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HomeMy WebLinkAboutAgenda 03-05-2026; 8-a - Minutes for February 3, 2026 Business Meeting and February 10, 2026 Work Session 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: March 5, 2026 Action Agenda Item No. 8-a SUBJECT: Minutes for February 3, 2026 Business Meeting and February 10, 2026 Work Session DEPARTMENT: Board of County Commissioners ATTACHMENT(S): INFORMATION CONTACT: Draft Minutes (under separate cover) Laura Jensen, Clerk to the Board, 919- 245-2130 PURPOSE: To correct and/or approve the draft minutes as submitted by the Clerk to the Board as listed below. BACKGROUND: In accordance with 153A-42 of the General Statutes, the Governing Board has the legal duty to approve all minutes that are entered into the official journal of the Board's proceedings. Attachment 1: February 3, 2026 Business Meeting Attachment 2: February 10, 2026 Work Session FINANCIAL IMPACT: There is no financial impact associated with this item. ALIGNMENT WITH STRATEGIC PLAN: This item supports: • GUIDING PRINCIPLE — COMMUNICATION AND AWARENESS We provide information and opportunities for engagement in a transparent manner so that all in our community have knowledge, understanding, and a voice. RECOMMENDATION(S): The Manager recommends that the Board approve minutes as presented or as amended. Attachment 1 1 1 DRAFT MINUTES 2 ORANGE COUNTY 3 BOARD OF COMMISSIONERS 4 BUSINESS MEETING 5 February 3, 2026 6 7:00 p.m. 7 8 The Orange County Board of Commissioners met for a Business Meeting on Tuesday, February 9 3, 2026, at 7:00 p.m. at the Whitted Human Services Center in Hillsborough, NC. 10 11 COUNTY COMMISSIONERS PRESENT: Chair Jean Hamilton, Vice-Chair Amy Fowler, and 12 Commissioners Jamezetta Bedford, Marilyn Carter, Sally Greene, Earl McKee (arrived at 8:37 13 pm), and Phyllis Portie-Ascott 14 COUNTY COMMISSIONERS ABSENT: None. 15 COUNTY ATTORNEYS PRESENT: John Roberts 16 COUNTY STAFF PRESENT: Deputy County Manager Caitlin Fenhagen, and Clerk to the Board 17 Laura Jensen. (All other staff members will be identified appropriately below) 18 19 Chair Hamilton called the meeting to order at 7:05 p.m. All commissioners were present. 20 21 1. Additions or Changes to the Agenda 22 23 A motion was made by Commissioner Carter, seconded by Vice-Chair Fowler, to add A 24 Resolution Advocating Accountability, Improved Oversight, and Reforms at the U.S. Department 25 of Homeland Security as Item 4-c. 26 27 VOTE: UNANIMOUS 28 29 Chair Hamilton read the public charge and reviewed the instructions for making public 30 comment. 31 32 2. Public Comments (Limited to One Hour) 33 a. Matters not on the Printed Agenda 34 None. 35 36 b. Matters on the Printed Agenda 37 (These matters will be considered when the Board addresses that item on the agenda below.) 38 39 3. Announcements, Petitions and Comments by Board Members 40 Chair Hamilton expressed gratitude to county staff for their hard work keeping residents 41 safe during the inclement weather over the past couple of weeks. She said the community was 42 lucky not to get the worst of the storms, but it took a lot of effort to make sure the county was 43 ready if the worst happened. She announced that she will make remarks at the Durham Tech 44 campus expansion celebration on Thursday at 1:30 PM, in the Lyons Health board room, and will 45 also speak at a Habitat Housing summit on the same day. 46 Commissioner Carter echoed thanks for staff and community partners during the winter 47 storms. She said that today, a community member shared a video called Race in America, which 48 provided some very powerful data that speaks to the historic and current injustice and the bias 49 that exists within systems in the United States like incarceration, law enforcement, schools, and 50 so much more. She connected this to the evening's proclamation recognizing Black History Month 2 1 and recognized the opportunity to continue fighting inequity and injustice in all forms. With that 2 sentiment in mind, she read the following proclamation that the Board added to the agenda: 3 4 ORANGE COUNTY BOARD OF COMMISSIONERS 5 A RESOLUTION ADVOCATING ACCOUNTABILITY, IMPROVED OVERSIGHT, AND 6 REFORMS AT THE U.S. DEPARTMENT OF HOMELAND SECURITY 7 8 WHEREAS, citizens of the United States and law-abiding immigrants have suffered violence and 9 the violation of their constitutional rights at the hands of agents of the U.S. Department of 10 Homeland Security, and 11 12 WHEREAS, this trend has been occurring in numerous cities and states across America, and 13 14 WHEREAS, community safety depends on the public's trust that law enforcement officers comply 15 with the U.S. Constitution and federal, state, and local laws, and that they act in residents' best 16 interests, and 17 18 WHEREAS, local law enforcement and local government play a key role in ensuring community 19 safety, and 20 21 WHEREAS, the public trust has been eroded by the actions of federal agents, underscoring the 22 urgent need for accountability and reform in the administration of federal immigration 23 enforcement; 24 25 BE IT RESOLVED THAT, the Orange County Board of Commissioners, as elected 26 representatives and concerned constituents, urge its elected representatives in the U.S. Senate 27 and House to take immediate legislative action to ensure accountability, improve oversight, and 28 reform the U.S. Department of Homeland Security, to protect the rights of all residents and restore 29 public trust 30 31 32 THIS THE 3rd DAY OF FEBRUARY, 2026. 33 34 35 Jean Hamilton, Chair 36 Orange County Board of 37 Commissioners 38 39 Commissioner Greene shared that she attended a GoTriangle board meeting on January 40 28th, and the board endorsed the Wake County Transit Plan's idea to reinvest $125 million of its 41 transit fund money to the regional rail project. She said if it happens, this will mean a train line 42 straight from Raleigh, NC to Richmond, VA. 43 Vice-Chair Fowler recognized February as Black History Month and Human Relations 44 Month, and said it was fitting to add the resolution read by Commissioner Carter. She quoted 45 Maya Angelou: "I've learned that people will forget what you said. They will forget what you did, 46 but people will never forget how you made them feel." Commissioner Fowler emphasized the 47 need to ensure Orange County residents feel respected, included, and welcome to engage in the 48 community. She said that Maya Angelou also spoke about "doing better when you know better", 49 and that is why it's critical to speak out at a time when reform is needed. She said she wants 50 people to remember feeling welcome, included, and valued, and to know that we are speaking 3 1 out for our community, and wholeheartedly supports the resolution. She also added her thanks to 2 county staff who were involved in caring for the community during the weather-related 3 emergencies. Finally, she shared that since the Board's last meeting, she attended the GoTriangle 4 Special Tax Board meeting, where no increases were approved, and also attended the Triangle 5 West TPO meeting. 6 Commissioner Bedford briefly reported on Durham Tech's Facilities and Finance 7 Subcommittee meeting, noting a clean state audit with only two small findings, which have already 8 been corrected. She noted that the five-year strategic plan is expiring, and the subcommittee will 9 have a retreat next month to work on the new one. She also thanked Asset Management Services 10 staff for ensuring safe access to the building during the icy weather. 11 Commissioner Portie-Ascott echoed thanks to staff who kept the community informed and 12 safe during the icy and snowy weather. She connected Black History Month to current events and 13 said this month is an opportunity for reflection, but also responsibility. She said Black History is a 14 story of people who helped build this country while being denied full access to it, and it is a story 15 of resilience, innovation, and organizing in the face of exclusion. She continued, we are also living 16 in a moment where many of our neighbors are carrying fear across the country, and there is 17 aggressive rhetoric, heightened enforcement, and families being separated. She emphasized that 18 even when those actions are happening somewhere else, fear shows up here. Commissioner 19 Portie-Ascott pointed out the erosion of trust due to this fear and said she believes that trust is 20 the foundation of everything local government is supposed to be. She concluded by stating: "I 21 want to say plainly to anyone in our community who feels unseen, unheard or left behind, that you 22 matter. You are valued, and you deserve dignity, safety, and opportunity. 23 24 4. Proclamations/ Resolutions/ Special Presentations 25 a. Black History Month Proclamation 26 The Board approved a proclamation designating February 2026 as Black History Month in Orange 27 County. 28 29 BACKGROUND: Black History Month originated from the efforts of Carter G.Woodson and three 30 colleagues, who established the Association for the Study of Negro Life and History (ASNLH) in 31 1915. Their mission was to research, preserve, and promote the achievements of Black 32 Americans and people of African descent. Inspired by the fiftieth anniversary of emancipation 33 celebrations in Washington, D.C., the ASNLH introduced the concept of a Negro History Week in 34 1926. 35 36 This celebration was intentionally placed in February to honor the birthdays of Abraham Lincoln 37 and Frederick Douglass, two pivotal figures in the fight for freedom and equality. Over time, the 38 event grew in prominence, culminating in 1976 when President Gerald Ford officially expanded 39 the observance to the entire month of February. President Ford called on Americans to "seize the 40 opportunity to honor the too-often neglected accomplishments of Black Americans in every area 41 of endeavor throughout our history." Since then, every U.S. president has recognized Black 42 History Month. 43 44 This year's theme is "A Century of Black History Commemorations", which highlights the 100th 45 annual celebration of Black History week/month in the United States. 46 47 Paul Slack, Chief Civil Rights Officer, introduced the following proclamation, and the Board 48 read it in turn: 49 50 4 1 ORANGE COUNTY BOARD OF COMMISSIONERS 2 BLACK HISTORY MONTH PROCLAMATION 3 4 WHEREAS, it is essential to sustain a harmonious and inclusive society; Orange County 5 discourages practices and actions deemed detrimental to the peace, welfare, and progress of 6 our community; and 7 8 WHEREAS, Black Americans, descendants of people forcibly taken from Africa and subjected to 9 the brutalities of slavery, White supremacy, and family separation, have survived and overcome 10 over 400 years of systemic oppression, creating a vibrant and dynamic legacy that is central to 11 the cultural, economic, and political fabric of this nation; and 12 13 WHEREAS, the resilience, innovation, and indomitable spirit of Black Americans have pushed 14 this nation closer to the ideals of freedom, equality, and democracy that the Founders expressed 15 but did not fully pursue, even as they have fought tirelessly against the enduring specter of racial 16 injustice, oppression, violence, and discrimination; and 17 18 WHEREAS, Black history is not only a celebration of winners and victories won, but also a 19 testament to the years and lives lost in the pursuit of equity, inclusion, social justice, and liberation; 20 and 21 22 WHEREAS, we honor the legacy of leaders, martyrs, visionaries, and revolutionaries who 23 sacrificed safety to defy both legal and illegal acts of oppression, from the children who led in the 24 Children's Crusade of 1963, to the students who formed the decentralized organization of the 25 Student Nonviolent Coordinating Committee (SNCC), to the Freedom Riders who spent 1961 26 traveling cross country on buses; and 27 28 WHEREAS, this year's theme of "A Century of Black History Commemorations" highlights the 29 100th annual celebration of Black History in the USA, highlighting the longevity and impact of Dr. 30 Carter G. Woodson's efforts to implement the original, week-long recognition of Black History; 31 32 NOW, THEREFORE, we, the Board of County Commissioners of Orange County, do proclaim 33 February 2026 as "BLACK HISTORY MONTH" and encourage residents to honor this 34 distinctive month by becoming more enlightened as to the true history of Black Americans in this 35 Country and in our community. 36 37 38 THIS THE 3rd DAY OF FEBRUARY, 2026. 39 40 41 Jean Hamilton, Chair 42 Orange County Board of 43 Commissioners 44 45 A motion was made by Commissioner Portie-Ascott, seconded by Commissioner Greene, 46 to approve and authorize the Chair to sign the proclamation. 47 48 VOTE: UNANIMOUS 49 50 5 1 b. Human Relations Month Proclamation 2 The Board approved a proclamation designating February 2026 as Human Relations Month in 3 Orange County. 4 5 BACKGROUND: Human Relations Month was established to promote understanding, respect, 6 and cooperation among people of diverse racial, cultural, and social backgrounds. The 7 observance emerged in the mid-20th century, during a period marked by significant social change 8 and growing national attention to civil rights, equity, and democratic participation. Its purpose is 9 to encourage reflection, dialogue, and action that strengthen relationships and foster inclusive 10 communities. 11 12 Paul Slack introduced the following proclamation, and the Board read it in turn: 13 14 ORANGE COUNTY BOARD OF COMMISSIONERS 15 HUMAN RELATIONS MONTH PROCLAMATION 16 17 WHEREAS, the Orange County Board of County Commissioners established the Human 18 Relations Commission in June 1987 with the desire to "encourage mutual understanding and fair 19 treatment of all citizens"; and 20 21 WHEREAS, the Orange County Human Relations Commission believes that to achieve justice 22 and equal opportunity for all Orange County residents, we must all strive to create an atmosphere 23 where people are valued and accepted rather than merely tolerated; and 24 25 WHEREAS, the Orange County Human Relations Commission, having diligently served Orange 26 County since 1987, still remains committed to promoting equal treatment, opportunity and 27 understanding throughout the county; and 28 29 WHEREAS, the Orange County Human Relations Commission enforces the County's Civil Rights 30 Ordinance which specifically prohibits discrimination based on an individual' s race, color, creed, 31 religion, ancestry, national origin, sex, affectional preference, disability, age, marital status, or 32 status with regard to public assistance; and 33 34 WHEREAS, continued work is necessary to advance civil rights for all residents and to reduce 35 harm resulting from discrimination, disability, and systemic or institutional barriers that limit 36 individuals' access to fair and equal treatment; and 37 38 WHEREAS, the Orange County Human Relations Commission and the Board of County 39 Commissioners affirm their responsibility to uphold civil rights and civil liberties and to respond to 40 emerging challenges that threaten these rights; and 41 42 WHEREAS, the Orange County Human Relations Commission encourages residents to take an 43 active role in opposing injustice and to work together to ensure freedom, justice, and equal 44 opportunity for all; and 45 46 WHEREAS, Orange County remains committed to progressing towards being a place with more 47 equitable and inclusive practices that strengthen the well-being of the entire community; 48 49 NOW, THEREFORE, we, the Orange County Board of Commissioners, do hereby proclaim 50 February 2026 as "Human Relations Month" in Orange County, and call upon all residents to 6 1 promote civil rights by celebrating multiculturalism, embracing diversity, and supporting equal 2 access and opportunity for all who live and work in Orange County. 