm hand-off to ongoing treatment. ORANGE COUNTY 6 NORTH CAROLINA 45 Housing for AllIn the last year, Cold Weather Emergency teas the number of 2. Increase W beds increased the number of 5a from the baseline immediately 20 of 28 to a total of accessible 40 55 beds cold weather m • IFC Cold Weather Bec available w O emergency 30 oc Cold Weather Beds between Orange Baseline beds available z 20 County and the by 25% by Inter-Faith 2026. 10 Council for Social Service. 0 Baseline (FY23-24) FY24-25 RANGE COUNTY 7 NORTH CAROLINA 46 Multi-modal Transportation 5. Increase by 1 On-Time Pick- Ups and Drop-Offs percentage point 'no each year the � 1oo�c 99% On-time rates are percentage of on �� close to 100% for time pick-ups and 90 both Fixed Toute drop-offs on fixed o and Demand route demand P ° 80 "'� Response response, and ° Services. 70 mobility on- Baseline (FY23-24) FY24-25 demand transportation ♦- Fixed Route services. + Demand Response ORANGE COUNTY 8 NORTH CAROLINA 47 Public Education/LearningCommunity The Southern Branch Library soft 6. Establish a opening was Southern Branch Library Visitors baseline and 40,°°° February 3, 2025. increase N 30,000 M,728a., The first five visitors to the �, months of data rosa Southern431 °°°°° show a strong Branch Library z , start, with slightly by 5% decreased foot annually. traffic in quarter Feb-Mar 2025 Apr-June 2025 duly-Sept 2025 one of FY25-26. f ORANGE COUNTY 9 NORTH CAROLINA 48 Diverse and Vibrant Economy rM�.. _A BEER- • Established baselines to better track the outcomes of our investments in community partners producing cultural events, and the small business investment and agricultural economic development grant programs. ORANGE COUNTY 10 NORTH CAROLINA 49 Current Challenges ORANGE COUNTY 11 NORTH CAROLINA 50 Housing for All 10. Reduce the number of individuals who are unhoused by 10% per year, prioritizing protection from displacement. • The January 2024 Point in Time count was 148 individuals • Our target was to decrease to 133 individuals in the January 2025 Point in Time count • The January 2025 Point in Time count was 149 individuals ORANGE COUNTY 12 NORTH CAROLINA 51 Housing for All 10. Continued homelessnessHouseholds experiencing homelessness or at imminent risk of FY23-24 FY24-25 1st 6 months FY25-26 Households who 448 households 430 households 261 households completed Coordinated Entry f ORANGE COUNTY 13 NORTH CAROLINA 52 Housing for All 10. Continued Households FY23-24 FY24-25 1st 6 months FY25-26 Households who 448 households 430 households 261 households completed Coordinated Entry Households whose 233 households 262 households 239 households Coordinated Entry was still open, indicating unmet housing need, at end of fiscal year 53 Housing for All Rent Support for Households Through Vouchers This temporary decrease is 700 because the Emergency 0- ' - - - - - - - - - - - - - - 5 Housing Voucher program 12. Continue GDO is ending four years early, in providing rent 500 2026 instead of in 2030. COSt Support There will be 15 fewer 40fl vouchers available. through federal . Actuals -9-Target housing choice s 30D To absorb the decrease and vouchers for 650 200 prepare for opening the households waitlist, the department only annually. 100 issued a handful of new vouchers in 2025. 4 Baseline(FY23-24) Dec 2024 Jun 2025 f ORANGE COUNTY 15 NORTH CAROLINA 54 Housing for All 12. Continued • The number of households supported is expected to increase to 640 by June 2026. • An estimated 200 households are currently awaiting housing and would be eligible for a voucher. ORANGE COUNTY 16 NORTH CAROLINA 55 Multi-Modal Transportation 2. County transportation information is included in 90 outreach events each year. • Transportation information was included in 53 outreach events in FY24-25. • The Transportation Department is pursuing a more focused approach to outreach , prioritizing in depth outreach in areas and with groups likely to increase ridership on fixed route services. ORANGE COUNTY 17 NORTH CAROLINA 56 Public Education/Learning Community 1 . Reach residents in all 15 zip codes of the county with digital literacy workshops offered annually. • Residents from 11 zip codes were reached in year 1 . • The Library Services Department experienced some delays with their digital literacy program due to federal funding