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HomeMy WebLinkAboutMinutes 03-05-2026-Business Meeting 1 APPROVED 4/7/26 MINUTES ORANGE COUNTY BOARD OF COMMISSIONERS BUSINESS MEETING March 5, 2026 7:00 p.m. The Orange County Board of Commissioners met for a Business Meeting on Thursday, March 5, 2026, at 7:00 p.m. at the Whitted Human Services Building in Hillsborough, NC. COUNTY COMMISSIONERS PRESENT: Chair Jean Hamilton, Vice-Chair Amy Fowler, and Commissioners Jamezetta Bedford, Marilyn Carter, Sally Greene, Earl McKee, and Phyllis Portie- Ascott COUNTY COMMISSIONERS ABSENT. None. COUNTY ATTORNEYS PRESENT. John Roberts COUNTY STAFF PRESENT: County Manager Travis Myren, Deputy County Manager Caitlin Fenhagen, and Clerk to the Board Laura Jensen (All other staff members will be identified appropriately below.) Chair Hamilton called the meeting to order at 7:00 p.m.All commissioners were present. 1. Additions or Changes to the Agenda A motion was made by Commissioner Carter, seconded by Commissioner Bedford, to add a discussion on large-scale data center development as item 6-c VOTE: UNANIMOUS Chair Hamilton read the public charge and reviewed the instructions for making public comment. 2. Public Comments (Limited to One Hour) a. Matters not on the Printed Agenda David Terrell read a statement regarding the establishment of a Cedar Grove Veterans Memorial. Speaking on behalf of the Northern Orange County Veterans Association (NOVA), he explained their proposal to create a memorial at the Cedar Grove Community Center. The memorial would consist of an indoor panel listing names of individuals who attended Cedar Grove School between 1951 and 1969, and outdoor inlaid bricks around the existing Flag Plaza honoring all veterans from World War II to the present. NOVA identified over 200 veterans in the Cedar Grove community with no current recognition beyond VA grave markers. The estimated cost for the indoor panel is approximately $30,000, while the outdoor elements would be self-funded through brick sales and other revenue sources. NOVA has committed to maintaining the Flag Plaza, flying flags 24/7, and providing resources to veterans. David Terrell requested the Board consider and approve the project. Gary Linz expressed concerns about an incident involving the transfer of his property to another individual without his knowledge or consent, which he discovered when he was investigated by Bank of America for fraud when he applied for a loan. While his property was returned to him, he said that he has not been given satisfactory answers from the county about how this occurred. He does not believe it was a clerical error as he has been told by county staff. He said he will continue to speak at commissioners' meetings on this issue going forward. 2 b. Matters on the Printed Agenda (These matters will be considered when the Board addresses that item on the agenda below.) 3. Announcements, Petitions, and Comments by Board Members Commissioner McKee strongly endorsed the Cedar Grove veterans' memorial request, noting he and Commissioner Bedford had met with David Terrell and GI Allison recently. He asked staff to check available funding, indicating approximately$4,500 may already be available for the wall panel. Commissioner McKee made two additional petitions: first, asking the board to instruct staff to work on a 2% reduction across the board for the upcoming budget, and second, announcing he would bring a motion for the board to endorse an additional 5% cut to commissioner salaries, believing the budget pain should be equally shared. He concluded his remarks by acknowledging his recent loss in the primary and shared a poem about counting blessings instead of crosses. Commissioner Bedford supported Commissioner McKee's petition for the veterans' memorial, noting she had also met with the veterans and that staff indicated the project could move forward with phased funding, starting with available funds and working toward the full $30,000 needed overtime. Commissioner Carter reported on her visit to Washington, DC with Commissioner Portie- Ascott for the National Association of Counties (NACO) legislative conference from February 21- 24. They met with North Carolina's congressional delegation, and she shared that North Carolina had the largest state contingent at the conference. Key topics included nutrition, healthcare, disaster recovery, mental health, farmland preservation, transportation, cybersecurity, tax policy, and election security. They also met with Japan's ambassador to thank him for Morinaga's investment in Orange County. Commissioner Carter noted remarkable bipartisan alignment on housing affordability and concerns about federal cost-shifting to counties. She then addressed the recent military conflict in the Middle East, acknowledging the impact on community members with family and friends in affected regions and those with deployed family members, while describing the conflict as occurring in a country with systematic citizen oppression and controlled media and elections. Commissioner Portie-Ascott thanked Commissioner McKee for his comments and supported his petition for the Cedar Grove Community Center. She acknowledged a resident's concern about a recent Sons of Confederate Veterans gathering in the Research Triangle Park area, emphasizing that conversations attempting to reinterpret or minimize racism and Confederate history can be troubling for community members. She stressed the importance of acknowledging history honestly to build an inclusive community. Commissioner Portie-Ascott also acknowledged community heartbreak over the conflict in the Middle East, noting that while foreign policy is federal, global events carry emotional weight for local families and faith communities. She elaborated on the NACO conference, highlighting the value of multiple commissioners attending to bring back broader perspectives. She said a major conference theme was housing supply challenges, noting that 84% of Orange County's land is under restrictions limiting water and sewer access, reflecting environmental and farmland preservation commitments but requiring strategic housing planning. She discussed federal resources like Community Development Block grants and Section 108 loan guarantee programs, and was particularly struck by conversations about partnering with faith-based organizations that have land and community service commitments to create affordable housing opportunities. Commissioner Greene congratulated Commissioner Bedford on her victory in the primary and provided updates on transit initiatives. She reported on a GoTriangle meeting where the agency received a $17.7 million federal grant for modernizing bus operations facilities, thanks to Congresswoman Deborah Ross's office. She highlighted the Triangle Mobility Hub development as part of the Research Triangle Park's reinvention from a bedroom community to a workplace with housing options. Commissioner Greene provided statistics on the low-income Transit 3 Assistance Program (TAP), which serves over 10,000 unique riders, 70% of whom are employed, with 24% reporting they would struggle to pay grocery bills without the program. The annual program cost is $353,000, with Orange County's transit plan contributing $28,000. She also discussed the Triangle West Destination 2055 document, emphasizing strong connections between land use and transit planning for mixed-use development within a half-mile of frequent transit Vice-Chair Fowler thanked other commissioners for their comments, the veterans in attendance, and the service members who lost their lives in the most recently initiated conflict. She noted attending the Triangle West meeting, where they approved the 2055 MTP plan, which includes comprehensive bike, pedestrian, public transit, and technology components for congestion improvement. She reported on a Tax Assessment Work Group meeting featuring presentations from commercial appraiser Paul Snow and Stanley County's in-house appraiser Clinton Swearingen about the pros and cons of in-house appraisal services. She said the next Tax Assessment Work Group meeting will review RFQ responses from two organizations. She concluded by acknowledging Women's History Month. Chair Hamilton thanked other commissioners for their thoughtful comments. She petitioned for the Board to recognize March 15th as International Long COVID Awareness Day, noting that one in six North Carolinians experience long COVID, with many suffering severely despite COVID being considered over. She planned to bring a formal recognition to the March 17th meeting. Hamilton encouraged individual commissioners to respond directly to a resident's email about concerning groups in the county, feeling that it was not appropriate for her to respond on behalf of the board. She also reminded commissioners to review a petition requesting that the board sign a resolution asking Governor Stein to examine Duke Energy, noting individual responses were welcome, but board action would require discussion. 