The N.C. House of Representatives has approved a plan that would allow Mecklenburg County voters to take up a referendum on a one percent sales tax that would fund billions of dollars in transportation projects.
House Bill 948, the P.A.V.E. Act, passed by a vote of 102 to 6. It will now head to the Senate.
The legislation allows Mecklenburg County to place the referendum on the ballot as soon as this November. If approved, 40% of the revenue from the new tax would be used on local roads, 40% would be spent on rail project and 20% on buses.
"It's not perfect, but it is a tremendous start. House Bill 948 provides the framework for voters to decide if they want the opportunity to improve transportation issues in our very highly populated and dense region of Mecklenburg County," Rep. Tricia Cotham, R-Mecklenburg, said on the House floor Wednesday.
Cotham is the bill's primary sponsor.
Legislative fiscal analysts predict the new tax would result in about $175 million in transportation revenue in 2026-27, followed by at least $360 million in every year after, with revenue expected to increase over time.
A new 27-member transit authority for the county would oversee spending. It would be made up of appointments from all six local municipal governments, as well as one each from the governor, speaker of the House and Senate president pro tempore.
Rep. Laura Budd, D-Mecklenburg, praised lawmakers for legislation that could bring an effort that began decades ago to fruition.
Budd also referenced people who are frustrated with the current version of the transit plan, including the Town of Matthews.
"We're still here, we're still listening and our goal is to fully fund the project, put in all of the rail lines, all of the road improvements and maintenance and other modes of transportation, including a really well-functioning bus system. We need that," Budd said.
Matthews leaders have been opposed to the plan since its unveiling last summer, worried that it makes a light rail project to and from Charlotte unlikely. But the Charlotte Ledger has reported that the opposition has thawed in recent months as other potential benefits of the plan became clear.
Cotham argued that the estimated $5.4 million that Matthews will receive annually for local road projects will help ease congestion.
"This is a huge win for Matthews, and I hope it will garner the support for good policy and that others don't try to put bad politics in play here," Cotham said.
Non-Charlotte municipalities' road funding will be allocated based on a formula accounting for population and miles of locally maintained roads, while Charlotte receive the total amount of left-over funds from that portion.
Several lawmakers have approached Cotham about using similar funding mechanisms for transportation upgrades in their own counties.
"By passing this bill, it sets the framework and it's going to make that very easy for you to do for your specific county," Cotham said.
The P.A.V.E. Act will now head to the Senate. It is largely similar to a
Mecklenburg transit referendum filed in that chamber earlier this year, and Cotham is hopeful it will find support there.
"The Senate has been great to work with. ... We're already in those conversations," Cotham said.
