OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Chapel Hill Town Council Meeting – May 20, 2026: Budget, Climate Plan, and Incentive Agreement

Meeting PortalWednesday, May 20, 2026
BodyChapel Hill, North Carolina
SessionMeeting Portal
DateWednesday, May 20, 2026
StatusFILED
Video Record
0:00 / 2:52:16

Transcript — Verbatim
1:32

Good evening, everyone.

1:33

Welcome to the May twentieth meeting of the Chapel Hill Town Council.

1:38

We are glad to have you join us.

1:40

This evening we have four items on the agenda for discussion or action.

1:44

Um the first is a public hearing on the FY twenty twenty-six-27 recommended budget.

1:51

Um that will be followed by a discussion about updating the town's climate action and community response plan as we mark the plan's five-year mark.

1:59

Um third is a public hearing on a proposed incentive agreement for Project Stark Tower.

2:04

And our final item.

2:06

I tried, I tried to keep it tried to keep it serious.

2:09

Um thank you, David Putnam.

2:13

And our final item will be a legislative hearing concerning a request for a zoning modification at eleven White Oak Drive.

2:21

Um Council will also be making appointments to the community design commission tonight.

2:30

Um those names will be announced at the end of the meeting.

2:33

Um and council members, we have a closed session this evening as well.

2:37

Um to get us started this evening.

2:39

We have four proclamations to announce.

2:44

Up first.

2:45

I don't know, he's he's cracking up back there.

2:47

Um first we have Public Works Week.

2:50

Um Councilmember Louie Rivers will be making that announcement, and we invite our public works director, Lance Norris to join him up front, and we have a lot of people.

5:00

Norris, for being here with us tonight, and please share our deep appreciation with your entire team.

5:05

Our second proclamation is for Asian American and Pacific Islander Month, and Councilmember Camille Barry will be making that announcement for us tonight.

5:13

And we are pleased to invite members of the Asian American and Pacific Islander communities in the audience up front for that announcement.

5:27

Thank you for coming.

5:54

Good evening.

5:55

As the daughter of a Filipina, I am so proud to stand up here.

5:59

And Asian Americans and Pacific Islanders come from many different countries and cultures across Asia and the Pacific, each bringing unique traditions, languages, and stories.

6:12

Here in North Carolina and in Chapel Hill, AAPI communities have been part of our story for generations, providing leadership and have been and making contributions in many areas, including education, health care, business, technology, public service, and the arts.

6:33

As a community, we know how important it is to keep learning from one another and to celebrate the rich diversity that makes our community special.

6:42

And so tonight, we are pleased to recognize May 2026 as Asian American and Pacific Islander Heritage Month in Chapel Hill.

6:51

In so doing, we encourage everyone to take time to celebrate and to appreciate the impact of Asian American Pacific Islander communities here at home and around the world.

7:02

Thank you.

7:10

Council, we need a group picture.

7:30

Yeah.

7:31

Maybe make a back row, Council.

7:33

Thank you.

7:38

And if this I could scoot in just a little bit more.

7:46

There we go.

7:48

Oh, there we go.

7:49

Awesome.

7:49

All right, I'm gonna take a couple.

7:51

One, two, three, everybody smile.

7:56

Got it.

7:57

Thank you.

8:23

Thank you for everyone for coming tonight.

8:25

We are so grateful to have you here with us, and of course, all the contributions that you make to Chapel Hill and to our broader community.

8:36

That brings us to Affordable Housing Month, and we'd like to invite our affordable housing partners, advocates, along with members of Chapel Hill's housing and community development team to join Councilmember Miller Fushi up front, please.

9:12

Good evening, everyone.

9:14

I have the pleasure of reading two proclamations this evening.

9:19

I will start with our affordable housing proclamation.

9:24

Tonight we recognize May as affordable housing month in the town of Chapel Hill and reaffirm that access to safe, stable, and affordable housing is essential to the well-being of our community.

9:39

Affordable Housing Month highlights the innovative programs and collaborative solutions that help strengthen housing affordability in Chapel Hill and support a more inclusive and connected community.

10:00

During this month, we want to acknowledge the town's ongoing work alongside regional partners, nonprofits, housing advocates, and developers to expand and preserve housing opportunities for residents of all backgrounds and income levels.

10:11

These partnerships are critical to making meaningful progress and creating lasting housing solutions for our community.

10:19

Furthermore, we want to encourage residents to learn about and support these initiatives as we continue working toward a community where everyone has the opportunity to call Chapel Hill home.

10:32

So tonight, on behalf of the mayor and council, I would like to present this proclamation for Affordable Housing Month to who would like to grant it.

10:54

Council, we've been asked to do another group photo.

11:31

Everyone stay where you're at.

11:36

This is that's CHD.

11:40

We'll let the rest of the council go back and we'll let you do that one.