4. Proclamations/ Resolutions/ Special Presentations a. Women's History Month Proclamation The Board approved a proclamation designating March 2026 as Women's History Month in Orange County. BACKGROUND: The celebration of Women's History Month traces its roots to the socialist and labor movements in New York City. The first Women's Day took place on February 28, 1909, marking the one-year anniversary of the garment workers' strikes in which thousands of women marched for economic rights. This strike followed another in 1857, when garment workers took to the streets demanding equal rights and a 10-hour workday. Within two years, the movement grew into an international event. In 1975, the United Nations officially recognized International Women's Day, which will be celebrated on March 8, 2026. When Women's History Month was first established, feminists in the United States saw it as an opportunity to highlight the contributions of women — contributions that had been largely overlooked in American history. The celebration began as a national observance in 1981, when Congress authorized and requested that President Jimmy Carter proclaim the week of March 7, 1982, as "Women's History Week." In 1987, the Women's History Month Project successfully petitioned Congress to expand the celebration to the entire month of March. President Ronald Reagan was the first to issue a proclamation declaring March as Women's History Month. Today, local, state, and federal government agencies continue this tradition, recognizing March as Women's History Month with events, programs, and celebrations. The County will again be hosting the same Color Me Bad Event similar to last year. This event is a Women's Retreat examining rest as resilience and resistance. Tricia Hersey, an American poet, 4 performance artist, and activist, popularized this concept, arguing that rest is a direct challenge to systems of oppression that demand constant productivity, especially from women. The Color Me Bad event will occur on March 28, 2026. Chief Civil Rights Officer, Paul Slack, reviewed the background information for the item. Commissioners read the following proclamation in turn: ORANGE COUNTY BOARD OF COUNTY COMMISSIONERS WOMEN'S HISTORY MONTH PROCLAMATION WHEREAS, American women of every race, class, and background have shaped our nation through their innovation, creativity, and leadership—successfully rewriting the narrative for a nation that has not always recognized their contributions; and WHEREAS, American women have played and continue to play vital economic, cultural, and social roles in every sphere of the life of the nation —excelling in academics, the arts, politics, medicine, sports, and beyond —while navigating challenges both seen and unseen; and WHEREAS, women have been at the forefront of every major progressive social change movement, often advocating for justice when their own struggles were overlooked, including the suffrage movement, the abolitionist movement, the industrial labor movement, the Civil Rights Movement, and many more; and WHEREAS, the courage of countless trailblazing American women has shattered barriers and glass ceilings, inspired people regardless of gender, sparked groundbreaking discoveries, and propelled America toward a more just and equitable society; and WHEREAS, despite critical contributions, women's stories have too often been marginalized in the teaching and retelling of history, making it our collective responsibility to uplift and honor the women who have shaped our past and continue to shape our future; and WHEREAS, the 2026 national theme for Women's History Month —"Leading the Change: Women Shaping a Sustainable Future" — celebrates women who are reimagining and rebuilding systems to ensure long-term sustainability across environmental, economic, educational, and societal spheres, and it invites all communities to recognize and support women's leadership in creating a future that works for everyone; and WHEREAS, Orange County is committed to fostering True Community, which Reverend Dr. Pauli Murray defined as "being based upon equality, mutuality, and reciprocity," and will continue to elevate the dialogue on women's history and their collective power in shaping a more just and equitable society; NOW, THEREFORE, do we, the Board of Commissioners of Orange County, North Carolina, hereby proclaim March 2026 as "Women's History Month" and commend this observance to Orange County residents, urging them to recognize the women in their lives with appropriate programs, activities, and celebrations that reflect this year's theme of leadership and sustainable change. THIS THE 5th DAY OF MARCH, 2026. 5 Jean Hamilton, Chair Orange County Board of Commissioners A motion was made by Commissioner McKee, seconded by Vice-Chair Fowler, to approve and authorize the Chair to sign the proclamation. VOTE: UNANIMOUS b. Final Report on Neighborhood Reviews and Revaluation Appeals The Board received a report on neighborhood level reviews and property tax appeals following the 2025 revaluation and to provide input on future reporting for the 2026 appeal period. BACKGROUND: The Board of Commissioners received an update on neighborhood reviews and property tax appeals at the December 9, 2025 Business Meeting. This report provides a final analysis of the completed neighborhood reviews, the value adjustments resulting from those reviews, and the geographic distribution of the reviews. Neighborhood Reviews Early in the 2025 tax year, the Tax Office conducted an equity analysis on the County's 1,026 assessment neighborhoods using International Association of Assessing Officers (IAAO) statistical standards. The Tax Office reviewed the neighborhoods with five (5) sales or more and identified 86 neighborhoods that were outside of the equity standards used by the IAAO. Of the neighborhoods with less than five (5) sales, the Tax Office examined those neighborhoods for consistency and reasonableness and identified an additional 76 neighborhoods that required a more thorough review. The Tax Office also included twenty (20) neighborhoods identified by the Orange County Property Tax Justice Coalition (OCPTJC) for possible value adjustments, and reviewed Habitat for Humanity home values based on deed restrictions. A total of 172 neighborhoods were identified by the Tax Office for closer review. At the July 31, 2025 meeting of the Board of Equalization and Review, the Tax Office asked the Board to grant the authority to review these neighborhoods and make changes as needed. The Tax Office selected Tanner Valuation Group (TVG) to assist in the review through the Request for Proposals process. The Tax Office reviewed the neighborhoods that make up the Northside Neighborhood Conservation District prior to TVG being hired. Supplemental work and field reviews were completed on these neighborhoods by TVG. Tax Office staff also made changes to Habitat for Humanity homes based on deed restrictions on those homes that affect resale value. All other neighborhoods were reviewed by Tanner Valuation Group, and recommendations were made to the Tax Office. The Tax Office reviewed the recommendations and made value adjustments accordingly. Of the 172 neighborhoods reviewed, recommedations for value adjustments were made for properties in 57 of those neighborhoods. 