NC budget provision could cost Charlotte $40M if I-77 South opposes project

CHARLOTTE — The Charlotte Regional Transportation Planning Organization is scheduled to vote on whether to reinstate the I-77 South toll lane project.

This vote follows a new North Carolina budget provision that would require municipalities that previously withdrew support for the project to repay $60 million in sunk costs to the North Carolina Department of Transportation.

Under the new budget item, municipalities would be exempt from this financial repayment if they reverse their previous opposition and support the project at the September meeting.

The state budget item dictates that the repayment amount each municipality would owe is based on its proportional power on the CRTPO board. Charlotte, which holds the largest share of votes on the board, would be responsible for approximately $40 million of the $60 million total repayment if it maintains its opposition to the project.

Charlotte City Councilman Ed Driggs, who serves as the Queen City’s representative on the CRTPO, indicated that conversations are underway to potentially allow the project to move forward.

“I would say there are conversations going on to see whether the opponents of the project can agree to a process that would allow the project to move forward,” Driggs said.

Driggs stated that he intends to vote as the Charlotte City Council instructs him, but he hopes council members will reconsider their stance.

For Charlotte City Council to flip its vote and support the project, Driggs believes the North Carolina Department of Transportation would likely need to propose an alternative to the previous toll lane plan.

“We might engage with NCDOT and say ok we need to have some clarity about what possibilities exist,” Driggs said. “I think one of the issues we had is that some people thought we are locked into a particular solution.”

The Charlotte City Council voted 6-5 in May to withdraw its support for the I-77 project, meaning only one council member would need to change their vote to alter Charlotte’s position.

Mayor Rusty Knox of Davidson also plans to discuss the issue with his town board over the coming weeks. As of now, Davidson intends to maintain its opposition to the project. Knox expressed doubts about the legal viability of the budget provision regarding the repayment and cited existing flaws in the project.

“As it stands right now, we believe there is a better path forward, and we are going to stand our ground,” Knox said.

At least one municipality has already changed its position; the Monroe City Council voted last month in June to support the project.

A representative for Mecklenburg County stated that the county will remain opposed to the project.

The CRTPO will hold its vote on Sept. 23. If Charlotte flips its vote to support the project, it would significantly increase the chances for the I-77 South toll lane project to be reinstated.