Agenda - 11-17-1998 - 10b - Laserfiche WebLink

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Technical Report 24 inaccurate, based on the updated student generation rates obtained in the 1995 Study of Housing Characteristics and Student Generation Rates for Orange County. One way to account for these differences is to subtract the number of school age children per household from the number of persons per household using 1990 Census data. As shown below, the difference between the two figures is approximately 2.0 persons per household. Persons School Age Children School District Per Household Per Household Difference Orange County 2.59 0.45 2.14 Chapel Hill - Carrboro 2.22 0.29 1.93 To obtain estimates of the number of persons per household, the updated student generation rates are added to the "differences" above. For the Orange County School District, the estimated number of persons per household is 2.47 (2.14 + 0.33). For the Chapel Hill- Carrboro School District, the estimate is 2.56 persons per household (1.93 + 0.63). By multiplying the per capita figure of $430 by the number of persons per household, it is possible to identify the amount of credit to be given to each new housing unit for payment of sales taxes. As an example, the estimated number of persons per household in the Orange County School District is 2.47. Multiplied by the per capita figure of $430, a household would be expected to contribute $1,061 in sales tax revenues toward the construction of new schools. If the total capital cost per household for new public school needs is $7,323, the family would be credited with the payment of $1,061, thus reducing the impact fee to $6,261. The calculation of "credits" for sales tax contributions is shown on Table 12. Grants. Grants from the State are provided to local governments in the form of Public School Building Funds. These funds come from corporate income taxes, a portion of which is returned to counties for school construction purposes. As shown in Table 9, Orange County expects to receive an annual average grant of $734,160 from FY 1996 -97 to FY 2005 -06, the school improvement program period. For the same ten -year period, the average daily school attendance in both school systems is expected to be 14,896 students. This figure is based on annual daily school membership projections by the N.C. Department of Public Instruction and means that the average per student revenue anticipated from this source during the school improvement program period is $49. To calculate the present value of the per student revenues, the same assumptions regarding interest rate and term are used as employed for sales tax revenues; i.e., a 5.5 percent interest rate and ten - year term. The multiplier from the present value table in Table 10 would again be 7.53763, resulting in a present value for the $49 annual per capita sales tax payment for 10 years of $369 ($49 x 7.53763). The per capita figure of $369 can be converted to a per household figure by use of the student generation rates from Table 1. As an example, the number of students per household expected in the Orange County School District is 0.33. Multiplied by the per capita figure of $369, a household would be expected to generate $122 in Public School Building Fund revenues. If the total capital cost per household for new public school needs is $7,323, the family would be credited with the