Charlotte accepts $25 million streetcar grant

By Ariel Hart

The Atlanta Journal-Constitution

The Charlotte City Council this week voted 6-5 to accept a $25 million federal grant to fund a streetcar line. No Georgia projects won money in that competition, according to a Federal Transit Administration list of winners.

Atlanta business leaders fear the congested metro area is losing jobs to cities such as Charlotte, and they have warily watched North Carolina’s growing transit system. They hope a new Georgia law will lead to a referendum to fund roads and mass transit.

Georgia submitted no streetcar applications in the latest round, which awarded the grants earlier this month, FTA spokesman Paul Griffo said. MARTA, Cobb County and the Chatham Area Transit Authority, however, each applied for grants to upgrade bus services or facilities. Atlanta is in the process of applying for federal streetcar funds in another competition.

The Charlotte streetcar is in addition to a major high-speed rail grant that North Carolina won in January and a relatively new light-rail system that is run by the Charlotte Area Transit System. The streetcar would require $12 million in local matching funds to build, as well as $1.5 million in annual operating costs, city spokeswoman Michelle Gutt said. The system could not afford on its own to add the streetcar, so the decision to try to find money was up to the City Council, which is also cash-strapped.

The council vote Monday night followed a passionate debate between Charlotte residents pitting budget hawks against those who argued the streetcar was a needed investment.