[{"_1":2,"_111":-5,"_112":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75,87,99],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",6612400,"mediaKeyId","2891499-74a4ac57c044c33b19f75a49a4ee1133","parentId",2891499,"title","Wake County staff warn of construction cost pressures, long lead times and bond-market uncertainty as CIP is finalized","audioSeconds",6001,"startMs",3247000,"endMs",9248000,"viewUrl","/Search/View?dp=1&key=2891499-74a4ac57c044c33b19f75a49a4ee1133&start=3247&end=9248","thumbnailUrl","https://assets.pipeline.soar.com/2891499-74a4ac57c044c33b19f75a49a4ee1133/thumbnail_3247000.jpg","articleUrl","/articles/6612400/Wake-County/North-Carolina/Wake-County-staff-warn-of-construction-cost-pressures-long-lead-times-and-bond-market-uncertainty-as-CIP-is-finalized","mediaUrl","https://secure.pipeline.soar.com/6612400-534e9136c0a2e51545f25ab5341fb201/orig.mp4?Expires=1770848364&Signature=TXY9dybbFxeTF2F7HvP0WjRp5QKROgE249DmkI22663uZQS6YzEXdCLZAwVHh4qbGDQ5auIKqZCsFFTnlz8c3kL1ckx77aZX4OS9KPNIbt0HkFNLpNQXXOidJXIIGMrU57a1zDeJbPgfa3-GIGU464FOUHut1ZbxJaS0zdCDI7UDObmvgeUjjcmag3jbx-mpqfz16QTX41k8oNytbrIEL6GmJOxqI0COAwjRp0IHNeMfied9Pprym-5FgW0wODjni5qi-g3cOokL1FaJY407b1lYhEIXTf03DINtP21QJ4QYktc6FLZB8n44KcS6b-fGqhHtvB9vfnd33ZR3ETwSrQ__&Key-Pair-Id=KUT5TJCACFTXG","author","Wake County","date","2025-04-07T00:00:00Z","article","Wake County officials on April 7 flagged several economic and market risks that could affect capital project costs and the county's debt strategy.

Budget manager Molly Marcarelli told commissioners that construction market conditions — including strong regional demand for labor, continued inflation in mechanical and electrical equipment prices, and long lead times for specialized equipment such as generators — are factored into project cost baselines and escalation assumptions. \"Mechanical and electrical equipment prices are still forecasted to increase as demand for not just the skilled labor, but also these types of equipment remains high,\" Marcarelli said, and she noted generator lead times can stretch two to three years.

Commissioners pressed staff for details about partnerships with Wake Tech and workforce training to address skilled labor shortages; Marcarelli said Wake Tech would present its capital program and could address workforce questions at an upcoming May work session.

Todd Taylor, the county’s director of finance, described how the county uses a debt-and-capital model to evaluate affordability and to space out bond referenda and debt issuance. Taylor stressed the need to preserve capacity within the model to respond to market changes and uncertainties, including changes in tariffs and potential shifts in the bond market. \"What we can control is, being diligent in our financial planning and ensuring that we've got adequate capacity to account for, the unknown,\" Taylor said. He added that the county planned to sell bonds the day after the work session and that demand for the county's AAA-rated debt remained adequate despite volatility.

Both staff and commissioners raised concerns about federal-policy-level risks: staff noted ongoing discussions in Washington about the future of tax-exempt municipal financing and said eliminating or limiting tax-exempt bonds would raise borrowing costs materially. A commissioner with municipal finance experience warned that removing tax-exempt financing would be a large national shock for local infrastructure finance and urged robust federal advocacy.

