FAQs

A bond referendum is a question placed before the voters of Mecklenburg County. If approved, the referendum allows Mecklenburg County Government to finance capital projects at an advantageous interest rate and repay that debt over a longer period of time. 

Funding from Mecklenburg County determined the order of projects; costs are a factor due to escalation, based on what can be afforded and when it can be afforded. The projects approved will take 5-10 years to complete. The funds are distributed according to the county spending plan over the duration of the plan.

Boards of Education in the state of North Carolina do not have the ability to fund themselves. The federal government does not provide resources for school construction, and North Carolina has not provided capital funding for schools since the 1990s. This means that the responsibility for providing for school construction falls to counties, who have taxing authority. Generally speaking, Mecklenburg County chooses to finance school construction projects through the issuance of bonds, which are a form of municipal debt.  Bond issuances must be approved by the voters.

Yes. In addition to general obligation bonds, local governments can also issue certificates of participation (COPs), which are like bonds but do not require voter approval.  Other options include pay/go, or “pay as you go,” which simply means cash flowing projects with tax revenues as they are received.

The proceeds are allocated on a per-student basis. CMS receives roughly $12 million per year and passes those funds through to Mecklenburg County to help repay school construction debt. The amount is far less than the cost of a new school and helps Mecklenburg County support CMS capital needs.

The $2.5 billion total for the referendum includes a forecast for inflation, also referred to as “escalation.” If inflationary pressures ease, the cost of project delivery may be less than anticipated. The final costs of the entire bond will be reconcilled with the completion of the final project in the plan. 

The public-facing site www.cmsbondconstruction.com is the repository for information about the 2023 bond.  Project updates, monthly reports, data dashboards, and live cameras at active construction sites are available for interested parties and stakeholders to evaluate the capital program for themselves.