Discussion Breakdown — Share of Meeting
Public Engagement██████████████████18%
Environmental Protection████████████████16%
Procedural██████████████14%
Affordable Housing██████████10%
Budget Equity Analysis██████████10%
Zoning Regulations████████8%
Community Engagement██████6%
Economic Development████4%
Historic Preservation███3%
Summary of Proceedings

Chapel Hill Town Council Meeting – May 20, 2026

The Chapel Hill Town Council met on May 20, 2026, at 6:00 PM (adjourned at 9:25 PM) in the Council Chamber. The meeting opened with proclamations, public comments, and a consent agenda, followed by discussions on the FY 2026-27 budget, a climate action plan update, a project incentive agreement, and a zoning modification. Final actions included approvals of the incentive agreement and zoning modification, along with appointments to the Community Design Commission.

Proclamations

  • National Public Works Week (May 17-23, 2026) – Recognized the Public Works team for essential services.
  • Asian-American and Pacific Islander Month (May 2026) – Celebrated contributions of AAPI communities.
  • Affordable Housing Month (May 2026) – Reaffirmed commitment to affordable housing.
  • Community Home Trust Day (June 15, 2026) – Celebrated 35th anniversary and 300 permanently affordable homes.
  • Historic Preservation Month (May 2026) – Highlighted preservation of architectural and cultural heritage.

Announcements by Council Members

  • Mayor Anderson noted Heat Awareness Week, upcoming Memorial Day events, and the next regular meeting on June 10, 2026.
  • Council Member McMahon requested a council work session to discuss high-level options for achieving LUMO priorities; after debate, the manager indicated the topic is scheduled for June 17.

Public Comments & Testimony

  • Jerry Marakatos – Thanked the Town for supporting community media (The People’s Channel) and emphasized its importance.
  • PJ Miller – Community Home Trust homeowner, expressed appreciation for affordable homeownership stability.
  • Bridgit Adamou (President, Community Home Trust Board) – Highlighted 35-year milestone and 300 permanently affordable homes.
  • Tom Jepsen (Chapel Hill Historical Society) – Urged inclusion of historic preservation in funding priorities.
  • Brieann Mendez – Emphasized critical role of affordable rental housing for seniors on fixed incomes.
  • Talib Madyun – Spoke about The People’s Channel’s media training and urged continued support.
  • Linda Fajardo – Described how Community Home Trust provided stability as a single mother and educator.
  • Dennis Dowdy (The People’s Channel) – Requested operational support amid declining external funding.
  • George Barrett (Marion Cheek Jackson Center / Orange County Affordable Housing Coalition) – Urged continued prioritization of affordable housing funding.

Consent Calendar

  • Approved unanimously by a motion from Council Member Ryan, seconded by Council Member Miller-Foushee.
  • Item 4: 2026-2027 HOME Investment Partnerships Program Annual Plan (adopted R-1).
  • Item 5: Past Work Session Minutes (Oct 2012, Nov 2013, Jan 2014, Mar 2014, May 2014).
  • Item 6: 2025 Closed Session Minutes (12 meetings).
  • Item 7: April 29 and May 6, 2026 Regular Meeting Minutes.

Discussion: FY 2026-27 Recommended Budget

Business Management Director Amy Oland presented the $169.7 million recommended budget (3.4% increase over prior year) with no property tax increase (rate remains $0.50 per $100 valuation). Key highlights:

  • Workforce investments: 4% market pay increase, 0.75% retirement increase, rising medical costs.
  • Three new positions: Fleet Technician, Library Experiences Associate, Destination Coordinator.
  • Enterprise funds: Transit (-1%), Parking (-1%), Housing (+4%), Stormwater (+23% due to an $8.79/ERU increase for an inventory mapping project, ~$17/year average household).
  • Late notification from Orange County proposing to eliminate $621,323 annual library funding over two years. Staff analyzing options including non-resident fees or service-hour reductions.
  • Council discussion: Manager Voorhees said hiring for the library position will pause until county funding is clearer; the Destination Coordinator may also be paused. Several council members emphasized prioritizing part-time staff and service hours over new hires. Council also discussed advocacy with county commissioners.
  • Outcome: Public hearing opened and closed by unanimous vote. No budget adoption; final vote scheduled for June 10, 2026.

Discussion: Climate Action Plan Update

Community Sustainability Manager John Richardson presented the five-year update framework, noting it is a refinement, not a rewrite. Engagement planned May-July (IAP2 consult model), data analysis Aug-Oct. Core priority areas: buildings & energy, transportation & land use, waste & natural resources, climate resiliency. Council provided guidance:

  • Requests for metrics on tree canopy, stormwater, and natural area preservation to inform zoning decisions.
  • Emphasis on resilience alongside mitigation; youth engagement (youth council, schools); volunteer partnerships (Sierra Club, service clubs, congregations).
  • Interest in modeling emissions impacts of greenway buildout and transit investments.
  • Need for clear, realistic engagement questions and high-level messaging before public outreach.
  • Outcome: Received and filed. Staff will incorporate council direction.