uncertainty but will implement the grant to expand programming in the spring of 2026 . ORANGE COUNTY 18 NORTH CAROLINA 57 Diverse and Vibrant Economy 4. Establish baseline and increase by 3 percentage points annually the percentage of residents enrolled in Employment Services who complete an employment or training related program and/or gain employment. • Department of Social Services is determining the best way to define completion of a program for this measure. Baseline data will be available later this year. Establishing a baseline in 2025 was delayed due to Chantal recovery efforts and impacts of the federal government shutdown -,_-=- ORANGE COUNTY 19 NORTH CAROLINA 58 Next Steps • Continue quarterly staff strategy meetings • Twice annual reports to Board of Commissioners — Mid FY 2025-26 Progress Report planned to be included on March 5t" business meeting • The Manager's Office will review performance measure targets and bring recommendations for changes to the Board ORANGE COUNTY 20 NORTH CAROLINA 59 Attachment 4-a ORANGE COUNTY NORTH CAROLINA MEMORANDUM January 16, 2026 TO: Board of Orange County Commissioners Travis Myren, Orange County Manager Caitlin Fenhagen, Deputy Orange County Manager FROM: Kirk Vaughn, Budget Director Subject: Budget Preview Presentation Each January,the manager and the budget office work together to create an updated operating model to understand the initial conditions that will drive budget decisions for the upcoming fiscal year.This model incorporates inputs from the most significant cost drivers that are known at that time and has been a reliable tool in predicting both the final approved budget and the actual performance of the financials in that budget year.This year, the model estimates a significant difference between expenditure cost increases and natural revenue growth, currently over$21 million.The primary drivers of this gap are increasing debt service, the phase-in of the school capital pay-go investment, non-discretionary personnel cost increases like health insurance and retirement contributions, and the county's long-standing commitment to funding public education. While several budget drivers are sufficiently well known by this presentation in January, there are significant portions of the upcoming budget that are still coming into focus and can only be conservatively estimated at this time. County staff have met regularly to keep abreast of changes in the federal budget and various legislation changes. The lack of a North Carolina state budget also provides a new area of uncertainty in budgeting, especially in understanding the operating needs of the two school districts for the upcoming year. Other factors that are contemplated include the timing of the opening of the Crisis Diversion Facility,the tax base for the county given the continuing appeals and neighborhood review process, and the size of the upcoming borrowing in the spring of 2026. Given the lack of certainty and the high-cost pressures that are facing both the county government and its constituents,the budget process has been adjusted this year.The budget office has moved the department expansion request process to the fall, prior to the budget financial deliberations that occur in the spring each year.This change allows the county to review the needs of the departments and ways to achieve department and board strategic goals separate from the cost.That gives staff more time to flexibly solve problems and improve county services without simply adding new programs and positions through the budget. 60 ORANGE COUNTY NORTH CAROLINA FY2026-27 Budget Guidelines January 16, 2026 Board Retreat 61 Strategic Plan Alignment Mission Statement Orange County is a visionary leader in providing governmental services valued by our community, beyond those required by law, in an equitable, sustainable, innovative, and efficient way. Vision Statement We are a diverse, inclusive, and healthy county working together to strengthen our community and enhance the quality of life for all residents. f. - ORANGE COUNTY NORTH CAROLINA 62 Strategic Plan Priorities Environmental Promote sustainability and resiliency across the County and Protection) and Climate collateorate with our partners to activate our community, protect Action and preserve our natural resources, and