CHAPEL HILL -- The Town Council on Monday night approved a $16 million expansion of the Chapel Hill Public Library and a 2010-2011 operating budget with no tax increase.
The town has already borrowed and spent about $2 million planning the project. It will borrow the remaining $14.2 million in September, and construction could begin by the end of the year. The project would more than double the size of the current library off Estes Drive to more than 60,000 square feet.
"The planned expansion will basically keep up with the demand," Councilman Gene Pease said.
The council also approved $6.2 million in bonds for sidewalks, streets and park projects. Voters approved a total of $29.4 million in bonds in 2003, but the town has borrowed only about $9 million of that. Monday's approval will exhaust the voter-approved bonds.
Town Manager Roger Stancil says the town's budget for debt service can accommodate the new borrowing, but operating the larger facility will add about 1.3 cents per $100 of valuation to the tax rate once it opens in 2012, meaning additional taxes of about $40 on a year on a $300,000 house.
The council also unanimously approved the town's 2010-11 operating budget Monday night, keeping next year's property tax rate at 49.4 cents per $100 assessed value.
Council members said they will continue to negotiate with Orange County commissioners to increase the county's contribution to the Chapel Hill library, where 40 percent of patrons come from the county but outside Chapel Hill.
