This year's school bonds could be a tougher sell
Plus: The Park Church sells 39-acre campus in Pineville; Ledger 'Beers with the Editors' tomorrow; House speaker replies to affair allegations; Watch out for flooding; Free Duke tuition
Good morning! Today is Wednesday, June 21, 2023. You’re reading The Charlotte Ledger, an e-newsletter with local business-y news and insights for Charlotte, N.C. This post is sent to paying subscribers only.
Unhappy parents and worries about tax hikes could pose stumbling blocks for CMS’s record-setting $2.5B bond on November’s ballot. School board members say they want voters to understand school construction needs.
A live webcam captures the construction of a new high school in south Charlotte — paid for by the 2017 school bond — in real time. (Here you can see the effects of this week’s rainy weather.)
by Cristina Bolling and Tony Mecia
School bonds have typically been an easy sell in Mecklenburg County, with voters approving spending millions to improve aging buildings and construct new schools in growing areas.
This November could be a little different.
The ask is in the billions — $2.5B, to be exact, which is the highest school bond in both county and state history. And it’s coming at a time when some voters and a portion of Mecklenburg County commissioners have expressed concerns about the tax increase that would come as a result of a bond and recent issues facing Charlotte-Mecklenburg Schools:
The district has been experiencing leadership turmoil for more than a year, leading up to the appointment of new superintendent Crystal Hill last month.
Student performance has been lagging since Covid, as it has in districts nationwide.
And earlier this month, the school board voted on new school assignments for tens of thousands of students across south Charlotte as the district makes plans to open a new high school and middle school. Some families were unhappy with their new school assignments and how the district handled the process.
The new bond would fund an estimated 30 projects to renovate, replace or build new schools. On the list are projects that would add three new middle schools, build a regional athletics facility, replace buildings or do vast renovations at several high schools and add a small specialty high school in uptown Charlotte.
County commissioners must sign off on bond requests before they’re put to voters; CMS had asked the county to put a $3B bond before voters, but county commissioners lowered the number to $2.5B.
‘Zero faith’: Just minutes after the board voted on new south Charlotte school boundaries June 6, upset parents from the Polo Ridge Elementary feeder pattern were already talking about pulling their support of the bond. A series of draft maps leading up to the final superintendent’s recommendation had Polo Ridge students continuing on to Ardrey Kell High, but the final recommendation the board approved switched Polo Ridge to the new high school — a change that many in that community deemed sudden and unfair.
“There is absolutely no accountability,” said one Polo Ridge dad. “Why should the money be wasted on such a thing?”
Another CMS parent, Jennifer Ricketts, said she, too, won’t support the bond because of how the boundary decisions unfolded. She has a rising 10th grader at Myers Park High and a rising 7th grader at Alexander Graham Middle. Like Polo Ridge, Alexander Graham had been slated to keep its feeder pattern stable in draft maps, but a portion of the school was switched in the final recommendation to South Mecklenburg High.
“What the CMS staff, new superintendent and board did to CMS children and families with that disaster of a plan is unacceptable. They looked us in the eyes and told us they care about our children, and then they voted against them,” Ricketts said. “I have zero faith in any of them to manage the money they will receive from this bond.”
‘Children need a good environment to learn’: School board member Lisa Cline said she asks parents to understand the impact the bond would have, even if they’re unhappy with decisions like the recent boundary vote.
“I know that parents are upset, and I respect that and I understand it,” Cline said. “But we have an elementary school that’s on well water. … Charlotte is a growing city, and if we don’t have the space for children in schools, we’re going to be in overcrowded, unsafe conditions.”
“Think about what you want for your child. If we have more schools, we can put them in new facilities that are safe and where everything is together,” Cline said.
She noted schools like Matthews Elementary and North Mecklenburg High, which are both in aging buildings that would be replaced by the bond, and Beverly Woods Elementary, which Cline said has classrooms with no windows.
“The children need to have a good environment to learn,” she said.
Elyse Dashew, CMS school board chair, said she encourages parents “to think about what is best for their kids and basically the children of Mecklenburg County as a whole” when deciding whether to support the bond in November.
“The importance of this bond is that it’s going to improve safety, and any of the schools that are touched by the bond are going to be safer — that includes schools in south Mecklenburg,” she said.
Dashew said the capital needs of the county are real, and stressed that delaying them will make projects costlier as prices continue to rise.
“If you don’t do it now, you’re putting it off for later, and we do know how the longer you wait the more expensive things get,” she said. “So, it’s really a matter of thinking about what are the best learning environments for students and working environments for the teachers, and hopefully that is the lens through which families will make that decision.”
Worries from commissioners: At a county budget meeting this month, three commissioners voted against putting a $2.5B bond referendum on the ballot, saying they worried voters would shoot it down and that it would lead to higher taxes. They supported a lower amount, $1B, which would have meant sharply less school construction.