3 4 THIS THE 3rd DAY OF FEBRUARY, 2026. 5 6 7 Jean Hamilton, Chair 8 Orange County Board of 9 Commissioners 10 11 A motion was made by Vice-Chair Fowler, seconded by Chair Hamilton, to approve and 12 authorize the Chair to sign the proclamation. 13 14 VOTE: UNANIMOUS 15 16 c. A Resolution Advocating Accountability, Improved Oversight, and Reforms at the U.S. 17 Department of Homeland Security 18 The Board approved a Resolution Advocating Accountability, Improved Oversight, and Reforms 19 at the U.S. Department of Homeland Security. 20 21 BACKGROUND: This item was added at the beginning of the meeting. 22 Chair Hamilton introduced the resolution and noted that it was read during Commissioner 23 Carter's comments. 24 25 A motion was made by Commissioner Carter, seconded by Commissioner Greene, to 26 approve and authorize the Chair to sign the resolution. 27 28 VOTE: UNANIMOUS 29 30 Board members thanked Commissioner Carter for bringing this resolution forward. 31 32 5. Public Hearings 33 None. 34 35 6. Regular Agenda 36 a. Approval of the School Construction Interlocal Agreement 37 38 The Board discussed and considered approving the School Construction Interlocal Agreement 39 (ILA) with both School Districts and created an associated County position to facilitate its 40 implementation. 41 42 BACKGROUND: During the 2024 bond process, the Board of County Commissioners reviewed 43 its policies and procedures around school capital funding, updating the School Capital Funding 44 Policy and the Major Project Planning Addendum. The Board requested staff review and propose 45 an ILA to strengthen accountability and transparency for upcoming school construction and 46 renovation projects. Staff reviewed similar arrangements in other counties with active school 47 construction, including an ILA from Wake County. The attached draft ILA codifies a joint school 48 construction Core Team comprised of staff from all three entities. This Core Team will have 49 assigned roles, meet quarterly and more often as needed, and report back to the Joint Meeting 50 of the Board of Commissioners and School Boards at least once per year. Additionally, there 7 1 are provisions in the agreement that school staff report on the alignment with County policies, 2 that the Team maintain information for public consumption, and that that each party identifies a 3 liaison for its respective governing board. 4 5 Subsequent to the initial review of the ILA and upon discussions at the October 21, 2025 Board 6 of County Commissioners' Business meeting, staff amended the ILA. The major revisions are 7 highlighted below: 8 • Maintaining one ILA between all three boards but allows the ILA to remain in force if 9 one party terminates the agreement. 10 • Establishing that the ILA applies to all projects that utilize 2024 GO Bond Projects. 11 • Article IV is amended to standardize requirements with the School Capital Funding 12 Policy as adopted by the Board of County Commissioners. 13 14 This draft was provided to members of the Board of County Commissioners and staff of both 15 school districts. The school district staff have requested three additional changes to the ILA, for 16 the Board of Commissioners' consideration. Those changes are: 17 • 4.01 i d & e - Amending the approval to appropriation. This is meant to clarify that by the 18 Board of County Commissioners approving funding for projects in the budget, they are 19 approving the projects. 20 • 4.01 iii - Changing the design payment timing as design is paid at milestones, not all at 21 once. 22 • 4.01 v- Removing the requirement for Construction Manager at Risk (CMAR), changing 23 it to a recommendation. School staff have identified that there would be projects that use 24 bond funds that are not new construction, such as HVAC and Roof replacements, where 25 CMAR would not be a reasonable procurement method. The attorney for both school 26 districts additionally contends that General Statute 143-128.1(e) does not permit any 27 public entity to delegate the determination of appropriate construction method. 28 29 As design funds have been authorized by the Board of County Commissioners, both school 30 districts have proceeded with design of their first school construction project. County staff have 31 met with school staff in December as a precursor to the formal CORE team. School staff have 32 committed to following the structure of the School Capital Funding Policy and have already 33 committed to using CMAR as the construction method for both first elementary school builds. 34 Both districts will be releasing requests for proposals (RFPs) to select a construction manager 35 at risk in the spring. 36 37 Along with the ILA, the County reviewed options in managing this process, and determined that 38 it would be preferable to have staff provide oversight and communication during the project 39 construction, rather than hiring a project management firm. The Manager recommends adding 40 a 1.0 FTE (full time equivalent) School Capital and Financial Analyst to coordinate the meetings 41 of the CORE Team, report back to the Board on school construction, and manage all public 42 communications, including maintenance of a dashboard and all non-online materials. This 43 position would also consolidate other school related tasks that currently reside in different 44 departments, such as the coordination of the Schools Adequate Public Facilities Ordinance 45 Technical Advisory Committee (SAPFOTAC) and the reporting of capital expenditures for 46 financing and reimbursement. This proposed position would be funded from Pay-Go funds set 47 aside for Project Management. Funds totaling $500,000 were budgeted in FY 2026, and 48 $1,000,000 is planned annually for future years. The County would retain approximately$36,000 49 for a position starting on February 3, 2026 for FY 2026, and retain approximately $90,000 50 annually in future years from that pool to fund the position. The remaining funds will be allocated 8 1 to the School Districts for project and program management expenses. These funds were set 2 aside from school project budgets to ensure that the districts would adequately invest in project 3 and program management functions. The Manager recommends that the position be approved 4 by the Board with approval to proceed with the ILA. 5 6 Kirk Vaughn, Budget Director, made the following presentation: 7 8 Slide #1 ORANGE COUNTY NORTH CAROLINA Interlocal Agreement Draft February 3rd, 2026 Board of County Commissioners 9 10 11 Slide #2 PURPOSE OF ILA ILA is intended to act as part of larger web of School Construction Policy improvements. • School Capital Funding Policy—Sets rules on how projects are funded: Sets allocation between districts, how funds can be reallocated, how to account for budget overruns,and ensures projects are in alignment with Woolpert Report principals. Enforceable without school agreement. • Major Project Planning Addendum—Sets board priorities on new construction: Equitable between districts,educationally adequate, sustainable, built flexibly for future use. Not Enforceable without school agreement. • Interlocal Agreement—Set standards for communications once funding is appropriated,additionally requires school districts to communicate alignment to Major Project Planning Addendum. • Staff Oversight—Approval of School Construction and Financial Analyst to ensure adequacy of school materials provided at CORE Team, maintain all public communication.When unanticipated expenses occur, will assist districts in reworking system wide funding plans and give BoCC early notice. ORANGECOUNTY NORTH CAROLINA 12 9 1 Kirk Vaughn emphasized that the ILA is not the only avenue to improve oversight of the 2 schools during their capital construction process. He explained other components as written on 3 the slide. 4 5 Slide #3 PROVISIONS OF ILA • Each organization assigns staff to team, representing Budget, Finance and Operations functions • Team will regularly communicate on the progress of the Districts' capital plans. — Staff plan to meet at least quarterly, with increased frequency when multiple projects are underway. • Team will assign roles and workplans to guide work of CORE team and review every two years. ORANGE COUNTY NORTH CAROLINA 6 7 8 Slide #4 CHANGES FROM 10/21 DRAFT Subsequent to 10/21 Meeting, staff have submitted updated version and provided to Board members and school staff. • Scope of ILA set to all projects that utilize Bond funds. • Aligns Article 4 with School Capital Funding Policy. • Remains one ILA between the county and both districts but remains in force with either district if the other terminates the agreement. ORANGE COUNTY NORTH CAROLINA 9 10 10 1 Slide #5 SCHOOL STAFF SUGGESTED AMENDMENTS • Article 4 i sections d & e — Change language from "approval" to "appropriation" to clarify that budgetary approval for projects constitutes board approval. • Article 4 iii — Change payment timing to as agreed by School Board, as design contract are paid at milestones, not all at once. • Article 4 v — Change requirement for CMAR to recommendation. Bond projects can include smaller projects that don't use CMAR, and School attorney contends not statutorily allowed to delegate approval to County. ORANGE COUNTY NORTH CAROLINA 2 3 4 Slide #6 SCHOOL STAFF SUGGESTED AMENDMENTS GS 143-128.1 (e) Construction management at risk services may be used by the public entity only after the public entity has concluded that construction management at risk services is in the best interest of the project, and the public entity has compared the advantages and disadvantages of using the construction management at risk method for a given project in lieu of the delivery methods identified in G.S. 143-128(al)(1) through G.S. 143-128(al)(3). The public entity may not delegate this determination. (2001-496, s. 2; 2013-401, s. 5; 2014-42, s. 2.) ORANGE COUNTY NORTH CAROLINA 5 6 Kirk Vaughn explained that the statute detailed on this slide is the basis for the school's 7 attorney's concerns about the CMAR. 8 9 11 1 Slide #7 STAFF COMMUNICATIONS • In December, county staff met with school construction leadership. • School staff committed to using School Capital Funding Policy while awaiting ILA negotiations. • Both districts have committed to using CMAR for initial elementary school builds and will be releasing RFPs in the spring. • School staff discussed standardizing sustainability policies between districts in new construction, possibly using County policy as template. ORANGE COUNTY NORTH CAROLINA 2 3 4 Slide #8 NEXT STEPS • Board to discuss the adequacy of the current draft ILA, alignment to Board priorities • Board to approve ILA, with or without School staff suggested amendments. • Staff to work with School Staff to put signed ILA before both BoEs. • Approve School Construction and Financial Analyst to build county capacity to operate CORE Team. Will use Pay-Go funds, not General Fund. ORANGE COUNTY NORTH CAROLINA 5 6 Commissioner Bedford said she is okay with changing the word from "approval" to 7 "appropriation" as suggested by school staff. She asked for clarification on how the Board would 8 be involved in the appropriations. 9 Kirk Vaughn said that major projects will come to the Board twice: once for design, and 10 once for construction. 12 1 Commissioner Portie-Ascott asked how cost overruns or change orders that would impact 2 the amount of funding that has already been appropriated would be handled. 3 Kirk Vaughn explained that the work group would provide early warnings through regular 4 communications, allowing the Board to understand issues before they become critical. 5 Vice-Chair Fowler commented that having a CMAR should prevent change orders. 6 Kirk Vaughn said that while a CMAR helps, things happen during projects, but having an 7 owner's contingency budget as part of the budget for the project helps manage those issues 8 before having to come back to the Board. 9 Commissioner Carter thanked staff from the county and school districts for their work so 10 far. She said suggested a change in Section 3.05 from "the core team should meet at least 11 quarterly" to "the core team shall meet at least quarterly". 12 Chair Hamilton asked how other Commissioners felt about that change. 13 All commissioners agreed with Commissioner Carter's suggested amendment. 14 Chair Hamilton backtracked and asked if all commissioners agreed with changing 15 "approval" to "appropriation" as suggested by school staff and agreed to by Commissioner 16 Bedford. 17 All commissioners agreed. 18 Commissioner Carter also suggested changing "may present an information update" in 19 Section 3.06 to "shall" or"will". 20 Kirk Vaughn said this came up at the last meeting, and the language remained the same 21 because the Board cannot require other elected bodies to instruct their staff to make reports on 22 any kind of schedule. 23 Commissioner Carter understood that point and reiterated that it is a strong hope of the 24 Board that regular reports would be made. 25 Commissioner Bedford asked if wording about the supplemental pay-go funds should be 26 added to Section 1.01, where it reads "to be funded by the 2024 Orange County General 27 Obligation Bond." She said the work group should also be looking at those funds because they 28 may also be funding major projects. 29 Kirk Vaughn said there won't be a project that is going to be funding only using pay-go 30 and not the bond money. He explained that the only thing pay-go will touch that school 31 construction wouldn't, is high-priority needs projects, specifically those that require more funds 32 than would typically be given. 33 The Board agreed to leave that section as-is, based on Kirk Vaughn's explanation. 34 After discussion, the Board agreed with the following school board-recommended 35 changes: 36 Article 4 i sections d & e— Change language from "approval" to "appropriation" to 37 clarify that budgetary approval for projects constitutes board approval. 38 Article 4 iii — Change payment timing to as agreed by School Board, as design 39 contract are paid at milestones, not all at once. 40 Article 4 v—Change requirement for CMAR to recommendation. Bond projects can 41 include smaller projects that don't use CMAR, and School attorney contends not 42 statutorily allowed to delegate approval to County. 