Orange County defers tax raise discussion until after November vote

County officials decided to table a discussion on how revenue from a proposed sales tax increase will be divided between two area school districts.

In a Thursday meeting between the Orange County Board of Commissioners and the school boards of Chapel Hill-Carrboro City Schools and Orange County Schools, County Manager Frank Clifton said deciding how to appropriate funding from a proposed quarter-cent sales tax increase would send the wrong message to a public that still has to approve the increase.

“These are tough economic times, and we’re asking the public to approve taxing themselves more at a time when they are all dealing with less,” Clifton said at the meeting.

The sales tax increase, which will appear as a referendum on the November ballot, will generate $2.3 million annually.

County commissioners decided that more than 40 percent of revenue would be split “equitably” between the two school districts for old schools and technology improvements. The county typically doles out funds based on the number of students in each district.

“I think the per pupil basis is appropriate,” said Jamezetta Bedford, the vice-chairwoman of the Chapel Hill-Carrboro school board.

But at a Sept. 7 meeting, Orange County Board of Education members discussed the possibility of asking for the money being split evenly between the two districts.

“I would just appreciate you all having a conversation regarding that topic,” said Debbie Piscitelli, an Orange County Schools board member, to county commissioners.

“I just want to make sure our conversations are clear, that we don’t walk away with, ‘I thought this, you did that.’”

County Commissioner Barry Jacobs said the school districts should trust each other to make a fair decision when the time comes.

“I do think that is important to just say to the public that its our commitment to dedicate the funds to these purposes and we’ll work out the details at the appropriate time,” he said.

“This may not be the appropriate time.”

School board members from both districts also pointed out the funding is only in place for a five-year period, but county officials said decisions on future commitments shouldn’t be made now.

“That’s a determination that will be decided at a later time, perhaps by a different board,” said commission chairwoman Valerie Foushee.

The school districts made a joint presentation on next year’s financial outlook, one that includes the loss of a combined $21.2 million between the two systems after federal stimulus funds and state cuts.

“The last two years have really forced us all to be relentless cost-cutters,” said Patrick Rhodes, superintendent of Orange County Schools. “We’ll do what we have to do, but we really want everybody to be aware of what we’re looking at.”

County commissioners said the cooperation between the two systems was effective and thanked the school boards for the advance notice of the dramatic cuts.

“We’re all going to have to be more flexible,” Jacobs said.

“It’s hard to anticipate what the changes are going to be in the reduced fiscal environment.”

Contact the City Editor at citydesk@unc.edu.