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title-41•Title 41 — State Government
(a) The sovereignty and jurisdiction of the state extend to all places within the boundaries of the state, but the extent of the jurisdiction over places that have been or may be ceded to the United States is qualified by the terms of the cession.
(b) The limits and boundaries of the territorial waters of the State of Alabama for management and protection of marine resources shall consist of all territory included within the boundaries described in the Act of Congress of March 2, 1819, together with all territory ceded to the State of Alabama by later acts of Congress or by compacts or agreements with other states or the United States, extending seaward to a distance of three Marine Leagues.
(c) The Legislature hereby finds, determines, and declares the following:
(1) Significant inequitable disparities exist in the limits and boundaries of the territorial waters among the Gulf Coast States of Texas, Florida, Louisiana, Mississippi, and Alabama.
(2) These inequities have resulted in economic and recreational losses to the State of Alabama, its political subdivisions, and its citizens.
(3) It is the policy and purpose of the State of Alabama by this section to place itself on an equal footing with the other Gulf Coast States with regard to the limits and boundaries of the territorial waters of the State of Alabama for management and protection of marine resources.
(4) This subsection shall be liberally construed to effect the policy and purposes hereof.
(Code 1852, §18; Code 1867, §19; Code 1876, §15; Code 1886, §15; Code 1896, §3749; Code 1907, §2056; Code 1923, §2993; Code 1940, T. 55, §10; Act 2014-243, p. 774, §§1, 2.)
It is the duty of the Governor and of all the subordinate officers of the state to maintain and defend its authority and jurisdiction.
(Code 1852, §19; Code 1867, §20; Code 1876, §16; Code 1886, §16; Code 1896, §3750; Code 1907, §2057; Code 1923, §2994; Code 1940, T. 55, §11.)
The Governor, Attorney General, and Auditor have authority to adjust, compromise and settle, on such terms as to them may seem just and reasonable, any doubtful claim of the state against any person or corporation, or any public officer, or his or her sureties, or because of the negligence or default in the safekeeping, collection, or disbursement of the public moneys, funds, or property by any officer having charge or custody of either. Such settlement or compromise being made, the Governor must file a statement thereof in the Office of the Treasurer, showing the nature and character of the claim, the terms of the settlement or compromise and the reasons for the making thereof.
(Code 1886, §§70, 71; Code 1896, §§3753, 3754; Code 1907, §§2441, 2442; Code 1923, §§5645, 5646; Code 1940, T. 55, §§12, 13.)
Any bonds which may be issued by the Governor of Alabama for the purpose of renewing or funding the bonded debt of this state shall be made payable and subject to redemption at any time not exceeding 50 years from the date of issue of said bonds.
(Code 1907, §82; Code 1923, §84; Code 1940, T. 55, §14.)
(a) No officer or employee of the state or of any state department, board, bureau, committee, commission, institution, corporation, authority, or other agency of the state shall appoint, or enter a personal service contract with, any person related to him or her within the fourth degree of affinity or consanguinity to any job, position, or office of profit with the state or with any of its agencies.
(b) Any person within the fourth degree of affinity or consanguinity of the agency head or appointing authority, the appointing authority’s designee, deputy director, assistant director, or associate director shall be ineligible to serve in any capacity with the state under authority of such an appointment, and any appointment so attempted shall be void. The provisions of this section shall not prohibit the continued employment of any person who is employed as a public employee as of August 1, 2013, nor shall it be construed to hinder, alter, or in any way affect normal promotional advancements under the state Merit System for the employee.
(c) Any person within the fourth degree of affinity or consanguinity of a public employee shall not be the immediate supervisor for or in the chain of command of, or participate in the hiring, evaluation, reassignment, promotion, or discipline of, the public employee within any state department, board, bureau, committee, commission, institution, corporation, authority, or other agency of the state.
(d) Whoever violates this section is guilty of a misdemeanor and shall be punished by a fine not to exceed five hundred dollars ($500) or by imprisonment not to exceed one year, or both. A willful violation of this section shall subject the public employee and the person or persons within the fourth degree of affinity or consanguinity of the public employee to disciplinary action, up to and including separation from state service.
(e) This section shall not apply to any city or county board of education.
(Acts 1963, No. 588, p. 1285; Act 2013-242, p. 588, §1; Act 2015-486, §1.)
After the department has gone on-line with the Department Property Accounting Control System and is using scanning technology for inventory purposes, the property manager of each department or agency of the state shall make a full and complete inventory at least once every 12 months of all nonconsumable personal property, except books, of the value of five hundred dollars ($500) or more acquired or used by the department or agency.
(Acts 1973, No. 1283, p. 2196; Acts 1995, No. 95-147, p. 209, §1.)
(a) The state, and each county, municipality, board of education, political subdivision, public instrumentality, public corporation, or other public entity howsoever identified, which is authorized by law to issue bonds, warrants, notes, certificates of indebtedness or other securities howsoever identified is hereby further authorized to issue any such securities in fully registered form without coupons.
(b) This law shall not repeal any existing law which authorizes the issuance of securities in any other form but no such existing law shall be construed to prohibit the issuance of securities in the form permitted by subsection (a) hereof or to require that securities be issued in any form other than that permitted hereby.
(Acts 1983, 1st Ex. Sess., No. 83-74, p. 77.)
(a) In any instance where any bond, warrant, note, certificate of indebtedness, or other security howsoever designated is authorized to be issued by the state, or by any county, municipality, board of education, political subdivision, public instrumentality, public corporation, or other public entity howsoever identified and is required or permitted to be executed, attested, registered other than as to ownership, or authenticated by one or more of its officers or other persons, a facsimile of the signature of any one or more of the officers or persons executing, attesting, registering or authenticating the same may be imprinted or reproduced on such security if such security is required to be authenticated by the manual signature of the duly designated registrar of such securities, or an authorized officer of such registrar. Any seal required or permitted to be affixed or impressed on such security may be imprinted or otherwise reproduced thereon in facsimile.
(b) This law shall not repeal or supersede any other law which authorizes execution, attestation, registration, or authentication of securities by facsimile signature or imprinting or other reproduction thereon of any seal, but shall be construed as cumulative authorization thereof.
(Acts 1983, 1st Ex. Sess., No. 83-76, p. 81.)
In any instance where any bond, warrant, note, certificate of indebtedness, or other securities howsoever designated is authorized to be issued by the state, or by any county, municipality, board of education, political subdivision, public instrumentality, public corporation or other public entity howsoever identified; any such security may bear one or more rates of interest, or no interest, or interest may be payable through one or more payments which reflect compound interest computed at specified intervals on accrued but unpaid interest, or through a discount in the sales price for such security equivalent to compound interest on such security for all or part of the term thereof, or through any combination of the foregoing methods of providing for the payment of interest, and any such amounts shall be payable at such time or times as may be provided in the proceedings authorizing any such security, regardless of the requirements of any other provision of law authorizing the issuance of any such security.
(Acts 1983, 4th Ex. Sess., No. 83-923, p. 205, §1.)
The provisions of Section 41-1-9 shall be deemed declarative of existing law and shall not be construed in a manner adverse to the validity of, or the lawfulness of the interest payable with respect to, (i) any bonds, warrants, notes, certificates of indebtedness, or other securities at any time issued by any issuer described in Section 41-1-9 hereof, or (ii) any debt at any time incurred by any private person, corporation, or other legal entity.
(Acts 1983, 4th Ex. Sess., No. 83-923, p. 205, §2.)
(a) Any state agency that statutorily levies or assesses fees retained by the agency to fund its operations or programs may increase the fee by the percentage increase in the Consumer Price Index for all urban consumers as published by the U.S. Department of Labor, Bureau of Labor Statistics from the end of December in the tenth year preceding the year in which the fee increase is to be effective or from the end of December in the last year the fee was increased, whichever period is shorter, to the end of the month preceding the month in which the fee increase is to be effective, rounded down to the nearest dollar. Thereafter, every five years the agency may repeat this process using the Consumer Price Index for the previous five years forward to the date of the requested change. The change may not exceed an increase of two percent per year.
(b) Any change in a fee schedule pursuant to this section is a rule for purposes of the Alabama Administrative Procedure Act.
(c) If an increase is adopted, the assessed increase of the fee shall be retained by the agency to fund its operations or programs under the control of the agency.
(d) The provisions of this section shall not apply in any manner to the Alabama Public Service Commission, the State Parks Division of the Department of Conservation and Natural Resources, or the State Banking Department.
(Act 2015-441, §1.)
(a) For purposes of this section, “benefit” means a payment of public funds based on the recipient’s ability to meet certain qualifications or criteria. The term does not include a tax credit, tax rebate, or tax refund, nor does it include any grant that requires highly specialized expertise or qualifications whereby a limited number of persons would qualify.
(b) Before any state agency, department, board, or commission may begin to process or pay benefits to recipients pursuant to a new program or newly instituted benefit, the agency, department, board, or commission shall consult with the Department of Examiners of Public Accounts to determine if there is a system or service in place which could aid the agency, department, board, or commission in detecting, defraying, or preventing fraudulent payments. If such a system or service exists, the agency, department, board, or commission shall determine whether such a system or service can be integrated with, modify, or replace its current systems or programs and shall use the system or service to the full extent practicable. This shall be a management decision of the agency, department, board, or commission.
(c) This section does not apply to group health benefits administered by a state agency, department, board, or commission.
(Act 2023-557, §1.)
(a) As used in this section, the following terms have the following meanings:
(1) CENTRAL BANK DIGITAL CURRENCY. A digital currency, a digital medium of exchange, or a digital monetary unit of account issued by the United States Federal Reserve System or a federal agency which is made directly available to a consumer by such entities. The term includes a digital currency, a digital medium of exchange, or a digital monetary unit of account issued by the United States Federal Reserve System, a federal agency, or the World Bank which is processed or validated directly by such entities.
(2) GOVERNMENTAL AGENCY. Any board, commission, department, or other agency of the state or any political subdivision of the state.
(b) No governmental agency shall accept a payment using central bank digital currency.
(c) No governmental agency shall participate in any test of central bank digital currency by any Federal Reserve branch.
(Act 2023-561, §1.)
An agency, department, board, bureau, commission, committee, institution, corporation, authority, or office of this state may expend public funds for the purchase of promotional items of nominal value for the purpose of carrying out its statutory duties, items to commemorate persons recognized for achievement or exceptional performance, and to purchase meals for staff during training or extended work sessions. Meals and other items provided pursuant to this section shall be limited to amounts that comply with United States Internal Revenue Service guidance on de minimis fringe benefits.
(Act 2024-287, §2.)
(a) Any state law that prohibits discrimination on the basis of sex thereby forbids unfair treatment of females or males.
(b) Neither the state nor any political subdivision of the state shall be prohibited from establishing separate single-sex spaces or environments for males and females when biology, privacy, safety, or fairness are implicated.
(Act 2025-3, §4.)
(a) Any state agency may establish a requirement, within its area of administrative responsibility, that every person, corporation or partnership, owing, in connection with an individual transaction consisting of any State of Alabama tax return, fee, report or other document, or any other obligation of indebtedness to the state, an amount of money, as specified in subsection (b) shall pay such tax liability, fee, or obligation to the state no later than the date such payment or remittance of funds is required by law, in funds which are immediately available to the state on the first banking day following the due date of payment.
(b) The determination as to which persons, corporations, or partnerships shall be subject to the remittance provisions of this article is based on individual payments made during a calendar year, rather than the aggregate of payments made during a calendar year. Persons, corporations, or partnerships making an individual payment at the thresholds indicated below shall comply with this article and subsection (c):
(1) Twenty-five thousand dollars ($25,000) or more for payments made during the calendar year.
(2) On taxes, fees, and other obligations that are collected or administered by the Department of Revenue:
a. Seven hundred fifty dollars ($750) or more for payments by a business entity made after October 1, 2006, and all filing periods thereafter shall be paid electronically.
For purposes of this subdivision, electronically includes payments made over the telephone.
b. All local government business entity taxes and fees collected or administered by the department when the corresponding state tax is subject to paragraph a., shall also be paid electronically.
c. Notwithstanding paragraphs a. and b., the department, by rule, may designate specific revenue sources, fees, or monetary obligations which it may except from paragraphs a. and b.
d. The governing body of any self-administered county or city may elect to require electronic payments under the same provisions of this subdivision applicable to the department.
(c) When the provisions of subsection (a) are established, payment and the reporting of such remittance shall be made in accordance with procedures established by the administering state agency for the indebtedness involved; such procedures shall continue to be the method of reporting and remittance until established otherwise by the administering state agency.
(1) Such procedures shall include the use of the automated clearing house system.
(2) The state administrating agency shall coordinate with the State Treasurer to insure the availability of such funds to the state on the first banking day following the due date of payment.
(Acts 1991, No. 91-570, p. 1052, §1; Act 2006-552, p. 1269, §1.)
Failure to make such payment or remittance in immediately available funds in a timely manner, or failure to provide such evidence of payment or remittance in a timely manner, shall subject the affected taxpayer or obligee to penalty, interest, and loss of applicable discount, as provided by state law for delinquent or deficient tax, fee or obligation payments. If payment is timely made in other than immediately available funds, penalty, interest, and loss of applicable discount shall be added to the amount due from the due date of the tax, fee or obligation payment to the date that funds from the tax, fee, or obligation payment subsequently become available to the state, in accordance with state law for delinquent or deficient tax, fee or obligation payments.
(Acts 1991, No. 91-570, p. 1052, §2.)
To allow for possible late payments due to unexpected problems arising at financial institutions, federal reserve facilities, the automated clearing house system, or state agencies where it is proven that a good faith attempt was made and due diligence was exercised to initiate payment correctly and on a timely basis, the administering state agency is specifically authorized to waive all penalties, interest, or disallowed discount on late payments for a period not to exceed two business days following the due date of the payment.
(Acts 1991, No. 91-570, p. 1052, §3; Act 98-637, p. 1406, §1.)
The administering state agencies, in coordination with the State Treasurer, are authorized to prescribe and promulgate rules and regulations pertaining to their respective departments necessary for the administration of this article. These rules and regulations will address, as a minimum, the responsibility of the administering agencies to notify taxpayers and others responsible for making payments under this article, the identification of taxes, fees and other obligations of which payment is required under this article, the procedures for making payments, payment alternatives, and proof of timely payment.
(Acts 1991, No. 91-570, p. 1052, §4.)
The Legislature finds and declares that the making and managing of investments or the borrowing of money by governmental entities involves a variety of interest rate, investment, payment, and similar risks. A number of financial instruments are available to hedge against those risks. Many governmental entities lack express statutory authority to take advantage of those instruments, and it is desirable that they have the authority.
(Acts 1992, No. 92-589, p. 1214, §1.)
In this article, the following terms shall have the following respective meanings:
(1) COUNTERPARTY. The provider of the interest rate floor, cap or collar, or the other party to the swap agreement.
(2) GOVERNMENTAL ENTITY. The state (or equivalent thereof) or any political subdivision thereof, or any department, agency, board, commission, or authority of the state, or any such political subdivision, or any public corporation, authority, agency, board, commission, state colleges or universities, or other governmental entity controlled by the state or any such political subdivisions. This definition shall be inclusive of both the singular and plural form of this term.
(3) SWAP AGREEMENT. An agreement (including terms and conditions incorporated by reference therein) in the initial notional amount of $5,000,000.00 or more (which notional amount may reduce periodically under the agreement), commonly known as the following:
a. An interest rate swap agreement, an interest rate cap agreement, an interest rate floor agreement, an interest rate collar agreement, or any other similar agreement, including any option to enter into any of the foregoing.
b. Any combination of any of the foregoing.
c. A master agreement for any of the foregoing, together with all supplements.
(Acts 1992, No. 92-589, p. 1214, §2.)
Notwithstanding any other provision of law, governmental entities shall be authorized to enter into swap agreements as follows:
(1) Subject only to subdivision (2) of this section, any governmental entity may enter into one or more swap agreements which the governmental entity determines to be necessary or desirable in connection with, or incidental to, the conduct of its proper activities, including in connection with its acquisition or carrying of investments or the issuance, acquisition, carrying, or securing of its authorized debt instruments, bonds, notes, agreements, or indebtedness. The swap agreements shall be entered into with the financial institution or financial institutions selected by the means, and shall contain the payment, term, security (including the pledge of collateral by the governmental entity), default, remedy, and other terms and conditions, determined to be necessary or desirable by the governmental entity after giving consideration to the creditworthiness of the counterparties, based on criteria the governmental entity may deem appropriate.
(2) No governmental entity shall enter into any swap agreement unless all of the following occur:
a. The governmental entity’s governing body first finds and determines, and certifies to the counterparty, that the swap agreement is entered into for the purpose of hedging against an interest rate, investment, payment, or other similar risk that arises in connection with or incidental to the proper activities of the governmental entity.
b. The swap agreement requires the counterparty to pledge collateral to the governmental entity in the approximate amount estimated at least quarterly, that would be payable by the counterparty to the governmental entity if the counterparty defaulted under the swap agreement on such estimation date. Collateral pledged by the governmental entity hereunder must be (1) obligations eligible for investment of municipal or county funds pursuant to Sections 11-81-19 and 11-81-21, as amended from time to time, or (2) cash in United States dollars. The valuation of collateral and amounts that would be payable under the swap agreement upon default may be determined by averaging bid quotations from two or more recognized dealers or upon any other basis agreed upon by the counterparty and governmental entity.
c. The counterparty has a net worth of at least $100,000,000.00, or the counterparty’s obligations under the swap agreement are guaranteed by a person or entity having a net worth of at least $100,000,000.00.
A counterparty that enters into any swap agreement with a governmental entity may rely on a certification by the governmental entity that the factual matters relating to the governmental entity, and other matters in the certification, are correct. Any inaccuracy of the governmental entity’s certification shall not affect the enforceability of the swap agreement.
(Acts 1992, No. 92-589, p. 1214, §3.)
Except as specifically required by paragraph (2)b of Section 41-1-42, in connection with entering into any swap agreement, any governmental entity may enter into credit enhancement or liquidity agreements with payment, term, security (including the pledge of collateral by the governmental entity), substitution of collateral, valuation of collateral or amounts payable under the agreement, default, remedy, and other procedures, terms, and conditions as the governmental entity determines are necessary or desirable.
(Acts 1992, No. 92-589, p. 1214, §4.)
This article shall be liberally construed to effect its purpose.
(Acts 1992, No. 92-589, p. 1214, §5.)
(a) Notwithstanding any other provision of law to the contrary, any officer or unit of state government required or authorized to receive or collect any payments to state government may accept a credit card payment of the amount that is due. This section shall only apply to departments, agencies, boards, bureaus, commissions, and authorities which are units of state government, and shall not apply to any departments, agencies, boards, bureaus, commissions, or authorities which are units of county or municipal government and come under the provisions of Chapter 103 of Title 11.
(b) This section shall be broadly construed to authorize acceptance of credit card payments by:
(1) All departments, agencies, boards, bureaus, commissions, authorities, and other units of state government.
(2) All officers, officials, employees, and agents of the state and units of state government.
(c) This section shall be broadly construed to authorize acceptance of credit card payments of all types of amounts payable, including, but not limited to, taxes, license and registration fees, fines, and penalties. For purposes of this section, the term “credit card” shall include credit cards, charge cards, and debit cards issued by any bank, foreign lender, domestic lender, or credit card bank as defined in Section 5-20-3.
(d) The decision of whether to accept credit card payments for any type of payment shall be made by the officer or board or other body having general discretionary authority over the manner of acceptance of payments. If credit card payments are to be accepted, the officer or board or other body shall adopt reasonable policies, rules, or regulations not in conflict with this section governing the manner of acceptance of credit card payments. Notwithstanding the foregoing, no credit card payment shall be accepted for any state taxes without approval by the Alabama Department of Revenue. The officer or board or other body having general discretionary authority over the manner of acceptance of payments may enter into appropriate agreements with credit card issuers or other appropriate parties as needed to facilitate the acceptance of credit card payments. Without limiting the generality of the foregoing, the agreements may provide for the receipt of credit card payments at a discount from their face amount or the payment or withholding of administrative fees from the face amount of the payments. The officer, board, or other body having general discretionary authority over the manner of receipt of payments may make any payment of discount or administrative fees by paying an invoice or allowing withholding of discounts or administrative fees from the face amount of the credit card payments. The discount or administrative fees may be authorized when the officer or board or other body determines that any reduction of revenue resulting from the discount or administrative fees will be in the best interest of state government. Factors which may be considered in making that determination may include, but are not limited to, improved governmental cash flow, reduction of governmental overhead, improved governmental financial security, or a combination of one or more of the foregoing together with the benefit of increased public convenience. Any agreement shall provide that it may be canceled at any time by the affected officer or unit of state government, but the agreement shall provide for a reasonable period of notice for cancellation.
(e) An officer or board or other body authorizing acceptance of credit card payments may impose a surcharge or convenience fee upon the person making a payment by credit card to wholly or partially offset, but not to exceed the amount of any discount or administrative fees charged to state government. The surcharge or convenience fee shall be applied only when allowed by the operating rules and regulations of the credit card involved. When a party elects to make a payment to state government by credit card and a surcharge or convenience fee is imposed, the payment of the surcharge or convenience fee shall be deemed voluntary by the party and shall not be refundable.
(f) No person making any payment by credit card to the state government shall be relieved from liability for the underlying obligation except to the extent that the state government realizes final payment of the underlying obligation in cash or the equivalent. If final payment is not made by the credit card issuer or other guarantor of payment in the credit card transaction, then the underlying obligation shall survive and the state government shall retain all remedies for enforcement which would have applied if the credit card transaction had not occurred. No contract may modify the provisions of this subsection. This subsection shall not make the underlying obligor liable for any discount or administrative fees paid to a credit card issuer or other party by state government.
(g) A state government officer or employee who accepts a credit card payment in accordance with this section and any applicable policies, rules, or regulations of state government shall not thereby incur any personal liability for the final collection of such payments.
(Act 2000-314, p. 483, §6.)
State tax receipt. Any tax, fee, license or other source of revenue received by a state entity pursuant to statute, rule, or any other means.
The term shall in no way include specific appropriations from the State General Fund and the Education Trust Fund.
(Act 2015-327, §1.)
Any other law or laws to the contrary notwithstanding, a state entity which receives state tax receipts which are designated for a particular purpose may in addition to the designated purpose expend those funds for other functions within the entity in order to offset the reduction in other funding for any given year. The flexibility provided by this section shall not apply to funds which are constitutionally dedicated for a specific purpose or to Medicaid provider taxes from hospitals, nursing homes, and pharmacies and Medicaid intergovernmental transfers from public hospitals and public nursing homes, or to funds otherwise designated by the federal government or state or federal court order, or to portions of a state-levied tax that are distributed directly to counties.
(Act 2015-327, §2.)
Notwithstanding any other provision of the law to the contrary, in no instance shall this article induce an automatic increase in any fees to replenish a fund. No such fund requiring such automatic increase shall be depleted under this article.
(Act 2015-327, §3.)
Each state entity shall be responsible for ensuring compliance with the provisions of Section 41-1-71.
(Act 2015-327, §4.)
For the purposes of this article, the following terms have the following meanings:
(1) CONTRACTOR. Any individual or entity that provides services to a state agency, public institution of higher education, or local board of education. This term does not include an individual or entity that provides construction services.
(2) DIVISIVE CONCEPTS. Any of the following concepts:
a. That any race, color, religion, sex, ethnicity, or national origin is inherently superior or inferior.
b. That individuals should be discriminated against or adversely treated because of their race, color, religion, sex, ethnicity, or national origin.
c. That the moral character of an individual is determined by his or her race, color, religion, sex, ethnicity, or national origin.
d. That, by virtue of an individual’s race, color, religion, sex, ethnicity, or national origin, the individual is inherently racist, sexist, or oppressive, whether consciously or subconsciously.
e. That individuals, by virtue of race, color, religion, sex, ethnicity, or national origin, are inherently responsible for actions committed in the past by other members of the same race, color, religion, sex, ethnicity, or national origin.
f. That fault, blame, or bias should be assigned to members of a race, color, religion, sex, ethnicity, or national origin, on the basis of race, color, religion, sex, ethnicity, or national origin.
g. That any individual should accept, acknowledge, affirm, or assent to a sense of guilt, complicity, or a need to apologize on the basis of his or her race, color, religion, sex, ethnicity, or national origin.
h. That meritocracy or traits such as a hard work ethic are racist or sexist.
(3) DIVERSITY, EQUITY, AND INCLUSION PROGRAM. Any program, class, training, seminar, or other event where attendance is based on an individual’s race, sex, gender identity, ethnicity, national origin, or sexual orientation, or that otherwise violates this article. This term does not include programs, classes, trainings, seminars, or other events that are necessary to comply with applicable state law, federal law, or court order.
(4) PUBLIC INSTITUTION OF HIGHER EDUCATION. As defined under Section 16-5-1, which includes all universities governed by constitutionally created boards of trustees.
(5) STUDENT. Any individual enrolled in a public K-12 school or public institution of higher education.
(Act 2024-34, §1.)
A state agency, local board of education, or public institution of higher education may not do any of the following:
(1) Sponsor any diversity, equity, and inclusion program or maintain any office, physical location, or department that promotes diversity, equity, and inclusion programs, as defined in Section 41-1-90.
(2) Direct or compel a student, employee, or contractor to personally affirm, adopt, or adhere to a divisive concept.
(3) Require its students, employees, or contractors to attend or participate in any diversity, equity, and inclusion program or any training, orientation, or course work that advocates for or requires assent to a divisive concept.
(4) Require a student, employee, or contractor to share his or her personal point of view on any divisive concept outside of an academic setting, as provided in Section 41-1-93(3)b.
(5) Require its students, employees, or contractors to participate, as part of any required curriculum or mandatory professional training, in an activity that involves lobbying at the state or local level for legislation related to a divisive concept.
(6) Penalize or discriminate against a student, employee, or contractor on the basis of his or her refusal to support, believe, endorse, embrace, confess, or otherwise assent to a divisive concept or diversity statement.
(7) Condition enrollment or attendance in a class, training, or orientation solely on the basis of race or color.
(8) Authorize or expend funding, or apply for or accept a grant, federal funding, or private funding, for the purpose of compelling assent to any divisive concept or any other purpose prohibited in this article, provided that such funding may be provided to student, faculty, or staff organizations or associations.
(Act 2024-34, §2.)
All state agencies and political subdivisions, including local boards of education and public institutions of higher education, may discipline or terminate the employment of any employee or contractor who knowingly violates this article, provided that:
(1) Any disciplinary action or termination of an employee of a public institution of higher education shall remain subject to relevant policies established by the institution.
(2) Termination of an employee or contractor of a local board of education remains subject to the appeal of the termination to the local board of education or State Board of Education if applicable, or, if applicable, the Teacher Accountability Act, Chapter 24B of Title 16, and the Students First Act, Chapter 24C of Title 16.
(3) No state agency or political subdivision may terminate a contract or contractor under this section unless a contractor in this state knowingly violated this article in the course of his or her contractual obligation.
(Act 2024-34, §3.)
AMENDED BY ACT 2026-209, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
Nothing in this article:
(1) Prevents student, staff, or faculty organizations or associations from hosting diversity, equity, and inclusion programs or discussions that may involve divisive concepts, provided that no state funds are used to sponsor these programs. If a student, staff, or faculty organization or association hosts an event pursuant to this subdivision, it shall identify the sponsor of the event at the event and in any advertisements relating to the event.
(2) Prevents an employee or a contractor of a state agency, local board of education, or public institution of higher education who provides, as part of his or her job duties, orientation, course work, or training from responding to questions that are raised by participants in the orientation, course work, or training and that pertain to divisive concepts or diversity, equity, and inclusion.
(3)a. Prohibits a public institution of higher education from providing any instruction or taking any action in furtherance of satisfying any accreditation standard or requirement.
b. Prohibits a public institution of higher education from authorizing the teaching or discussion of any divisive concept in an objective manner and without endorsement as part of a larger course of academic instruction, provided the institution and its employees do not compel assent to any divisive concept and otherwise comply with this article.
c. Prohibits the required collection or reporting of demographic data by public institutions of higher education.
(4) Prohibits the teaching of topics or historical events in a historically accurate context.
(5) Prohibits an institution of higher education from performing research, collecting data, engaging in recruiting and outreach programs, offering academic support services, engaging in clinical trials, or providing medical, mental, or any health care or clinical services targeted to support individuals of any specific demographic.
(6) Prevents state agencies from promoting racial, cultural, or ethnic diversity or inclusiveness, provided these efforts are consistent with the requirements of this article.
(7) Prohibits a public institution of higher education from providing space or ancillary services to any student or employee on a non-discriminatory basis, including, but not limited to, support and guidance to ensure compliance with applicable university policies and laws, assistance with security needs, and registration of events.
(8) Prohibits housing, athletic programming, or social organizations that are segregated by sex. Each public institution of higher education shall ensure that every multiple occupancy restroom be designated for use by individuals based on their biological sex, as defined by Section 16-1-54.
(9) May be construed to inhibit or violate the First Amendment rights of any student or employee, or to undermine the duty of a public institution of higher education to protect, to the greatest degree, academic freedom, intellectual diversity, and free expression.
(10) Shall be deemed to affect or revise any provision in state law requiring that membership of a state board, commission, or authority be inclusive and reflect the racial, gender, geographic, urban, rural, and economic diversity of the state, nor impact any public official appointed to a state board, commission, or authority as of October 1, 2024.
(11) May be construed to affect or limit the activities of the Alabama Office of Minority Affairs.
(Act 2024-34, §4)
It is the intent of the Legislature that all constitutionally created boards of trustees comply with the requirements of this article.
(Act 2024-34, §5.)
The boundaries of this state are established and declared to be as follows: Beginning at the point where the thirty-first degree of north latitude crosses the Perdido River; thence east to the western boundary line of the State of Georgia; thence along said line, to the southern boundary line of the State of Tennessee; thence west along the southern boundary line of the State of Tennessee, crossing the Tennessee River, and on to the second intersection of said river by said line; thence up said river to the mouth of Big Bear Creek; thence by a direct line to the northwest corner of Washington County, in this state, as originally formed; thence southerly along the line of the State of Mississippi to the Gulf of Mexico; thence eastwardly, including all islands within six leagues of the shore, to the Perdido River; and thence up the said river to the beginning.
(Code 1852, §5; Code 1867, §16; Code 1876, §12; Code 1886, §12; Code 1896, §623; Code 1907, §83; Code 1923, §85; Code 1940, T. 55, §16.)
The boundary line between Alabama and Georgia commences on the west side of the Chattahoochee River, at the point where it enters the State of Florida; from thence up the river, along the western bank thereof, to the point on Miller’s Bend, next above the place where the Uchee creek empties into such river; thence in a direct line to the Nickajack.
(Code 1852, §16; Code 1867, §17; Code 1876, §13; Code 1886, §13; Code 1896, §624; Code 1907, §84; Code 1923, §86; Code 1940, T. 55, §17.)
The boundary line between Alabama and Florida is the line commonly known as the “mound line,” or “Ellicott’s Line,” as distinguished from a blazed line known as the “upper” or “Coffee Line,” commencing at a point on the Chattahoochee River, near a place known as “Irwin’s Mills”; and from thence to the Perdido River, marked the whole distance by blazes on the trees and by mounds of earth, at distances of about one mile.
(Code 1852, §17; Code 1867, §18; Code 1876, §14; Code 1886, §14; Code 1896, §625; Code 1907, §85; Code 1923, §87; Code 1940, T. 55, §18.)
(a) The State of Alabama hereby ratifies, confirms, and adopts the recommendations of the joint committee heretofore appointed by the Governor of Florida and the Governor of Alabama to locate and mark the boundary line between the said states at the mouth of the Perdido River and adjacent thereto. Said committee consists of Honorable Richard W. Ervin, Honorable Richard H. Simpson, Honorable Philip D. Beall and Honorable F. C. Elliot, all on the part of the State of Florida, and Honorable Earl M. McGowin, Honorable W. C. Pruett and Honorable William N. McQueen, all on the part of the State of Alabama.
(b) In accordance with the recommendations of the said joint committee, the boundary at the location referred to in subsection (a) of this section shall be as follows:
(1) The middle of the Perdido River at its mouth, as defined by the constitutions of the States of Alabama and Florida, is at latitude 30 deg 16′ 53″ north and longitude 87 deg 31′ 06″ west as the control point;
(2) That the boundary line at the mouth of Perdido River is fixed, as nearly as may be, in the axis of the mouth of said river, passing through the control point and running north and south and having as its northern terminus a point of latitude 30 deg 17′ 02″ north and longitude 87 deg 31′ 06″ west, and as its southern terminus a point 1,000 feet due south of the control point;
(3) That from the northern terminus of the boundary line at the mouth of the river, the boundary up the lower portion of said river be a straight line to a point at latitude 30 deg 18′ 00″ north, longitude 87 deg 27′ 08″ west, thence by a straight line to a point in the center line of the Intracoastal Canal at longitude 87 deg 27′ 00″ west;
(4) That the seaward boundary between Florida and Alabama extends from the south end of the boundary line at the mouth of Perdido River, thence south 0 deg 01′ 00″ west to the seaward limit of each respective state;
(5) And shall be deemed, taken, and declared, and is hereby deemed, taken, and declared, to be the boundary line between the states of Florida and Alabama, at the mouth of the Perdido River and adjacent thereto, and shall be deemed and taken as such by the authorities and people of this state.
(c) Nothing contained in this section, nor any operations of the provisions of this section, shall prejudice the rights or claims of private individuals to any of the lands herein involved.
(Acts 1953, No. 440, p. 547, §§ 1, 2, 5.)
The State of Alabama reserves to itself the exclusive right and privilege of exploring, excavating or surveying, through its authorized officers, agents, or employees, all aboriginal mounds and other antiquities, earthworks, ancient or historical forts and burial sites within the State of Alabama, subject to the rights of the owner of the land upon which such antiquities are situated, for agricultural, domestic or industrial purposes, and the ownership of the state is hereby expressly declared in any and all objects whatsoever which may be found or located therein.
(Acts 1915, No. 669, p. 728; Code 1923, §1418; Code 1940, T. 55, §272.)
No person not a resident of the State of Alabama, either by himself or herself personally or through any agent or employee or anyone else acting for such person, shall explore or excavate any of the remains described in Section 41-3-1 or carry or send away from the state any objects which may be discovered therein or which may be taken therefrom or found in the vicinity thereof.
(Acts 1915, No. 669, p. 728; Code 1923, §1419; Code 1940, T. 55, §273.)
No explorations or excavations shall be made in any of such remains without the consent of the owner of the land first had and obtained and unless such work is done in such way as not to injure any crops, houses, or improvements on the land adjacent to or forming a part of such remains.
(Acts 1915, No. 669, p. 728; Code 1923, §1420; Code 1940, T. 55, §274.)
No explorations or excavations shall be made which will destroy, deface, or permanently injure such remains; and, after any such explorations or excavations, they shall be restored to the same or like condition as before such explorations or excavations were made.
(Acts 1915, No. 669, p. 728; Code 1923, §1421; Code 1940, T. 55, §275.)
No objects taken from such remains shall be sold or disposed of out of the state, but when removed therefrom the objects so gathered shall be retained in state custody and either placed in the collection of the Department of Archives and History or in the museums or in the libraries of the educational or other institutions of the state or they may be exchanged for similar or other objects from other states, museums, libraries, or individuals.
(Acts 1915, No. 669, p. 728; Code 1923, §1422; Code 1940, T. 55, §276.)
Any person who shall explore or excavate any of the aboriginal mounds, earthworks or other antiquities of this state contrary to the laws of this state shall be guilty of a misdemeanor and, upon conviction, shall be fined not more than $1,000.00 for each offense.
(Acts 1915, No. 669, p. 728; Code 1923, §4453; Code 1940, T. 55, §277; Acts 1980, No. 80-777, p. 1612.)
The words “state and the departments, boards, bureaus, commissions, agencies, offices, and institutions thereof,” and the words “departments, boards, bureaus, commissions, agencies, offices and institutions of the state,” wherever they appear in this chapter, shall not be construed to include counties, municipal corporations, political subdivisions, county and city boards of education, district boards of education of independent school districts, and other local public bodies.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §60.)
There shall be a Department of Finance, which shall be an executive and administrative department and which shall have general supervision of all matters pertaining to the finances and real property of the state and the departments, boards, bureaus, commissions, agencies, offices, and institutions thereof and, to the extent herein indicated, over the finances of the counties, municipal corporations, political subdivisions, and local public bodies in the state, and to furnish the physical facilities, equipment, and supplies and, to the extent herein indicated, the personnel, for the operation of the state and such departments, boards, bureaus, commissions, agencies, offices, and institutions thereof. The Department of Finance shall have a seal, which shall be affixed to official acts.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §61; Act 2015-435, §3.)
