Minutes - 05-24-2001 - Laserfiche WebLink

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Recommended new staff - 10.5 general fund positions and 2 Solid Waste positions. Chapel Hill-Carrboro City School District tax rate is set at 20.2 cents, an increase of 2 cents over the equivalent post-revaluation rate. John Link said that Orange County remains strong in its financial condition. Orange County ranks 5th in the state for revenue collections. Orange County has also retained a healthy fund balance. Regarding the other funding sources, the one-cent sales tax growth remains strong at 6.5 to 7 percent. The half-cent sales taxes have grown 4 to 5 percent. The North Carolina County Commissioners Association is recommending that all counties budget far full reimbursement from the State for inventory and intangible taxes. Investment earnings are the equivalent of 2 cents an the property tax rate. The total recommendation for funding for education is $57.9 million, which is a $4 million increase. This includes addressing an increase of 724 new students, including projected charter school students. It also addresses increases in school debt resulting from recent sales of certificates of participation for Cedar Ridge High School and 1997 voter approved school bonds. He explained a chart, which showed the disparity of growth between the two school systems. The Chapel Hill- Carrboro school system has grown significantly more in terms of students than the Orange County school system. The recommendation far education funding includes 49.2°~ of the general fund compared to the target of 48.1 %. One-half cent has been shifted to current expense from the normal 3-cent earmarking for recurring capital. Both systems will receive about the same amount of recurring capital. This shift allowed for the $42 per pupil increase compared to a $15 per pupil increase, all other elements being equal in the budget. He explained the per pupil allocations of each district. The total amount funded of what was requested by the Chapel Hill-Carrboro system was 93% and for the Orange County system was 88.6°Io. There is a need for the Orange County system to examine the possibility of a district tax, at least in the short term. The recommended budget includes phase one of the school health nurse initiative. This equates to $154,000. Based on the phased-in approach, two nurses would go to the Chapel Hill- Carrboro system and one nurse to the Orange County system. The Human Services issues are as follows: • Increases in Medicaid cost • Urgent Hame Repair program -County will assume this responsibility • Mental Health funding -increased by $95,000 • Child care subsidies reserve to address waiting lists -additional $50,000 recommended. This is for the Board to consider as a challenge to other jurisdictions and to the University. Regarding employee compensation, the Board confirmed the directions but the actual percentages will be addressed as part of the budget deliberations. The recommendations include a 2.5°~ cost of living increase effective July 1, 2001; continuation of in-range salary progression of 2.5% for proficient or higher; increase in 401 (k} plan contribution from $15 to $20 per pay period; and funding far Classification and Pay Plan study. Recently the Board discussed the recommendations for new staff resources. These resources address the following issues: • Health and safety of diverse and low-income citizens • Improved response in managing major emergency incidents • Timely and mare thorough inspections of residents' home construction projects • Environmental compliance inspection for public health • Comprehensive planning for Orange County's future • Diversity and retention challenge of County employees