HomeMy WebLinkAboutORD-2026-014-Fiscal Year 2026-27 Budget Ordinance Orange County, North Carolina Attachment 2
0RD - 202 & 014f (0 .A) ln1l (01Q(0
Fiscal Year 2026 =27
Budget Ordinance
Orange County , North Carolina
Be it ordained by the Board of Commissioners of Orange County
Section I . Budget Adoption
There is hereby adopted the following operating budget for Orange County for this fiscal
year beginning July 1 , 2026 and ending June 30 , 2027 , the same being adopted by fund
and activity , within each fund , according to the following summary :
Fund Current Interfund Fund Balance Total
Revenue Transfer Appropriated Appropriation
General Fund $3191754 , 250 $242 , 941 $7 , 068 , 892 $ 327 , 066 , 083
Emergency $433 , 577 $ 0 $0 $433 , 577
Telephone Fund
Employee Health $ 16 , 874 , 504 $4 , 531 , 640 $ 0 $21 , 406 , 144
and Dental Fund
Fire Districts Fund $ 12 , 162 , 693 $0 $0 $ 12 , 162 , 693
Housing Choice $9 , 0411000 $0 $ 0 $9 , 041 , 000
Voucher Fund
Visitors Bureau Fund $2 , 643 , 471 $0 $0 $2 , 643 , 471
Solid Waste
Operations $ 11 , 628 , 899 $ 0 $ 1 , 682 , 392 $ 13 , 311 , 291
Enterprise Fund
Sportsplex
Operations $ 5 , 952 , 738 $ 0 $ 0 $5 , 952 , 738
Enterprise Fund
Chapel Hill - Carrboro
City Schools District $ 30 , 149 , 797 $0 $ 0 $ 30 , 149 , 797
Tax Fund
Parks Capital $ 10 , 500 $0 $0 $ 10 , 500
Reserve Fund
OPC Retiree Health $25 , 000 $0 $ 0 $25 , 000
Fund
DSS Trust Fund $260 , 000 $0 $0 $260 , 000
Jail Inmate Trust $ 315 , 000 $0 $ 0 $315 , 000
Fund
F
4- H Fund $ 30 , 700 $0 $5 , 000 $351700
Debt Service Fund $ 371 , 091 . $40 , 494 , 842 $25 , 208 $40 , 891 , 141
Inspections Fund $ 176161351 $ 0 $ 166 , 925 $ 1 , 783 , 276
ORD - 2026- 014
Community Giving $90 , 000 $0 $ 0 $90 , 000
Fund
Total $4119359 , 571 $45 , 269 , 423 $ 8 , 948 , 417 $465 , 677 , 411
Section II . Appropriations
That for said fiscal year , there is hereby appropriated out the following :
Function Appropriation
General Fund
Community Services $ 17 , 345 , 343
General Government $ 13 , 8101456
Public Safety $451161 , 826
Human Services $ 56 , 026 , 589
Education $ 121 , 654 , 739
Support Services $ 19 , 846 , 264
Transfer to Other Fund $ 53 , 220 , 866
Total General Fund $ 327 , 066 , 083
Emergency Tele hone System Fund
Public Safety $4331577
Total Emergency Telephone System Fund $ 433 , 577
Employee Health and Dental Fund
Support Services $21 , 406 , 144
Total Employee Health and Dental Fund $ 21 , 406 , 144
Fire Districts
Cedar Grove $457 , 659
Greater Chapel Hill Fire Service District $ 331 , 044
Damascus $ 186 , 016
Efland $ 1 , 2521447
Eno $ 17655 , 722
Little River/Caldwell $ 5901129
New Hoe $ 114661343
Orange Grove $ 1 , 134 , 224
Orange Rural $2 , 565 , 864
South Orange Fire Service District $ 8911351
Southern Triangle Fire Service District $5081197
White Cross $ 1 , 123 , 697
Total Fire Districts Fund $ 12 , 162 , 693
Housing Choice Voucher Fund
Human Services $9 , 041 , 000
Total Housing Choice Voucher Fund $ 9 , 0415000
Visitors Bureau Fund
Arts and Tourism $2 , 4931471
Transfer to Other Funds $ 150 , 000
Total Visitors Bureau Fund $ 2 , 643 ,471
Solid Waste Operations Enterprise Fund
Community Services - Solid Waste/Landfill Operations $ 13 , 311 , 291
2
ORD - 202 & 014