It shall be the duty of the Department of Finance:
(1) To manage, supervise, and control all matters pertaining to the fiscal affairs and fiscal procedure of the state, except such as may, by the constitution or statute, be specifically required to be performed by the State Auditor, the State Treasurer, or the Department of Revenue, and to keep all records, accounts, and data relating thereto. The department may charge a reasonable fee for any services provided by the department or its divisions in carrying out the duties herein.
(2) To manage and supervise all state real property wherever located through a centralized organization within the department.
(3) To manage, supervise and control the insurance of all state property, wherever located.
(4) To operate, manage, and administer the State Insurance Fund.
(5) To make the annual financial report of the state, as soon as possible after the close of each fiscal year, in accordance with approved public accounting practice, and in such form and such detail as may be necessary to present an accurate description of the financial condition of the state during the preceding fiscal year. The reports of the State Auditor and the State Treasurer shall be bound with, and printed as a part of, the report.
(6) To conduct such studies, to secure such information and data, to make such reports, and to furnish such information as may be required by the Governor or the Legislature.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §62; Act 2015-435, p. 1399, §3; Act 2023-500, §1.)
(a) The Alabama Department of Finance shall produce monthly financial reports. It is the intent of the Legislature that the monthly reports shall increase the transparency of state finances and, when conditions emerge that make budget proration likely, provide advance notice to the affected agencies of government so that they can prepare as much as possible for its impact on their operations.
(b) The monthly reports shall provide information on the State General Fund and the Education Trust Fund. Each monthly report shall be released no later than the final day of the month following the month covered by that report. Each monthly report shall be published in a prominent location on the Department of Finance website to provide broad public access to the document.
(c) The monthly reports shall include at least the following information on the fiscal condition of the fund being reported:
(1) The beginning fund balance at the start of the fiscal year, including reversions and other amounts carried forward from prior years.
(2) The forecast of revenues expected to be received during the fiscal year, including receipts from all sources. The forecast shall include an estimate of each revenue source to the fund, except that revenue sources which represent less than one percent of the fund total may be combined into one category.
(3) Any adjustments to the forecast that result in the expectation of material increases or decreases in any revenue source or any one-time revenue sources, together with the amounts of the adjustments.
(4) The annual total of resources expected to be available for the year, as of the month covered by the report, considering the beginning balance, official revenue forecast, and all material adjustments to the forecast of expected revenues.
(5) The total expenditures authorized by law to be made from the fund during the fiscal year being reported. These expenditures shall include the amounts in original appropriations acts, any supplemental appropriations enacted, and any other acts that appropriate resources from the fund during the fiscal year, including laws that create continuing appropriations. In addition, the expenditures shall reflect any reductions in the amounts appropriated due to any proration or spending plan changes.
(6) The projected ending balance in the fund as of the last day of the fiscal year.
(7) The year-to-date expenditures from the fund by department, agency, or function.
(8) A statement of actual and year-to-date revenue collections for each revenue source, including a comparison with prior year amounts and with the most recent estimates by the Department of Finance.
(Act 2011-531, p. 878, §1.)
All appropriations heretofore or hereafter made for the purchase, acquisition or use of furniture, fixtures, supplies, materials, equipment, or other personal property, appropriations for printing and binding and the distribution of printed matter, appropriations for the maintenance, repair, improvement, lighting, heating, and cleaning of the State Capitol and other property owned or leased by the state in the City of Montgomery, and appropriations for postage and telephone expenses for any department, board, bureau, commission, agency, or office of the state located and operating in the City of Montgomery shall be used for the purpose and, if so made, for the department, board, bureau, commission, agency, office, or institution for which made. Such appropriations shall be expended by and on the order of the Department of Finance for such purposes.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §63.)
The Director of Finance shall, subject to the provisions of the Merit System, have the right to appoint any employee in the department. All employees and officers of the Department of Finance, including the chiefs of divisions, except as otherwise provided for in this chapter, shall be subject to the Merit System.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §72; Acts 1983, No. 83-438, p. 619, §1.)
Before entering upon the discharge of their duties, the Comptroller, the Budget Officer, the Purchasing Agent, the chief of the division of service, the chief of the division of local finance, and the chief of any other division established by the Director of Finance shall take the constitutional oath of office. Each of such officers shall devote his or her full time to his or her official duties and shall hold no other lucrative position while serving as such.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §71.)
Before entering upon the duties of their respective offices, the Comptroller, the Purchasing Agent, the chief of the division of service, the chief of the division of finance, the chief of any other division established by the Director of Finance and such other officers or employees of the Department of Finance as are permitted to handle any money or to draw any warrants shall execute to the State of Alabama a bond, to be approved by the Governor, in amounts to be fixed by the Director of Finance, but, in the case of any officer or employee authorized to draw any warrants upon the Treasurer, not less than $25,000.00, for the faithful performance of their duties.
(Acts 1943, No. 122, p. 123; Acts 1961, Ex. Sess., No. 208, p. 2190.)
Nothing in this chapter shall be deemed to authorize or require the allotment, handling or expenditure of any moneys received as grants from the federal Department of Health, Education and Welfare or any other agency of the federal government, or the use or disposition of any properties purchased therewith, in a manner contrary to any condition or limitation attached to any such grant.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §74.)
(a) With respect to all state educational or eleemosynary institutions which are governed by a board of trustees or other similar governing body, the Department of Finance shall have the following powers and duties only:
(1) To make all budget allotments to such institutions.
(2) To require the furnishing of all information concerning such institutions insofar as necessary in the preparation of the general revenue bill.
(3) To maintain perpetual inventories of all furniture, fixtures, supplies, materials, equipment, and other similar personal property on hand, or as may have been or as may be assigned to such institutions, and to make such periodic examinations of such property as may be necessary.
(4) To examine and audit, as provided by law, the records and accounts of all such institutions.
(5) To perform all functions and duties prescribed in Sections 41-4-36, 41-4-50, and 41-4-80 insofar as the provisions thereof are applicable to such institutions.
(6) To perform, unless otherwise provided by law, all the functions provided in Division 1 of Article 5 of this chapter with respect to purchases, contracts, and leases for the use of, or acquisition for, such institutions of any personal property, with the exception of mortgages, bonds, choses in action, or any other forms of personal property purchased for investment, resale or exchange, or perishable goods, or medical or surgical equipment and supplies.
(7) To maintain records as to prices and sources of supply of such personal property.
(b) None of the provisions of this chapter shall apply to any purchase of $50.00 or less, made by any such institutions.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §73.)
With the consent of the Governor, the funds in the sinking fund for retiring old bonded debt may be used from time to time by the Department of Finance for the purpose of purchasing and holding in trust in said fund bonds of the State of Alabama. It shall be the duty of the Department of Finance to see that the funds coming into any sinking fund are applied in satisfaction of the bonds against which said sinking fund was created.
(Acts 1935, No. 311, p. 743; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §75.)
With the consent of the Governor, said bonds so purchased and held in trust may be sold from time to time by the Department of Finance, if it is deemed for the best interest of the sinking fund that said transactions be had, and the proceeds held or reinvested from time to time, provided always said fund be kept intact and be used at the maturity of the said bonds for the retirement of the same. Bonds in said sinking fund on maturity dates shall be cancelled and destroyed as other bond obligations of the state are handled when paid at maturity.
(Acts 1935, No. 311, p. 743; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §76.)
Instead of, or in lieu of, using sinking funds, as is provided for in this article, the Director of Finance, by and with the advice and consent of the Governor, may purchase, upon the best terms obtainable, state bonds or obligations for the payment of which the sinking fund was created, and when such bonds or obligations are so purchased they may be cancelled and retired by the Treasurer, with the advice and consent of the Governor, but no bond or obligation so purchased shall be cancelled or destroyed unless it was purchased by and with the sinking funds which were created for the ultimate payment of such bond or obligation so purchased and cancelled. Such bonds or obligations, when so cancelled and retired, shall be cancelled and destroyed by the Treasurer in the presence of the Governor and the Attorney General, and entry thereof shall be made on the books of the Treasurer as to the number, amount, character and denomination of the bonds or obligations so cancelled and destroyed, and the Treasurer, Governor and Attorney General shall certify to the correctness of the entries so made upon the books of the Treasurer.
(Acts 1923, No. 436, p. 585; Code 1923, §846; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §77.)
If any state sinking funds or any part thereof cannot be invested profitably in any of the other modes provided for in this article, the Director of Finance, by and with the advice and consent of the Governor, may direct the Treasurer to deposit any sinking fund or part thereof in a reputable and solvent savings bank on the best terms obtainable.
(Acts 1923, No. 436, p. 585; Code 1923, §847; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §78.)
The Director of Finance shall keep a separate book in which separate and full entries shall be made as to all deposits of sinking funds, which entries shall show with what bank deposited, or from whom bonds or other obligations are purchased and the terms of the deposit or the purchase. In the event any sinking fund is used for the purchase of any interest-bearing bonds or other obligations of the state, the book entries shall show the amount of the funds so used and from whom the bonds or obligations were purchased. In the event any sinking fund or part thereof is used for the purchase of any bond or obligation under Section 41-4-12, for which the particular sinking fund so used was intended and created, which is authorized to be cancelled and retired when so purchased, the book entries shall show the particular fund so used, the amount thereof and the time, character and denomination of the bond, coupon or other obligation so purchased, which is authorized to be cancelled, destroyed and retired, together with the necessary and proper entry as is hereinbefore provided, showing when such bonds, coupons, or obligations were cancelled, destroyed, or retired.
(Acts 1923, No. 436, p. 585; Code 1923, §848; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §79.)
This article is not intended and shall not be executed, enforced, or construed so as to allow any diversion or conversion of any particular sinking funds, or part thereof, from the object and purpose for which such particular fund or part thereof was created, but they shall be executed and enforced so as to enhance and increase the value of all sinking funds and to apply each particular fund and the increased value or interest accruing therefrom to the prompt and faithful payment of the particular indebtedness or obligation for which the fund was created, and no sinking funds or any part thereof shall be devoted to any other use or purpose than that for which it was created and provided.
(Acts 1923, No. 436, p. 585; Code 1923, §849; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §80.)
No bonds or other evidences of indebtedness of any commission or authority created to construct or reconstruct highway bridges, approaches and appurtenances thereto, any state rural electrification authority, any electric membership corporation, any power district, or any improvement authority shall be issued or sold until the consent to the issuance and sale thereof shall have been given by the Department of Finance, to be evidenced by the written approval of the Director of Finance. Such consent shall be granted only after a public hearing and after a petition requesting such consent has been duly filed by the corporation, authority, district, commission, or other body seeking such consent with the department more than five days before the public hearing. The petition shall specify the plan or program of the body seeking the consent and the uses to which it is proposed to put the proceeds of the issue and the other matters as are necessary to fully advise the department of the nature of the proposed project, and the petition shall include such other information as may be required by the rules of the department. The Department of Finance shall grant consent only after it finds that the issue or sale serves some public need and is in the public interest. It shall be unlawful for the body seeking such consent or anyone to use the proceeds of any such issue or sale contrary to the plan and purposes presented to the department in obtaining its consent thereto. This section shall not apply to any bonds or other evidence of indebtedness issued by any municipality, or any agencies, bureaus, or commissions thereof, nor any municipal, county, or regional housing authority.
(Acts 1935, No. 65, p. 151; Code 1940, T. 55, §155; Acts 1951, No. 191, p. 454; Act 2019-105, §1.)
(a) The Department of Finance shall charge reasonable rent for the use and occupancy of any building owned by the state located in the Capitol complex and maintained by the Department of Finance or any other building maintained by the Department of Finance now or in the future. The Director of Finance shall establish such rent at rates which shall not be more than an amount sufficient to pay the reasonable costs of operation, maintenance, repair, renovation and any other necessary expenses.
(b) All rents collected, and income earned from such rents, under the provisions of this section shall be deposited into a revolving fund in the State Treasury designated as the Capitol Complex Maintenance and Repair Fund, and the Director of Finance is authorized to make deposits and expenditures from time to time from such fund for said purposes.
(Acts 1979, No. 79-456, p. 745; Acts 1991, No. 91-573, p. 1056, § 1.)
(a)(1) The State Department of Finance shall develop and maintain an automated inventory of all facilities and lands owned, leased, rented, or otherwise occupied or maintained by any agency of the state or by the judicial branch. The facilities inventory shall include the location, occupying agency, and ownership.
(2) For the purposes of this section, the term facility means buildings, structures, and building systems, and does not include facilities of the State Department of Transportation or the Alabama State Port Authority.
(3) The State Department of Transportation shall develop and maintain an inventory of their own facilities, which inventories should be available to the public online.
(4) The Alabama Commission on Higher Education and the State Department of Postsecondary Education, respectively, shall develop and maintain a facilities inventory, in the manner prescribed by the State Department of Finance, of all state university and community college facilities and shall make the data available in a format acceptable to the State Department of Finance.
(5) The lands inventory shall include the location and ownership.
(6) The State Department of Finance shall utilize any available information from existing inventories of facilities and lands to develop and maintain the inventory as required by this section, including any information about state lands managed by the State Lands Division of the Department of Conservation and Natural Resources.
(7) This section shall not require the Retirement Systems of Alabama to disclose any lease of a facility between the Retirement Systems of Alabama as a lessor and any person or entity as a lessee. Notwithstanding the foregoing, any agency of the state or judicial branch shall disclose any lease of a facility between that entity as a lessee and the Retirement Systems of Alabama as a lessor.
(b) The State Department of Finance shall update the automated inventory, and cause to be updated the other inventories required by subsection (a), at least one time every 3 years. Notwithstanding the foregoing, the inventories shall be updated to reflect acquisitions of new facilities and lands and significant changes in existing facilities and lands as they occur. The State Department of Finance shall provide each agency and the judicial branch with the most recent inventory applicable to that agency or branch. Each agency and branch, in the manner prescribed by the State Department of Finance, shall report significant changes in the inventory as they occur.
(c) The automated inventory required by this section shall be maintained on the website of the State Department of Finance for access by the public.
(Act 2014-414, p. 1518, §1.)
The Department of Finance shall be headed by, and shall be under the direction, supervision, and control of, an officer who shall be known and designated as the Director of Finance. The Director of Finance shall be the chief financial officer of the state and the advisor of the Governor and of the Legislature in financial matters, and he or she shall at all times be charged with protecting the financial interests of the state. He or she shall be responsible to the Governor for the administration of the Department of Finance. The Director of Finance shall be appointed and hold office at the pleasure of the Governor. Vacancies for any reason shall be filled in the same manner as original appointments are made. Before entering upon the discharge of his or her duties, the Director of Finance shall take the constitutional oath of office. The Director of Finance shall devote full time to his or her office and shall not hold another office under the government of the United States, or under any other state, or of this state or any political subdivision thereof, during his or her incumbency in such office, and he or she shall not hold any position of trust or profit or engage in any occupation or business, the conduct of which shall interfere or be inconsistent with the performance of his or her duties as Director of Finance.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §64; Acts 1951, Ex. Sess., No. 8, p. 174.)
Before entering the duties of his or her office, the Director of Finance shall execute to the State of Alabama a bond, to be approved by the Governor, in an amount to be fixed by the Governor, but not less than $150,000.00, for the faithful performance of his or her duties.
(Acts 1943, No. 122, p. 123; Acts 1961, Ex. Sess., No. 208, p. 2190.)
All functions and duties of the Department of Finance shall be exercised by the Director of Finance, acting by and through such administrative divisions or such officers as he or she may designate. He or she shall have all power and authority necessary or convenient to carry out the functions and duties of the Department of Finance.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §65.)
(a) All surplus property owned by the state to be disposed of by sale at auction by the Finance Department shall first be screened by the Forestry Commission to determine if such property may be of use by volunteer fire departments for specific use in fire suppression activities. If the Forestry Commission finds such property to be useful for such purposes, then, with the approval of the state Finance Director, such property shall be transferred to the Forestry Commission. All such property shall be loaned to the volunteer fire departments.
(b) Any property transferred to a volunteer fire department under the provisions of this section shall be used exclusively for fire protection purposes. The use of any such property other than on the business of the volunteer fire department is expressly prohibited. Any violation of the provision of this section shall be a Class A misdemeanor punishable as provided under Title 13A.
(c) Final disposition of all properties loaned by the Forestry Commission as a result of this section shall rest with the Finance Department of the state.
(Acts 1980, No. 80-364, p. 483.)
(a) This section shall apply to voluntary nonprofit ambulance services and voluntary nonprofit rescue squads which are operated as a public service for the benefit of the citizens of this state. It is declared that said ambulance services and rescue squads are quasi-public entities that are entitled to receive and use public funds or property appropriated, donated or loaned to them by the state or any county or municipal governing body.
(b) All surplus property owned by the state to be disposed of by sale at auction by the Finance Department shall first be screened by the state Board of Health Ambulance Advisory Board created in Section 22-18-5, and the Alabama Association of Rescue Squads, Inc., to determine if such property may be of use by volunteer ambulance services or volunteer rescue squads respectively. If said entities find such property to be useful to voluntary ambulance services or rescue squads, then the state Finance Director shall loan said property to the voluntary services. The state Finance Director is authorized to promulgate necessary rules to implement this section.
(c) Any property transferred to a volunteer ambulance service or rescue squad under the provisions of this section shall be used exclusively for ambulance and rescue purposes. The use of any such property other than on the business of the volunteer ambulance service or rescue squad is expressly prohibited. Any violation of the provision of this section shall be a Class A misdemeanor punishable as provided under Title 13A.
Final disposition of all properties loaned as a result of this section shall rest with the Finance Department of the state.
(Acts 1984, No. 84-619, p. 1257.)
The Director of Finance must assign rooms in the Capitol to the Secretary of State, Auditor, Treasurer, the Department of Revenue, and such other officers as may be designated by law, or which, in the discretion of the Governor, should have such offices, and, in the absence of any legislative provision, designate the purposes to which other rooms are to be applied. The director may supply offices or quarters for state officers or departments of the state outside of the State Capitol, within the City of Montgomery, when, in the discretion of the Governor, the public interest and welfare will be subserved or promoted thereby.
(Code 1852, §50; Code 1867, §58; Code 1876, §56; Code 1886, §57; Code 1896, §1956; Code 1907, §553; Code 1923, §756; Code 1940, T. 55, §67.)
The Director of Finance shall, with the approval of the Governor, establish and promulgate rules and regulations with respect to the manner of performance of all functions and duties of the Department of Finance, the execution of the business of the department and its relations to and business with the other departments, boards, bureaus, commissions, agencies, offices, and institutions of the state, the officers and employees thereof, the counties, municipal corporations, political subdivisions and local public bodies in the state, the officers and employees thereof, and the public, which rules and regulations shall be reasonably calculated to effect the expeditious and efficient performance of such functions and duties and shall not be in conflict with applicable statutes. When approved by the Governor, such rules and regulations shall have the effect of law and shall govern all departments, boards, bureaus, commissions, agencies, offices, and institutions of the state and the officers and employees thereof, the counties, municipal corporations, political subdivisions, and local public bodies in the state, the officers and employees thereof, and the public, in their respective relations to and business with the Department of Finance. Compliance with any such rules or regulations may be compelled by mandamus. Such rules and regulations may be amended from time to time, with the approval of the Governor. Anything herein to the contrary notwithstanding, the Department of Finance shall have no power to adopt any rule which shall impose any mandatory duties upon counties, municipal corporations, political subdivisions and local public bodies, including county and city boards of education and district boards of education of independent school districts, other than such mandatory duties as may be imposed upon them by law.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §68.)
The Director of Finance and any authorized officer or employee of the Department of Finance shall, in the performance of his or her official duties, for the purpose of examination, have access to, and the right to copy from, any book, record, account, document, receipt, or paper of any of the departments, boards, bureaus, commissions, agencies, offices, or institutions of the state or of any of the counties, municipal corporations, political subdivisions, or public bodies in the state or of the officers or employees thereof, in such manner as may be reasonable and at reasonable times. The Director of Finance or any officer or employee of the Department of Finance designated by the director, in the performance of his or her official duties, shall have the power to administer oaths, certify to official acts, take and cause to be taken depositions of witnesses, issue subpoenas, compel the attendance of witnesses and the production of accounts, documents, receipts, papers and testimony, and all witnesses regularly summoned as herein provided shall be paid $.05 per mile each way for the distance traveled plus $3.00 per diem for each day consumed in the hearing and in the traveling to and from the place of hearing. In the event of the failure of any person to comply with any subpoena lawfully issued, or on the refusal of any witness to produce evidence or to testify as to any matter regarding which he may be lawfully interrogated, it shall be the duty of any court of competent jurisdiction or the judge thereof, upon the application of the Director of Finance or any officer of the Department of Finance designated by the director, to compel obedience by attachment proceedings for contempt, as in the case of disobedience of the requirements of a subpoena issued for such court or a refusal to testify therein. A willfully false material statement in any examination herein provided for shall constitute perjury and be punishable as such.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §69.)
With the approval of the Governor, the Director of Finance may create and establish such additional divisions as may be determined to be necessary or convenient in the efficient and expeditious performance of the functions and duties of the Department of Finance and assign functions and duties for such divisions, and he or she may, with the approval of the Governor, reassign functions and duties as between existing divisions. Chiefs of such new divisions shall be appointed by the Director of Finance, with the approval of the Governor, subject to the provisions of the Merit System.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §70.)
(a) The Cash Management Improvement Act of 1990, Public Law 101-453, October 24, 1990, (CMIA), imposes requirements for the timely transfer of funds between a federal agency and a state, and for the exchange of interest where transfers are not made in a timely fashion. The Director of Finance is hereby authorized to make provision for such net interest payments required to be made to the federal government. All state agencies, boards, bureaus, departments, and institutions shall cooperate fully with the requirements imposed by the Director of Finance in accumulating all the necessary data elements to fully comply with all the provisions of the CMIA.
(b) There is hereby appropriated annually from the State General Fund a sufficient amount to pay the net interest costs due to the federal government in accordance with the provisions of CMIA for all state agencies, boards, bureaus, departments, and institutions which maintain their funds in the State Treasury. All state agencies, boards, bureaus, departments, and institutions which maintain their funds outside the State Treasury shall pay from their own funds the net interest costs due as a result of their exchange of funds with the federal government.
(Acts 1995, No. 95-715, p. 1532, §§1, 2.)
(a) If any act of the Legislature provides that the Director of Finance is designated as a member of a multi-member body, the director may designate any individual to serve in his or her place.
(b) The director’s designee under subsection (a) shall serve at the pleasure of the director.
(c) This section applies to multi-member bodies in existence on August 1, 2021, and any subsequently created.
(Act 2021-484, §3.)
There shall be in the Department of Finance the Division of Control and Accounts. The functions and duties of the Division of Control and Accounts shall be as follows:
(1) To keep all books, records and accounts relating to the finances of the state government, including the budget accounts, which are authorized or required to be kept by the Department of Finance, in accordance with recognized standards of public accounting and in such a manner as at all times to reveal the true financial status of the state government and of each special fund and account in the State Treasury.
(2)a. To control and make records of all payments into and out of the State Treasury and each special fund and account therein.
b. When the state Comptroller finds that, in a prior fiscal year, the state has failed to give a vendor payment to which the vendor is entitled and the state or any department, division, bureau, commission, board, or other agency thereof, agrees that the payment is due, the state Comptroller, with the approval of the Director of Finance, shall approve such request for payment from the department, division, bureau, commission, board, or other agency thereof and shall draw a warrant on the State Treasury from the affected agency’s funds for the amount thereof in favor of such vendor.
(3) To audit currently all receipts and receivables.
(4) To preaudit and determine the correctness and legality of every claim and account submitted for the issuance of a warrant and to determine that funds have been appropriated and allotted and are then available in the State Treasury for the payment of such claim or account before any warrant on the State Treasury shall be issued; except, that the preaudit of claims for unemployment compensation, public assistance, child welfare, or income tax refunds shall be performed by the department or departments having charge of the other functions and duties relating to unemployment compensation, or public assistance, or child welfare, or income tax refunds subject to the general supervision of the Division of Control and Accounts.
(5)a. To draw every warrant authorized to be drawn upon the State Treasury and any fund therein, whether a special or earmarked fund or not.
b. Any law to the contrary notwithstanding, any or all warrants issued by the Division of Control and Accounts may be transferred or deposited electronically or by other acceptable methods to any financial institution capable of handling direct deposits by electronic transfer or other acceptable methods if written approval is given by the original payee of the warrant. The state Comptroller shall maintain files on all written approvals given by original payees and separate records on all transfers of funds authorized in this subsection and shall furnish sufficient documentation for the purpose of auditing and reconciling such electronic financial transactions.
(6) To secure such information and data, to prepare or make such studies and reports, and to perform such other functions and duties of the Department of Finance as may be assigned by the Director of Finance.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §81; Acts 1984, 1st Ex. Sess., No. 84-789, p. 180; Act 2023-500, §2.)
The division of control and accounts shall be headed by and be under the direction, supervision and control of an officer who shall be designated the Comptroller. The Comptroller shall be appointed by the Director of Finance, with the approval of the Governor.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §81.)
The Comptroller has no authority in any civil action or proceeding commenced or directed by him or her, or in any other case, unless such authority is expressly given, to receive any of the state revenue.
(Code 1852, §368; Code 1867, §420; Code 1876, §97; Code 1886, §108; Code 1896, §2007; Code 1907, §611; Code 1923, §818; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §82.)
The Comptroller must not give any public defaulter any warrant for moneys due him or her from the state, except the balance which is due after the application of the amount due from the state to the extinguishment of the debt, interest, and damages, if any are given by law, due from such defaulter.
(Code 1852, §367; Code 1867, §419; Code 1876, §96; Code 1886, §107; Code 1896, §2006; Code 1907, §610; Code 1923, §817; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §83.)
All accounts against the state must be accurately and fully itemized.
(Code 1852, §369; Code 1867, §421; Code 1876, §98; Code 1886, §109; Code 1896, §2008; Code 1907, §612; Code 1923, §819; Code 1940, T. 55, §84; Acts 1969, No. 272, p. 603.)
On all vouchers or accounts for payment of state funds by warrant of the state Comptroller which, by general or special law, require the approval of the Governor, such approval may be indicated thereon by method of certification by the director or executive officer duly designated for the department requesting payment that the Governor’s approval has been obtained.
Certification executed pursuant to this section shall constitute prima facie evidence of the Governor’s approval for such payment.
(Acts 1969, No. 224, p. 544.)
No money shall be paid out of any contingent fund, except upon account stated, setting forth the items upon which payment is claimed, signed by the proper person, with such authentication as the Governor may require of the correctness of the same.
(Code 1867, §416; Code 1876, §94; Code 1886, §105; Code 1896, §2004; Code 1907, §608; Code 1923, §815; Code 1940, T. 55, §85.)
All officers and employees who travel at the expense of the state or any of its departments, agencies, boards, bureaus, or commissions shall file with the Comptroller an itemized statement of all expenses incurred, including those for transportation, in connection with such travel at the expense of the state, agency, institution, board, bureau, or commission before any warrant shall issue for such expenses.
(Acts 1919, No. 151, p. 145; Code 1923, §820; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §86; Acts 1943, No. 160, p. 153; Act 2012-529, p. 1572, §1.)
The Comptroller must issue duplicate warrants upon the Treasury whenever he is satisfied that the original warrant has been destroyed or lost. The party holding the duplicate shall have the same right as if he or she held the original, and the Treasurer is authorized to pay the same.
(Code 1876, §100; Code 1886, §111; Code 1896, §2010; Code 1907, §613; Code 1923, §821; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §87.)
Every warrant authorized to be drawn upon the State Treasury by the state Comptroller shall be deemed to have been duly executed if it is signed by the Comptroller himself or herself or if it bears a facsimile of the Comptroller’s signature placed thereon by the Comptroller or a duly authorized employee of the division of control and accounts in the Department of Finance, with the intent to execute such warrant.
(Acts 1956, 1st Ex. Sess., No. 120, p. 176.)
(a) Any warrant heretofore or hereafter drawn by the state Comptroller on any fund in the State Treasury which is outstanding and unpaid one year from the date of issue shall be void and payment of the warrant shall be stopped by the State Treasurer.
(b) Upon the expiration of the period of time provided herein for the voiding of warrants, the State Treasurer shall transfer the amount of the voided warrants to the State Unclaimed Property Fund.
(c) Duplicate warrants issued to replace warrants which have been lost, mutilated, or destroyed shall be deemed to be original warrants for the purposes of this section.
(Acts 1969, No. 226, p. 545; Acts 1995, No. 95-377, p. 771, §1; Act 99-381, p. 607, §1.)
The Comptroller has authority to require information on oath, to be administered by him or her, from any person, touching any claim or account he or she is required to audit.
(Code 1852, §366; Code 1867, §418; Code 1876, §93; Code 1886, §104; Code 1896, §2003; Code 1907, §607; Code 1923, §814; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §88.)
In cases where any person, firm, or corporation has purchased or may hereafter purchase from the state, or of its officers acting under authority or under color of authority purporting to be conferred by an act or resolution of the Legislature of this state, bonds or securities issued or proposed to be issued in consideration of funds or money which such person, firm, or corporation has actually paid or caused to be paid into the Treasury of the state, and where for any reason such bonds or securities have not been paid or cannot be issued and delivered or, if issued and delivered, have been declared invalid by the Supreme Court, such person, firm, or corporation may have the funds or money so paid into the Treasury of the state refunded, together with interest thereon at the rate of interest said bonds or securities proposed to bear from the date of the payment of said funds or money into the Treasury, on complying with the provisions and requirements of Section 41-4-63.
(Acts 1921, Ex. Sess., No. 10, p. 8; Code 1923, §824; Code 1940, T. 55, §90.)
Any person, firm, or corporation entitled to the benefit of Section 41-4-62 and desiring to obtain relief hereunder may file an application with the Comptroller of the state, stating the facts upon which relief is sought, verified by his or her affidavit or that of a duly authorized agent or representative having knowledge of the facts, and when such an application is filed, the Comptroller shall ascertain from the records of the Treasurer of Alabama and other records whether the facts are correctly set forth in the application, and if it is made to appear to the satisfaction of the Comptroller that the state has actually received the funds or money of the applicant under the circumstances named in Section 41-4-62, upon the approval of the Governor and the Treasurer, the Comptroller shall draw a warrant on the treasurer for the payment to such person, firm, or corporation of the amount of such funds or money, together with interest thereon at the rate said bonds or securities proposed to bear from the time said funds or money was paid into the treasury.
(Acts 1921, Ex. Sess., No. 10, p. 8; Code 1923, §825; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §91.)
The state Comptroller is authorized to transfer to the State General Fund all sums carried in special funds on the books and daily balance sheets of the Comptroller but which have become inactive because all claims against them have been paid or when requests for payments from such funds have not been made or for any other reasons and a reasonable time for making such claims has been allowed. When the Comptroller transfers the balance in any special fund into the General Fund, he shall close out such special fund.
(Acts 1969, No. 166, p. 451.)
(a) In this section, state entity shall mean, the State of Alabama, a political subdivision, an agency, board, commission, or department of the state, the State Board of Education, a public college or trade school, or a public university, except that the term shall not mean a county, a municipal corporation, a county board of education, a city board of education, or a professional licensure agency board that is self-sustaining by its own revenues and fees.
(b) The Comptroller shall establish and post on the Internet a database of state expenditures, including contracts and grants, that are electronically searchable by the public, except as provided by subsection (d). The database shall include all of the following:
(1) The amount, date, payor, and payee of expenditures.
(2) A listing of state expenditures by each of the following:
a. The object of the expense with links to the warrant or check register level.
b. To the extent maintained by the state entity accounting systems in a reportable format, class and item levels.
(c) To the extent possible, the Comptroller shall present information in the database established under this section in a manner that is searchable and intuitive to users. The Comptroller shall enhance and organize the presentation of the information through the use of graphical representations, such as pie charts, as the Comptroller considers appropriate. At a minimum, the database shall allow users to:
(1) Search state funding by any element of the information.
(2) Ascertain through a single search the total amount of state funding awarded to a person by a state entity.
(3) Download information yielded by a search of the database.
(d) The Comptroller may not allow public access under this section to a payee’s address, except that the Comptroller may allow public access under this section to information identifying the county in which the payee is located. The Comptroller may not allow public access under this section to information that is identified by a state entity as excepted from required disclosure as confidential. The Comptroller, or an officer or employee of the Comptroller’s office, shall be immune from any civil liability for posting confidential information under this section if the Comptroller, officer, or employee posted the information in reliance on a determination made by a state entity about the confidentiality of information relating to the expenditures of the agency.
(e) To the extent any information required to be in the database is already being collected or maintained by a state entity, the state entity shall provide that information to the Comptroller for inclusion in the database.
(f) The Comptroller may not charge a fee to the public to access the database.
(g) Except as provided by subsection (h), a state entity shall cooperate with and provide information to the Comptroller as necessary to implement and administer this section.
(h) This section does not require a state entity to record information or expend resources for the purpose of computer programming or other additional actions necessary to make information reportable under this section.
(i) The Alabama Department of Finance, after consultation with the Comptroller, shall prominently include a link to the database established under this section on the public home page of the State of Alabama.
(j) Each state entity that maintains a generally accessible Internet site or for which a generally accessible Internet site is maintained shall include a link on the entity’s Internet site to the state expenditure database established by this section.
(k) The Comptroller shall establish procedures and adopt rules to implement and administer this section.
(l) Any vendor, contractor, or other supplier to any state entity may notify the Comptroller in writing that its prices or costs, or both, should be held confidential. Upon receipt of such written notification, the Comptroller shall not post the prices or costs, or both, specified in the notification unless and until the Comptroller shall investigate whether the prices or costs, or both, claimed in the notification to be confidential should be protected from posting. Such investigation shall include a hearing where the vendor, contractor, or other supplier can present justification for holding the information confidential. The Comptroller’s ruling on confidentiality shall be based on a standard of reasonableness. The Comptroller’s ruling shall be subject to review by the courts.
(Act 2009-750, p. 2270, §1.)
ficer shall establish and maintain and post on the state’s website a statewide database of each request for a proposal for a public contract by the State of Alabama, any agency, board, commission, or department of the state which receives state or federally appropriated funds, the State Board of Education, a public college or trade school, or a public university.
(b) The Chief Procurement Officer shall establish procedures and adopt rules to implement this section.
(c) Each agency, board, commission, department, State Board of Education, public college, trade school, and public university shall cooperate with and provide information to the Chief Procurement Officer as necessary to implement and administer the section.
(d) Beginning October 1, 2022, the Chief Procurement Officer may charge any agency, board, commission, or department of the state which receives state or federally appropriated funds for this and any other services provided to them by this division.
(e) The database shall be a public record and may be viewed by any citizen, either in person or via the state’s website.
(f) Each request for a proposal shall remain available on the website until the last posting date required by law has expired.
(g) There shall not be a charge for access to the database.
(Act 2012-407, p. 1111, §1; Act 2021-296, §3.)
There shall be in the Department of Finance a division of the budget. The functions and duties of the division of the budget shall be as follows:
(1) To prepare and administer the budget, and direct the execution thereof.
(2) To prepare a detailed tentative budget for every department, board, bureau, commission, agency, office and institution of the state, including those which employ special or earmarked funds, and all earmarked and special funds shall be included in the regular budget of each such department, board, bureau, commission, agency, office or institution.
(3) To make all budget allotments.
(4) To administer, enforce and supervise the execution of the budget, including the enforcement of penalties for the violation of any law, rule, or regulation with respect thereto.
(5) To perform all acts and duties required with respect to the budget by the provisions of this article.
(6) To furnish all information for and assist in the preparation of the general revenue bill and all appropriation bills.
(7) To prepare or make such comparisons, studies and reports as may be helpful in the preparation or execution of the budget or the making of budget allotments or as may be required from time to time by the Director of Finance or the Governor.
(8) To secure such information and data from any department, board, bureau, commission, agency, office, or institution of the state or any officer or employee thereof as may be needed or considered helpful in the preparation of the budget or any report, study, comparison, or other assignment of the division of the budget.
(9) To perform such other functions and duties of the Department of Finance as may from time to time be assigned by the Director of Finance.
(Acts 1939, No. 112, p. 144; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §92.)