reduce greenhouse gas emissions_ Healthy Community Increase equitable access to care and social safety net programming to promote the physical, social, and mental well- being of our community_ Housing for All Promote equitable and accessible housing and address housing disparities through policies, partnerships, and collaboration to create a thriving community- Multi-modal R[3 Collaborate with our regional partners to expand, integrate/ Transportation connect, and provide accessible public transportation options_ Public Educatiohf Enhance and maintain quality school operations and infrastructure Learning Community and cultivate lifelong learning_ Diverse and Vibrant Foster an environment that attracts and retains sustainable and Economy diverse businesses and visitors, employment opportunities, and diversifies our tax base. f ORANGE COUNTY 3 NORTH CAROLINA 63 Countywide Financial Performance Audited General Fund Revenues and Expenditures $298.8 $297.6 $300.0 $286.5 $284.6 $292.6 $290.5 $269.2 $271.5 $256.60 $251.2 $250.0 $200.0 Revenues Expenditures $150.0 $100.0 $50.0 $0.0 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 Proj. ORANGE COUNTY 4 NORTH CAROLINA 64 County Revenue Sources ■ Property Tax Sales Tax Sales Tax Intergovernmental ■Charges for Service „Intergovernmental Property ■Other Revenue Charges for Service ■Transfers In 5.2% Other Revenue Approp of Fund Balance Transfers In 1.0% 0.0% Approp of Fund Balance 2.3% f ORANGE COUNTY 5 NORTH CAROLINA 65 FY 2026-27 Revenue Assumptions FY 2026-27 Property Tax Assumptions - Value of One Penny - $3.37 million based on $33.9 billion tax base • Still finalizing FY 2026's tax base through the appeal process • Final Board of Equalization and Review meeting scheduled for January 22 • If tax base is reduced by less than 3%, budgeted revenue can be increased - each 1% yields — $2 million - 2% Natural Growth = $4.3 Million - No Change in collection rates - 99.2% for Property Tax, 99.6% for Motor Vehicles. - Total Property Tax Increase = $4.3 Million f. - ORANGE COUNTY 6 NORTH CAROLINA 66 FY 2026-27 Revenue Assumptions • FY 2026-27 Sales Tax Assumptions - Projecting $1 .7 M increase from FY2025-26 Budget with significant uncertainty. ModelSales Tax Article FY 2025 Actual FY 2026 Budget FY 2027 ARTICLE 39 (point of delivery) $ 17,381,317 $ 17,718,846 $ 18,339,006 Percent Change 2.06% 1.94% 3.50% ARTICLE 40 (per capita) $ 12,310,617 $ 12,429,442 $ 12,988,767 Percent Change 3.05% 0.97% 4.50% ARTICLE 42 (point of delivery) $ 8,624,367 $ 8,877,023 $ 9,187,719 Percent Change 1.08% 2.93% 3.50% ARTICLE 44 $ 317,099 $ 320,092 $ 331,295 Percent Change 3.07% 0.94% 3.50% HOLD HARMLESS ARTICLE 44 $ 5,083,984 $ 4,800,000 $ 5,000,000 Percent Change 5.34% -5.59% 4.17% TOTAL $ 43,717,383 $ 44,145,403 $ 45,846,787 Percent Change 2.52% 0.98% 3.85% ORANGE COUNTY 7 NORTH CAROLINA 67 FY 2026-27 Revenue Assumptions Impact of Federal Budget Reconciliation - Federal funding for Supplemental Nutrition Assistance Program (SNAP) will decrease from 50% to 25% of county administrative costs effective October 1 , 2026 - Assuming no additional state support, county will lose $680,000 next fiscal year to support the same number of staff ($900,000 annually) • More significant changes in future years - December 31, 2026 Medicaid work requirements and more frequent recertifications (may require additional staff) - October 1, 2027 SNAP benefit cost sharing with States - October 1, 2028 Medicaid benefit cost sharing with States f. - ORANGE COUNTY 8 NORTH CAROLINA 68 FY 2026-27 Expenditure Budget Capital Pay-Go 3.2% Transfers To Education IP a ■ Personnel Services _CIP and Expiring Grants 0.4% ■Operations F Recurring Capital ■ Education ■Transfer to Debt Service Personnel Services ■Capital Pay-GO Transfers To IF CIP and Expiring Grants Recurring Capital 0.1% •. PF f ORANGE COUNTY 9 NORTH CAROLINA 69 FY 2026-27 Expenditure Budget — Excluding Education F- Fn Operations Personnel Services Personnel ■Operations gA 10 NORTH CAROLINA 70 FY 2026-27 Expenditure Budget Personnel Related Cost Assumptions • Wage Adjustment - $930,000 for each 1 % Merit Performance Awards — $455,000 Increase of Employer Health Insurance Contribution - 13% or $1 .7 million • Increase of Employer Retirement Contribution Rate - 6% per LGERS rate stabilization program - $1 million • Increase to Retiree Health - 9% at $400,000 • Increase to Sheriff Separation Allowance - $250,000 f. - ORANGE COUNTY 11 NORTH CAROLINA 71 FY 2026-27 Expenditure Budget Health Insurance Cost Drivers Consecutive years of 5%+ cost increases with no change in benefits Rate Increases for Health Insurance or costs to employees — premiums, deductibles, co-pays $16,000.00 — $15,000.00 — • Cost drivers for medical benefits o$14,000.00 $13,485 Q - Cancer treatment cost increasing 34%-50% based on new E $13,000.00 ILI treatments being put into use and aging population a $12,000.00 — Musculoskeletal surgery cost increasing 11% 0 $11,000.00 11,933 $11,258 - Psychiatry costs increasing 12% - specialist utilization above @ $10,000.00 $10,671 industry standard $10,162 $9,000.00 $9,679$9,679$9,679 s $9,136 $8,000.00 • Cost drivers for pharmacy benefits $7,000.00 - Pharmacy costs up 41% $6,000.00 2019 2020 2021 2022 2023 2024 2025 2026 2027 - Use of GLP-1's for weight loss has increased by 5 times — coverage Fiscal Year adds $1.1 million to the cost of the health plan —Employee Only Traditional Plan - Other employers that cover GLP-1's have also required a "catch- up" adjustment due to high demand ORANGE COUNTY 12 NORTH CAROLINA 72 FY 2026-27 Expenditure Budget Local Government Employee Retirement System Historic and Projected LGERS Contributions 18.00% • Both the employee and the employer contributes a percentage of ",1 16.89 salary 16.00% 4-**16.02%�, - Employee contribution is fixed at 6% 15.10% 15.51% 14.00% 14.35 - County rate is set each year by the LGERS Board 13.60% 12.85% 12.00% Z8.959%1. 12.10% 5% • County percentage has nearly doubled since 2019 10.00% - FY2026- 27 Budget would need $5.5 million less if contributions were at the 2019 rates. 8.00% 7. 6.00% • Most recent actuarial estimates project that county contribution will 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Proj. Proj. Proj. continue to increase through FY 2029 -LGERS Contribution — — — Projected ORANGE COUNTY 13 NORTH CAROLINA 73 FY 2026-27 Expenditure Budget Modeled New Costs • Increased Software as a Service Cost - $525,000 - SQL Licenses + New Programs • Maintain FY2025-26 support for Longtime Homeowner Assistance program at 25% County tax relief • Crisis Diversion Facility start up and operating costs - $800,000 - Currently planned to open in the 4t" quarter of FY2026-27 - $3,000,000 estimated annualized cost - Model includes one quarter of expenses • Debt Service — pending sizing of 2026 spring borrowing, could be as high as $9.5 million increase - Large 2025 spring financing - Borrowing for the Crisis Diversion Facility and the Durham Tech Community College expansion f. - ORANGE COUNTY 14 NORTH CAROLINA 74 Projected Future Debt Impact • Represents project timing as currently scheduled in the Capital Investment Plan • Actual size and timing will be based on project tempo Year Debt to AV DS to GF Revenues Tax Rate Equivalent 2027 1.58% 13.13% 2.53� 2028 1.86% 14.40% 1.68� 2029 1.80% 17.10% 3.30� 2030 1.61% 18.18% 1.34 2031 1.62% 17.86% - 2032 1.76% 17.60% 2033 1.65% 18.50% - 2034 1.42% 18.82% 0.89� 2035 1.30% 17.67% - Total Impact 9.73� f. - ORANGE COUNTY 15 NORTH CAROLINA 75 FY 2026-27 Expenditure Budget Education Spending Modeling a 3% increase in current expense - $3.3 million Debt service will increase based on increased borrowing in FY2025-26 - $3.3 million • Pay-Go phase-in contemplated in Board amendment CIP-B14 that limited Pay-Go to $500,000 in FY2025-26 - $5.5 million increase in FY2026-27 - 1.6 cent equivalent on tax rate - $4 million increase in FY2027-28 f. - ORANGE COUNTY 16 NORTH CAROLINA 76 FY2026-27 Education Projections . . Current Expense $111,328,011 $114,667,851 3.00% Local funding for operating expenses Health and Safety + One School Nurse per Facility Enrollment Projection One Safety Officer for Middle and Contract $4,160,806 $4,285,630 3.00% High Schools Capital Pay-Go $3,621,200 $911831624 153.61% Recurring Capital + New PayGo Principal and interest payments on Debt Service $20,840,115 $241105,872 15.67% school debt Total K-12 Funding $139,950,132 $152,248,106 18.79% ORANGE COUNTY 17 NORTH CAROLINA 77 Per Pupil Allocation er Pupil Allocation - Modeled Total Current Expense Budget $114,667,851 Total Countywide Budgeted Students 18,420 Per