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identified and preserved. The collaboration work group asked that a letter be sent to the towns to this effect. There has been a response from Carrboro only. Dennis Whitling said that the OCS Board met with the Tawn of Hillsborough and discussed this topic, and the two boards were on the same page. He said that OCS is moving forward with the Town of Hillsborough on some ideas. Chair Carey asked about a proposed meeting with the Town of Mebane and Dennis Whitling said that there are plans to do this. Superintendent Pedersen asked about next steps after they get responses and contacts and who would take the lead in this process. Chair Carey said that the Board has not discussed this yet. He said that once contacts have been identified then Orange County staff could facilitate the first meeting with all the entities. Commissioner Gordon made reference to a handout she distributed at the County Commissioners' meeting on March 27th. She said that the general idea of these groups getting together was implemented by the Schools and Land Use Council years ago. The SLUC initiated the Schools Adequate Public Facilities Ordinance. She said that she supports this general idea of land banking. She said that there was a school/parks reserve fund atone time, where the County Commissioners had set aside one cent on the property tax for land-banking, but the Commissioners eventually stopped allocating money to it. She said that if this group meets, there should be discussion about how the sites will be purchased. Commissioner Jacobs suggested that OCS get with the Planning Department, who did a fiscal analysis of the Collins property. The developer has not committed to any commercial density, which may convert to more residential density and would have more of an adverse impact on the school system. Chair Carey asked the Manager and Planning Director to share this document with the school boards. c. Capital Funding Policy, Including Lottery Proceeds Laura Blackmon said that on April 24th the Board of County Commissioners approved the capital funding policy, which included the updated position on the lottery proceeds. The Board decided to came back in the fall and do the ten-year capital improvement plan. The Board approved budgeting the lottery proceeds in arrears for renovation projects or debt service. Chair Carey said that this policy, as it relates to the lottery proceeds, has been discussed in the school collaboration work group at least twice. Ted Triebel said that he did not see before now that the N.C. Department of Public Instruction (page two} has said that the County could request lottery funds before actually spending them as long as the County anticipates making the expenditure within the fiscal year. He said that he understands this to say that they are going to get funds and bank them far a year, and then expend them. He asked for clarification on this. Donna Coffey said that by statute the lottery commission is to make four deposits into the account in any format that they want -not necessarily every quarter. She said that the County can request as much money as it wants, but it will not get it until the money is in the account. The funds need to be expended within the year. She clarified that the funds do draw interest at the state level. Several school board members asked clarifying questions, which were answered by Donna Coffey and Laura Blackmon. Jamezetta Bedford thanked the Board of County Commissioners for giving the school boards the flexibility on how to use the funds. She made reference to page seven and the construction management function. She asked if there was a fairer way to allocate funds rather than the number of students. Dennis Whitling agreed.