Town Council

Town Hall TOWN OF CHAPEL HILL 405 Martin Luther King Jr. Boulevard Town Council Chapel Hill, NC 27514 Meeting Minutes - Final Mayor Jessica Anderson Council Member Theodore Nollert Mayor pro tem Amy Ryan Council Member Adam Searing Council Member Camille Berry Council Member Elizabeth Sharp Council Member Melissa McCullough Council Member Karen Stegman Council Member Paris Miller-Foushee Wednesday, June 4, 2025 6:00 PM Library, Meeting Room B Language Access Statement In-Person Meeting Notification Town Council holds informal Work Sessions where Town Council discusses departmental agenda items and receives presentations. View the Meeting • Public attendance is welcome, and limited to room capacity • We will not live stream the event, and there is no public comment period • Post-Meeting Video at https://www.townofchapelhill.org/councilvideo/ • The Town of Chapel Hill wants to know more about who participates in its programs and processes, including Town Council meetings. • Participate in a voluntary demographic survey before viewing online or in person - https://www.townofchapelhill.org/demosurvey Parking and Entry • Parking is available at the Library lots. The Library is served by CL Route, D Route, and GoTriangle Routes of Chapel Hill Transit • Meeting Room B is to the right from the main entrance. • Please do not bring signs. ROLL CALL Page 1 of 4 Town Council Meeting Minutes - Final June 4, 2025 Present: 9 - Mayor Jessica Anderson, Mayor pro tem Amy Ryan, Council Member Camille Berry, Council Member Paris Miller-Foushee, Council Member Adam Searing, Council Member Karen Stegman, Council Member Theodore Nollert, Council Member Melissa McCullough, and Council Member Elizabeth Sharp OTHER ATTENDEES Interim Town Manager Mary Jane Nirdlinger, Deputy Town Manager Loryn Clark, Town Attorney Ann Anderson, Strategic Communications and Marketing Executive Director Susan Brown, Business Management Director Amy Oland, Business Management Assistant Director Matthew Brinkley, Manager’s Office Intern Josie Zakrzewski, Strategic Project Manager Sarah Poulton, Budget & Management Analyst Sally Shader, Special Project Manager Cliff Turner, and Deputy Town Clerk Amy Harvey. OPENING Mayor Jessica Anderson called the work session to order at 6:00 p.m. 0.01 Mayor Anderson Regarding the Wear Orange - Gun [25-0287] Violence Awareness Rally. Mayor Anderson reminded the Council that a Gun Violence Awareness Rally would be held at the Peace and Justice Plaza on June 6th. 0.02 Council Member Miller-Foushee Regarding the Celebration [25-0288] of Eid al-Adha. Council Member Miller-Foushee pointed out that Eid al-Adha would occur on June 6th and wished "Eid Mubarak" to all who observe it. 0.03 Council Member Stegman Regarding Pride Month [25-0289] Celebrations. Council Member Stegman extended an invitation to everyone to attend the Pride Month kickoff event, scheduled to start with a promenade from Peace and Justice Plaza at noon on June 7th. 0.04 Council Member Berry Regarding Juneteenth. [25-0290] Council Member Berry noted that June 19th marks Juneteenth, a commemoration of the day when enslaved Black people were finally informed of their freedom. ANNOUNCEMENTS BY COUNCIL MEMBERS Page 2 of 4 Town Council Meeting Minutes - Final June 4, 2025 AGENDA ITEM(S) 1. Discussion: Recommended Budget for FY 2025-2026. [25-0286] Interim Town Manager Mary Jane Nirdlinger presented the proposed budget totaling $163,672,372, which includes a recommended property tax rate of 5 cents - 5.8 cents above the revenue-neutral tax rate. The proposal includes a 5% cost-of-living adjustment (COLA) for Town employees and $1,517,000 dedicated to key operating priorities. She shared projections for sales tax growth, mandatory operating costs, a new employee compensation and classification plan, and a five-year forecast for capital and operating needs. She addressed Transit funding and explained how the proposed budget aligns with current obligations and strategic goals. Ms. Nirdlinger outlined several options for reducing expenses and offered alternative tax rate scenarios, explaining the trade-offs to adjust in the following areas: the Transit Fund, Parking Lot 2, the Throne Bathrooms initiative, the General Fund Balance, and the proposed COLA. The Council examined the Transit Fund, which has a significant amount of capital set aside but also has aging infrastructure and needed projects. Ms. Nirdlinger and Ms. Oland cautioned against reducing the Transit Fund allocation, as the funds are intended for one-time uses and a significant portion has already been appropriated. The Council also discussed Parking Lot 2 improvements, agreeing that the $100,000 allocation was not a priority and could be repurposed for other pressing issues. Council decided to maintain the $60,000 allocation for Downtown public restrooms, recognizing its importance in addressing Downtown problems. The Council reviewed the General Fund Balance, which stood at approximately $35.5 million at the end of 2024, with 22% unassigned but earmarked for various obligations. Ms. Nirdlinger and Ms. Oland advised against depleting the Fund Balance, warning that it could affect the Town's AAA credit rating and raise concerns with the Local Government Commission. Council Members and staff also discussed the proposed 5% COLA for employees, with some Council members expressing concerns about the cost, while others emphasized the need to catch up with market rates and support staff. Some Council members expressed support for the Manager's recommended budget and others preferred a lower tax rate to maintain affordability and avoid burdening lower-income residents. Page 3 of 4 Town Council Meeting Minutes - Final June 4, 2025 This matter was received and filed. REQUEST FOR CLOSED SESSION TO DISCUSS ECONOMIC DEVELOPMENT, PROPERTY ACQUISITION, PERSONNEL, AND/OR LITIGATION MATTERS A motion was made by Mayor pro tem Ryan, seconded by Council Member Stegman, that the Council entered Into closed session as authorized by General Statute Section 143-318.11(a)(5). The motion carried by a unanimous vote. ADJOURNMENT The meeting was adjourned at 9:03 p.m. Page 4 of 4