Total Solid Waste Operations Enterprise Fund $ 139311 , 291
S orts lex Operations Enterprise Fund
Community Services $5 , 752 , 738
Transfer to Other Funds $200 , 000
Total S orts lex Operations Enterprise Fund $ 5 , 9521738
CHCCS District Tax Fund
Education $30 , 149 , 797
Total CHCCS District Tax Fund $ 302149 , 797
Parks Capital Reserve Fund
Community Services $ 10 , 500
Total Parks Capital Reserve Fund $10,1500
Oran e=Person -Chatham Retiree Health Fund
Support Services $25 , 000
Total Orange-Person- Chatham Retiree Health Fund $255000
DSS Trust Fund
Human Services $260 , 000
Total DSS Trust Fund $ 2603000
Jail Inmate Trust Fund
Public Safety $ 3151000
Total Jail Inmate Trust Fund $ 3153000
4= H Fund
Community Services $35 , 700
Total 4=H Fund $ 359700
Debt Service Fund
Debt Service $40 , 891 , 141
Total Debt Service Fund $40 , 891 , 141
Inspections Fund
Community Services $ 1 , 7831276
Total Inspection Fund $ 1 , 7835276
Community Giving Fund
General Government $ 90 , 000
Total Community Giving Fund $ 90 , 000
Section III . Revenues
The following fund revenues are estimated to be available during the fiscal year beginning
July 1 , 2026 and ending June 30 , 2027 , to meet the foregoing appropriations :
Function Appropriation
General Fund
Property Tax $231 , 885 , 287
Sales Tax $45 , 346 , 787
Licenses & Permits $2125000
Intergovernmental $23 , 145 , 082
Charges for Services $ 15 , 971 , 934
Investment Earnings $ 1 , 800 , 000
Miscellaneous $ 1 , 393 , 160
3
ORD- 2026 - 014
Transfers from Other Funds $242 , 941
Appropriated Fund Balance $7 , 068 , 892
Total General Fund $327, 066, 083
Emergency Telephone System Fund
Charges for Services $4331577
Total EmeTency Telephone System Fund $433, 577
Employee Health and Dental Fund
General Government Revenue $ 16 , 874 , 504
From General Fund $4 , 5311640
Total Employee Health and Dental Fund $21, 406, 144
Fire Districts
Property Tax $ 12 , 145 , 593
Interest on Investments $ 17 , 100
Total Fire Districts Fund $ 12, 162, 693
Housing Choice Voucher Fund
Intergovernmental $ 9 , 026 , 000
Interest on Investments $ 15 , 000
Total Housing Choice Voucher Fund $9, 041, 000
Visitors Bureau Fund
Occupancy Tax $2 , 332 , 982
Sales & Fees $47 , 280
Intergovernmental $961897
General Government Revenue $ 166 , 312
Total Visitors Bureau Fund $2, 643, 471
Solid Waste Operations Enterprise Fund
Sales & Fees $ 10 , 970 , 659
Intergovernmental $4591640
Miscellaneous $631600
Interest on Investments $ 135 , 000
Appropriated Fund Balance
$ 116821392
Total Solid Waste Operations Enterprise Fund $ 13, 3119291
S orts lex Operations Enterprise Fund
Charges for Services $ 5 , 952 , 738
Total S orts lex Operations Enterprise Fund $5, 9521738
i
Chapel Hill -Carrboro City Schools District Tax Fund �
Property Tax $30 , 149 , 797
Total Chapel Hill- Carrboro City Schools District Tax Fund $30, 149, 797
Parks Capital Reserve Fund
Miscellaneous $ 10 , 500
Total Parks Capital Reserve Fund $ 10, 500
Orange - Person -Chatham ( OPC ) Retiree Health Fund
Interest on Investment $251000
Total OPC Retiree Health Fund $255000
DSS Trust Fund
General Government Revenue $2601000
Total DSS Trust Fund $260, 000
4
I
ORD- 202 & 014
Jail Inmate Trust Fund
Miscellaneous $315 , 000
Total Jail Inmate Trust Fund $315.1000
4= H Fund
