North Carolina Legislature Passes $2 Billion Bond bill

mccrory-pat-gov-nc-357.jpg

BRADENTON, Fla. - North Carolina lawmakers passed a $2 billion bond bill before adjourning a record nine-month session Wednesday.

The general obligation bond authorization cleared the House on a vote of 93-20 along with a flurry of other bills by 4 a.m., allowing lawmakers to end their work until next year.

House Bill 943, the Connect NC Bond Act, was sent to Gov. Pat McCrory, who is expected to sign the legislation even though lawmakers stripped $1.5 billion that he sought to finance transportation projects.

After McCrory's signature, the bond question moves on to North Carolina's voters.

"We have an unprecedented opportunity and a responsibility to fix our crumbling infrastructure and not pass these burdens onto our children by continuing to delay capital investments that will grow North Carolina," said Rep. Dean Arp, R-Union, who sponsored the bill. "This plan provides real solutions and real results."

Arp originally filed the measure seeking $2.8 billion of bonds as sought by McCrory.

During the marathon session, the Senate sought a lower amount and redirected the financing toward education and state infrastructure projects that benefit economic development, business, and tourism.

McCrory stumped for his version of the initiative across the state to drum up support for splitting bond proceeds between state infrastructure and transportation projects.

However, lawmakers removed road and bridge financing from the bill saying they provided $705 million in new revenue over the biennium for transportation by ending the transfer of gas tax revenue to the general fund from the highway fund. They also increased car registration and related fees.

The state will issue bonds with maturities up to 40 years if voters approve during the presidential primary on March 15.

The bonds will finance projects that are spelled out specifically in HB 943.

Generally, the funding will go to universities and community colleges, for water and sewer grant and loan programs, to modernize state National Guard facilities, for projects that attract bioscience and related industries, improving state attractions and parks, and funding public safety projects.

For reprint and licensing requests for this article, click here.
North Carolina
MORE FROM BOND BUYER