Chatham board tentatively OK’s 2020 plan

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PITTSBORO — The Chatham County Board of Commissioners gave the OK last Thursday to the county’s spending plan for fiscal year 2019-2020, including a 4.19-cent property tax rate increase and spending on major capital projects.

The vote — which was unanimous, including new Commissioner Andy Wilkie — came after a 5-hour workshop Thursday during which the board reviewed each category of spending and revenue. The budget ordinance, which will make the budget official, will be voted on during the board’s June 17 meeting.

The budget was approved on a tentative basis, with one item still to be discussed at a May 30 workshop.

The board and county staff also addressed public comments about the budget during the meeting, particularly referring to the new emergency operations radio system and a discussed local option sales tax.

Mike Reitz, the county’s emergency communications director, said the North Chatham Fire Department had sent five trucks to a fire in Apex the day before, but couldn’t communicate properly with those departments.

“The current infrastructure is at the end of life,” Reitz said. “The current system is just out-dated, doesn’t provide good safety measures for responders. We have challenges every single day with communicating.”

He played a clip of a sheriff’s deputy calling in a traffic accident. The call was full of static, and the dispatched asked for a repeat of almost all the information. Reitz then played a clip of what the new system would sound like, and it was much clearer.

“It’s night and day, the difference between the two systems,” he said. “The new system is light years ahead of what we have now, and puts us in position for future growth, future needs of the department.”

The new system will cost the county $18,909,295. The county will utilize some towers currently in use and build three new ones. Some of the older towers will be taken down once the new system is up and running.

Reitz said the “best-case scenario” is that the system is ready in 18-24 months — money will be borrowed in July and construction will begin a year later.

“This project will move a little faster than a building project, because they can put up steel pretty quick,” he said. “We either own the land already or we’ll work with partnerships to secure the other land.”

Regarding the local option sales tax, a discussion point as the result of the Pittsboro public hearing May 20, budget analyst Darrell Butts said the county has the option of putting a referendum for a quarter-cent sales tax on an upcoming ballot. But the N.C. General Assembly may soon give counties more flexibility.

House Bill 667, which was introduced by three Republicans and one Democrat earlier this year, would give counties the option to ask for a half-cent sales tax as well as a quarter-cent. If passed as currently written, the bill would also require the purpose of the revenue — either “any public purpose” or “public education purposes” including capital outlay, debt, salary supplement or community college support — to be stated on the ballot. Rep. Robert Reives II (D-Chatham) was among the 107 who voted for the bill in the House; only five voted against.

The county has asked the local board of elections to begin researching and preparing paperwork to put the question on an upcoming ballot, but has not made a final decision on whether or not it would appear. The tax would only apply to retail sales of items and would be applicable for any purchases in Chatham County, whether made by Chatham residents or otherwise.

The county brought in $13,859,506 in sales tax revenue in fiscal year 2017-2018, and is projecting to receive $14,325,000 this fiscal year under the current rate.

The board will meet at 9 a.m. Thursday, May 30, at the Chatham County Agriculture & Conference Center in Pittsboro to discuss one more item. The Central Chatham Fire District, which includes the Siler City Fire Department, is considering adding 3 cents to its property tax rate to help hire some more firefighters, but did not include that in its original budget request. The tax rate increase — from 9 cents to 12 cents — would cover the unincorporated part of Siler City.

Reporter Zachary Horner can be reached at zhorner@chathamnr.com or on Twitter at @ZachHornerCNR.