“I do not think the voters will approve the 2.5,” commissioner Pat Cotham said. “… There were so many people upset about maps. I think they would take it out on the bonds and vote against it.”
She added that “there’s still a lot of angst in the community” and that there were “so many people who were not happy during Covid with CMS.”
Commissioner Vilma Leake said she heard from church leaders worried about the effect of higher taxes on low-income communities.
“They wanted me not to support this process of $2.5B for the school system because of some of the concerns they have,” she said. “… Our people cannot afford to pay an increase in taxes in this process.”
Commissioners, though, voted 5-3 to support the $2.5B. Cotham, Leake and commissioner Arthur Griffin voted no.
Voters have struck down CMS bonds in Mecklenburg County before. A $427M bond package was rejected by voters in 2005 due to what some voters said was a lack of confidence in the school board and its plan for the bond money. The most recent bond vote, for $922M in 2017, passed easily, with 72% voting yes, and school bonds in 2013 passed with 74% approval.
Taxes would rise, potential for ratings downgrade: In a presentation to commissioners on May 9, David Boyd, the county’s chief financial officer, showed a slide that said that the county would need to raise property taxes by a total of 3 cents per $100 of valuation — 1 cent each in 2025, 2028 and 2029 — to pay for $2.5B in school bonds.
“To fund this level of capital, a tax increase is essentially unavoidable,” Boyd said.
On a $400,000 house, each 1 cent increase equals $40 more in property taxes. So by 2029, the owner of that house would be paying $120 a year more in taxes to pay for the school bonds, though a planned revaluation in 2027 could scramble that math.
A slide presented to commissioners in May shows a “cumulative tax increase” of 3 cents per $100 in property valuation by 2029 to pay for $2.5B in school bonds.
The county will also need tax increases of 2 cents per $100 in valuation during that period to pay for plans for construction of libraries, parks and other buildings, county officials have said.
Boyd said borrowing the full amount “will put some pressure on our bond rating,” and that if rating agencies downgrade the county’s debt, that would add $12.5M in borrowing costs on the $2.5B for schools.
If the bond vote fails, the county would work with CMS on a smaller list of the most critical school projects that could be funded without a bond vote, then return to voters in November 2025 for a new bond vote, Boyd said.
Cristina Bolling is The Ledger’s managing editor. Reach her at cristina@cltledger.com.
The Park Church sells its 39-acre Pineville church campus to a non-denominational church that started in north Charlotte
The Park Church, one of Charlotte’s most established Black churches, has sold its 39-acre campus in Pineville to a non-denominational congregation called Nikao Church, which will add it as a second campus.
The Park Church has owned the Pineville campus on Lancaster Highway in Pineville since 2004, according to Mecklenburg County land records. The land and building are valued at $7.6M according to the most recent property revaluation. The sales price was not publicly available, but records show it changed hands in May.
Neither The Park nor Nikao Church leaders responded to questions from The Ledger about the sale of the property.
This building, which sits on 39 acres of land on Lancaster Highway in Pineville, changed hands last month from The Park Church to Nikao Church.
The Park Church, led by Senior Pastor Bishop Claude Alexander, has a flagship church on Beatties Ford Road, and in 2006 it purchased the Charlotte Merchandise Mart, which it renamed The Park Expo and Conference Center, which is a 529,000 s.f. complex that houses the church’s second campus and hosts office leasing, trade shows, conferences and exhibitions.
According to Nikao Church’s website, it has 2,000 worshipers each week in-person and online and is led by pastor Brian Duley, who is “known for his innovative approach and never-a-dull-moment services.” The church started eight years ago with services in Duley’s basement, followed by worship at the Hilton University Hotel, Vance High School and then a building in University City, according to the website.
Newcomers are greeted with “VIP” treatment, and Nikao derives its name from a Greek word that means “to conquer, prevail and be victorious,” according to the church’s website.
Duley posted a video of himself and his wife signing the papers for the Pineville church in a video on the church’s website, which he said will include worship space, a classroom, children’s auditorium and counseling center. —CB
Ledger members-only event: ‘Beers with the Editors’ on Thursday in Elizabeth/Midtown
The Ledger is holding one of its occasional “Beers with the Editors” happy hours on Thursday. It’s an exclusive event, only for the elite ranks of Charlotte Ledger paying members (and their guests).
It works like this: You show up. You have a drink or two (on us). You talk to a few people. That’s it — no program, no agenda other than to have a good time and hang out.
We sent the details in a separate email yesterday afternoon. You can check it out here. (Paying members only, 🔒)
If we miss you this time, we hope to catch you next time. We do these occasionally as a way of saying thanks to our supporters and to hear what’s on the mind of our readers … and how The Ledger can better serve our community.