Pupil Amount $6,225 Each budgeted student funded at the same per pupil amount CHCCS 10,677 $6,225 $66,469,240 OCS 7,743 $6,225 $48,203,740 f. - *Assumes no changes in out of district or charter school enrollment ORANGE COUNTY 18 NORTH CAROLINA 78 Student Enrollment Over Time Enrollment for School Districts 13,000 12,000 11,000 10,000 Q 9,000 8,000 7,000 6,000 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 Budgeted School Year -CHCCS Enrollment -OCS Enrollment • Budgeted ADM for FY2026-27 is based on best of 20-day and 40-day enrollment in School Year 2026 ORANGE COUNTY 19 0 Budgeted ADM will decrease by 523 or 3% in FY2026-27 NORTH CAROLINA 79 Per Pupil Allocation Over Time County Per Pupil Funding Amount History $7,000 $5,877 $6,225 $6,000 $5,000 $4,808 352 $4,000 3 698 $3,868 $3,991 $4,165 , $2,957 $3,069 $3,200 $3,096 $3,102 $3,167 $3,269 $3,000 $2,000 $1,000 O`b , y0 titi titi yS yA tih y0 ti^ y`b ti0 10 �ti Ll Lsi R lh L0 oa. 001 00� 000 O,� O,� �Jti �Jti �Jti �Jti �Jti �,ti �,ti �Jti �Jti �Jti �,ti �Jti �Jti �Jti �,ti �Jti F,�O �Jti �,� O.y�� J� F Change in Per Pupil Allocation $600.00 $518_46 $500.00 $441- $400.00 $302.00 348.00 $300.00 $200.00 $170.50 QQ 174.00 $100.00 $65.00 $ $(100.00) A ti y ti ti L ti �� L ti o $(200.00) o 0 0 0 0 0 0 0 0 0 0 0 0 o ti o 0 F 80 County Funding Practices County funding practices have not changed amid declining enrollment • Currently, continuation estimates are created by taking the amount of funding in the current year and increasing it by an inflationary factor and accounting for state driven cost increases for personnel As current expense grows and enrollment declines, the per pupil amount increases at a faster rate than total current expenses Budgeted Change Per- School . - per-pupidpupil M 19,702 0% $ 4,367 $ 15 0.34% 2021-22 19,747 0% $ 4,367 $ - 0.00% 2022-23 18,648 -6% $ 4,808 $ 441 10.10% 2023-24 18,515 -1 /o 0 o $ 5,346 $ 538 11.19% 5.22 0 2024-25 18,209 -2/° $ 5,666 $ 320 5.99% average 2025-26 18,029 -1% $ 5,877 $ 211 3.72% 2026-27 Mod. 17,506 -3% $ 6,225 $ 348 5.92% Budgeted enrollment has decreased by 2,196 students Countywide since school year 2020-21 Early projections from Carolina Demography indicate that declining enrollment will continue over the next 10 years Since Covid, the per-pupil amount has increased an average of 5.22% annually f. - ORANGE COUNTY 21 NORTH CAROLINA 81 County Funding Practices • In order to capture enrollment trends, the continuation budget could be calculated based on an increase to the per pupil amount instead of the prior year current expense Current Practice Per Pupil ,proach Prior Year Current Expense $111,328,011 Prior Year Per Pupil $5,877 3% Increase $114,667,851 3% Increase $6,053 Total Budgeted Students 18,420 Total Budgeted Students 18,420 Total Per Pupil Amount $6,225 Total Current Expense $111,496,260 • Changing the calculation does not have to change the amount that the county funds • The model currently assumes that the budget will include a 5.92% per-pupil cost increase for the school districts f. - ORANGE COUNTY 22 NORTH CAROLINA 82 P-) ngRange Financial Model GENERAL FUND SUMMARY FORECAST Actual Original Projected Projected Projected 2024-25 2025-26 2026-27 2027-28 2028-29 ($ in Thousands) Property Tax 205,344 212,897 217,198 221,634 226,163 Sales Tax 43,717 44,145 45,847 47,406 49,026 Intergovernmental 21,184 22,314 22,286 22,718 23,383 Charges for Service 15,594 15,970 16,249 16,535 16,830 Other Revenue 5,579 2,989 2,966 2,974 2,982 Transfers In 1,150 666 114 117 121 Approp of Fund Balance - 7,056 7,056 7,268 7,486 Total Revenues 292,568 306,037 311,716 318,873 326,217 Personnel Services 101,973 108,603 114,350 118,628 123,081 Operations 36,327 36,541 37,471 38,397 39,351 Recurring Capital 1,417 184 188 192 195 Education 109,118 116,502 119,999 123,597 127,303 Contribs. to Other Agencies 2,256 2,331 2,352 2,374 2,396 Transfers To (Including Debt) 39,020 41,877 57,458 68,786 82,100 O&M Impact from CIP - 0 1,347 4,319 5,161 Total Expenditures 291,420 306,037 333,166 356,293 379,587 Net Annual Rev Ex 1,148 (0) (21,450) (37,640) (53,596) lGap to Closl 0 21,450 37 640 53,596 Initial Model expects a $21 .5 M gap to close for the FY 27 budget. ORANGE COUNTY 23 NORTH CAROLINA 83 Other Funds Funds to watch outside of the General Fund • Community Development