Local Govt Transportation System Financing.
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SB 584 — Local Govt Transportation System Financing.
Last action — Withdrawn From Com
No card. One bill, free forever — alerts when it moves.
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✓Introduced
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2In Committee
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3Passed Senate
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4Passed House
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5To Executive
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6Enacted
This bill is in committee in the Senate. Introduced March 25, 2025. It must pass committee before a floor vote.
Next likely step: a committee vote, then a floor vote in the Senate.
Prognosis
Where this bill stands today.
Odds of enactment
LowHow often bills like it became law.
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In Committee
Current position in the legislative process.
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10 sponsors
2 primary, 8 co-sponsors signed on.
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Bipartisan support
Sponsored across 2 parties (7 D · 3 R) — cross-party backing.
Prognosis reads this bill's own signals — stage, sponsorship breadth, committee status, recorded votes and cross-state momentum. Odds come from a model trained on which bills have become law.
Bill Text
What changed in the latest version
71 added · 72 removedPlain-language change summary
In Senate Bill 584, specific wording and formatting have been clarified and streamlined, which helps make the document easier to read and understand. For example, the definitions related to the public transportation system have been rearranged for clarity without changing their meaning. These changes matter because they improve the clarity of the bill, ensuring that all parties involved can better understand their roles and responsibilities. Clear communication in legislation is crucial for effective implementation and compliance.
FILED SENATE GENERAL ASSEMBLY OF NORTH CAROLINA MarSESSION 25, 2025 S.B.S 1 SENATE BILL 584 Short Title:
584 SESSION 2025 PRINCIPAL CLERK S D SENATE BILL DRS15200-MCxf-100 Short Title:
Rules and Operations of the Senate March 26, 2025 A BILL TO BE ENTITLED AN ACT TO AUTHORIZE SUPPLEMENTAL SOURCES OF REVENUE FOR LOCAL GOVERNMENT TRANSPORTATION SYSTEM FINANCING.
––Anycombinationofreal Anycombinationofrealand andpersonalpersonal property established for purposes of public transportation.
structures, improvements, buildings,equipment,buildings, equipment, vehicle parking or passenger transfer facilities, railroads and railroad rights-of-way, rights-of-way,bus services, shared-ride services, high-occupancy vehicle facilities, car-pool and vanpool programs, voucher programs, telecommunications and information systems, integrated fare systems, and the interconnected bicycle and pedestrian infrastructure that supports public transportation, bus lanes, and busways.
The term does not include, however, streets, roads, or highways except to the extent they are dedicated to public transportation vehicles or to the extent theytheyare are necessary for access to vehicle parking or passenger transfer facilities.
*DRS15200-MCxf-100**S584-v-1* General Assembly Of North Carolina Session 2025 "(b) Use.
Every unit of government shall usethe net proceeds to supplement andandnot not to supplant orreplace existingexistingfunds funds or other resources for public transportation systems.
(2) Boardoftrustees.Board oftrustees.
–Thegoverningboard–The governingboard ofthe authority,authority,in in which thegeneralthe general legislative powers of the authority are vested.
– Any county, city, town, or municipality of this State, and any other political subdivision, public corporation, authority, or districtinthisState,whichisormaybeauthorizedbylawtoacquire,establish,districtinthisState,whichisormaybeauthorizedbylawto acquire, establish, construct, enlarge, improve, maintain, own, and operate public transportation systems.
Page 2 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 (3) The county includes at least one unit of local government that operates a light rail system.
If the Secretary of State finds that the resolution, including the articles of incorporation, conform to the provisions of this Article and that the notices of hearing were properly published, the SecretarySecretaryshall shall file the resolutions and proofs of publication and shall issue a certificate of incorporation under the seal of the State and shall record the same in an appropriate book of record.
The certificate of incorporation is conclusive evidence of the fact that the authorityauthorityhas has been duly created and established under the provisions of this Article.
For each appointment DRS15200-MCxf-100Senate Bill 584-First Edition Page 3 General Assembly Of North Carolina Session 2025 below, the appointing authority may appoint an alternate that may act in the absence of the primary person appointed.
(2) Twelve members appointed bybythe the governing body of the largest municipality in the county that created the authority as follows:
Page 4 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 (d) Membersoftheboardoftrusteesshallhavedemonstratedexperienceorqualifications in the areas of law, finance, engineering, public transportation, urban planning, logistics, government, architecture, or economic development.
(2) The extent to which the composition of the board of trustees maymaybe be amended, if at all, due to the addition of the county to the territorial jurisdiction of the authority.
