No Rehearing on N.C. Toll Road Permit

The Fourth Circuit Court of Appeals has refused to hold another hearing on the federal permitting of North Carolina’s second toll road — the 19.7-mile Monroe Connector.

The North Carolina Department of Transportation had asked the court to allow new arguments in the case, but the appellate court said June 29 that its original ruling stands.

That ruling in May held that “critical assumptions” about building the toll road were not disclosed and incorrect information was provided to the public in violation of the National Environmental Policy Act.

The state DOT said in a statement that it was disappointed the case would not be reheard, adding that most work on the project has been suspended.

The DOT and the Turnpike Authority have undertaken a review of issues raised by the appellate decision, and will determine “what, if any, additional environmental study might be necessary.”

Some $673 million of bonds have been issued to finance the project; most of the debt is secured by state appropriations and not toll revenues.

The security or creditworthiness of the bonds remain intact and are not affected by the stalled road project, a source familiar with the financing structure said.

Environmental groups challenged the federal permits, saying that analysis conducted to plan the road was flawed.

The groups now contend that the DOT must restart its analysis of environmental impacts and alternatives, and eventually reapply for state and federal permits.

State officials, however, have not conceded that the permitting work must be done again.

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