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Chapel Hill Town Council discusses COVID-19 response and 2021 budget

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Chapel Hill Town Council members Jessica Anderson, Mayor Pam Hemminger, and Michael Parker vote during a meeting at Town Hall on Wednesday, Feb. 19, 2020.

Members of the Chapel Hill Town Council gave key updates on the response to COVID-19 at their meeting on April 13 as well as presented projections about the 2021 fiscal year budget. 

COVID-19 response updates

Kelly Drayton, emergency management planner for the Town of Chapel Hill, said the U.S. Department of Housing and Urban Development will give the Town an additional $245,000 of federal Community Development Block Grant Funds to respond to the impacts of COVID-19.

Police chief Chris Blue reminded citizens that the Town’s Emergency Operation Center is operational, and anybody can call (919) 969-5005 with questions concerning stay-at-home orders or what Town services are impacted by reduced operations. The call center is open Monday through Friday from 8:30 a.m. to 5 p.m. 

Last week, the U.S. Centers for Disease Control and Prevention released guidance for people to wear hygienic masks in public. In response, Drayton said the Town has purchased and distributed hygienic masks to essential employees who are still reporting in-person to work.

2021 Fiscal Budget Projections

At the meeting, Town manager Maurice Jones and business management director Amy Oland presented updates on the 2020 fiscal year budget as well as discussed preliminary budget projections for the 2021 budget. 

The N.C. League of Municipalities has projected a 10% decrease in sales tax revenue for the 2020 fiscal year fourth quarter, Jones said. He also said this will cost the Town about $600,000 to $800,000 in lost revenue. 

“We find ourselves in a very difficult economic situation, which will have a negative impact on our budget,” Jones said.

Oland said the League of Municipalities is anticipating a 6.7 percent decline in revenue from non-sales taxes, which is mostly made up of hotel occupancy taxes. But she said other taxes like property taxes are not expected to be affected in this fiscal year budget.

“The difficult thing as we are projecting these revenues is that we really don’t know the longevity of the COVID event,” Oland said.

In terms of projections for the 2021 budget, Jones said he anticipates the Town will maintain a status quo budget as well as limit the number of budget adds to offset revenue losses. 

The town manager is schedule to present his recommended budget on May 6, and a public hearing is scheduled for May 20.

@DTHCityState | city@dailytarheel.com

 

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