RALEIGH — This is not a parody.
The state-funded regional partnership doing economic-development work for the Charlotte area has a new idea: a $50 million test track and research facility for the motorsports industry, with construction to be funded by state taxpayers on land provided for free to the private-sector developer of the project.
Backers want to site it within 30 miles of the existing Lowe’s Motor Speedway in Cabarrus County, just northeast of Charlotte. The parent company of the speedway, Speedway Motorsports Inc., recently assumed ownership of the North Wilkesboro Motor Speedway, which now lies vacant because the company moved its race to a track in Texas. SMI also seems to be angling to acquire the North Carolina Motor Speedway in Rockingham, which might then lie vacant with its race moved to Texas, as well. However, neither of these preexisting race tracks is considered to be appropriate for the new project, so taxpayers will be asked to help build a brand new one.
Oh, and the new test track will not have grandstands. Spectators are not part of the picture. On the other hand, SMI — which stands to gain significantly from the proposed North Carolina subsidy for the test track — generates a lot of money and economic impact at its new race in Texas.
This is not a parody.
The industry’s lobbyists have already talked to leaders of the North Carolina General Assembly, preparing to convene next week to enact a revised state budget for the 2004-05 fiscal year. While the 2003-04 fiscal year is projected to end with a small surplus, routine expansion items such as university enrollment increases and pay raises are still expected to exceed available state revenues by half a billion dollars or more. In short, state government faces another year of significant fiscal pressure.
Still, say the test-track advocates, their idea has been “warmly received” by Senate leader Marc Basnight and House Speaker Jim Black. “I feel good about its chances,” said Black, a Mecklenburg Democrat, of a project designed to subsidize one of the most popular and profitable spectator sports in the United States.
This is not a parody.
State tax dollars wouldn’t be the only source of funds for the project. Boosters also hope to secure a grant from the Golden LEAF Foundation, set up by lawmakers several years ago to spend half of North Carolina’s share of the national tobacco settlement.
The settlement was supposedly justified by deceptive trade practices by the tobacco companies. A major beneficiary of tobacco advertising for decades was the motorsports industry.
This is not a parody.
There’s no need to worry about ongoing operating support for the facility, promise its proponents. There will be strong demand from racing teams looking for opportunities to test and practice. “It would pay for itself,” said one economic developer.
This is not a parody. Sure wish it was.
Hood is president of the John Locke Foundation and publisher of Carolina Journal.