Cheers!
You might be interested in these Charlotte events: Lowcountry boil, high school debate camp
Events submitted by readers to The Ledger’s events board:
SATURDAY: Lowcountry Boil, 1 p.m., OpenTap, 5010 Carmel Center Drive. Gather with friends and family during our first Lowcountry Boil in partnership with Chop Chop Red Pot on June 24. Tickets to this special event include a whopping 1.5 - 2 whole pounds of North Carolina mussels, clams and shrimp, along with seasoned potatoes. $50.
AUG. 7-11: Myers Park Summer Speech and Debate Camp, 10 a.m. - 3 p.m., Myers Park High School. High school students across Charlotte are welcome to participate in a speech and debate camp hosted by Myers Park High School. Returning and aspiring speech and debate team members will have the chance to learn and grow before school is back in full swing. This camp is open to all high school students (not just MPHS students) interested in or already active in speech and debate. $75.
◼️ Check out the full Ledger events board.
➡️ List your event on the Ledger events board.
In brief
House speaker replies to affair accusation: An assistant principal in Wake County is suing Republican N.C. House Speaker Tim Moore, saying Moore’s affair with his wife destroyed their marriage. The wife is a state employee who serves as executive director of the North Carolina Conference of Clerks of Superior Court. Moore told WBTV: “I thought it was appropriate because she was separated and I was divorced. … All the salacious stuff that other people are talking about is absolutely 100% false.” (WRAL)
CMS sexual harassment training: Charlotte-Mecklenburg Schools plans to add lessons for high school students about sexual harassment, dating violence and sexual assault. “Lessons include discussions on boundaries, flirting vs. sexual harassment, unhealthy relationships and laws of consent,” The Charlotte Observer reported.
Flooding possibility: Mecklenburg County’s government is warning that flash flooding is possible the next few days “along any of the creeks in Mecklenburg County, and river flooding will also be possible along the Catawba River.” The county says not to drive through water or around barriers, to keep drains clear, and to call 911 for major street flooding.
New skate parks: Mecklenburg County is planning to spend $6.9M to build new skate parks and renovate an existing one, to the delight of skaters. The sites are Kilborne Park in east Charlotte, Nevin Park in north Charlotte, Shuffletown Park in northwest Charlotte and Idlewild Road Park in Matthews. (Observer)
Walmart upgrades: Walmart has remodeled its stores at 11530 N. Tryon St. and at 8322 Pineville-Matthews Road. The refreshed stores seek to “inspire customers and elevate their in-store experience,” Walmart said in a press release.
Duke launches free tuition for students from Carolinas: Duke University announced a new financial aid grant to cover the entire undergraduate tuition for current and future students from North and South Carolina with middle-class or low-income backgrounds. Admitted students from the Carolinas whose household income is $150,000 or less will not have to pay tuition, and those whose family income is $65,000 or less will receive a full ride, including tuition, housing and meals, with no student loans. (WUNC)
Flight delays at airport: Flights were delayed on Monday and Tuesday at Charlotte Douglas International Airport due to forecasted showers and storms. On Monday, over 50 flights were canceled and almost 600 flights were delayed. As of 11 a.m. Tuesday, 81 flights had been delayed and only one flight was canceled. (WSOC)
Public hearings begin on Duke Energy rate increases: Public hearings begin this week on Duke Energy Carolinas’ request for a 15.7%-rate increase over three years for central and western North Carolina, which includes customers from Durham to Greensboro to Charlotte and the western part of the state, excluding the Asheville area. The proposed hikes aim to fund grid upgrades, enhance storm reliability and prepare for renewable energy and electric vehicles, with residential customers facing a slightly higher increase of 17.9% over three years. (WFAE)
Joe Gibbs sells stake in NASCAR, picks up NBA: Huntersville-based Joe Gibbs Racing has sold a minority stake to Harris Blitzer Sports & Entertainment, the parent company of the Philadelphia 76ers. The deal allows Joe Gibbs to become a limited partner in HBSE and in the New Jersey Devils and the 76ers. He and race team President Dave Alpern will continue running the day-to-day operations of Joe Gibbs Racing, and HBSE will provide consultation in marketing and sale. (Biz Journal)
Programming note: Ledger editor Tony Mecia appears as a guest on 90.7 WFAE at 6:40 a.m. and 8:40 a.m. on Thursdays for a discussion of the week’s local business news in the station’s “BizWorthy” segment. Audio and transcripts are also available online.
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Executive editor: Tony Mecia; Managing editor: Cristina Bolling; Staff writer: Lindsey Banks; Contributing editor: Tim Whitmire, CXN Advisory; Contributing photographer/videographer: Kevin Young, The 5 and 2 Project