General Government Revenue $ 15 , 700
Charges for Services $ 15 , 000
Appropriated Fund Balance $ 5 , 000
Total 4-H Fund $35, 700
Debt Service Fund
Intergovernmental Revenue $371 , 091
From General Fund $40 , 494 , 842
Appropriated Fund Balance $25 , 208
Total Debt Service Fund $40, 891, 141
Inspections Fund
Charges for Services $ 1 , 616 , 351
Appropriated Fund Balance $ 166 , 925
Total Inspections Fund $ 1, 783, 276
Community Giving Fund
Donations $ 90 , 000
Total Community Giving Fund $90, 000
Section IV. Tax Rate Levy
There is hereby levied for the fiscal year 202&27 a general county-wide tax rate of 68 . 05
cents per $ 100 of assessed valuation . This rate shall be levied in the General Fund .
Special district tax rates are levied as follows :
Cedar Grove 7 . 54
Greater Chapel Hill Fire Service District 11 . 50
Damascus 11 . 50
Efland 838
Eno 10 . 71
Little River 6 . 35
New Hope 12 . 50
Orange Grove 7 . 00
Orange Rural 9 . 21
South Orange Fire Service District 8 17
Southern Triangle Fire Service District 11 . 50
White Cross 14 . 00
5
ORD- 2026 - 014
Chapel Hill - Carrboro City School District I 14 . 79
Section V. General Fund Appropriations for Local School Districts
The following FY 2026 -27 General Fund Appropriations for Chapel Hill -Carrboro
City Schools and Orange County Schools are approved :
a ) Current Expense appropriation for local school districts totals $ 116 , 314 , 680 and
equates to a per pupil allocation of $6 , 290 ,
1 ) The Current Expense appropriation to the Chapel Hill - Carrboro City
Schools is $67 , 560 , 890 .
2 ) The Current Expense appropriation to the Orange County Schools is
$48 , 753 , 7900
b) School Related Debt Service for local school districts totals $23 , 297 , 056 ,
c) Additional County funding for local school districts totals $ 10 , 968 , 174
• School Resource Officers and School Health Nurses Contracts - total
appropriation of $4 , 248 , 550 to cover the costs of School Resource Officers in
every middle and high school , and a School Health Nurse in every
elementary , middle , and high schools in both school systems .
• Pay-as-you -go Funding — total pay- as-you-go funding of $6 , 683 , 624 to cover
recurring capital funding at both school districts and planning and design
funds for bond projects .
• Enrollment Projections — total funding of $ 36 , 000 to contract with Carolina
Demography to provide enrollment projects for both districts . This is utilized in
the annual SAPFO process and is used to guide capital planning .
Section VI . Schedule B Privilege Licenses
I
In accordance with Schedule B of the Revenue Act , Article 2 , Chapter 105 of the North
Carolina State Statutes , and any other section of the General Statutes so permitting , there
are hereby levied privilege license taxes in the maximum amount permitted on businesses , E
trades , occupations or professions which the County is entitled to tax .
Section VII . Board of Commissioners' Compensation
The Board of County Commissioners authorizes that :
• For fiscal year 2026-27 , the approved budget includes a 2 % wage increase and
Merit Pay .
• The salaries for the positions of Chair , Vice -Chair and Commissioner , including the
2 % wage increase are $31 , 784 , $ 26 , 495 and $25 , 495 respectively .
