Charlotte Council pulls HB2 debate

The Charlotte City Council‘s frustration with the social and political issue that the city says is already impacting Charlotte’s economy was on display Monday, when discussions on a controversial ordinance bounced on and off the council’s meeting agenda before erupting in a passionate display of diverging opinions by meeting’s end.

“The moment our General Assembly passed this legislation, our ordinance was null and void,” said Councilwoman LaWana Mayfield. “It was rescinded. There is nothing else for us to do on the Charlotte City Council.”

Her message to lawmakers in Raleigh: “Grow up, do your job. Fix the mess that you made instead of looking to the city of Charlotte, who were expanding our ordinance to protect all people.”

That prompted an “Amen” from council member Al Austin.

The council was expected to consider repealing the ordinance, which it passed in February. The ordinance extended nondiscrimination protections to gay, lesbian and transgender people, including allowing transgender people to use the bathroom of their choice.

It was that last provision that prompted the General Assembly to call a special session in March, during which it passed – and Gov. Pat McCrory signed – HB2, a law that would prevent local governments from passing their own nondiscrimination ordinances.

The General Assembly has given little indication of being persuaded to revisit the matter, despite opposition from businesses, professional sports organizations, convention groups and entertainers who have threatened or taken steps to pull their business from the state.

The City Council was expected to consider repealing its ordinance as a gesture of good will to the General Assembly, in the hope that it would consider modifying the law.

Bob Morgan, the Charlotte Chamber CEO and president, had sent a letter suggesting that the council “should act to take the first step in a process we hope leads to reforms to HB2 that advance our city and state as places where discrimination is not tolerated – for anyone.

“Doing so demonstrates our city and legislature can be responsive to each other,” Morgan wrote. “Doing so will result in our city being engaged in advancing corrective legislation – not backing off its core and appropriate beliefs.”

The city on Tuesday released an analysis by the Charlotte Chamber and the Charlotte Regional Visitors Authority, a division of the city, that said losses related to HB2 amount to $285.5 million, including wages and missed tax revenue.

Most of the short-term effects are at the hotel level, with bookings cancelled by conferences and meetings, the analysis said.

Just as quickly as a debate about HB2 was added to the council’s agenda Monday, first to the 5 p.m. dinner briefing and then to its business meeting at 6:15 p.m., it was pulled from consideration.

The decision came after deliberation among council members, Mayor Jennifer Roberts said.

“I’ve been talking with council members about this throughout this day,” she said Monday. “Collectively, we concluded that discussion of HB2 by the City Council tonight would not be helpful in advancing a solution to the ongoing challenges of HB2.”

The decision was unsettling to some council members.

The city staff had worked “very hard” over the weekend on the issue and pulling it so quickly raised questions about the agenda process and being “fair to our citizens as well,” said Councilman James Mitchell.

Councilman Ed Driggs called the impasse part of a shoving match between Charlotte’s council and the General Assembly, and said, “I don’t think we should let stubbornness and pride on that level obstruct an answer.”

“Advocacy groups have held us up as a human shield as they charged into the machine guns,” said Driggs. ”This is a battlefield and all the casualties are here in North Carolina.”

Councilman Kenny Smith asked that the council place a possible vote on taking the ordinance  off the books on the council’s budget straw-vote Wednesday.

“We have a litany of corporate relocations that came to our community prior to us having an ordinance and they made commitments to come to our community and invest millions of dollars,” Smith said. “I cannot stand by and watch as we lose events, and more to come.”

“We are hurting all over the state and we’re hurting in Charlotte,” he said.

The council rejected his motion, 7-4.

In the economic analysis released Tuesday, the city said that the 400 jobs lost by PayPal’s decision to cancel a planned expansion in Charlotte had been expected to create 908 additional jobs in the Mecklenburg County and 27 in other counties.

The analysis also said economic development inquiries and client visits have fallen.

The 2017 National Basketball Association All-Star Game in Charlotte alone would lead to direct spending of $60 million, the analysis said.

But Commissioner Adam Silver believes the NBA has been “crystal clear” that the All-Star Game only stays in Charlotte if North Carolina’s law goes.