RALEIGH, N.C. (NCN News) –- A fourth runway at North Carolina’s largest airport has been cleared for takeoff, after financing was approved by a state agency.
The Local Government Commission approved a financing request from the city of Charlotte today that will help pay for construction of a fourth runway at Charlotte Douglas International Airport. That was one of Charlotte’s six financing requests totaling $1.5 billion that the commission approved.
Charlotte Douglas, the world’s seventh-busiest airport for takeoffs and landings, according to industry rankings, is building the runway to address capacity and to meet future demands. The LGC vote authorized Charlotte to issue $215 million in revenue bonds for the runway work. The commission also approved $175 million in revenue bond anticipation notes for existing runway rehabilitation, work on the terminal and other projects at the airport.
According to a press release from State Treasurer Brad Briner, Charlotte’s other successful requests were for $530 million in revenue bond anticipation notes to finance wide-ranging extensions, additions, and improvements and replacement of water and sewer system infrastructure and equipment; a $505 million revenue bond, proceeds of which will pay off a prior, short-term bond anticipation note; $65 million in revenue bonds to refund existing bonds at a savings; and $9 million in revenue bonds to refinance outstanding transportation bonds to achieve savings and more favorable financing terms.
Briner chairs commission which is staffed by the Department of State Treasurer (DST) and has a statutory duty to approve most debt issued by units of local government and public authorities in the state. The commission examines whether the amount of money units borrow is adequate and reasonable for proposed projects and confirms the governmental units can reasonably afford to repay the debt. It also monitors the financial well-being of more than 1,100 local government units.
In other matters, the commission approved the Plan of Action submitted by the town of Speed (Edgecombe County) concerning the distribution of the town’s assets as it works to voluntarily surrender its charter. The town of 63 residents was incorporated in 1901, but in recent years has had significant issues of noncompliance with state statutes related to financial management.
The town owns several parcels of property that would be transferred to Edgecombe County and the Speed Volunteer Fire Department. Cash on hand, currently totaling $42,000, would be transferred to Edgecombe County. Edgecombe County has developed plans to create a “A Historic Town of Speed Committee” which would advise the county manager how to best spend the funds for the betterment of the community. Anticipated tax receipts and personal property would also be transferred to Edgecombe County. The town has no known outstanding debt or contractual obligations.
LGC members were updated on the progress that Rocky Mount (Nash and Edgecombe counties) has made in getting its financial house in order. Last month the LGC issued the city a warning it was in peril of the LGC taking control of the city’s finances because of overspending and weak fiscal control practices.
The LGC received an update on the town of Littleton’s efforts to comply with the statutory requirement to submit to the LGC an annual financial audit. Staff reported that the town submitted its FY 2020–21 audit on May 1, 2026; four additional audits remain overdue. The town also discussed potentially merging its water and wastewater system with a larger system.
Numerous financing requests were on the agenda, including a successful application from N.C. Municipal Power Agency No. 1 to issue $350 million in revenue bonds. Proceeds will be used to refund existing bonds used for improvements at Catawba Nuclear Station. The transaction is expected to generate savings of $10.8 million. The power agency is a co-op arrangement comprising 19 cities and towns. It generates and purchases electricity for sale to member cities. It is managed by ElectriCities of North Carolina.
LGC members signed off on $168.7 million in financing spread across four requests from the Raleigh Housing Authority (Wake County). The conduit revenue bonds allow the authority to loan proceeds to third-party developers.