43 Commissioner Greene added her encouragement for a CMAR to be utilized by both school 44 districts, even though it can't be required as part of the ILA. 45 46 A motion was made by Commissioner Carter, seconded by Vice-Chair Fowler, to approve 47 and authorize the Chairto sign the ILAwith the discussed changes, authorize the County Manager 48 to forward the ILAto both school boards for approval, and approve the establishment of the related 49 School Construction and Financial Analyst position. 50 13 1 Commissioner Bedford asked if staff would come back to the Board if there is a need for 2 additional funding for the new position. 3 Kirk Vaughn said any reclassification of the position would happen administratively. 4 5 VOTE: UNANIMOUS 6 7 b. Update to Interlocal Agreements between County and Towns on Tax Collection 8 The Board: 9 1) Received information on the current interlocal agreement (ILA) between Orange 10 County, Chapel Hill, Carrboro and Hillsborough for municipal tax collection charges 11 and the potential need for an update to the agreement; 12 2) Considered authorizing the Tax Administrator and Budget Director to begin 13 discussions with Chapel Hill, Carrboro and Hillsborough on the current ILA and 14 potential actions to meet the County's costs related to billing and collecting taxes for 15 the municipalities; and 16 3) Considered authorizing the Tax Administrator and Budget Director to initiate 17 discussions with the cities of Durham and Mebane based on pending expiration of 18 those respective tax collections agreements 19 20 BACKGROUND: In 1979 the County entered into an agreement with Chapel Hill, Carrboro, and 21 Hillsborough whereby the Orange County Tax Collector would, on behalf of the Towns, bill and 22 collect their tax levies in accordance with North Carolina General Statute 160A-461. 23 24 In 2006 the agreement was updated, and the municipal tax collection rate was set at 0.5% of the 25 annual amount collected for each of the towns. The expiration was set not to exceed 99 years 26 from July 1, 2006. The agreement requires unanimous agreement from all three towns to make 27 amendments and requires a one-year notice for termination. 28 29 In 2009, an addendum was approved by all parties that, in addition to the 0.5%tax collection rate, 30 updated the agreement to add an agreed-upon annual surcharge for new software installed for 31 the purpose of tax ownership, billing, and collection. However, the annual surcharge addendum 32 has not been utilized to supplement revenue for the County. 33 34 Research by Tax Office staff indicates that the current 0.5% municipal tax collection rate is below 35 the state average and does not sufficiently sustain the costs incurred by the County to bill and 36 collect municipal taxes, including software costs. 37 38 The Tax Office proposes the following plan to the realize the revenue originally envisioned by the 39 annual software surcharge: 40 1) Meet with the towns staffs to discuss the current ILA and potential actions to meet the 41 County's costs related to billing and collecting taxes for the towns. 42 2) Discussion would include the possibility of an amendment to the current ILA to for a 43 proposed increase of the fee as of July 1, 2026 and the possibility of replacing the current 44 joint ILA with separate ILAs that follow a shorter expiration schedule. 45 46 The County separately has agreements with the cities of Durham and Mebane that are both 47 scheduled to expire on June 30, 2026. The Tax Office proposes to initiate discussions with both 48 jurisdictions to address the pending expirations and also in order to potentially standardize the 49 fee schedule and expiration schedule between all of the municipal collection ILAs. 50 14 1 The Tax Assessment Work Group has issued a request for proposals (RFP)to retain a consultant 2 to make recommendations on enhancements to the Assessment Division of the Tax Office. These 3 enhancements will be targeted to ensure a more equitable and better communicated revaluation 4 in 2029. The County will be able to utilize additional municipal funding to fund the 5 recommendations made by the consultant and other tax office divisions enhancements. 6 7 Nancy Freeman, Tax Administrator, made the following presentation: 8 9 Slide #1 ORANGE COUNTY NORTH CAROLINA Interlocal Agreement — County and Towns Taxation Collection Board of Commissioners Business Meeting February 3,2026 10 11 Nancy Freeman introduced collections managers Valerie Curry and Bernice Gwynn. 12 13 Slide #2 Purpose The Tax Office will: 1. Provide information on the current interlocal agreement (ILA) between Orange County, Chapel Hill, Carrboro and Hillsborough for municipal tax collection charges and the potential need for an update to the agreement. 2. Request that the Board consider authorizing the Tax Administrator and Budget Director to begin discussions with Chapel Hill, Carrboro and Hillsborough on the current ILA and potential actions to meet the County's costs related to billing and collecting taxes for the municipalities. z ORA�RNG E CAROLINA COUNTY 14 15 16 17 15 1 Slide #3 Current Joint ILA for Municipal Tax Collection Charges • Original Interlocal Agreement made in 1978 in accordance with North Carolina General Statute 16OA-461 to collect taxes for Carrboro, Chapel Hill, and Hillsborough. • Updated in 2006—single agreement that included all three towns. • Municipal tax collection rate set at 0.5%of the annual amount collected for each of the towns with an expiration of agreement set not to exceed 99 years from July 1,2006. • Agreement requires unanimous approval from all three towns and County to make amendments and requires a one-year notice for termination. — Amendment to the current agreement is an option to make changes to take effect for FY 2027. • In 2009, an addendum was approved to add an annual surcharge for new software installed for the purpose of tax ownership, billing,and collection.This Annual surcharge addendum has not been utilized to supplement revenue for the County. ORANGE COUNTY s H cs. 2 3 Vice-Chair Fowler asked why the surcharges were never used to supplement revenue for 4 the County. 5 Nancy Freeman said she believes it wasn't implemented due to turnover in leadership in 6 the Tax Office. She said she has wanted to work on this since she was appointed Tax 7 Administrator, but it has been complicated because it involves the towns and requires a one-year 8 notice for changes. 9 10 Slide #4 Annual Software Surcharge • Since 2010, annual software costs have averaged $160,000 • Range of annual costs is from $48,000 to $224,000 • Agreed-upon method to calculate surcharge used the number of bills created annually, allocated by location in unincorporated County or in each municipality to create a percentage of the annual software charges: 2025 Annual Distribution Percentages Carrboro 5.2% Chapel Hill 13% Hillsborough 3.7% Durham 0.05% Mebane 1.6% Orange County 76.5% ORANGE COUNTY 4 NO WCH C'AIZC)[INA 11 12 Commissioner Portie-Ascott said this slide shows a wide range of annual costs, between 13 $48,000 and $224,000. She asked for some examples of situations that would result in such a 14 large fluctuation. 15 Nancy Freeman said annual fees for service would constitute something like $48,000, 16 which would increase over time, but would still be relatively similar. She said they may see an 17 annual cost of$224,000 when there is a change in the software, like a one-time upgrade fee. 16 1 Slide #5 Calculated Annual Software Surcharge • The estimated amounts for each municipality and the County from 2010 to 2025 are shown in the chart below. These amounts were calculated using the agreed-upon method for calculating surcharges from 2009. Calculated Software Carrboro $139,739 • Total received from the Chapel Hill $343,898 Hillsborough $82,098 municipalities over this Durham $1,192 time period would have Mebane $15,611 been $582,539. Orange County $1,976,802 Total $2,559,341 ORANGE COUNTY 5 NORTH CAROLINA 2 3 Commissioner Carter asked what those totals would have been for 2025. 4 Nancy Freeman said she can follow up with those figures. 5 6 Slide #6 • History: Municipal Fee for Tax Collection Revenue Municipal Fee for Collectiors 5450.000:00 5400.000.00 County received $410,000 in 5350.000.00 2025 5390.000.0 F 0 , r�! 3259.00040 5280400.00 5150.900.00 • Increase from 2016 to 2025 5,00.000.00 — $127,373 550.999.99 50.00 - 45% 2916 2917 2018 2019 2920 2021 2022 2423 2924 2025 ORANGE COUNTY 6 NORTH CAROLINA 7 8 17 1 Slide #7 Tax Office Operating Expenses Tax Office Expenditures 36.090.906.00 • Increased by 62% since 2016 55,090,906.00 • $1 ,882,056 increase in annual needs sa.vva.vco av • Operating Expenses have 39.000.09600 outpaced Municipal Fee 32,090,90000 Revenue s1,09o,000.00 • Municipal Fee covers 7% of Dept Expenses $a`°° 2616 2017 2018 2019 2020 2021 2022. 2023 2624 2025 ORANGE�AIROLINA COUNTY 2 3 4 Slide #8 Survey: Fees Charged for Municipal Tax Collection • Tax Office staff surveyed counties In Comparison, Orange's Cost for municipal collection rates, and To Municipalities is the lowest combined results with results of a at 0.5%. Wake County survey. 1.50, •10 2.00% a • Twenty-seven counties 0.75% 3 1.00% 3 3.00% 2 • Range from 0.5%to 3.0%. 0.50% 2 1.75% 1 o.a5i 1 • Ten counties charge 1.5% 15 1 Grand Total 27 Median 1.50% • Average rate 1.45% Average 1.45% ORANGE COUNTY 8 NORTH CAROLINA 5 6 Commissioner Bedford asked if the 62% increase for the department's operating 7 expenses on the previous slide represents the whole department, or only the collections division. 8 Nancy Freeman said that the number represents the full department, including all three 9 divisions: land records/GIS, assessment, and collections. 10 18 1 Slide #9 Wake County Fee Increase • Wake County presented to Tax Assessment Workgroup on December 2nd • In 2021 went through similar review of its costs to municipalities, which was significantly below peers. • Implemented four-year phase in from FY 2022 through FY 2025 from 0.2% to 0.75%. • Goal was to have Municipal Fees cover 50% of Operating and Revaluation expenses. • Funded enhancements to the office in that four-year window. • Since 2024 revaluation, Wake BOCC committed to a transition from 4-year cycle to 2-year cycle by 2029. ORANGE COUNTY 9 NORTH CAROLINA 2 3 4 Slide #10 Other Town ILAs, Schedules, and Equity • Tax Office has separate 5-year agreements with Mebane and Durham that will expire June 30, 2026. • Tax Office proposes to begin similar discussions with both jurisdictions with the goal of matching the agreements established with Chapel Hill, Carrboro and Hillsborough. • Alignment of schedules and expiration dates and continuing to match fee amounts provides equity in serving our municipalities and simplifies future maintenance. • All Agreements include provision to provide gross receipts collection at no charge. Proposal is to continue that practice. ORANGE COUNTY 10 NORTH CAROLINA 5 6 Commissioner Portie-Ascott asked why some other counties are charging a lower fee to 7 certain towns and if it would be beneficial for Orange County. 8 Nancy Freeman said some of it may have to do with the age of the agreements, but she 9 isn't sure because she just got responses from other counties today and wasn't able to follow up 10 yet. She said she noticed that Durham County charges the City of Durham 1%, which is less than 19 1 what they charge other towns, and not much more than the 0.5% Orange County charges them 2 for fewer than 50 total parcels. 3 Commissioner Carter brought attention to the Wake County approach, which included a 4 goal to have municipal fees cover 50% of the department's operating and revaluation expenses. 5 When comparing, Orange County would have to go significantly higher to achieve that 6 percentage. 7 Kirk Vaughn said Wake County can achieve that goal by charging towns 0.75% because 8 they are much more urban, whereas Orange County has a higher percentage of its tax base in 9 the unincorporated areas of the county. He said the Board could look at trying to set a target for 10 how much municipalities should cover based on the percentage of parcels in each jurisdiction. 11 Chair Hamilton encouraged Board members to remember that Wake County is much 12 bigger and has growing towns and industries, and to be careful about comparing. 13 Commissioner Carter asked if the Board, with information from staff, should be having a 14 policy discussion about setting a target. She said the one thing not yet reflected is what will come 15 as recommendations from the Tax Assessment Work Group. She said this is also a piece of what 16 the Board should anticipate before getting too far into the conversation and acting on the 17 agreements. 18 Commissioner Greene said she wonders if the current percentage of expenses covered 19 by municipal fees was just happenstance or a policy discussion in Orange County. She said what 20 the percentage should be is a policy discussion. She said she thinks the Board should also 21 discuss moving revaluations to every two years. 22 Chair Hamilton said that she sees a time issue with the policies that are expiring at the 23 end of June. She said she thinks the Board should have a policy discussion in the future but 24 should also act to address the concerns at hand with the expiring policies. 25 26 Slide #11 Tax Office Plan The Tax Office proposes the following plan to the realize the revenue originally envisioned by the annual software surcharge: 1) Meet with the towns staffs to discuss the current ILA and potential actions to meet the County's costs related to billing and collecting taxes for the towns. 2) Discussion would include the possibility of an amendment to the current ILA to for a proposed increase of the fee as of July 1, 2026 and the possibility of replacing the current joint ILA with separate ILAs that follow a shorter expiration schedule. 1) Report to the Board of Commissioners after discussions with towns. ORANGE COUNTY 11 NORTI.1 CAROLINA 27 28 29 20 1 Slide #12 Suggested Use of Revenue Increase ❖ The Tax Assessment Work Group has issued a request for proposals (RFP) to retain a consultant to make recommendations on enhancements to the Assessment Division of the Tax Office. ❖ The revenue accrued through the new ILAs could be used to fund recommended improvements to the Tax Office beginning in FY 2026-27. ❖ Additionally, there are enhancements in the other tax office divisions that can be addressed. ORANGE COUNTY 12 N(MII[I CA RO[.INs\ 2 3 Vice-Chair Fowler asked if state law dictates how much can be collected through these 4 fees. She posed a question to the Board on whether the county should be collecting more than 5 the cost to do the collections for the municipalities. 6 Nancy Freeman said there are no limitations in state law on this issue. 7 Vice-Chair Fowler said that in her opinion the goal should be to recover the cost of doing 8 the collections. She said she liked Kirk Vaughn's suggestion about the percentage charged to 9 each municipality being proportionate to the population or the amount of properties in each place. 10 She asked if staff has had any conversations to date about changes with the towns. 11 Nancy Freeman said county staff have generally mentioned to the towns' staff that the 12 agreements are dated and need to be updated, but no specific conversations have taken place. 