County staff said they will continue to monitor construction and market indicators, adjust escalation assumptions as needed, and maintain reserves in the debt model to allow for volatility in interest rates or project costs.","mediaType","Video","parentTitle","Wake County - Regular - Apr 07, 2025","oneSentenceSummary","County budget staff and the finance director told commissioners that construction labor shortages, tariffs and long equipment lead times are affecting capital cost estimates and that federal policy changes to tax-exempt financing could materially raise borrowing costs.","taxTitle","Wake County, North Carolina","taxId",3336,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":80,"_47":81,"_49":82,"_51":83,"_53":84,"_55":56,"_57":58,"_59":85,"_61":62,"_63":64,"_65":86,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6612405,"Wake County outlines housing, fire tax and special capital funds; asks for partner input on shelter, acquisition fund",337,5403000,5740000,"/Search/View?dp=1&key=2891499-74a4ac57c044c33b19f75a49a4ee1133&start=5403&end=5740","https://assets.pipeline.soar.com/2891499-74a4ac57c044c33b19f75a49a4ee1133/thumbnail_5403000.jpg","/articles/6612405/Wake-County/North-Carolina/Wake-County-outlines-housing-fire-tax-and-special-capital-funds-asks-for-partner-input-on-shelter-acquisition-fund","https://secure.pipeline.soar.com/6612405-e0f3dce1856807c0cc189d22472a7004/orig.mp4?Expires=1770848364&Signature=fDudSNQrUWoVjnYo-mAHWPD1boEWmxFm8YOkMSoJO6i8VXiV-d2I4gt7NrFRQ2qafIDDry51u0F9z2c~JNUTqAE64QLolBcNj5WFrBX-pHxO3U4a3GGZCag4SQXbbu3QhBrzpo48LvpWpXyrT2tXeYr6mwFcbkuMlAXskYCeOd8RDzx7BkxQyp9xjc4~Lvmyq1vi7T4pRpw4vY2B~zEISAgllj6gpJ~VbqcihvGyjlZi44PA5GSswU6UGR3FcJEUwfsA-AbCl~oNfWhuo6ABel8WE~LF0BHXyBGkBJYkz4CRNrf5tKQAViXK4I35nxnJhAyekgPNfdTBSBG2jv7MCA__&Key-Pair-Id=KUT5TJCACFTXG","Budget and management services staff on April 7 summarized several dedicated capital funds that are separate from the main county capital program: the fire tax district capital program, the housing capital program, the major facilities program funded by hospitality taxes, and the solid waste capital program.

Marcarelli said the fire tax district is funded by a special property tax on unincorporated Wake County and the town of Wendell and that Wake County contracts with 19 fire departments to provide fire protection in those areas. The plan includes stations, rolling stock and equipment and will be presented to the Fire Commission for approval on April 10. \"Recommendations for this program are presented to the fire commission through the fire tax district long range plan,\" Marcarelli said.

On housing, Marcarelli said the housing capital fund — established in FY2019 — receives a dedicated transfer from the general fund to expand affordable housing and shelter capacity. The requested plan shows one-time allocations (for example, acquisition support and Second Street facility renovation) and staff confirmed the $5 million and $4.7 million figures shown on the chart are one-time requests in the current requested plan and not recurring annual amounts. County Manager Ellis said the county has requested roughly 50% of funding for the Second Street site from the City of Raleigh.

Commissioners discussed the housing preservation fund previously created and staff confirmed Self-Help Credit Union was selected to administer the preservation fund after an RFP and that the county made an initial $10 million investment in that preservation fund. Staff said a proposed acquisition fund would mirror the preservation fund to allow the county to leverage private financing and solicit a third-party administrator.

Marcarelli also summarized the major facilities capital program, which uses hospitality taxes governed by an interlocal agreement with the City of Raleigh for arts, culture, sports and convention-related capital projects and competitive awards. Solid waste capital projects (landfill, transfer stations and convenience centers) are funded by solid waste fees; staff said a planning project to evaluate post–South Wake Landfill solutions is included in the seven-year window.

