Charlotte will have the means to address crowded and deteriorated streets and enhance efforts to reduce traffic fatalities now that the Local Government Commission (LGC) has approved $400 million in general obligation bonds.
The Charlotte bonds were approved by voter referenda in the November election. They cover three main project areas: Transportation ($238 million), housing ($100 million) and neighborhood improvement ($61.7 million). A tax increase estimated at .25 cents per $100 of assessed property valuation is expected to cover the costs.
Transportation projects include sidewalk improvements, new projects, congestion mitigation and street resurfacing. Some of the proceeds will pay for Vision Zero, a program intended to reduce traffic deaths. The city plans to use the housing bonds to serve low- and moderate-income families. The neighborhood bond incorporates sidewalk installations, pedestrian and bike paths and traffic controls.
The LGC is chaired by State Treasurer Brad Briner and staffed by the Department of State Treasurer (DST). It has a statutory duty to approve most debt issued by units of local government and public authorities in the state. The commission examines whether the amount of money that units borrow is adequate and reasonable for proposed projects and confirms the governmental units can reasonably afford to repay the debt. It also monitors the financial well-being of more than 1,100 local government units.
Also on the agenda for Tuesday’s commission meeting was a request from Wake County for $142 million in general obligation bonds for libraries. The bonds were approved by voters in the November election, and LGC members gave their stamp of approval on Tuesday. A tax increase estimated at .00025 cents per $100 assessed valuation is anticipated to pay for the projects, deemed necessary to meet the county’s continued growth and development.
Proceeds from the bonds will be used to renovate the Library Administrative building and the Richard B. Harrison, Express, Zebulon Community, Green Road, Leesville and Northeast Region libraries. Other projects include building or expanding the Rolesville, Athens Drive, Wendell, Fuquay-Varina and Apex Friendship libraries, the Digital Equity Center and the Peace & Justice Memorial.
The LGC approved assorted requests from other government units for schools, streets, parks and other infrastructure including the town of Chapel Hill (Orange County). It successfully requested the LGC to sign off on $44 million in general obligation bonds that were approved by voter referenda in November. No tax increase is anticipated. Proceeds from the bonds will be used to pay for multiple affordable housing projects and renovations, improvement and construction of Fire Station 3 and Fire Station 4 ($15 million), streets and sidewalks improvement ($7.5 million), parks and recreation ($4.5 million) and Bolin Creek Greenway extension and other open space projects ($2 million).
The LGC gave a green light to Union County’s application for $39.4 million in general obligation bonds previously approved by voter referendum. A tax increase of .8 cents per $100 of assessed property valuation is anticipated to pay the bond costs. Proceeds from the bonds will be used to pay for a portion of costs for the new Parkwood High School ($10.7 million), renovation of an existing high school into East Union Middle School ($27.5 million) and contingency funds ($1.1 million).
Iredell County’s request to issue $39 million in general obligation bonds to partially finance costs to build and equip a new high school in Troutman got an OK from the LGC. The proposed Weathers Creek High School would serve approximately 1,500 students in the southern end of the county made necessary due to capacity and growth issues. No tax increase is anticipated. Total cost of the project is projected to be about $123 million. The LGC previously approved $83.9 million in general obligation bonds for the project.
The LGC gave a thumbs up to the town of Knightdale (Wake County) for $14.5 million in limited obligation bonds for several public safety projects. Unlike general obligation bonds, limited obligation bonds do not require voter approval. Bond proceeds will be used to renovate and expand the police headquarters, a fire station and emergency medical services facility. Those facilities will be consolidated into a new law enforcement center.
LGC members passed a $3.9 million financing request from the city of Lexington (Davidson County) for Dunbar Belrock Ventures to purchase the Historic Dunbar School and 10 acres of property. The company will redevelop the property as apartments. The existing auditorium, gymnasium basketball court and community spaces will be redeveloped for community use. The city plans to invest $3 million in cash for the repurposing and would enter into a 19.9-year lease for the designated facilities in the building and 40 parking spaces.
Pamlico County successfully presented an application for a $3.7 million installment purchase, which allows repayment of financing over a period of time instead of all at once. The money will be used towards construction of a new building to consolidate middle and high school buildings for grades 6-12. The existing middle school is in a flood zone and experienced water damage during hurricanes Florence and Irene. The loan would serve as a match to a $50 million Needs-Based, Public School Capital Fund Grant.
LGC members voted to approve financing requests from Black Mountain (Buncombe County) and Kannapolis (Cabarrus and Rowan counties) to obtain N.C. Department of Environmental Quality (DEQ) repayable loans to conduct lead service line inspections and inventories. The surveys are required under U.S. Environmental Protection Agency and DEQ regulations. The intent of the inventories is to identify where lead water lines are located in anticipation of replacing them to protect public health. Black Mountain won approval for $500,000; Kannapolis for $1 million.