Public Hearing & Action: Project Stark Tower Incentive Agreement

Economic Development Director David Putnam presented the proposal for Blue Sky Robotics (headquarters at 136 East Rosemary Street).

  • Project: 152 new jobs at average wage $77,000; $1.5 million in personal property investment over five years.
  • Incentive package: Up to $261,000 parking credits and $57,000 cash grant, both performance-based over five years (total $318,000).
  • Estimated positive net revenue of ~$2 million over a decade.
  • Council questions confirmed accountability provisions; no risk if company fails to meet targets.
  • Outcome: Public hearing opened and closed unanimously. Resolution R-2 authorizing the Town Manager to sign the agreement passed unanimously (9-0).

Zoning Atlas Amendment: Conditional Zoning Modification for 11 White Oak Drive

Senior Planner Charnika Harrell introduced applicant Bryan Harris (Dwell Design Studio). Request to modify a previously approved conditional zoning (CZD 20-204-6) to allow sloped roof segments to exceed the 62-foot height limit by 4-7 feet (due to a discrepancy between Town LUMO and State Building Code height calculation methods). No change in massing, setbacks, units, or shadow impacts. Community Design Commission responded favorably.

  • Council debate: Some members supported articulation; others concerned about precedent and past public concerns about height on White Oak Drive. Mayor pro tem Berry voted no, citing community input.
  • Outcome: Public hearing closed unanimously. Resolution R-3 (finding consistency & reasonableness) adopted 8-1 (Berry nay). Ordinance O-1 (approving modification) adopted 8-1 (Berry nay).

Appointments

  • Council appointed Kelly E. Mills and Racheal Tushabe to the Community Design Commission for terms beginning July 1, 2026 through June 30, 2029.

Closed Session

  • Council entered closed session under NCGS 143-318.11(a)(6) at 8:51 PM. Adjourned at 9:25 PM.

Meeting Transcript

Good evening, everyone. Welcome to the May twentieth meeting of the Chapel Hill Town Council. We are glad to have you join us. This evening we have four items on the agenda for discussion or action. Um the first is a public hearing on the FY twenty twenty-six-27 recommended budget. Um that will be followed by a discussion about updating the town's climate action and community response plan as we mark the plan's five-year mark. Um third is a public hearing on a proposed incentive agreement for Project Stark Tower. And our final item. I tried, I tried to keep it tried to keep it serious. Um thank you, David Putnam. And our final item will be a legislative hearing concerning a request for a zoning modification at eleven White Oak Drive. Um Council will also be making appointments to the community design commission tonight. Um those names will be announced at the end of the meeting. Um and council members, we have a closed session this evening as well. Um to get us started this evening. We have four proclamations to announce. Up first. I don't know, he's he's cracking up back there. Um first we have Public Works Week. Um Councilmember Louie Rivers will be making that announcement, and we invite our public works director, Lance Norris to join him up front, and we have a lot of people. Norris, for being here with us tonight, and please share our deep appreciation with your entire team. Our second proclamation is for Asian American and Pacific Islander Month, and Councilmember Camille Barry will be making that announcement for us tonight. And we are pleased to invite members of the Asian American and Pacific Islander communities in the audience up front for that announcement. Thank you for coming. Good evening. As the daughter of a Filipina, I am so proud to stand up here. And Asian Americans and Pacific Islanders come from many different countries and cultures across Asia and the Pacific, each bringing unique traditions, languages, and stories. Here in North Carolina and in Chapel Hill, AAPI communities have been part of our story for generations, providing leadership and have been and making contributions in many areas, including education, health care, business, technology, public service, and the arts. As a community, we know how important it is to keep learning from one another and to celebrate the rich diversity that makes our community special. And so tonight, we are pleased to recognize May 2026 as Asian American and Pacific Islander Heritage Month in Chapel Hill. In so doing, we encourage everyone to take time to celebrate and to appreciate the impact of Asian American Pacific Islander communities here at home and around the world. Thank you. Council, we need a group picture. Yeah. Maybe make a back row, Council. Thank you. And if this I could scoot in just a little bit more. There we go. Oh, there we go. Awesome. All right, I'm gonna take a couple. One, two, three, everybody smile. Got it. Thank you. Thank you for everyone for coming tonight. We are so grateful to have you here with us, and of course, all the contributions that you make to Chapel Hill and to our broader community. That brings us to Affordable Housing Month, and we'd like to invite our affordable housing partners, advocates, along with members of Chapel Hill's housing and community development team to join Councilmember Miller Fushi up front, please. Good evening, everyone. I have the pleasure of reading two proclamations this evening. I will start with our affordable housing proclamation.

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