(a) The division of the budget shall be headed by and under the direction, supervision and control of an officer who shall be designated the Budget Officer. The Budget Officer may be employed from within or without the classified service; such Budget Officer shall be appointed by and serve at the pleasure of the Director of Finance, with the approval of the Governor. The Budget Officer shall be entitled to the same benefits as any person in the classified service.
(b) Any person who may be serving as such Budget Officer on July 5, 1983, who is not reemployed as such Budget Officer under the provisions of this section, and who prior to such employment as Budget Officer was a member of the state Merit System, may elect to return to the Merit System job classification previously held.
(Acts 1939, No. 112, p. 144; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §92; Acts 1983, No. 83-438, p. 619, §§1, 2.)
Within five days after the convening of each regular business session of the Legislature, the Governor shall transmit to the Legislature a document to be known as a budget, setting forth his or her financial program for each of the fiscal years which will have begun before the next succeeding regular session of the Legislature (hereinafter referred to as “budget years,” regardless of the number thereof) and having the character and scope hereinafter set forth.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §93.)
The budget shall consist of three parts, the nature and contents of which shall be as follows:
(1) Part I shall consist of the Governor’s budget message, in which he or she shall set forth:
a. His or her program for meeting all the expenditure needs of the government for each of the budget years, indicating the fund, general or special, from which such expenditures are to be made and the means through which such expenditures are to be financed.
b. Financial statements giving in summary form:
The condition of the Treasury at the end of the last completed fiscal year, the estimated condition of the Treasury at the end of the fiscal year in progress and the estimated condition of the Treasury at the end of each of the budget years if his budget proposals are to be put into effect.
Statements showing the bonded indebtedness of the government, debt authorized and unissued, debt redemption and interest requirements and the condition of the sinking funds, if any.
A summary of appropriations recommended for each of the budget years for each department, board, bureau, commission, agency, office, and institution of the state and for the government as a whole, in comparison with the actual expenditures for each of the completed fiscal years covered by the last preceding budget and the estimated expenditures for the fiscal year in progress.
A summary of the revenue, classified according to sources, estimated to be received by the government during each of the budget years, in comparison with the actual revenue received by the government during each of the completed fiscal years covered by the last preceding budget and the estimated income for the fiscal year in progress.
c. Such other financial statements, data and comments as in his or her opinion are necessary or desirable in order to make known in all practicable detail the financial condition and operation of the government and the effect that the budget as proposed by him or her will have on such condition and operation.
d. If the estimated revenues for the budget years plus the estimated amounts in the Treasury at the close of the fiscal year in progress are less than the aggregate appropriations recommended for the budget years, the Governor shall make recommendation to the Legislature with respect to the manner in which such deficit shall be met, whether by the imposition of new taxes, increased rates in existing taxes, or otherwise. If the revenues are more than the aggregate appropriations recommended, he shall make such recommendations with respect to the application of such surplus to the reduction of debt, to reductions in taxation or to such other action as in his or her opinion is in the public interest.
(2) Part II shall present in detail for each of the budget years his or her recommendations for appropriations to meet the expenditure needs of the government from each fund, general or special, in comparison with the actual expenditures for each of said purposes during the completed fiscal years covered by the last preceding budget and the estimated expenditures for the fiscal year in progress, classified by departments, boards, bureaus, commissions, agencies, officers, and institutions of the state and indicating for each the appropriations recommended for meeting the cost of salaries, travel and per diem expenses, administration, operation, and maintenance. Each item of expenditure, actual or estimated, and appropriations recommended shall be supported by detailed statements showing the actual and estimated expenditures and appropriations classified according to a standard scheme of classification to be prescribed by the Department of Finance and the purchase of land, public improvements, and other capital outlays in connection therewith.
(3) Part III shall embrace a proposed appropriation bill and a proposed revenue bill or bills for the purpose of proposing in statutory form the recommendations made in Parts I and II. Such appropriation bill or bills shall indicate the funds, general or special, from which such appropriations shall be made, but such appropriations need not be in greater detail than to indicate the total appropriation to be made for each department, board, bureau, commission, agency, office, and institution of the state for each budget year for salaries, travel and per diem expenses, administration, operation and maintenance and the cost of land, public improvements, and other capital outlays, itemized by specific projects or classes of projects of the same general character.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §94.)
On or before the first day of the third month next preceding each regular business session of the Legislature, each department, board, bureau, commission, agency, office, and institution of the state shall transmit to the Department of Finance, on blanks to be furnished it, estimates of their expenditure requirements for each budget year, classified so as to distinguish between expenditures estimated for salaries, travel and per diem expenses, administration, operation and maintenance and the cost of each project involving the purchase of land or the making of a public improvement or a capital outlay of a permanent character, together with such supporting data and explanations as may be called for by the Department of Finance. In case of the failure of any department, board, bureau, commission, agency, office, or institution of the state to submit such estimate within the time above specified, the Governor shall cause to be prepared such estimates for such department, board, bureau, commission, agency, officer, or institution of the state as in his or her opinion are reasonable and proper.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §95.)
On or before the first day of the third month next preceding each regular business session of the Legislature, the Department of Finance shall prepare an estimate of the total income of the government for each budget year, in which the several items of income shall be listed and classified according to source or character and by departments, boards, bureaus, commissions, agencies, officers, and institutions of the state producing such funds and in which such items shall be compared with the income actually received during the completed fiscal years covered by the next preceding budget and the estimated income to be received during the fiscal year then in progress.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §96.)
Upon the receipt of the estimates of expenditure requirements called for by Section 41-4-84 and the preparation of the estimates of income called for by Section 41-4-85, and not later than the first day of the second month preceding each regular business session of the Legislature, the Department of Finance shall prepare a tentative budget conforming as to scope, contents and character to the requirements of Section 41-4-83, and containing the estimates of expenditure and revenue called for by Sections 41-4-84 and 41-4-85, which tentative budget shall be transmitted to the Governor. All facts relating to past receipts and expenditures shall be certified as correct and accurate by the Comptroller in the Department of Finance.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §97.)
The Governor shall, upon receipt by him or her of the tentative budget provided for by Section 41-4-86, make provision for public hearings thereon not later than two weeks prior to the convening of the next ensuing regular business session of the Legislature. To any such public hearings on the tentative budget, the Governor shall extend invitations to and may require the attendance of the heads of all departments, boards, bureaus, commissions, agencies, offices, and institutions of the state and other persons receiving or requesting state funds and the giving by them of such explanations and suggestions as they may be called upon to give or as they may desire to offer with respect to the items of requested appropriations in which they are interested. He or she shall also extend invitations and may require the attendance of the Budget Officer and the Comptroller and the giving by them of any information or data pertinent to the proposed budget. The Governor shall also extend invitations to the Chair of the Ways and Means Committee of the House and the Chair of the Finance and Taxation Committee of the Senate of the Legislature which is then in office to be present at such hearings and to participate in such hearings through the asking of questions or the expression of opinions with regard to the items of the tentative budget. The Governor shall also extend a like invitation to the Governor-elect if such there be. The chair of said committees, while sitting at such hearings, shall hold the offices of budget advisors, and shall receive a per diem of $10.00 for each day in attendance at such hearings. If either chair shall be unable to attend, the next ranking member of his or her committee shall act in his or her place.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §98.)
After such public hearings, the Governor shall proceed to the formulation of the budget provided for in Sections 41-4-82 and 41-4-83. In doing so, he shall give such weight to the estimates of income prepared by the Department of Finance, to the estimates of expenditure requirements submitted by the departments, boards, bureaus, commissions, agencies, offices and institutions of the state, to the tentative budget prepared by the Department of Finance and to the testimony elicited at the hearing thereon as he deems proper, but the proposals contained in the budget shall represent his judgment and recommendations with respect to the provisions to be made for meeting the revenue and expenditure needs of the government for each of the budget years.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §99.)
The Governor shall transmit to the Legislature supplemental estimates for such appropriations as in his or her judgment may be necessary on account of laws enacted after the transmission of the budget, or as he or she deems otherwise in the public interest. He or she shall accompany such estimates with a statement of the reasons therefor, including the reasons for their omission from the budget. Whenever such supplemental estimates amount to an aggregate which, if they had been contained in the budget would have required the Governor to make a recommendation for the raising of additional revenue, he or she shall make such recommendation.
(Acts 1932, Ex. Sess., No. 37, p. 35; Code 1940, T. 55, §100.)
No appropriations made by the Legislature shall be available for expenditures until allotted as provided for in Section 41-4-91. All appropriations, except per capita appropriations now in force or hereafter made to eleemosynary and correctional institutions and the Alabama School for the Deaf and Blind, located at Talladega, Alabama, which appropriations shall remain in full force and effect and be payable and disbursed as now provided by law, are hereby declared to be maximum, conditional, and proportionate appropriations, the purpose being to make appropriations payable in full in the amounts named only in the event that the estimated budget resources during each budget year of the period are sufficient to pay all of the appropriations for such year in full. The Governor shall restrict allotments to prevent an overdraft or deficit in any fiscal year for which appropriations are made by prorating without discrimination against any department, board, bureau, commission, agency, office, or institution of the state, the available revenues among the various departments, boards, bureaus, commissions, agencies, offices, and institutions of the state. In other words, said appropriations shall be payable in such proportion as the total sum of all appropriations bears to the total revenues estimated by the Department of Finance as available in each of said fiscal years. The purpose of this provision is to insure that there shall be no overdraft or deficit in the several funds of the state at the end of any fiscal year, and the Governor is directed and required so to administer this article to prevent any such overdraft or deficit.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §101.)
Before an appropriation for any purpose to any department, board, bureau, commission, agency, office, or institution of the state shall become available, there shall be submitted to the Department of Finance, not less than 20 days before the expiration of the last period for which an allotment has been or shall have been made, a requisition for an allotment of the amount estimated to be necessary to carry on its work during the period for which allotments are made. Allotments shall be made for such length of time as may be determined to be appropriate and convenient by the Department of Finance, with the approval of the Governor, but no allotment (except for the acquisition of land, permanent improvements or other capital projects) shall, in any event, be for a period of longer than three months. Such requisition for an allotment shall contain such information and data and be in such details as may be required by the Department of Finance. The Department of Finance shall examine such requisition and, with the approval of the Governor, shall make such allotment, or modification thereof, as may be deemed necessary, but the total amount of annual appropriations to any department, board, bureau, commission, agency, office, or institution of the state shall not be reduced except proportionately as provided for in Section 41-4-90. The Department of Finance shall submit copies of each allotment thus approved to the head of the department, board, bureau, commission, agency, office or institution of the state for which such allotment shall have been made. The Comptroller in the Department of Finance shall set up such allotment on his book and be governed accordingly in his or her control of expenditures. Allotments of appropriations made for the acquisition of land, permanent improvements, and other capital projects may, however, be allotted in one amount by major classes or projects for which they are expendable without regard to allotment periods. Any allotments may be subsequently modified by the Department of Finance, with the approval of the Governor, either upon the written request of the head of the department, board, bureau, commission, agency, office, or institution of the state concerned or upon the initiative of the Department of Finance or the Governor, and notice of such modification shall be given and such modification shall be set upon the books of said Comptroller in the same way as in the case of original allotments.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §102.)
All fees, receipts and income collected or received by any department, board, bureau, commission, agency or office or institution of the state shall be paid into the State Treasury or deposited in an approved state depository to the credit of the General Fund of the State of Alabama or to the credit of a special fund if the latter is required by law. No such payment or deposit shall be subject to withdrawal by any such department, board, bureau, commission, agency, office, or institution, and all appropriations made to any such department, board, bureau, commission, agency, office, or institution shall be specified amounts and shall be subject to allotment as provided in this article. Anything herein to the contrary notwithstanding, however, this article shall not apply to the fees, receipts and income (other than appropriations) of the Department of Conservation and Natural Resources, the Department of Agriculture and Industries or any educational, correctional or eleemosynary institution, or to any endowment or trust fund or gifts to any such institutions, or to the income from such endowments or trust funds, or to private funds belonging to students or inmates of such institutions, nor shall such funds be subject to any allotment under this article or be taken into consideration in making any allotment or prorating of appropriations under this article, and all appropriations made to any such institutions are hereby declared to be in addition to such fees, receipts, and other income, and all allotments from such appropriations shall be paid over to such institution, and when such allotments are received by such institutions, the same shall be deposited in any bank or banks in the State of Alabama, which have been duly designated and qualified as state depositories, for the use and benefit of such institution, and such funds shall be available only on the check of such institution depositing them, which is hereby authorized to withdraw such funds at its discretion.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §103.)
All unencumbered balances of all appropriations shall revert to the State Treasury at the end of each fiscal year and to the credit of the General Fund or the special fund from which the appropriation or appropriations were made. Appropriations for the purchase of land or the erection of buildings or new constructions or for State Department of Transportation maintenance of roads and bridges on the state highway system shall continue in force until the attainment of the object or the completion of the work for which such appropriations are made.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §104; Acts 1979, No. 79-744, p. 1320.)
To the end that all expenses of the state may be brought and kept within the budget, the budget appropriation bills shall contain a specific sum or sums as an emergency appropriation or appropriations. Such sum shall not, however, exceed two percent of the total amount appropriated by such bill. The manner of allotment of such emergency appropriation shall be as follows: Any department, board, bureau, commission, agency, office, or institution of the state or any person or persons in charge of any activity in which the state is interested, desiring an allotment out of such appropriation, shall present such request in writing to the Department of Finance with such information as it may require, and, such request shall be handled and allotments may be made pursuant thereto as in the case of regular allotments. Such allotments shall be made only for any purpose authorized by law for which no specific appropriation has been made or for which inadvertently an insufficient appropriation has been made.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §105.)
It shall be unlawful for any trustee, commissioner, director, manager, building committee, or other officer or person connected with any department, institution, bureau, board, commission, or other state agency to which an appropriation is made to expend any appropriation for any purpose other than that for which the money was appropriated, budgeted, and allotted, or to consent thereto. If the Governor shall ascertain that any department, institution, bureau, board, commission, or other state agency has used any of the moneys appropriated to it for any purpose other than that for which the money was appropriated, budgeted, and allotted and not in strict accordance with the provisions of law, the Governor shall have the power and he or she is hereby authorized to suspend all appropriations and allotments to such department, institution, bureau, board, commission, or other state agency until and after such amounts diverted or wrongfully expended have been replaced.
(Acts 1932, Ex. Sess., No. 37, p. 35; Code 1940, T. 55, §106.)
A willful and knowing refusal to perform any of the requirements of this article or a willful and knowing refusal to perform any rule or requirement or request of the Governor, Director of Finance, or the Budget Officer made pursuant to or under authority of this article by any trustee, commissioner, director, manager, building committee, or other officer or person connected with any department, board, bureau, commission, agency, office, or institution of the state shall subject the offender to a penalty of $250.00, to be recovered in an action instituted in the Circuit Court of Montgomery County by the Attorney General for the use of the State of Alabama and shall also constitute a misdemeanor, punishable by fine or imprisonment or both, in the discretion of the court, and shall subject such offender to dismissal from office by the person, department, board, bureau, commission, agency, office, or institution of the state under which such offender holds office or appointment in accordance with the provisions of the Merit System. If such offender is an officer elected by vote of the people, such offense shall be sufficient cause to subject the offender to impeachment. A refusal to perform any requirement of this article or an improper or illegal performance of any requirement of this article shall subject the Budget Officer or the Director of Finance to a penalty of $500.00, to be recovered in an action instituted in the Circuit Court of Montgomery County by the Attorney General for the use of the State of Alabama, and it shall also constitute a felony. A refusal to perform any of the requirements of this article or an improper or illegal performance of any requirement of this article by the Governor shall make him or her subject to impeachment.
(Acts 1932, Ex. Sess., No. 37, p. 35; Acts 1939, No. 144, p. 190; Code 1940, T. 55, §107.)
AMENDED BY ACT 2026-597, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) For the purposes of this section, the following terms shall have the following meanings:
(1) FEDERAL RECEIPTS. Federal financial assistance received or administered from federal entities in the form of grants, loans, loan guarantees, property, cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, other assistance, and amounts received as reimbursement for services rendered to individuals, that is reported as part of a single audit.
(2) SINGLE AUDIT. An audit, as described under 31 U.S.C. § 7502(d), of a non-federal entity that includes the entity’s financial statements and federal awards.
(3) STATE AGENCY. An agency, department, authority, bureau, commission, or other administrative office of the state, including the legislative and judicial branches of state government. This term does not include a professional licensing board of the state.
(b) A state agency shall prepare an annual report on or before October 31, that includes all of the following:
(1) The aggregate value of federal receipts the state agency received and expended for the preceding fiscal year.
(2) The aggregate amount of federal funds appropriated by the Legislature to the state agency for the preceding fiscal year.
(3) A calculation of the percentage of the state agency’s total budget for the preceding fiscal year that constitutes federal receipts that the state agency received for that fiscal year.
(4) A plan for operating the state agency if either of the following occurs:
a. A reduction of 5 percent or more in the federal receipts that the state agency receives.
b. A reduction of 25 percent or more in the federal receipts that the state agency receives.
(c) The state agency shall provide the report required under subsection (b) to the Executive Budget Office by October 31.
(d)(1) The Department of Education shall include information for each public school district in the report required under subsection (b).
(2) The Alabama Community College System shall include information for each public community or technical college or other school or university under its supervision.
(e)(1) The Executive Budget Office, on or before January 1 of each year, shall prepare a report that includes the following:
a. A compilation and summary of the reports the office receives from each state agency.
b. A comparison of the aggregate value of federal receipts each state agency received for the previous fiscal year to the aggregate amount of federal funds appropriated by the Legislature to that state agency for that fiscal year.
c. A list of state agencies that did not submit a report as required by this subsection.
(2) The Executive Budget Office shall submit the report required under subdivision (1) to the Legislative Council by January 1.
(3) Upon receipt of the report, the Legislative Council shall place the report on the agenda for review and consideration. Upon consideration of the report, the committee may elect to do any of the following:
a. Recommend that the Legislature revise appropriations for a state agency.
b. Take no action.
c. Take any other action upon majority approval of the committee members.
(Act 2015-438, §§1, 2.)
(a) For the purposes of this section, the following terms have the following meanings:
(1) FEDERAL RECEIPTS. Federal financial assistance received or administered from federal entities in the form of grants, loans, loan guarantees, property, cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, other assistance, and amounts received as reimbursement for services rendered to individuals, which is reported as part of a single audit.
(2) PUBLIC INSTITUTIONS OF HIGHER EDUCATION. Those public educational institutions in Alabama which have been authorized by the Legislature or by the Constitution of Alabama of 2022 to provide formal education, including vocational, technical, collegiate, professional, or any other form of education, above the secondary school level.
(3) STATE RECEIPTS. State financial assistance received from direct appropriations, or other assistance, from the Education Trust Fund, the Education Trust Fund Advancement and Technology Fund, or the Educational Opportunities Reserve Fund, or from other state sources. The term does not include tuition revenues or other self-generated funds.
(b) Each public institution of higher education shall provide an annual report to the Executive Budget Office, on or before October 31, which includes all of the following:
(1) The amount of state and federal funds received and expended by the public institution of higher education for the preceding fiscal year separately listed by source and certified by the institution as being accurate based on the most recently available information.
(2) The amount of state and federal funds appropriated by the Legislature to the public institution of higher education for the preceding fiscal year separately listed by source.
(3) A calculation of the percentage of the public institution of higher education’s total budget for the preceding fiscal year which constitutes state and federal receipts that the public institution of higher education received for that fiscal year.
(4) A plan for operating the public institution of higher education if either of the following occurs:
a. A reduction of five percent or more in the state or federal receipts that the public institution of higher education receives.
b. A reduction of 20 percent or more in the state or federal receipts that the public institution of higher education receives.
(c) The Alabama Community College System shall include information in the report required under subsection (b) information for each public community or technical college or other school or university under its supervision.
(d)(1) The Executive Budget Office shall prepare a report that includes the following:
a. A compilation and summary of the reports the office receives from each public institution of higher education.
b. A comparison of the aggregate value of state and federal receipts each public institution of higher education received for the previous fiscal year to the aggregate amount of state and federal funds appropriated by the Legislature to that public institution of higher education for that fiscal year.
c. A list of public institutions of higher education that did not submit a report as required by subsection (b).
(2) The Executive Budget Office shall submit the report required under subdivision (1) to the Legislature by January 1.
(3) The House Ways and Means Education Committee and the Senate Finance and Taxation Education Committee shall conduct hearings on the report every even-numbered year as part of their budget hearings. The committees shall use the information in the report when considering revised appropriation levels for the public institutions of higher education.
(Act 2026-597, §2.)
(a) This article shall be construed and applied to promote its underlying purposes and policies.
(b) The underlying purposes and policies of this article are to do all of the following:
(1) Simplify, clarify, and modernize the law governing procurement by the state.
(2) Permit the continued development of procurement policies and practices.
(3) Make as consistent as possible the procurement laws among the various jurisdictions.
(4) Provide for increased public confidence in the procedures followed in public procurement.
(5) Ensure the fair and equitable treatment of all persons who deal with the procurement system of this state.
(6) Provide increased economy in state procurement activities and maximize to the fullest extent practicable the purchasing value of public funds of the state.
(7) Foster effective broad-based competition within the free enterprise system.
(8) Provide safeguards for the maintenance of a procurement system of quality and integrity.
(9) Obtain in a cost-effective and responsive manner the materials and services required by state agencies in order for those agencies to better serve this state’s businesses and residents.
(Act 2021-296, §2.)
Unless displaced by the particular provisions of this article, the principles of law and equity, including the Uniform Commercial Code, the law merchant, and law relative to capacity to contract, agency, fraud, misrepresentation, duress, coercion, mistake, and bankruptcy shall supplement this article.
(Act 2021-296, §2.)
This article requires all parties involved in the negotiation, performance, or administration of state contracts to act in good faith. Good faith means honesty in fact in the conduct or transaction concerned.
(1) This article applies to contracts solicited and entered into after October 1, 2022.
(2) Except as otherwise provided in this article, this article applies to every expenditure of public funds by a governmental body of this state under a contract for supplies or services.
(3) This article does not apply to either of the following:
a. Gifts, grants, or contracts between state agencies, between state agencies and political subdivisions, or between the state and other governments.
b. All expenditures of funds of whatever nature made by or on behalf of the county commissions and the governing boards of instrumentalities of counties, including waterworks boards, sewer boards, gas boards, and other like utility boards, and commissions for which procurement activities are currently governed by Article 3, commencing with Section 41-16-50, of Chapter 16.
(Act 2021-296, §2.)
Written determinations required by this article shall be retained in the appropriate official contract file of the Chief Procurement Officer or the purchasing agency.
(Act 2021-296, §2.)
(a) For purposes of this article, the following words have the following meanings:
(1) BUSINESS. Any corporation, partnership, individual, sole proprietorship, joint stock company, joint venture, or other private legal entity.
(2) CAPITAL EQUIPMENT. Tangible personal property that can be appraised for value, is not disposable or consumable, is stand alone, and has a useful life of one year or more.
(3) CHANGE ORDER. A written order signed by the procurement officer directing the contractor to make changes that the changes clause of the contract authorizes the procurement officer to order without the consent of the contractor.
(4) CHIEF PROCUREMENT OFFICER. The individual holding the position created in Section 41-4-120, as the head of the Division of Procurement.
(5) CONTINGENCY FEE CONTRACT. An agreement, express or implied, for litigation legal services of an attorney or attorneys, including any associated counsel, under which compensation is contingent in whole or in part upon the successful accomplishment or disposition of the subject matter of the agreement. The payment may be in an amount which either is fixed or is to be determined under a formula.
(6) CONTINGENCY FEE COUNSEL. An attorney or attorneys performing services under a contingency fee contract.
(7) CONTRACT. All types of state agreements, regardless of what the contract may be called, for the procurement of supplies or services.
(8) CONTRACT MODIFICATION. Any written alteration in specifications, delivery point, rate of delivery, period of performance, price, quantity, or other provisions of any contract accomplished by mutual action of the parties to the contract.
(9) CONTRACTING AGENCY. The Governor, Attorney General, or director of a state agency, department, bureau, commission, authority, public corporation, or instrumentality of the State of Alabama that seeks to enter a contract.
(10) CONTRACTOR. Any person having a contract with a governmental body.
(11) DATA. Recorded information, regardless of form or characteristic.
(12) DESIGNEE. A duly authorized representative of a person.
(13) ELECTRONIC. Electrical, digital, magnetic, optical, electromagnetic, or other similar technology.
(14) GOVERNMENTAL BODY. Except as otherwise provided in this article, an agency, department, board, bureau, commission, committee, institution, corporation, authority, or office of this state. The term does not include the legislative or judicial departments of the state or a legislative or judicial agency, the Alabama State Port Authority, municipalities, or the county commission and governing boards of instrumentalities of counties including waterworks boards, sewer boards, gas boards, and other like utility boards and commissions.
(15) GRANT. The furnishing by the state or federal government of assistance, whether financial or otherwise, to any person to support a program authorized by law. The term does not include an award with a primary purpose to procure an end product, whether in the form of supplies or services.
(16) JUDICIAL AGENCY. Any department, appellate court, trial court, board, body, bureau, commission, committee, institution, corporation, authority, or office created, established, and operating as an agency of the judicial department of this state. The term includes, but is not limited to, the Administrative Office of Courts, the State Law Library, the Court of the Judiciary, and the Sentencing Commission.
(17) LEGISLATIVE AGENCY. The Alabama State Legislature and any department, board, body, bureau, commission, committee, institution, corporation, authority, or office created, established, and operating as an agency of the legislative department of this state. The term includes, but is not limited to, the Legislative Services Agency and the Department of Examiners of Public Accounts.
(18) PERSON. An individual, corporation, association, partnership, limited liability corporation, union, committee, club, other organization, or group.
(19) PROCUREMENT. Buying, purchasing, renting, leasing, or otherwise acquiring any supplies or services. The term includes all functions that pertain to the obtaining of any supply or service, including description of requirements, selection and solicitation of sources, preparation and award of contracts, and all phases of contract administration. The term does not include the leasing of real property.
(20) PROCUREMENT OFFICER. Any individual duly authorized by the Chief Procurement Officer to enter into and administer contracts and make written determinations with respect to those contracts. The term includes an authorized representative acting within the limits of authority.
(21) PROFESSIONAL SERVICES. The services of physicians, architects, engineers, landscape architects, land surveyors, geoscientists, attorneys, teachers, artists, appraisers, and other individuals, or business entities offering the services of those individuals, who possess a high degree of scientific or specialized skill and knowledge where the experience and professional qualifications of the service provider are particularly relevant to the provision of the required service. The term also includes the management or administration of any occupational licensing board, as defined under Section 41-9A-1, by a person other than a state employee.
(22) PUBLIC FUNDS. Money, regardless of its source, that is owned or held by a governmental body.
(23) PUBLIC NOTICE. The distribution or dissemination of information to interested parties using methods that are reasonably available, including, but not limited to, publication in newspapers of general circulation, electronic or paper mailing lists, and websites designated by the state and maintained for that purpose.
(24) PURCHASING AGENCY. A governmental body, other than the Division of Procurement, that is authorized by this article, its implementing rules, or by delegation from the Chief Procurement Officer to enter into contracts.
(25) SERVICES. The furnishing of labor, time, or effort by a contractor. The term does not include the delivery of a specific end product, other than reports that are merely incidental to the required performance.
(26) SIGNATURE. A manual signature or an electronic signature, as defined in Section 8-1A-2.
(27) SOLICITATION. Any request to submit quotes, bids, or offers to the state for the procurement of supplies or services. The term includes invitations to bid and requests for proposals.
(28) SUPPLIES. All property, including equipment, materials, and printing. The term does not include land or a permanent interest in land.
(29) USING AGENCY. A governmental body that utilizes any supplies or services procured under this article.
(30) WRITTEN or IN WRITING. The product of any method of forming characters on paper, other materials, or viewable screens, which can be read, retrieved, and reproduced, including information that is electronically transmitted and stored.
(b) The terms state, state department, state agency, agency, state entity, instrumentality of the state, and governmental body do not include municipalities, political subdivisions, county commissions, or the governing boards of instrumentalities of counties including waterworks boards, sewer boards, gas boards, and other like utility boards and commissions.
(Act 2021-296, §2; Act 2023-542, §1.)
(a) Except as provided in subsection (b), procurement information is a public record to the extent provided by state law and shall be available to the public.
(b) Procurement information that is any of the following is not a public record:
(1) Commercial or financial information obtained in response to a solicitation that is designated as privileged or confidential by the person or entity submitting such information in compliance with instructions in the solicitation for marking information exempt from public disclosure. Information not marked as required is a public record.
(2) Evaluative documents, bids, or proposals prior to award.
(3) When the public disclosure of procurement information would be detrimental to the safety or security of persons or property or to the public interest as determined, in writing, by the Chief Procurement Officer.
(4) Any procurement information identified by the Chief Procurement Officer under subsection (c).
(c) The Chief Procurement Officer, by rule, shall establish a process for identifying and protecting procurement information that is excepted from disclosure.
(Act 2021-296, §2.)
The use of electronic media, including acceptance of electronic signatures, is authorized consistent with the state’s applicable statutory, regulatory, or other guidance for use of the media, so long as the guidance provides for both of the following:
(1) Appropriate security to prevent unauthorized access to the bidding, approval, and award processes.
(2) Accurate retrieval or conversion of electronic forms of such information into a medium that permits inspection and copying.
(Act 2021-296, §2.)
There is created within the Department of Finance the Division of Procurement, headed by the Chief Procurement Officer.
(Act 2021-296, §2; Act 2023-542, §1.)
The Chief Procurement Officer shall be appointed by the Director of Finance with the approval of the Governor. The Chief Procurement Officer shall have relevant, recent experience in public procurement and shall be a person with demonstrated executive and organizational ability.
(Act 2021-296, §2.)
(a) The Chief Procurement Officer shall serve as the central procurement officer of the state.
(b) Consistent with this article, the Chief Procurement Officer shall adopt operational procedures governing the internal functions of the Division of Procurement.
(c) Except as otherwise specifically provided in this article, the Chief Procurement Officer, in accordance with rules adopted under this article, shall do all of the following:
(1) Except for alcoholic beverages, which shall be purchased by the Alcoholic Beverage Control Board, procure or supervise the procurement of all supplies and services needed by the state.
(2) Ensure compliance with this article and the rules implementing this article by reviewing and monitoring procurements conducted by any designee, department, agency, or official delegated authority under Section 41-4-123.
(3) Perform other functions and duties of the Department of Finance as may be assigned by the Director of Finance.
(d)(1) The Chief Procurement Officer may establish and maintain a system for the purchase of supplies and services by governmental bodies that conduct their procurement activities through the Division of Procurement, through the utilization of approved credit cards. County and municipal governments and instrumentalities or public corporations thereof may participate in the state fleet fuel card program subject to the terms and conditions of the program related to the utilization of the fleet fuel card; provided, however, that county and municipal governments and instrumentalities or public corporations thereof shall not otherwise be subject to this subsection.
(2) The Chief Procurement Officer shall establish by rule a process for the competitive solicitation of credit card providers. The state Comptroller and the Chief Procurement Officer shall adopt fiscal procedures governing the payment of charges incurred by credit card users and the use of credit cards. The use of approved credit cards shall be established by the state Comptroller and the Chief Procurement Officer, with the approval of the Director of Finance, and be published through the Alabama fiscal procedures, in which each purchase made using approved credit cards is required to have prior approval by the department head or his or her designee and a record of each purchase and approval is to be maintained. The Chief Procurement Officer may select the provider or providers offering the highest fees to the division for the use of its credit card or credit cards.
(3) Fees received by the division for the use of credit cards shall be placed in a special fund entitled the State Procurement Fund in the State Treasury for the use of the division and the funds shall be appropriated, budgeted, and allotted in accordance with Sections 41-4-80 to 41-4-96, inclusive, and 41-19-1 to 41-19-12, inclusive, and only in amounts stipulated in general appropriations bills and other appropriation bills.
(4) Approved credit cards may be issued to requisitioning agencies upon the recommendation of the Chief Procurement Officer and the approval of the Director of Finance. Approved credit cards shall be assigned to the department and limited in number. Approved credit cards may be used to purchase items of supplies and services, and may not exceed the limitations set forth by rule.
(5) The director of the governmental body using credit cards is responsible for the proper use of credit cards assigned to his or her agency, in accordance with rules established by Alabama fiscal procedures. The Chief Procurement Officer may collect any credit card from any governmental body at any time due to improper use. The Chief Procurement Officer shall submit an annual report and accounting regarding the use of credit cards by each governmental body to the Director of Finance and the Governor.
(e) The Division of Procurement may charge a biannual registration fee to vendors desiring to register with the office to receive invitations to bid for any supplies or services solicited by the division and to governmental bodies for their proportionate share of operating costs of the office. Any fee shall be set by administrative rule upon the approval of the Director of Finance. Any fees collected under this subsection shall be deposited in the State Treasury to the credit of the State Procurement Fund and shall be appropriated, budgeted, and allotted in accordance with Sections 41-4-80 to 41-4-96, inclusive, and 41-19-1 to 41-19-12, inclusive, and only in amounts stipulated in general appropriations bills and other appropriation bills.
(f) The Chief Procurement Officer may make purchases, contracts, or leases for any county, instrumentality of a county, municipal corporation, local board of education, or other local public body upon the request of the local public body.
(g) The Chief Procurement Officer shall adopt rules consistent with this article to govern the procurement of supplies and services procured by the state.
(Act 2021-296, §2; Act 2022-357, §1; Act 2023-542, §1.)
Subject to rules adopted under this article, the Chief Procurement Officer may delegate his or her authority to designees or to any department, agency, or official.
(Act 2021-296, §2.)
(a) Except as otherwise provided in this article, all rights, powers, duties, and authority relating to the procurement of supplies and services now vested in, or exercised by, any governmental body under existing law are transferred to the Chief Procurement Officer.
(b) The following governmental bodies are subject to this article except as it relates to the purchase of professional services and the oversight and authority of the Chief Procurement Officer, and shall establish and maintain procurement offices and personnel and adopt rules necessary to comply with this article:
(1) All educational and eleemosynary institutions governed by a board of trustees or other similar governing body.
(2) The Retirement Systems of Alabama.
(3) The Department of Mental Health.
(c) The Alabama Department of Transportation is subject to this article except as it relates to the purchase of professional services, and the Department of Transportation shall adopt rules governing the purchase of professional services by the department which are consistent with the principles contained in this article and promote fairness, competition, transparency, integrity, and value in the procurement process.
(d) The procurement of any supplies, services, or professional services by a district attorney, sheriff, volunteer fire department, or rescue squad shall be solely governed by Article 3 of Chapter 16.
(e) The procurement of any supplies or services by a legislative agency or judicial agency shall be solely governed by procedures adopted by the Legislative Council for all legislative agencies and by rules adopted by the Supreme Court of Alabama for all judicial agencies. The procedures adopted shall be consistent with any applicable requirements of the Constitution of Alabama of 2022 and shall be established in accordance with the underlying purposes and policies of promoting responsible and efficient use of public funds dedicated and appropriated to the agencies for their use, providing consistency of application of rules and requirements across all agencies within the applicable branch of state government, and promoting fairness, competition, transparency, integrity, and value in the procurement process. In no case may the legislative and judicial agencies of the state adopt procedures that conflict with the laws of this state regarding the public disclosure of the use of public funds and the transparency of public expenditures, or that otherwise conflict with state law regarding public records and public access to those records. Except for the requirement to act in good faith, no other provision of this article shall apply to legislative or judicial agencies; provided, that the legislative and judicial agencies may adopt all or any part of this article and its accompanying rules.
(f)(1) The procurement of any supplies or services by the Alabama State Port Authority shall be solely governed by procedures adopted by the Board of Directors of the Alabama State Port Authority. The procedures adopted shall be consistent with any applicable requirements of the Constitution of Alabama of 2022 and shall be established in accordance with the underlying purposes and policies of promoting responsible and efficient use of the funds of the Alabama State Port Authority, providing consistency of application of rules and requirements across all agencies within the applicable branch of state government, and promoting fairness, competition, transparency, integrity, and value in the procurement process.
(2) Except for the protection of information otherwise legally considered commercially confidential, sensitive, or of a nature that upon release would harm the competitive advantage of itself or its customers, concessionaires, lessees, or suppliers, the Alabama State Port Authority may not adopt procedures that conflict with the laws of this state regarding the public disclosure of the use of its funds and the transparency of its expenditures, or that otherwise conflict with state law regarding public records and public access to those records.
(3) Except as provided in this subsection and the requirement to act in good faith, no other provision of this article shall apply to the Alabama State Port Authority; provided, however, the Alabama State Port Authority may adopt all or any part of this article and its accompanying rules.
