The pay increase would help prevent salary levels from dipping below the market level.
Chapel Hill resident and UNC professor Mike Roberts said he is concerned about the proposed pay increase, as both UNC and UNC Hospitals have not seen a pay increase in several years.
“It’s an incredibly insensitive budget,” he said.
A property tax increase of a half-cent per $100 valuation, or about 1 percent, is also included. The increase will help with rising transit costs.
Chapel Hill’s budget provides for the restoration of its Fourth of July event funds, a total of $43,000.
Catherine Lazorko, spokeswoman for the town of Chapel Hill, said some of the event’s funds could come from attendee donations.
Chapel Hill Town Council will vote on the budget at its June 11 meeting.
Hillsborough’s budget proposal includes an increased property tax rate of 6 cents per $100 valuation — for a nearly 9.7 percent increase.
The increase is in response to street maintenance needs, totalling nearly $2 million, that would repair about 8 miles of road in the next four years.
Pending approval of the budget, water and sewer rates would rise, in order to help fund projects such as upgrades to the wastewater treatment plant.
Water rates are proposed to increase by 5 percent while sewer rates would rise by 8.8 percent. Water rates would not change in fiscal years 2014 and 2015, but sewer rate would increase 8.8 percent for each year.
The proposed Hillsborough budget is totaled at $14.3 million — an increase of slightly more than 1 percent from the 2011-12 fiscal year.
Eric Peterson, town manager for Hillsborough, said the town began work on the budget early knowing the high increases might be financially challenging for some residents.
But he said the public response so far has been minimal.
Orange County has a proposed budget of more than $178.4 million — an increase of less than 1 percent from the current fiscal year’s budget.
The proposal includes no property tax rate increases.
But the property taxes could be raised if Orange County Schools and Chapel Hill-Carrboro City Schools get the increase in the per-pupil funding they have requested from the county.
Their requests, according to the proposal, would require funding increases between $3 million and $6 million, an increase that would only be possible by raising property taxes or by reducing county-funded services.
Currently the proposal includes a $1.7 million funding increase between both school districts.
The districts have other funding sources available to help with their budget needs.
The Orange County Board of Commissioners is expected to vote on the budget on or before its June meeting.
The proposed budget for Carrboro is more than $19.4 million, a 5.2 percent increase from the current fiscal year.
Town officials expect property tax revenues to increase by 3 percent as a result of increased property valuations.
The Carrboro budget does not include a tax increase for residents.
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