(3) Financial, legal, or operational commitments with respect to the countycountythat that is to be added to the territorial jurisdiction of the authority.
The purpose of the authority shall be to finance, provide, operate, and maintain for a safe, clean, reliable, adequate, convenient, energy efficient, economically and environmentally sound public transportation system for the service area of the authority through the granting of franchises, ownership and leasing of terminals, buses and other transportation facilities and equipment, and otherwise through the exercise of the powers and duties conferred upon it, in DRS15200-MCxf-100Senate Bill 584-First Edition Page 5 General Assembly Of North Carolina Session 2025 order to enhance mobility in the region and encourage sound growth patterns.
(8) ToacquirebyToacquirebygift, gift, purchase,lease as lesseewith or without optiontooption to purchase or otherwise to construct, improve, maintain, repair, operate, or administer any component parts of a public transportation system or to contract for the maintenance,operation,oradministrationthereofortoleaseaslessorthesame for maintenance, operation, or administration by private parties, including parking facilities.
Page 6 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 (9) To make or enter into contracts, agreements, deeds, leases with or without option to purchase, conveyances or other instruments, including contracts and agreements with the United States, the State of North Carolina, and units of local government.
further, to obtaingrants,obtain loans,grants, andassistancefromloans,andassistancefrom theUnitedStates, theState ofNorth Carolina,anypublicbody,oranyprivatesourcewhatsoever,but may not operate or contract for the operation of public transportation systems outside the territorial jurisdiction of the authority except as provided by subdivision (21) of this section.
DRS15200-MCxf-100Senate Bill 584-First Edition Page 7 General Assembly Of North Carolina Session 2025 (21) To operate public transportation systems extending service into any political subdivision of the State of North Carolina unless a particular unit of local government operating its own public transportation system or franchising the operation of a public transportation system by majority vote of its governing board, shall deny consent.
(25) To issue bonds or other obligations of the authority as provided by law and applyapplytheproceeds theproceeds thereofto thefinancingthefinancingofanypublictransportationsystem ofanypublictransportationsystem or any part thereof and to refund, whether or not in advance of maturity or the earliest redemption date, any such bonds or other obligations of the authority or another municipality that financed or refinanced real and personal property for a public transportation system to be owned or operated by the authority.
for these purposes a member of such force shall be a peace officer and, as such, shall have authorityauthorityequivalent equivalent to the authorityauthorityof of a police officer of the city or county in which said member of such force is discharging such duties.
Page 8 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 The establishment and operation of an authority are governmental functions and constitute a publicpurpose, and theStateofNorth Carolinaandanyunit oflocal government mayappropriate funds to support the establishment and operation of the authority.
such superseding, if any, may occur onlyonlyon on the basis of prior mutual agreement between the authority and the respective unit of local government.
All moneymoneyrequired required to be paid bybythe the authority under the provisions of such agreements, leases with or without option to purchase, and equipmenttrustcertificatesshallbepayablesolelyfromthefares,fees,rentals,charges,revenues, and earnings of the authority, monies derived from the sale of any surplus property of the authority, and gifts, grants, and contributions from any source whatever.
the deferred installments may be evidenced by equipment trust certificates payable solely from the aforesaid revenues or receipts and title to DRS15200-MCxf-100Senate Bill 584-First Edition Page 9 General Assembly Of North Carolina Session 2025 such equipment may or may not vest in the authority until the equipment trust certificates are paid.
(a) TheauthorityTheauthorityshall shall have continuingcontinuingpowerto powertoacquire,bygift, acquire,by gift, grant, devise,exchange, purchase, lease with or without option to purchase, or any other lawful method, including the power of eminent domain, the fee or any lesser interest in real or personal property for use bybythe the authority.
(b) Exercise of the power of eminent domain bybythe theauthorityshall authority shall be in accordance with Chapters 40A and 136 of the General Statutes.
In odd-numbered years, the report shall be submitted to the Senate and House Page 10 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 Transportation Committees.
– (1) If the authority enters into any contract authorized by subsection (b) of this section, the contract shall require the authority to secure and maintain, upon and after the commencement of the operation of trains by or on behalf of the authority, a liabilityliabilityinsurance insurancepolicycovering policy covering the liabilityliabilityof of the parties to the contract, a State-Owned Railroad Company as defined in G.S.
124-11 that owns or claims an interest in anyanyreal real property subject to the contract, and any operating rights railroad for all claims for property damage, personal injury, bodilybodilyinjury, injury,anddeathand arisingdeath outarisingout oforof or relatedto passenger rail services.
The policy shall name the parties to the contract, a State-Owned Railroad CompanyCompanyas as defined in G.S.