(Act 2021-296, §2; Act 2023-542, §1; Act 2025-35, §1; Act 2025-328, §1.)
(a)(1) Except as otherwise provided in this section, attorneys retained to represent the state in litigation shall be appointed by the Attorney General in consultation with the Governor from a list of attorneys maintained by the Attorney General. All attorneys interested in representing the state may apply and shall be included on the list. The selection of the attorney or law firm shall be based upon the level of skill, experience, and expertise required in the litigation and the fees charged by the attorney or law firm shall be taken into consideration so that the state receives the best representation for the funds paid. Fees shall be negotiated and approved by the Governor in consultation with the Attorney General. Maximum fees paid for legal representation that does not involve a contingency fee contract may be established by executive order of the Governor.
(2) Attorneys retained by any state purchasing entity to render nonlitigation legal services shall be selected by the entity from a list of attorneys maintained by the Legal Advisor to the Governor. All attorneys interested in representing any purchasing state entity may apply and shall be included on the list. The selection of the attorney or law firm shall be based upon the level of skill, experience, and expertise required for the services, but the fees charged by the attorney or law firm shall be taken into consideration so that the state entity shall receive the best representation for the funds paid. Fees for the services shall be negotiated by the state entity requiring the services and shall be subject to the review and approval of the Governor or the Director of Finance when so designated by the Governor.
(b) This article does not apply to either of the following:
(1) The appointment of attorneys or experts by a court.
(2) The retention of experts by the state for the purposes of litigation or avoidance of litigation.
(c) Nothing in this section shall be construed as altering or amending the Governor’s authority to retain attorneys under Section 36-13-2; provided, the Governor shall select the attorneys from the list maintained by the Attorney General.
(d)(1) A governmental body may not enter into a contingency fee contract with any attorney or law firm unless the contracting agency makes a written determination prior to entering into a contingency fee contract that contingency fee representation is both cost effective and in the public interest. Any written determination shall include specific findings for each of the following factors:
a. Whether there are sufficient and appropriate legal and financial resources within the state to handle the matter without a contingency contract.
b. The expected time and labor required, the novelty, complexity, and difficulty of the questions involved, and the skill requisite to perform the attorney services properly.
c. The geographic area where the attorney services are to be provided.
d. The amount of experience desired for the particular kind of attorney services to be provided and the nature of the private attorney’s experience with similar issues or cases.
(2) Subject to subdivision (3), the state may not enter into a contingency fee contract that provides for the contingency fee counsel to receive an aggregate contingency fee calculated from the gross recovery resulting from a judgment or settlement in each action, exclusive of expenses, in excess of the total of all of the following:
a. Twenty-two percent of any recovery that does not exceed ten million dollars ($10,000,000); plus
b. Twenty percent of any portion of the recovery that exceeds ten million dollars ($10,000,000) but does not exceed twenty-five million dollars ($25,000,000); plus
c. Sixteen percent of any portion of the recovery that exceeds twenty-five million dollars ($25,000,000) but does not exceed fifty million dollars ($50,000,000); plus
d. Twelve percent of any portion of the recovery that exceeds fifty million dollars ($50,000,000) but does not exceed seventy-five million dollars ($75,000,000); plus
e. Eight percent of any portion of the recovery that exceeds seventy-five million dollars ($75,000,000) but does not exceed one hundred million dollars ($100,000,000); plus
f. Seven and one-tenth (7.1) percent of any portion of the recovery exceeding one hundred million dollars ($100,000,000).
(3) The aggregate fee paid under a contingency fee contract may not exceed seventy-five million dollars ($75,000,000).
(4) All litigation expenses incurred by the contingency fee counsel shall be paid or reimbursed upon approval on a monthly basis upon presentation of documentation of the expenses to the contracting agency.
(5) The Attorney General may certify in writing to the Governor that, in the opinion of the Attorney General, an issue affecting the public health, safety, convenience, or economic welfare of the state exists that justifies that the contingency fee limitations set forth in subdivision (2) or (3) be suspended in the case of a particular contingency fee contract. Upon receipt of the written certification, the Governor, by the issuance of an executive order, may waive the limitations with respect to the specified contingency fee contract.
(6) A governmental body may not enter into a contingency fee contract unless all of the following requirements are met throughout the entire contract period, including any extensions of the period:
a. A government attorney has complete control over the course and conduct of the case.
b. A government attorney with supervisory authority is personally involved in overseeing the litigation.
c. A government attorney retains veto power over any decisions made by the contingency fee counsel.
d. After giving reasonable notice to the contingency fee counsel, any defendant that is the subject of the litigation may contact the lead government attorney directly unless directed to do otherwise by that attorney. Contingency fee counsel may participate in the discussion with the lead government attorney or attorneys unless, after consultation with contingency fee counsel, the lead government attorney agrees to the discussion without contingency fee counsel being present.
e. A government attorney with supervisory authority for the case shall attend all settlement conferences.
f. Decisions regarding settlement of the case shall be reserved exclusively to the discretion of the government attorney and the state.
(7) The Attorney General shall develop a standard addendum to every contract for contingent fee attorney services that shall be used in all cases, describing in detail what is expected of both the contingency fee counsel and the state, including, without limitation, the requirements listed in subdivision (6).
(8) Copies of any executed contingency fee contract and the contracting agency’s written determination to enter into the contingency fee contract with the contingency fee counsel and any payment of any contingency fees shall be posted online as provided in Section 41-4-65.
(9) Every contingency fee counsel, from the inception of the contingency fee contract until at least four years after the contract expires or is terminated, shall maintain detailed current records, including documentation of all time records, expenses, disbursements, charges, credits, underlying receipts and invoices, and other financial transactions that concern the provision of the attorney services. The contingency fee counsel shall make all the records available for inspection and copying upon request by the Governor, Attorney General, or contracting agency. In addition, the contingency fee counsel shall maintain detailed contemporaneous time records for the attorneys and paralegals working on the contract in six minute increments and, upon request, shall provide promptly these records to the Governor, Attorney General, or contracting agency.
(10) Any contingency fee paid to a private attorney or law firm shall be paid from the State Treasury from the funds recovered as a result of the contingency fee contract within 30 days of receipt of the recovery unless ordered to do otherwise by a court with jurisdiction over the litigation subject to the contingency fee contract.
(Act 2021-296, §2; Act 2023-542, §1.)
Physicians retained to provide medical services to the State of Alabama shall be selected by the purchasing state entity from a list of qualified physicians maintained by the Alabama Medical Licensure Commission. All physicians interested in providing medical services to the State of Alabama may apply and shall be included on the listing.
(Act 2023-542, §2.)
AMENDED BY ACT 2026-593, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) Unless otherwise ordered by rule, with approval of the Governor, the following supplies and services need not be procured through the Division of Procurement and are exempt from the competitive requirements of this article:
(1) Works of art for museum and public display.
(2) Published books in any format such as digital, audio, or hardcopy; maps; periodicals; and technical pamphlets.
(3) Utility services where no competition exists or where rates are fixed by law.
(4) Purchases of alcoholic beverages by the Alcoholic Beverage Control Board.
(5) Purchases of products made or manufactured by the blind or visually handicapped under the direction or supervision of the Alabama Institute for Deaf and Blind in accordance with Chapter 2 of Title 21.
(6) Photographs purchased from a federal agency.
(7) Barter transactions by the Department of Corrections.
(8) The purchase of insurance and supplies or services related to the purchase of insurance.
(9) Supplies and services that by their very nature are impossible to award by competitive process, as determined by the Chief Procurement Officer.
(b) Any state department or agency whose principal business is honorariums is exempted from this chapter on purchases and contracts for services made by that department or agency.
(c) Nothing in this article is intended to repeal or limit any provision of Section 23-1-40 or Article 5 or Article 6 of Chapter 2 of Title 23, commencing with Section 23-2-140, relating to the procurement authority of the State Department of Transportation and the Alabama Toll Road, Bridge and Tunnel Authority. To the extent any provision contained in this article conflicts with Section 23-1-40 or Article 5 or Article 6 of Chapter 2 of Title 23, the latter governs.
(d) Nothing in this article repeals or limits any provision of Section 41-4-400, relating to the procurement authority of the Division of Construction Management. To the extent any provision contained in this article conflicts with Section 41-4-400, the latter governs.
(e) Nothing in this article repeals or limits any provision of Section 14-7-8, relating to the procurement authority of Alabama Correctional Industries. To the extent any provision contained in this article conflicts with Section 14-7-8, the latter governs.
(f) This article does not apply to any state authority, board, or other entity with respect to contracts relating to the issuance of debt that is required to be repaid from sources other than state funds.
(g) This article does not apply to direct health care services provided by the Alabama Department of Public Health.
(h) Nothing in this article applies to the administration of health benefit plans by a governmental body and supplies or services related thereto.
(i) Except for capital equipment, this article does not apply to the purchase by a public hospital of medical products, medical supplies, medical devices, services, implants, pharmaceuticals, fluids, gases, or any other medical products which are used in the course of treating patients, or to support the treatment of patients.
(j)(1) Except as provided in subdivision (2), the purchase of supplies or services negotiated on behalf of two-year and four-year colleges and universities may be awarded without competitive bidding, provided that no state revenues, appropriations, or other state funds are expended or committed and when it is determined by the respective board that financial benefits will accrue to the institution.
(2) When an Alabama business entity organized under the laws of this state is available to supply the product or service purchased or negotiated under subdivision (1), the Alabama business entity shall have preference unless the product or service supplied by a foreign corporation is substantially different or superior to the product or service supplied by the Alabama business entity.
(3) Public notice shall be provided by the purchasing agency within 10 days of the execution of a contract under this subsection. The public notice shall include, at a minimum, the terms and conditions of any of the supplies or services that are contracted through negotiation without being competitively bid and the name and address of the recipient of the contract.
(k) This article does not apply to purchases and contracts for the repair of equipment used in the construction and maintenance of highways by the Department of Transportation.
(l) This article does not apply to public works projects governed by Title 39.
(m) This article does not apply to the purchase by the Department of Transportation of road building materials for transportation infrastructure in the state. Road building materials may be purchased from private land owners or commercial providers from the nearest or most cost-effective source available for the particular application. Road building materials include dirt, gravel, stone, slag, or borrow materials, in natural state or processed by crushing, grading, or screening processes.
(n) This article does not apply to purchases of supplies and services for the maintenance and operation of highway infrastructure and right-of-way by the Department of Transportation.
(o) Nothing in this article is intended to repeal or limit any provision of Article 2, Chapter 1, Title 23, relating to the powers and authority of the Department of Transportation. To the extent any provision contained in this article conflicts with Article 2, Chapter 1, Title 23, the latter governs.
(p) Governmental bodies may purchase supplies from any vendor that offers the item at a price at least ten percent below the price established on a statewide contract by the Division of Procurement for the same item, provided that each purchase, whether for a single item or multiple items, does not exceed an amount established by rules of the Chief Procurement Officer. The Division of Procurement shall confirm that the terms and conditions of the purchases are substantially similar to those of the statewide contract for the same item prior to the approval of any purchase under this subsection. Any purchase that would be directly connected to any information technology network used by the state shall require prior approval by the Secretary of Information Technology. If the purchaser is to take possession of the purchased supplies at the vendor’s physical location, any acquisition of supplies under this subsection may be purchased only from vendors physically located within the state. The price of any supplies purchased under this subsection shall be the market price readily available to the public at large. The acquisition of supplies under this subsection is subject to the supervision and administration of the Division of Procurement.
(q) Nothing in this article is intended to repeal or limit any provision of Chapter 61E of Title 16, relating to the powers and authority of the Department of Education to enter into joint purchasing agreements on behalf of educational institutions. To the extent any provision contained in this article conflicts with Chapter 61E of Title 16, the latter governs.
(r) Nothing in this article shall be construed as repealing Section 9-2-106 or Section 9-2-107.
(s) This article does not apply to purchases by the Alabama Department of Rehabilitation Services of supplies and services for the Alabama Department of Rehabilitation Services consumers.
(t) This article does not apply to the Alabama Medicaid Agency for purposes of the selection of professional service providers for contracts with physicians, pharmacists, dentists, optometrists, opticians, nurses, and other health professionals which involve only service on agency task forces, boards, or committees.
(Act 2021-296, §2; Act 2022-357, §1; Act 2023-542, §1.)
(a) The Chief Procurement Officer, with approval of the Director of Finance and the Governor, shall adopt rules to implement and administer this article. The rules shall be made in accordance with the applicable provisions of the Administrative Procedure Act.
(b) The Chief Procurement Officer may not delegate the power to adopt rules.
(c) A rule may not change any commitment, right, or obligation of the state or of a contractor under a contract in existence on the effective date of the adoption of the rule.
(Act 2021-296, §2.)
The Chief Procurement Officer shall collect and prepare statistical data concerning the procurement of all supplies and services and employ trained personnel as may be necessary to carry out this function. All using agencies shall furnish reports as required by the Chief Procurement Officer concerning usage, needs, and stocks on hand. The Chief Procurement Officer may prescribe forms to be used by the using agencies in the requisitioning, ordering, and reporting of supplies and services.
(Act 2021-296, §2.)
(a) The Chief Procurement Officer may establish a Procurement Advisory Council. If created, the council, upon adequate public notice, shall meet at least once a year for the discussion of problems and recommendations for improvement of the procurement process. When requested by the Chief Procurement Officer, the council shall conduct studies, research, analyses, and make reports and recommendations with respect to subjects or matters within the jurisdiction of the Chief Procurement Officer. The council shall consist of qualified representatives of state and local government and other persons selected by the Chief Procurement Officer.
(b) The Chief Procurement Officer may appoint advisory groups to assist with specifications or procurement in specific areas and to assist with any other matter within the authority of the Chief Procurement Officer.
(Act 2021-296, §2.)
As used in this division, the following terms shall have the following meanings:
(1) COST-REIMBURSEMENT CONTRACT. A contract under which a contractor is reimbursed for costs that are allowable and allocable in accordance with the contract terms and the provisions of this article, and a fee, if any.
(2) ESTABLISHED CATALOGUE PRICE. The price included in a catalogue, price list, schedule, or other form that does all of the following:
a. Is regularly maintained by a manufacturer or contractor.
b. Is either published or otherwise available for inspection by customers.
c. States prices at which sales are currently or were last made to a significant number of any category of buyers or buyers constituting the general buying public for the supplies or services involved.
(3) INVITATION TO BID. All documents, whether attached or incorporated by reference, utilized for soliciting bids.
(4) PREFERRED VENDOR. A person that is granted preference priority according to the following:
a. PRIORITY #1. Produces or manufactures the product within the state.
b. PRIORITY #2. Has an assembly plant or distribution facility for the product within the state.
c. PRIORITY #3. Is organized for business under the applicable laws of the state as a corporation, partnership, or professional association and has maintained at least one retail outlet or service center for the product or service within the state for not less than one year prior to the deadline date for the competitive bid.
d. PRIORITY #4. Is physically located in the state and is more than 50 percent owned by a person who was discharged or released under conditions other than dishonorable and who has at least 24 months of active service in the United States military, naval, or air service, or who has less than 24 months of active service in any of the foregoing and was separated with a service-connected disability, or a national guardsman or reservist who completed active federal service for purposes other than training or who served at least 180 days of continuous service for purposes other than training.
(5) PURCHASE DESCRIPTION. The words used in a solicitation to describe the supplies or services to be purchased. The term includes any specifications attached to, or made a part of, the solicitation.
(6) REQUEST FOR PROPOSALS. All documents, whether attached or incorporated by reference, that are used for soliciting proposals.
(7) RESPONSIBLE BIDDER OR OFFEROR. A person who has the capability in all respects to perform fully the contract requirements and who has the integrity and reliability to assure good faith performance.
(8) RESPONSIVE BIDDER OR OFFEROR. A person who has submitted a bid or offer that conforms in all material respects to the invitation for bid or request for proposal.
(Act 2021-296, §2)
(a) Unless otherwise authorized by law, all state contracts shall be awarded by the use of one of the following methods:
(1) Competitive sealed bids, pursuant to Section 41-4-132.
(2) Competitive sealed proposals, pursuant to Section 41-4-133.
(3) Small purchase procedures pursuant to Section 41-4-134.
(4) A sole source procurement pursuant to Section 41-4-135.
(5) An emergency procurement pursuant to Section 41-4-136.
(6) A special procurement pursuant to Section 41-4-137.
(b) In the event a bid or offer is received for the supplies or services from a person deemed to be a responsible bidder or offeror and a preferred vendor and the bid is no more than five percent greater than the bid of the lowest responsible bidder or offeror who is not deemed to be a preferred vendor, the Chief Procurement Officer or purchasing agency may award the contract to the preferred vendor.
(Act 2021-296, §2)
(a) Except as otherwise provided in this division, contracts shall be awarded by competitive sealed bidding.
(b) An invitation to bid shall be issued and shall include a purchase description and all contractual terms and conditions applicable to the procurement.
(c) Adequate public notice of the invitation to bid shall be given a reasonable time prior to the date set forth in the invitation for the opening of bids, in accordance with rules adopted under this article.
(d) Bids shall be opened publicly in the presence of one or more witnesses at the time and place designated in the invitation to bid. Alternatively, bids may be opened in an electronic system at a time specified in the invitation to bid and in a manner that records the time of opening. The amount of each bid, the name of each bidder, and any other information required by rule shall be recorded. The record and each bid shall be open to public inspection to the extent required by Section 41-4-115.
(e) Bids shall be unconditionally accepted without alteration or correction, except as authorized in this article. Bids shall be evaluated based on the requirements set forth in the invitation to bid, which may include criteria to determine acceptability, such as inspection, testing, quality, workmanship, delivery, and suitability for a particular purpose. Any criteria that will affect the bid price and will be considered in evaluation for award shall be objectively measurable, such as discounts, transportation costs, and total or life cycle costs. The invitation to bid shall set forth the evaluation criteria to be used. No criteria may be used in bid evaluations that are not set forth in the invitation to bid.
(f)(1) When a bid is submitted that contains an error, the Chief Procurement Officer or head of a purchasing agency may authorize the correction or withdrawal of the bid or may cancel the award of the contract. The authorization of the correction or withdrawal shall be done in accordance with rules adopted by the Chief Procurement Officer.
(2) After a bid has been opened, with the exception of price negotiations with the lowest responsible bidder, no changes in bid prices or other provisions of bids prejudicial to the interest of the state or fair competition shall be permitted.
(g)(1) Unless there is a compelling reason to reject bids, as prescribed by rules, notice of intent to award to the lowest responsive and responsible bidder whose bid meets the requirements set forth in the invitation to bid shall be given by posting the notice at a location specified in the invitation to bid. Before posting the notice of intent to award, the Chief Procurement Officer or head of the purchasing agency may negotiate with the lowest responsive and responsible bidder to lower the bid price within the scope of the invitation to bid. The invitation to bid and notice of intent to award shall contain a statement of the bidder’s right to protest.
(2) The Chief Procurement Officer may award multiple purchase contracts resulting from a single invitation to bid where the specifications of the items of supplies or services intended to be purchased by a requisitioning agency or agencies are determined, in whole or in part, by technical compatibility and operational requirements. In order to make multiple awards under this subdivision, the awarding authority shall include in the invitation to bid a notice that multiple awards may be made and the specific technical compatibility or operational requirements necessitating multiple awards. Multiple awards of purchase contracts with unique technical compatibility or operational specifications shall be made to the lowest responsible bidder complying with the unique technical compatibility or operational specifications. The requisitioning agency shall provide the awarding authority with the information necessary for it to determine the necessity for the award of multiple purchase contracts under this subdivision.
(h) When it is considered impractical by the Chief Procurement Officer to initially prepare a purchase description to support an award based on price, an invitation to bid may be issued requesting the submission of unpriced offers to be followed by an invitation to bid limited to those bidders whose offers have been qualified under the criteria set forth in the first solicitation.
(i)(1) Before soliciting bids, the Chief Procurement Officer may authorize issuance of a request for qualifications from prospective bidders. The request shall contain, at a minimum, a description of the scope of work to be solicited by the invitation for bids, the deadline for submission of information, and how prospective bidders may apply for consideration. The request shall require information concerning the prospective bidders’ product specifications, qualifications, experience, and ability to perform the requirements of the contract. Adequate public notice of the request for qualifications shall be given in the manner provided in subsection (c).
(2) After receipt of the responses to the request for qualifications from prospective bidders, all qualified bidders, as determined by the Chief Procurement Officer, shall have an opportunity to bid. The determination regarding which bidders are qualified is not subject to review.
(Act 2021-296, §2; Act 2022-357, §1; Act 2025-35, §1.)
(a)(1) A contract may be entered into by competitive sealed proposals when the Chief Procurement Officer or the head of a purchasing agency, in accordance with rules, determines that the use of competitive sealed bidding is either not practicable or not advantageous to the state. Unless determined otherwise by the Chief Procurement Officer, professional services shall be procured by competitive sealed proposals.
(2) The Chief Procurement Officer may determine by rule when it is either not practicable or advantageous to the state to procure specified types of supplies or services by competitive sealed bidding.
(b) Proposals shall be solicited through a request for proposals.
(c) Adequate public notice of the request for proposals shall be given in the same manner as provided in subsection (c) of Section 41-4-132.
(d) Proposals shall be opened so as to avoid disclosure of contents to competing offerors prior to contract award. A register of proposals shall be prepared in accordance with rules and shall be open for public inspection after award of the contract.
(e) A request for proposals shall state the relative importance of price and other factors and subfactors, if any.
(f) Discussions may be conducted with responsible offerors who submit proposals determined by the Chief Procurement Officer or purchasing agency to be reasonably competitive for award to assure full understanding of, and responsiveness to, the solicitation requirements. The determination of the Chief Procurement Officer or purchasing agency is not subject to review. Offerors shall be accorded fair and equal treatment with respect to any opportunity for discussion and revision of proposals. Revisions of proposals may be permitted after submissions and prior to award for the purpose of obtaining best and final offers. In conducting discussions, there may not be disclosure of any information derived from proposals submitted by competing offerors.
(g) Contracts shall be awarded to the responsible offeror whose proposal conforms to the solicitation and is determined in writing to be the most advantageous to the state, taking into consideration price and the evaluation factors set forth in the request for proposals. No other factors or criteria shall be used in the evaluation. Public notice of the award of a contract shall be promptly given.
(h) The Chief Procurement Officer may provide debriefings that furnish the basis for the source selection decision and contract award.
(i)(1) Before soliciting proposals, the Chief Procurement Officer may authorize issuance of a request for qualifications from prospective offerors. The request shall contain, at a minimum, a description of the scope of work to be solicited by the request for proposals, the deadline for submission of information, and how prospective offerors may apply for consideration. The request shall require information concerning the prospective offeror’s product specifications, qualifications, experience, and ability to perform the requirements of the contract. Adequate public notice of the request for qualifications shall be given in the same manner as provided in subsection (c) of Section 41-4-132.
(2) After receipt of the responses to the request for qualifications from prospective offerors, all qualified offerors, as determined by the Chief Procurement Officer, shall have an opportunity to submit proposals. The determination regarding which offerors are qualified is not subject to review.
(3) If a professional service provider is prohibited by law or policy from submitting proposals in response to a request for proposals, the Chief Procurement Officer or purchasing agency shall utilize the request for qualifications process to determine the awardee.
(j)(1) In addition to the requirements of Section 34-11-35.1(d)or any rule adopted thereunder, the professional services of architects, landscape architects, engineers, land surveyors, and geoscientists shall be procured in accordance with competitive, qualification-based selection policies and procedures. Selection shall be based on factors to be developed by the procuring state entity which may include, among others, the following:
a. Specialized expertise, capabilities, and technical competence, as demonstrated by the proposed approach and methodology to meet project requirements.
b. Resources available to perform the work, including any specialized services within the specified time limits for the project.
c. Record of past performance, quality of work, ability to meet schedules, cost control, and contract administration.
d. Availability to and familiarity with the project locale.
e. Proposed project management techniques.
f. Ability and proven history in handling special project contracts.
(2) Notice of a need for professional services shall be widely disseminated to the respective professional community in a full and open manner. Procuring state entities shall evaluate professionals that respond to the notice of need based on the state entity’s qualification-based selection process criteria. The procuring state entity shall then make a good faith effort to negotiate a contract for professional services from the selected professional after first discussing and refining the scope of services for the project with the professional.
(3) For those governmental bodies subject to the requirements of this article, where the Division of Construction Management of the Department of Finance has set a fee schedule for the professional services sought, the fees shall not exceed the schedule without approval of the Director of the Division of Construction Management and the Governor.
(Act 2021-296, §2; Act 2022-357, §1; Act 2023-547, §1.)
Any procurement not exceeding the small purchase amount established by rule may be made in accordance with small purchase procedures. A procurement may not be artificially divided so as to constitute a small purchase under this section.
(Act 2021-296, §2)
A contract may be awarded for a supply or service without competition when the Chief Procurement Officer determines in writing that there is only one source for the required supply or service. In any event, sole source contracts may not exceed one year unless the Chief Procurement Officer determines in writing that there continues to be only one source for the required supply or service.
(Act 2021-296, §2)
(a) Notwithstanding any other provision of this article, the Chief Procurement Officer or the head of a purchasing agency may make emergency procurements when there is a threat to public health, welfare, or safety under emergency conditions, as defined by rule. Emergency procurements made under this section shall be made with as much competition as is practicable under the circumstances.
(b) The authority to make emergency procurements may not be delegated except to the Chief Procurement Officer’s staff in the Division of Procurement at his or her direction. Supplies and services that are exempt from the oversight and authority of the Chief Procurement Officer, including, but not limited to, those listed in Sections 41-4-125, 41-4-125.01, and 41-4-126, shall not be required to be procured under the emergency procurement authority of the Chief Procurement Officer. A purchasing agency not otherwise under the oversight and authority of the Chief Procurement Officer shall not be required to make emergency procurements under the authority of the Chief Procurement Officer.
(c) A written determination of the basis for the emergency and for the selection of the particular contractor shall be included in the contract file.
(Act 2021-296, §2; Act 2025-35, §1)
Notwithstanding any other provision of this article, the Chief Procurement Officer or the head of a purchasing agency, with prior public notice, may initiate a procurement above the small purchase amount specified in Section 41-4-134 when the officer or agency head determines that an unusual or unique situation exists that makes the application of all requirements of competitive sealed bidding or competitive sealed proposals contrary to the public interest. Any special procurement under this section shall be made with as much competition as is practicable under the circumstances. A written determination of the basis for the procurement and for the selection of the particular contractor shall be included by the Chief Procurement Officer or the head of the purchasing agency in the contract file. The Chief Procurement Officer shall publish an annual report, subject to Section 41-4-115, that describes all determinations made under this section during the prior calendar year.
(Act 2021-296, §2)
When it is determined to be in the best interest of the state, as specified by rule, an invitation to bid, a request for proposals, or other solicitation under this article may be cancelled, and any or all bids or proposals received may be rejected.
(Act 2021-296, §2)
(a) A written determination of nonresponsibility of a bidder or offeror shall be made in accordance with rules adopted by the Chief Procurement Officer. The unreasonable failure of a bidder or offeror to promptly supply information in connection with an inquiry with respect to responsibility may be grounds for a determination of nonresponsibility with respect to the bidder or offeror.
(b) Confidential information furnished by a bidder or offeror under this section may not be disclosed outside of the Division of Procurement or the purchasing agency without the prior written consent of the bidder or offeror.
(Act 2021-296, §2; Act 2023-542, §1.)
Prospective suppliers may be prequalified for particular types of supplies or services. The method of submitting prequalification information and the information required in order to be prequalified shall be determined by the Chief Procurement Officer.
(Act 2021-296, §2)
The Chief Procurement Officer may request factual information reasonably available to the bidder or offeror to substantiate that the price or cost offered, or some portion of it, is reasonable when either of the following occurs:
(1) The price is not any of the following:
a. Based on adequate price competition.
b. Based on established catalogue or market prices.
c. Set by law or rule.
(2) The price or cost exceeds an amount established by rule.
(Act 2021-296, §2)
(a) For the purpose of this section, the following terms shall have the respective meanings ascribed by this section:
(1) AFFILIATE. A related party as defined in subsection (b) of Section 40-23-190 as that provision exists on January 1, 2004.
(2) STATE DEPARTMENT OR AGENCY. Every state office, department, division, bureau, board, or commission of the State of Alabama.
(b) A state department or agency may not contract for the purchase or lease of supplies from a vendor, contractor, or an affiliate of a vendor or contractor, unless that vendor, contractor, and all of its affiliates that make sales for delivery into Alabama or leases for use in Alabama are properly registered, collecting, and remitting Alabama state and local sales and use tax, or simplified sellers use tax, and lease tax, as provided for by Article 4 of Chapter 12 of Title 40 and Articles 1, 2, and 4 of Chapter 23 of Title 40, or by any local act or ordinance.
(c) Each vendor, contractor, or affiliate of a vendor or contractor that is offered a contract to do business with a state department or state agency shall be required to certify that the vendor or affiliate is appropriately registered to collect and remit sales and use tax, or simplified sellers use tax and lease tax as required by this section and submit to that state department or agency certification required by the Alabama Department of Revenue.
(d) Every bid submitted and contract executed by the state shall contain a certification by the bidder or contractor that the bidder or contractor is not barred from bidding for or entering into a contract under this section and that the bidder or contractor acknowledges that the contracting state agency may declare the contract void if the certification completed is false.
(e) Each vendor or contractor that sells or leases supplies to a state department or agency, and each affiliate of that vendor or contractor that makes sales for delivery into Alabama, shall be required to collect and remit the Alabama sales and use tax, or simplified sellers use tax, and lease tax on all its sales and leases into the state.
(Act 2021-296, §2)
(a) Subject to the limitations of subsection (b), any type of contract that will promote the best interests of the state may be used under this article.
(b)(1) The use of a cost-plus-a-percentage-of-cost contract is prohibited.
(2) A cost-reimbursement contract may be used only when a determination is made in writing that either of the following apply:
a. The cost-reimbursement contract is likely to be less costly to the state than any other type of contract.
b. It is impracticable to obtain the supplies or services required except under a cost-reimbursement contract.
(Act 2021-296, §2)
(a) Unless otherwise provided by law, a contract for supplies or services may be entered into for any period of time that is in the best interests of the state, so long as the terms of the contract and the conditions of renewal or extension, if any, are included in the solicitation and funds are available for the first fiscal year at the time of contracting. Payment and performance obligations for succeeding fiscal periods shall be subject to the availability and appropriation of funds.
(b) A multi-year contract may be used when the estimated requirements cover the period of the contract and are reasonably firm and continuing, and the contract will serve the best interests of the state by encouraging effective competition or otherwise promoting economies in state procurement.
(c) When funds are not appropriated or otherwise made available to support continuation of performance in a subsequent fiscal period, the contract shall be cancelled and the contractor shall be reimbursed for the reasonable value of any non-recurring costs incurred but not amortized in the price of the supplies or services delivered under the contract. The cost of cancellation may be paid from any appropriations available for that purpose.
(Act 2021-296, §2)
The Chief Procurement Officer or his or her designee, at reasonable times, may inspect a part of the plant, the place of business, or the logical and physical electronic systems of a contractor or any subcontractor that is related to the performance of any contract awarded or to be awarded by the state.
(Act 2021-296, §2)
In addition to the authority of the Department of Examiners of Public Accounts, as set forth under Chapter 5A of Title 41, the Department of Finance, at reasonable times and places, may audit or examine the books and records of any person who has submitted data in substantiation of offered prices under Section 41-4-141 to the extent that the books and records relate to that data. Any person who receives a contract, change order, or contract modification for which data is required under Section 41-4-141 shall maintain the books and records that relate to the cost or pricing data for three years from the date of final payment under the contract, unless a shorter period is otherwise authorized in writing.
(Act 2021-296, §2)
The determinations required by subsection (f) of Section 41-4-132, subsection (a) or (g) of Section 41-4-133, Section 41-4-135, Section 41-4-136, Section 41-4-137, subsection (a) of Section 41-4-139, Section 41-4-141, Section 41-4-143, and subsection (b) of Section 41-4-144 are final and conclusive unless they are clearly erroneous, arbitrary, capricious, or contrary to law.
(Act 2021-296, §2)
When for any reason collusion or other anti-competitive practices are suspected during the procurement process, a notice of the relevant facts shall be transmitted to the Attorney General and, if applicable, to the Ethics Commission.
(Act 2021-296, §2)
(a) The Chief Procurement Officer shall maintain a record listing all contracts made under Section 41-4-135, 41-4-136, or 41-4-137 for a minimum of one year. The record shall contain all of the following:
(1) Each contractor’s name.
(2) The amount and type of each contract.
(3) A listing of the supplies or services procured under each contract.
(b) A copy of the record shall be available for public inspection, except where disclosure would be detrimental to the safety or security of persons or property or to the public interest as determined by the Chief Procurement Officer.
(Act 2021-296, §2)
As used in this division, the term “specification” means any description of the physical or functional characteristics, or of the nature of a supply or service, and may include a description of any requirement for inspecting, testing, or preparing a supply or service for delivery.
(Act 2021-296, §2)
(a) The Chief Procurement Officer, by rule, may set standards for the preparation, maintenance, and content of specifications for supplies or services required by the state.
(b) The Chief Procurement Officer shall monitor the use of specifications for supplies or services required by a purchasing agency.
(c) The Chief Procurement Officer shall obtain expert advice and assistance from personnel of using agencies in the development of specifications and may delegate in writing to a using agency the authority to prepare and utilize its own specifications.
(d) All specifications shall seek to promote overall economy for the purposes intended and encourage competition in satisfying the state’s needs and shall not be unduly restrictive.
(e) Specifications may be prepared by persons other than state employees when necessary. The Chief Procurement Officer shall exercise diligence to assure that any third party who prepares specifications or requirements does not have a conflict of interest or an unfair competitive advantage in any subsequent procurement. Vendors that participate in the drafting of specifications for the state shall disclose the same on its vendor disclosure statement required by Section 41-16-82.
(Act 2021-296, §2)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Code 1852, §92; Code 1867, §130; Code 1876, §136; Code 1886, §228; Code 1896, §3413; Code 1907, §1674; Code 1923, §2923; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §136.)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Code 1852, §93; Code 1867, §132; Code 1876, §137; Code 1886, §229; Code 1896, §3414; Code 1907, §1675; Code 1923, §2924; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §137.)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Code 1896, §3415; Code 1907, §1676; Code 1923, §2925; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §138.)
(a) The Chief Procurement Officer may adopt rules permitting or requiring the inclusion of clauses providing for adjustments in prices, time of performance, or other contract provisions as appropriate covering both of the following subjects:
(1) The unilateral right of the state to order in writing both of the following:
a. Changes in the work within the scope of the contract.
b. The temporary stopping of work or delaying performance.
(2) Variations occurring between estimated quantities of work in a contract and actual quantities.
(b)(1) Adjustments in price pursuant to clauses adopted under subsection (a) shall be computed in one or more of the following ways:
a. By agreement on a fixed-price adjustment before commencement of the performance or as soon as practicable.
b. By unit prices specified in the contract or subsequently agreed upon.
c. By the costs attributable to the events or situations under the clauses with adjustment of profit or fee, all as specified in the contract or subsequently agreed upon.
d. In any other manner as the contracting parties may mutually agree.
e. In the absence of agreement by the parties, by a unilateral determination by the state of the costs attributable to the events or situations under the clauses with adjustment of profit or fee.
(2) A contractor shall be required to submit cost or pricing data if any adjustment in the contract price is subject to Section 41-4-141.
(c) The Chief Procurement Officer may adopt rules to implement this division, including rules permitting or requiring the inclusion in state contracts of clauses providing for appropriate remedies covering all of the following subjects:
(1) Specified excuses for delay or nonperformance.
(2) Termination of the contract for default.
(3) Termination of the contract in whole or in part for the convenience of the state.
(d) The Chief Procurement Officer may vary the clauses adopted by rule under subsection (a) and (c) for inclusion in any particular state contract, so long as any variation is supported by a written determination that states the circumstances justifying the variation. Notice of any material variation shall be stated in the invitation to bid or request for proposals.
(Act 2021-296, §2)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Acts 1949, No. 27, p. 39, §7; Acts 1975, No. 1161, p. 2285, §1; Acts 1981, No. 81-347, p. 503; Acts 1982, 2nd Ex. Sess., No. 82-763, p. 238, §2.)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Acts 1949, No. 27, p. 39, §8.)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Acts 1949, No. 27, p. 39, §9.)
