Orange plans tax education for voters

The county could spend $100,000 ahead of a referendum May 6 on a land transfer tax

CHAPEL HILL -- The Orange County Board of Commissioners decided Tuesday to spend as much as $100,000 on a voter education effort for the land transfer tax referendum.

Commissioners voted unanimously to approve an agreement with Durham-based media consultants Ballen Media. If passed by the voters, the land transfer tax is projected to generate $3.5 million in the next fiscal year.

In its proposal, Ballen said it had in-house capabilities for radio and TV advertising production, and might use people such as local radio personalities and former UNC system President William Friday.

"You really need to think well beyond traditional media," founder Dwayne Ballen said.

Four people spoke against the expenditure, and one in favor, before the board voted. Some audience members wore stickers opposing the 0.4 percent land transfer tax, which would be imposed on the seller of property at the time of sale.

Opponent Ben Lloyd told the board that approving the proposal would be "one of the most irresponsible actions that I have ever seen taken in Orange County."

Lucian Mascarella of Mebane said he opposed both the tax and the consulting contract. "What we need ... is more responsible use of our public funds," he said.

Mascarella and others mentioned the $10,000 the county already has spent on a public opinion poll about the tax.

The poll showed one-third of likely primary voters supported the tax, while a majority were opposed and 14 percent were undecided.

The other revenue option approved last year by the legislature that the board could have chosen to put before voters is a quarter-cent sales tax increase. The county's poll showed about half of likely voters supported that increase, with one-third opposed.

The board decided last month to put only the land transfer tax on the May 6 primary ballot.

Real estate and homebuilders groups oppose the land transfer tax, and several commissioners referred to tax opponents' efforts to defeat the measure.

"I think we're up against some formidable folk here," Commissioner Moses Carey Jr. said.

The board has said if the tax passes it will spend the money on schools and parks.

"We need alternatives, and the legislature has given us very few," Board Chairman Barry Jacobs said.