13 Commissioner Bedford said she is in favor of having separate agreements with each 14 municipality in the future. She suggested pursuing extensions of the existing agreements to 15 address the deadlines and then for the Board to continue having conversations. 16 Commissioner Carter said she feels this is a policy discussion for the Board to have, not 17 the Tax Assessment Work Group, about a policy that is reasonable, fair, and equitable. She 18 supported moving toward separate ILAs with each municipality as Commissioner Bedford 19 mentioned. She also agreed with Commissioner Bedford about pursuing extensions. 20 Kirk Vaughn asked if triggering the termination clause on the other ILAwith the three towns 21 would make sense if the Board would like to pursue extensions for the Durham and Mebane 22 agreements 23 Chair Hamilton said she thinks it's most appropriate to have discussions with the towns 24 and let them know the Board's intentions to amend the agreements/pursue new agreements and 25 give them an opportunity relay what their thoughts are. 26 Vice-Chair Fowler said it is her hope that those discussions could happen within a year's 27 time so that the new ILAs could be created. She said there is a one-year termination clause that 28 is time-sensitive that the Board should act on and suggested that the conversations Chair 29 Hamilton wants should take place in the meantime. 30 Commissioner Bedford said she believes it could be detrimental to tell the towns an 31 approximate charge now, when that might change after the Board sees real numbers. She said 32 she is willing to forego a year of an increase to be more accurate. 21 1 Kirk Vaughn explained that the joint ILA needs some sort of sunset, and new ILAs with 2 each of those three towns can be negotiated. 3 John Roberts reiterated that the agreement requires a 12-month notice for termination, 4 which would be necessary in order to pursue new agreements. 5 Kirk Vaughn said the termination could be set now in order to pursue the separate ILAs, 6 and discussions about revenue is a separate conversation that can happen over a longer period. 7 Chair Hamilton reiterated her desire for there to be conversations with the towns. 8 9 Commissioner McKee arrived at 8:37 pm. 10 11 A motion was made by Chair Hamilton, seconded by Commissioner Bedford, to: 12 1) authorize the Tax Administrator and Budget Director to begin discussions with Chapel 13 Hill, Carrboro and Hillsborough on the current ILA and potential actions to meet the 14 County's costs related to billing and collecting taxes for the municipalities, and the 15 possibility of replacing the current joint ILA with separate ILAs that follow a shorter 16 expiration schedule; 17 2) direct the Tax Office and Budget Director to report back to the Board after discussions 18 with the three towns in April 2026; and 19 3) authorize the Tax Administrator and Budget Director to initiate discussions with the 20 cities of Durham and Mebane, and with the pending expiration of those respective 21 agreements, direct staff to present the Board with proposed amendments extending 22 the agreements or with new ILAs with the two jurisdictions. 23 24 Vice-Chair Fowler asked about the hesitation with proposing an increased fee as part of 25 the motion. 26 Commissioner Bedford said she thinks it's better not to right now because they don't have 27 data to show what the increase should be. 28 Chair Hamilton agreed with Commissioner Bedford. 29 30 VOTE: UNANIMOUS 31 32 7. Reports 33 None. 34 35 8. Consent Agenda 36 37 • Removal of Any Items from Consent Agenda 38 • Approval of Remaining Consent Agenda 39 • Discussion and Approval of the Items Removed from the Consent Agenda 40 41 Commissioner Portie-Ascott removed items 8-f and 8-g from the consent agenda. 42 43 A motion was made by Vice-Chair Fowler, seconded by Commissioner Carter, to approve 44 the remaining consent agenda. 45 46 VOTE: UNANIMOUS 47 48 Commissioner Portie-Ascott said she isn't opposed to selling county-owned property, but 49 she is concerned about the valuation and selling process. She said she isn't comfortable with 50 selling property based on an internal appraisal and a single offer. 22 1 Alan Dorman said typically when county property is sold, it's because someone 2 approaches the county with an interest in purchasing. He said Asset Management Services(AMS) 3 then checks with county departments that may have an interest in the property. If there are no 4 objections, they ask the interested party to make an offer, and after negotiations, they submit a 5 cashier's check to the Finance Department. He presented a spreadsheet showing that since 2022, 6 the county had sold only six properties, mostly small parcels to adjacent property owners. The 7 exception was 129 East King Street in Hillsborough, which sold for $400,000 after two parties 8 competed, far exceeding the $160,000 appraisal. He said in his experience, these parcels have 9 not been valuable to anyone besides the adjacent property owners for a variety of reasons. 10 Recent Property Sales Date of Sale Parcel Size Price Reason 9/6/2022 9779088613 0.12 $500.00 Adjacent property owner wanted to purchase for instead of getting an easement 11/1/2022 9885833971 0.27 $4,000.00 Adjacent property owner wanted secondary access to his property 12/5/2022 129 E. King Street 0.24 $400,111.00 Sale of the old Public Defender's building was bid up substantially by two different parties 6/6/2023 900832203 0.45 $1,500.00 Adjacent property owner wanted to gain access to a landlocked property. 11/7/2024 9863668236 0.2 $5,000.00 Adjacent property owner wanted to expand their lot 5/6/2025 9862246076 0.26 $4,500.00 Adjacent property owner wanted to expand their lot 11 Commissioner Portie-Ascott suggested that it isn't possible to know what is valuable 12 unless it has been put on the market. She said it is easy if you are not in the business of selling 13 real property to look at something tiny and think that's not of any real value, but asked why not 14 have a real process. 15 Alan Dorman said he received quotes for appraisals for the two properties on the agenda 16 this evening at a price of $1,500 each. He suggested the county could move forward with these 17 quotes and add the price to the buyer's fees. 18 Commissioner Carter said this is another important policy discussion and ask Asset 19 Management to document a process for county property and how it is brought forward to market. 20 Commissioner Greene said the upset bid process is one way of getting other buyers to 21 the table. 22 Commissioner Portie-Ascott asked if this is the only way that counties can sell property. 23 John Roberts said there are statutory limits on how counties can sell property. He 24 explained the statutory limitations on property sales, listing the acceptable methods: 25 advertisement for sealed bids, negotiated offer with upset bid process, public auction, exchange, 26 and private sale to a nonprofit for public purpose. 27 She asked if the county was not allowed to advertise properties that are for sale publicly. 28 John Roberts said the Board could have a list of county properties that are for sale, but 29 the actual sale must be in accordance with state law. 30 Alan Dorman said that he could prepare a list, but pointed out again that many of the 31 parcels are most valuable to the adjacent property owners. 23 1 Vice-Chair Fowler said 28 properties were listed a couple of years ago for non-profits for 2 affordable housing purposes and only 1 was acceptable and all the others were deemed non- 3 usable. 4 Commissioner Portie-Ascott asked how those properties were marketed before. 5 Vice-Chair Fowler said the information on all properties was given to the housing 6 nonprofits in the county. She said for the two properties on the agenda tonight, one of them is 7 landlocked and has no easement, and the other has an electrical tower running right through the 8 middle of it. 9 Alan Dorman confirmed that one of the properties has a transmission tower on it and 10 showed a picture: 12 Alan Dorman said the potential buyer wants to have a 24/7 self-serve retail farm product 13 sales through a smart locker system on the land. He said he doesn't know if that is possible or 14 not, but he is willing to pay the county $8,250 for the right to buy the land. 15 Commissioner Portie-Ascott asked if that is for one acre of land. 16 Alan Dorman answered yes. 17 Going back to Vice-Chair Fowler's comments, Commissioner Greene said the last time 18 there was a tranche of affordable housing money, the county looked at all pieces of county-owned 19 land that could possibly be used for affordable housing. Non-profits were invited to look at the 20 properties, and there was only one property that one non-profit was interested in. She said this 21 list of properties did not include the two properties on the agenda tonight because, presumably, 22 they could not be developed for affordable housing. 23 Commissioner Carter asked John Roberts to repeat the options for selling. 24 John Roberts said the options are advertisement for sealed bids, negotiated offer 25 advertisement, upset bid public auction, and exchange. He explained that with an exchange, it 26 doesn't have to involve comparably valued properties; it can be a county property exchanged for 27 dollars and some other property or something like that. He said the only other sale option is a 28 private sale directly to a nonprofit for a public purpose. 29 Commissioner Carter asked which methods were used for these two properties. 30 Alan Dorman said these two properties would be sold through an upset bid process. He 31 said if the Board approves the start of the upset bid process, the final offer will come back before 32 the Board for approval. 24 1 Commissioner Carter asked if the county could decide not to sell the properties, and how 2 the properties could be advertised if the Board did not move forward right now. 3 Alan Dorman said the Board does not have to sell the properties. He said staff could 4 investigate the possibilities for broader advertisement and how much that may cost and could 5 come back to the Board with an analysis. 6 Chair Hamilton summarized the discussion. 7 8 Vice-Chair Fowler moved approval of 8-f and 8-g. Commissioner Greene seconded the 9 motion. 10 11 Commissioner Bedford said she is fine with an upset bid process but noted significant 12 discrepancies between offered prices and tax values. She said she is willing to vote for 8-f, but 13 asked for 8-g to be separated into its own motion. 14 Vice-Chair Fowler said reiterated that the property included as 8-g has no easement and 15 for the upset bid process, it would be helpful to post a sign visible to other adjacent property 16 owners so they could bid if they would like. 17 Commissioner Portie-Ascott asked if social media could be used to inform people about 18 opportunities to purchase county property. 19 Chair Hamilton said she thinks that should be part of a broader policy discussion. 20 Commissioner Carter asked if the parcel in 8-g is buildable. 21 Alan Dorman said it would be to whoever bought it, but they would have to get an 22 easement from neighbors, which is not a guarantee. 23 Commissioner Carter said she would like the Board to do more work on a policy before 24 she can vote to sell county property. 25 Commissioner McKee said the property with the tower is not suitable for any use. He 26 explained that Duke Energy will never let anything be built in the right of way, and the right of way 27 take up almost the entirety of the property. He said the usefulness of the landlocked property is 28 contingent on a neighbor granting an easement, which he believes is unlikely. 29 Commissioner Greene said using social media doesn't seem like a policy discussion, and 30 they should do it. 31 Chair Hamilton called for a vote on the motion on the floor. 32 33 VOTE: Ayes, 5 (Commissioner McKee, Commissioner Greene, Chair Hamilton, Vice-Chair 34 Fowler, and Commissioner Bedford); Nays, 2 (Commissioner Carter and Commissioner 35 Portie-Ascott) 36 37 MOTION PASSES 38 39 Commissioner Bedford made a motion to use social media to advertise these upset bid 40 properties. 41 42 VOTE: Ayes, 6 (Commissioner Carter, Commissioner McKee, Commissioner Greene, Vice- 43 Chair Fowler, Commissioner Bedford, Commissioner Portie-Ascott); Nays, 1 (Chair 44 Hamilton) 45 46 MOTION PASSES 47 48 25 1 a. Minutes — None. 2 b. Motor Vehicle Property Tax Releases/Refunds 3 The Board adopted a resolution to release motor vehicle property tax values for two (2)taxpayers 4 with a total of two (2) bills that will result in a reduction of revenue. 5 c. Property Tax Releases/Refunds 6 The Board adopted a resolution to release property tax values for three (3) taxpayers with a total 7 of three (3) bills that will result in a reduction of revenue. 8 d. Late Applications for Property Tax Exemption/Exclusion 9 The Board approved five (5) untimely applications for exemption/exclusion from ad valorem 10 taxation for five (5) bills for the 2025 tax year. 11 e. Change in BOCC Meeting Schedule for 2026 12 The Board approved changes to the meeting schedule for the Board of Commissioners for 13 calendar year 2026. 14 f. Proposed Sale of 1.18 Acre Property, PIN# 9834289281, Mebane, NC* 15 The Board approved the sale of a County-owned 1.18-acre property, PIN #9834289281, near 16 Mebane, NC, and approved a resolution authorizing the sale of the property through a negotiated 17 offer, advertisement, and upset bid process. 18 g. Proposed Sale of 1.24 Acre Property, PIN# 9865614458, Hillsborough, NC* 19 The Board approved the sale of a County-owned 1.24-acre property, PIN #9865614458, in 20 Hillsborough, NC, and approved a resolution authorizing the sale of the property through a 21 negotiated offer, advertisement, and upset bid process. 22 h. Approval of Prequalification Assessment Tool for the Crisis Diversion Facility 23 The Board approved the Prequalification Assessment Tool for the purpose of prequalifying bidders 24 for the construction of the Crisis Diversion Facility. 25 i. National Register of Historic Places Recommendation for Moorefields 26 The Board received and endorsed the Historic Preservation Commission's (HPC's) finding that 27 the historic property known as Moorefields meets the criteria for an updated listing on the National 28 Register of Historic Places (Additional Documentation and Technical Correction). 29 30 * denotes item removed from consent agenda for discussion 31 32 9. County Manager's Report 33 Cait Fenhagen, Deputy County Manager, spoke on behalf of County Manager, Travis 34 Myren. She noted that the February 10th work session agenda is included for the Board's review. 35 36 10. County Attorney's Report 37 John Roberts had no report for the Board. 