[Repealed]
Repealed by Act 2009-763, p. 2310, §3, effective May 22, 2009.
(Acts 1949, No. 27, p. 39, §10.)
(a) Contracts of a governmental body listed under subsection (b) of Section 41-4-124 are not subject to this part as it relates to the authority of the Chief Procurement Officer and Director of Finance.
(b) The governmental bodies listed under subsection (b) of Section 41-4-124 shall establish written procedures keeping with the spirit and intent of this part to do all of the following:
(1) Resolve protested solicitations and awards.
(2) Establish criteria and review procedures for suspension and debarment of persons or entities.
(3) Resolve contract disputes.
(Act 2021-296, §2)
(a)(1) A bona fide prospective bidder or offeror who is aggrieved in connection with the solicitation of a contract may file a notice of intent to protest with the Chief Procurement Officer within five calendar days after the date the solicitation is issued, or after the date any amendment to the solicitation is issued if the amendment is at issue. After filing a notice of intent to protest, the bona fide prospective bidder or offeror shall have seven calendar days to submit a formal written protest.
(2)a. Except as provided in paragraph b., a bona fide actual bidder or offeror who is aggrieved in connection with the intended award or the award of a contract may file a notice of intent to protest with the Chief Procurement Officer within five calendar days after the date of the award or the date of the notice of intent to award, whichever is earlier, is posted in accordance with this article. After filing a notice of intent to protest, the bona fide actual bidder or offeror shall have seven calendar days to submit a formal written protest. The Chief Procurement Officer may award the contract at issue if he or she does not receive the notice of intent to protest within the five-day period.
b. A matter that could have been raised under subdivision (1) as a protest of the solicitation may not be raised as a protest of the award or intended award of a contract.
(3) A notice of intent to protest filed under subdivision (1) or (2) shall be in writing, filed with the Chief Procurement Officer, state the intent to protest, and state the grounds of the protest and the relief requested with enough particularity to give notice of the issues to be decided.
(b) The Chief Procurement Officer or his or her designee may settle and resolve the protest of a bona fide actual or prospective bidder or offeror concerning the solicitation or award of a contract in accordance with rules adopted under this article.
(c) If the protest is not resolved by mutual agreement within 10 days after the protest is filed, the Chief Procurement Officer shall commence an administrative review of the protest and issue a decision in writing within 14 days after the review.
(d) A copy of the decision under subsection (c) shall be mailed or otherwise furnished immediately to the protester and any other party intervening.
(e) A decision under subsection (c) shall be final and conclusive, unless fraudulent or unless a party adversely affected by the decision appeals administratively to the Director of Finance in accordance with Section 41-4-164.
(f)(1) Except as provided in subdivision (2), in the event of a timely protest under subsection (a) or an appeal under Section 41-4-164, the state may not proceed further with the solicitation or with the award of the contract until five days after notice of the final decision is provided to the protester.
(2) Notwithstanding subdivision (1), a solicitation or award of a protested contract may proceed without delay if the Chief Procurement Officer, after consultation with the head of the using agency or the head of a purchasing agency, makes a written determination that the solicitation or award of the contract without further delay is necessary to protect the best interests of the state.
(Act 2021-296, §2; Act 2025-35, §1)
(a) After reasonable notice to the person or entity involved and reasonable opportunity for that person or entity to be heard, the Chief Procurement Officer, after consultation with the using agency, may do either of the following:
(1) Terminate existing contracts and debar a person or entity for cause from consideration for award of contracts. The debarment may not be for a period of more than three years.
(2) Suspend a person or entity from consideration for award of contracts if there is probable cause for debarment. The suspension may not be for a period exceeding three months.
(b) The Chief Procurement Officer may suspend or debar a person from consideration for award of contracts under subsection (a) for any of the following:
(1) Conviction of a criminal offense that is in connection with obtaining or attempting to obtain a public or private contract or subcontract, or in the performance of the contract or subcontract.
(2) Conviction under state or federal law of embezzlement, theft, forgery, bribery, falsification or destruction of records, receiving stolen property, or any other offense indicating a lack of business integrity or business honesty as a state contractor.
(3) Conviction under state or federal antitrust law arising out of the submission of bids or proposals.
(4) Violation of a contract provision of a character that is regarded by the Chief Procurement Officer to be so serious as to justify debarment action, including either of the following:
a. Deliberate failure, without good cause, to perform in accordance with the specifications or within the time limit provided in the contract.
b. A recent record of failure to perform or of unsatisfactory performance in accordance with the terms of one or more contracts that was not caused by acts beyond the control of the contractor.
(5) Violation of the ethical standards set forth in Chapter 25 of Title 36.
(6) Violation of an order of the Chief Procurement Officer.
(7) Any other cause the Chief Procurement Officer determines to be serious and egregious misconduct.
(c) Any decision by the Chief Procurement Officer to debar or suspend a person shall be in writing. The writing shall state the reasons for the action taken.
(d)(1) A copy of the decision made under subsection (c) shall be mailed or otherwise furnished immediately to all of the following:
a. The debarred or suspended person.
b. Any other party intervening.
c. All state procurement officials governed by this article with contracting authority who shall decide whether the suspension or debarment warrants termination of existing contracts with the suspended or debarred person or entity.
(2) Contracts may not be awarded to the suspended or debarred person during the suspension or debarment period established by the Chief Procurement Officer.
(e) A decision under subsection (c) shall be final and conclusive, unless fraudulent, or the debarred or suspended person appeals administratively to the Director of Finance in accordance with Section 41-4-164.
(f) The Chief Procurement Officer shall maintain a list of suspended or debarred persons or entities and make it reasonably available for inspection.
(Act 2021-296, §2.)
The Chief Procurement Officer, by rule, shall establish procedures to resolve disputes between the state and a contractor that arise under, or by virtue of, a contract between them, including disputes based upon breach of contract, mistake, misrepresentation, or other cause for contract modification or rescission.
(Act 2021-296, §2.)
(a) A party that receives an adverse decision from the Chief Procurement Officer under Section 41-4-161(c) or Section 41-4-162(c) may appeal the decision to the Director of Finance.
(b) Any appeal to the Director of Finance shall be made in writing within five days after receipt of the adverse decision by the Chief Procurement Officer.
(c) The Director of Finance shall hold unlawful and set aside any decision issued by the Chief Procurement Officer that the director finds to be arbitrary, capricious, an abuse of discretion, or otherwise inconsistent with law.
(d) The Director of Finance shall issue a written decision within 14 days after receipt of the appeal.
(e) A copy of the decision under subsection (d) shall be mailed or otherwise furnished immediately to the parties.
(f) A decision under subsection (d) shall be final and conclusive unless fraudulent.
(g) The administrative procedures and remedies provided in this division shall not be construed as a contested case under the Alabama Administrative Procedure Act.
(Act 2021-296, §2; Act 2025-35, §1.)
This part applies when a determination is made that a solicitation or award of a contract is in violation of law.
(Act 2021-296, §2.)
If, prior to an award, a solicitation or proposed award of a contract is determined to be in violation of law, the solicitation or proposed award shall be cancelled or revised to comply with the law.
(Act 2021-296, §2.)
If, after an award, a solicitation or award of a contract is determined to be in violation of law, then:
(1) If the person awarded the contract has not acted fraudulently or in bad faith, the contract may be ratified and affirmed by the Chief Procurement Officer, so long as doing so is in the best interests of the state, or the contract may be terminated by the Chief Procurement Officer and the person awarded the contract shall be compensated for the supplies provided or services rendered under the contract prior to termination.
(2) If the person awarded the contract has acted fraudulently or in bad faith, the contract may be declared void by the Chief Procurement Officer or the contract may be ratified and affirmed by the Chief Procurement Officer, so long as the action is in the best interests of the state. A contract ratified and affirmed under this subdivision does not prejudice the state’s right to any available damages.
(Act 2021-296, §2.)
A bona fide unsuccessful bidder or offeror on a particular contract who has exhausted the administrative remedies contained in this division and any taxpayer of the area within the jurisdiction of the awarding authority may bring a civil action in the Circuit Court of Montgomery County to enjoin execution of any contract entered into in violation of this article.
(Act 2021-296, §2.)
As used in this division, the following terms shall have the following meanings:
(1) COOPERATIVE PURCHASING. Procurement conducted by, or on behalf of, one or more public procurement units.
(2) EXTERNAL PROCUREMENT ACTIVITY. A buying organization not located in this state which, if located in this state, would qualify as a public procurement unit. The term includes agencies of the United States and of any other state.
(3) LOCAL PUBLIC PROCUREMENT UNIT. Any of the following:
a. A unit that is governed by this article and is also a municipality or other political subdivision of the state.
b. An agency of any political subdivision, public authority, or educational, health, or other institution.
c. Any nonprofit corporation operating a charitable hospital.
d. To the extent provided by law, any entity that expends public funds for the procurement of supplies or services and is governed by this article.
(4) PUBLIC PROCUREMENT UNIT. Any one of the following:
a. A local public procurement unit.
b. An external procurement activity.
c. A state public procurement unit.
d. Any not-for-profit entity comprised of more than one unit or activity listed in paragraph a., b., or c.
(5) STATE PUBLIC PROCUREMENT UNIT. The Office of the Chief Procurement Officer or the equivalent officer of any other state and any purchasing agency of this state or any other state.
(Act 2021-296, §2.)
(a) A public procurement unit that is governed by this article may either participate in, sponsor, conduct, or administer a cooperative purchasing agreement for the procurement of any supplies or services with one or more public procurement units in accordance with an agreement entered into between the participants. The cooperative purchasing agreement may include joint or multi-party contracts between public procurement units and open-ended public procurement unit contracts that are made available to other public procurement units.
(b) All cooperative purchasing conducted under this division shall be through contracts awarded using source selection methods substantially equivalent to those specified in Division 3.
(Act 2021-296, §2; Act 2022-357, §1.)
A public procurement unit may sell to, acquire from, or use any supplies or services belonging to another public procurement unit without regard to the requirements of Division 3.
(Act 2021-296, §2; Act 2023-542, §1.)
A public procurement unit may enter into an agreement, without regard to the requirements of Division 3, with any other public procurement unit for the cooperative purchase or use of supplies or services under the terms agreed upon between the parties.
(Act 2021-296, §2.)
(a) When a public procurement unit administering a cooperative purchase complies with the requirements of this article, a public procurement unit participating in the purchase shall be deemed to have complied with this article.
(b) Public procurement units may not enter into a cooperative purchasing agreement for the purpose of circumventing this article.
(Act 2021-296, §2.)
To the extent possible, the chief procurement officer of any public procurement unit may collect information concerning the type, cost, quality, and quantity of commonly used supplies or services being procured or used by public procurement units and make the collected information available to any other public procurement unit upon request.
(Act 2021-296, §2.)
Under a cooperative purchasing agreement, controversies arising between an administering public procurement unit and its bidders, offerors, or contractors shall be resolved between the ordering public procurement unit and the supplying bidders, offerors, or contractors in accordance with Division 6.
(Act 2021-296, §2.)
(a) It is the policy of the state that the Chief Procurement Officer shall provide reasonable procurement assistance to small and disadvantaged businesses in this state.
(b) The Chief Procurement Officer shall identify programs designed to assist small and disadvantaged businesses in procurement activities governed by this article, which may include staff assistance, special publications, source lists, solicitation mailing lists, and training programs.
(c) The Chief Procurement Officer may reduce the level or change the types of bonding normally required, or accept alternative forms of security to the extent necessary, to encourage procurement from small and disadvantaged businesses.
(d) The Chief Procurement Officer may make special provisions for progress payments as he or she determines to be reasonably necessary to encourage procurement from small and disadvantaged businesses.
(Act 2021-296, §2.)
(a) For purposes of this section, the following terms shall have the following meanings:
(1) MINORITY INDIVIDUAL. An individual who is a citizen or lawful permanent resident of the United States, and who is any of the following:
a. African American: An individual having origins in any of the black racial groups of Africa.
b. Hispanic: An individual of Mexican, Puerto Rican, Cuban, Central or South American, or other Spanish culture or origin, regardless of race.
c. Asian American: An individual having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands.
d. Native American: An individual having origins in any of the original peoples of North America.
(2) MINORITY-OWNED BUSINESS. A for-profit business that is headquartered or has its principal place of business in the state, and that is any or either of the following:
a. An independently owned and operated business that is at least 51 percent owned or controlled by one or more minority individuals, a majority of whom have their permanent place of residence in the state.
b. A publicly owned business of which at least 51 percent of the stock is owned and controlled by one or more minority individuals and whose daily management and operations are under the control of one or more of these minority individuals, a majority of whom have their permanent place of residence in the state.
(3) SMALL BUSINESS. A for-profit business that is headquartered or has its principal place of business in the state; that is independently owned and operated; and that employs no more than 50 individuals on a full-time basis, a majority of whom have their permanent place of residence in the state.
(4) SMALL OR DISADVANTAGED BUSINESS. A small business, a minority-owned business, or a woman-owned business that is licensed to do business in the state.
(5) WOMAN-OWNED BUSINESS. A for-profit business that is headquartered or has its principal place of business in the state, and that is any or either of the following:
a. An independently owned and operated business that is at least 51 percent owned or controlled by one or more women, a majority of whom have their permanent place of residence in the state.
b. A publicly owned business of which daily management and operations are under the control of a woman or group of women, a majority of whom have their permanent place of residence in the state and who own and control at least 51 percent of the stock of the business or an equivalent ownership stake.
(b) The Chief Procurement Officer shall make reasonable efforts to do all of the following:
(1) Obtain from the Secretary of State, the Department of Workforce, and other available sources information regarding the small and disadvantaged businesses operating in the state, and maintain a database of the information received.
(2) Identify and record the goods or services that may reasonably be purchased by the state from the small or disadvantaged businesses operating in the state.
(3) Determine what proportion of procurement contracts under this article are awarded to the small and disadvantaged businesses in the state based upon the records and information obtained by the Chief Procurement Officer.
(c)(1) The Chief Procurement Officer, by the end of February of each year, shall provide to the Contract Review Permanent Legislative Oversight Committee a summary of the information and data gathered under this section.
(2) The Chief Procurement Officer and the Secretary of State, upon request, shall provide data collected and maintained under this section to the Legislative Services Agency.
(Act 2021-223, §1.)
When a procurement involves the expenditure of federal assistance or contract funds, the Chief Procurement Officer shall comply with any applicable federal law and regulations.
(Act 2021-296, §2.)
No state agency or institution may purchase a United States flag or Alabama flag manufactured outside of the United States of America.
(Act 2022-113, §1.)
There shall be in the Department of Finance the Division of Service. The functions and duties of the Division of Service shall be as follows:
(1) To provide for the stamping and mailing for each state department, board, bureau, commission, agency, and office located and operating in the City of Montgomery and to operate a central mailing room or rooms and service for the departments, boards, bureaus, commissions, agencies, and offices. The Director of Finance shall direct the delivery of mail to such mailing room or rooms by these departments, boards, bureaus, commissions, agencies, and officers as the director may see fit, ready to be delivered to the United States Post Office, except that it shall not be stamped with postage stamps or by means of a postage meter. Every piece of mail, when so delivered, shall bear the name of the department, board, bureau, commission, agency, or office of the state sending it, and all mail received in a mailing room shall be properly stamped with postage stamps or passed through an authorized postage meter and then delivered to the United States Post Office. The Chief of the Division of Service shall cause an accurate account to be kept of all pieces of mail from and the postage used on account of each department, board, bureau, commission, agency, and office of the state, and the cost of such postage shall be charged by the Comptroller against its appropriation for such purpose. Such central mailing rooms shall be conveniently located and shall be kept open for business as long as may be necessary to dispose of all outgoing mail daily. The expenditure of any state funds for postage by any department, board, bureau, commission, agency, or office of the state required to deliver its mail to a central mailing room (other than the Department of Finance) shall be unlawful. This section shall not, however, prevent the stamping or metering of envelopes for the transmittal of unemployment compensation warrants and warrants for the payment of any public assistance benefits in, or the mailing of such envelopes from, the department or departments having charge of the other functions and duties relating to unemployment compensation and public assistance.
(2) To provide exclusively for all telephone service for each state department, board, bureau, commission, agency, and office located and operating in the City of Montgomery and make all contracts and agreements in relation to the telephone service to each of the departments, boards, bureaus, commissions, agencies, and offices of the state located and operating in the City of Montgomery. Insofar as practicable, all telephones shall be connected through a central switchboard or switchboards, into which there may be as many trunk lines as the business of the state justifies. The telephone expense of each such department, board, bureau, commission, agency, or office of the state shall be charged by the Comptroller against its appropriation for such purpose.
(3) To provide exclusively for all clerical and stenographic services to all state departments, boards, bureaus, commissions, agencies, and offices located in the City of Montgomery for part-time or emergency needs, and to operate and maintain a central clerical and stenographic pool for the purpose of providing each department, board, bureau, commission, agency, and office of the state located and operating in the City of Montgomery with all part-time and emergency employees.
(4) To manage, supervise, maintain, repair, improve, light, heat, and clean the Capitol and all buildings and property owned or leased by the state in the City of Montgomery, including monuments and historical sites. In any case in which an appropriation has been or shall be made for such purposes to any department, board, bureau, commission, agency, or office of the state for such purpose, the expenses of such services for buildings or property used by it shall be charged by the Comptroller to such department, board, bureau, commission, agency, or office.
(5) With the approval of the Governor, to allocate space in the Capitol and in all buildings owned or leased by the state in the City of Montgomery for the use of the departments, boards, bureaus, commissions, agencies, and offices of the state.
(6) With the approval of the Governor, to transfer between departments, boards, bureaus, commissions, agencies, offices, and institutions of the state any furniture, fixtures, supplies, material, equipment, or other personal property.
(7) To sell, exchange, or otherwise dispose of any personal property of the state determined by the Director of Finance not to be needed for public use or to have become unsuited for such use.
(8) To perform such other functions and duties of the Department of Finance as may from time to time be assigned, by the Director of Finance.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §145; Act 2003-363, p. 1014, §1.)
The Division of Service shall be headed by and be under the direction, supervision and control of an officer who shall be designated the Chief of Service. The Chief of Service shall be appointed by the Director of Finance, with the approval of the Governor.
(Acts 1939, No. 112, p. 144; Code 1940, T. 55, §145.)
[Repealed]
Repealed by Act 2003-363, §3, effective September 1, 2003.
(Code 1896, §1967; Code 1907, §564; Acts 1923, No. 600, p. 789; Code 1923, §767; Acts 1933, Ex. Sess., No. 138, p. 124; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §146; Acts 1953, No. 891, p. 1198; Acts 1981, No. 81-356, p. 521, §1.)
[Repealed]
Repealed by Act 2015-435 effective October 1, 2015.
(Acts 1923, No. 600, p. 789; Code 1923, §768; Acts 1933, Ex. Sess., No. 138, p. 124; Acts 1939, No. 112, p. 144; Code 1940, T. 55, §147; Acts 1981, No. 81-356, p. 521, §2.)
[Repealed]
Repealed by Act 2003-363, §3, effective September 1, 2003.
(Code 1896, §1968; Code 1907, §§565, 566; Code 1923, §§769, 770; Code 1940, T. 55, §§148, 149; Acts 1981, No. 81-356, p. 521, §3.)
[Repealed]
Repealed by Act 2003-363, §3, effective September 1, 2003.
(Acts 1971, No. 2401, p. 3831; Acts 1981, No. 81-356, p. 521, §4.)
The City Council of Montgomery may, with the approval of the Governor, pass such ordinances as may be necessary for the protection of the grass, trees, and other public property on the Capitol grounds, but no ordinance or bylaw of the City Council of Montgomery shall be operative within the Capitol building or grounds without the consent of the Governor.
(Code 1896, §1969; Code 1907, §567; Code 1923, §771; Code 1940, T. 55, §150.)
There shall be in the Department of Finance a legal division.
(Acts 1953, No. 448, p. 552, §1.)
The legal division shall be headed by and be under the direction, supervision, and control of the chief of said division. Any vacancy in this office shall, subject to the provisions of the state Merit System law, be filled by appointment by the Director of Finance, with the approval of the Attorney General.
(Acts 1953, No. 448, p. 552, §1.)
The chief of the legal division shall be an assistant attorney general, shall take the oath required of other assistant attorneys general, shall be commissioned as an assistant attorney general, and shall, in addition to the duties and functions herein provided for, have the duties and functions of an assistant attorney general; except, that his or her entire time shall be devoted to the Department of Finance.
(Acts 1953, No. 448, p. 552, §2.)
The chief of the legal division shall confer with and advise the Director of Finance and any and all of the subordinate officers and employees of the Department of Finance on all legal matters pertaining to said department. He or she shall furnish either verbal or written opinions, when requested by the Director of Finance, on legal questions pertaining to said department, but such opinions shall not have the force and effect of official opinions of the Attorney General unless approved by the Attorney General. He or she shall appear for the state in all litigation, both civil and criminal, affecting the Department of Finance, when authorized to do so by the Director of Finance and the Attorney General.
(Acts 1953, No. 448, p. 552, §3.)
The chief of the legal division shall represent the State Board of Adjustment in all legal matters, and the legal division shall do and perform all clerical duties and functions prescribed by the board. He or she shall attend all hearings of the board and advise with the members, when requested, on any legal questions arising from claims filed against the state or any of its agencies or institutions.
(Acts 1953, No. 448, p. 552, §4.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1299, p. 2214, §1; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1299, p. 2214, §2; Act 2013-68, p. 138, §10; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1299, p. 2214, §1; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1299, p. 2214, §3; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1299, p. 2214, §4; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1286, p. 2198, §1; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1286, p. 2198, §2; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1973, No. 1286, p. 2198, §3; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1981, No. 81-799, p. 1407; Act 2025-369, §3.)
There shall be in the Department of Finance an office of space management.
(Acts 1973, No. 1294, p. 2206, §1.)
The functions, powers, and duties of the division of space management shall be as follows:
(1) To formulate a statewide space management program.
(2) To establish long-range plans in regard to state space needs.
(3) To make studies, surveys, investigations, and inventories of all buildings owned or leased by the state and to require all agencies to assist in such activities.
(4) To promulgate uniform standards for allocation of facilities owned or leased by the state.
(5) To investigate all requests for additional facilities needed by all departments, boards, bureaus, commissions, agencies, and offices of the state and to allocate space for their use.
(6) To contract with other agencies, corporations, entities, or individuals to make studies, surveys, investigations, inventories, and recommendations relative to the most economic and feasible methods of acquiring new space and utilization of present space.
(7) To assist and advise the Director of Finance in allocating available space and in acquiring new space.
(8) To make recommendations and reports to the Director of Finance relative to the proper utilization of and acquisition of space by state agencies.
(9) To make rules and regulations necessary to implement the provisions of this article.
(Acts 1973, No. 1294, p. 2206, §2; Act 2015-435, §3.)
The office of space management shall be headed by and under the supervision, direction, and control of an officer who shall be designated director of space management. He or she shall be appointed, subject to the provisions of the state Merit System law, by the Director of Finance, with the approval of the Governor. The compensation of such officer shall be fixed in accordance with the pay plan of the state Merit System.
(Acts 1973, No. 1294, p. 2206, §1.)
The Director of Finance may employ, subject to the provisions of the state Merit System, such additional employees as may be needed and fix their compensation in accordance with the state Merit System pay plan.
(Acts 1973, No. 1294, p. 2206, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §1; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §2; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §3; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §4; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §5; Acts 1992, No. 92-178, p. 325, §3; Act 2000-707, p. 1484, §3; Act 2019-319, §1; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §6; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §7; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §8; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §9; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §10; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §11; Act 2025-369, §3.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §12; Act 2000-707, p. 1479, §3; Act 2025-369, §3.)
[Repealed]
Repealed by Act 2000-707, § 4, p. 1484, effective May 23, 2000.
(Acts 1990, No. 90-553, p. 907, §13.)
[Repealed]
REPEALED BY ACT 2025-369, EFFECTIVE OCTOBER 1, 2025.
(Acts 1990, No. 90-553, p. 907, §14; Act 2025-369, §3.)
There shall be created within the Department of Finance the Division of Risk Management.
(Acts 1990, No. 90-672, p. 1300, §1.)
The function, powers and duties of the Division of Risk Management shall be as follows:
(1) To carry out the provisions of Section 41-15-1 et seq., relating to the State Insurance Fund and Section 36-1-6.1 relating to the State Liability Insurance Fund;
(2) To assist and advise the Finance Director on insurance and bonding matters;
(3) To provide information and recommendations to the Legislature when requested;
(4) To provide programs and/or guidelines leading to premium and financial risk reductions, to include collection and investment of premiums, rate making, and claims administration; and
(5) To make, with the approval of the Finance Director, rules and regulations necessary to implement the provisions of this article.
(Acts 1990, No. 90-672, p. 1300, §2.)
(a) The Division of Risk Management shall have the authority to institute, manage, and administer programs of insurance, not specifically enumerated herein and which do not conflict with existing laws, upon a determination by the Director of Finance and the Governor that such insurance program or programs serve the best interests of the state.
(b) Notwithstanding the provisions of Article 1, commencing with Section 11-2-1, Chapter 2, Title 11, the state blanket bond which covers state officers and employees required to be bonded shall be made available, if approved by the county commission, to also cover sheriffs, judges of probate, county commissioners, chairs of county commissions, tax assessors, tax collectors, license commissioners, revenue commissioners, and other county employees and county elected officials who are required to be bonded if the Governor and the Director of Finance determine that extending the bond coverage to such local officials and employees is in the best interest of the state. Notice that coverage is provided under this state blanket bond shall be evidenced by resolution of the county commission, and the coverage shall satisfy all provisions and requirements found in Article 1, commencing with Section 11-2-1, Chapter 2, Title 11.
(Acts 1990, No. 90-672, p. 1300, §3; Act 2003-369, §1.)
The provisions of this article shall not apply to: universities and colleges; the port authority; or county and city boards of education, except as is already required by Section 41-15-1 et seq., relating to the State Insurance Fund. Provided however that universities and colleges may elect to participate in, and be covered by, such risk management program. A university or college may elect to participate in and be covered by such program by giving notice thereof to the Division of Risk Management not less than six months prior to the beginning of the fiscal year in which such university or college desires to begin participation in and coverage by such program. Any university or college which elects to be covered by such risk management program may terminate such participation and coverage by giving notice thereof to the Division of Risk Management not less than six months prior to the beginning of the fiscal year such university or college desires to terminate such participation and coverage.
(Acts 1990, No. 90-672, p. 1300, §3.)
There shall be no commingling of funds between various self-insured programs.
(Acts 1990, No. 90-672, p. 1300, §4.)
The Division of Risk Management shall be headed by and under the supervision, direction and control of an officer who shall be designated “risk manager.” The risk manager shall be appointed and compensated, subject to the provisions of the state Merit System, by the Director of Finance, with the approval of the Governor. Salary of said risk manager shall be paid from self-insured programs on a basis determined by the Finance Director.
(Acts 1990, No. 90-672, p. 1300, §5.)
The Director of Finance may employ and compensate such additional employees as may be needed, in accordance with the Merit System.
(Acts 1990, No. 90-672, p. 1300, §6.)
The Legislature finds and declares the following:
The purpose of this article is to provide for the defense of those indigent defendants who have been found by a court to be unable to pay for their defense or representation in a trial or appellate court proceeding. When a court determines that a person is unable to pay for his or her defense, it shall be the responsibility of the court, subject to the establishment of the Office of Indigent Defense Services as set forth in this article, to provide that person with counsel and other necessary expenses of representation.
(Act 2011-678, p. 1862, §1.)
There is created within the Department of Finance, the Office of Indigent Defense Services, which is subject to the control of the Director of Finance.
(Act 2011-678, p. 1862, §2.)
(a) The office shall develop and improve programs to provide legal representation to indigents.
(b) The office shall have a director, who shall be chosen by the Director of Finance on the basis of training, experience, and other qualifications. The term of office shall be three years, subject to termination for cause. The person selected as Director of the Office of Indigent Defense Services, in addition to the above qualifications and experience, shall be an attorney licensed to practice law in the State of Alabama. The director shall be chosen from a list of three qualified candidates nominated by the Alabama State Bar Board of Bar Commissioners within 60 days of a vacancy occurring. The Director of Finance shall serve as the Director of Indigent Defense Services on an interim basis if a vacancy exists. If the Alabama State Bar Board of Bar Commissioners fails to provide a list as required, then the director shall be chosen by the Director of Finance from a list of the three qualified candidates provided by the Governor.
(c) The director shall develop standards governing the provision of defense services under this article. The standards shall include, but not be limited to, the following:
(1) Providing fiscal responsibility and accountability in indigent defense preparation.
(2) Maintaining and operating indigent defense systems, whether appointed counsel, contract counsel, public defender, or appellate defender offices, some combination of the above, or any other method which meets the goals set forth in this article.
(3) Prescribing minimum experience, training, and other qualifications for appointed counsel, contract counsel, and public defenders, including additional qualifications for counsel appointed in capital cases.
(4) Caseload management for appointed counsel, contract counsel, and public defenders, including the number of attorneys appointed in capital cases which, when appropriate, may include two attorneys.
(5) Performance for appointed counsel, contract counsel, and public defenders.
(6) Criteria for independent, competent, and efficient representation of clients whose cases present conflicts of interest.
(7) Providing and compensating experts who provide services related to legal representation of indigents.
(8) Determining indigency and partial indigency.
(9) Establishing procedures for the recoupment of fees, expenses, and salaries.
(d) The local indigent defense advisory board shall determine the methods for delivering indigent defense services in the trial courts in each county or circuit, or parts of the county or circuit. The director may appeal the determination of the indigent defense advisory board to the Indigent Defense Review Panel. The indigent defense advisory board shall certify its system to the Indigent Defense Review Panel and to the director on or before October 1 of each year. Should the indigent defense advisory board fail to make certification to the Indigent Defense Review Panel and to the director as herein prescribed, the Indigent Defense Review Panel, in consultation with the director, shall determine the system for delivery of indigent defense services in that circuit. The methods established for delivering indigent defense services may include, but are not limited to, appointed counsel systems, contract counsel systems, and part-time or full-time public defender systems. In determining the method for delivering indigent defense services, the indigent defense advisory board shall select the most efficient and effective counsel system available in each county or circuit, or parts of the county or circuit.
(e) The director shall determine the methods of providing indigent defense service in the appellate courts. If a method is selected by the director whereby someone other than the trial counsel shall serve as the appellate counsel for the appellant, the director, to the extent possible, shall see that the system provides for the representation of the appellant from the time the trial counsel is permitted to withdraw. In determining the method by which indigent defense services shall be provided in the appellate courts, the director shall consult with the Alabama Supreme Court, the Court of Criminal Appeals, and the Court of Civil Appeals.
(f) This article does not govern the provision of indigent defense services to municipal courts, and this article does not prohibit any of the systems or methods by which legal services are now or are in the future provided to indigent defendants in the municipal courts of this state.
(g) The director shall annually approve and recommend a budget for indigent defense systems to the Director of Finance.
(h) The director shall adopt other rules and procedures he or she deems necessary for the conduct of business by the Office of Indigent Defense Services.
(Act 2011-678, p. 1862, §3.)
(a) The Office of Indigent Defense Services is established to carry out the administrative duties relating to the provision of indigent defense services. The director shall use existing employees of the Department of Finance and its existing offices, as assigned by the Director of Finance. The director’s salary shall not exceed the state salary paid to a district attorney and be paid at the same time and in the same manner that salaries of other state employees are paid. The Director of the Office of Indigent Defense Services shall be entitled to annual and sick leave, insurance, retirement, and other state employee benefits, including cost-of-living raises authorized by the Legislature for state employees.
(b) The director may enter into contracts, and accept funds, grants, and charitable donations from any public or private source to pay expenses incident to implementing the purposes of the Office of Indigent Defense Services.
(c)(1) The director shall be responsible for implementing in each judicial circuit the system for providing legal representation and related services for indigent defendants after the indigent defense advisory board selects the method to be used in the circuit. In determining the method for delivering indigent defense services, the indigent defense advisory board shall select the most efficient and effective counsel system available in each county or circuit, or parts of the county or circuit.
(2) The director shall develop policies and procedures for determining whether a person is an indigent defendant, and those policies and procedures shall be applied uniformly throughout the state. This article may not be construed to prevent the office from establishing guidelines for determining partial indigency and establishing policies and procedures for providing indigent defense services to persons determined to be partially indigent, including policies and procedures governing recoupment of fees and expenses expended in conjunction with the indigent defense services to include filing of liens. In accordance with the policies and procedures established by the office, the court shall determine in each case whether a person is an indigent defendant. If the court determines that a person is an indigent defendant, indigent defense services shall be provided as required by Section 15-12-5.
(3) The director shall allocate and disburse funds appropriated for legal representation and related services in the cases subject to this article pursuant to rules and procedures established and in accordance with the Budget Management Act. The director shall also have the authority to approve monetary allocations requested by and for appointed counsel, contract counsel, and public defender offices.
(4) If the director for any reason determines that a bill submitted for indigent defense services does not comply with this article, the director may request the Department of Examiners of Public Accounts to audit the bill.
(d) In addition to any other duties and responsibilities of the director, the director shall have the following duties and authority with respect to all indigent defense services, subject to the approval of the Director of Finance:
(1) Prepare and submit budget recommendations for state appropriations necessary for the maintenance and operation of the state indigent defense services, including the operation of the office, local indigent defense systems, appellate defender services, and, if established, an appellate defender office, and request annually a sum certain necessary to be appropriated from the State General Fund and the Fair Trial Tax Fund pursuant to Section 12-19-252, and in accordance with this article.
(2) Prepare reports and collect and compile statistical data and all other information on the operations, costs, and needs of the office, and any other information which may be required. The director shall prepare and submit an annual report on the work of the office to the Chief Justice, the Governor, and the Legislature.
(3) Develop rules and standards for the delivery of services under this article.
(4) Administer and coordinate the operations of the office and supervise compliance with standards adopted by the office.
(5) Recommend to the Director of Finance the hiring of professional, technical, and support personnel by the Director of Finance as deemed necessary for the efficient operation of the Office of Indigent Defense Services.
(6) Keep and maintain proper financial records of the office and of the indigent defense services provided.
(7) Apply for and accept on behalf of the office any funds that may become available from government grants, gifts, donations, bequests, or otherwise from any source.
(8) Coordinate the services of the office with any and all federal, county, or private programs established to provide assistance to indigent defendants, and consult with professional bodies concerning the improvement of the administration of indigent defense services.
(9) Offer or approve training programs for attorneys and others involved in the legal representation of persons subject to this article.
(10) Approve and administer the processing of all claims from private counsel relative to appointments to indigent defense cases.
(11) Administer the processing of all contracts for contract counsel relating to handling indigent criminal cases.
(12) Administer the processing of all monetary allocations requested by and for a public defender’s office relating to the annual operation of the requesting public defender’s office.
(Act 2011-678, p. 1862, §4.)
There is created the Indigent Defense Review Panel which shall consist of five members who each shall serve a three-year term. Two members shall be appointed by the President of the Alabama State Bar, one member shall be appointed by the President of the Alabama Circuit Judges Association, one member shall be appointed by the President of the District Judges Association, and one member who shall be the President of the Alabama Lawyers Association, or his or her designee. They shall serve staggered terms. The initial appointee by the President of the District Judges Association shall serve a one-year term and the initial appointee of the President of the Circuit Judges Association shall serve a two-year term. The appointees shall be members of the association for which the appointing authority serves as president. Any decision of the director relating to delivery of indigent defense services may be appealed to the Indigent Defense Review Panel. The Indigent Defense Review Panel shall make a decision in a timely manner, which decision shall be deemed final. The membership of the Indigent Defense Review Panel shall be inclusive and reflect the racial and gender diversity of the state.
(Act 2011-678, p. 1862, §5.)
Any person holding the position of public defender or appellate defender on June 14, 2011, shall be entitled to serve the remainder of his or her term of office.
(Act 2011-678, p. 1862, §7.)
Any state or public employee who provides indigent defense services pursuant to this article shall be required to comply with the reporting requirements of the Alabama State Ethics Commission.
(Act 2011-678, p. 1862, §8.)
The director shall promulgate rules pursuant to the Alabama Administrative Procedure Act necessary to implement this article.
(Act 2011-678, p. 1862, §10.)
