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WMPO committee weighs transit tax, bond, and toll to fund transit and bridge replacement

WMPO
/
WHQR

At the end of July, the regional planning organization for southeastern North Carolina held a committee meeting with one goal in mind: finding a way to pay for the region’s more serious transportation needs, including a replacement for the Cape Fear Memorial Bridge.

BS: So Kelly, you tuned into this meeting – what went on?

KK: The main point was to go over a legislative update and identify possible alternative funding sources for needed transportation projects – especially the Cape Fear Memorial Bridge. That project is kind of in crisis right now, even though the feds maintained the $242 million grant that was frozen for months by DOGE cuts. Here’s Chase Horton, a Government Affairs Specialist with Maynard Nexsen, explaining why that money isn’t sufficient.

Chase Horton: "That gap has increased exponentially, because the estimated cost is now $1.1 billion. The federal grant, which as of last week was unpaused, is $242 million, which was supposed to cover 50% of the project. It now covers less than 25% of the project.”

BS: Yeah, based on requirements from the Army Corps of Engineers and the Coast Guard, the impacts of inflation, and the expanded scope of the project – we’re behind the eight ball.

Right now, the NCDOT’s ranking system won’t fund the project – unless it’s a toll bridge. And that is obviously pretty unpopular.

NCDOT tells me they’re open to every option – but, frankly, they’re broke. And our region is going to be short about $7 billion dollars for its 2045 metropolitan transportation plan.

KK: It’s such an overwhelming figure, and we’re competing with every other region in the state for this money. That includes western North Carolina, which was devastated by Helene.

BS: And we obviously want to see those repairs made for our friends and colleagues in western NC – but the fiscal reality is it makes our own projects tougher to fund.

KS: Right – but putting up our own funding makes us more competitive for state and federal funding and could help us win priority for important projects, like the bridge.

BS: So what were some of the options?

KK: Let’s start with the small ones. They talked about a Vehicle Registration Fee of $7, that would raise $67 million over 25 years in New Hanover County. They also talked about a Motor Vehicle License Tax, that’d be $7 million over that time period. Or a vehicle rental tax, that’d be about $60 million over 25 years in the county as well.

BS: Not really enough for a new bridge, let alone $7 billion for the region.

KK: I think that was the consensus - they need something more substantial.

BS: Like what?

KK: Like a transit tax! Except New Hanover County voters rejected one pretty recently, so they’re worried about that. But the ¼ cent sales tax would raise over $1.1 billion just in New Hanover County over the next 25 years. Extending that to Brunswick and Pender would add another $755 million or so to that tally.

BS: Wait, so they’d pass it as a region? How does that work?

KK: Things are getting kind of interesting on that front, since the legislature just passed the PAVE Act. It gave Mecklenburg County the right to seek a 1 cent transportation tax. And I’ll tell you, folks in this meeting were excited about that. Horton said legislators were pushing to expand that option to their own counties, and that seems likely to happen.

BS: So they’d look at a half cent or full cent tax?

KK: Yeah, I think they were saying the ¼ cent tax was confusing to voters because it sounded like a quarter, as in 25 cents. They think making this bigger might make it sound smaller.

BS: Ah, like the old quarter-pounder vs third-of-a-pound burger war between McDonald’s and A&W.

KK: Yes. Classic fractions fail.

[Editor's note: The web version of this audio contains Kelly Kenoyer's actual, real-time reaction to the 'third of a pound' burger saga.]

BS: We’ll have a link on the page if you haven’t heard this story — but back to the transit tax option.  

KK: Okay – well, Horton seemed to think the WMPO could really lead the movement here.

Chase Horton: "It has to be bigger than the WMPO but that doesn't mean it can't start with y'all, but it has to be much bigger, much bigger.”

BS: Well, did the members want to do that?

KK: They didn’t exactly confirm that. They have another meeting scheduled to talk about this. New Hanover County Commissioner Dane Scalise said he wanted a lot of public input on the decision so it doesn’t, quote, “look like it is just something that's being cooked up in a room.”

BS: Well, public input is good, that’s true. But I know there was a sense of urgency in the room, too. They talked about getting something, a tax or bond, on the ballot in 2027.

KK: There’s a lot more to be discussed, and we’ll keep following it.

BS: In the meantime, thanks for your reporting, Kelly.

KK: Thanks Ben.

Kelly Kenoyer is an Oregonian transplant on the East Coast. She attended University of Oregon’s School of Journalism as an undergraduate, and later received a Master’s in Journalism from University of Missouri- Columbia. Contact her by email at KKenoyer@whqr.org.