38 39 11. Appointments 40 None. 41 42 12. Information Items 43 • January 20, 2026 BOCC Meeting Follow-up Actions List 44 • Tax Collector's Report— Numerical Analysis 45 • Tax Assessor's Report— Releases/Refunds under $100 46 • Appeals and Neighborhood Reviews Update Reports (Only Reports Updated Since 47 January 20, 2026) 48 49 13. Closed Session 50 None. 26 1 Adjournment 2 3 A motion was made by Vice-Chair Fowler, seconded by Commissioner Carter, to adjourn 4 the meeting at 9:15 p.m. 5 6 VOTE: UNANIMOUS 7 8 Jean Hamilton, Chair 9 10 11 Recorded by Tara May, Deputy Clerk to the Board 12 13 Submitted for approval by Laura Jensen, Clerk to the Board Attachment 2 1 1 DRAFT MINUTES 2 ORANGE COUNTY 3 BOARD OF COMMISSIONERS 4 WORK SESSION 5 February 10, 2026 6 7:00 p.m. 7 8 The Orange County Board of Commissioners met for a Work Session on Tuesday, February 9 10, 2026, at 7:00 p.m. at the Southern Human Services Center in Chapel Hill, NC. 10 11 COUNTY COMMISSIONERS PRESENT: Chair Jean Hamilton, Vice-Chair Amy Fowler, and 12 Commissioners Jamezetta Bedford, Marilyn Carter, Sally Greene, Earl McKee, and Phyllis 13 Portie-Ascott 14 COUNTY COMMISSIONERS ABSENT: None 15 COUNTY ATTORNEYS PRESENT: John Roberts 16 COUNTY STAFF PRESENT: County Manager Travis Myren, Deputy County Manager Caitlin 17 Fenhagen, and Clerk to the Board Laura Jensen. (All other staff members will be identified 18 appropriately below) 19 20 Chair Hamilton called the meeting to order at 7:00 p.m. All commissioners were present. 21 22 1. Boards and Commissions —Annual Work Plan Summaries 23 The Board received brief presentations from representatives from the first group of County boards 24 and commissions on their annual work plan summaries and provide feedback and/or direction. 25 Presentations from the second group of boards and commissions on their annual work plan 26 summaries are scheduled for the Board's March 10, 2026 work session. 27 28 BACKGROUND: Each year, the Board of County Commissioners (BOCC) requests that County 29 boards and commissions complete reports on the activities each board conducted over the past 30 year and a plan for future activities consistent with the BOCC's strategic goals. The Chairs or 31 other board representatives make presentations to the BOCC to share information in their written 32 reports. A second group of work plan presentations is scheduled for the March 10, 2026 work 33 session. 34 35 Boards and commissions presenting at this meeting are: 36 37 Board Name Representative(ss) Presenting 38 39 Orange County Parks and Recreation Council Natalie Ziemba 40 Historic Preservation Commission Art Menius 41 Agricultural Preservation Board Michael Hughes 42 Commission for the Environment Ian Morse 43 Animal Services Advisory Board Allan Polak 44 Human Relations Commission Rhian Carreker-Ford 45 Affordable Housing Advisory Board Lynn Nilssen 46 Orange County Housing Authority Board Jana Murdock-Doherty 47 Alcoholic Beverage Control Board Judson Williamson 48 49 Tara May, Deputy Clerk to the Board, introduced the item. 50 Natalie Ziemba, of the Orange County Parks and Recreation Council, said they co- 51 sponsored the Nature of Orange photography contest. She said she represented the council on 2 1 the Intergovernmental Parks Work Group. She said members of the council also participate in 2 other community groups. She said they are working with the OUTBoard on overlapping 3 opportunities between the bike/ped plan and the trails master plan. She said the Perry Hills Mini 4 Park opened in June. She said they served as the steering committee for the trails master plan 5 and will have survey and public feedback results compiled in 2026 and will also wrap up work on 6 the trails master plan. She said they will continue to co-sponsor the Nature of Orange 7 photography contest and advise on opportunities for completing Mountains to Sea Trail. She said 8 they are looking forward to future developments at Blackwood Farm Park. She said they are also 9 looking forward to the construction of new county recreation center and that demand outpaces 10 the existing supply of recreational spaces and opportunities. She said they are interested in cross 11 cultural programming at parks with community groups and partnering with other groups to 12 maximize shared output by sharing limited resources. She said demand for pickleball courts and 13 soccer fields remains high. She said they hope that there will be opportunities for partnership and 14 collaboration with the schools so that all sites will benefit from future developments. 15 Commissioner Portie-Ascott thanked Natalie Ziemba for her presentation. She noted the 16 request to collaborate with schools on shared recreational facilities. She asked why the schools' 17 facilities cannot be used anymore and what caused the change. 18 Natalie Ziemba said she thought it ended before the pandemic. She said the logistics are 19 difficult to manage, but they would love to bring back a partnership. 20 Chair Hamilton said this might be a good topic for the school collaboration work group. 21 Commissioner Portie-Ascott asked if it is an issue with just one school district or both. 22 Natalie Ziemba said the council serves the county parks system, and the county's spaces 23 are limited. She said that Town of Chapel Hill and Carrboro have their own recreational facilities. 24 David Stancil, DEAPR Director, said it's mainly a need for collaboration with Orange 25 County Schools. He said there are preliminary conversations about shared recreational space 26 with the new elementary school. 27 Commissioner Carter said the need came up when discussing the land use plan as well, 28 and she thanked Natalie Ziemba for the presentation. 29 Commissioner Greene asked for more information about the Intergovernmental Parks 30 Work Group (IPWG). She asked if the schools are involved. 31 Natalie Ziemba said that county parks stakeholders gave updates at the last IPWG 32 meeting, and the council provided an update on the trails master plan. 33 David Stancil said the schools send representatives to the IPWG. 34 Commissioner Bedford gave some of the history of the use of shared recreational spaces 35 between the county and the schools. She said the schools have concerns about damage to the 36 courts without the financial resources to repair. She said the elementary schools used to have 37 locked playgrounds. She said that with the changes in school personnel, they were going to take 38 a new look at a partnership. She also noted the security challenges with sharing recreation space 39 at the schools. 40 Art Menius, of the Historic Preservation Commission, said the Strayhorn House application 41 was expected to be approved by the state the following Thursday and they expect it to be on the 42 National Register within 45 days. He said they will pursue National Register status for a Modernist 43 house north of Carrboro. He noted the many small, unmarked, and abandoned cemeteries in the 44 county and said they are trying to locate and protect them. He said they are working with the 45 Human Resources Commission to create markers remembering the enslaved people who lived 46 and worked at Blackwood Farm Park. He said Harvey's Chapel AME donated the cemetery to 47 the county and it will be connected to the trails at Seven Mile Creek. He said they will identify 48 what is likely more than 100 grave sites at the location. He said the owners of two black schools 49 are interested in working with the county to protect these sites from demolition. He said they 50 worked with the Lands Legacy Program to preserve the Henry Calvin Andrews house with a 51 historic preservation easement. He said that they are getting more sites into the landmark 3 1 program. He said that the Occoneechee replica village and the oldest surviving grist mill in the 2 county were substantially damaged during Tropical Storm Chantal. He updated the Board on the 3 status of book and the digital marker program. 4 Commissioner Portie-Ascott asked what amount of money they are looking for in a small 5 grant program. 6 Peter Sandbeck, Cultural Resources Coordinator, said they are looking for a small amount 7 of county money to leverage for other grant programs to protect historic properties. He said that 8 it could be an incentive for property owners to make improvements to their properties. 9 Commissioner Bedford thanked the Historic Preservation Commission for their interest in 10 remembering black veterans from the Cedar Grove community. 11 Commissioner McKee thanked the commission for their interest in preserving old barns 12 and black schools in the county. 13 Commissioner Greene noted that the Moorefields application was approved at the 14 previous business meeting. 15 Michael Hughes of the Agricultural Preservation Board said the board's major 16 accomplishment was completing the updated Agricultural Viability and Farmland Stewardship 17 Plan, replacing the 2009 plan after three years of work. He said the board presented an initial 18 draft to commissioners in April and incorporated feedback from the county attorney and planning 19 staff. He said the final plan will be presented in spring 2026 for acceptance. He said the plan 20 addresses key challenges including loss of prime farmland to development and decreasing 21 economic viability of farming driven by high land values. He said the Voluntary Agricultural District 22 program added three farms totaling 110 acres in 2025, bringing the total to 17,689 acres on 158 23 farms. He said they hosted a successful VAD breakfast attended by about 60 landowners and co- 24 hosted a workshop on conservation easements and farm succession planning attended by 35 25 farmers. 26 Commissioner Carter asked about the time frame for hearing more on the tools and 27 policies to help young farmers. 28 Michael Hughes said a year. 29 Vice-Chair Fowler asked how the board interacts with North Carolina preservation 30 programs. 31 Peter Sandbeck said that they work a lot with the state programs. He said that Christian 32 Hirni of DEAPR received a large grant to do agricultural easements. He said the board applied 33 for a grant for a cost of community services study for Orange County. He said it will be a cost 34 analysis for local governments to service different land uses. 35 Ian Morse, of the Commission for the Environment, said they worked on the Community 36 Climate Action Grant review process in the fall. He said they will be working on the State of the 37 Environment report in 2026. He said they received 20 nominations for the RIPPLE Award. He 38 said they participated in the Earth Evening event in 2025. He said they will work on the Nature of 39 Orange photography project, continue to coordinate with the Intergovernmental Parks Work 40 Group, and identify priorities for the Lands Legacy action plan. He said the Climate Action Plan 41 has been a great resource for the commission. He said their goals for 2026 are continuances of 42 their efforts from 2025. He said they would like for the county to reestablish full Community 43 Climate Action grant funding. He said they want to support the Sustainability Office's efforts in 44 heat mitigation. He said it's important work for the county to respond to increasing heat waves. 45 He said they struggle with recruiting and retaining volunteers and want to improve the age 46 diversity of the commission. He thanked the staff that support the commission. 47 Commissioner Carter thanked Ian Morse and the commission for their thorough review of 48 the Community Climate Action Grant applications. 49 Ian Morse credited county staff for their work on the grant program 50 Allan Pollak of the Animal Services Advisory Board said they hosted an ice cream truck 51 event for Animal Services employees. He said they worked on a renewal of the Pat Sanford grant. 4 1 He said they worked with the Public Education Talking Points campaign to ensure the public is 2 knowledgeable about Animal Services. He said they held three dangerous dog hearings. He 3 said they assisted with fundraising efforts for Animal Services. He said in 2025-26, there are no 4 vacancies. 5 Deborah Hill, also of the Animal Services Advisory Board, said they will continue 6 supporting the dangerous dog hearing panel if needed in 2026. She said they want to update the 7 orientation video and frequently asked questions list. She said they want to support veterinarian 8 efforts for unhoused residents with pets. She said they plan to hold two employee appreciation 9 events. She said they will work on the Pat Sanford grant and the Volunteer of the Year award. 10 She said they would like to have a youth delegate on the board and build a dog training program 11 at the facility. 12 Commissioner Bedford asked if it is common for volunteers to take animals home during 13 winter weather events. 14 Deborah Hill said that has occurred in other instances of bad weather so that animals are 15 taken care of if staff cannot get to the facility. 16 Commissioner Portie-Ascott asked what happens during a dangerous dog hearing. 17 Deborah Hill said the panel determines if the dog meets the definition of a dangerous dog. 18 She said that a determination does not involve euthanasia. She said the owner must meet certain 19 requirements for 18 months. 20 Allan Pollak reiterated that dogs are not euthanized if they meet the dangerous dog 21 definition. He said there are precautions put into place to reduce the likelihood of someone getting 22 hurt by the dog. 23 Chair Hamilton thanked Animal Services for the work they did during the winter weather 24 events to ensure that people in the shelter could stay with their animals. 25 Rhian Carreker-Ford of the Human Relations Commission (HRC)said they've built 26 stronger community ties with Mildred Council Mama Dips Community Dinner and the Pauli Murray 27 Awards. He said they are planning the next community dinner and awards ceremony. He said 28 that through their community conversation series, they are trying to facilitate and bridge the gap 29 between organizations offering services and consumers of those services. He said the Pauli 30 Murray Awards is scheduled for May 2026. He noted the project for adding historical markers to 31 Blackwood Farm Park. He said they are beginning a youth engagement initiative. He said that 32 youth have a desire to participate, but there isn't a way for younger people to engage in the same 33 way as older residents. He said they plan to create a youth engagement program for creating 34 solutions to community problems. He said the HRC has heard community concerns about safety 35 and affordability. 36 Commissioner Portie-Ascott asked if the HRC receives fair housing complaints. 37 Paul Slack, Chief Civil Rights and Civic Life Officer, said they are receiving fair housing 38 complaints. He said they've received 22 over the last four months. He said that some are 39 currently in the investigation phase. 40 Matthew Ferguson of the Affordable Housing Advisory Board said they completed a report 41 on HOME funds since the federal program began. He said they restarted community meetings. 42 He said they met with developers to discuss challenges building affordable housing and how they 43 can work together to increase supply. He said in 2026, they will have more meetings with 44 developers and another community meeting. He said they want to analyze how the county spent 45 bond funds on housing in the last 20 years. He said they want to collaborate with other advisory 46 boards and departments., including zoning. He said tariffs will prevent rehabilitation funds from 47 stretching as far as they'd hoped. He said that if housing is a priority for the county, the Housing 48 Department will need more funding. 