3. Article 46: ¼ Cent Retail Sales Tax
3
• Approved by Orange County voters in Nov. 2011.
• Funds became available in April 2012.
• Annual $ proceeds (currently $4 million) are split 50/50 between
Public Education and Economic Development.
• Economic Development uses are approved by the Orange County
Board of Commissioners.
4. Article 46 FY 12-13
4
Economic Development Use for FY 2012-13 Amount % of Allocation
Debt Service on Utility Infrastructure $750,000
60%
Collaborative Outreach $20,000
2%
Small Business Loan Program $200,000
16%
Collateral Materials $20,000
2%
Innovation Center – “Launch Chapel Hill” $100,000
8%
Agricultural Economic Development – Ag Grants $60,000
5%
Business Investment Grants $100,000
8%
TOTAL $1,250,000
100%
5. Debt Service on Utility
Infrastructure
60%
Collaborative Outreach
1%
Small Business Loan Program
16%
Collateral Materials
2%
Innovation Center – “Launch
Chapel Hill”
8%
Agricultural Economic
Development – Ag Grants
5%
Business Investment Grants
8%
Article 46 Budget FY2012-13
(Economic Development)
5
6. Article 46 Budget FY21–22
6
Economic Development Programs in FY 2021-22 Amount % of Allocation
Debt Service for water/sewer in the Econ. Dev. Districts $896,986 44%
Utility Service Agreement with City of Mebane $50,000 2%
Collaborative Outreach with 3 Towns $60,000 3%
Small Business Loan Program $0
“Launch, Inc.” Innovation Center $73,500 4%
Agricultural Grant Program* $100,000 5%
Small Business Investment Grant Program $150,000 7%
Incentive Payments Reserve $ 251,202 12%
Agricultural Summit* $5,000 <1%
Orange County/Economic Development Annual Summit $0
Durham Tech Promise (Scholarships)* $200,000 10%
Durham Tech Back-to-Work Initiative* $50,000 2%
Breeze Farm Contribution* $10,000 <1%
Piedmont Food Processing Center Improvements* $140,000 7%
City of Mebane Coordinated Planning Project – Phase 2* $15,000 1%
Orange County Arts Incubator* $10,000 <1%
National Endowment for the Arts – County match* $5,000 <1%
Farm App – to identify Orange County Farms* $3,600 <1%
TOTAL $2,020,288 100%
*Yellow identifies use of funds outside of Economic Development Department
7. Debt Service on Utility
Infrastructure
44%
Utility Service Agreement with
Mebane
2%
Collaborative Outreach
3%
Innovation Center – “Launch
Chapel Hill”
4%
Agricultural Grants
5%
Business Investment Grants
7%
Incentives
12%
Agricultural Summit
<1%
Durham Tech Promise
(Scholarships)*
<1%
Durham Tech Back-to-Work
Initiative
2%
Breeze Farm Contribution*
<1%
PFAP Improvements*
7%
Mebane Coordinated Planning Project – Phase 2
1%
Arts Incubator*
<1%
National Endowment for the
Arts
<1%
Farm Application
<1%
Article 46 Budget FY2021-22
(Economic Development)
7
8. Article 46 FY21–22
(Economic Development Reserve Funds)
8
Use of Article 46 Reserve Funds for FY 2021-22 Amount % of Allocation
Economic Development Department Budget $418,158
68%
Indirect Costs associated with Economic Development
Department, as per County’s Cost Allocation Plan
$122,170
20%
County’s 75% share of the Agricultural Economic
Development Position, now affiliated with NC State
University and based in Cooperative Extension Dept.
$74,504
12%
TOTAL $614,832
100%
9. Financial Support provided by Orange County’s Article 46 for Small
Business and Food/Agriculture operations since 2Q 2015
Summary of Financial Grant Programs
9
Programs Awards Made Amount of Funding
(1) COVID-19 Emergency Small
Business Loan and Grant
Program (3 special grant offerings)
139 $647,131
(2) Small Business Investment
Grant Program
209 $1,061,079
(3) Agriculture Grant Program
75 $600,512
Total Funds Awarded Since 2015 423 $2,308,722
10. $60,000 Distributed Annually to Towns for
Economic Development Initiatives
Collaborative Outreach
10
Carrboro Chapel Hill Hillsborough Mebane
FY 21-22 $13,800 $39,600 $5,400 $1,200
% of Population 23% 66% 8% 2%
11. LAUNCH, Inc.
11
Summary of key LAUNCH metrics achieved since the 2013 opening:
Total # of start-up companies accelerated: 153
Total # of companies still in operation: 98 (64%)
Total # of student cohorts: 17
Total venture capital & grants raised in 2020: $714,000
Total revenues earned in 2020: $69 million
Total # of employees/jobs created: 802
Total # of employees based in Orange County: 435
Minority-led companies: 47%
Women-led companies: 53%
Mentors advising student cohorts in 2020: 83
• Award-winning innovation center funded by Orange County, the Town of
Chapel Hill and UNC Chapel Hill (Innovate Carolina)
• Promotes entrepreneurial technology start-up small businesses.
• The County allocates annually $73,500 per year from Article 46.
12. New jobs and investment in Orange County since 2019 from
announcements by retail, commercial and industrial businesses.
New Jobs and Investments
12
Company Jobs
Average
Wage
Investment
Full Employment
Expected by
ABB 403 $70,789 $40 million Dec. 2024
Medline 250 $35,468 $80 million Jan. 2026
Piedmont
Metalworks
42 $41,236 $4.2 million Dec. 2024
Wegmans 350 $12-15/hr $18 million Feb. 2026
Well Dot 400 $63,656 $3.5 million Dec. 2025
Thermo Fisher
Scientific
200 N/A $193 million Dec. 2023
TOTAL 1,645 jobs $338.7 million
- Wegmans may eventually generate $1 million/year in retail sales tax
- Board of Commissioners approved recruitment incentives for most of
the projects listed above.
- All firms listed above total 2 million sq. ft. of new construction.