2,761 properties received a value change resulting in an overall reduction of $98,757,700. Of these properties, 257 were the Habitat for Humanity referenced above. The total value reduction for the Habitat properties was $15,751,700. Tanner Valuation Group recommended no changes in value for the remaining 115 neighborhoods identified for further review. 6 Tanner Valuation Group provided a Summary Report for the Orange County 2025 Reappraisal Findings and Recommendations which is included as Attachment 3. Appeal Status The Tax Office received 3,380 informal appeals during the informal appeal window from March 21 through April 30, 2025. Of those informal appeals, 2,148 resulted in adjustments to the value of the property, or 64% of the appeals. Total value reduction was $201,005,498 which is an average reduction of$93,578.All informal decision notices were mailed as of November 26, 2025. The formal appeal period was April 1 through July 31, 2025. There were a total of 1,038 formal appeals, and 686 resulted in adjustments to the value of the property, or 66% of the appeals. The total value reduction was $158,887,883, resulting in an average reduction of$231,615. The Fiscal Year 2025-2026 budget assumed a tax base reduction of 3%, or $936,162,977, resulting from the appeal process. The total value reduction from appeals was$359,893,381. The overall value reduction including appeals and neighborhood reviews is $458,651,081, which is a reduction of 1.47%. As of February 25, 2026, there have been thirty-four (34) appeals to the North Carolina Property Tax Commission (PTC) with a total of 94 properties. To compare to previous revaluation years: ➢ 2009— 120 PTC appeals ➢ 2017— 22 PTC appeals ➢ 2021 — 12 PTC appeals The last of the formal appeal decision notices were mailed on February 20, 2026. There is a 30- day window for the property owner to appeal to the PTC from the date the final decision notices were mailed, which means that the number of 2025 PTC appeals could increase. Nancy Freeman, Tax Administrator, made the following presentation: Slide #1 i ORANGE COUNTY NC)RTH CAROLINA Tax Office Neighborhood Review Report and Appeal Results Board of Commissioners Business Meeting March 5,2026 7 Slide #2 Purpose • To receive reports on neighborhood level reviews and property tax appeals following the 2025 revaluation. • To provide input on the content of the reports and on the content and frequency of future reporting requirements for 2026 appeal period. ORANGE COUNTY 2 NORTH CAROLINA Slide #3 Background The most recent update on neighborhood reviews and property tax appeals was at the December 9, 2025 Business Meeting. This presentation provides: Final report on Neighborhood Reviews, value adjustments resulting from those reviews, and geographic distribution of the reviews. Final report on 2025 Appeals, completed February 11 , and maps of both the informal and formal appeals. ORANGE COUNTY 3 NORTH CAROLINA 8 Slide #4 The Need for Neighborhood Review • After the 2025 Revaluation notices were mailed, questions arose about the vertical equity in Orange County's Revaluation. • Many concerns were raised by Orange County Property Tax Justice Coalition (OCPTJC). Tax Office used vendor services for an analysis county-wide using multiple metrics, with a conclusion that Orange County was largely within statistical norms. • Tax Office also conducted a neighborhood level analysis internally and 172 neighborhoods were identified for further review. • After dialogue with Habitat for Humanity staff and research, it was noted that some Habitat For Humanity homes needed further review. • Tax Office asked the Board of Equalization and Review (BOER)to direct staff to review the neighborhoods and Habitat properties and make changes as needed. • Tanner Valuation Group (TVG)was hired to review the neighborhoods. ORANGE COUNTY 4 NORTH CAROLINA Slide #5 Neighborhood Review Results • 172 neighborhoods were reviewed and 57 neighborhoods saw some sort of adjustment. • Tax Office reviewed the neighborhoods that make up the Northside Neighborhood Conservation District before Tanner Valuation Group (TVG) was hired and made changes to the properties based on information provided by the Coalition. Additional work was done on these neighborhoods by TVG. • County staff reviewed Habitat for Humanity properties and changes were made to 257 based on deed restrictions that had not been noted previously in the County's record resulting in a reduction of $15,751 ,700. • 2,763 total properties received a value change resulting in an overall reduction of $98,757,700. ORANGE COUNTY 5 NORTH CAROLINA 9 Slide #6 Neighborhood Review Findings — Tanner Valuation Group Tanner Valuation Group provided a statement to summarize what was found in their review: While there are several factors that can cause Vertical Inequity in mass appraisal, the main cause in Orange County was due that properties with deferred maintenance were assessed using the same methodology as properties that were either renovated/remodeled, or properties that have been maintained throughout the years. �1 s ORAN GE H ECOUNATY Slide #7 Neighborhood Review Findings — Tanner Valuation Group Additional points identified by Tanner Valuation Group: • Orange County has — "unique neighborhoods" — conservation districts and restrictions — some neighborhoods with elevated land values compared to similar neighborhoods • Some neighborhoods that were found to be statistically out of acceptable range during the identification of neighborhoods for review are within range when excluding sales from 2021 and 2022 and focusing on the more recent 2023 and 2024 sales. ORANGE COUNTY 7 NORTH CAROLINA 10 Slide #8 Neighborhood Review Findings — Tanner Valuation Group Additional points identified by Tanner Valuation Group: • A county-wide calculated Standard Time Adjustments was used in the original statistical analysis, and TVG recommends that county-wide calculated time adjustments not be used because different parts of the county experienced growth at different rates. • Vacant sales should also be excluded from statistical analysis. Orange County experienced a substantial increase in vacant sales during 2021 and 2022. This could skew the data as most land sales would be on the lower end of the valuation scale and those property values may now include improvements resulting in significantly higher ratios. • Information related to the interior quality of the properties in identified neighborhoods was provided by the Coalition and would have otherwise been unavailable to_the Tax Office. ORANGECOUNTY OUNTY 8 NORTH CAROLINA Slide #9 Neighborhood Review Recommendations — Tanner Valuation Group • Analyze all sales to make sure the property data and characteristics accurately match the property at the time of sale. Make sure to avoid sales chasing. • Incorporate the use of Neighborhood Factors further into practice. • Spend additional time and analysis on upper end properties for the next revaluation. • Review base rates, residential in particular is likely low. • Consider switching from one land line per property to multiples nt OR for residual acreage. ORANGE H CCouNAY 11 Slide #10 Neighborhood Review Recommendations — Tanner Valuation Group Orange County has some "unique neighborhoods" with