• Annual compensation for County Commissioners will include the County
contribution for health insurance , dental insurance and life insurance that is
provided for permanent County employees , provided the Commissioners are
eligible for this coverage under the insurance contracts and other contracts
affecting these benefits .
• Merit Pay for County Commissioners is received as a one-time bonus each year
and payable in December .
6
ORD - 202 & 014
• County Commissioners ' compensation includes eligibility to continue to participate
in the County health insurance at term end as provided below :
o If the County Commissioner has served less than two full terms in office
( less than eight years) , the Commissioner may participate by paying the
full cost of such coverage . ( If the Commissioner is age 65 or older ,
Medicare becomes the primary insurer and group health insurance ends . )
o If the County Commissioner has served two or more full terms in office
(eight years or more) , the County makes the same contribution for health
insurance coverage that it makes for an employee who retires from Orange
County after 20 years of consecutive County service as a permanent
employee . If the Commissioner is age 65 or older, Medicare becomes the
primary insurer and group health insurance ends . The County makes the
same contribution for Medicare Supplement coverage that it makes for a
retired County employee with 20 years of service .
o Annual compensation for Commissioners will include a County contribution
for each Commissioner to the Deferred Compensation (457) Supplemental
Retirement Plan that is the same as the County contribution for non - law
enforcement County employees in the State 401 ( k) plan . For fiscal year
2026-27 , the approved budget continues the County contribution of $ 104
per pay period .
• Commissioners are eligible for car, phone and internet allowances at $200 , $85
and $75 per month respectively . Car Allowance covers all in- county travel for
commissioners . Commissioners may be reimbursed for out-of-county travel
according to the Orange County Travel Policy .
Reduction in Force — To avoid tax increases , the Manager recommends that the Orange
County Board of Commissioners declare that a reduction in force is necessary that will
result in the deletion of one position .
Section Vill . Budget Control
General Statutes of the State of North Carolina provide for budgetary control measures
to exist between a county and public school system . The statute provides :
Per General Statute 115C =429 .
(c) The Board of County Commissioners shall have full authority to call for, and the
Board of Education shall have the duty to make available to the Board of County
Commissioners , upon request , all books , records , audit reports , and other
information bearing on the financial operation of the local school administrative
unit .
The Board of Commissioners hereby directs the following measures for budget
administration and review :
That upon adoption , each Board of Education will supply to the Board of County
Commissioners a detailed report of the budget showing all appropriations by
function and purpose , specifically to include funding increases and new program
funding . The Board of Education will provide to the Board of County
Commissioners a copy of the annual audit , monthly financial reports , copies of all
7
0RD - 2026 -014
budget amendments showing disbursements and use of local moneys granted to
the Board of Education by the Board of Commissioners .
The Board of Commissioners hereby approves the following financial policies :
• The County will initiate measures to recoup sales tax proceeds on school capital
projects through the conveyance of school property to the County , with the
disposition of such property determined in accordance with applicable
agreements and County policy .
• The County will ensure that all monthly general ledger postings occur by the 10th
work day of each month .
• The County will ensure that monthly financial reports are available by the 15th
work day of each month .
• The County will not issue debt for a project until a bid award date and
construction start date is established .
• Whereas , it is a best practice for governments to account for capital assets
separate from their operating funds , and ; Whereas , enterprise funds generally
establish Renewal and Replacement Capital Funds to account for the acquisition
of capital assets ; Therefore ,
a . The Solid Waste Renewal and Replacement Capital Fund is established
to account for sources of income earmarked to fund the County Capital
Investment Plan . Sources of income including debt financing proceeds ,
pay- as-you -go funds , and any other sources earmarked to finance
acquisition of capital assets .
b . The Sportsplex Renewal and Replacement Capital Fund is established to
account for sources of income earmarked to fund the County Capital
Investment Plan . Sources of income including debt financing proceeds ,
pay-as-you -go funds , and any other sources earmarked to finance
acquisition of capital assets .
