Financial Services

Department functions include:

• Handling water and sewer billing and collections
• Issuing business licenses
• Collecting permit fees
• Collecting prepared food and beverage tax funds
• Handling accounts receivable and payable
• Handling purchase orders and requisitions
• Maintaining insurance verifications
• Maintaining town contracts
• Maintaining the town's capital asset records

The Financial Services Department arranges connections for new customers, disconnections of service, schedules meter readings, and collects monthly payments. See the Water and Sewer Services page for more information.

The Town of Hillsborough participates in the North Carolina Local Government Debt Setoff Clearinghouse. This program secures payment of delinquent water and sewer bills by filing a claim with the state to intercept income tax refunds or North Carolina education lottery winnings of those who owe payment to the town of $50 or greater, according to North Carolina General Statute 105A: Setoff Debt Collection Act.

The Annual Comprehensive Financial Report is a complete set of the town's financial statements for the previous fiscal year.

The most current report is provided below. To see past reports, visit the town's archival site.

All businesses selling beer or wine are required to obtain a business license. An approved application is necessary before conducting business.

No other type of business is required to obtain a license.

The town levies a 3% hotel and motel room occupancy tax, with proceeds funding the Tourism Development Authority. Details about the tax can be found in the Code of Ordinances.

Payments can be made online using the town payments and donations website. Payments with cash or check can be made in person at the department office.

The town levies an additional 1% sales tax on prepared foods and beverages, with proceeds funding the Tourism Board.

Monthly food and beverage reports and tax payments are due by the 25th day of the month following the month in which sales are transacted. Penalties for nonpayment include:

• A $2 fine for each day past the due date, up to $500.
• An additional fine of 5% of the amount owed if payment is more than 30 days past due.
• An additional fine of 5% of the amount owed for each additional month or fraction of a month.
• A possible misdemeanor charge punishable by a fine not to exceed $500 and imprisonment not to exceed six months.

The policy on food and beverage tax can be found in the Code of Ordinances.

Itinerant merchants selling prepared food or beverages must submit an application and pay for a Single-Day Prepaid Food and Beverage Tax for each day of operation. Itinerant merchants are not required to obtain any other permits from the town.

Payments can be made online using the town payments and donations website. Payments with cash or check can be made in person at the department office.

Mobile food vendors, including pushcart and food truck operators, are required to have town and Orange County Health Department operating permits.

Additional regulations can be found in the Code of Ordinances. These regulations apply to vendors who intend to operate from a fixed location or route multiple days per year.

Vendors operating on a more permanent basis may file a Mobile Food Vendor Permit Application. The town permits a specific number of food trucks within its limits. Permits are issued on a first-come, first-served basis until all available permits have been issued.

Vendors are required to make food and beverage tax payments. Itinerant merchants selling prepared food or beverages must submit an application and pay for a Single-Day Prepaid Food and Beverage Tax for each day of operation. Permanent mobile food vendors must file a Prepared Food and Beverage Tax Report every month regardless of sales. This is in lieu of paying Single-Day Prepaid Food and Beverage Tax for each day of operation.

The town payments and donations website can be used to make the following types of payment. It cannot be used to pay property taxes.

• General donations
• Police youth events donations
• Water Assistance Program donations
• Park reservation fees
• Planning permit, review or general fees
• Bulk items or special brush and vegetation collection fees
• Rollout cart fees
• Parking violations
• Public works violations
• Invoices
• Water and sewer bills