DRS15200-MCxf-100Senate Bill 584-First Edition Page 11 General Assembly Of North Carolina Session 2025 (2) If the authority does not enter into any contract authorized by subsection (b) of this section, upon and after the commencement of the operation of trains by or on behalf of the authority, the authorityauthorityshall shall secure and maintain a liability insurance policy, with policy limits and a self-insured retention consistent with subdivision (1) of this subsection, for all claims for property damage, personal injury, bodily injury, and death arising out of or related to passenger rail services.
Governmental immunity of the authority is waived to a minimum of twentytwentymillion million dollars ($20,000,000) per single accident or incident.
The authority shall maintain a minimum of twentytwentymillion million dollars ($20,000,000) per single accident or incident of liability insurance.
TheAuthorityshallconductastudyoftheissueslistedinthisTheAuthorityshallconductastudyoftheissueslistedinthissection. section.
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The Authority shall publish the report and submit copies of the report to the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the Legislative Library, the Mecklenburg County Board of Commissioners, the Charlotte City Council, the Town of Cornelius Board of Commissioners, the Town of Davidson Board of Commissioners, the Town of Huntersville Board of Commissioners, the Town of Matthews Board of Commissioners, the Town of Mint Hill Board of Commissioners, the Town of MooresvilleBoardofCommissioners,MooresvilleBoardofCommissioners,andthePinevilleTown andthePinevilleTownCouncil.Council.TheAuthorityshall study the following issues:
TheAuthorityshallstudy the following issues:
Page 12 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 (3) Legal and financial considerations with respect to agreements and recognitions by the City of Charlotte or CATS with respect to the public transportation system with any federal, State, regional, or local governmental entities.
With respect to assets of CATS that were procured with funds available to the City other than (i) federal or State funds received by the City with respect to CATS, (ii) funds generated by a tax levied under Article 43 of Chapter 105 of the General Statutes, and (iii) funds generated by a DRS15200-MCxf-100Senate Bill 584-First Edition Page 13 General Assembly Of North Carolina Session 2025 tax levied under Section 3.1 of S.L.
Negotiating an agreement with the City of Charlotte to reimburse the CityCityfor for the acquisition of the Norfolk Southern O-Line as provided in Section 4.9(4)ofSenate Bill 145ofthe2025General Assembly,ifthat bill becomes law.
(9) Draft amendments to the interlocal agreement between Mecklenburg County, theCitytheCityofCharlotte,the ofCharlotte,theTownofCornelius,TownofCornelius, theTownofDavidson,theTowntheTownofDavidson, theTown of Huntersville, the Town of Matthews, the Town of Mint Hill, and the Town of Pineville dated February 16, 1999, as amended, to provide for the termination of that agreement at the time a tax levied under Senate Bill 145 of the 2025 General Assembly, if that bill becomes law, becomes effective, subject to anyanycontinuingobligations continuing obligations agreedto bytheparties to theagreement.
2009-527 Page 14 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 and SenateBill 145ofthe2025General145ofthe 2025General Assembly, ifthatbill becomes law, as provided in that act.
(3) The City shall retain ownership of any assets that are pledged as security for anyanyoutstanding outstanding indebtedness.
Once anyanyoutstanding outstanding indebtedness is satisfied, the City shall begin transferring ownership of these assets of CATS to the Authority as provided in the agreements.
159-81(4), a municipality may include as revenues the receipts from any sales and use tax or other local tax DRS15200-MCxf-100Senate Bill 584-First Edition Page 15 General Assembly Of North Carolina Session 2025 received by a municipality in connection with its ownership and operation of a revenue bond project or a utility or public service enterprise facility or system of which a revenue bond project is a part as long as the pledge of such receipts does not constitute a pledge of the municipality's taxing power.
(i) by the revenues of the public transportation systems, facilities, or equipment, (ii) by pledge, mortgage, or grant ofasecurityofasecurityinterest interest in all oraportion ofthereal andpersonal property,whetherownedproperty, whetherowned orleased, comprising the public transportation systems, facilities, or equipment, and (iii) as otherwise provided in Article 5 of Chapter 159 of the General Statutes.
Page 16 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 "(b1) The Secretary may, subject to the appropriations made by the General Assembly for any fiscal year, enter into State Full Funding Grant Agreements with a Regional Public Transportation Authority (RPTA) duly created and existing pursuant to Article 26 of Chapter 160A, 160A of the General Statutes, a Regional Transportation Authority (RTA) duly created and existing pursuant to Article 27 of Chapter 160A, 160A of the General Statutes, a Metropolitan Public Transportation Authority (MPTA) duly created and existing pursuant to Article 34 of Chapter 160A of the General Statutes, or a city organized under the laws of this State as defined in G.S.