(a) The Legislature of Alabama hereby finds and determines that the responsible stewardship of its state-owned and leased real property is a proper governmental function of the State of Alabama. The Legislature finds that costs for maintenance, construction, and leasing of real property in the state government comprise a significant portion of available resources. The Legislature also finds that as one of the largest owners and operators of buildings in Alabama, the state is a major consumer of energy. It is therefore the intent of Act 2015-435 to establish centralized management of real property through leasing administration, facilities maintenance and management, and construction management that consists of expanded duties in existing divisions, as well as newly established divisions, within the Department of Finance. In establishing this centralization, it is further the intent of the Legislature to establish comprehensive real property asset management practices to achieve immediate and long term cost savings and cost avoidance, to increase operational efficiency, to optimize opportunities to move from leased spaces to state-owned spaces, and to establish office space standards. The Legislature also intends to incorporate energy efficient practices and behaviors into daily and long term operations of state government which will preserve natural resources, conserve energy and water, and reduce waste.
(b) All real property owned or leased by state departments, boards, bureaus, commissions, agencies, offices and institutions shall be managed and supervised by the Department of Finance through centralized divisions. These centralized organizations shall be responsible for the management of facilities, the management of leasing of real property, the management of construction projects, space management and the management of energy efficiency efforts.
(Act 2015-435, §§1, 2.)
For the purposes of this article, real property shall mean all real property and all interests pertaining thereon, now or hereafter owned, leased, or otherwise possessed, by the State of Alabama, its departments, board, bureaus, commissions, institutions, corporations, agencies and other state entities, and used for government purposes, unless specifically excluded by other provisions of this article.
(Act 2015-435, §8.)
All user fees collected, direct appropriations, and other funds received under the provisions of this article shall be deposited into a revolving fund in the State Treasury designated as the Real Property Management Fund, and the Director of Finance is authorized to make deposits and expenditures from time to time from such fund to carry out the purposes of this article. All balances of revenue, income, and receipts remaining in the Real Property Management Fund at the end of the fiscal year shall carry over to the next fiscal year and shall not revert to the State General Fund or any other fund under the provisions of Section 41-4-93. No funds shall be withdrawn or expended except as budgeted and allotted according to Sections 41-4-80 to 41-4-96 and Sections 41-19-1 to 41-19-12, inclusive, and only in amounts as stipulated in the general appropriations act or other appropriations acts.
(Act 2015-435, §9.)
(a) All real property owned or leased by state departments, boards, bureaus, commissions, agencies, offices, and other instruments of the state is subject to the requirements of this article and in Sections 41-4-2, 41-4-3, 41-4-261, and 41-9-141 except:
(1) All educational facilities including K-12, postsecondary, and higher education facilities.
(2) Facilities of the Legislative Branch of government.
(3) Facilities of the Judicial Branch of government.
(4) Facilities of the Retirement Systems of Alabama.
(5) Facilities of the Alabama Port Authority.
(6) Facilities of the State Military Department.
(7) Lands managed by the Lands Division of the Department of Conservation and Natural Resources.
(8) Right-of-way owned by the Department of Transportation.
(9) Facilities of the State Parks Division of the Department of Conservation and Natural Resources.
(10) Facilities and real property owned or leased by departments, boards, bureaus, commissions, agencies, offices, and other instruments of the state that do not receive any appropriation of state funds.
(11) Any real property, building, improvement, or facility managed or controlled by a state agency, if adherence with any requirement of this article would violate Sections 9-2-26 or 9-11-19, or any federal laws, regulations, or guidance, including, but not limited to, Title 50, Code of Federal Regulations, Part 80.
(12) Any unimproved real property owned, leased, or otherwise possessed or controlled by the state or any department, board, bureau, commission, agency, office, or other instrument of the state.
(13) Real property owned or leased by the Alabama Home Builders Licensure Board, the Alabama Housing Finance Authority, the Alabama Plumbers and Gas Fitters Examining Board, the Alabama Board of Heating, Air Conditioning, and Refrigeration Contractors, the Alabama Real Estate Commission, and the State Licensing Board for General Contractors.
(14) Other real property owned or leased by state departments, boards, bureaus, commissions, agencies, offices, and other instruments of the state if the exemption is agreed to by both the Director of Finance and the head of the state department, board, bureau, commission, agency, office, or other instrument of the state seeking the exemption and the exemption is found by them to be in the best interest of the State of Alabama.
(15) Real property owned or leased by self-funded licensing and regulatory boards, commissions, and agencies.
(b) Any entity that is provided an exception from the requirements of this article under subsection (a) may elect to waive that exception and have its real property and facilities become subject to this article by providing written notice of that election to the Director of Finance. Once an entity waives its exception, the entity may not rescind that waiver with respect to any real property or facilities that become subject to this article as a result of the entity’s waiver.
(c) The exceptions provided in subsection (a) do not alter or affect any of the provisions for compliance with a minimum building standards code or energy conservation building code as required by Sections 41-9-160 to 41-9-165 and Sections 41-9-171 to 41-9-174.
(d) The exceptions provided in subdivision (a)(1) do not alter or affect the compliance of educational facilities with the contract forms and procedures of the Division of Construction Management or the governing board of the applicable educational institution or state educational institution, as provided in Section 41-4-400.
(Act 2015-435, p. 1399, §10; Act 2017-442, §1(b)(6); Act 2021-476, §1.)
(a) There is created a Permanent Joint Legislative Oversight Committee on the Management of State-Owned and Leased Real Property. The committee shall consist of the Lieutenant Governor, the Speaker of the House of Representatives, three members of the House of Representatives appointed by the Speaker of the House, one of whom shall be a member of the House minority party, and three members of the Senate appointed by the President Pro Tempore of the Senate, one of whom shall be a member of the Senate minority party. Each member of the committee shall receive compensation and expenses pursuant to Section 49 of the Constitution of Alabama of 2022.
(b) It shall be the duty and function of the committee to review, analyze, and study the transfer, implementation, and performance of the requirements of this article.
(c) In reviewing the management of state-owned and leased real property, the Committee shall review the work of the Divisions of Facilities Management, Leasing Management, Construction Management, Energy Management, and Space Management.
(Act 2015-435, §11.)
Beginning on October 1, 2015, the Divisions of Space Management, Facilities Management, Leasing Management, Construction Management and Energy Management may charge user fees to any department, board, bureau, commission, agency, or office of the state for any services provided to them by these divisions.
(Act 2015-435, §12.)
The Director of Finance shall implement this article to achieve the intent expressed herein and shall have such full authority and power necessary to accomplish its objectives, including the following express powers, together with those that may be reasonably implied therefrom by the director in the exercise of his or her discretion:
(1) To organize the divisions in such fashion as the director determines will be most effective, to accomplish the objectives of this article.
(2) To employ such personnel as he or she deems necessary, subject to the provisions of the Merit System law, except as otherwise permitted by other provisions hereof. The State Personnel Board shall establish such positions as the director determines are needed for operations of the divisions.
(3) To engage such consultants, lawyers, accountants, real estate brokers, agents, and other professionals and service providers to provide advice, counsel, and such other services and to negotiate such arrangement for compensation as he or she determines to be in the best interest of the state, including payment in such fashion as is customary for the service providers industry.
(4) To determine the times for the orderly transfers of responsibilities and duties pursuant to this article.
(5) To develop such strategies, plans, and priorities that he or she determines necessary and appropriate.
(6) To establish such policies, procedures and rules to ensure that the intent of this article is realized.
(Act 2015-435, §14.)
There shall be established within the Department of Finance the Division of Facilities Management.
(a) The functions, powers, and duties of the Division of Facilities Management shall be as follows:
(1) To provide for the supervision, repair, maintenance, operation, and cleaning of all buildings, facilities, and structures owned or leased by the state.
(2) To develop a statewide maintenance plan to address maintaining and increasing operational efficiency of state buildings through ongoing and preventive maintenance, addressing deferred maintenance, and increasing building efficiency.
(3) To develop and implement minimal standards for the maintenance, operations, cleaning, and upkeep of state buildings, facilities, and structures.
(4) To study, develop, and implement methods of increasing building efficiency through operations and maintenance and to require all agencies to assist in such activities.
(5) To contract with other agencies, corporations, entities, or individuals for maintenance and operations, preventive maintenance, sourcing of facilities maintenance goods and services, and facilities inspection programs and activities for any department, board, bureau, commission, agency, or office.
(6) To perform such other functions and duties of the Department of Finance as may from time to time be assigned by the Director of Finance.
(b) The Division of Facilities Management shall be headed by and under the supervision, direction and control of an officer who shall be designated Director of Facilities Management. He or she shall be appointed, subject to the provisions of the state Merit Law, by the Director of Finance, with the approval of the Governor. The compensation of such officer shall be fixed in accordance with the pay plan of the state Merit System.
(Act 2015-435, §5.)
There shall be established within the Department of Finance the Division of Leasing Management.
(a) The functions, powers, and duties of the Division of Leasing Management shall be as follows:
(1) To formulate a statewide leasing plan for offices and other needed lease space for the various state departments, boards, bureaus, commissions, agencies, and offices managed by the division.
(2) To maintain and manage an inventory of all state leased property.
(3) To review and approve or disapprove all real property leases and to make recommendations to the Director of Finance.
(4) To develop and implement standards for real estate lease agreements.
(5) To administer and monitor all real estate lease agreements.
(6) To make recommendations and reports to the Director of Finance as to utilization of leased office space and future needs as well as other reports and recommendations as required by the Director of Finance.
(7) To contract with other agencies, corporations, entities or individuals for the management and the procurement of leasing of real property for any department, board, bureau, commission, agency, or office within the State.
(b) The Division of Leasing Management shall be headed by and under the supervision, direction and control of an officer who shall be designated Director of Leasing Management. He or she shall be appointed, subject to the provisions of the state Merit Law, by the Director of Finance, with the approval of the Governor. The compensation of such officer shall be fixed in accordance with the pay plan of the state Merit System.
(Act 2015-435, §6.)
There shall be established within the Department of Finance a Division of Energy Management.
(a) The functions, powers, and duties of the Division of Energy Management shall be, with respect to state-owned or state leased facilities, as follows:
(1) To formulate a statewide energy management program to promote energy conservation.
(2) To establish long-range plans in regard to state energy management needs.
(3) To study, develop, and implement methods of measuring and reporting energy efficiency and energy usage for state owned and leased facilities and to require all agencies to assist in such activities.
(4) To promulgate uniform standards of energy management and energy savings procedures and practices applicable to all state-owned or state leased facilities.
(5) To develop energy conservation practices in the design, construction, renovation, operation, furnishing, equipping, and maintenance of state facilities.
(6) To assist and advise the Director of Finance on cost savings methods through energy management.
(7) To contract with other agencies, corporations, entities, or individuals to make studies, surveys, investigations, or recommendations for energy management or energy savings procedures and practices.
(8) To make rules and regulations necessary to implement the provisions of this article.
(9) To perform such other functions and duties of the Department of Finance as may from time to time be assigned by the Director of Finance.
(b) The Division of Energy Management shall be headed by and under the supervision, direction and control of an officer who shall be designated Director of Energy Management. He or she shall be appointed, subject to the provisions of the state Merit Law, by the Director of Finance, with the approval of the Governor. The compensation of such officer shall be fixed in accordance with the pay plan of the state Merit System.
(Act 2015-435, §7.)
(a) There shall be established within the Department of Finance the Division of Construction Management. The division may on behalf of the State of Alabama do any or all of the following:
(1) Acquire lands by purchase, condemnation, or otherwise.
(2) Plan for the construction, repair, remodeling, enlargement, renovation, furnishing, refurnishing, improvement, or relocation of buildings, structures, and facilities for state departments, boards, bureaus, commissions, agencies, and offices.
(3) Set policies, procedures, and guidelines for the design, construction, renovation, equipment, furnishing, maintenance, and improvement of all property now owned or hereafter acquired by the state or any institution or agency thereof.
(4) Construct, repair, equip, remodel, enlarge, renovate, furnish, refurnish, improve, and locate buildings, structures, and facilities for the use of the State of Alabama or any of its departments, boards, bureaus, commissions, agencies, and offices as in its judgment shall be necessary for state, institutional, or agency purposes.
(5) Enter into contracts or consult with architects, engineers, contractors, suppliers, and others as needed to perform any of the functions provided for in this subsection.
(6) Receive any monies, land, or equipment donated, appropriated, or otherwise acquired by it for the purposes provided for in this subsection.
(7) Charge and provide for collection of user fees for its services. The fees established shall take into consideration the costs of operating the division.
(8) Make and adopt all necessary rules, regulations, and plans for its own guidance and for the proper conduct of the duties imposed upon it.
(9) Review and approve or disapprove all proposed construction, renovation, or improvement projects for constructability, durability, and maintainability and ensure the efficient use and availability of funds.
(10) Adopt uniform standards for the construction and renovation of all state-owned facilities.
(11) Review and administer all design and construction contracts for all state-owned facilities as provided for in this subsection.
(12) Submit to the Director of Finance the priorities and recommendations for the repair, renovation, capital improvement, and planning needs of state departments, boards, bureaus, commissions, agencies, and offices.
(13) Review and approve or disapprove all state bond expenditures approved for construction.
(14) Review all emergency project declarations and aid in the timely execution of emergency projects.
(b) The Division of Construction Management shall be headed by and under the supervision, direction, and control of an officer who shall be designated director of construction management. He or she shall be appointed, subject to the provisions of the state Merit Law, by the Director of Finance, with the approval of the Governor. The compensation of such officer shall be fixed in accordance with the pay plan of the state Merit System.
(c) Effective October 1, 2015, the Building Commission established in Section 41-9-140 is abolished. All powers, authority, and jurisdiction of the Building Commission, including, but not limited to, those authorities currently established in Sections 16-1-2.1 and 16-1-2.2, 16-16-10(o)(2) and (p), 34-14B-1 to 34-14B-10, 39-2-2(f)(1), 41-9-160 to 41-9-165, 41-9-170 to 41-9-174, 41-9-243, 41-9-542, 41-10-271, 41-10-364, and 41-16-72(3)a. through f. are hereby transferred to the Division of Construction Management within the Department of Finance.
(d)(1) Notwithstanding this article or any other law to the contrary, the powers, authority, and jurisdiction granted to the Division of Construction Management within this section does not extend to property that is part of an educational institution or a state educational institution or any existing, planned, or future ancillary improvement on that property, including, but not limited to, design or construction projects either partially or fully funded by the Public School and College Authority. The Division of Construction Management shall retain its authority to adopt a uniform minimum building standards code for the construction and renovation of facilities at any educational institution or state educational institution. For purposes of this article and Sections 16-1-2.4 and 16-1-2.5, “educational institution” and “state educational institution” shall have the same meaning as provided in Section 16-17-1, but shall not include K-12 schools or public four-year institutions of higher education.
(2) Except as otherwise provided in subdivision (1), any powers, authority, and jurisdiction granted to the Division of Construction Management within this section relating to an educational institution or state educational institution, including, but not limited to, those relating to design or construction projects either partially or fully funded by the Public School and College Authority, are hereby transferred to the governing board of each institution, as provided in Section 16-1-2.4.
(e) Notwithstanding any other provisions of this article, all individuals employed with the Building Commission on October 1, 2015, shall be transferred to the Department of Finance.
(Acts 1945, No. 128, p. 116, §2; Acts 1993, No. 93-344, p. 533, §1; §41-9-141; Act 2015-435, p. 1399, §§3, 4, 15; Act 2021-476, §1; Act 2022-367, §1.)
(a) The Division of Construction Management within the Department of Finance shall provide for the submission and signing of documents via electronic means, at no additional cost to the party submitting or signing the document.
(b) No later than November 30 of each year, the Division of Construction Management shall submit a report to the Speaker of the House, the Speaker Pro Tempore, the Lieutenant Governor, the President Pro Tempore of the Senate, and the Majority Leader and Minority Leader of both the House of Representatives and the Senate. The report shall include all of the following, as they relate to each plan or project proposal submitted to the division during the preceding fiscal year relating to a public K-12 school:
(1) The name of the public K-12 school at which the project will take place.
(2) The final cost of the project.
(3) The number of state building code violations of a project as discovered by the field inspection of the construction improvements by the division, itemized by categories, including, but not limited to, accessibility for disabled persons, fire safety, and life safety.
(4) For each document submitted to the division for review or approval, the time elapsed between the receipt of the document and the return of the document to the submitting party or other appropriate response by the division.
(Act 2021-476, §3; Act 2022-367, §1.)
Nothing in Act 2021-476 shall revoke, limit, or otherwise diminish any existing state law or rule requiring that design professionals, including professional engineers, land surveyors, and architects, be used to provide project design and oversight for any project currently being reviewed and inspected by the Division of Construction Management. The project design oversight transferred to any entity pursuant to Act 2021-476 shall continue to meet all applicable state, local, and federal codes, laws, and regulations.
(Act 2021-476, §7.)
For purposes of this part, the following terms have the following meanings:
(1) CONSTRUCTION INDUSTRY CRAFT TRAINING FEES. Revenues received by the state in the form of federal, state, local, or private sector grants for the purpose of funding construction industry craft training programs and fees imposed under Section 41-4-413. This subdivision may not be construed as authorizing the collection of fees from any licensed home builder, as defined in Chapter 14A of Title 34; any subcontractor working on a residential construction site including renovations to any residential structure; or from any person or entity specifically exempt under Chapter 14A of Title 34, except for subdivision (3) of Section 34-14A-6.
(2) CONSTRUCTION INDUSTRY CRAFT TRAINING PROGRAM. A program to be administered within the Division of Construction Management of the Department of Finance.
(Act 2015-308, §1.)
The Craft Training Fund is created for the benefit of the State of Alabama and its citizens and shall continue to exist as a special fund in the State Treasury and shall be funded with the construction industry craft training fees and administered solely in accordance with Section 41-4-412 and the decisions of the Craft Training Board. The revenue received by the fund shall be invested by the State Treasurer in permitted investments until the Craft Training Board uses money for the purposes established in that section. Earnings on permitted investments shall remain a part of the fund.
(Act 2015-308, §2.)
(a) It is the intent of the Legislature to establish and provide for a coordinated effort between the construction industry and institutions of higher education and other entities, including, but not limited to, union training programs, to enhance the availability and quality of programs which promote construction industry craft training and education, and thereby enhance the availability and competence of the work force for supporting the industry.
(b) In order to provide for efficient, competent, and resourceful construction industry craft training programs that will deliver the knowledge and skills necessary for persons to learn and meet the skill requirements for a craft and career in the construction industry trades and thereby enhance the development of a quality labor pool to support the construction industry of this state, there is established within the Division of Construction Management of the Department of Finance, a program to be known as the Alabama Construction Industry Craft Training Program. The program shall be managed and governed by the Craft Training Board which shall consist of seven members selected as follows:
(1) Two voting members appointed by the Governor from a list of six members, or member representatives, of the Associated Builders and Contractors of Alabama, Incorporated, or its successor, submitted to the Governor by the Associated Builders and Contractors of Alabama, Incorporated.
(2) Two voting members appointed by the Governor from a list of six members, or member representatives, of the Associated General Contractors of America, Incorporated, or its successor, submitted to the Governor by the Associated General Contractors of America, Incorporated.
(3) One voting member appointed by the Governor from a list of three members, or member representatives, of the Subcontractors Association of Alabama, or its successor, submitted to the Governor by the Subcontractors Association of Alabama.
(4) One voting member appointed by the Governor from a list of three members, or member representatives, of the Birmingham Construction Industry Authority, or its successor, submitted to the Governor by the Birmingham Construction Industry Authority.
(5) One voting member to be appointed by the Governor from a list of three members, or member representatives, of the Construction Users Roundtable, or its successor, submitted to the Governor by the Construction Users Roundtable.
(c) When a craft training board member resigns or otherwise relinquishes membership in the organization that recommended his or her appointment by the Governor, the resignation or relinquishment shall automatically result in forfeiture of membership on the board. Any vacancy on the board shall be filled by appointment by the Governor upon the recommendation of the relevant organization for the remainder of the unexpired term.
(d) Each board member of the Craft Training Board shall serve for a term of three years or until a successor is appointed, qualified, and assumes office. The terms of all board members serving on March 8, 2018, shall expire October 15, 2018. Board members shall be eligible for reappointment, but shall not serve more than two consecutive terms. All board members appointed to fill terms beginning October 16, 2018, shall serve staggered terms as follows: Two board members shall be appointed to serve a term of one year expiring October 15, 2019; two board members shall be appointed to serve a term of two years expiring October 15, 2020; and three board members shall be appointed to serve a term of three years expiring October 15, 2021. All board members appointed to the board thereafter shall be appointed for a term of three years. At the first meeting, the board shall elect its chair and officers. Thereafter, the board shall determine its meeting schedule. The board shall meet at least quarterly. No member shall draw any salary for any service he or she may render or for any duty he or she may perform in connection with the board, but shall be entitled to reimbursement of reasonable expenses incurred that are directly related to the duties in serving as a member of the board. The membership of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural and economic diversity of the state. The board may also appoint geographically oriented advisory committees and invite local employers and employees in the construction industry to relate specific labor force problems that may be solved by the craft training program. The advisory committees may be composed of individuals who are not craft training board members.
(e) In addition to any other power established pursuant to this part, the craft training board shall have the following powers to be exercised in its discretion:
(1) To develop curricula for use in craft training programs.
(2) To establish forms, criteria, guidelines, and procedures regarding construction industry craft training programs and procedures to be used in requesting appropriations of funds from the Craft Training Fund.
(3) To solicit and receive from institutions of higher education and other entities, including, but not limited to, union training programs, applications for use of monies in the Craft Training Fund, to be used in the implementation of craft training programs and in accordance with this part.
(4) To disburse funds from the Craft Training Fund consistent with this section and which the Craft Training Board deems appropriate and under such conditions and terms as the Craft Training Board deems appropriate.
(5) To provide grants to educational, governmental, nonprofit, community-based, workforce development, economic development, and other organizations and associations engaged in the education, training, and professional development of persons engaged in activities leading to the furtherance of careers in nonresidential construction in accordance with the purposes of this part and which the Craft Training Board deems appropriate, and under such conditions and terms as the Craft Training Board deems appropriate.
(f) The Craft Training Board shall have exclusive control over the expenditure of all funds in the Craft Training Fund, as well as the exclusive authority to exercise the powers specifically listed in subsection (e). A majority of the members of the Craft Training Board shall constitute a quorum for the transaction of any and all business of the Craft Training Board. The director, technical staff, and support personnel of the Division of Construction Management of the Department of Finance shall implement the resolutions and decisions of the Craft Training Board. The Craft Training Board shall be responsible for reimbursing the Division of Construction Management of the Department of Finance, from the Craft Training Fund the costs it incurs in order to administer the program.
(Act 2015-308, p. 936, §3; Act 2018-181, §1.)
(a) In order to fund the construction industry craft training program, a fee in the amount of one dollar ($1) per each one thousand dollars ($1,000) of construction authorized on any nonresidential construction building permit issued by any county, city, town, or other political subdivision of this state is imposed.
(b) The office of the political subdivision issuing the permit shall be responsible for collecting the fee and remitting it monthly to the Division of Construction Management of the Department of Finance.
(c) There shall be appropriated to the Division of Construction Management of the Department of Finance as a first charge against the revenues from the fee imposed by this section an amount that will offset its actual costs in the administration and regulation of this fee. The net proceeds received pursuant to this section shall be deposited in the Craft Training Fund and shall be used exclusively at the direction of the Craft Training Board.
(d) The proceeds from fees collected and deposited into the craft training fund are appropriated for the purposes of this part, to be expended, in whole or in part, by the Craft Training Board.
(Act 2015-308, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §6.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §3; Acts 1961, No. 85, p. 100.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §5.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §8; Acts 1951, No. 353, p. 640, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Act 2011-703, p. 2175, §§1-7.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §10.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1953, No. 791, p. 1085, §§1, 2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 777, p. 1393; Acts 1980, No. 80-704, p. 1422.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §9.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §11.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1950, 5th Ex. Sess., No. 62, p. 124; Acts 1951, No. 917, p. 1568.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 778, p. 1394.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §12.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §13.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §14.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §15.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §16.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §17.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §18; Acts 1992, No. 92-625, p. 1481, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §19.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1947, No. 351, p. 231, §20.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-129 EFFECTIVE FEBRUARY 22, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1951, No. 285, p. 570; Acts 1980, No. 80-768, p. 1598.)
(a) There is created the Department of Examiners of Public Accounts, composed of any divisions the chief examiner determines to be necessary.
(b) The office of the department shall be located in Montgomery, Alabama, but the department may conduct examinations and audits and establish offices throughout the state.
(Act 2018-129, §1.)
(a) The affairs of the department shall be administered by the Chief Examiner of Public Accounts, whose actions shall be supervised and controlled by the Legislative Committee on Public Accounts. The chief examiner shall be selected and appointed by the Legislative Committee on Public Accounts to serve for a term of five years and until a qualified successor is appointed.
(b)(1) A vacancy in the office of chief examiner arising from any cause shall be filled by the Legislative Committee on Public Accounts. The person so appointed may serve through the next regular or special session of the Legislature until confirmed as provided in subdivision (2).
(2) The appointment of the chief examiner shall be subject to confirmation by the Senate at the first regular or special session of the Legislature held after the appointment; provided, however, that this subsection does not affect the right or authority of the chief examiner to act pending confirmation or rejection.
(c) The chief examiner may be removed from office by joint resolution of the Legislature for cause provided in writing and supported by sufficient, competent evidence referred by the Legislative Committee on Public Accounts.
(Act 2018-129, §1.)
(a) The chief examiner shall be selected with consideration of his or her training, experience, capacity, and fitness for the duties as executive and administrative head of the Department of Examiners of Public Accounts.
(b)(1) The chief examiner may not have been a partisan candidate for political office within four years preceding his or her appointment.
(2) The chief examiner is not eligible for appointment or election to any state, county, or municipal office, nor shall he or she be a member of a committee of any political party during the term for which he or she is appointed. Violation of this subsection shall automatically result in removal from the office of chief examiner.
(Act 2018-129, §1.)
The chief examiner, before entering upon the duties of his or her office, shall take the oath prescribed by Section 279 of the Constitution of Alabama of 2022, and shall give bond for the faithful performance of his or her duties in the amount of one hundred thousand dollars ($100,000). The oath and the bond, which must be approved by the Legislative Committee on Public Accounts and paid for from funds available to the Department of Examiners of Public Accounts, shall be filed with the Secretary of State. The chief examiner shall be a commissioned officer of the state.
(Act 2018-129, §1.)
(a) The chief examiner shall be the executive and administrative head of the department and shall have the power and duty to do all of the following subject to review and oversight by the Legislative Committee on Public Accounts:
(1) Exercise general supervision of and make regulations for the governance of the department.
(2) Prescribe uniform rules pertaining to investigations, examinations, audits, and departmental hearings.
(3) Supervise the fiscal affairs and responsibilities of the department.
(4) Appoint and remove the staff, officers, and employees of the department, subject to the Merit System Act and the rules issued pursuant thereto.
(5) Keep an accurate and complete record of all proceedings of the department; record and file all bonds, reports, and other documents; and assume responsibility for the custody and preservation of all papers and documents of the department.
(6) Make recommendations and an annual report to the Governor and to the Legislative Committee on Public Accounts concerning the condition, operation, functioning, and findings of the department.
(7) Invoke any legal, equitable, or special remedy for the enforcement of orders or this chapter.
(8) Notwithstanding any other law to the contrary, exercise any other power necessary to expedite the making of thorough and accurate audits of the accounts of all individuals or entities receiving or disbursing public funds.
(9) Examine and audit the books, accounts, and records of all state and county offices, officers, bureaus, authorities, boards, commissions, corporations, departments, and agencies.
(10) a. Prepare, in consultation with the Association of County Commissions of Alabama, except with respect to county boards of education, such bookkeeping, accounting, and reporting systems, procedures, records, and forms as may be necessary to install a uniform system of accounting and reporting in the various county offices. This paragraph does not authorize the Department of Examiners of Public Accounts to prescribe specific accounting software to be utilized in various county offices.
b. Prepare such bookkeeping, accounting, and reporting systems, procedures, records, and forms as may be necessary to install a uniform system of accounting and reporting in the various state offices.
(11) Report to the Legislative Committee on Public Accounts, the Governor, and the Contract Review Permanent Legislative Oversight Committee every expenditure or contract found to have been made in violation of law.
(12) Prepare, for use by the county boards of education, bookkeeping, accounting, and reporting systems, procedures, records, and forms necessary for the installation of a uniform system of accounting and reporting by the several county boards of education; install the bookkeeping, accounting, and reporting systems for the county boards of education; and exercise and maintain continuing supervision thereof.
(13) Prepare and furnish to the chairs of the county commissions of the several counties of the state a fiscal statement of each county, as of the end of each fiscal year, the statement showing receipts, disbursements, outstanding indebtedness, and securities owned of and by each of the several counties.
(b) All powers and duties vested in the chief examiner may be delegated to his or her appointed assistants, staff, deputies, and employees, but the chief examiner shall be responsible for their actions.
(Act 2018-129, §1.)
(a) For the purposes of this section, the following words have the following meanings:
(1) CHIEF EXAMINER. The Chief Examiner of Public Accounts.
(2) OVERPAYMENT. Any payment in excess of amounts due and includes failure to meet eligibility requirements, failure to identify third party liability where applicable, any payment for an ineligible good or service, any payment for a good or service not received, duplicate payments, invoice and pricing errors, failure to apply discounts, rebates, or other allowances, failure to comply with contracts or purchasing agreements, or both, failure to provide adequate documentation or necessary signatures, or both, on documents, or any other inadvertent error resulting in overpayment.
(3) RECOVERY AUDIT. A financial management technique used to identify overpayments made by a state agency with respect to individuals, vendors, service providers, and other entities in connection with a payment activity.
(4) RECOVERY AUDITOR. A private contractor with recovery audit expertise.
(5) STATE AGENCY. A department, office, board, authority, commission, bureau, division, institution, state institution of higher education of this state, or any other state entity that makes payments of state funds.
(b) The chief examiner may contract with recovery auditors to conduct and perform recovery audits of payments made by state agencies to individuals, vendors, service providers, and other entities. Any audit conducted pursuant to this subsection of any payment made by a state agency to an electric utility regulated by the Public Service Commission is limited to the three-year period following the date of the payment to be audited. Overpayments between one state agency and another state agency are not subject to recovery under this section. Any contract shall be entered into in accordance with the purchasing provisions of the state. The contracts may provide for reasonable compensation for services provided under the contract, including compensation determined by the application of a specified percentage of the total amount recovered because of the recovery auditor’s audit activities. In no event shall the compensation to a recovery auditor exceed 15 percent of the amount recovered because of the recovery auditor’s audit activities. A recovery audit of a payment may not be made within 90 days of the date of the payment. No payment shall be due a recovery auditor from any payment identified as an overpayment until the overpayment has been recovered and credited to the special fund established in this section.
(c)(1) A state agency whose payments are being audited under a recovery contract pursuant to this section shall provide a recovery auditor with any payment-related information as determined by the chief examiner, including any confidential information that is necessary for the performance of the audit or the recovery audit of an overpayment, to the extent the agency is not prohibited from sharing the information under an agreement with another state or the federal government.
(2) A recovery audit shall be complementary to any other financial management process and shall not supplant any existing or future state audit or program integrity activity by a state agency.
(3) A recovery auditor acting under a contract authorized by this section, and each employee or agent of the recovery auditor, is subject to all prohibitions against the disclosure of confidential information obtained from the state in connection with the contract that applies to any official or employee of the applicable state agency. A recovery auditor acting under a contract authorized by this section or an employee or agent of the recovery auditor who discloses confidential information in violation of a prohibition made applicable to the recovery auditor under this section is subject to prosecution by the Attorney General in any court within this state.
(d)(1) Recovery audits shall be performed on payments to individuals, vendors, service providers, and other entities made by each state agency as determined by the chief examiner. Notwithstanding the foregoing, the recovery audits provided for in this section shall not be performed on any entity, vendor, or service provider that is subject to audits under the federally mandated Recovery Audit Contractor Program adopted by the Alabama Medicaid Agency under Section 1902(a) (42) of the Social Security Act, as amended.
(2) Recovery audits performed on individuals, vendors, service providers, and other entities are limited to the three-year period following the date of the payment to be audited. A recovery audit must be completed within 12 months after notification to the entity that a recovery audit will be performed.
(3) Based on a request by the recovery auditor, the Legislative Committee on Public Accounts, for good cause shown, may provide one extension of the time to complete a recovery audit not to exceed 60 days. A recovery auditor must make the request for an extension in writing setting forth the circumstances necessitating the extension not less than 30 days prior to the expiration of the 12-month period and shall deliver a copy of the request to the subject of the recovery audit.
(4) Recovery audits that utilize sample analysis shall be performed in accordance with generally accepted industry standards for determining statistically valid sampling techniques and sampling periods. An audit period cannot be reopened after the initial audit is completed. An audit’s sample size should be mutually determined by the participating parties before the audit commences.
(e)(1) A special fund is established within the State Treasury for the deposit of all funds generated from recovery audits conducted pursuant to this section after payment to the Department of Examiners of Public Accounts for actual costs of time and effort devoted to the recovery audit as determined by the chief examiner and of any percentages due under the contract to perform the audit. Amounts due a federal agency by a state agency as a result of a recovery audit shall be disbursed from the fund after certification by the agency of the amount due and verification of the amount by the chief examiner. Any amounts recovered that were appropriated for funds constitutionally earmarked shall be appropriated in accordance with law. Any amounts remaining in the fund shall be subject to expenditure for any lawful purpose through appropriation by the Legislature.
(2) A state agency shall compute the amount of federal money due the federal government from any federal money that is recovered through a recovery audit conducted under this section. The state agency shall compute the amount due in accordance with the rules of the federal program through which the agency received the federal money.
(f) Recovery audit reports shall be public records and released by the Department of Examiners of Public Accounts in accordance with normal report release procedures. Copies shall be available in electronic form on the department’s website.
(g) If the entity audited by the recovery auditor disagrees with the results or report of the recovery audit, the entity and the state may agree to arbitration of the dispute pursuant to Division 1 of Article 1 of Chapter 6 of Title 6. The compensation of the arbitrators and the cost of the arbitration shall be paid by the entity audited and the recovery auditor in amounts that are in proportion to the ruling of the arbitrators regarding the correctness of the recovery auditor’s report on an overpayment. This provision does not limit or restrict the powers of the Department of Public Accounts or the Attorney General to recover any overpayment.
(Act 2018-129, §1.)
(a) The chief examiner, with the approval of the Legislative Committee on Public Accounts, may appoint an assistant chief examiner, who shall exercise any and all authority and perform any and all duties as the chief examiner may prescribe.
(b)(1) Subject to the requirement in subdivision (2), the assistant chief examiner shall be selected with consideration of his or her training, experience, capacity, and fitness for the duties as assistant chief examiner.
(2) If the chief examiner is not a certified public accountant licensed in this state, the assistant chief examiner shall be a certified public accountant licensed in this state.
(3) The assistant chief examiner shall be in the unclassified service.
(Act 2018-129, §1.)
(a) The salary of the chief examiner shall be set by the Legislative Council.
(b) The salary of the assistant chief examiner shall be fixed by the chief examiner, with approval of the Legislative Council as provided in Section 29-6-7. The salary of the assistant chief examiner shall not be subject to Section 36-6-6.
(c) The compensation for the chief examiner and the assistant chief examiner shall be paid out of funds appropriated to the Department of Examiners of Public Accounts and in the same manner as salaries of other officers and employees are paid.
(Act 2018-129, §1.)
(a)(1) The employees of the department shall be members of the classified service of the Merit System unless otherwise specified by law.
(2) An employee’s failure to maintain technical or professional qualifications shall be good cause for severance.
(b) The chief examiner shall appoint assistants, deputies, and employees as may be necessary for the sufficient operation of the department. Assistant and deputy examiners shall be required to give bond for the faithful performance of their duties in the penal sum of fifty thousand dollars ($50,000).
(c) The chief examiner may appoint three unclassified division or unit heads. The salaries of the division or unit heads shall be fixed by the chief examiner, upon approval of the Legislative Council as provided in Section 29-6-7, and shall not be subject to Section 36-6-6.
(Act 2018-129, §1.)
(a) The Attorney General and the district attorneys of the several circuits shall render to the chief examiner, without additional compensation, legal services as he or she may request.
(b) Whenever the legality of any payment or shortage is involved in an examination, the chief examiner shall submit the facts in writing to the Attorney General and request his or her opinion as to the applicable law. The Attorney General shall immediately provide a copy of each opinion affecting any state or county officer in the collection or disbursement of public funds to the officer affected, to the chief examiner, and to the Governor.
(Act 2018-129, §1.)
(a) The chief examiner shall appoint a chief legal counsel for the department pursuant to subsection (b) of Section 36-15-5.1.