• Whereas , the County intends to undertake Capital Projects as approved in Year
1 ( FY 202&27 ) of the Capital Investment Plan , will use its own funds to pay initial
Project costs , and then reimburse itself from financing proceeds for these early
expenditures . The expected primary type of financing for the Projects is
installment financing under Section 160A-20 . The financing may include more
than one installment financing , and may include installment financings with
equipment vendors and installment financings that include the use of limited
obligation bonds . The Manager and Finance Officer have advised the Board that
it should adopt this resolution to document the County ' s plans for reimbursement ,
in order to comply with certain federal tax rules relating to reimbursement from
financing proceeds .
• The Community Loan Fund will issue no interest loans to recipients in this
program .
• The County has adopted a policy to fund no interest loans to Non - Profit
organizations that meet certain financial criteria , as adopted on September 20 ,
2018 .
• The Governmental Accounting Standards Board (GASB) established GASB
Statement Number 87 for Leases and GASB 96 for Subscription - Based
Information Technology Arrangements ( SBITAs) . The purpose of these two
statements are to provide uniform accounting and financial reporting on
government entities ' financial statements .
• To effectively comply with GASB 87 and 96 , the County will establish a
capitalization threshold for Leases and SBITAs of $ 50 , 000 or higher . Leases and
SBITAs at $ 50 , 000 and higher will be reported on the County ' s financial
statements to meet the GASB requirements .
8
0RD - 2026- 014
Section IX . Internal Service Fund - Health and Dental Insurance Fund
The Health and Dental Insurance Fund accounts for receipts of premium payments from
the County and its employees , employees for their dependents , all retirees and the
payment of employee and retiree claims and administration expenses . Projected receipts
and fund reserves from the County and employees for fiscal year 2026 -27 will be
$21 , 406 , 144 and projected expenses for claims and administration for fiscal year 2026-27
will be $21 , 406 , 144 .
Section X. Other Post Employment Benefits Fund
Orange County , North Carolina
Other Post- Employment Benefits (OPEB ) Investment and Funding Policy
• Each fiscal year the County funds its OPEB benefits coming due to current retires on
a pay-as—you -go ( PAYGO ) basis from the Health and Dental Fund .
• The Finance Officer will regularly evaluate the appropriate allocation of such OPEB
investments between Equities , Long -term Bonds and Shorter-term investments and
make adjustments as necessary .
Section XI . Custodial Funds
Custodial Funds are used to report any fiduciary activities not reported in Investment
Trust or Private- Purpose Trust Funds . In North Carolina , examples of Custodial Funds
are the Jail Inmate Fund , and the property taxes collected by the County on behalf of a
municipality (the Chapel Hill -Carrboro City Schools District Tax Fund ) .
Section XI1 . Encumbrances
Operating funds encumbered by the County as of June 30 , 2026 are hereby
reappropriated to this budget .
Section XIII . Capital Projects & Grants Fund
The County Capital Improvements Fund , Schools Capital Improvements Fund , Proprietary
Capital Funds , and the Grant Projects Fund are hereby authorized . Appropriations made
for the specific projects or grants in these funds are hereby appropriated until the project
or grant is complete .
a . The County Capital Projects Fund FY 2026 -27 budget , with anticipated fund
revenues of $24 , 409 , 968 and project expenditures of $24 , 409 , 968 is hereby
adopted in accordance with G . S . 159 by Orange County for the fiscal year
beginning July 1 , 2026 , and ending June 30 , 2027 , and the same is adopted by
project .
b . The Proprietary Capital Funds FY 2026-27 budget , consisting of Water and Sewer
Utilities , Solid Waste , and Sportsplex , with anticipated fund revenues of
$2 , 484 , 636 and project expenditures of $2 , 484 , 636 is hereby adopted in
accordance with G . S . 159 by Orange County for the fiscal year beginning July 1 ,
2026 , and ending June 30 , 2027 , and the same is adopted by project .