49 Commissioner McKee asked for the upcoming dates for the developer and community 50 meetings. 5 1 Matthew Ferguson said the community meeting will take place on March 10, and the 2 developer meeting will be in May. 3 Blake Rosser, Housing Director, said they will work with the Community Relations 4 department to publicize the community meeting. 5 Commissioner Portie-Ascott asked what barriers the developers mentioned at their 6 meeting. 7 Blake Rosser said he would send a summary of that to the Board. 8 Jana Murdock-Doherty of the Orange County Housing Authority Board said their main 9 area of work is facilitating the housing choice voucher program. She said they supported 10 residents during Tropical Storm Chantal. She said they moved the project-based vouchers to the 11 admin plan so they can work with those. She said they released an RFP for project-based 12 vouchers, which is the waitlist selection for new participation assistance. She said they had their 13 first selection on their waitlist in five years, which meant they had to update preference points on 14 the waitlist. She said they've started providing additional information sheets for participants to 15 help them understand the program and how they can utilize it. She said they developed a plan 16 to transition emergency housing voucher clients to the normal housing choice voucher program 17 after funding was discontinued. She they made updates to termination policies to be fair to both 18 residents and landlords. She said they held a meet and greet between the board and residents. 19 She said staff puts out a twice-yearly newsletter and hosts landlord roundtables. She said they 20 work closely with the Affordable Housing Advisory Board and the Orange County Partnership to 21 End Homelessness. She said the collaboration with the partnership is with waitlist referral and the 22 move on initiative, which is how they issue vouchers to clients to utilize various transitional 23 housing options. She said they want to transition graduating foster youth to housing choice 24 vouchers. She said their biggest activity will be project-based vouchers. She said that the lack 25 of affordable housing inventory is the biggest obstacle for getting people into the program and 26 utilizing vouchers. She said the funding outlook for 2026 is also a concern, specifically the HUD 27 appropriations bill. She said that they heard funding will remain steady, but potentially won't 28 increase. 29 Blake Rosser said the HUD bill was passed since the work plan was developed and there 30 was a normal increase. He said they still have concerns about stability. 31 Commissioner Bedford asked what a project-based voucher is. 32 Blake Rosser said project-based vouchers are attached a unit rather than a household. 33 He said it allows for more stable inventory. He described the department's efforts to develop the 34 program. 35 Commissioner Bedford asked if the goal is for a person on a project-based voucher to find 36 more permanent housing with the typical voucher. 37 Blake Rosser said the resident could stay as long as they'd like, or they could get a 38 voucher after a year and move somewhere else. He said they would create a waitlist for project- 39 based voucher recipients. 40 Commissioner Portie-Ascott asked how many units are part of project-based vouchers. 41 Blake Rosser said about 51 units total. 42 Judson Williamson of the Alcoholic Beverage Control Board will distribute $1.3 million to 43 the community. He said they are seeing a slow down in sales which will affect community grant 44 distributions. He said they are looking to build an ABC store in the northern part of the county. 45 Commissioner McKee said declining revenue is a two-edged sword in this case. 46 Commissioner Carter asked how a new store in northern Orange County would impact 47 sales. 48 Judson Williamson said they anticipate drawing customers from other counties. He said 49 the location is at a busy intersection. 50 Commissioner McKee agreed with Judson Williamson's assessment. 51 6 1 2. Presentation of Fee Study for Emergency Services, Planning & Inspections, and 2 Environment, Agriculture, Parks and Recreation (DEAPR) 3 The Board received a presentation reviewing the fees and cost recovery for the programs in 4 Emergency Services, Planning & Inspections, and Environment, Agriculture, Parks and 5 Recreation (DEAPR) by MGT Consulting. 6 7 BACKGROUND: In recent years, the strain of inflation has had a significant impact on the 8 County's annual operating budget. For many fee-based activities particularly, the County had two 9 (2) options through the budget. First, the budget could either absorb those cost increases and 10 increase the tax impact of providing these services. Alternatively, the County could pass on fee 11 increases to the users of these programs through fee increases. As a result, the County Manager 12 authorized the Budget Office to conduct a fee study of major fee generating departments. The 13 Budget Office conducted a request for proposals (RFP) and selected MGT Consulting to provide 14 a detailed model of the cost drivers for three (3) County departments. 15 16 The consultant worked closely with staff in Planning & Inspections, DEAPR, and Emergency 17 Services. MGT collected data around the costs of operating programs, the fee level and volume 18 of collections, the organization of the departments and the indirect costs of supporting each 19 department. The costs were then aligned to different fees to determine the total cost of each fee 20 activity and each fee division overall. In the attached MGT report, the total cost to the County of 21 operating fee based programs in these three departments is $21.7 million dollars. The County 22 generates fees in these programs of$7.6 million or 35% of the cost of the programs. This leaves 23 $14.1 million in County subsidy to operate these programs. This unique methodology of analyzing 24 the total cost of the fee is different than the typical County or departmental review of fee 25 operations. Typically, the budget document reviews cost recovery at the division or cost center 26 level. Which totals all costs and revenues in the division. This review does not include any costs 27 outside of the division, including indirect support costs or supervisory costs of department 28 administration. Due to this difference of calculation, the percentages in this report will be different 29 and lower than are normally detailed in the annual budget document. The MGT report also puts 30 the County fee schedule in context of selected peer comparisons. 31 32 While the MGT report provides a financial picture of the fee-based programs, there are qualitative 33 factors that play a role in setting fee schedules. The County should assess aligning fee programs 34 with the priorities of the strategic plan and consider the impact of fee costs on demand and 35 accessibility of fee based programs on the users of those programs. The attached PowerPoint 36 presentation provides a framework of the various qualitative features that go into setting fees and 37 cost recovery targets. Staff requests feedback from the Board on the importance of different 38 factors in setting rates. Following this presentation and Board discussion, the County Manager 39 will use the priorities expressed to recommend fee changes for the FY 2026-27 Budget. 40 41 Kirk Vaughn, Budget Director, introduced the item and made the following presentation: 42 43 7 1 Slide #1 ORANGE COUNTY NORTH CARC3LINA Fee Study Report DEAPR, Planning & Inspections, Emergency Services February 10, 2026 Worksession 2 3 4 Slide #2 Fee Study Background Need to Review Fees County Management sought to have a comprehensive review of fees due to the impact of rapid cost of inflation after Covid. - County Budget had to either accept higher county subsidy-higher tax burden or set higher fees-pushing more costs to direct users. County released an RFP for an external review of fees by end of 2024, and selected MGT consulting to perform total cost accounting of performing fee generating services. - Staff reviewed three departments, rather than all fee generating services. County departments provided detailed accounting of all relevant costs and revenues and met biweekly with consultant to iron out a detailed model. ORANGE COUNTY 2 NORTH CAROLINA 5 6 7 8 1 Slide #3 Fee Study Background Full Cost of User Fees Services • MGT Model is based on determining the full cost of user fees, a distinct way of estimating cost that has not been used by county departments or by county budget office. • Collects the following information from departments: - Schedule of all fees and annual volumes for each fee - FY 2025 Revenue and Expenditure data - Personnel costs and organizational chart of the department - Cost Allocation Plan—value of the support provided by other departments such as HR, IT,and Finance. Allocates all costs to each fee (or to non-fee activity) by time allocation provided by departments. • Compares the total cost to provide the activity to the current revenue generated by the fee, which generates a cost recovery percentage. • The total cost recovery percentage of all studied fees is 35%, which means general fund revenue is subsidizing 65% of the cost to run these programs, or$14.1 M. ORANGE COUNTY 3 NORTH CAROLINA 2 3 4 Slide #4 Fee Study Background Different Cost Recovery Models Full Cost of User Fees Budget Cost Recovery Direct Cost Recovery • Shows all costs associated • Cost recovery figures as • Cost recovery estimate with fee activity, allocated by communicated in the budget sometimes considered by fee each fee. process, summarized at the generating departments. • Includes department division level. • Considers only the supplies, expenditures, staff salaries • Includes all costs in that seasonal staff,and contract who directly work on the fee, division, including direct staff, personnel costs to operating a indirect costs of supervisors division leadership, and class or collect a fee. and costs in other operational costs. • Does not consider the cost of departments. • Will not include costs of staff time, administration, or • Removes costs for staff time department leadership in any indirect costs. that are not associated with a other divisions, or support fee. costs of other departments. Full Cost is not the typical way the county has considered cost recovery for fee programs, and so the cost recovery percentage will be different, and often much lower than reported otherwise. To set a policy target for each unit, county will need to translate back into Budget Cost Recove ORANGE COUNTY 4 NORTH CAROLINA 5 6 7 8 9 10 9 1 Slide #5 Fee Study Background Qualitative Factors for Subsidizing Fees MGT Model has provided the required cost to achieve 100% cost recovery in program areas, but the County needs to consider other factors to set policy. Presentation will include staff considerations on the following factors that could recommend subsidizing fees: Community Benefit—Some types of fee activity are broadly expected to have significant county subsidy, like classes for youth and seniors. Demand Impact—A high fee may diminish demand for a county service, resulting in lower utilization and lower fee recovery for staff time. User Impact—A high fee may cause an unwanted hardship for the fee user, that could lead to decisions that are unwanted by the county. Peer Comparison—The MGT report includes peer comparisons to five other similar county or municipal governments. Strategic Alignment—A fee activity that is prioritized through the Board of County Commissioner's Strategic Plan could be subsidized to encourage usage. Targeted Subsidy—In addition to subsidizing the fee for all users, the county can further subsidize some specific users for fees to ensure program is available to those with the highest need. ORANGE COUNTY Y 5 2 3 4 Slide #6 Fee Study Background Qualitative Factors for Increasing Fees and Reducing Subsidy While there are policy reasons to subsidize county fee programs, there are policy reasons why it is harmful to overly subsidize county programming: Cost to Taxpayer—All costs that are subsidized by county are ultimately charged back to county residents through Property and Sales Tax, regardless of whether they could use the service. Opportunity Cost of Subsidy—Any funding that is used to subsidize a program could instead be used to improve that program or fund a different county program that is of higher strategic priority. Unanticipated Uses—Any fee that is set too low could have unanticipated uses or users. Out-of-County users could use county services if we are priced below our peers. Users of subsidized programs may not necessarily be highest need county residents. Discourage Use—Fees can be set to actively discourage or limit types of use. Most frequently this is used to discourage multiple submissions or re-inspections. ORANGE COUNTY 6 NORTH C_:AROLINA 5 6 7 8 t0 1 Slide #7 Fee Study Background Other Tools for improving Fee activities • While this report only considers improving revenue to improve cost recovery, county staff are also reviewing expenditure efficiencies. • Budget staff will compare Budget Cost Recovery to peer agencies,to determine if county cost recovery is out of line with peers. Departments will be working with Strategic Planning Manager to create Department Strategic Plans to ensure work aligns with county wide strategic plan in implementing fee-based programs. • Some efficiencies can occur due to improved staff workflow and use of technology. • Policy changes with respect to streamlining or simplifying development processes and approvals would need to be considered by the Board. • Fees that are not mandated, not Board priorities, and cannot make adequate cost recovery can be considered for de-prioritization. Ogg� COUNTY 2 3 4 Slide #8 Fee Study Review Goals for this presentation • Present to the Board findings of MGT consultant, including full cost of providing service and peer comparisons. • Discuss qualitative factors that can dictate different fee recovery policies. • Understand Board priorities and feedback to staff recommendations in this presentation. • County Manager will use this feedback to set new recovery targets and recommend fee changes in Manager's Recommended Budget. ORANGE COUNTY 8 NORTH C_:AROLINA 5 6 7 11 I Slide #9 Fee Study Review — Current Planning Fee Recovery % Net Cost . County 31% $745,709 Fee Services Provided: Text and Future Land Use Map Amendments to the Comprehensive Plan, to Unified Development Ordinance. Rezonings, and Subdivisions. Fees are relatively low volume but require significant staff time and county cost. Considerations for Fee Recovery Peer Comparison: County is generally within the middle of peers, though this is fee-dependent. Demand Impact: while demand is impacted by market forces, high fees and high costs to developers to satisfy process requirements dampens demand for rezoning and major subdivisions. For example: Peer with highest fees, Town of Chapel Hill, has the worst budgeted cost recovery. Strategic Alignment: Housing for All Obj. 5—Review County ordinances, policies, agreements, and the regulatory processes to streamline practices, and increase opportunities and reduce barriers to construct housing. ORANGE COUNTY 9 NORTH CAROLINA 2 3 4 Slide #10 Fee Study Review — Current Planning Staff Recommendations Fees can be increased incrementally but would not significantly impact recovery rate. • Some increases could also be a burden to homeowners trying to improve their properties Staff will review efficiency of managing current processes. Board could change (increase or decrease) requirements for applications and associated materials. What applications require Planning Board and/or BOCC reviews? Fewer public hearings will reduce staff time and development costs and can satisfy strategic plan objectives. Staff can administratively confirm alignment with UDO or specific approval requirements once Board approves when and whether rezoning or subdivision should occur. Can be changes to UDO standards of review Can be changes to what is needed for a zoning case's public hearing requirements Approval of new Comprehensive Land Use Plan could alleviate some of the staff time commitment by decreasing volume of hearing items and ensuring statements of consistency are more in line with contemporary board priorities, as reflected in the Strategic Plan. ORANGE COUNTY 10 NORTH CAROLINA 5 6 Vice-Chair Fowler said that increasing fees could potentially backfire, but she noted that 7 streamlining Planning processes and approvals could make it cost less for the county which would 8 align with the Board's housing priorities. 