No formal action was taken; staff said more in-depth presentations on housing and the Second Street facility renovation would be scheduled in upcoming work sessions.","Budget staff described the county's housing capital program, dedicated fire tax district funding, hospitality-tax-funded major facilities projects and an acquisiton/preservation approach for affordable housing, including $10 million initial preservation investment and requests for nonrecurring acquisition support.",{"_33":88,"_35":36,"_37":38,"_39":89,"_41":90,"_43":91,"_45":92,"_47":93,"_49":94,"_51":95,"_53":96,"_55":56,"_57":58,"_59":97,"_61":62,"_63":64,"_65":98,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6612410,"Wake County, Wake Tech and school system present $3.3 billion seven-year capital request; November 2026 education bond planned",2092,5916000,8008000,"/Search/View?dp=1&key=2891499-74a4ac57c044c33b19f75a49a4ee1133&start=5916&end=8008","https://assets.pipeline.soar.com/2891499-74a4ac57c044c33b19f75a49a4ee1133/thumbnail_5916000.jpg","/articles/6612410/Wake-County/North-Carolina/Wake-County-Wake-Tech-and-school-system-present-33-billion-seven-year-capital-request-November-2026-education-bond-planned","https://secure.pipeline.soar.com/6612410-b8cb5f23b2aa97e0c45fbb2bfba15294/orig.mp4?Expires=1770848364&Signature=l-miVivS5ZkemIPRrawek5xIoSIHmAIHsyyABF-g5dWWr29YBv1sh1pMDpd7zFOybqcKIMbIirmjIf44rZFvmcjzEWXI1LQ7Z60yIhcySdrnxLjCZELA-2TumKN5v5DFn9RUf4FcfugfuIqvIqRp4YLDMqn3mYZ2zoreubJbW-a9B7ziDPj0xXDH06scOS7wzuNPq2-ybD6GA0GCNoVZM3ubOF9PqAbVpJxWjafA2r9TJXhSzCU49GW4MU87W~z1QlSZYQQ78SzGdIhXKQhNa1oOs3KlPqETB4j1xJlk0mtLi~Rt3uVciKLnT7XQxZbkALKeBZ~ZEqJwuPpE6oOG5A__&Key-Pair-Id=KUT5TJCACFTXG","Wake County staff on April 7 presented updated seven-year capital totals for the county’s two largest education-related capital programs: Wake County Public Schools and Wake Tech.

Molly Marcarelli said Wake Tech’s proposed seven-year capital program totals about $425.8 million, with approximately $410 million planned as debt and $16 million as cash. The county’s proposed seven-year plan for Wake County Public Schools totals about $2.9 billion, primarily debt-funded. Marcarelli told the board the county is statutorily responsible for supporting Wake Tech and K–12 school facilities.

Todd Taylor, director of finance, summarized the county’s proposed funding plan: officials expect to pursue a combined education bond on the November 2026 ballot. Taylor said the combined November 2026 bond estimate for schools and Wake Tech is about $842.65 million and that the estimated tax impact to support that component is roughly a half-penny; staff currently estimate the public schools portion would be about $698.6 million (roughly four-tenths of a penny) and Wake Tech about $144.05 million (about one-tenth of a penny).

Taylor said the county will use a draw-program approach over the next two fiscal years for school and Wake Tech debt funding and will bring an RFP for that program to the board for approval this summer. He also noted that Wake Tech’s capital requests reflect the institution’s project timing: after a period of heavy capital spending earlier in the prior seven-year cycle, Wake Tech’s requests dip mid-cycle and then increase later in the plan for planned campus work.

Emily, a county staff member coordinating scheduling, said the joint facilities team meets regularly and that the school system’s final capital plan will be presented to the board after the school board votes on its plan (the school board’s facilities approval was scheduled in the days following the county work session). Commissioners were also asked to submit any specific questions for Wake Tech or the school system by April 25 so staff can share them with the partners ahead of a May 12 work session.

No formal vote occurred in the work session; staff said the manager will include the balanced capital plan in the manager’s recommended FY2026 budget presentation on May 5 and the county will continue to coordinate with Wake Tech and the school system on timing and scope.","County staff and the joint facilities team outlined seven-year capital totals for Wake County Public Schools and Wake Tech, described statutory funding responsibilities and scheduled an education bond for November 2026 with estimated tax impacts.",{"_33":100,"_35":36,"_37":38,"_39":101,"_41":102,"_43":103,"_45":104,"_47":105,"_49":106,"_51":107,"_53":108,"_55":56,"_57":58,"_59":109,"_61":62,"_63":64,"_65":110,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6612415,"Wake County presents $1.2 billion requested county capital plan, schedules bond issuances and tax impacts",3354,2711000,6065000,"/Search/View?dp=1&key=2891499-74a4ac57c044c33b19f75a49a4ee1133&start=2711&end=6065","https://assets.pipeline.soar.com/2891499-74a4ac57c044c33b19f75a49a4ee1133/thumbnail_2711000.jpg","/articles/6612415/Wake-County/North-Carolina/Wake-County-presents-12-billion-requested-county-capital-plan-schedules-bond-issuances-and-tax-impacts","https://secure.pipeline.soar.com/6612415-1a59d6441051f59adef63aac197de2f0/orig.mp4?Expires=1770848364&Signature=ElJzKHSefoyXI~LG0-C4C4Orw9R2wjL1ThOfjJsMaTo8e1p4Ut56Prh33ThOm6MTZrkd8yvGzeOab6cKSsPPZM6Ta2cLqRJP-Q2LMjrOaBKghOhqCJsCIILKNvkG5skLs6nymPr-fCdwdu~Q620sWYJ2AXMq0uSUD1cWz0FTKdP3YaHfLw8IIQ5NZiPsx8iRnLnuEkK6vI7zvYsoYTbaiKMAZ7xGGvwryXxYtH6JNs4OhJzgVoYVjQy63za1m-I5AM8L18qTZ8nE8y-kZGJiwxTfR4BzpKiDASF9KRuAL4lJjDW3KtaswW7wgx31dmNgW8isF7t-ACZVpV8mjom5cg__&Key-Pair-Id=KUT5TJCACFTXG","Wake County staff on April 7 presented a recommended seven-year capital improvement program that requests about $1.2 billion in county capital investments for fiscal years 2026 through 2032 and ties spending to a mix of debt and cash funding.

