ANALYSIS | By Dave Vieser
Sept. 11. The Cornelius Town Board had just unanimously approved local legislation in support of a countywide referendum for a 1 percent sales tax to fund road and transit projects, including the Red Line. Mayor Woody Washam, while thankful for the commissioners support, sounded a note of caution: “It’s been a long journey but it’s not over.”
Indeed, the vote taken by the town board is just one early piece of a complex process necessary to bring commuter rail to North Mecklenburg.
About the commuter line
The Red Line would provide service from Charlotte’s Uptown station northward to Mount Mourne/Mooresville, including Cornelius. As opposed to the light rail system which serves other areas of Charlotte, commuter rail is comprised of heavier equipment which travels longer distances than light rail. Connections would be available in Charlotte to the airport as well as other key areas of the city.
Norfolk Southern right of way a necessity
Up until July 2023, having a rail line on the rarely used freight track seemed like an Impossibility since the Norfolk/Southern executives had expressed no interest in selling their right of way. That finally changed in 2023 and negotiations began between the city of Charlotte and the rail line representatives.
If all goes as planned, the city will closed on that sale agreement in Sept. 9.
How to fund the Red Line
Building a rail line is very expensive. Most estimates place the cost for the Red Line in excess of $680 million. Neither Charlotte nor the municipalities along the route have that type of money to spend on such a project. However, following a precedent which has been used in other parts of the country, local and state officials determined that a sales tax dedicated to funding the rail line could be one means of providing the needed funds.
The process of initiating the sales tax
In most instances, referendums are held to give citizens the choice as to whether they want to increase the sales tax and use the extra proceeds for a specific cause. For example, in 1998, a 1/2 percent sales tax increase was approved in Mecklenburg County to fund transit improvements.
This has been some journey…the darnedest thing I’ve ever been in the middle of!
—Mayor Woody Washam, August 19, 2024
Even before the citizens have the opportunity to vote, the referendum initiative must be authorized by the NC General Assembly.
Common sense would suggest that they would only proceed with such a vote if the various impacted municipalities expressed strong support. Thus, each of the towns are voting on a resolution similar to the August 19 Cornelius document.
The Cornelius legislation contained the following priorities:
1. Citizens shall have the right to vote in a referendum on a sales tax that will determine their road network and transit future
2. The potential sales tax shall provide substantive funding for Cornelius road projects
3. It must include enabling legislation and sales tax that delivers the Red Line to the north Mecklenburg community.
Expect similar resolutions to emerge from other towns. Most state representatives do not expect this issue to be addressed by the General Assembly until next year’s “Long Session” which would be early 2025.
Matthews not pleased
Most of the towns in Mecklenburg are on board, but not Matthews. That’s because the Silver Line, a light rail line to run east of Charlotte, towards Matthews, has been removed from the rail plans, in favor of a bus line. Matthews Mayor John Higdon has made his unhappiness well known, and the state representatives in Raleigh are watching very carefully.
If the General Assembly decides that a referendum is appropriate, it would be on the November 2025 ballot, which also is a local election year.
A 1 percent increase in the sales tax would bring the total in Mecklenburg county to 8.2 percent. Are the citizens of the county—and that would include voters who live in Charlotte—ready to authorize such an increase for rail and transit improvements?
We may not know until a year from November.