situations very few other counties have. For example, there are neighborhoods that have all of these types of properties: • owner occupied • business owned student rentals • very poor condition with deferred maintenance • extensively renovated • properties with obvious signs of gentrification. Additional time should be spent on these unique neighborhoods for the next revaluation. �1 ORANGE COUNTY 10 NORTH CAROLINA Slide #11 Neighborhood Review Statistics Current calculation of the primary statistical measures based on the 2023 and 2024 sales as recommended by TVG are listed below. Only Reviewed Neighborhoods Current Acceptable Range Median 0.994 .9 to 1.1 COD 7.059 5.0 to 15.0 PRO 1.02 .98 to 1.03 Only Neighborhoods with Changes Median 0.984 .9 to 1.1 COD 8.041 5.0 to 15.0 PRO 1.019 .98 to 1.03 County Wide,All Neighborhoods Median 0.999 .9 to 1.1 COD 15.785 15.0 to 15.0 PRO 11.014 1.98 to 1.03 � ORANGE COUNTY 11 NORTH CAROLINA 12 Slide #12 Neighborhood Review Statistics Meanings Median Sales Ratio -Assessed Value/Actual Sales Price 1.0-Assessed value matches sales price Above 1.0-Assessed value is greater than sales price Below 1.0-Assessed value is below sales price ➢ COD - Coefficient of Dispersion measures horizontal uniformity in a sales ratio study, and shows how tightly individual property assessments are grouped around the median. y PRD Price Related Differential (PRD) — measures uniformity of sales ratios between low and high values properties A PRD close to 1.0 indicates neutral assessment practices - A PRD above 1.0 indicates higher-value properties are under-assessed (regressive assessment). A PRD below 1.0 means higher-value properties are over-assessed (progressive assessment �1 ORANGE COUNTY 12 NORTH CAROLINA Slide #13 Neighborhood Reviews — Additional Appeal Any property that received a change in value due to the neighborhood review received a value change notice, which allowed them the opportunity to appeal that value. Of the 2,763 properties that received a change in value from the neighborhood reviews, 17 appealed the new value. All appeals were residential properties Total reduction $585,600 Thirteen received additional reduction from their appeal One property increased in value s Three properties did not change ORANGE COUNTY 13 NORTH CAROLINA 13 Slide #14 Finding Your Neighborhood • "Neighborhood" — In property valuation, a defined geographic area, or a group of complementary land uses, containing properties that share similar market, economic, and physical characteristics. Also known as market area. • 1,026 defined neighborhoods in Orange County, identified by neighborhood codes (NBC) • Go to County's GIS Maps: https://qis.orangecountync.gov/orangeNCGIS/default.htm — Enter PIN, owner name, or address — See Review Results, your neighborhood code, or NBC is shown at the bottom �1 is ORANGE ECOUNATY Slide #15 Finding your Neighborhood — GIS Results Page Resutts Layers Results List LANDVAtUE 2a3800 BLDGVALUE 356200 BLDGCNT 1 VALUATION 640000 TAXSTATUS A FARMUSE USEVALVE 0 DEEDREF .... , LEGALREF DATESOLD Mar 9201012700AM TAXSTAMPS 0 STAMPVALUE 0 YEAR BUILT 2000 SOFT 2178.75 SUBDIVISION NAME CONDO NAME SCHOOL-SYSTEM Orange County Schools NBC 30021 ORANGE COUNTY 5 NORTH CAROLINA Nancy Freeman went to the Orange County GIS website and demonstrated how to find an NBC and how to use the code to see all the properties in a neighborhood. 14 Slide #16 2025 Revaluation Appeals • In addition to Tanner Valuation Group assisted with data collection for informal and formal appeals. • Original estimate for reduction to Tax Base was 3%, or $936,162,977 • At completion of formal appeals, reduction is at 1.47%, or $458,651,081. — This is in line with the amount of reduction at the 2021 revaluation, which was 1.5% • Additional reduction expected from next step in appeals process to the NC Property Tax Commission. �1 ORANGE COUNTY 16 NORTH CAROLINA Slide #17 2025 Revaluation Appeals - Informal • 3,380 Informal appeals received through April 30, 2025 — 3,204 Residential, 176 Commercial • 2,148 resulted in adjustments, 64% of the total informal appeals — Total reduction $201,005,498 — 14.6% of beginning value — Average reduction $93,578 — 2,079 Residential, 69 Commercial ORANGE COUNTY 17 NORTH CAROLINA 15 Slide #18 2025 Revaluation Appeals - Informal • 388 of informal appeals also appealed formally to the Board of Equalization and Review (BOER) — Total reduction $10,957,700 — 361 Residential, 27 Commercial • At BOER, 300 had additional reduction,10 increased, 78 had no change — Total reduction $37,115,588 �1 1$ ORAN GE COUNTY NTOSlide #19 2025 Revaluation Appeals - Formal • The Board of Equalization and Review is a 3-member volunteer board — Apply to the Board of Commissioners — Appointed by the Board of Commissioners for a 2-year appointment • 2025 Board of Equalization and Review (BOER) held meeting to convene May 5, 2025 to begin accepting formal appeals ■ 15 pre-adjournment meetings ■ 2025 BOER adjourned July 31, 2025 ■ 58 post-adjournment meetings to hear all appeals received through July 31st ■ Final meeting February 11, 2026 19 CW I I I CARC)I_INA 16 Slide #20 2025 Revaluation Appeals - Formal • There were 1 ,038 formal appeals — 869 Residential — 169 Commercial • Total Reduction $158,887,883 — 686 resulted in adjustments, 66% of the total formal appeals — Average reduction $231,615 — 612 Residential — 74 Commercial �1 ORANGE COUNTY 20 NORTH CAROLINA Slide #21 North Carolina Property Tax Commission Appeals • As of February 19, there have been 34 appeals to the NC Property Tax Commission (PTC) ❑ Includes 94 properties • 79 of the properties are residential and total $27,428,600 • 15 of the properties are commercial and total $154,543,500 • Window for PTC appeals will end March 25, 2026. ORANGE COUNTY 21 NORTH CAROLINA 17 Slide #22 ooking Forward — 2026 Appeals • Currently have received 148 Informal Appeals • Appraisers have completed 128 of those appeals • Notice of Decisions will be mailed early April and have the option to appeal formally • Value change notices for new construction and others will be sent late February so they may appeal informally. • First version of 2026 Appeals Dashboard will be provided at the early April BOCC meeting ORANGE COUNTY 22 NORTH CAROLINA Commissioner Bedford asked if this is the first opportunity for people who had homes damaged during Tropical Storm Chantal to have their adjustments considered. Nancy Freeman said yes. Chair Hamilton asked if value change notices are also sent to people who have renovated their homes. Nancy Freeman said yes. Chair Hamilton confirmed the Board would like staff to maintain the 2026 Appeals Dashboard. Slide #23 1 noking Forward — 2026 Board of Equalization and Review • 2026 Board of Equalization and Review will convene April 31St • Members will be encouraged to attend: — NC Department of Revenue presentation that covers "The Charge to the Board" — UNC-School Of Government Best Practices for BOER Webinar • 2025 BOER requested Tax Staff to note several matters during 2025, and bring those matters to the 2026 BOER for review — concerning changes in procedures — will include advising staff attorney ORANGE COUNTY 23 NORTH CAROLINA 18 Chair Hamilton requested that training be made mandatory rather than encouraged and asked to receive training information to determine formal policy requirements. She asked what changes to the procedures are being made. Chad Phillips explained that the changes primarily involve commercial property representation rules and scheduling time allocations. 