County budget manager Molly Marcarelli said the county uses a seven-year rolling plan for capital work and links each project to an identified funding source. \"Capital projects are those that cost more than a hundred thousand dollars and last more than a year,\" Marcarelli said. She told commissioners that nearly half of county capital funding in the plan is expected to come from debt.

The plan includes large facility projects the county has discussed in prior years: a planned detention center expansion (total project roughly $146 million), an animal control replacement (about $57 million), a decedent storage and medical examiner facility (about $52 million), a replacement/general services administration (GSA) facility (about $92 million) and a $15 million renovation of the Hammond Road annex. Marcarelli said library projects approved by voters in November 2024 — a $142 million library bond — are slated to begin in FY2026 and that the FY2026 budget will include a 0.25-cent tax increase to support that bond.

Todd Taylor, the county's director of finance, outlined how the county balances PAYGO (cash) and debt for capital needs. \"We tend to use PAYGO for smaller assets with shorter useful life and debt for larger, longer-life assets,\" Taylor said. He summarized the county's approach to issuing general obligation (GO) bonds and limited obligation bonds (LOBs), noting GO bonds are voter-authorized and typically carry the lowest borrowing cost while LOBs are board-authorized and secured by pledged assets.

Taylor and Marcarelli told commissioners the county will continue to refine project scopes, validate construction timelines and revise cost estimates each year. They also presented a multi-year issuance plan that schedules library issuances beginning in FY2026, major county facility debt issuances across FY2026–FY2028, and a planned combined education bond referendum in November 2026 (see related story on education funding for the county schedule and estimated tax impacts). Taylor noted the county's debt modeling currently anticipates the county will levy a quarter-penny in FY2026 for the recently approved library bond and estimated an additional half-penny in FY2028 to support a combined education bond, subject to final voter approval and future model updates.

Marcarelli described the funding mix for county capital programs as including limited obligation bonds and PAYGO cash for large construction and maintenance, transfers from the general fund derived from property tax for projects not eligible for debt, and municipal reimbursements for shared projects. She also highlighted that some projects in the seven-year window are \"horizon\" items — on the county’s radar but not yet appropriated because they need more refinement in scope, timing or funding.

The presentation emphasized that the county will continue to review the plan before the county manager’s recommended budget is finalized; projects lacking sufficient business case will be moved to horizon and timing adjustments may be made to keep the manager’s recommended budget balanced. Commissioners asked about timing and scope for specific projects and about how state requirements and master plans drive some projects. No formal decisions or votes were taken during the work session; staff said the manager's recommended budget will be presented May 5 and the board will adopt the FY2026 budget and related CIP on June 2.

Less critical details discussed toward the end of the session included routine maintenance budgeting, facility condition assessment cycles and the fiscal mechanics of moving design-phase cash to later-year debt-financed construction when appropriate.","County staff outlined the FY2026–2032 capital improvement program (CIP), describing $1.2 billion in county capital requests, major facility projects and a funding strategy that relies on a mix of debt and cash and schedules voter referenda and tax changes through 2032.","actionData","errors"]

Article not found

Wake County staff warn of construction cost pressures, long lead times and bond-market uncertainty as CIP is finalized

Wake County outlines housing, fire tax and special capital funds; asks for partner input on shelter, acquisition fund

Wake County, Wake Tech and school system present $3.3 billion seven-year capital request; November 2026 education bond planned

Wake County presents $1.2 billion requested county capital plan, schedules bond issuances and tax impacts