Prior to executing State Full Funding Grant Agreements, the SecretarySecretaryshall shall submit proposed grant agreements or amendments to the Joint Legislative Transportation Oversight Committee for review.
State funds may be used to fund fixed guideway projects developed without federal funding bytheDepartment, aRegionalPublicTransportationAuthority(RPTA)dulycreatedandexistingaRegionalPublicTransportationAuthority(RPTA)dulycreatedand existing pursuant to Article 26 of Chapter 160A of the General Statutes, a Regional Transportation AuthorityAuthority(RTA) (RTA)dulycreated duly created and existing pursuant to Article 27 of Chapter 160A of the General Statutes, a Metropolitan Public Transportation Authority (MPTA) duly created and existing pursuant to Article 34 of Chapter 160A of the General Statutes, or a unit of local government.
– Notwithstanding any other provision of this section, any board or governing body of any regional public transportation authority, hereafter referred to as a "RPTA," created pursuant to Article 26 of Chapter 160A of the General Statutes, oraregionaltransportationauthority,hereafterreferredto as a"RTA,"createdpursuantto Article DRS15200-MCxf-100Senate Bill 584-First Edition Page 17 General Assembly Of North Carolina Session 2025 27 of Chapter 160A of the General Statutes, or a metropolitan public transportation authority, hereafter referred to as a "MPTA," created pursuant to Article 34 of Chapter 160A of the General Statutesmayapprovethe enteringenteringintoofanycontract intoofany contract for thepurchase, lease,orother acquisition of any apparatus, supplies, materials, or equipment without competitive bidding and without meeting the requirements of subsection (b) of this section if the following procurement by competitive proposal (Request for Proposal) method is followed.
… (26) A public transportation authority created pursuant to Article 25 of Chapter 160A of the General Statutes, a regional public transportation authority Page 18 DRS15200-MCxf-100Senate Bill 584-First Edition General Assembly Of North Carolina Session 2025 created pursuant to Article 26 of Chapter 160A of the General Statutes, or a regional transportation authority created pursuant to Article 27 of Chapter 160A of the General Statutes.Statutes, or a metropolitan public transportation authority created pursuant to Article 34 of Chapter 160A of the General Statutes.
A current or former officer, employee, or agent of a county who in the course of service to or employment by the county has access to information about the amount of a taxpayer's income or receipts maymaynot not disclose the information to any other person unless the disclosure is made for one of the following purposes:
115C-513, metropolitan sewerage district, metropolitan water district, metropolitan water and sewerage district, county water and sewer district, regional public transportation authority, metropolitan public transportation authority, and special airport district may borrow money and issue its bonds under this Article in evidence thereof for the purpose of paying any capital costs of anyanyone one or more of the purposes for which it is authorized, by general laws uniformly applicable throughout the State, to raise or appropriate money, except for current expenses." SECTION 8.9.
(1) "Municipality" means a county, city, town, incorporated village, sanitary district, metropolitan sewerage district, metropolitan water district, metropolitan water and sewerage district, county water and sewer district, water and sewer authority, hospital authority, hospital district, parking authority, special airport district, special district created under Article 43 of Chapter 105 of the General Statutes, regional public transportation authority, regional transportationauthority, metropolitanpublictransportationmetropolitanpublictransportationauthority, authority, regional natural gas district, regional sports authority, airport authority, joint agencyagencycreatedpursuant createdpursuant toPart1ofArticle20ofChapter160AoftheGeneral Statutes, a joint agencyagencyauthorized authorizedbyagreement by agreement between two cities to operate an airport pursuant to G.S.
DRS15200-MCxf-100Senate Bill 584-First Edition Page 19 General Assembly Of North Carolina Session 2025 "(h) Local Government Defined.
It is the intent of the General Assembly not to reduce transportation funding allocations for any municipality in Mecklenburg County as a result of the enactment of this act or thelevythelevyof of atax underundertheprovisions theprovisions of SenateBillSenate 145Bill of145of the2025Generalthe2025 General Assembly, if that bill becomes law.
Page 20 DRS15200-MCxf-100Senate Bill 584-First Edition
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Compared against the N.C. General Statutes as published AI-generated reading aid — verify against the official bill.
The bill modifies the definitions related to public transportation systems and alters the distribution of tax proceeds to transportation authorities.