9 Cy Stober, Planning and Inspections Director, said there are a few different approaches 10 that he's considered. He gave some examples of streamlining review and public hearing 12 1 processes that could reduce the amount of time and workload on staff. He said increasing fees 2 for special use permits could be a discouraging policy signal to people who may be considering 3 zoning or a special use permit for their property. 4 Vice-Chair Fowler asked if the potential efficiencies would reduce the number of FTEs 5 needed in the department. 6 Cy Stober said it may result in the amount of work staff would do on subdivisions. He said 7 staff could manage it at current levels, but he did not think it would result in less staff. 8 Commissioner Carter asked how the Town of Chapel Hill is doing while they update their 9 land use plan and what county staff is learning. 10 Cy Stober said they don't have data since the plan was approved six weeks prior. 11 Commissioner Carter asked what was the last subdivision that came before the Board of 12 Commissioners. 13 Cy Stober said the Stonewall subdivision on Miller Road came through in September 14 2025. 15 Commissioner Carter asked if they came to the Board in a different form than by right. 16 Cy Stober said no. 17 Commissioner Greene said she remembered when those came through and she was 18 confused because they were by-right. She said it also confuses the community. She said she 19 supports that change. 20 Cy Stober said it recently was reviewed by the Ordinance Review Committee. 21 Chair Hamilton said she would like to see more data and hard numbers before the Board 22 decides. She would like to see the current fee structure. 23 Kirk Vaughn said they are hoping to learn more about what the Board is interested in, and 24 they will bring that information back to the Board. 25 Chair Hamilton said it's a lot of information to go over in short amount of time. 26 Commissioner Bedford read from page 48 of the agenda packet. She said the best 27 opportunity per the consultant was to combine and reduce the number of fee listings within the 28 building, miscellaneous and trades permits. She supported that change. 29 Cy Stober said it is underway. 30 Commissioner Bedford suggested setting a fee structure that acknowledges long-time 31 homeowners. She also suggested setting a tiered fee structure. 32 Cy Stober said the erosion control fee schedule is tiered. He said for building inspections 33 he'd like to have one or two pro rata approaches. He said the highest service level, which would 34 be in a larger building with typically a larger developer, would have a progressive fee to it. He said 35 it would not be just proportional, it would be a higher tier. 36 Commissioner Bedford said that's what she favored, but she didn't want to be the highest. 37 38 13 1 Slide #11 Fee Study Review — Erosion Control Fee Recovery %* Net Cost to County* 138% ($344,805) Fee Services Provided: Reviews, approves, inspects, administers and enforces Federal, State and County Erosion and Sedimentation Control requirements throughout the County(including Chapel Hill, Carrboro, Mebane and Hillsborough). It also regulates stream buffers and development activity within the 100-year floodplain throughout Orange County's Planning Jurisdiction. Considerations for Fee Recovery Peer Comparison: County is above peers. Fees for large subdivisions and industrial projects cover multiple years of staff work. - 'In FY 25 staff received fees that will count towards staff time that will occur in FY 26 and FY 27. Demand Impact: high fees and high costs to developers to provide erosion control dampens demand for subdivisions and economic development projects. „ ORoNGECOUNTY CAROLINA 2 3 Kirk Vaughn noted that while the county looks at the fees individually, the user experiences 4 them as a whole package and does not consider if one is high vs. one that is low. 5 6 Slide #12 Fee Study Review — Inspections Fee Recovery% Net Cost . County 50% $1,007,974 Fee Services Provided: The building inspections division receives, processes,and issues building construction permits.This division verifies compliance with the mandated NC State Building Code by conducting inspections during construction of building, structures, mechanical, electrical and plumbing systems.County provides services for Town of Hillsborough and Unincorporated Orange County. Volume in FY 25 was notably low and FY 26 is already outperforming historic norms in terms of permit volume and revenue. Positions that were held vacant and defunded in FY 25 were included in the MGT model. Considerations for Fee Recovery Demand Impact:while demand is impacted by market forces, high fees and high costs for new development can reduce demand. Strategic Alignment: Housing for All Obj.5—Review County ordinances, policies, agreements, and the regulatory processes to streamline practices, and increase opportunities and reduce barriers to construct housing. Cost to Taxpayer: lower subsidy levels mean that taxpayers across the county are subsidizing inspections for construction in only parts of the county. Opportunity Cost of Subsidy:State law requires a certain timeframe of responsiveness, funding that is rogram could be used to increase staff and meet responsiveness requirements. ORANGE COUNTY 12 NORTH CAROLINA 7 8 9 14 1 Slide #13 Fee Study Review — Inspections Staff Recommendations Demand in FY 2025 was low, but management held positions vacant to reduce expenditures. Department expressed strain to personnel to meet all deadlines. Going forward, department will need to set a target recovery level based on the expectation of a historically average year of demand and set staffing levels sufficient to meet state deadlines. Budget Office conducting peer review of budgeted recovery levels of peer departments, first review shows department's FY 26 budgeted recovery was within peer standards but need to do deeper review to ensure apples-to-apples comparison. Some larger peers, Buncombe and Durham City1county have achieved 100% cost recovery or greater.Town of Chapel Hill has the worst recovery rate. Planning office staff have identified that the schedule is overly complicated for users to navigate and will propose a new fee framework for the board to approve at a future board meeting. Staff recommends increasing fees for large residential, commercial, and non-essential features(i.e. pools) but continue to subsidize small residential to maintain county strategic priorities. Request Board input on weighing different factors, Manager will set policy recovery target in Budget based on board deliberation. O ,PAGCOUNTY ,3 > 2 3 Vice-Chair Fowler said she thought the county should get closer to full recovery of costs, 4 given the county's budget constraints. 5 Commissioner Carter agreed with Vice-Chair Fowler. 6 The rest of the commissioners indicated their agreement by nodding their heads. 7 8 Slide #14 Fee Study Review — DEAPR Recreation Fee Recovery% Net Cost to County 32% $879,676 Fee Services Provided: Recreation Division provides classes,athletic leagues for children and adults, as well as summer camps,preschool and afterschool. while there are no restrictions on who can apply to utilize DEAPR services,the location of services are most convenient to residents in Hillsborough and the unincorporated parts of the county. Fee Recovery By Category: Fee Activity Fee Recovery % Net Cost to County Youth Athletics 46% $150,356 Adult Athletics 10% $185,536 Recreation—Classes 15% $113,649 Summer Camps 47% $186,663 Afterschool 33% $102,358 Preschool 39% $72,732 Alcohol Permits 12% $1,062 14 ',OKI I1 c.'AK(-)[ 1Nn� 9 10 15 1 Slide #15 Fee Study Review — DEAPR Recreation Fee Recovery % Net Cost . County 32% $879,676 Considerations for Fee Recovery Peer Comparison:At top of peer range for youth athletics, below peers at adult athletics. Community Benefit: County provides a low-cost option for recreation and classes to benefit the members of the community who cannot afford other private recreation options. Strategic Alignment: Healthy Community Obj.8—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. Unanticipated Uses: Orange County's recreation fee schedule does not make any adjustments for out-of-county use, and is first-come,first-serve,so services may not be used by those with greatest financial need. Opportunity Cost of Subsidy:County funds that are subsidizing certain recreation services could be used to expand services instead. For example, the general fund subsidy that is currently applied to adult programming could be shifted to expand youth programming. Targeted Subsidy: County has several subsidy mechanisms for certain programs or users. Detailed on upcoming slide. ORANGE COUNTY 15 NORTH CAROLINA 2 3 4 Slide #16 Fee Study Review — DEAPR Recreation Targeted Subsidy Arrangements All peers in the peer review utilize different targeted subsidy arrangements, as does the county.Targeted subsidies can ensure that those who can't afford private services can take advantage of the county services. However, administering a targeted subsidy adds administrative costs that add to the total cost of programs. Typical subsidy programs also require income verification, which can feel invasive to users. County has two primary subsidy programs: DSS covers up to$250 per child that are receiving benefits from DSS out of its Youth Enhancement Fund. DSS provides the administrative support to track the usage of the program. DEAPR uses free or reduced lunch certificates from OCS to provide 25% discount to classes and programming. Does not apply to afterschool, summer camp or preschool. Separately, a prior Board removed the fee for both youth and adult drop-in programming at Central Recreation Center. This includes badminton, basketball and pickleball. Staff are required to supervise these drop-in periods, so 633 hours of staff time have no reimbursement. Fees could be established for adults, for youth, or both. ORANGE COUNTY 16 NORTH CAROLINA 5 6 Commissioner McKee said it was odd that the subsidy for adult athletics would be higher 7 than for youth. 8 Kirk Vaughn said the consultant made the same comment. He said there are opportunity 9 costs for subsidizing certain programs above others. 16 1 Commissioner Carter asked if staff knows how many out of county users there are at 2 DEAPR. She asked if there a way to identify that information so that a tiered fee structure could 3 be implemented, if desired. 4 Kirk Vaughn said you don't see a many out of county users for the youth programs. He 5 said you might see it more for adult athletics as people can drive other places to join a league. 6 David Stancil said they have different facility rates for county and out of county users. In 7 relation to Commissioner McKee's comment, he said DEAPR does not do any senior recreation. 8 He said adult recreation can have really low numbers of athletes, just 6 or 7 participants, and it's 9 hard to spread recovery costs among such a low number. He said they have over 1,000 youth 10 participants and about 125 total adult participants. 11 Commissioner Bedford supported increasing the alcohol permit fee. She said she wanted 12 to subsidize youth athletics. She asked if there is a state or Medicaid rule that says the Youth 13 Enhancement Fund cannot be used for summer camp. 14 Kirk Vaughn said the Youth Enhancement Fund is county money. He said DEAPR has 15 its own program which uses OCS free and reduced lunch certificates, and that is not applied to 16 afterschool, summer camp, and preschool. 17 Commissioner Bedford asked for clarification. 18 David Stancil said the Youth Enhancement Fund in DSS is county money and helps pay 19 for children's activities. He said they use the reduced lunch certificates as a way to provide a 20 discount for classes and programs. He said they don't have a way to cover themselves for 21 afterschool, summer camp, or preschool. 22 Commissioner Bedford said foster children, and kids on free and reduced lunch should 23 have the greatest subsidy the county can provide. She said she would not want to increase fees 24 there. She said not having fees at Central Recreation encourages people to come out play and 25 not engage in criminal activity. 26 David Stancil said this conversation was held by the Board 15 years ago. He said there 27 was a charge of $3, but the commissioners at the time did not want to discourage anyone from 28 coming in to play basketball. 29 Commissioner Bedford said she supported keeping it if possible. She discussed the tennis 30 court reservation concerns from the public. She said she'd like DEAPR to find a way to work that 31 out. 32 David Stancil said users are paying double what they did a few years ago. He noted the 33 complexities of the conversation about usage of facilities and when they are being used. 34 Commissioner Carter asked for clarification on adult athletics. 35 David Stancil said any recreation for seniors is handled by the Department on Aging. He 36 said the adult athletics programs are tai chi, martial arts, basketball, and volleyball. He said there 37 are 10 times as many youth athletes as there are adults. 