5. Public Hearings None. 6. Regular Agenda a. Approval of Employee Health and Dental Insurance Renewal and Continued Participation in the North Carolina Health Insurance Pool The Board approved employee health and dental insurance premium equivalent rates for the plan year July 1, 2026, through June 30, 2027, and approved continued participation in the North Carolina Health Insurance Pool (NCHIP). BACKGROUND: The County provides health and dental benefit plans for employees and their families, as well as health benefit plans for pre-65 retirees. The Board of Commissioners has the responsibility to approve the health and dental insurance rates each fiscal year. This approval is made in advance of the annual budget so staff can hold an open enrollment period prior to the beginning of the fiscal year, July 1. Open enrollment is scheduled for the period of April 27, 2026, through May 10, 2026. Health Insurance In FY 2019, the Board of County Commissioners approved Orange County's participation in the North Carolina Health Insurance Pool. Based on stable claims experience, from FY 2019 through FY 2022, the County maintained no increases in premium equivalent rates for health insurance and dental coverage for employees and pre-65 retirees. In subsequent years, the Board approved 5% increases in premium equivalent rates for health insurance coverage each year through FY 2025 and a 6% increase in FY 2026. The County has absorbed the cost of these increases and has not increased the employee contribution to the health plan for active employees or pre-65 retirees since 2015. Funding for the health plan is based on estimated premium equivalent rates that are calculated to pay for incurred claims, administrative and reinsurance costs, and expected liability of claims Incurred but Not Reported (IBNR). The plan also carries a reserve balance which helps to ensure the County's ability to pay any claims that exceed the budgeted amount in any given year. Best practice recommends maintaining reserves between 1.5 and 3.0 times IBNR. Based on the December 2025 IBNR liability of $922,644, the recommended reserve range is between $1.4 million and $2.8 million. A target of approximately two (2) times the IBNR, or $1.85 million, is recommended to stabilize the fund. The County's current fund ratio is—1.3% as of December 2025 indicating that reserves are below the target. Increasing premium equivalent rates to cover actual claims incurred will provide the opportunity to help build reserves in the future. 19 Financial Review The following table details the Count 's claims experience from FY20 through FY25. FY20 FY21 FY22 FY23 FY24 FY25 Jul 19-Jun 20 Jul 20-Jun 21 Jul 21-Jun 22 Jul 22-Jun 23 Jul 23-Jun 24 Jul 24-Jun 25 YoY Change need$ $6,895,698 $8,857,216 $10,946,908 $8,883,956 $9,921,942 $10,689,943 8% Rx$ $3,611,785 $3,362,195 $3,666,862 $4,257,610 $5,138,699 $7,173,975 40% Total$ $10,507,483 $12,219,410 $14,613,770 $13,141,565 $15,060,642 $17,863,919 19% Average Employees Covered 1078 1050 1024 1064 1111 1127 Avg Per Claimant Per Year $9,743 $11,635 $14,278 $12,349 $13,558 $15,846 Banded Layer$>40K $1,740,760 $2,701,986 $27,772,535 $2,547,489 $3,140,986 $4,150,593 Banded Layer Claimants>40K 45 57 53 73 74 88 Stop Loss Reimbursements $647,818 $549,098 $2,165,540 $483,352 $611,414 $767,884 Stop Loss Claimants 2 4 8 2 2 1' #of Claimants over$10K 221 262 266 296 357 414 #of Claimants over$20K 111 130 139 149 182 208 'ISL increased from$200K to$400 K From FY 2020 through FY 2025, the Health Insurance plan has experienced increases in the frequency and severity of large claimants, overall increases in gross claims, and growth in plan enrollment. From FY 2024 to FY 2025, the cost of total claims increased by $2,803,277 or approximately 19%. Of that increase, medical claims increased by $768,001 or approximately 8%, while pharmacy claims increased by over$2 million or 40%. Cost of Claims Actuarial analysis from NCHIP recommends a 12.5% rate increase to both the employee and employer share of premium equivalents to meet the cost of expected claims. If the County absorbs the entire cost of this increase and does not increase employee contributions, the County's cost would need to increase by a total of 13.7%. Pharmacy Cost Drivers One of the primary cost drivers for pharmacy claims is the increased use and high relative cost of GLP-1 drugs for weight loss. o Approximately 100 members are using GLP-1's for weight loss. o The cost of covering these medications for weight loss is approximately$1 million. o Other employers that have continued to cover the GLP-1's have also needed a "catch up" increase as employers did not anticipate the demand associated with these drugs. Medical Cost Drivers The primary cost drivers for medical claims are more varied. • The cost of cancer treatments and other cancer therapies have increased by 34%. New treatments are being discovered, approved, and put into use with unprecedented frequency. As the covered population continues to age, cancer rates are also expected to increase. • The cost of musculoskeletal outpatient surgeries has increased by 11%. • The cost of psychiatry, primary care, and specialist visits has increased by 12%. The utilization of these services by individuals covered by the Orange County plan is above the industry standard. 20 Enrollment Increases In addition to the cost of claims, employee enrollment in the County plan has increased over time. Enrollments have increased 7% over the past five (5) years. The most significant increases have occurred in employee-only plans which are 100% County funded. The number of enrollments for employee-only plans has increased by 12% over the past five (5) years, or by approximately 80 enrollments. Considerations for Cost Containment Measures Staff have explored several strategies to manage rising costs while maintaining current benefits and is recommending that the Board consider two changes to the health insurance plan design. 1. Implement a RxSaveCard for GLP-1's used for weight loss • The RxSaveCard offers a projected savings of $500,000 annually based on current utilization. • The RxSaveCard provides a mechanism for consumers to have direct relationships with GLP-1 drug manufacturers through Lilly Direct and NovoCare. • This direct-to-consumer relationship lowers the cost to the health plan by eliminating the premium associated with the Pharmacy Benefit Manager that would otherwise serve as an intermediary between the manufacturer, pharmacy, and consumer. For example, the cost of a Wegovy prescription under the County's current plan is $950 per month. The direct-to-consumer price is $350, saving the health plan $600 per month. • Instead of insurance plan coverage for this drug, employees would purchase medications directly from the manufacturer. In practice, employees would receive an RxSaveCard, and the County would provide a subsidy of$375 on this card each month for the employee to purchase their medication. If the actual cost of the prescription is less than the $375 monthly subsidy, the excess funding is returned to the County. For example, the direct- to-consumer price of the Wegovy injectable medication is$350. Since the County subsidy ($375) is greater than the direct-to-consumer cost, the employee receives the drug for$0, and $25 is returned to the County at the end of each month. The savings and cost to the employee under this plan are detailed in the table below. CURRENT PBM RxSaveCard Drug Dose Estimated Employee Direct Price OC Subsidy Employee Insurance Price Monthly monthly (after rebate) Cost(PPO) cost Wegovy(inj) all $950 $25 $350 $375 $0 Zepbound (inj) low $850 $25 $299 $375 $0 Zepbound (inj) mid $850 $25 $399 $375 $24 Zepbound (inj) high $850 $25 $449 $375 $74 Wegovy(oral) low $800 $25 $149 $375 $0 Wegovy (oral) mid $800 $25 $249 $375 $0 Wegovy(oral) high $800 $25 $229 $375 $0 • The only drug for which the employee would have to contribute is for the Zepbound injectable at medium and high doses. Those prescriptions would carry an employee responsibility of$24 and $74 respectively. The current co-pay under the County's current plan is $25. 