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included in the budget or not. These adjustments happen all through the year based on employee <br /> performance. <br /> Mark Sheridan asked for the current tax rate and John Link said 80.5 cents. <br /> Mayor Foy verified that the County took $2.4 million from the fund balance this year and $3.5 <br /> million last year and asked about the difference. John Link said that the interest rate has decreased the <br /> investment earnings and he is only comfortable with recommending $2.4 million. Things may improve <br /> and he may recommend something higher. <br /> Mayor Foy asked if last year was unusual and John Link said that we have been building a fund <br /> balance to help offset the debt service from the 1997 bond. <br /> Mayor Foy asked for a clarification about the growth in tax base and the tax base lost because of <br /> Carol Woods. It was answered that there is not an actual increase in what Carol Woods is actually <br /> contributing. <br /> Ed Harrison asked if the County anticipates the contribution of Carol Woods to change based on <br /> the tax rate per year. John Link said that he would not expect it to decrease. <br /> Diana McDuffee made reference to borrowing funds from the affordable housing trust and delaying <br /> the contribution to the affordable housing initiative for one year and asked that John Link make <br /> comments about the impact on affordable housing if this happens. John Link said that he feels the <br /> County will still move ahead on providing affordable housing. The bond will provide $1.3 million for <br /> affordable housing for next year. <br /> Chair Jacobs said that these funds are County funds set aside for affordable housing. If we do <br /> borrow it, we are borrowing from ourselves with the intention of replenishing it. We know that we will <br /> have bond money for the affordable housing initiative. <br /> Mark Sheridan asked if it is the intention of the County Commissioners to put this money back in for <br /> affordable housing. Chair Jacobs said that it was the County Commissioners' intention to pay the money <br /> back to the fund. <br /> Commissioner Brown verified that the numbers presented are only for programs or reimbursements <br /> that have specifically had money held. <br /> Commissioner Brown asked about debt service. Finance Director Ken Chavious said that last July <br /> we sold $17.5 million in bonds, which accounts for the debt service. <br /> Mayor Foy said that the Town of Chapel Hill will have an increase in workers compensation <br /> premiums and asked if Orange County will have an increase and John Link said yes. <br /> Chair Jacobs made reference to affordable housing and said that we did get state funding for the <br /> Urgent Home Repair Fund, but we do not get it anymore. We are paying for it out of the monies set <br /> aside and we hired somebody to administer that program. Therefore, we are not doing anything less but <br /> we are just trying to do it in a different way. <br /> Chapel Hill <br /> Cal Horton, Chapel Hill Town Manager, said that the Town's budget would be about $50 million. <br /> They had to cut $1 million out of the budget. Next year's budget has no pay increases in it. The budget <br /> also includes the full year costs of the pay study that was done last year. He said that they hope that the <br /> reimbursements will be forwarded to them from the state for next year. At this point, their tax rate <br /> increase will be 6.6 cents. To put it in perspective, the State could impound $3 million of their funds, <br />