The managers of Mecklenburg County, the city of Charlotte, and the towns of Cornelius, Davidson, Huntersville, Mint Hill, and Pineville deserve a great deal of credit for coming together and agreeing to a draft proposal that would transform transportation infrastructure in our region over the next 30 years. This region is experiencing incredible growth, and the business community has been calling for local action for years. As you speak with managers, mayors, and local elected officials in the aforementioned municipalities, please thank them for their leadership and for answering the call to debate how best to move our transportation needs forward.
What CLT Alliance and the business community have done
The Charlotte business community is united in its support of the recently announced proposal that dramatically increases revenue across all modes of transportation. Andrea Smith, interim president & CEO of the Charlotte Regional Business Alliance, and Eugene Woods, chair of the Charlotte Executive Leadership Council, offered statements advocating for the transit solutions included in the proposal.
“Investments in transportation infrastructure will be key to the region’s long-term competitiveness, success, and quality of life for all,” Smith said. “The ongoing conversations among the managers about the Red Line and other transit solutions are a promising sign of momentum. The CLT Alliance will continue to provide the business perspective on this critical topic and will work with stakeholders across the region to make progress on transportation solutions.”
“As one of the fastest-growing regions in the nation, the Charlotte Executive Leadership Council (CELC) has been a strong advocate for expanding and modernizing transportation infrastructure as it is essential for advancing our future economic vitality and enhancing quality of life,” Woods said. “With increasing traffic congestion and delays posing significant challenges for business commuters, residents, and travelers alike, we are encouraged by the ongoing efforts of our elected representatives and civic leaders to proactively plan for the continued growth and prosperity of our region.”
The business community has long been supportive of plans to make investments in the region’s transportation system. The CLT Alliance has consistently collaborated with elected and civic leaders to advance transportation policy and to maintain and grow momentum for funding solutions.
Draft Proposal
Following the announcement on Aug. 9 of draft legislation, elected city and town councils and county commissioners will review the proposal and consider resolutions in support. The Charlotte City Council will have the additional discussion of finalizing the purchase of the Red Line, which is another significant action by our elected leaders to further the transportation plans in the region.
The comprehensive draft proposal enables a countywide referendum on a one-percent local sales tax to fund mobility initiatives countywide. If approved, 60% of the proceeds of the sales tax shall be spent on roadways and buses and no more than 40% will be spent on rail. Importantly, this distribution will provide millions of dollars to the local governments in Mecklenburg County to fund transportation projects, creating a guaranteed revenue stream that would help mitigate congestion and further economic development opportunities for residents.
Additionally, the proposal is forward-thinking and creates a transit authority, which would assume operational control of the Charlotte Area Transit System (CATS) and the Metropolitan Transit Commission (MTC). The authority would include appointments from every municipality within Mecklenburg County, as well as state-level representation. It also provides the pathway for border counties to be included at a later date, providing a framework for a true, regional transportation network.
Charlotte City Council Update
Charlotte City Council’s Transportation, Planning, and Development Committee met this week to discuss the proposed transportation plan. City staff and council members expressed that this is an opportunity for a “generational investment” in our community. City officials outlined estimates for a one-cent sales tax increase, projecting it could generate $19.4 billion over 30 years, with $345 million expected in the first year. It is estimated that 30% of the sales tax revenue would come from individuals outside of Mecklenburg County.
This could lead to an estimated $7.8 billion for road projects (strategic mobility plan, strategic investment areas, bike and pedestrian safety), $3.8 billion for bus (improved buses), and $7.8 billion for rail (2030 transit plan), including an additional $5.9 billion from the federal government, grants, and fares.
Council Member Ed Driggs, chair of the Transportation Committee, acknowledged differing views on the proposal but emphasized the importance of securing legislative approval. “If we decided not to proceed with this draft legislation in favor of a different process, I believe it could take us years to get back to this point, if ever,” Driggs said, suggesting that some issues may need to be addressed as the process continues to unfold.
Matthews Action
Unfortunately, the Town of Matthews Board of Commissioners and Mayor John Higdon passed a resolution in opposition on Aug. 12, just days after the release of the proposal. By opposing the proposal in such an immediate way, there was not a serious debate or in-depth analysis on how the additional revenue could support the town’s long-term planning initiatives. Based on the debate, which started late in the evening, the decision was wholly based on an unwillingness by the majority of the local municipalities to return to previous, dormant plans that significantly increased the percentage of revenue for rail.
While Matthews is well within its rights to support or oppose the proposal for any reason, the business community was disappointed that more time was not provided for a comprehensive review of all parts of this transformational proposal. There was no public discussion on the millions of dollars in transportation funds that would be coming directly to the town that could support ancillary road projects and economic development opportunities.
The debate on Silver Line East has been a central aspect of the opposition, but the Charlotte Regional Business Alliance has been playing a key role in providing educational opportunities to learn about other options that could replace rail and provide more flexibility to communities while maintaining the permanent infrastructure that is so important to attracting the transit-oriented development that is vital to communities. The CLT Alliance has heard from developers that they are learning more about other options like Bus Rapid Transit and becoming more comfortable with how these lines perform similar to rail; and we hoped Matthews would have taken this same review.
The Silver Line East opposition has turned into a call for increasing the current proposal’s sales tax rate by 40% on all Mecklenburg County residents. There has been no transportation plan discussed in the last five years that has gone above one-percent and the CLT Alliance does not believe raising the rate to be a viable solution. The CLT Alliance recognizes that budgeting is difficult and planning within fiscal limitations is faced by every governmental entity in the state.
As transportation costs are rising, the region’s residents are facing growing congestion that challenges our quality of life. The Charlotte Region has been calling for a plan that can help mitigate the rising infrastructure needs our area demands given the population increases. This plan is equitable across the county and will benefit all citizens, providing better access to education, jobs, health care, sports and entertainment, and our airport.
Next Steps
Charlotte City Council will continue to review the proposed purchase of the Red Line throughout August. A Sept. 3 council meeting is planned for consideration of authorizing purchase of the Red Line property and adoption of a resolution supporting the above discussed draft proposal. Purchase of the Red Line is scheduled to close on Sept. 9.
Mecklenburg County, Cornelius, Davidson, Huntersville, Mint Hill, and Pineville will begin considering their resolutions in support of the draft legislation next week through early September.
