City Council Approves Creation of SouthPark Municipal Service District
SouthPark MSD
Ken Brown
Ken.Brown@charlottenc.gov
4/11/2022
SouthPark MSD
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The Charlotte City Council voted Monday to create the SouthPark Municipal Service District. The move will require property owners within the newly created district to pay an additional tax to fund increased services and infrastructure projects in the area.

SouthPark Community Partners, and business and property owners in the area have advocated for the designation to generate additional funding for amenities, advocacy, administrative support and increased safety measures. The investment is part of an effort to develop the area into a premier destination.

North Carolina law allows for the city council of any city to define any number of service districts to finance certain services such as urban revitalization projects, transit-orientated development projects, specialized street and sidewalk paving, and other investments.

The SouthPark Municipal Service District tax levy will be effective July 1.

Where will the SouthPark Municipal Service District be located?

The exact boundaries of the proposed SouthPark Municipal Service District, recommended by SouthPark Community Partners, follow property lines and include properties south of Scofield Road and Wickersham Road, west of Sharon Road and Cameron Valley Parkway, north of Sharon View Road, and east of Park South Drive.

SouthPark Community Partners based this recommendation on the service needs of the area, identifying properties that would benefit the most from being in a municipal service district.

Who will the tax levy impact? How much in additional tax revenue is the area expected to generate?

Property owners within the district boundaries will pay an additional 4 cents for every $100 of assessed value. The total property valuation of the municipal service district is $3.4 billion generating a total potential tax revenue of $1.36 million.

What services will the taxes help fund?

Beyond the standard level of service provided by the city, members of the SouthPark business community have identified the need for the following additional services and investments:

  • Promotion, planning, advocacy and funding of capital investment to enhance the economic vitality of SouthPark, including street lighting, street and sidewalk connections, and pedestrian and multimodal paths.

  • Management of contracts to provide enhanced service needs for SouthPark, including improvements in safety and security and beautification.

  • Branding, promotion and marketing of SouthPark to increase the tax base and maintain a unique identity for the area.

  • Creation of an advocacy group to represent area interests and coordinate with government and private agencies, business owners and residents.

How are municipal service districts formed?

North Carolina law states that a city council can designate an area as a municipal service district if the proposed district needs one or more of the services and facilities to a demonstrably greater extent than the remainder of the city. An area can also be designated as a municipal service district if a majority of the business owners in the area submit a petition requesting the designation.

Are there other Municipal Service Districts in Charlotte?

Charlotte has five other municipal service districts located in the uptown and University City areas. 

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Jason Puckett  00:02
Hello, and welcome to your city council recap. I'm Jason Puckett. In these videos we're gonna highlight some of the recent votes by the City Council and take a deeper dive into what they mean. And that's why I'm in SouthPark. Thanks to this vote Monday night by the City Council, SouthPark will now be Charlotte's newest municipal service district, or MSD, later this year.

Mayor Vi Lyles  00:24
Alright. Thank you very much. Congratulations to the newest baby district I guess. Our youngest district I should say, probably.

Jason Puckett  00:34
So what does this all mean? Well, let's start with the basics like what is an MSD? Well, the City of Charlotte already provides all areas of the city, including SouthPark, services like public safety, transportation, land use, planning, water, sewer and more. But as SouthPark has grown from a suburban shopping center to a more urban mixed-use space, more services are needed to match the growth and development needs.  Municipal Service Districts, or MSD's, are the answer. In an MSD, businesses and property owners agree to pay slightly more in taxes to receive additional services like dedicated staff, economic development planning, advocacy and marketing teams, and an enhanced focus on the appearance and beautification of the area.  A great example of how this will work is the SouthPark Loop. These renders show what will be a three-mile urban trail in the area, connecting businesses with pedestrian focused outdoor spaces. Now as an MSD, SouthPark will have dedicated staff and funding for more projects like The Loop. Speaking of funding, let's talk some quick stats. The MSD will add a tax of four cents per $100 of assessed property value. More than 97% of the funds will come from businesses and commercial properties. And they're expecting to generate close to $1.4 million for use here in SouthPark. With the council's 'yes' vote on Monday, SouthPark will be the city's new MSD starting July 1 of this year. We have five others already — three Uptown, one in South End, and one in University City. Now if you want more information on MSD's or The Loop project, check out theloopclt.org and thanks for joining us Inside The Crown.