2. Implement a Surcharge for Spousal Health Insurance Coverage when Alternative Coverage is available to the Spouse 21 • Implement a$200 per month surcharge to the employee contribution for spousal coverage when spouse has health insurance coverage with their employer. • Currently, 144 spouses are enrolled in the County's health plan. Staff from the North Carolina Health Insurance Pool (NCHIP) estimate that 20% of spouses or approximately 29 spouses would choose to remain on the County plans despite having alternative coverage. • If those employees were charged an extra $200 to maintain spousal coverage, direct revenue to the plan would increase by $70,000. Below is a chart showing the estimated direct financial impact: Spousal Surcharge Modelin Current Covered Spouses 144 Estimated % w Other Coverage 20% Monthly Surcharge Amount $200 Estimated Spouses Impacted 29 Estimated Surcharge Revenue $69,120 Surcharge Revenue Offset $69,120 • The spousal surcharge may also have an indirect savings to the plan by discouraging migration to the County's plan from coverage available to the spouse of a County employee. The County currently contributes an additional $600 per month to move from an employee only plan to an employee plus spouse plan and an additional $800 per month to move from an employee plus children plan to a full family plan. Discouraging migration to the County plan has the potential to save the additional County premium contribution associated with coverage a spouse as well as the additional cost of claims incurred by the spouse. Predicting the claims savings is difficult without direct experience. Dental Insurance The County provides dental coverage for active employees. No rate increase is recommended for FY 2026-27. Brenda Bartholomew, Human Resources Director, reviewed the background information for the item. She made the following presentation: 22 Slide#1 OC Health Insurance Renewal For enrollment period July 1, 2026 to June 30, 2027 Orange County Board of Commissioners March 5, 2026 Slide#2 Key Insights from FY26/27 Renewal Discussion OC Current Financials What factors are driving the increase in health care costs Cost Containment Considerations 23 Slide #3 1 Orange County Current Financials with NCHIP FY20 FY21 FY22 FY28 FY24 FY25 From FY 2020 through FY 2025,the Jul 19-Jun 20 Jul 20•Jun 21 Jul21-Jun 22 Jul 22•Jun 23 Jul 23•Jun 24 Jul 24•Jun 25 YoYChange Health Insurance plan has experienc Ned $6,895,698 $8,857,215 $10,946,908 $6,863,956 $9,921,942 $10,689,943 8% increases in the frequency and severity of RK$ $3,611,785 $3,3621195 $3,666,862 $4,257,610 $5,138,699 $7,173,975 40% large claimants,overall increases in gr s Total$ $10,507p83 112,219,410 $14,613,770 $13,141,566 $15,060,642 $17,983,919 19% claims,and growth in plan enrollment.F Average Ern ployeesCovered 1078 1050 1024 1 1064 1111 1 1127 kg PerChimaM PerYear $9,743 $11,635 $14,278 $12,319 $14560 $16,e46 From FY 2024 to FY 2025,the cost of t Banded Layer$>40K $1,740,760 $2,701,986 $27,72,535 $2,547,489 $3,140,986 54,150,593 Banded Layer Claimants 540K 45 57 53 73 74 claims increased by$2,803,277 or Slap Lose Reimbursements $647,818 $549,098 $2,165,540 $463,352 $611,414 $767,884 approximately 19%. Slap Loss Claimants 2 4 8 2 2 1' • Of that increase, medical claims increase 001Cielmenls over 51OK 221 32 266 296 357 414 by$768,001 or approximately 8%,while #olCle mants over$20K 111 130 139 149 182 206 pharmacy claims increased by over$2 '13L in,Nseu Gam 52M 10$400 K million or 40%. A4 Slide #4 What factors are driving the increase in health care cost Healthcare costs are rising faster than enrollment, driven primarily by pharmacy and high-cost claims. Claims Have Increased Pharmacy is the Primary Driver Significantly Pharmacy increased 40%in one year FY24 to FY25: +$2,8M (19%) Over$2M increase in Rx.alone • Major contributor to renewal pressure Taul Claims Trend(FY20-FY25) Pharmacy(Rx)Growth(FY20-FY25) L7 To Lfi e �La.0 E 55 12 3 � 24 Slide #5 Cost Drivers Medical Cost Drivers Pharmacy Cost Drive Cancer treatments+34% Musculoskeletal surgeries +11% Behavioral Et specialist visits+12% GLP-1 drugs for weight loss ✓ 100 members utilizing ✓ $1M annual cost ✓ Usage far exceeded projections Slide #6 Health Insurance Renewal - Status Quo Recommended Status Quo Renewal 12.5%total rate increase recommended • 13.68%employer impact if County absorbs full increase Employer • $15,470,177 $17,587,217 $2,117,040 13.68% I 25 Slide#7 Cost Containment Strategy Considerations • RxSaveCard Monthly Surcharge for Spousal Require use of RxSaveCard for Coverage coverage of GLP-1 drugs for weight $200 per month surcharge if spouse has loss alternative coverage available Direct to consumer approach— Would applyto Employee+Spouse Plan and prescriptions received from Family Plan manufacturer by mail Employee receives$375 monthly 144 spouses currently enrolled in County health plan. allowance Drug costs below$375 per month NCHIP estimates 20%or 29 spouses would are returned to the County remain on County plan v$500,000 savings projected based Potential revenue increase to the plan on continued utilization -$64,000 May deter spousal migration to County plan Positive impact on employee costs from other coverage for most prescriptions - Avoids increased cost of spousal claims Slide #8 1, RxSaveCard provides a direct-to- consumer relationship with GLP-9 drug RxSaveCard manufacturers,Lilly Direct and NovoCare CURRENT PHM RasayeCard Eliminates cost associated with the D.g Dose Isrrrded Psployee OlredPrlce OCSubsidy Employee pharmacy Benefits Manager(PBM) Insurance Price Monthly —thly iafter rebate) C-1(PPO) coat Wegovy(inj) all 5950 $25 $350 $375 s0 zephound(lnj) Inw 5850 $25 $299 $375 so Wegovy Injectable Example: Zepbound(inj) mid $850 $25 SM $375 $24 $950 per month=cost to current plan Zepbound(inj) high $850 $25 $449 S37$ $74 Wegovy(oW) Iow $= $25 $149 $375 $0 • $350 per month=cost direct-to- Wegovy(om1) mid sm $25 $24a $375 so consumerplan through RxSaveCard jweg.vY high ROD $25 $229 $375 $0 • $600 per month savings to County plan Reduces employee costs for most prescriptions from$25 per month to$0 with exception of Zepbound Injectable 26 Slide#9 Manager's Recommendation • Continue participation in NCHIP; and • Approve one of the plan design options as outlined in the DesignPlan following table; and Option Approve the renewal for dental insurance with no changes Comparison WtFY25/26 $15,470,177 atus quo $17,587,217 13,68% $2,117,040 $2,117,040 13.68% xSave Card $16,486,356 6.57% $1,016,179 $450,000 $1,466,179 9.48% •. Spousal Surcharge $17,517,217 13.23% $2,047,040 $2,047,040 13.23% Option 4 Option 2 and 3 $16,416,356 6.12% $946,179 $450,000 $1,396,179 9.02% Slide #10 QUESTIONS A motion was made by Vice-Chair Fowler, seconded by Commissioner Bedford, to approve the continued participation in the North Carolina Health Insurance Pool, approve option #4 for plan design and associated employer costs, and approve the renewal for dental insurance. VOTE: UNANIMOUS 27 Commissioner Bedford thanked Brenda Bartholomew for the presentation and for the rX card option for employees. Commissioner McKee thanked staff for these cost-saving options. He said the resulting increase is more reasonable. Chair Hamilton said she thinks it is important to invest in employees and help them do the best job that they can do for the county. b. Orange County's Proposed 2026 Priority Legislative Issues The Board reviewed and discussed the proposed Orange County 2026 Priority Legislative Issues as developed by the Legislative Issues Work Group (LIWG), and approved the Top 5 Orange County 2026 Priority Legislative Issues and the full list of twenty-one (21 ) Priority Legislative Issues for submittal to Orange County's legislative delegation. BACKGROUND: Orange County's Legislative Breakfast with Orange County's legislative delegation, in conjunction with the 2026 North Carolina General Assembly session, is scheduled for March 23, 2026. The Board