The Chapel Hill Town Council met on Wednesday, June 5 to approve the Fiscal Year 2025 (FY25) budget proposal and advance several bond orders for the November 2024 ballot. The elected officials also authorized the town manager to execute a contract with the developer for the development of the Tanyard Branch Trace affordable housing community. Council Members Adam Searing and Karen Stegman were absent from the meeting.
Here are the highlights:
Chapel Hill Town Budget
The Chapel Hill Town Council passed the Fiscal Year 2025 (FY25) budget 7-0. The town council began budget discussions during its February retreat, held two budget work sessions in March and April, and reviewed the recommended budget in May.
The budget totals $157 million – a four percent spending increase over last year’s total. It includes a two-cent property tax rate increase for the town’s priorities — chiefly, its general fund — bringing the total property tax rate to 59.2 cents per 100 dollar valuation. The budget also includes a six percent pay increase for town employees.
“With this budget,” said Town Manger Chris Blue, “we continue to show that we value all the folks who make this organization go. We value, and of course our community values, the excellent services that those folks provide from emergency response, to solid waste collection, to library books. Our residents really do receive world class services, and with this budget we can continue to make sure those services function well, especially as the cost of providing them continues to rise.”
“We’re not just maintaining and upgrading,” continued Blue, “we’re committed to making our facilities and our fleet more green and more sustainable. And we, like you, are committed to doing our part to address the local affordable housing crisis. With this budget we will dedicate close to three million dollars for affordable housing efforts, many of which are done in conjunction with our excellent community partners.”
A breakdown of the FY25 budget funding and appropriations. (Photo via the Town of Chapel Hill.)
All present council members voiced support for the budget prior to the vote, and Mayor Jessica Anderson echoed the sentiments of her colleagues.
“Getting to this point has involved a lot of hard work and coordination across departments,” said Anderson. “We know that there’s a lot that goes on outside of what we see, and we really appreciate it. I also want to thank my council colleagues. We’ve had good discussions, we’ve asked many questions, and shared lots of thoughts about how we meet community needs and values through our budget.
“Based on analysis and answers to questions that staff has provided,” the mayor added, “I feel as though we’re on a better path for long term sustainability for Chapel Hill, and that is really thanks to our staff. I appreciate the improvements we are making to our budget process, and look forward to doing it again next year.”
To read a full copy of the budget, click here.
Bond orders for November 2024 Referendum
The council unanimously approved the introduction of five bond orders that, if the council advances at it June 17 meeting, will be placed on the November 2024 ballot. Below are the titles of each of the five bond orders which include the total funding allocation for each.
“BOND ORDER AUTHORIZING THE ISSUANCE OF TOWN OF CHAPEL HILL GENERAL OBLIGATION BONDS FOR HOUSING FOR PERSONS OF LOW AND MODERATE INCOME IN THE MAXIMUM AMOUNT OF $15,000,000, SUBJECT TO VOTER APPROVAL
BOND ORDER AUTHORIZING THE ISSUANCE OF TOWN OF CHAPEL HILL GENERAL OBLIGATION PUBLIC BUILDING BONDS IN THE MAXIMUM AMOUNT OF $15,000,000, SUBJECT TO VOTER APPROVAL
BOND ORDER AUTHORIZING THE ISSUANCE OF TOWN OF CHAPEL HILL GENERAL OBLIGATION BONDS FOR STREETS AND SIDEWALKS IN THE MAXIMUM AMOUNT OF $7,500,000, SUBJECT TO VOTER APPROVAL
BOND ORDER AUTHORIZING THE ISSUANCE OF TOWN OF CHAPEL HILL GENERAL OBLIGATION BONDS FOR PARKS AND RECREATION FACILITIES IN THE MAXIMUM AMOUNT OF $4,500,000, SUBJECT TO VOTER APPROVAL
BOND ORDER AUTHORIZING THE ISSUANCE OF TOWN OF CHAPEL HILL GENERAL OBLIGATION BONDS FOR OPEN SPACE AND GREENWAYS IN THE MAXIMUM AMOUNT OF $2,000,000, SUBJECT TO VOTER APPROVAL”
In North Carolina, voters approve or reject most municipal and general obligation bonds with a public vote or referendum. Referendum questions are put into bond orders that authorize issuance for particular purposes, and voters decide on each bond order individually.
The council will hold a public hearing on the bond orders on June 17 and will decide whether to approve the bond orders for the November ballot.
Tanyard Branch Trace Housing Development
The council unanimously authorized the town manager to execute a development contract with the Taft-Mills Group for the development of the Tanyard Branch Trace affordable housing community at 110 Jay Street. The council had previously approved the site-plan, including 48 affordable apartment units that will serve residents at or below 60% of the affordable median income (AMI).
“The project includes a variety of amenities,” said Affordable Housing and Community Connections Director Sarah Viñas, “and once the project secures its final permitting and executes these agreements and closes on funding, the team hopes to begin construction by the fall of 2024.”
“This summer,” continued Viñas, “the development team will secure all permits, execute these agreements, and close on town funding. Construction will begin by fall and the units should be fully leased by the winter of 2026.”
To watch a full video recording of the meeting, click here.
Photos via the Town of Chapel Hill
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