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5 <br /> Slide#5 <br /> Capital Investment Plan <br /> Fowler Amendment <br /> Increase Pay-Go by$3 million in FY2026-27 Year DS to GF Debt Tax Rate Pay-Go Tax <br /> and$3.5 million in FY2027-28 Revenues Equivalent Rate Equivalent <br /> 2027 12.39% 2.014 1.784 <br /> - Increases Pay-Go investment from$3.5 miller it 2028 13.15% 1.024 1.024 <br /> Recommended FY2026-27 Budget to$6.5 million 2029 16.73% 4.38t <br /> - Adds additional$3.5 million in FY2027-28 to achieve$10 2030 17.95% 1.524 <br /> million annual target 2031 17.74% - <br /> 2032 18.05% 0.104 <br /> - Reduces impact of tax increase in FY2028-29 as there is no 2033 19.18% 1.70t <br /> Pay-Go increase for that year 2034 19-05% <br /> 2035 18.19% <br /> - Results in Total Debt plus Pay-Go Tax Increases of 11.73 2036 17.29% <br /> cents through FY2029-30 <br /> Totallmpact 10.734 2.804 <br /> ORANGE COUNTY <br /> 5 N014 t t I CAROLINA <br /> Kirk Vaughn described Commissioner Fowler's amendment,which proposed accelerating the pay- <br /> go phase-in schedule. Rather than phasing in at 3.5, 6.5, and 10 cents over three years, the amendment <br /> would move to 6.5 and 10 cents over just two years. He explained that while this would increase the pay- <br /> go tax obligation in the current year, it would eliminate a compounding pressure point in FY 2029,where, <br /> under the current baseline, a large debt increase and a pay-go increase would coincide. By front-loading <br /> the pay-go phase-in, he said the county would also be able to borrow the$300 million bond authorization <br /> later,generating a small savings in debt equivalency over the early years. He said this scenario reduces the <br /> four-year tax equivalent to 11.73 cents. <br /> Slide#6 <br /> Capital Investment Plan <br /> Option 1 <br /> Delay FY2027-28 Projects to FY2028-29 Year to GF Debt Tax Rate Pay Tax <br /> Revenues Equivalent Rate Equivalent <br /> - Delays Estes Hills Elementary School Project 1 year 2027 12.50% 2.014 0.894 <br /> Design would begin in FY2027-28 and Construction in 2028 13.28% 1.024 0.870 <br /> FY2028-29 2029 15.68% 3.234 1.004 <br /> • Adds$2 million it inflation that would otherwise go to 2030 16.43% 0.774 <br /> High Priority Needs <br /> 2031 18.00% 1.934 <br /> - Delays four large scale County projects by one year 2032 18.20% 0.324 <br /> • Design in FY2027-213 and Constructlon in FY2028-29 2033 19.35% 1.554 <br /> - Affordable Housing 2034 19.12% <br /> - Historic Court House 2035 18.27% - <br /> - First phase of VIPER Radio System 2036 17.36% <br /> - Emergency Services Headquarters otallmpact 10-831t 2.764 <br /> - Results in Total Debt plus Pay-Go Tax Increases of <br /> 9.79 cents through FY2029-30 <br /> ORANGE COUNTY <br /> 6 N(W 11 1 (.Ali()I I NA <br />