Fund — $900,000 gap in unreimbursed HOME expenses from prior fiscal years • Solid Waste — Draws on fund balance following reduction of program fee — Fee reduction may need to be reversed • Visitor's Bureau — Reduce use of fund balance in operating budget — Flattening occupancy tax revenue growth — $300,000 lost revenue from Town of Chapel Hill ORANGE COUNTY 24 NORTH CAROLINA 84 Orange County FY 2026-27 Budget Guidelines • Alignment with Strategic Plan priorities and performance measures • Additional expenditure requests will require reallocation of existing funds or new revenues Analyze Current Service Levels; review historical spending patterns utilizing Budget versus Actual reports • Continue Long-Term Financial Planning Department Reviews • Continue Interdepartmental Collaboration Initiatives f ORANGE COUNTY 25 NORTH CAROLINA 85 IFY 2026-27 Calendar of Events FY 2026-27 BUDGET TIMELINE DATE Department Director Guidelines Presentation January 8 Operating Budget Kickoff meetings January 8-9 FY2026-27 Budget Submission Deadline February 20 Meeting w/Outside Agencies and Related Mid to Late-March Department Directors County Manager Meeting w/Department Directors Mid-March to Early April County Manager Meeting w/Fire Districts Early April BOCC Joint Meeting w/Boards of Education April 30 f County Manager presents FY2026-27 May 5 ORANGE COUNTY Recommended Budget NORTH CAROLINA 86 FY 2026-27 Calendar of Events BUDGET PUBLIC HEARINGS DATE AM Budget and Capital Investment Plan (CIP) May 12 & May 28 BUDGET WORK SESSION SCHEDULE DATE Schools and Outside Agencies May 14 Fire District, Public Safety, and Human Services May 21 Support Services, General Government, May 26 Community Services, and Durham Tech Budget Amendments and Resolution of Intent to June 4 Adopt BMIREGULAR MEETING DATE FY2026-27 Operating and CIP Budget Adoption June 16 f. ORANGE COUNTY NORTH CAROLINA Attachment 5-a 87 ORANGE COUNTY NORTH CAROLINA County Manager's Office 300 West Tryon Street Travis Myren, County Manager Phone (919)245-2300 Post Office Box 8181 Hillsborough, North Carolina 27278 MEMORANDUM TO: Board of Orange County Commissioners FROM: Greg Wilder, County Manager's Office DATE: January 8, 2026 SUBJECT: Petition Process for Board Members and the Public The Orange County Board of Commissioners' "Petition Process" for Board Business meetings generally dates back to 2011. The process serves as a means for Board members as well as members of the public to voice requests, with those requests subsequently being reviewed and considered by the Board Chair and Vice Chair(in consultation with the County Manager) for action, follow-up, scheduling, etc. as appropriate. Staff documents petitions made during each Business meeting. The requests are then reviewed and considered at the next scheduled Chair/Vice Chair agenda review meeting. Plans for any actions, follow-up, scheduling, etc. are detailed for the public in a Follow-up Actions List that is published in the next Business meeting's agenda package. The Board Chair or Vice Chair may also follow-up directly with a Board member on a specific request. It is also common practice for staff, or in some cases a Board member, to follow-up and share feedback with an appropriate member of the public who made a request. The petition process provides for clear and efficient understanding, review, tracking and follow-up by the Chair and Vice Chair as the Board's elected leaders. It also provides a timely opportunity for a Board member, or member of the public, to provide feedback, additional information and/or request further review by the Board Chair and Vice Chair, or the full Board. BOCC Chair Jean Hamilton has noted that the Petition Process is not referenced/documented in the Board's Rules of Procedure or in any other manner. An Equal Opportunity/Affirmative Action Employer www.orangecountync.gov 88 ORANGE COUNTY NORTH CAROLINA Clerk's Office Post Office Box 8181 300 West Tryon Street Hillsborough, North Carolina 27278 MEMORANDUM TO: Orange County Board of County Commissioners FROM: Tara May, Deputy Clerk to the Board DATE: January 16, 2026 RE: Discussion on the Advisory Board Policy at the January 16, 2026 Board Retreat This memorandum is intended to provide background information, suggestions, and propose questions for the Board's consideration as part of the Discussion on the Advisory Board Policy at the January 16, 2026 Retreat. Regarding attendance and removal of advisory board members, Section III(H)(3)of the Advisory Board Policy (last revised May 6, 2025), states: 3. "...the Orange County Board of Commissioners may remove any member of an advisory board for neglect of duty or nonparticipation that becomes problematic to the advisory board's functioning and purpose. Neglect of duty and non participation are defined as follows: a. Missing three (3) consecutive meetings; or b. Missing twenty-five percent (25%) of meetings within any twelve (12) month period. 