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CHARLOTTE, N.C. — A city ordinance that ultimately led to North Carolina's notorious "bathroom bill" was repealed Monday in what is expected to become a deal to repeal the law that requires transgender people to use public restrooms that correspond with the sex on their birth certificate.

Charlotte City Council unanimously repealed the city's non-discrimination ordinance because of what members said was ongoing negative economic impact resulting from state House Bill 2, according to a statement released after the vote. Charlotte council members amended their city code in February to add marital status, familial status, sexual orientation, gender identity, and gender expression to its list of protections in public accommodations and passenger vehicle-for-hire ordinances.

"In order to continue thriving as an inclusive community and compete for high-paying jobs and world-class events, the city and state must take action together to restore our collective reputation," according to the council's statement. The state law passed as a reaction in a March special session tarnished North Carolina reputation, cost it hundreds of jobs and contributed to the Republican Gov. Pat McCrory's narrow loss to Democratic Gov.-elect Roy Cooper.

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Soon after Charlotte repealed its ordinance Monday, Cooper announced that legislators will hold a special session to repeal the state law known as HB2 that also nullifies any local protections based on sexual orientation and gender identity. Throughout his campaign, Cooper stressed the importance of repealing the controversial law that resulted also in boycotts from several groups, including musicians who canceled concerts and other states' governments that canceled plans to travel to conferences.

“Senate Leader Phil Berger and House Speaker Tim Moore assured me that as a result of Charlotte’s vote, a special session will be called for Tuesday to repeal HB2 in full. I hope they will keep their word to me and with the help of Democrats in the legislature, HB2 will be repealed in full,” Cooper said in a statement. Later Monday, McCrory called a special session for Wednesday to discuss repealing the measure.

The Charlotte council’s move is contingent on North Carolina legislators fully repealing HB2 by Dec. 31. While some in the transgender community, including Allison Scott of Asheville, N.C., are concerned that the state General Assembly will renege on the deal, Charlotte's new ordinance notes that if the state fails to repeal HB2, the city's repeal will not go into effect.

Repealing the law would be a sign of cooperation for the incoming governor and the GOP-controlled legislature. Last week, lawmakers called a special session and stripped Cooper of some of his authority when he takes office next month.

"We've been working on a solution to this with our friends in Raleigh for the better part of six months," Charlotte Councilman Kenny Smith said. "Today was the day that we opted to make the move as a council to do our part."

McCrory and lawmakers have defended the bathroom provisions as providing privacy and safety by keeping men out of women’s restrooms. Opponents of the law call it discriminatory.

McCrory also has blamed Charlotte's mayor, Jennifer Roberts, for the NCAA and Atlantic Coast Conference decisions to pull previously awarded championship games from the state.

In November, the Charlotte Chamber of Commerce estimated the state law's economic impact in its city alone was $285 million in addition to a loss of more than 1,300 Charlotte-area jobs.

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"Governor McCrory has always publicly advocated a repeal of the overreaching Charlotte ordinance. But those efforts were always blocked by Jennifer Roberts, Roy Cooper and other Democratic activists," McCrory's office said Monday in a statement. "This sudden reversal with little notice after the gubernatorial election sadly proves this entire issue originated by the political left was all about politics and winning the governor’s race."

The federal Justice Department and transgender residents have sued the state over HB2. Much of that litigation has been delayed while the U.S. Supreme Court hears a separate case from Virginia on transgender restroom access.

"It's time to chart a new course guided by the state's values of dignity and respect, not discrimination and hate — and to ensure nondiscrimination protections exist in cities, towns and across the state of North Carolina," President Chad Griffin of the Human Rights Campaign said in a statement.

Contributing: Beth Walton, Asheville (N.C.) Citizen-Times; The Associated Press. Follow Mark Boyle on Twitter: @WCNCmboyle