i . The Solid Waste Renewal and Replacement Capital Fund FY 2026-27 budget ,
with anticipated sources of income of $ 544 , 636 and anticipated expenditures
9
ORD- 2026- 014
of $ 544 , 636 is hereby adopted in accordance with G . S . 159 by Orange County
for the fiscal year beginning July 1 , 2026 , and ending June 30 , 2027 .
ii . The Sportsplex Renewal and Replacement Capital Fund FY 2026-27 budget ,
with anticipated sources of income of $ 1 , 940 , 000 , and anticipated
expenditures of $ 1 , 940 , 000 is hereby adopted in accordance with G . S . 159 by
Orange County for the fiscal year beginning July 1 , 2026 , and ending June 30 ,
2027 .
c . The School Capital Projects Fund FY 2026-27 budget , with anticipated fund
revenues of $ 112 , 524 , 049 , and project expenditures of $ 112 , 524 , 049 is hereby
adopted in accordance with G . S . 159 by Orange County for the fiscal year
beginning July 1 , 2026 , and ending June 30 , 2027 , and the same is adopted by
project .
Revenues
Function A ro riation
Article 43 Sales Tax Proceeds $ 3001000
Article 46 Sales Tax Proceeds $ 3 , 422 , 783
Contributions from Other Infrastructure Partners $ 130 , 057
Debt Financing $22 , 031 , 775
Debt Financing - Bond Proceeds $ 961100 , 000
Debt Financing - School Improvements $4 , 608 , 678
Debt Financing - Solid Waste $5441636 I
Debt Financing - S orts lex $ 1 , 740 , 000
Grant Funding $349 , 335
Lottery Proceeds $ 11807 , 908
I
Partner Funding - County Capital $4181588
Register of Deeds Fees $ 801000
S orts lex Funds $2001000
Transfer from General Fund $ 7 , 649 , 893
Transfer from Other Funds $35 , 000
Total Capital Fundsl $ 139, 418, 653
Appropriations
Function Appropriation
Count
County Assets and Communii Centers $211782 , 731
Information Technology $ 197 , 128
Parks , Open Space , and Trail Development $531 , 000
Public Safety $ 1 , 899 , 109
i
County Total $ 24 , 409 , 968
Proprietary
Solid Waste $ 544 , 636
S orts lex $ 1 , 940 , 000
lProprietary Total $ 2 , 4841636 j
i
10
I
ORD- 202 &014
School
Chapel HilkCarrboro City Schools $ 55 , 889 , 071
Orange County Schools $55 , 634 , 978
Project Management $ 11000 , 000
School Total $ 112 , 524 , 049
Total Capital Funds $ 139, 418, 653
The County Grant Projects Fund FY 202 &27 budget , with anticipated fund revenues of
$284 , 500 , and project expenditures of $284 , 500 , is hereby adopted in accordance with
G . S . 159 by Orange County for the fiscal year beginning July 1 , 2026 , and ending June
301 2027 , and the same is adopted by project .
Revenues
Function Appropriation
Intergovernmental $ 184 , 500
Donations $ 100 , 000
Total Grants Fund, $284, 50
Appropriations
Function Appropriation
Master Aging Plan ( Department on Aging ) $65 , 000
Transfer to County Capital $35 , 000
Local Reentry Council Grant ( Criminal Justice $ 150 , 000
Resource Department)
Drug Treatment Court (Criminal Justice Resource $34 , 500
Department)
Total Grants Fun $284, 50
The Article 46 Sales Tax Fund FY 2026-27 budget , with anticipated fund revenues of
$ 6 , 647 , 678 and project expenditures of $6 , 647 , 678 , is hereby adopted in accordance with
G . S . 159 by Orange County for the fiscal year beginning July 1 , 2026 , and ending June
30 , 2027 , and the same is adopted by project .