4. The advisory board Chair or staff liaison shall notify a member if the member is at risk of being removed pursuant to section III(H)(3). 5. The advisory board Chair or staff liaison shall notify the Clerk to the Board of Orange County Commissioners if a member has violated section III(H)(3)." Currently, when the Clerk's Office becomes aware that a member has violated attendance requirements in the Advisory Board Policy, an email is sent, or a phone call is placed, to the member in question. The member is informed that they have violated the advisory board policy and are asked if any barriers in place have led to their absences (i.e., lack of transportation, ADA concerns), and if there is anything county staff can do to help them participate fully (i.e., offer a virtual attendance option). Staff engage in this conversation in a good- faith effort to work with volunteers. Retention of existing members is an important part of the recruitment strategy for advisory board volunteers. If the reason for the absences will not improve with county assistance, the member is informed that the Board of County Commissioners may seek to remove them from the board on which they serve, and they are offered an opportunity to resign. In most cases, members resign in lieu of removal. Recently, questions have arisen from Board members regarding how the Clerk's Office should handle members who have violated the attendance requirements outlined in the Advisory Board Policy, and if an opportunity to continue service should be offered. 89 Additionally, questions have arisen from volunteers about how the policy is interpreted and whether the twelve (12) month period mentioned in the policy should be modified to account for boards that do not meet monthly or when there are cancelled meetings. Volunteers have also asked if excused absences could be added to the Advisory Board Policy. With these questions in mind, the Clerk's Office suggests amending Section III(H)(3)(b) to read: b. "Missing twenty-five percent (25%) of the last 12 meetings." The Clerk's Office requests clarification from the Board on the following points: 1. Should an opportunity be given to members who have violated the attendance requirements in the Advisory Board Policy to continue, or should the Clerk's Office simply inform them they will be removed? 2. Should provisions be added to the Advisory Board Policy that speak to the expected engagement of members as a requirement for continued service in addition to the attendance expectations? 3. Should there be language added to the Advisory Board Policy that defines and allows for excused absences that would not count against a member? Please let me know if I can provide any additional information. 90 -- ORANGE COUNTY ORANGE COUNTY HOUSING DEPARTMENT NORTH CAROLINA To: Orange County Board of County Commissioners From: Blake Rosser, Director of Housing Date: January 16, 2026 Re: Overview of Housing Advisory Boards Background I received a request to prepare a presentation on the Housing Department's different boards or councils, in order to help the Board understand their membership and work, their governance, whether they are mandated and if not, to consider whether they are needed and effective. The Housing Department has five (5)boards, only one of which, the Affordable Housing Advisory Board(AHAB), is truly"advisory." The other four boards—Local Government Affordable Housing Collaborative (HOME Consortium), Orange County Housing Authority (OCHA)Board, Orange County Partnership to End Homelessness (OCPEH) Leadership Team, and OCPEH Executive Team—are mandated either by U.S. Department of Housing and Urban Development(HUD), interlocal