of Commissioners has historically approved a set of priority legislative issues each year for presentation to/discussion with the delegation. The Board historically has designated two members to work with staff on a Legislative Issues Work Group (LIWG)to develop a proposed legislative priorities document. Based on the work of the LIWG, the BOCC has then reviewed and approved a package of legislative items to present to Orange County's legislative delegation. Commissioners Phyllis Portie Ascott and Marilyn Carter are serving on the 2026 LIWG and have worked with staff on the attached 2026 legislative materials. As the LIWG considered its approach for this year, the Group determined to identify a list of Legislative Priority Issues in conjunction with: • The North Carolina Association of County Commissioners (NCACC) Legislative Advocacy Goals; and • Orange County's Strategic Plan Goals/Priorities. During its review, the Group identified twenty-one (21) Priority Legislative Issues (Attachment 2). From that list, the Group determined its "Top 5 Priority Legislative Issues" (Attachment 1). It is recommended that the Board review the proposed Top 5 Legislative Issues as well as the full list of twenty-one (21) items, consider modifying both documents as may be necessary based on discussion, and consider any other potential revisions. It should also be noted that the LIWG has been developing an expanded document regarding the Orange County 2026 Priority Legislative Issues that provides background information and talking points for the priority issues. Upon completion, that document will be shared with Board members and staff for use as pursuit of the Board's adopted Legislative Priority Issues moves forward. Following discussion of and any amendments to Attachments 1 and 2, the Board is asked to approve both documents. Staff will then work with the Chair to share the approved documents with Orange County's legislative delegation in preparation for discussion at the March 23, 2026 Legislative Breakfast. The work of the Legislative Issues Work Group to this point is based on the current information available for the 2026 General Assembly Session. The issues addressed by the Group may 28 evolve and change over the session and require additional attention by the Group and Board of Commissioners. New issues may also arise necessitating additional review. Greg Wilder, Assistant to the County Manager for Legislative Affairs, reviewed the background information for the item. Commissioner Portie-Ascott explained that the new format of the document provides talking points and local impact information to help commissioners defend goals at NACO steering committee meetings and assist the legislative delegation in understanding Orange County's specific impacts. Commissioner Carter noted that the document underwent multiple iterations to achieve alignment, highlighting the top five priorities: agricultural and farmland preservation, housing preservation, behavioral health capacity, health services and local detention facilities, and tax and finance protecting county fiscal stability. The broader list addresses environmental protection, clean water, watershed protection, storm resilience, disaster recovery, rural water and sewer infrastructure, workforce housing, transportation access, and education workforce development. Chair Hamilton thanked the work group and staff for their work on the alignment. Commissioner Greene questioned including the longer list, preferring to focus on five priorities as the Board had previously decided. Commissioner Portie-Ascott explained that the additional items acknowledge strategic priorities and prevent important issues from being lost. Vice-Chair Fowler advocated for six priorities by adding public education, noting that half the county's budget goes to schools and adequate state funding would reduce pressure on the county. She wanted to include pre-K investment advocacy and opposition to school vouchers for families already attending private schools. She also emphasized the need for specific Medicaid codes for behavioral health urgent care centers to be included under the behavioral health priority. Commissioner McKee supported keeping five focused goals while noting that commissioners could individually contact legislators about other issues. He shared an example of contacting legislators about controlling rogue agritourism operations affecting legitimate farmers. Chair Hamilton reminded the Board that this is the document used to talk to delegation at the Legislative Breakfast. She said they don't have to just stick to 5 and can make sure the document works for the Board. Commissioner Bedford supported the new format and suggested adding bullet points under public education for pre-K emphasis and voucher reduction, plus adding back the IDD waiver wait list clearing under health and human services, noting over 17,000 people wait for services with only 1,000 new vouchers added in recent years. Vice-Chair Fowler raised questions about water and sewer infrastructure expansion conflicting with current WASMPBA agreements restricting such expansion. She also advocated for non-partisan redistricting inclusion. Commissioners discussed the water/sewer language, with Commissioner Carter clarifying the intent was seeking funding for infrastructure work rather than legislation to change restrictions. Commissioner Greene suggested changing "legislation" to "funding" and adding invasive species research funding. After Board discussion, Chair Hamilton called for individual positions on the addition of support for non-partisan redistricting. With five commissioners supporting, non-partisan redistricting was added to the list. The Board reached consensus on the following amendments: • Top priorities increased from five to six by adding public education • Added pre-K investment and school voucher opposition under education • Added IDD innovation waiver wait list clearing under health services 29 • Added Medicaid code for behavioral health urgent care centers • Added non-partisan redistricting under general government • Changed water/sewer language from "seek legislation" to "seek funding" • Added invasive species research funding support under environment Chair Hamilton said the talking points in the packet are good for the NCACC meetings, but also for commissioners when talking in the community. A motion was made by Chair Hamilton, seconded by Commissioner McKee, to approve the Top 6 Orange County 2026 Priority Legislative Issues document, as amended, and the full list of twenty-one (21) Priority Legislative Issues, as amended, for submittal to Orange County's legislative delegation. VOTE: UNANIMOUS Greg Wilder confirmed that the legislative breakfast packet would include both amended attachments plus the eight-page talking points document as supplemental information. c. Discussion on Large-Scale Data Center Development in Oranqe County This item was added at the beginning of the meeting. Commissioner Carter introduced this agenda item, explaining that NACO's Legislative Conference strongly encouraged counties to prepare for the data center industry's arrival by reviewing potential impacts and assessing land use guardrails.The explosive growth in computing power and data centers driven by Al creates concerns about utility impacts on residential bills and water usage demands for cooling systems. She referenced Loudoun County, Virginia's experiences and noted bipartisan North Carolina legislation from previous sessions addressing resident protection from electrical utility impacts, including House Bills 638 and 1002. She noted the timing was appropriate given the World Day for Water proclamation in the consent agenda. A motion was made by Commissioner Carter, seconded by Commissioner Bedford, for the Board to direct County staff to prepare a presentation for our next Business Meeting on March 17, 2026 that addresses the following: 1. The potential impacts of large-scale data center development in Orange County, including electricity demand, water usage, land use compatibility, environmental considerations, and potential impacts on residents' utility costs, and water quality. 