(b) The chief legal counsel shall be of good character and qualified by training and experience to perform the duties of his or her office.
(c) The chief examiner may appoint two assistant legal counsels for the department pursuant to subsection (b) of Section 36-15-5.1, and may appoint additional assistant legal counsels, as approved by the Legislative Committee on Public Accounts. The assistant legal counsels for the department shall be commissioned as assistant attorneys general, but shall devote their entire time to the affairs of the department.
(Act 2018-129, §1.)
(a)(1) The books, records, vouchers, and accounts of every state and county office, officer, bureau, board, commission, corporation, institution, department, and agency shall be examined and audited at least once every two years and more frequently if deemed necessary by the chief examiner.
(2) The books, records, vouchers, and accounts of any state and county office, officer, bureau, board, commission, corporation, institution, department, and agency shall be examined and audited upon a request by the Legislative Committee on Public Accounts. Notwithstanding any other law to the contrary, the books, records, vouchers, and accounts of municipal boards of education or any state entity holding assets within or outside this state or within or outside the State Treasury may be examined and audited upon request of the committee.
(b) Examinations and audits required under this chapter shall be made at the expense of the state.
(c) A person who knowingly makes any materially false, fictitious, or fraudulent statement or representation in any audit or in providing any information under this chapter shall be guilty of a Class C felony.
(d) A state or county office, officer, bureau, board, commission, corporation, institution, department, or agency subject to audit or examination under this section may not contract for or arrange to have an independent financial audit unless the firm to provide the auditing services is authorized and approved by the chief examiner. Any audit or examination that is authorized by the chief examiner is subject to review by the chief examiner prior to finalization of the audit and public release. Notwithstanding the foregoing, this subsection does not apply to an independent financial audit of public pension funds or public health insurance plans as otherwise authorized by law.
(e) An institution of higher education governed by a board of trustees, in consultation with the chief examiner, may select a firm to provide auditing services. Any audits conducted are subject to review by the chief examiner.
(Act 2018-129, §1.)
(a) This section shall be known and may be cited as the Municipal Audit Accountability Act.
(b) Any provision of law to the contrary notwithstanding, if the Department of Examiners of Public Accounts suspects fraud or mismanagement of funds by a municipality, the department may examine the books, records, vouchers, and accounts of the municipality.
(c) If the mayor of a municipality does not provide for an audit or examination to be conducted on the municipality as required by law, or when fraud or mismanagement of funds by the municipality is suspected, a majority of the members of the governing body of the municipality, by resolution, may submit a written request to the department for an examination by the department of the books, records, vouchers, and accounts of the municipality. The department, pursuant to a cursory review, shall determine whether an in-depth audit by the department is necessary as required by law or by evidence of fraud or mismanagement, and, if warranted by the department, shall conduct a formal audit or examination during the six month period following that determination.
(d) If a municipality has an independent audit or examination of the books, records, vouchers, and accounts of the municipality conducted, the governing body of the municipality, upon receipt of the final report of the independent audit or examination, shall provide a copy of the report to the department within 60 days after completion. The department shall establish a repository of independent audit reports received; provide, on a weekly basis, notice to the public of reports received; and, upon request, provide copies of reports received to the public.
(e) Any municipality in which the municipal officer or municipal governing body fails or willfully refuses to have a financial audit conducted, or to comply with subsection (d), shall be subject to an audit by the department. The department shall assess the costs of the audit against the municipality. Before performing an audit under this subsection, the department shall notify the municipality of its intent to perform an audit. The municipality shall have 30 days from the date of the notice to file a completed audit report or, if an audit is currently pending, provide the department with the name and address of the independent public accountant retained to perform the audit and an estimated time for completion.
(f) If the department determines that a municipal officer or municipal governing body has failed or willfully refused to have a financial audit conducted or to comply with subsection (e), unless the municipal officer or municipal governing body can demonstrate to the department that it has made a good faith effort to perform as required by this section, the department shall levy a penalty of up to two hundred fifty dollars ($250) per week for each week the failure or refusal continues. Any penalties imposed and collected pursuant to this subsection shall be paid into the State General Fund.
(Act 2019-449, §1.)
(a) After June 14, 2023, beginning after the close of the then current fiscal year, any nonprofit corporation organized under the laws of this state as a nonprofit corporation that is not incorporated pursuant to Title 11, which provides water service to its members or the public, may be audited or examined one time by the Department of Examiners of Public Accounts in the same manner as provided in Chapter 5A of Title 41. The department may charge a reasonable fee for the audits.
(b) After June 14, 2023, beginning after the close of the then current fiscal year, any nonprofit corporation that is not incorporated pursuant to Title 11, which provides water service to its members or the public, may be audited or examined one time in addition to the audit provided in subsection (a) by the Department of Examiners of Public Accounts in the same manner as provided in this chapter, if the department suspects fraud or mismanagement of funds by the nonprofit corporation. The department may charge a reasonable fee for the audits or examinations.
(c) This section does not apply to or affect any public water supply system, waterworks plant, or water distribution system owned or operated by a municipality or county, or by a public corporation, board, or other entity organized, created, or incorporated pursuant to Title 11.
(Act 2022-378, §1; Act 2023-465, §1.)
(a) For purposes of this section, “board” means a board defined in Section 36-14-17.
(b) The Department of Examiners of Public Accounts shall review the expiration dates of terms of board members for statutory authority and compliance and report discrepancies to the chair of the board or appointing authority of a board member.
(c) The Department of Examiners of Public Accounts, in preparing audits of boards for Sunset reports, or for any other purpose, shall examine and summarize compliance by the board with Section 36-14-17.
(Act 2022-355, §3.)
The chief examiner shall compile and make available for distribution both of the following:
(1) The rules of the department.
(2) Other materials as the chief examiner deems relevant and suitable for the effective administration of this chapter.
(Act 2018-129, §1.)
(a) The chief examiner may issue subpoenas to compel the attendance of witnesses and production of papers necessary as evidence in connection with a dispute, claim, examination, audit, or the administration of this chapter.
(b) In case a person refuses to comply with a subpoena, the chief examiner may invoke the aid of any circuit court with jurisdiction in order that the testimony or evidence be produced. Upon proper showing, the court shall issue a subpoena or order requiring the person to appear before the chief examiner or his or her representative and produce all evidence and give all testimony relating to the matter at issue.
(c) A person failing to comply with an order may be punished by the court for contempt.
(Act 2018-129, §1.)
The chief examiner, assistant chief examiner, chief legal counsel, and deputy examiner may administer oaths, take depositions, and certify official acts.
(Act 2018-129, §1.)
(a) There shall be a Legislative Committee on Public Accounts to exercise general supervision and control over the actions of the Chief Examiner and the Department of Examiners of Public Accounts.
(b) The Legislative Committee on Public Accounts shall have 12 members. Five members shall be elected by the House of Representatives from its membership and five members shall be elected by the Senate from its membership. The President Pro Tempore of the Senate shall be a member of the committee and the chair of the committee. The Speaker of the House of Representatives shall be a member of the committee and the vice-chair of the committee. Beginning January 1, 2020, the President Pro Tempore of the Senate and the Speaker of the House shall alternate service as chair and vice-chair of the committee every two years. Members of the committee shall be elected at the organizational session of each quadrennium and shall hold office as long as they remain legislators and until their successors are elected.
(c) Vacancies shall be filled by the remaining members of the committee from members of the House of Representatives or the Senate, depending upon in which representation the vacancy occurs, until the next organizational, regular, or special session of the Legislature, at which time the vacancies shall be filled by the appropriate house.
(Act 2018-129, §1; Act 2023-224, §1.)
(a) The Legislative Committee on Public Accounts shall meet annually, and at other times as called by the chair of the committee, at the capital, for the purpose of receiving the report and recommendations of the chief examiner. The chief examiner shall attend the meetings and give evidence, make reports, and perform duties as the committee may direct.
(b) Annual meetings of the committee may not be held for more than 10 days. Special meetings not exceeding 10 days in total during any year may be called by the chair and must be called by him or her within 10 days after receipt of a written request by the chief examiner, a majority of the committee, or the Governor.
(c) Members of the committee shall be entitled to their legislative per diem and travel expenses for each day in attendance at a meeting of the committee in accordance with Amendment 871 of the Constitution of Alabama of 1901, now appearing as Section 49 of the Code of Alabama of 2022, as amended.
(Act 2018-129, §1.)
The Legislative Committee on Public Accounts shall report its findings and recommendations concerning the work of the Department of Examiners of Public Accounts to the Senate and House of Representatives at each session of the Legislature and to the Governor.
(Act 2018-129, §1.)
The department shall make a sworn report of its findings within a reasonable time after an audit is completed. The chief examiner shall certify one copy of each report to the circuit judge of the county in which the office examined is located. The judge shall refer to the report in his or her next oral charge to the grand jury. The report shall be entered in full upon the minutes of the court. The reports shall be public records and prima facie evidence of what they charge. Working papers used in the preparation of the reports shall be subject to and treated as being under Section 12-16-216, and shall be subject to review by a court of competent jurisdiction, and upon a substantiated request, may be shared with the local district attorney, the Attorney General, and the Ethics Commission. One copy of each report shall be certified to the Governor.
(Act 2018-129, §1.)
(a) The chief examiner shall keep a docket in which shall be entered, in favor of the state, county, or municipality, as the case may be, cases against persons who have not properly and lawfully accounted for all sums of money coming into their hands as public officers, agents, or employees. If an amount found to be due the state, county, or other governmental unit or agency as a result of an examination or audit is not settled upon demand by the examiner, the chief examiner shall immediately issue notice to the person in default and require him or her to appear on a day certain and show cause why the amount due should not be paid. If the defaulting officer fails to settle or to show just cause why the amount due should not be collected, the chief examiner shall certify such facts and the amount due the state to the Attorney General, and the Attorney General shall bring a civil action in the name of the state against the officer and his or her bondsmen. If the amount due by the officer is in favor of the county or municipality, then the chief examiner shall certify to the district attorney of the circuit the amount or amounts so due, and the district attorney shall proceed to collect the amount by a civil action against the officer and his or her bondsmen.
(b)(1) If an overpayment, as defined in Section 41-5A-6, is discovered and a warrant on the State Treasury has been issued in excess of the amount due to a state employee, the appointing authority at the employing agency, the state Comptroller or the State Director of Personnel may compel the employee to return the amount paid in error immediately following the discovery of the error. The employee may return the amount due in a lump sum or in a payment plan agreed to by the employee and the entity seeking recovery of the overpayment.
(2) If an amount found to be due is not settled upon demand by the entity seeking recovery of the overpayment, the employee shall immediately be issued notice requiring him or her to appear on a day certain and show just cause why the amount due should not be collected. If the employee fails to settle or show just cause why the amount due should not be collected, the entity seeking recovery of the overpayment shall certify the facts and the amount due to the chief examiner and the Attorney General. The Attorney General may bring a civil action in the name of the state against the employee.
(3) The Attorney General must notify the entity seeking recovery of the overpayment of his or her intent not to pursue civil action within 60 days of receiving the certified facts, and the appointing authority at the employing agency, the state Comptroller or the State Director of Personnel may instead bring a civil action in the name of the state against the employee.
(4) Notwithstanding subdivisions (1) to (3), inclusive, nothing in this section shall be construed to infringe upon or circumvent any duties or powers of the Department of Examiners of Public Accounts or the Attorney General.
(Act 2018-129, §1.)
Every state and county officer shall keep the books, records, and accounts and make the reports of his or her office in accordance with the systems, procedures, and forms as may be prescribed by the chief examiner pursuant to this chapter. Any officer who fails or willfully refuses to comply with this section shall be liable for a penalty of up to two hundred fifty dollars ($250) for each week the failure or refusal continues. Penalties imposed and collected under this section shall be paid into the General Fund.
(Act 2018-129, §1.)
All moneys or funds received or collected by the Department of Examiners of Public Accounts in the form of fees, receipts, or income as a result of services rendered in connection with municipal audits shall be transferred by the department into the State Treasury to the credit of the General Fund. All moneys or funds received or collected by the Department of Examiners of Public Accounts from the federal government shall be deposited into a special fund in the State Treasury, and these moneys and funds are hereby appropriated or reappropriated as necessary for the sole use of the Department of Examiners of Public Accounts.
(Act 2018-129, §1.)
(a) The Department of the Examiners of Public Accounts created by Section 41-5A-1 succeeds to and is vested with the powers, duties, and functions of the Department of Examiners of Public Accounts created under Chapter 5 of this title, which is repealed.
(b) The officers and employees of the Department of Examiners of Public Accounts created by Chapter 5 of this title shall be officers and employees of the Department of Examiners of Public Accounts created by Section 41-5A-1 without interruption of service or loss of benefits.
(c) The property, funds, and records of the Department of Examiners of Public Accounts created by Chapter 5 of this title, are transferred to the Department of Examiners of Public Accounts created by Section 41-5A-1.
(d) Any reference in any law to the Department of Examiners of Public Accounts under Chapter 5 of this title shall be deemed a reference to the Department of Examiners of Public Accounts created by Section 41-5A-1.
(Act 2018-129, §2,3.)
There shall be a Department of Archives and History, to be located at Montgomery.
(Code 1907, §793; Code 1923, §1398; Code 1940, T. 55, §255.)
(a) The objects and purposes of the department are:
(1) The care and custody of official archives;
(2) The collection of materials bearing upon the history of the state and of the territory included therein from the earliest times;
(3) The completion and publication of the state’s official records and other historical materials;
(4) The diffusion of knowledge in reference to the history and resources of the state;
(5) The encouragement of historical work and research;
(6) The encouragement of and assistance in the establishment of public school libraries and in the improvement and strengthening of those already in existence; and
(7) The provision of advice and assistance to libraries and library workers in library administration, methods and economy.
(b) The department shall bring together and arrange for ready consultation a reference collection of materials for the use of members of the Legislature, state officers and others on all subjects which may, from time to time, be deemed of public interest and importance to the people of the state.
(c) The department shall perform such other acts and requirements as may be enjoined by law.
(Code 1907, §794; Code 1923, §1399; Code 1940, T. 55, §256.)
(a) The department shall be under the control of the Board of Trustees of the Department of Archives and History, which shall consist of one member from each congressional district and the additional members selected pursuant to subsection (b).
(b) Two additional at-large members shall be selected and an additional member shall be selected from each U.S. Congressional District. The additional members shall be selected by the board of trustees and their names shall be communicated to the Senate not later than the fifth legislative day of the 2004 Regular Session of the Legislature. Newly selected members shall be confirmed by the Senate in the same manner as vacancies filled pursuant to Section 41-6-4. The board of trustees shall select three of the new members to serve initial terms of two years, three of the new members to serve initial terms of four years, and three of the new members to serve initial terms of six years. All successor members shall serve terms of six years and shall be selected as provided in Section 41-6-4.
(c) The membership of the board of trustees shall be inclusive and shall reflect the racial and gender diversity of the state.
(Code 1907, §795; Acts 1923, No. 40, p. 23; Code 1923, §1401; Code 1940, T. 55, §258; Act 2003-395, §1.)
(a) The board of trustees shall fill all vacancies occurring on the board, whether by expiration of term of service or by death or resignation, but the names of all successor members shall be communicated to the current session or the next ensuing regular session of the state Senate for confirmation. If the Senate rejects any successor trustee, the board shall proceed forthwith to fill the vacancy.
(b) A trustee appointed to succeed a member whose term has expired shall serve for a term of six years. A person appointed to fill a vacancy occurring by death or resignation shall only serve out the unexpired term of his or her predecessor. A person whose appointment to the board has been confirmed by the Senate shall serve beyond his or her expired term until a successor has been confirmed by the Senate.
(c) The board shall hold at the State Capital at least one regular meeting during every year and as many special meetings as may be necessary, and at any meeting a majority of the trustees shall constitute a quorum. The Governor of the state shall be a member of the board, and he or she shall, as far as possible, lend every encouragement to the success and upbuilding of the department. The director shall be the secretary of the board. The trustees shall receive no compensation for their services. Each member of the board of trustees shall be reimbursed at the same per diem and travel allowance amounts paid by law to state employees for each day of attendance of the business of the board.
(d) The board may:
(1) Adopt rules for its own government and also for the government of the department.
(2) Elect a director and provide for the selection or appointment of other officials or employees as may be authorized.
(3) Provide for the publication of historical material pertaining to the state under the supervision of the director.
(4) Control and expend such appropriations as may be made for the maintenance of the department.
(5) Perform such other acts as may be necessary to carry out the intent and purposes of this article.
(Code 1907, §796; Code 1923, §1402; Code 1940, T. 55, §259; Act 2003-395, §1.)
The department shall be under the immediate management and control of a director, to be elected by the board of trustees, whose term of office shall be six years and until his or her successor is elected and qualified.
(Code 1907, §797; Code 1923, §1403; Code 1940, T. 55, §260.)
The director shall take an oath of office as other public officials and shall be commissioned in like manner.
(Code 1907, §798; Code 1923, §1404; Code 1940, T. 55, §261.)
The director shall receive an annual salary to be fixed in accordance with the provisions of Section 36-6-6, which shall be payable as the salaries of other state officers are paid.
(Code 1907, §804; Acts 1923, No. 600, p. 789; Code 1923, §1411; Acts 1933, Ex. Sess., No. 138, p. 124; Acts 1935, No. 373, p. 792; Acts 1939, No. 435, p. 582; Code 1940, T. 55, §268; Acts 1943, No. 396, p. 364; Acts 1953, No. 594, p. 846.)
The powers, functions and duties of the Director of the Department of Archives and History shall be as follows:
(1) To control and direct the work and operations of the Department of Archives and History;
(2) To administer the state official archives;
(3) To prepare the Alabama official and statistical register;
(4) To diffuse knowledge in reference to the history and resources of the state;
(5) To administer all military records for historical purposes;
(6) To administer the state’s historical library and to collect and administer historical portraits and museums;
(7) To collect, organize and preserve noncurrent county records for historical purposes;
(8) To edit the Alabama Historical Quarterly and other historical publications;
(9) To distribute state official reports;
(10) To designate and describe historic spots in Alabama for monumental purposes;
(11) To have custody and supervision, under the direction of the Director of Finance, of the Alabama Memorial Building; and
(12) To perform any and all other powers, functions and duties as may now or hereafter be placed upon the Director of the Department of Archives and History.
(Code 1907, §799; Code 1923, §1405; Acts 1939, No. 435, p. 582; Code 1940, T. 55, §262.)
Subject to the provisions of the state Merit System, there may be employed in the Department of Archives and History such number of curators, clerks, librarians, stenographers, statisticians, and other employees as are necessary to carry out the functions and duties of the department.
(Code 1907, §809; Acts 1923, No. 600, p. 789; Code 1923, §1417; Acts 1933, Ex. Sess., No. 138, p. 124; Acts 1939, No. 58, p. 68; Code 1940, T. 55, §270.)
Any state, county, or other official may turn over to the department for permanent preservation therein any objects, official books, records, documents, original papers, newspaper files, and printed books not in current use in the offices and that are determined by the Department of Archives and History to be of historical value. The Director of the Department of Archives and History shall develop guidelines and procedures for the appraisal and transfer of historical objects to the department from state, county, or other offices. Objects and other tangible items acquired for the historical collections of the Department of Archives and History shall be documented and maintained in accordance with an overall inventory control system for historical collections in the department as established by the director.
(Code 1907, §800; Code 1923, §1406; Code 1940, T. 55, §263; Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §1.)
When books, records, documents, original papers, and newspaper files have been surrendered in accordance with Section 41-6-10, copies therefrom shall be made and certified by the director upon the application of any person interested, which certificate shall have all the force and effect as if made by the officer originally in the custody of them and for which the same fees shall be charged, to be collected in advance.
(Code 1907, §801; Code 1923, §1407; Code 1940, T. 55, §264.)
The department shall make special effort to collect data in reference to soldiers from Alabama in the war between the states, both from the Department of Defense and also from private individuals, and to cause the same to be prepared for publication as speedily as possible.
(Code 1907, §803; Code 1923, §1410; Code 1940, T. 55, §267.)
(a) An official and statistical register of the State of Alabama shall be compiled every two years by the director to contain:
(1) Brief sketches of the several state officials, the members of Congress from Alabama, the Supreme Court judges and the members of the Senate and House of Representatives of the State of Alabama;
(2) Rosters of all state and county officials;
(3) Lists of all state institutions with officials;
(4) State and county population and election statistics; and
(5) Miscellaneous statistics.
(b) Said register shall be published in an edition of 1,000 copies for free distribution, the printing and binding to be paid for as other printing and binding.
(Code 1907, §802; Code 1923, §1409; Code 1940, T. 55, §266.)
One thousand copies of the Alabama Historical Quarterly shall be published each quarter. The said quarterly shall be edited by the Director of the Department of Archives and History and shall be supplied gratis to public officials, public and high school libraries and, upon call, to any responsible person in the interest of propagating facts about the history of the state.
(Acts 1939, No. 583, p. 953; Code 1940, T. 55, §271.)
Unless otherwise provided, in accordance with Section 41-6-50, whenever any gift or donation of money from any source is made to the Department of Archives and History of this state, the same must be deposited in the State Treasury for the use of said department as provided in this article.
(Acts 1943, No. 454, p. 416, §1.)
Should any gift or donation to said department be in the form of real property, it may be leased, rented or sold in the discretion of said board of trustees, but the sum received as rent or the amount received as the purchase price, in the event of sale, must be deposited to the credit of said endowment fund, and such sum shall remain intact as a part of the principal amount of such endowment fund, and the interest received from the investment thereof shall be paid in the same manner as provided in this article for the payment of interest on other moneys deposited to the credit of said endowment fund.
(Acts 1943, No. 454, p. 416, §4.)
The interest accrued, earned or paid as the result of investment of said endowment fund is hereby appropriated to said Department of Archives and History and shall be used by said department only for such purposes as its trustees may specify and the Governor approve; provided, however, that no expenditure of such funds may be made or approved by said board of trustees unless it is for the purpose of acquiring rare and valuable articles, property or materials or acquiring, marking and preserving or maintaining historical locations or spots within the State of Alabama.
(Acts 1943, No. 454, p. 416, §3.)
The principal amount of such gift or donation shall be set aside by the State Treasurer in a special fund designated: “Endowment Fund - Department of Archives and History,” and moneys so deposited shall constitute an endowment fund for said department. In no event shall more than 10 percent of the amount remaining in said fund be expended in any one fiscal year. The Director of Finance shall invest or reinvest from time to time, at his or her discretion and with the approval of the Governor, all or any part or portion of said fund in such bonds as are authorized by the laws of Alabama governing investments in bonds by domestic life insurance companies, and the interest thereon shall be paid to said department by the State Treasurer upon a requisition signed by the director of said department and approved by the Governor.
(Acts 1943, No. 454, p. 416, §2.)
Should any gift or donation by any person amount in value to as much as $5,000.00, said board of trustees is hereby authorized to perpetuate or memorialize the name of the persons making such gift or donation by designating any property or project or material or program acquired or carried on by proceeds derived from said endowment fund with appropriate nomenclature.
(Acts 1943, No. 454, p. 416, §5.)
Whenever any gift or donation of money to the Department of Archives and History is in an amount not exceeding $100.00 or whenever the donor thereof, regardless of the amount of the gift, requests that such gift be used for a specified purpose and such purpose is a purpose approved by the board of trustees of such department and whenever the donor designates the gift as a memorial gift, such money shall be deposited in the State Treasury in a special fund designated “Memorial Fund - Department of Archives and History,” which fund is hereby established.
(Acts 1967, No. 522, p. 1252, §1.)
Such part of the fund as is derived from gifts for a designated purpose shall be used and expended by the Director of the Department of Archives and History in accordance with the terms of the gift. The remainder of the fund shall be used and expended by the director in accordance with such policies as may be established by the board of trustees, and, at each regular meeting of the board of trustees, the director shall report all such expenditures made since the next preceding regular meeting.
(Acts 1967, No. 522, p. 1252, §2.)
When a gift is designated as a gift in memory of a specified person, then the item or purpose for which such gift is expended shall be identified as a memorial to such designated person.
(Acts 1967, No. 522, p. 1252, §3.)
Every gift to the Department of Archives and History payable into the fund, whether or not the use thereof is prescribed by the donor or the gift is designated as a memorial to a specified person, shall be deemed a gift to the State of Alabama. The donor in computing his or her net income for state income tax purposes for the year in which he makes the gift may deduct the amount of the gift from his or her gross income as authorized in Section 40-18-15.
(Acts 1967, No. 522, p. 1252, §4.)
For purposes of Sections 41-6-71 through 41-6-77, inclusive, the following terms shall have the following meanings:
(1) BOARD. The Board of Trustees of the Department of Archives and History.
(2) DE-ACCESSION. To remove from the collection of the Department of Archives and History.
(3) DEPARTMENT. The Department of Archives and History.
(4) DIRECTOR. The Director of the Department of Archives and History.
(5) LOAN. A deposit of property not accompanied by transfer of title to the property.
(6) PROPERTY. Includes all books, materials, documents, and tangible objects in the possession of the Department of Archives and History.
(7) UNDOCUMENTED PROPERTY. Property in the possession of the Department of Archives and History for which the department cannot determine by reference to the department’s records the property’s owner.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §2.)
(a) The director, subject to the approval of the board, may from time to time de-accession property in the possession of the department. The director shall develop guidelines and procedures for the de-accession and transfer of property including, but not limited to, those that no longer fall within the department’s collecting guidelines, that duplicate items in the collection, or that are no longer deemed appropriate for the department’s collections. The transfer of historical materials may be made in any of the following ways:
(1) By return to the donor or donors.
(2) By gift to other cultural institutions.
(3) By trade with other institutions.
(4) By sale.
(5) By any other manner consistent with accepted practices for museums and archives.
(b) There is created in the State Treasury a fund to be known and designated as the Archives Historical Collections Fund. Any revenue collected from the sale or transfer of any historical materials pursuant to subsection (a) shall be deposited in the State Treasury to the credit of the Archives Historical Collections Fund.
(c) The expenditure of any funds collected under subsection (b) shall be solely for acquisitions or conservation of permanent collections for the department and in accordance with guidelines approved by the board.
(d) No funds deposited in the State Treasury to the credit of the Archives Historical Collections Fund shall be expended for any purpose whatsoever unless the funds have been allotted and budgeted in accordance with the provisions of Article 4 (commencing with Section 41-4-80), Chapter 4, Title 41, and only in the amounts and for the purposes provided by the Legislature.
(e) Funds deposited in the Archives Historical Collections Fund shall not revert to the General Fund of the state but shall remain in the Archives Historical Collections Fund until expended by the department.
(f) There is appropriated from the Archives Historical Collections Fund to the department the sum of $5,000.00 for the fiscal year ending September 30, 1993.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §3.)
(a) Property on loan to the department, subject to a loan agreement, shall be deemed to be donated to the department if no claim is made or action filed to recover the property after termination or expiration of the loan, and if the department has given notice pursuant to Section 41-6-74 and no assertion of title has been filed within 90 days from the date of the second published notice.
(b) The department may terminate a loan of property if the property was loaned to the department for an indefinite term and the property has been held by the department for five years or more. Property on “permanent loan” shall be deemed to be loaned for an indefinite term.
(c) If property was loaned to the department for a specified term, the department may give notice of termination of the loan at any time after expiration of the specified term.
(d) When the department accepts a loan of property, the department shall inform the owner in writing of the requirements of this article.
(e) It is the responsibility of the owner to notify the department promptly in writing of any change of address or change in ownership of the property.
(f) When a loan expires, the department shall make every effort, using the last known address of the owner, to locate the owner or the owner’s heirs. The department shall document all efforts to locate the owner.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §4.)
Any undocumented property that has been held by the department for five years or more and has remained unclaimed shall be deemed to be abandoned. The undocumented property shall become the property of the department if the department has given notice pursuant to Section 41-6-74 and no assertion of title has been filed for the property within 90 days from the date of the second published notice.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §5.)
(a) When the department is required to give notice of the abandonment of property or of termination of a loan, the department shall mail notice by certified mail, return receipt requested, to the last known owner at the most recent address of the owner as shown on the department’s records. If the department does not know the identity of the owner, or does not have an address for the owner, or does not receive written proof of receipt of the mailed notice within 30 days of the date the notice was mailed, the department shall publish notice, at least once each week for two consecutive weeks, in a newspaper of general circulation in both Montgomery County and the county in which the last known address, if available, of the owner, if known, is located.
(b) The published notice shall contain all of the following:
(1) A description of the unclaimed property.
(2) The name and last known address of the owner, if available.
(3) A request that all persons who may have any knowledge of the location of the owner provide written notice to the department.
(4) A statement that if written assertion of title is not presented by the owner to the department within 90 days from the date of the second published notice, the property shall be deemed abandoned or donated and shall become the property of the department.
(c) If no written assertion of title has been presented by the owner to the department within 90 days from the date of the second published notice, title to the property shall vest in the department, free of all claims of the owner and of all persons claiming under the owner.
(d) One who purchases or otherwise acquires property from the department acquires good and marketable title to the property if the department has acquired title to the property under this section.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §6.)
(a) The department may apply conservation measures to or dispose of undocumented property if immediate action is required to protect the property or other property in the custody of the department, or if the property is a hazard to the health and safety of the public or the department staff.
(b) Unless there is a written stipulation in the loan agreement to the contrary, the department may apply conservation measures to or dispose of property on loan to the department without the owner’s permission or formal notice if immediate action is required to protect the property on loan or other property in the custody of the department, or if the property on loan is a hazard to the health and safety of the public or the department staff and if any of the following apply:
(1) The department is unable to reach the owner at the owner’s last known address or phone number if action is to be taken within more than three days but less than one week from the time the department determined action was necessary.
(2) The department is unable to reach the owner at the owner’s last known phone number prior to taking action if the action is to be taken within three days or less from the time the department determined action was necessary.
(3) The owner does not respond or will not agree to the protective measures the department recommends, yet is unwilling or unable to terminate the loan and retrieve the property.
(c) If the department applies conservation measures to or disposes of property under this section, or with the agreement of the owner, unless the agreement provides otherwise, the department:
(1) Has lien on the property and on the proceeds of any disposition of the property for the costs incurred by the department.
(2) Is not liable for injury to or loss of the property if the department:
a. Had a reasonable belief at the time the action was taken that the action was necessary to protect the property on loan or other property in the custody of the department, or that the property on loan was a hazard to the health and safety of the public or the department staff.
b. Exercised reasonable care in the choice and application of conservation measures.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §7.)
(a) The department may collect fees for certain services rendered by the department, including, but not limited to the following:
(1) SEARCH AND HANDLING FEES. These fees shall include, but not limited to, fees for conducting research for requests from outside the state and for handling all requests for reproducing special format materials.
(2) RECORDS CENTER AND MICROGRAPHICS STORAGE AND SERVICE FEES. These fees shall be collected from government agencies for storage, retrieval, and reproduction of nonpermanent records in the records center and for the security storage of microfilm. One year’s notice shall be given to any agency prior to implementation of a storage fee.
(b) Fees for services shall be set by the board upon recommendation by the director and may be amended as required. Fees shall be based upon actual cost to the department for providing the services.
(c) There is created in the State Treasury a fund to be known and designated as the Archives Services Fund. Any revenue collected for services pursuant to subsection (a) shall be deposited in the State Treasury to the credit of the Archives Services Fund.
(d) The expenditure of funds collected under subsection (a) shall be used by the department to help defray expenses incurred in providing the services.
(e) No funds deposited in the State Treasury to the credit of the Archives Services Fund shall be expended for any purpose whatsoever unless the same shall have been allotted and budgeted in accordance with the provisions of Article 4 (commencing with Section 41-4-80), Chapter 4, Title 41, and only in the amounts and for the purposes provided by the Legislature.
(f) Funds deposited in the Archives Services Fund shall not revert to the General Fund of the state but shall remain in the Archives Services Fund until expended by the department.
(g) There is appropriated from the Archives Services Fund to the department the sum of $25,000.00 for the fiscal year ending September 30, 1993.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §8.)
(a) The department may establish and administer or permit establishment and administration under contract of a store to provide information and materials relating to exhibits, collections, and programs to the public. The store may produce, acquire, and sell craft products, replicas, and reproductions of artifacts and documents, and other merchandise relating to historical and cultural resources and may make a reasonable charge for the merchandise.
(b) Items purchased specifically for resale in the store are not subject to the state competitive bid process.
(c) All profits from the store shall be used for the benefit of the department.
(Acts 1992, 2nd Ex. Sess., No. 92-719, p. 220, §9.)
As used in this article the following terms shall have the following meanings:
(1) NHPRC. The National Historical Publications and Records Commission is a federal statutory body affiliated with the United States National Archives and Records Administration. It provides grant funds for a wide range of activities to preserve, publish, and encourage the use of documentary sources relating to the history of the United States.
(2) AHRC. The Alabama Historical Records Coordinator is designated as the full-time professional official in charge of the Alabama Department of Archives and History and is the central coordinating officer for the NHPRC historical records grant program in the state.
(Act 2006-106, p. 150, §1.)
The Alabama Historical Records Advisory Board (AHRAB) is created to serve as a state advisory body for historical records planning and to coordinate, as appropriate, the development, review, submission, and implementation of NHPRC and other grant-funded records projects developed and carried out within the state for the preservation and use of Alabama’s historical records.
(Act 2006-106, p. 150, §2.)
The board shall perform the following duties:
(1) Develop state priorities for historical records as part of a state board plan under program guidelines from the NHPRC.
(2) Promote an understanding of the role and value of historical records in Alabama.
(3) Solicit and develop proposals for NHPRC or other grant projects.
(4) Foster and support cooperative networks and programs dealing with historical records.
(5) Review and monitor the operation and progress of projects in the state financed by NHPRC grants.
(6) Advise the state archives and other statewide archival, records, or information agencies.
(7) Advise the NHPRC on archival issues of interest to the archival community in Alabama.
(8) Provide programs for Alabama repositories to assist them in efforts to preserve and promote appreciation for Alabama’s historical records.
(Act 2006-106, p. 150, §3.)
The board shall be composed of the AHRC, who shall serve as chair of the board, and 15 members selected as representatives, one from each of the following organizations in accordance with the provisions of each organization’s articles of incorporation, bylaws, or procedures:
(1) The Association of County Commissions of Alabama.
(2) The Alabama Genealogical Society.
(3) The Alabama Historical Association.
(4) The Alabama League of Municipalities.
(5) The Alabama Library Association.
(6) The Alabama Press Association.
(7) The Black Heritage Council.
(8) The Alabama Circuit Clerks Association.
(9) The Alabama Association of Municipal Clerks and Administrators.
(10) The Network of Alabama Academic Libraries.
(11) The Probate Judges Association.
(12) The Society of Alabama Archivists.
(13) The Sons of Confederate Veterans.
(14) The United Daughters of the Confederacy.
(15) The Birmingham Civil Rights Institute.
(Act 2006-106, p. 150, §4.)
Members of the board shall serve terms of three years each and are eligible for additional terms of office. The terms of the first board shall be staggered by drawing for one-year, two-year, and three-year terms. Thereafter, members shall serve three-year terms so that one third of the board is newly appointed or reappointed each year by the respective organizations. Members may continue to serve until successors are appointed. The board shall reflect the racial, gender, geographic, urban and rural, and economic diversity of the state.
(Act 2006-106, p. 150, §5.)
Members of the AHRAB shall serve without compensation but shall be entitled to and may receive compensation for travel expenses incurred during the course of project activities from AHRAB grant funds if the project budget allows.
(Act 2006-106, p. 150, §6.)
This chapter shall be known and may be cited as the “Alabama Energy Management and Conservation Act of 1980.”
(Acts 1980, No. 80-449, p. 696, §1.)
The Legislature finds that the development, management and efficient use of energy resources and the conservation of energy is of prime importance in an era of rising costs, foreign dependence, and uncertain supplies. At the same time it is also important to protect the economic, social, and environmental values of the citizens of the state. Such responsibilities require a comprehensive, coordinated capacity on the part of the state to respond to the needs and demands of her citizens. It is therefore the intent of the Legislature:
(1) To ensure the wise development and efficient use of traditional energy sources;
(2) To encourage and assist the development, the use of renewable energy resources, demonstration, and placement in the marketplace of viable, alternative energy sources, more efficient uses of energy sources, and other appropriate technology;
(3) To encourage the conservation and efficient use of all energy resources and to provide a governmental environment which will encourage and promote private investment and initiative in the development of new energy resources and more efficient use of all energy resources;
(4) To provide information to the public relating to energy saving uses, designs, and construction methods and techniques for all new and existing buildings;
(5) To increase the ability of state government to respond in an efficient, comprehensive, and coordinated manner to energy problems which may arise;
(6) To assure, as far as practicable, an energy supply adequate to protect the economic, social, and environmental values the state’s citizens now enjoy;
(7) To promote the identification of specifically designed energy management technologies;
(8) To disseminate information about such technologies;
(9) To promote the acceptance and adoption of such technologies by all energy-consuming sectors of the state’s economy; and
(10) That the state shall not enter into the production or distribution of energy in any form.