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N.C.G.S. § 105-506.1
Public transportation system. - Any combination of real and personal property established for purposes of public transportation. The systems may include one or more of the following: structures, improvements, buildings, equipment, vehicle parking or passenger transfer facilities, railroads and railroad rights-of-way, rights-of-way, bus services, shared-ride services and other forms of micro transit, high-occupancy vehicle facilities, car-pool and vanpool programs, voucher programs, telecommunications and information systems, integrated fare systems, and the interconnected bicycle and pedestrian infrastructure that supports public transportation, bus lanes, and busways. The term includes tunnels and other infrastructure designed to rapidly transport people, freight, or vehicles through automated means. The term does not include, however, streets, roads, or highways except to the extent they are dedicated to public transportation vehicles or to the extent they are necessary for access to vehicle parking or passenger transfer facilities.→ Publictransportationsystem. –Anycombinationofreal and personal property established for purposes of public transportation. The systems may include oneormoreofthe following: structures, improvements, buildings, equipment, vehicle parking or passenger transfer facilities, railroads and railroad rights-of-way, rights-of-way,bus services, shared-ride services, high-occupancy vehicle facilities, car-pool and vanpool programs, voucher programs, telecommunications and information systems, integrated fare systems, and the interconnected bicycle and pedestrian infrastructure that supports public transportation, bus lanes, and busways. The term includes tunnels and other infrastructure designed to rapidly transport people, freight, or vehicles through automated means. The term does not include, however, streets, roads, or highways except to the extent theyare dedicated to public transportation vehicles or to the extent they are necessary for access to vehicle parking or passenger transfer facilities.This change updates the formatting of the definition to a more compact representation while retaining the original meaning.
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N.C.G.S. § 105-507.3(b)
A county must allocate the net proceeds distributed to it in accordance with its financial plan adopted pursuant to G.S. 105-507 and use the net proceeds only for financing, constructing, operating, and maintaining local public transportation systems. Any other unit of local government may use the net proceeds distributed to it under this Part only for financing, constructing, operating, and maintaining local public transportation systems. Every unit of government shall use the net proceeds to supplement and not to supplant or replace existing funds or other resources for public transportation systems. The net proceeds distributed to any unit of local government, other than the county that levies the tax, pursuant to this Part may be included as revenues within the meaning of G.S. 159-81(4), including any modifications of that statute.→ A transportation authority may use the net proceeds distributed to it under this Part only for financing, constructing, operating, and maintaining local public transportation systems. The net proceeds distributed to any unit of local government, other than the county that levies the tax, pursuant to this Part may be included as revenues within the meaning of G.S. 159-81(4), including any modifications of that statute.This change specifies that only transportation authorities can use the net proceeds for public transportation, rather than all local governments.
Action History
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Withdrawn From Com
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Re-ref to Transportation. If fav, re-ref to Finance. If fav, re-ref to Rules and Operations of the Senate
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Passed 1st Reading
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Ref To Com On Rules and Operations of the Senate
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Filed
Sponsors
- Joyce Waddell · Cosponsor
- Caleb Theodros · Cosponsor
- DeAndrea Salvador · Cosponsor
- Mujtaba A. Mohammed · Cosponsor
- Julie Mayfield · Cosponsor
- Dan Blue · Cosponsor
- Sydney Batch · Cosponsor
- Vickie Sawyer · Cosponsor
- Jr. David W. Craven · Primary
- Bill Rabon · Primary
Sponsorship breakdown
Export CSV (upgrade) →2 sponsors · 8 co-sponsors · 169 not signed on
Sponsors (2)
- David W. Craven, Jr. Republican
- Bill Rabon Republican
Co-sponsors (8)
- Joyce Waddell Democratic
- Caleb Theodros Democratic
- DeAndrea Salvador Democratic
- Mujtaba A. Mohammed Democratic
- Julie Mayfield Democratic
- Dan Blue Democratic
- Sydney Batch Democratic
- Vickie Sawyer Republican
Not signed on (169)
169 members have not signed on to this bill.
Show all 169 →"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.
Subjects
Frequently asked questions
- Who sponsors SB 584?
- SB 584 is sponsored by Joyce Waddell (Democratic), Caleb Theodros (Democratic), DeAndrea Salvador (Democratic), Mujtaba A. Mohammed (Democratic), Julie Mayfield (Democratic), Dan Blue (Democratic), Sydney Batch (Democratic), Vickie Sawyer (Republican), David W. Craven, Jr. (Republican), and Bill Rabon (Republican).
- What is the current status of SB 584?
- This bill is in committee in the Senate. Introduced March 25, 2025. It must pass committee before a floor vote.
- Where can I track SB 584?
- Track SB 584 free on One Click Politics — get push/email alerts when it moves.
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