Revenues
Function Appropriation
Sales Tax $6 , 647 , 678
Total Article 46 Fund $6, 647, 678
Appropriations
Function Appropriation
Transfer to School Capital Fund $ 35323 , 839
Transfer to County Capital Fund $985944
Economic Development $ 3 , 224 , 895
11
ORD - 2026 -014
Total Article 46 Fund $6, 647, 678
The Community Development Fund FY 2026 -27 budget , with anticipated fund revenues
of $ 1 , 595 , 360 and project expenditures of $ 1 , 595 , 360 , is hereby adopted in accordance
with G . S . 159 by Orange County for the fiscal year beginning July 1 , 2026 , and ending
June 30 , 2027 , and the same is adopted by project .
Revenues
Function Appropriation
Intergovernmental $ 1 , 067 , 563
Transfer from General Fund $ 5141491
Program Income $ 13 , 306
Total Community Development Fund $ 1, 595, 360
Appropriations
Function Appropriation
Human Services $ 1 , 595 , 360
Total Community Development Fund $ 1, 595, 360
I
I
The Opioid Settlement Fund FY 2026 -27 budget , with anticipated fund revenues of
$ 1 , 002 , 082 and project expenditures of $ 1 , 002 , 082 , is hereby adopted in accordance
with G . S . 159 by Orange County for the fiscal year beginning July 1 , 2026 , and ending
June 30 , 2027 , and the same is adopted by project .
Revenues f
Function Appropriation
Intergovernmental $ 11002 , 082 '
Total Opioid Settlement Fund $ 1, 002.y082
i
Appropriations
Function Appropriation
Lantern Project $2091859
Freedom House $ 851907
NC FIT $ 37 , 059
a
Post-Overdose Response Team $ 3691185
Harm Reduction Coordinator $68 , 425
CJRD Clinical Coordinator $ 114 , 861
El Futuro $661310
UNC Student Wellness $ 101000
Behavioral Health Director $ 391964
Unallocated $ 512
Total Opioid Settlement Fund $ 1, 002, 082
Any capital project or grant budget previously adopted , the balance of any anticipated ,
but not yet received , revenues and any unexpended appropriations remaining on June
301 2026 , shall be reauthorized in the FY 2026-27 budget .
1
12
ORD - 202 & 014
Section XIV, Contractual Obligations , Settlement, and Disposal of Property
The County Manager is hereby authorized to approve contracts and execute contractual
documents and dispose of property under the following conditions :
a . The Manager may approve and execute contracts for construction or repair projects
that do not require formal competitive bid procedures , and which are within budgeted
departmental appropriations , for which the amount to be expended does not exceed
$25070000
b . The Manager may approve and execute contracts for general and/or professional
services which are within budgeted departmental appropriations , for purchases of
apparatus supplies and materials or equipment which are within the budgeted
departmental appropriations , and for leases of property for a duration of one year or less
and within budgeted departmental appropriations for which the amount to be expended
does not exceed $90 , 000 .
c . The Manager is authorized to execute contracts , their amendments and extensions , in
amounts otherwise reserved for Board approval and execution by the Chair , up to the
Board -approved budgetary amount for a project or service that has been approved by
the Board of County Commissioners in the current year budget . This section does not
apply to projects in which the Board must approve and award a bid .
d . Contracts executed by the Manager shall be pre-audited by the Chief Financial Officer
and reviewed by the County Attorney to ensure compliance in form and sufficiency with
North Carolina law .
e . The Manager may sign intergovernmental grant agreements regardless of amount as
long as no expenditure of County matching funds , not previously budgeted and
approved by the Board , is required . Subsequent budget amendments will be brought to
the Board of County Commissioners for revenue generating grant agreements not
requiring County matching funds as required for reporting and auditing purposes .
f. Upon the Manager' s determination that certain property is surplus the Manager may
dispose of County personal property consisting of one item or a group of similar items
having a value of less than $30 , 000 . In disposing of the property the Manager may
utilize any lawful method of disposal including and not limited to private or public sale ,
exchange , auction , etc . The Manager shall seek fair market value for the property .