38 Commissioner Carter said she supported Commissioner Bedford's comments about 39 providing for youth programming. She said she'd like the county to review adult athletics fees. 40 Commissioner Bedford noted the issue of balancing administrative costs and setting fees. 41 David Stancil agreed and gave an example of establishing out of county vs. in county 42 users. He said reviewing addresses takes up considerable staff time and may not be worth setting 43 a specific out of county fee. 44 Kirk Vaughn said subsidy programs can have administrative costs, but it can also be 45 invasive. He said it often comes down to income verification. He said peer counties provide 46 subsidies in varying ways, such as sliding scale, but that might be difficult to manage for a county 47 of our size. He said if the Board is interested, they could look at expansion of subsidy programs 48 and making sure they are supporting those who need it the most. 49 Chair Hamilton noted the Board's agreement of his comments. 50 51 17 1 Slide #17 Fee Study Review — DEAPR Recreation Staff Recommendations Charge full cost for Alcohol Permits. Fees and cost recovery for Youth Athletics, Summer Camp and Preschool within reasonable expectations.Afterschool slightly lower. Staff can review expanding targeted subsidies to ensure better accessibility for lower income users, either by expanding existing subsidy programs or exploring peer models. Cost Recovery for Adult Athletics and Classes is notably insufficient. Increase league costs to peer levels. Could cause some sports to have insufficient teams for leagues. Review staff time efficiency in managing these programs. Review offerings for sufficient interest, determine if offerings are redundant with Aging and local municipal recreation organizations. Board could reconsider having a nominal drop-in fee for Central Rec usage or target free usage of Central Rec to specific users i.e.youth, low-income. 17 Orog� COUNTY 2 3 4 Slide #18 Fee Study Review — Fire Marshal Fee Recovery% Net Cost to County* 20% $217,200 Fee Services Provided: The Fire&Life Safety Division provides plans for new construction and enforces the North Carolina fire code.County provides services for Town of Hillsborough and Unincorporated Orange County. `The Town of Hillsborough provides$80,000 in funding for the county to provide services in the town, and to inspect Town facilities for free. Volume in FY 25 was notably low and FY 26 is already outperforming in terms of revenue. Considerations for Fee Recovery Peer Comparison: County is at low end of peer comparisons. Demand Impact:while demand is impacted by market forces, high fees and high costs for new development can reduce demand. Strategic Alignment: Healthy Community Obj.7—Provide sustainable, equitable, and high-quality community safety and emergency services to meet the communitys evolving needs. Cost to Taxpayer: lower subsidy levels mean that taxpayers across the county are subsidizing fire inspections for construction in only parts of the county. ORANGE COUNTY 18 NORTH C_:AROLINA 5 6 7 18 1 Slide #19 Fee Study Review — Fire Marshal Staff Recommendations Budget Office conducting peer review of budgeted recovery levels of peer departments. Not all peers break out Fire Marshall in public budget documents. There was some notable variances of recovery rates in other counties.Alamance budgeted minimal cost recovery, while Mecklenburg budgeted 100%+ cost recovery.Wide variance on how other entities viewed cost recovery for this service. Staff recommends increasing fees for 1St and 2nd reinspection to add more cost to failed inspections. Request Board input on weighing different factors, Manager will set policy recovery target in Budget based on Board deliberation. Staff previously did not charge Orange County Schools, based on difficulty of receiving payment. Budget staff confirmed that CHCCS was charged by towns. Should this practice be reversed to maintain equity between the districts? MGT model assumes revenue is received from OCS going forward. ORANGE COUNTY 19 NORTH CAROLINA 2 3 Commissioner Carter asked if the Orange County Schools lack of payment has been going 4 on for a long time. 5 Kirk Vaughn said it has. 6 Commissioner Bedford asked how much money is involved with the schools' non- 7 payment. 8 Kirk Vaughn said he couldn't recall exactly, but it's between a few thousand and tens of 9 thousands of dollars. He said it's not the biggest program for the county. 10 Chair Hamilton observed that taxpayer money would go to paying the inspection fee at 11 Orange County Schools. 12 Kirk Vaughn said the schools must be inspected multiple times. He said it's not the biggest 13 program and not the biggest concern. 14 Commissioner Carter said that the plan is to build new schools and asked how much Fire 15 Marshal work will be driven by future construction. 16 Kirk Vaughn described the various types of inspections that could occur. 17 Commissioner Bedford said if it's not tens of thousands of dollars then it is less of a priority 18 to her. She said one way to recover the cost is to hold back some of the payment to the schools. 19 20 19 1 Slide #20 Fee Study Review — Emergency Medical Services Fee Recovery% Net Cost . County 28% $11,498,601 Fee Services Provided: The Emergency Medical Services Division provides 2417 ambulance transport and life services support. County provides services for the whole county. EMS cost recovery is limited by Federal and state reimbursement schedules, commercial insurance contracts, and limited collection rates for self-pay. Considerations for Fee Recovery Peer Comparison: County is at low end of peer comparisons. County uses 175%of Medicaid reimbursement rates as a standard for its ALS/BLS billing, which updates automatically each year. Community Benefit: County provides an essential service to ensure resident well-being at life-critical events. User Impact:Despite current cost recovery,current ALS/BLS fees are very significant, especially for uninsured residents. Strategic Alignment: Healthy Community Obj.7—Provide sustainable, equitable, and high-quality community safety and emergency services to meet the community's evolving needs. Opportunity Cost of Subsidy: Funding that is used to subsidize EMS services could instead invest in increased staffing, improving response times and health outcomes. _ Targeted Subsidy: County provides hardship assistance through a waiver administered through W'AtNGE CCQUNTY 20 Federal law prohibits an automatic discount for self pay patients. NORTH CAROLINA 2 3 Kirk Vaughn said the county only spends $40,000 a year on the hardship waiver. 4 Commissioner McKee asked if it is income-based. 5 Kirk Vaughn said it is. He said it is only for full-time residents of the county, meaning not 6 university students. 7 Chair Hamilton asked what the fee recovery rate is in other counties. 8 Kirk Vaughn said they haven't looked at that. He said the ability to do cost recovery 9 depends on your payer mix. He said if they have a higher level of insured patients, they they get 10 a higher cost recovery regardless of the fee. He said in 2026 a lower percentage of their payer 11 mix is self-pay, and Medicaid expansion may have had an impact. 12 Vice-Chair Fowler said Alamance and Durham seem to have higher fees, and she 13 suggested keeping Orange in line with neighboring counties. 14 Chair Hamilton said this is a service where there is inelasticity of demand. 15 Commissioner McKee said the main worry for the patient is how many minutes away the 16 ambulance is. 17 18 20 1 Slide #21 Fee Study Review — Emergency Medical Services Staff Recommendations Costs can be increased incrementally to regional peer averages. This will not dramatically improve cost recovery due to constraints from Medicaid reimbursement and self-insured low payment rates. County cost to run this service is high, and based on current CIP&Operating model, county subsidy will increase in future years. While County has limited ability to offset these investments, the County can communicate the need for these investments during budget process. CIP includes significant investments in EMS services that will drive increases to debt service.These include a robust EMS vehicle replacement schedule, new CAD software, and two new EMS substations that will add staff and vehicles. New ES headquarters and VIPER radio towers are also significant capital investments in next 5 years. County currently uses grant funding to cover new EMS programs like PORT and CARES, that will eventually need to rely on county funding if they are maintained. One component for future review is external collections. County currently has staff in Tax Office collect EMS fees.All peer reviewed counties use external collection services. County added an FTE in Tax in 2025 to improve collection recovery. Staff will review alternative models and reach out to peer staff which use external collections. ORANGE COUNTY 21 NORTH CAROLINA 2 3 4 Slide #22 Fee Study Review — Review and Questions Questions about fee study, presentation and findings? Are there other types of information that the Board would want to see based on findings in this report? Staff can move to studying other Fee generating departments based on this framework: Aging, Animal Services, Environmental Health and Solid Waste. • Staff will have access to excel-based models for these departments, and so can periodically update models based on changes in fees, costs or volume. ORANGE COUNTY 22 NORTH CAROLINA 5 6 Chair Hamilton said that they can evaluate the impact of fee changes on demand. She 7 said changes with an adverse impact could be adjusted. She said this will be a foundation to 8 making sure that the true cost of a service is being covered and that county can help those who 9 can't pay. 10 Commissioner Carter thanked staff for the report. 21 1 Commissioner Bedford observed that demographic changes could impact service needs 2 and demands. 3 4 3. Board of Health —Appointment Discussion 5 The Board discussed an appointment to the Board of Health. 6 7 BACKGROUND: The Board of Health makes policy and is charged with protecting and promoting 8 public health in Orange County. 9 10 The Board of County Commissioners appoints all eleven (11) members, with representatives from 11 specific health-related professions and the public. 12 13 The following individual is recommended for Board consideration: 14 NAME SPECIAL TYPE OF EXPIRATION REPRESENTATIVE APPOINTMENT DATE TERM Dr. Natalicio At-Large Partial Term 06/30/2027 Serrano 15 16 If the individual listed above is appointed, no vacancies remain. 17 18 Tara May introduced the item. 19 The Board agreed by consensus to appoint the recommended individual. 20 21 4. Chapel Hill-Orange County Visitors Bureau Advisory Board — Appointments 22 Discussion 23 The Board discussed appointments to the Chapel Hill-Orange County Visitors Bureau Advisory 24 Board. 25 26 BACKGROUND: The Chapel Hill-Orange County Visitors Bureau Advisory Board is charged with 27 developing and coordinating visitor services in Orange County. It also implements marketing 28 programs that enhance the economic activity and quality of life in the community. 29 30 The Board of County Commissioners appoints all seventeen (17) members, with representatives 31 from specific entities and fields. 32 33 The Carrboro Town Council, Chapel Hill Town Council, and Hillsborough Board of Commissioners 34 each nominate a member to serve. 35 36 The following individuals have been nominated to serve: 37 NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Theo Nollert Chapel Hill Town Partial Term 12/31/2027 Council Fred Joiner Carrboro Town First Full Term 12/31/2028 Council 38 22 1 If the individuals listed above are appointed, the following vacancy remains: 2 POSITION EXPIRATION VACANCY INFORMATION DESIGNATION DATE Chapel Hill 06/30/2026 Vacant since 05/07/2025 Downtown Partnership Staff 3 4 NOTE: There are no applicants eligible for this vacancy. 5 6 Tara May introduced the item. 7 The Board agreed by consensus to appoint the recommended individuals. 8 9 5. Economic Development Advisory Board —Appointments Discussion 10 The Board discussed appointments to the Economic Development Advisory Board. 11 12 BACKGROUND: The Economic Development Advisory Board works cohesively with the 13 County's Economic Development staff and other economic development partners to position 14 Orange County as a competitive location for business opportunities. 15 16 The Board of County Commissioners appoints all ten (10) members, with representatives from 17 various fields. 18 19 The following individuals are recommended for Board consideration: 20 NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Joy Mercer Entrepreneur Second Full Term 06/30/2029 Daniel Rawlins Agri ulture Partial Term 06/30/2027 21 22 If the individuals listed above are appointed, no vacancies remain. 23 24 Tara May introduced the item. 25 The Board agreed by consensus to appoint the recommended individuals. 26 27 6. Orange County Planning Board —Appointments Discussion 28 The Board discussed appointments to the Economic Development Advisory Board. 29 30 BACKGROUND: The Planning Board studies Orange County and the surrounding areas to 31 determine objectives in the development of the County. It prepares and recommends plans to 32 achieve that development, including the suggestion of policies, ordinances, and procedures. It 33 reviews development applications and makes recommendations to the Board of Commissioners. 34 35 The Board of County Commissioners appoints all twelve (12) members. 36 37 The Planning Board does not make recommendations for appointments. 38 39 The following individuals and positions are presented for Board consideration: 40 23 NAME POSITION TYPE OF EXPIRATION DESCRIPTION APPOINTMENT DATE TERM Chris Johnston Hillsborough Second Full Term 03/31/2029 Township Jonah Garson At-Large First Full Term 03/31/2029 (reappointment) BOCC Bingham Township Partial Term 03/31/2027 Appointee BOCC At-Large First Full Term 03/31/2029 Appointee BOCC Chapel Hill Township First Full Term 03/31/2029 Appointee 1 If the positions listed above are filled, no vacancies remain. 2 3 Tara May introduced the item. 4 The Board agreed by consensus to reappoint Chris Johnston and Jonah Garson. 5 Vice-Chair Fowler nominated Ana Garcia Turner for the Chapel Hill Township position. 6 Commissioner Greene nominated Allison Freeman for an At-Large seat. 7 Commissioner McKee nominated Othlone McCalla for an At-Large seat. 8 For the Chapel Hill Township and At-Large seats, Greene recommended a slate of Ana 9 Garcia Turner and Allison Freeman. 10 Commissioner McKee expressed concern with the slate method of nominating candidates. 11 He explained his reasons for nominating Othlone McCalla. 12 Commissioner Portie-Ascott agreed with Commissioner McKee. 13 Commissioner Greene withdrew her slate of nominations. She explained her reasons for 14 supporting Allison Freeman for the Planning Board. 15 Vice-Chair Fowler explained her reasons for supporting Ana Garcia Turner for the 16 Planning Board. 17 The Board agreed by consensus to appoint Ana Garcia Turner for the Chapel Hill 18 Township position. 19 The Board agreed by consensus to appoint Othlone McCalla for the At-Large position. 20 The Board agreed to readvertise for the Bingham Township position due to few applicants. 21 22 Adjournment 23 24 A motion was made by Commissioner McKee, seconded by Vice-Chair Fowler, to adjourn 25 the meeting at 9:30 p.m. 26 27 VOTE: UNANIMOUS 28 29 Jamezetta Bedford, Chair 30 31 32 Recorded by Laura Jensen, Clerk to the Board 33 34 Submitted for approval by Laura Jensen, Clerk to the Board