Title
Mecklenburg Public Transportation Authority Memorandum of Understanding
Action
Action:
Adopt a resolution approving a Memorandum of Understanding with Mecklenburg County and the Towns of Cornelius, Davidson, Huntersville, Matthews, Mint Hill, and Pineville for the creation of and the appointment process for the Mecklenburg Public Transportation Authority
Body
Staff Resource(s):
Liz Babson, City Manager’s Office
Donny Hamilton, City Manager’s Office
Explanation
§ The NC General Assembly and NC Governor passed and signed into law effective July 1, 2025, Session Law 2025-39: The Projects for Advancing Vehicle-Infrastructure Enhancements (PAVE) Act.
§ The proposed Memorandum of Understanding (MOU) includes participants’ (Appointing Authorities) collective agreement on an outline and process by which the creation of and appointments to the Metropolitan Public Transit Authority (MPTA) will be made in order to comply with the PAVE Act.
§ As a result of authorization included within the PAVE Act, Mecklenburg County residents will vote by referendum in the November 2025 general election on whether they will approve an additional one cent sales tax for investment in roadway and public transportation systems.
§ This proposed sales tax increase would also allow the region to leverage substantial federal grant funding that is available for investment in transportation network infrastructure, which requires a percentage match of local funding to utilize. If approved, the additional revenue would provide for:
- Over $100 million annually allocated to the City of Charlotte for roadway funding;
- More than doubling the investment in transit, and increasing the bus program by 50 percent; and
- Establishing a Transit Authority governance structure.
§ A requirement for moving forward with levying the proposed additional sales tax includes the establishment of a Transit Authority and the establishment of a Transit Authority governance structure with appointments to the board of trustees.
- If a voter referendum is approved, the Appointing Authorities would need to be able to promptly appoint members to the MPTA to ensure that the MPTA can take action to meet the January 1, 2026, deadline for certain actions as required by the PAVE Act.
§ The proposed MOU includes that each individual Appointing Authority shall work individually to determine the application process by which they receive and process trustee applications through the normal course of their appointment process.
- All advisory boards and members of the current advisory system structure of the Metropolitan Transit Commission will transfer over to the new MPTA as they exist and continue to serve as they currently serve.
§ Future Council action will include establishing appointments to the new MPTA board of trustees. In the coming weeks, Council will receive options for consideration of a process to review board candidates and make appointments to the MPTA board of trustees.
§ Timeline of next steps includes:
- August 7 through September 16, 2025: All municipalities to review and vote on this MOU for approval.
- September 3, 2025: Mecklenburg County Commission vote to notice a public hearing and place said public hearing on the calendar for September 16, 2025, to hear public comments and vote to establish the MPTA.
- September 16, 2025: Mecklenburg County to hold public hearing and vote on Resolution for Establishment of the MPTA and trustee application process. Mecklenburg County will be the final voting entity granting approval of this MOU.
- September 17, 2025: Application period opens for trustee appointments to the MPTA.
- September 17 through October 13, 2025: Application period for appointments to the MPTA.
- November 4, 2025: General election including referendum for the additional one cent sales tax.
- November 8 through December 12, 2025: Trustee appointments will be made to the Authority by the Appointing Authorities from the approved lists made by the Attorneys and Clerks.
- By December 31, 2025: Authority is convened for the limited purpose of approving the required initial reports to the General Assembly.
Background
§ The City of Charlotte is a member of the Metropolitan Transit Commission established in 1999 between the City of Charlotte and six surrounding towns to support provision of diverse public transportation options to residents.
§ Mecklenburg County is a regional economic engine with over 1.2 million residents and one of the fastest growing metro areas in the country, attracting new businesses, jobs, tourism, and people every day.
§ Regional growth creates regional transportation needs that include managing the inevitable increase in vehicle trips, maintaining healthy air quality, and reducing emissions and congestion.
§ In 2021, following the Charlotte Moves Task Force, which recommended a multi-modal one cent for mobility, City Council directed the City Manager to develop a funding, financing, and legislative strategy to move forward a one cent sales tax.
§ The City of Charlotte has since adopted the Strategic Mobility Plan (2022), identified strategic investment areas for multi-modal mobility improvements (2023 through 2024), and reaffirmed Mobility as a Council priority in annual strategy sessions.
§ The Metropolitan Transit Commission is currently leading a process to update the Transit System Plan including engagement with the broader community about expansion of public transit networks and matching projects to available resources that support the continued growth the region is experiencing.
§ At the same time, City Council will continue to define a program of prioritized transportation projects within Strategic Investment Areas to be funded by the sales tax.
Attachments
Attachment(s)
Resolution