Agenda 01-16-24; 8-a - Minutes - Laserfiche WebLink

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36 1 bond rate, which fluctuates with the economy. He said that right now Orange County is in a good 2 place, but it could drop in the future. 3 Commissioner Fowler asked what impact the rate has on the county, such as interest rates 4 for debt financing. She also asked what the requirements are for funding OPEB. She asked if it 5 was just a policy. 6 Travis Myren said it has no impact on any other rates. 7 Youveak Yeng said the county could adopt a formal OPEB funding policy where there is 8 a funding strategy for a number of years and then draw down on it eventually. 9 Chair Bedford said that there is a county resolution to contribute the projected pay as you 10 go financing requirements with an additional amount to be determined annually by the Board. 11 Commissioner Greene said the Board has an opportunity to discuss it each year as part 12 of the budget process. 13 Commissioner Hamilton said the numbers are a projection, which are subject to change. 14 She said it makes sense to have some committed fund balance for times when the OPEB 15 payments are higher. She said she thinks the county policy is appropriate, but the county should 16 continue to pay attention. She said that having the funds in committed fund balance is being 17 fiscally responsible. 18 Vice-Chair McKee said he wanted to see cost projections. He said that he brings it up 19 each year because he does not want the county to be in a difficult financial position. He said the 20 county made promises to employees and he wants to keep those promises. 21 Bonnie Hammersley said the liability in 2014 was $160 million. She said she thinks the 22 decrease is due to the interest rate. She said they have not seen a big increase in the pay as you 23 go amount each year due to the benefit changes in 2012. She said the pay as you go amount in 24 the budget each year has been around $3 million. She said because of the strength of the 25 economy in our area, the risk of needing to use the funds in the irrevocable trust is slim. 26 Chair Bedford asked if there are any changes expected due to the pandemic. 27 Youveak Yeng said that the pandemic was a short event, and their studies are long range, 28 so there likely was not a significant impact. 29 Commissioner Hamilton said so much of the study is based on assumptions with the state. 30 She said that it is important for the county to pay attention to the county's data and costs. 31 Chair Bedford said that having this information makes her less likely to take funds intended 32 for OPEB to pay for other programs or issues. 33 Vice-Chair McKee said that it is always his fear that the amount will be used to fund other 34 priorities. 35 Commissioner Hamilton said hopefully no Board would take aways those funds since 36 those funds are related to benefit promises that attract employees. 37 Vice-Chair McKee said the 2012 benefit changes meant that employees stayed longer at 38 the county in order to receive post-retirement benefits. He said that future circumstances might 39 change the response of the county to this liability. He said his concern is that the county is able 40 to meet their promise. 41 42 4. Chapel Hill Orange County Visitors Bureau Advisory Board —Appointments Discussion 43 The Board considered appointments to the Chapel Hill Orange County Visitors Bureau Advisory 44 Board. 45 46 BACKGROUND: The Chapel Hill Orange County Visitors Bureau Advisory Board is charged with 47 developing and coordinating visitor services in Orange County. It also implements marketing 48 programs that will enhance the economic activity and quality of life in the community. 49 50 The Board of County Commissioners appoints all 17 members, with representation from specific 51 entities and fields.