agreement with the county municipalities, or both. I have prepared a brief presentation which goes into more detail on the history and function of these boards, and I have condensed that information into the following table. I look forward to answering any Board questions at the January retreat. LGAHC � AHAB (HOME) OCH MAL A OCPEH LT OCPEH ET Established 2001 1992 2009 2007 2015 15 resident 4 elected 7 resident 15 resident Membership volunteers(at least volunteers(in 4 elected officials volunteers officials 1 participant) transition) Advise BOCC Administer Administer Supervise on Affordable HOME Administer HUD Continuum of OCPEH Work Housing Investment Section 8/Housing Care,develop manager,monitor priorities and Partnership Choice Voucher and oversee progress toward strategies federal grant program homelessness homelessness program strategic plan strategic plan Yes Mandated? No Yes Yes (HUD Yes(HUD) ( D) Interlocal) (Interlocal) Mailing Address Hillsborough Office Chapel Hill Office P.O.Box 8181 300 W.Tryon Street 2501 Homestead Road Hillsborough,NC27278 Hillsborough,NC 27278 Chapel Hill,NC27516 Telephone(919)245-2490 • Fax(919)944-8496 91 ORANGE COUNTY HOUSING DEPARTMENT Overview of Housing Advisory Boards January 16, 2026 • Affordable Housing Advisory Board • Local Government Affordable Housing Collaborative • Orange County Housing Authority Board • Orange County Partnership to End Homelessness Leadership Team • Orange County Partnership to End Homelessness Executive Team Affordable Housin%,AL2dvisoryloard • Established in 2001 by CIC BOCC,, after recommendation by Affordable Housing Task Force in 2000 • 15 members representing county demographics, appointed by BOCC • Purpose is "to investigate, analyze and prioritize affordable housing needs and strategies" for recommendation to BOCC • Comments on Bond/CIP staff scores, for recommendation to BOCC • Not mandated Local Government Affordable Housing Collaborative • Local name for HOME Consortium • Made up of one elected official from each HOME Consortium municipality (4 total) • Oversees federal HOME program planning,, spending and reporting • Recommends Annual Action Plans (AAPs) and 5-year Consolidated Plan to BOCC • Mandated by U.S. Department of Housing and Urban Development (HUD) OC Housing Authority�oard MM • Establ ished in 2009 so that BOCC would not have to continue serving as Housing Authority Board • Consists of seven (7) OC residents, including at least one HCV participant, appointed by BOCC • Oversees the Housing Choice Voucher (HCV/Section 8) program, funded by HUD • Monitors all HCV processes and approves major policy changes and updates • Mandated by HUD BrownAlycia ORANGECOUNTY Leadership Team ..,& j • Established in 2007 by Interlocal agreement with the four municipalities of Orange County • Made up of 15 community-appointed members ( under advisement from HUD Technical Assistance, governance structure currently in transition) • Develops and implements policy to prevent and end homelessness in Orange County • Mandated by HUD for receipt of Continuum of Care (CoQ funding ( HUD CoC Program interim rule (24 CFR Part 578) Danielle Butler ORANGECOUNTY Executive Team • Established in 2015 by MOU between OC, Chapel Hill, Carrboro and Hillsborough • Made up of one elected official from each municipality • Oversees hiring and performance of OCPEH Manager, as well as execution of OCPEH 10-year/Strategic Plan • Mandated by Interlocal MOU 97 LGAHC• • • • OCPEH LT ■ • • Am 9' Established 2001 1992 2009 2007 2015 7 resident 15 resident Membership 15 resident 4 elected volunteers (at volunteers (in 4 elected volunteers officials least 1 officials participant) transition) Advise Administer Administer Administer Supervise BOCC on HOME HUD Section Continuum of OCPEH Affordable Investment 8/Housing Care, develop manager and Work Housing Partnership Choice and oversee monitor priorities and federal grant Voucher homelessness progress toward strategies program program strategic plan homelessness strategic plan Mandated? No Yes Yes Yes Yes (HUD) (HUD) (HUD, Interlocal) (Interlocal) ORANGECOUNTY HOUSING DEPARTMENT Orange County Housing Department 300 W. Tryon Street Hillsborough and 2501 Homestead Road Chapel Hill 919-245-2490 1 orangecountync.gov/Housing Blake ORANGECOUNTY Rosser' HOUSINGDEPARTMENT