2. Policy options available to the County, including, but not limited to, a temporary moratorium on data center development, revising the Orange County Land Use Plan and UDO, and the legal process required to implement each option. 3. Recommendation(s)for Board action. Commissioner McKee noted land has reportedly been purchased in Person County for a data center that would draw power from Mayo Lake Power Station via lines running through Orange County, potentially raising rates countywide. Commissioner Portie-Ascott supported gathering additional information to understand impacts. Vice-Chair Fowler agreed, noting that data centers provide few jobs relative to their utility costs and environmental impacts. 30 Commissioner Bedford requested that environmental considerations include noise and environmental justice issues, suggesting consultation with experts, including the Southern Environmental Law Center. Commissioner Greene mentioned Loudoun County's experience with data centers generating substantial property tax revenue from computer equipment, but warned against reliance on single revenue sources, given other negative impacts. Vice-Chair Fowler noted that data centers aren't addressed in the current UDO and should be considered in the comprehensive plan update. VOTE: UNANIMOUS 7. Reports None. 8. Consent Agenda • Removal of Any Items from Consent Agenda • Approval of Remaining Consent Agenda • Discussion and Approval of the Items Removed from the Consent Agenda A motion was made by Vice-Chair Fowler, seconded by Commissioner Greene, to approve the consent agenda. Commissioner Greene commented on the Transit Employee Appreciation Week proclamation, noting that Orange County's fixed routes are currently fare-free for the year. VOTE: UNANIMOUS a. Minutes for February 3, 2026 Business Meetinq and February 10, 2026 Work Session The Board approved the minutes for the February 3, 2026 Business Meeting and February 10, 2026 Work Session. b. Motor Vehicle Property Tax Releases/Refunds The Board adopted a resolution to release motor vehicle property tax values for four(4)taxpayers with a total of four (4) bills that will result in a reduction of revenue. c. Property Tax Releases/Refunds The Board adopted a resolution to release property tax values for eight (8) taxpayers with a total of nine (9) bills that will result in a reduction of revenue. d. Late Applications for Property Tax Exemption/Exclusion The Board approved two (2) untimely applications for exemption/exclusion from ad valorem taxation for two (2) bills for the 2025 tax year. e. Try Transit Week and Transit Employee Appreciation Day Proclamation The Board approved a proclamation recognizing the week of March 16, 2026 as Try Transit Week in Orange County and March 18, 2026 as Transit Employee Appreciation Day. f. World Water Day Proclamation The Board approved a proclamation designating March 22, 2026 as World Water Day in Orange County. g. Orange County Creek Week 2026 Proclamation The Board approved a proclamation declaring March 21-29, 2026, as "Orange County Creek Week". 31 h. Approval of Professional Services Agreement for Animal Services Improvements The Board: 1) Approved the County entering into a professional services agreement with Smith Sinnett Architecture, P.A., for the Animal Services Improvements; and 2) Authorized the County Manager to execute the Agreement, subject to final review by the County Attorney, and any subsequent amendments for contingent and unforeseen requirements up to the approved budget amount on behalf of the Board of Commissioners. L Whitted Complex Chiller Installation Service Contract Award The Board: 1) Approved the County entering into a service contract with Brady Trane Service, Inc. for the purchase of services to install a replacement chiller and chilled water pumps at the Richard E. Whitted Complex; and 2) Authorized the County Manager to execute the Agreement, subject to final review by the County Attorney, and any subsequent amendments for contingent and unforeseen requirements up to the approved budget amount on behalf of the Board. j. Approval of Eno Arts Mill Suite 17 Lease Amendment for Orange County Arts Commission The Board approved Amendment One to the Eno Arts Mill Suite 17 Lease. k. Approval of Memorandum of Understanding (MOU) between the Town of Carrboro and Orange County for County Enforcement of Carrboro's Erosion and Sedimentation Control (E&SC) Regulations The Board adopted a resolution approving amendments to an existing Memorandum of Understanding (MOU) between the Town of Carrboro and Orange County regarding the provision of Erosion Control services by Orange County to the Town as requested by the Town to support its Stormwater and Erosion Control program, its delegated authority granted by the North Carolina Environmental Management Commission (NC EMC), and the Town's mandated program requirements administered by the North Carolina Department of Environmental Quality (NC DEQ). I. Professional Services Contract with Catawba Valley Engineering and Testing, P.C., for Lake Orange Intake Tower Replacement Project Geotechnical Services The Board approved a professional services contract in the amount of $97,075 with Catawba Valley Engineering and Testing, P.C., for Professional Geotechnical Services (hereafter the "Project"). m. Amendments to the Series 2019 A and B Limited Obligation Bond Documents The Board adopted a resolution related to an Orange County request to the North Carolina Local Government Commission (LGC) to amend the financing documents associated with its 2019 Limited Obligation Bonds (Series 2019A and Series 2019B) to reallocate remaining bond proceeds to eligible project costs. 9. County Manager's Report Travis Myren reminded the Board about the work session next Tuesday. 10. County Attorney's Report John Roberts addressed two items. First, he acknowledged Commissioner McKee's earlier comments about large farm parties and noted ongoing cross-aisle legislative discussions about addressing such issues, with hopes for presentation in the short session. Second, he made his annual inquiry about proposed local bills, noting departments had no requests and asking commissioners to consider any local bills they might want to present to the delegation, requesting advance notice for proper language preparation. 32 11. *Appointments None. 12. Information Items • February 17, 2026 BOCC Meeting Follow-up Actions List • Tax Collector's Report— Numerical Analysis • Tax Collector's Report— Measure of Enforced Collections • Tax Collector's Report— In-Rem Foreclosure Progress Report • Tax Assessor's Report— Releases/Refunds under $100 • Memorandum — Funding Request from Veterans Memorial Committee 13. Closed Session A motion was made by Vice-Chair Fowler, seconded by Commissioner Bedford, to enter in to closed session pursuant to North Carolina General Statute § 143-318.11(a)(3), to consult with an attorney employed or retained by the public body in order to preserve the attorney-client privilege between the attorney and the public body regarding the national opioid litigation, number 1:17-and-02804 and other topics. VOTE: UNANIMOUS RECONVENE INTO REGULAR SESSION A motion was made by Commissioner McKee, seconded by Vice-Chair Fowler, to reconvene into regular session at 9:29 p.m. VOTE: UNANIMOUS Adjournment A motion was made by Commissioner McKee, seconded by Vice-Chair Fowler, to adjourn the meeting at 9:29 p.m. VOTE: UNANIMOUS Jean Hamilton, Chair Recorded by Tara May, Deputy Clerk to the Board Submitted for approval by Laura Jensen, Clerk to the Board