NC S86

Authorizes the City of Asheville to levy a 0.25% (one-quarter cent) local sales and use tax for public transportation upon approval by referendum majority vote.

Tax revenue must be used exclusively for financing, constructing, operating, and maintaining local public transportation systems, and must supplement rather than replace existing transit funding.

The State Secretary of Revenue shall distribute net proceeds to Asheville monthly and may retain up to $300,000 in the first two fiscal years to cover collection and administration costs.

Public transportation system includes structures, equipment, bus services, carpool and vanpool programs, bicycle and pedestrian infrastructure supporting transit, and bus lanes, but excludes general streets and roads.

City must provide at least six months' advance notice to the Secretary before implementing the tax, and the referendum cannot be held within one year of the previous election under this section.