Consideration may consist of items and things other than currency . The Manager shall
keep a record of all property sold under this section and that record shall generally
describe the property sold or exchanged , to whom it was sold , or with whom exchanged ,
and the amount of money or other consideration received for each sale or exchange .
g . The Manager is authorized to approve and execute leases of County property for a
term not exceeding one year. Such leases of County property may not be extended
beyond one year except by action of the Board of Commissioners .
h . The County Manager is authorized to accept personal property donations to the
County valued at $ 10 , 000 or less without requiring Board of Commissioners approval .
Donations exceeding this threshold shall be reviewed and approved by the Board .
i . The Manager may approve and execute the settlement of lawsuits , claims , and legal
disputes having a dollar value that does not exceed $25 , 000 . The Manager may , with
concurrence of the County Attorney , approve and execute the settlement of lawsuits ,
13
ORD- 2026 - 014
claims , and legal disputes having a dollar value between $25 , 000 and $ 100 , 000 . If the
County Attorney does not concur with any settlement the County Attorney and County
Manager shall consult with the Board of Commissioners on such settlements .
Regardless of the preceding delegation of authority , the Board of Commissioners
reserves unto itself the exclusive authority to settle any action having a dollar value in
excess of $ 100 , 000 ,
Section XV. Micro - purchase Threshold
a . In accordance with 2 C . F . R . § 200 . 320 ( a) ( 1 ) ( iv) and the applicable provisions of North
Carolina law , the County hereby self-certifies the following micro- purchase thresholds ,
each of which is a " higher threshold consistent with State law" under 2 C . F . R . §
200 . 320 ( a) ( 1 ) ( iv) ( C ) for the reasons set forth in the recitals to this resolution :
1 . $30 , 000 , for the purchase of " apparatus , supplies , materials , or equipment" ;
and
2 . $ 30 , 000 , for the purchase of " construction or repair work" ; and
3 . $50 , 000 , for the purchase of services not subject to competitive bidding under
North Carolina law ; and
4 . $50 , 000 , for the purchase of services subject to the qualifications- based
selection process in the Mini - Brooks Act ; provided that such threshold shall apply
to a contract only if the County has exercised an exemption to the Mini - Brooks Act ,
in writing , for a particular project pursuant to G . S . 143-64 . 32 . If the exemption is
not authorized , the micro-purchase threshold shall be $0 .
b . The self- certification made herein shall be effective as of the date hereof and shall be
applicable until June 30 , 2026 . I
i
l
c . In the event that the County receives funding from a federal grantor agency that adopts
a threshold more restrictive than those contained herein , the County shall comply with the
more restrictive threshold when expending such funds .
d . The County shall maintain documentation to be made available to a Federal awarding
agency , any pass-through entity , and auditors in accordance with 2 C . F . R . § 200 . 334 .
e . For purchases made with federal grant or federal program funds , the County follows
the federal procurement requirements established in 2 CFR Part 200 and the Federal
Acquisition Regulation ( FAR) .
The Federal Simplified Acquisition Threshold ( SAT) is the dollar amount below which a '
streamlined purchasing process may be used . Effective October 1 , 2025 , the Federal SAT
was increased from $250 , 000 to $350 , 000 ,
For purchases of $350 , 000 or less , the County may use small purchase procedures , which
generally require obtaining price or rate quotes from an adequate number of qualified
vendors to ensure competition and reasonable pricing . For purchases exceeding
$ 350 , 000 , the County must use a formal competitive procurement process , such as sealed j
bidding or competitive proposals , in accordance with applicable federal regulations .
f. The Chief Financial Officer of the County is hereby authorized to revise the Purchasing
Policy of the Unit to reflect the increased micro- purchase thresholds specified herein as
necessary , and to take all such actions to carry into effect the purpose and intent of the
foregoing resolution .
14