Everything to know about the 1% transportation sales tax referendum
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Are you voting for the 1% transportation sales tax referendum in November?
Why it matters: It's a complicated question — much more so than the language on the ballot will suggest.
- Here are the key facts you should know to begin forming a decision.
Driving the news: In November, all voters in Mecklenburg County will be asked on their ballot if they are for or against: "One percent (1%) local sales and use taxes, in addition to the current local sales and use taxes, to be used only for roadway systems and public transportation systems."
The big picture: If approved, this tax would generate $19.4 billion over 30 years for new transit lines, roads, bike and pedestrian projects, and bus improvements across the county.
- Plus, local government estimates the region could receive $5.9 billion in matching federal grants.
Yes, but: The tax will cost you, and no project is 100% guaranteed to be built.
By the numbers: Mecklenburg County's total sales tax rate would rise from 7.25% to 8.25%.
- That means you'd pay $8.25 on a $100 purchase of items like clothes, electronics, books or entertainment tickets.
- The impact would be felt more at the mall, for example, than at the grocery store. Essentials like gas, medicine and most foods would be excluded.
- The average household would spend an extra $20 per month, or $240 annually, according to the City of Charlotte's estimates. A low-income household's budget would increase by $11 per month, or $132 per year.
- Visitors are expected to contribute 30% of the tax collection, meaning residents wouldn't bear all the burden as they would with a property tax, for instance.
But what would we get in return? Here's a rough breakdown of how the money would be spent.
Rail (40% / $7.8B)
An estimated $7.8 billion, or 40% of the revenue, over 30 years would be dedicated to rail construction.
The Red Line commuter rail, from Uptown through north Mecklenburg to Davidson, would be built first if the referendum passes. State law will require that at least 50% be completed before any other new rail lines open.
- The 22-mile commuter rail line is estimated to cost $1.38 billion and take eight to 10 years to build.
The other projects in the queue, but with no clear costs or timelines, include:
- The Silver Line light rail from the airport (the stop would be about a mile away) through Uptown to Bojangles Coliseum.
- A Gold Line streetcar extension, adding four miles of the line to the east to Eastland Yards and two miles west to Beatties Ford Road.
- A Blue Line light rail extension south to Pineville.
Cheat sheet: Charlotte's 4 rail corridors
Roads (40% / $7.8B)
Another estimated $7.8 billion, or 40%, would be split between Charlotte and Mecklenburg County's six towns for road projects, including bike paths, intersection improvements, street lighting and sidewalks.
Here's how much each municipality is expected to get in year one:
- Charlotte: $102 million
- The city's "Blueprint For Charlotte Mobility Investment" lists potential projects and targeted locations, but with no costs or timelines, so it's unclear what would be built first.
- Cornelius: $5.8 million
- Davidson: $3.1 million
- Huntersville: $12.4 million
- Matthews: $5.4 million
- Mint Hill: $6.7 million
- Pineville: $1.9 million
Buses and microtransit (20% / $3.8B)
An estimated $3.8 billion, or 20%, would go to CATS bus improvements, including:
- Expanding microtransit — a rideshare service you call through an app, with rides costing $2.20 or $1.10 for seniors — to 100 additional square miles across Mecklenburg County within five years.
- Boost frequencies for the top 15 routes to every 15 minutes and all other routes to 30 minutes or faster.
- Build or upgrade 2,000 bus shelters, benches and waiting pads in 10 years.
Between the lines: If the referendum passes, a new Metropolitan Public Transportation Authority will manage the spending. The 27-member board includes:
- Ned Curran, local real estate consultant, who's already been appointed by the General Assembly.
- David Longo, Charlotte Regional Business Alliance board chair, also named by the General Assembly.
- 12 members to be appointed by the City of Charlotte, including at least three recommendations from the Alliance and at least one small business owner.
- Six members to be appointed by the board of county commissioners, including at least one representative from the unincorporated area and at least one small business owner.
- Six members to represent each Mecklenburg County town.
- One member appointed by the governor.
What they're saying: Proponents say the tax money is urgent to manage growth, reduce congestion, improve safety, and expand public transportation for economic and environmental reasons.
- Supporters call the tax a "once-in-a-generation" opportunity after years of negotiations to get the referendum on the ballot. Advocates fear going back to "square zero" if it's voted down.
- "Nothing is perfect about it. But don't let perfect be the enemy of the good," Anthony Foxx, former U.S. transportation secretary, said.
The other side: Critics call the tax "regressive," falling hardest on low-income residents. They refer to it as a 14% increase in the tax rate, moving from .0725 cents to .0825 cents per $100.
- Some people say the transportation plan is just plain bad, failing to fulfill the community's real needs.
What's next: Early voting is open Oct. 16 through Nov. 1. Registered voters can go to any open precinct during that time.
- Election Day is Tuesday, Nov. 4. You must go to your assigned polling place.