(Acts 1980, No. 80-449, p. 696, §2.)
(a) There is hereby created and established the Alabama Department of Energy. For the purposes of this chapter, the term “department” or “ADE” means the “Alabama Department of Energy.”
(b) The programs and activities of the department shall be administered by a director with the assistance of such other officers, agents, and employees as are necessary to carry out the functions of the agency. The director shall propose priorities and funding required to ensure that the programs and activities as provided in this chapter are effectively and efficiently carried out and that the intent of the Legislature is fully implemented. The director shall organize and employ the staff of the department.
(c) The director of the department shall be appointed by, and serve at the pleasure of the Governor. The pay of the director shall be set by the Governor without regard to any other limitation set by law. Division chiefs shall be appointed by, and serve at the pleasure of, the director. The director shall be exempt from the provisions of Article 1 of Chapter 26 of Title 36, and the division chiefs shall serve as unclassified personnel under the provisions of Article 1 of Chapter 26 of Title 36. All except the director shall be members of the Alabama State Employees Retirement System. The director may, however, at his or her option, become a member of such system. All other employees of the department except as provided in this subsection shall be classified personnel and shall be members of the state Merit System.
(Acts 1980, No. 80-449, p. 696, §3; Acts 1981, No. 81-866, p. 1658.)
The programs and activities of the department shall include, but are not limited to, the following:
(1) To develop and promulgate a state energy policy;
(2) To report regularly to the Governor and annually to the Legislature on the programs and activities of the department and to recommend needed changes in law or administrative practice;
(3) To periodically assess state energy requirements, and to coordinate with the state geologists, the State Oil and Gas Board, and other parties and with appropriate governmental agencies in their determination of available energy supplies and their capacities and their development;
(4) To formulate and update annually a comprehensive state energy management program which shall identify alternative ways in which projected demands for all forms of energy may be met;
(5) To formulate and update annually a contingency plan to provide for adequate energy supplies during any energy shortages which may occur;
(6) To monitor existing programs relating to curtailment, allocation, conservation, planning, regulation and management of all forms of energy and energy sources; and to administer all other programs that are not otherwise provided by law;
(7) To serve as the state’s clearinghouse for energy data. The clearinghouse shall be developed with the coordination and cooperation of other governmental data collection and record keeping systems to provide for an inventory, and the cataloging, and dissemination of energy-related information. Upon the request of the director of the department, other governmental agencies, boards and commissions shall, to the fullest extent possible, exchange records, reports, material and other energy-related information in an effort to avoid unnecessary duplication. If the amount of data requested by the department places an unreasonable burden on another agency’s manpower or moneys, then the department shall monetarily reimburse such agency for its efforts;
(8) To ensure that all information of a proprietary nature shall remain confidential;
(9) To develop, conduct and disseminate educational and training programs as provided in Section 41-6A-5;
(10) (Repealed effective October 1, 2015) To assist and encourage the various state agencies and universities when applying for energy-related contracts with federal or regional agencies or other groups. This shall be accomplished in such a manner to support and encourage the individual entrepreneurship of the universities in obtaining separately sponsored research;
(11) To review with appropriate energy related agencies regulatory or revenue-producing practices for their impact on energy production and consumption, and to recommend appropriate changes or modifications which may improve the state’s energy position without harming its economic status;
(12) To constitute the responsible agency for administering and coordinating federal energy programs delegated to the state subsequent to the enactment of this chapter. Excluded are those programs currently delegated to other agencies, and those programs having objectives consistent with the jurisdiction of other agencies;
(13) To encourage, and coordinate research, development and demonstration activities in the energy areas;
(14) To apply for, when appropriate, and receive and administer federal and private grant funds which contribute to the programs and activities as set forth in this chapter;
(15) To enter into interstate agreements and contracts, when appropriate, to accomplish jointly with other states and the federal government energy research or planning which contribute to the purposes of the department; and
(16) To perform any other function necessary for implementation and enforcement of this chapter.
(Acts 1980, No. 80-449, p. 696, §4; Act 2015-435, §3.)
The department shall conduct and administer public awareness and education programs which shall inform the public and state and local government policymakers of at least the following:
(1) The energy prospects for the state;
(2) The alternative futures in economic and environmental terms under different energy policies;
(3) The manpower needs of alternative energy policies;
(4) The probable impact of existing and proposed actions of state and federal government;
(5) The potential of research and development programs; and
(6) The importance of, and the technologies and methods necessary to achieve, energy conservation goals in all consuming sectors of the state’s economy.
(Acts 1980, No. 80-449, p. 696, §5.)
The department may, after appropriate notice and public hearing, upon request, promulgate reasonable rules consistent with the laws of this state, for the following purposes:
(1) To ensure the department will, for the purpose of planning and policy formulation, be able to obtain all necessary information from state agencies, and information from energy producers, suppliers and consumers that is not required to be submitted to other state government agencies;
(2) To ensure that energy conservation measures shall be practiced by state government; and
(3) To establish such advisory groups that from time to time may be beneficial to the department.
(Acts 1980, No. 80-449, p. 696, §6.)
The department is solely responsible for the administration of this chapter; however, the department may enter into a contractual agreement with state agencies or departments, educational institutions and such other organizations and individuals necessary to fulfill its responsibilities. Any agency, department, educational institution, or organization of the state which affects the administration or implementation of this chapter is required to communicate such activities to the department. Abstracts of proposals for energy-related grants shall be sent to the department for informational and coordination purposes. Such abstracts shall remain confidential.
(Acts 1980, No. 80-449, p. 696, §7.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1980, No. 80-449, p. 696, §8.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1980, No. 80-449, p. 696, §9.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1980, No. 80-449, p. 696, §10.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1980, No. 80-449, p. 696, §11.)
(a) For purposes of this chapter, the following terms shall have the following meanings:
(1) BOARD. The Advisory Board of the Alabama Tourism Department.
(2) DEPARTMENT. The Alabama Tourism Department.
(3) DIRECTOR. The Director of Publicity of the Alabama Tourism Department.
(b) There is created the Alabama Tourism Department, hereinafter referred to as the department, composed of a Division of Records and Reports and such other divisions as the director determines to be necessary. Notwithstanding any other provision of law, whenever any act or section of this code, or other provision of law, refers to the State Bureau of Tourism and Travel, the reference shall be deemed a reference to the Alabama Tourism Department.
(c) The department, with the advice and assistance of the board provided for in Section 41-7-3, shall have exclusive power and authority to plan and conduct all state programs of information and publicity designed to attract tourists to the State of Alabama. It shall be the duty of the principal administrator of each department, board, commission, institution, agency and office, upon request, to assist the Director of Publicity in preparing news items of general interest relating to tourism.
(Acts 1943, No. 253, p. 223, §§2, 4; Acts 1951, No. 712, p. 1250, §1; Acts 1984, No. 84-273, p. 459, §1; Act 2009-734, p. 2186, §1.)
The department shall be in charge of a Director of Publicity. The director shall be appointed by and serve at the pleasure of the Governor. The Governor shall fix the compensation of the director in accordance with the provisions of Section 36-6-6. The director shall appoint division and unit heads and such assistants and employees as may be necessary to the efficient operation of the department. All employees of the department shall be subject to the provisions of the Merit System Act. It is further provided, however, that all persons employed by the department for positions in state welcoming centers as of June 22, 1979, shall retain their employment positions with the department. All such persons so retained by the department shall immediately receive all benefits and privileges of the state Merit System law in the same manner and to the same extent as other Merit System employees of the state. All persons employed by the department after June 22, 1979, shall be employed subject to the provisions of the state Merit System law and such other state and federal laws, including state and federal court requirements and mandates, as may be applicable. It is further provided that any person, who is now serving as a Capitol hostess, and has been so employed for a period of 12 months immediately preceding June 22, 1979, without Merit System status, shall become an employee of the department with automatic classification under the state Merit System as a welcome center worker. The duties of such person shall include assignment to the Capitol building as a hostess.
(Acts 1951, No. 712, p. 1250, §2; Acts 1979, No. 79-252, p. 383; Act 2009-734, p. 2186, §1.)
(a) There is established the Advisory Board to the Alabama Tourism Department to advise and assist the director. The board shall be composed of 25 members who shall be appointed as follows:
(1) Two members who shall be appointed by the Governor from a list of three individuals for each board position which shall be submitted to the Governor by the Alabama Travel Council, or its successor organization.
(2) Two members who shall be appointed by the Governor from a list of three individuals for each board position which shall be submitted to the Governor by the Alabama Hospitality Association, or its successor organization.
(3) Two members who shall be appointed by the Governor from a list of three individuals for each board position which shall be submitted to the Governor by the Alabama Association of Convention and Visitor Bureaus, or its successor organization.
(4) Two members who shall be appointed by the Governor from a list of three individuals for each board position which shall be submitted to the Governor from the Alabama Restaurant Association, or its successor organization.
(5) Two members who shall be appointed by the Governor from a list of three individuals for each board position which shall be submitted to the Governor from the Alabama Cooperative Extension System who shall be representatives of the private sector rural tourism industry.
(6) Two members who shall be appointed by the Governor from a list of three individuals for each board position which shall be submitted to the Governor from the Economic Development Association of Alabama, or its successor organization.
(7) Three members appointed by the Governor who are not current full-time public officials or public employees, but who are representatives of the private sector of the tourism industry in Alabama.
(8) The Director of the Alabama State Parks who shall serve as an ex officio member.
(9) The Director of the Alabama Historical Commission who shall serve as an ex officio member.
(10) The Director of the Alabama State Council on the Arts who shall serve as an ex officio member.
(11) The Director of the Alabama Cooperative Extension Service who shall serve as an ex officio member.
(12) The Director of the Alabama Department of Public Safety who shall serve as an ex officio member.
(13) The Director of the Alabama Department of Transportation who shall serve as an ex officio member.
(14) The Chair of the Senate Finance and Taxation Education Committee, the Chair of the House Ways and Means Education Committee, and the ranking minority member of each committee, or their designees.
(b) Ex officio members of the board shall be voting members, but shall serve as a member of the board only as long as the ex officio member holds his or her respective office. Each member not serving in an ex officio capacity shall be appointed to a six-year term except for the initial appointments of one of the members for each of the positions designated in subsection (a), subdivisions (1) to (5), inclusive, which shall be appointed to initial three-year terms. Members shall serve until their successors are appointed and qualified. Vacancies which occur other than by expiration of the term shall be filled for the unexpired term only.
(c) The members of the board shall serve without compensation but shall be entitled to reimbursement for actual and necessary expenses incurred in the performance of their duties as members.
(d) The director shall be a nonvoting member of the board.
(e) Members of the board shall be residents of the State of Alabama, and to the extent possible, appointments to the board shall be made from all geographic regions of the State of Alabama in order to promote economic diversity from throughout the state. Appointments to the board shall include Black and other minority representation, and to the extent possible, the appointments shall reflect the percentage of minority population of the state and the gender and urban and rural diversity of the state. Those members of the board not serving in an ex officio capacity shall be actively employed in the tourism industry throughout the term of their appointment, and if the member ceases to be so employed, that individual shall immediately cease to be a member of the board, and the appointing authority shall promptly appoint a new member in the manner consistent with the initial appointment procedure to fill the remainder of the term.
(f) All members shall be notified in writing of the time and place of any regular or special meeting. Any member who misses four consecutive regularly scheduled meetings shall immediately cease to be a member of the board, and the appointing authority shall promptly appoint a new member in the manner consistent with the initial appointment procedure to fill the remainder of the term. Such meeting requirements shall not apply to the director nor to ex officio members.
(g) The board shall meet at least quarterly, and shall perform the following duties:
(1) Serve as a body to advise the director and private persons on the development and implementation of state policies and programs relating to tourism and recreation and to assist in the coordination of these activities.
(2) Adopt bylaws, elect officers, including a chairperson, and establish procedures for its operation.
(3) Advise and review marketing and annual advertising plans developed by the department. The comprehensive marketing plan shall be directed toward the accomplishment of at least the following purposes:
a. Maximizing the return on public and private investment and tourism.
b. Encouraging longer stays by visitors to Alabama.
c. Assisting local entities in attracting conferences and conventions.
d. Reducing season fluctuations in travel and tourist related industries.
e. Encouraging visitors to be destination oriented in this state.
f. Encouraging visitors from foreign countries to visit Alabama.
g. Encouraging Alabamians to vacation in Alabama.
(h) Seek and review the views of all levels of government and the private sector with respect to state programs and policies for the promotion and assistance of tourism.
(i) Cooperate and provide expertise for communities and tourism marketing associations in the development and promotion of their tourism attractions and businesses.
(j) Establish working committees to advise the department with specific areas of operation including marketing, advertising, regional issues, administration of grant and co-op programs, and product and service development.
(Acts 1951, No. 712, p. 1250, §3; Acts 1957, No. 562, p. 780; Acts 1967, No. 267, p. 764; Act 2002-405, p. 1019, §1; Act 2009-734, p. 2186, §1; Act 2023-512, §3.)
The department may, with the approval of the Governor, expend any funds appropriated to the department for advertising and promotions and for other purposes that support tourism in Alabama; provided, that no part of any appropriation made to the department by the Legislature shall be used to purchase any advertising within the State of Alabama; provided further, that the department may procure the printing of pamphlets, circulars, maps, leaflets and similar material in the State of Alabama to be circulated by the department for tourist advertising and promotion purposes.
(Acts 1977, No. 20, §2; Act 2009-734, p. 2186, §1.)
The director may, with the approval of the Governor, enter into contracts and agreements with the organization known as the Southern Travel Directors Council, a regional travel advertising and promotion agency, for the purpose of expanding and extending the state’s tourist advertising program. The director may, with the Governor’s approval, spend a sum not exceeding $15,000.00 per annum for the support of the council, such expenditures to be made from legislative appropriations for tourist advertising.
(Acts 1967, No. 269, p. 775; Acts 1984, No. 84-273, p. 459, §1; Act 2009-734, p. 2186, §1.)
(a) It is the intent of the Legislature to recognize and honor those individuals who are accredited or associated by birth to the State of Alabama who, through their conspicuous bravery and gallantry during wartime, and at considerable risk to their own lives, were made recipients of the Medal of Honor. In doing so, these members of our armed forces brought great credit upon themselves, their military units, and the State of Alabama.
(b)(1) There is hereby established an Alabama Medal of Honor Wall to honor recipients of the Medal of Honor at each state welcome center. The department shall, in consultation with the American Legion, designate an appropriate area at each welcome center on the border of the state for the placement of the plaques on the wall.
(2) Each recipient of the Medal of Honor who is a native of the state and resided in the state for 10 years or more, whether deceased or living, shall have a plaque or similar designation approved by the Department of Veterans’ Affairs placed on the Medal of Honor Wall, which designation shall provide information regarding the Alabamian’s particular act of heroism as well as other information relating to the nature of the act.
(3) Verification of residency, dates of the receipt of the award, and other specific information pertaining to each recipient shall be the responsibility of the Department of Veterans’ Affairs, which shall certify eligibility for inclusion of individuals to be added to the Medal of Honor Wall.
(4) The cost of each Medal of Honor Wall shall be borne from annual appropriations from the Legislature to the department.
(Act 97-935, p. 503, §§1-3; Act 2009-734, p. 2186, §1.)
On September 1, 1995, the management of the Alabama Entertainment Office shall be vested in a director who shall be appointed by the Secretary of the Department of Commerce and shall serve at his or her pleasure. The salary shall be established by the secretary of the department and approved by the Governor. The director shall have the same rights, privileges, benefits, and membership status in the Employees’ Retirement System as other unclassified employees in the state service.
(Acts 1995, No. 95-785, p. 1871, §1; Act 2024-406, §1; Act 2025-414, §1.)
All other employees necessary to carry out the duties and functions of the Alabama Film Office shall be employed subject to the provisions of the Merit System law. The State Personnel Board, with the assistance of the Secretary of Commerce, shall establish positions as needed in the classified service for the employees of the Alabama Film Office.
(Acts 1995, No. 95-785, p. 1871, §2.)
If the director or a classified employee of the Alabama Film Office has previously served as an independent contractor of the Alabama Film Office, and desires to purchase prior service credit for time in the Employees’ Retirement System after becoming an active and contributing member of the retirement system under this chapter, he or she shall pay to the Secretary-Treasurer of the Retirement System in a lump sum within five years from August 9, 1995, the full cost of the employer and employee contributions necessary to purchase the prior service credit as determined by the actuary for the retirement system based on the current compensation or final average compensation of the employee, whichever is greater.
(Acts 1995, No. 95-785, p. 1871, §3.)
[Repealed]
Repealed by Act 2009-144, p. 268, §12, effective January 1, 2009.
(Act 2001-975, 2001 3rd Sp. Sess., p. 908, §1.)
[Repealed]
Repealed by Act 2009-144, p. 268, §12, effective January 1, 2009.
(Act 2001-975, 2001 3rd Sp. Sess., p. 908, §2.)
[Repealed]
Repealed by Act 2009-144, p. 268, §12, effective January 1, 2009.
(Act 2001-975, 2001 3rd Sp. Sess., p. 908, §3.)
[Repealed]
Repealed by Act 2009-144, p. 268, §12, effective January 1, 2009.
(Act 2001-975, 2001 3rd Sp. Sess., p. 908, §4.)
[Repealed]
Repealed by Act 2009-144, p. 268, §12, effective January 1, 2009.
(Act 2001-975, 2001 3rd Sp. Sess., p. 908, §5.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
This article may be cited as the “Entertainment Industry Incentive Act of 2009.”
(Act 2009-144, p. 268, §1.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The following is hereby found and declared by the Legislature of Alabama:
(1) Although Alabama is filled with attractive natural resources, a growing workforce, and other resources attractive to the entertainment industry, Alabama has not developed its potential in terms of attracting the entertainment industry to the state by offering production incentives for qualified productions not previously offered in Alabama.
(2) Entertainment industry incentives offered by other states attract valuable projects to their states which stimulate local economies, use local manpower, offer other employment and entrepreneurial opportunities for state residents, and provide public awareness of the natural resources available in their states.
(3) Because Alabama does not currently offer a viable incentive package to the industry, Alabama cannot effectively compete with other states for attracting industry projects and those projects locate elsewhere.
(4) For Alabama to compete nationally or internationally for the location and production of more projects in Alabama and to foster a growing entertainment industry in Alabama, industry specific production incentives are immediately necessary.
(5) The Legislature recognizes and confirms the planning and promotion of the entertainment industry are of vital importance to the economic development of Alabama as are the recruitment, expansion, and retention of industrial development within the state, and the promotion of the entertainment industry should be included as an integral part of any comprehensive economic development strategy plan promoted by the state and state agencies.
(Act 2009-144, p. 268, §2.)
[Repealed]
AMENDED BY ACT 2026-540, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
For purposes of this article, the following terms have the following meanings:
(1) COMPANY. A corporation, partnership, limited liability company, or any other business entity.
(2) DEPARTMENT. The Alabama Department of Commerce.
(3) ENTERTAINMENT INDUSTRY. Those persons or entities engaged in the production of entertainment content as defined under paragraph (8)a.
(4) EXPENDED IN ALABAMA. In the case of tangible property, property that is acquired or leased from a source within the State of Alabama; in the case of services, services performed for a qualified production project in the State of Alabama.
(5) OFFICE. The Alabama Entertainment Office.
(6) PAYROLL. All salary, wages, and other compensation, including related benefits, including specifically, but not limited to, compensation and benefits provided to resident and nonresident producers, directors, writers, actors, and other personnel involved in qualified production projects in Alabama.
(7) PRODUCTION EXPENDITURES.
a. The term includes preproduction, production, and postproduction expenditures incurred in the State of Alabama which are directly used in a state-certified production, including, but not limited to, the following: Set construction and operation, wardrobe, makeup, set accessories, and related services; costs associated with photography and sound synchronization, lighting, and related services and materials; editing and related services; rental of facilities and equipment; leasing of vehicles; costs of food and lodging; costs of catering; digital or tape editing, film processing, transfer of film to tape or digital format; transfer direct to DVD, cable, or satellite for distribution; sound mixing, special and visual effects including duplication, film processing digital, DVD, music composition, and satellite distribution; total aggregate payroll; music; airfare; insurance costs of bonding; or other similar production expenditures as determined by rule or regulation.
b. The term includes financial contributions or educational or workforce development in partnership with related educational institutions, or local industry organizations, or both, contributed toward the furtherance of the local entertainment media industries.
c. The term does not include postproduction expenditures for marketing or any amounts that are paid to persons or entities as a result of their participation in profits from the exploitation of a motion picture production.
(8) QUALIFIED PRODUCTION.
a. The term means entertainment content created in whole or in part within the state, including motion pictures; soundtracks for motion pictures; documentaries; long-form, specials, miniseries, series, sound recordings, music albums, videos and music videos, and interstitials television programming; interactive television; interactive games; video games; commercials; infomercials; any format of digital media, including an interactive website that is intended for national or international distribution or exhibition to the general public; and any trailer, pilot, video teaser, or demo created primarily to stimulate the sale, marketing, promotion, or exploitation of future investment in either a product or a qualified production via any means and media in any digital media format, film, or videotape, provided such program meets all the underlying criteria of a qualified production.
b. The term does not include any ongoing television program created primarily as news, weather, or financial market reports, a production featuring current events, sporting events, an awards show or other gala event, a production whose sole purpose is fundraising, a long-form production that primarily markets a product or service, a production used for corporate training or in-house corporate advertising or other similar productions; nor does the term include any production for which records are required to be maintained under 18 U.S.C. § 2257 with respect to sexually explicit content; nor does the term mean or include any form of gambling, gaming, wagering, or pari-mutuel wagering activity or enterprise.
(9) QUALIFIED PRODUCTION COMPANY.
a. The term means a company engaged in the business of producing a qualified production, as that term is defined.
b. The term does not mean or include any company owned, affiliated, or controlled, in whole or in part, by any company or person that is in default on a loan.
(10) RESIDENT OF ALABAMA. A natural person and, for the purpose of determining eligibility for the incentives provided by this article, any person domiciled in the State of Alabama and any other person who maintains a permanent place of abode within the state and spends in the aggregate more than six months of each year within the State of Alabama.
(11) STATE-CERTIFIED PRODUCTION. A qualified production approved by the office, produced by a qualified production company.
(Act 2009-144, p. 268, §3; Act 2024-406, §1; Act 2025-414, §1.)
[Repealed]
AMENDED BY ACT 2026-540, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) Beginning January 1, 2009, a qualified production company shall be entitled to a rebate for production expenditures, as defined in Section 41-7A-42, related to a state-certified production. The rebate shall be equal to 25 percent of the state-certified production’s production expenditures excluding payroll paid to residents of Alabama plus 35 percent of all payroll paid to residents of Alabama for the state-certified production, provided the total production expenditures for a project must equal or exceed at least five hundred thousand dollars ($500,000), but no rebate shall be available for production expenditures incurred after the first twenty million dollars ($20,000,000) of production expenditures expended in Alabama on a state-certified production.
(b) A single episode in a television series or miniseries may be considered a single production project for purposes of this section. However, in determining the total production expenditures incurred by a qualified production company on a qualified production, the total production expenditures of a television series or miniseries, whether a single season or multiple seasons thereof, to be filmed within a period of 12 consecutive months, each individual episode of which separately and independently meets the definition of a qualified production, may be aggregated to meet the monetary requirements set forth in subsection (a) as long as each individual episode within the series pertains to the same subject as the other episodes in the series.
(c) A single commercial may be considered a single production project for purposes of this section. However, in determining the total production expenditures incurred by a qualified production company on a qualified production, the total production expenditures of a series of commercials to be filmed within a period of 12 consecutive months, each of which separately and independently meets the definition of a qualified production, may be aggregated to meet the monetary requirements set forth in subsection (a) as long as each individual commercial within the series pertains to the same subject as the other commercials in the series and was planned as part of a series of commercials to be filmed within a period of 12 consecutive months at the time the qualified production company applied for the incentives.
(d) A qualified production company shall be entitled to the rebate for production expenditures as provided in subsection (a) for a qualified project that is limited only to the production of a soundtrack used in a motion picture or documentary, provided that the production expenditures for the soundtrack project must equal or exceed at least fifty thousand dollars ($50,000), but no rebate shall be available for production expenditures incurred after the first three hundred thousand dollars ($300,000) of production expenditures expended in Alabama.
(e) A qualified production company shall be entitled to the rebate for production expenditures as provided in subsection (a) for a qualified project that is limited only to the production of a music video, provided that the production expenditures for the music video equal or exceed fifty thousand dollars ($50,000), but no rebate shall be available for production expenditures incurred after the first two hundred thousand dollars ($200,000) of production expenditures expended in Alabama.
(f) A qualified production company shall be entitled to the rebate for production expenditures as provided in subsection (a) for a qualified project that is limited only to the production of a music album, provided that the production expenditures for the music album equal or exceed thirty thousand dollars ($30,000), but no rebate shall be available for production expenditures incurred after the first two hundred thousand dollars ($200,000) of production expenditures expended in Alabama.
(g) The rebate described in this section may be applied to offset any income tax liability applicable to a qualified production company for the tax year in which production activity in Alabama on the state-certified production concludes.
(h) If the rebate available under this section exceeds a qualified production company’s Alabama income tax liability for the tax year in which production activity in Alabama concludes on the state-certified production, the excess of the rebate over a qualified production company’s Alabama income tax liability shall be rebated to the qualified production company.
(i) The department and the Commissioner of the Department of Revenue shall adopt rules necessary to administer this section.
(Act 2009-144, p. 268, §4; Act 2011-695, p. 2123, §1; Act 2012-212, p. 378, §1; Act 2013-34, p. 57, §1; Act 2024-406, §1; Act 2025-414, §1.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
Commercial or financial information given in confidence that is not required to be disclosed pursuant to this article or any other state statute, and trade secrets, including, but not limited to, information relating to formulas, patterns, compilations, programs, devices, methods, techniques, processes, drawings, cost data, customer lists, film or television scripts, or detailed production budgets shall be treated by the office and the department as proprietary and confidential.
(Act 2009-144, p. 268, §5.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
A qualified production company that intends to expend in the aggregate one hundred fifty thousand dollars ($150,000) or more in connection with a qualified production in the State of Alabama within a consecutive 12-month period, upon making application for, meeting the requirements of, and receiving written certification of that designation from the office, shall be exempted from the payment of the state portion, but not the local portion of sales, use, and lodging taxes levied pursuant to Sections 40-23-2, 40-23-61, and 40-26-1, respectively, on production expenditures expended in Alabama in connection with the state-certified productions. The exemption provided by this section shall not be available for production expenditures incurred by a qualified production company after the first twenty million dollars ($20,000,000) of production expenditures expended in Alabama on a state-certified project.
(Act 2009-144, p. 268, §6; Act 2011-695, p. 2123, §1; Act 2012-212, p. 378, §1.)
[Repealed]
AMENDED BY ACT 2026-540, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
(a) A qualified production company that intends to produce all or any part of a qualified production project in Alabama and desires to be exempted from the payment of state sales, use, and lodging taxes levied pursuant to Sections 40-23-2, 40-23-61, and 40-26-1, respectively, shall provide an estimate of total expenditures expected to be made in Alabama in connection with the production project. The estimate of expenditures shall be filed with the office before the commencement of the project in Alabama.
(b) At the time the qualified production company provides the estimate of expenditures to the department, it also shall designate a member or representative of the company to work with the office and the department on reporting of expenditures and other information necessary to take advantage of the sales, use, and lodging tax exemptions afforded by this article.
(c)(1) An application for the sales, use, and lodging tax exemptions provided in this article may be accepted only from those qualified production companies that report anticipated expenditures in the State of Alabama in the aggregate equal to or exceeding one hundred fifty thousand dollars ($150,000) in connection with the production of one or more qualified production projects in the State of Alabama within a consecutive 12-month period.
(2) The application shall be approved by the office.
(3) Once the application is approved by the office, the department shall issue sales, use, and lodging tax exemption certificates to the qualified production company as evidence of the exemptions. The exemptions are effective on the date the certificate is issued by the department.
(d) A qualified production company that is approved and receives sales, use, and lodging tax exemption certificates, but fails to expend one hundred fifty thousand dollars ($150,000) within a consecutive 12-month period, is liable for the sales, use, and lodging taxes that would have been paid had the approval not been granted; except that the company must be given a 60-day period in which to pay the sales, use, and lodging taxes without incurring penalties. The sales, use, and lodging taxes are considered due as of the date the tangible personal property was purchased in or brought into Alabama for use, storage, or consumption for purposes of state sales and use taxes and due as of the date that lodgings occur for purposes of state lodging taxes.
(e) Upon completion of a qualified production, the company shall return the sales, use, and lodging tax exemption certificates to the department and submit a report to the office of the actual expenditures made in Alabama in connection with the qualified production.
(f) Notwithstanding Act 98-192, the sales and use tax exemption provided for in this article shall only apply to the state sales and use tax.
(Act 2009-144, p. 268, §7.)
[Repealed]
AMENDED BY ACT 2026-540, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The department and the office may collectively promulgate rules as are necessary to implement and administer this article.
(Act 2009-144, p. 268, §8.)
[Repealed]
AMENDED BY ACT 2026-540, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) For the fiscal year ending September 30, 2015, through the fiscal year ending September 30, 2025, the aggregate cap of incentives granted under this article shall not exceed twenty million dollars ($20,000,000) for all qualified production companies. For the fiscal year ending September 30, 2026, and all subsequent fiscal years, the aggregate cap of incentives granted under this article shall not exceed twenty-two million dollars ($22,000,000) for all qualified production expenditures.
(b) For the fiscal year ending September 30, 2026, and all subsequent fiscal years, two million dollars ($2,000,000) of the amounts in subsection (a) shall be reserved for music albums. In the event applications are not received and incentives are not allocated for music albums by July 1 of each year, the funds may be used for rebates to other qualified production companies.
(c) Any unspent incentives under this article in a fiscal year shall be carried over to the following fiscal year, provided that the total amount carried over in any fiscal year does not exceed three million dollars ($3,000,000).
(d) In addition to any reporting required by existing law for this article, the Department of Commerce shall contract with an out-of-state entity to review and evaluate this program and report the findings to the Legislature by the 1st legislative day of the 2027 Regular Legislative Session.
(Act 2009-144, p. 268, §9; Act 2012-212, p. 378, §1; Act 2025-414, §1.)
AMENDED BY ACT 2026-540, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE. (Amended by Act 2026-540)
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
(a) The Entertainment Industry Incentive Act of 2009, Article 3, commencing with Section 41-7A-40, Chapters 7A, of Title 41, is repealed effective December 31, 2028, unless extended by an act of the Legislature. Prior to the repeal of the incentive, the Department of Commerce shall report to the Legislature beginning in 2023 and annually thereafter, regarding the entertainment industry incentives, in accordance with Section 40-1-50.
(b) The repealing of the incentives in subsection (a) shall only affect the availability of the tax credits after December 31, 2028, and shall not cause a reduction or suspension of any credits awarded on or prior to December 31, 2028.
(Act 2023-546, §§ 9, 11.)
In order to aid in the development of higher ideals of citizenship and the enlargement of opportunity for culture and recreation and in order to afford an additional means for the further upbuilding of the educational facilities of the state, there shall be a Public Library Service, which shall be known as the Alabama Public Library Service and shall have as its chief objective the development of a cooperative system of providing books and library service for the various municipalities and counties of the state.
(Acts 1939, No. 171, p. 297; Code 1940, T. 55, §278; Acts 1959, No. 600, p. 1488.)
The Executive Board of the Alabama Public Library Service shall consist of seven members appointed by the Governor, of which one member shall be from each congressional district. Such members shall be qualified electors of the state and shall have resided in the state for five years next preceding their appointment and shall live in the congressional district which he or she represents. Appointments shall be for five years, and all vacancies, including expired and unexpired terms, shall be filled by the Governor by appointment. Provided, however, present members of the executive board shall continue in office until the first expiration of the term of any member, at which time and thereafter each board member shall represent the congressional district in which he or she resides with no two members residing in the same district, and any vacancies, for whatever reason, shall be filled accordingly. Members of the executive board shall be allowed $10.00 per day, not to exceed 20 days per year, plus travel expenses pursuant to Article 2 of Chapter 7 of Title 36. It shall be the duty and power of the executive board to conduct the affairs of the Public Library Service, to administer the funds received from the Treasury that are allocated to the Public Library Service and to be responsible for the program and for such other activities as would naturally be administered by such an executive board.
(Acts 1939, No. 171, p. 297; Code 1940, T. 55, §279; Acts 1959, No. 600, p. 1488; Acts 1988, No. 88-338, p. 514.)
The members of the executive board shall elect from its membership a chairman and vice-chairman.
The board shall appoint a director. The director shall be a graduate of an accredited library school who shall have had a minimum of three years of library experience in an administrative capacity or shall be a college graduate with a master’s degree with a major in library science who shall have had a minimum of five years of library experience in an administrative capacity. The director shall not be a member of the executive board and shall serve at the pleasure of the board. All other members of the staff of the service shall be appointed by the executive board on the nomination of the director and shall be subject to the provisions of the state Merit System law. The director shall keep a record of the proceedings of the board, shall keep accurate accounts of all financial transactions of the service, shall have charge of its work in organizing new libraries and improving those already established and in general perform such duties as may from time to time be assigned by the executive board.
(Acts 1939, No. 171, p. 297; Code 1940, T. 55, §281; Acts 1959, No. 600, p. 1488.)
The executive board shall make an annual report to the Governor. The report shall show public library conditions and progress in Alabama and a statement of the expenses and activities of the Public Library Service. These annual reports shall be printed as other annual reports of the state departments and shall be distributed by the board or the director thereof.
(Acts 1939, No. 171, p. 297; Code 1940, T. 55, §282; Acts 1959, No. 600, p. 1488.)
(a) The Alabama Public Library Service shall give advice to all free public, regional, municipal, and county libraries and to all communities in the state which may propose to establish public libraries, in the manner provided in this article, as to the best means of establishing and administering such Public Library Service, selecting and cataloging books and other details of library management and may send any of its staff to aid in organizing such libraries or to assist in the improvement of those already established. The service may advise as to the proper qualifications of librarians of free public, regional, municipal and county libraries and shall perform such other services consistent with and in furtherance of the purpose of this article as shall from time to time appear feasible. Moreover, the service shall advise as to arrangements as provided in Section 11-90-4, by which local governmental agencies may combine in the establishment of joint units of library service. The service may receive and shall administer all funds, books, or other property from whatever source, under such conditions as may be deemed necessary in order to carry out the purpose of this article; and, by the use of such means and methods as circumstances warrant, the service may acquire and operate traveling libraries, and circulate or loan such books and libraries among communities, libraries, library associations, social and civic clubs and organizations, and other public agencies and institutions under such conditions and rules as the board deems necessary in order to protect the interests of the state and to increase the efficiency and promote the extension of public library service throughout the state.
(b) The Alabama Public Library Service, through its board, shall have the authority to make exceptions in their criteria for receiving state aid as they relate to educational requirements and hours of operation.
(Acts 1939, No. 171, p. 297; Code 1940, T. 55, §280; Acts 1959, No. 600, p. 1488; Acts 1982, No. 82-154, §4.)
The Executive Board of the Alabama Public Library Service may, upon such terms and conditions as it may fix, award scholarships or grants in the field of library science on the graduate or undergraduate level to persons of high integrity whom it may select to the extent that funds are available therefor from funds not otherwise obligated which are available to the Alabama Public Library Service in accordance with the state plan provided for by United States Public Law 597, approved June 19, 1965, the “Library Services Act,” as now exists or is hereafter amended or replaced.
(Acts 1961, No. 812, p. 1188, §1.)
The Alabama Public Library Service shall each year obtain from all free public libraries in the State of Alabama reports showing the conditions, growth, development and conduct of said libraries. This provision shall not apply to the libraries of the Supreme Court of Alabama, the Department of Archives and History or school libraries aided and supervised by the Department of Education and the libraries of institutions of higher learning.
(Acts 1915, No. 693, p. 745; Code 1923, §1400; Acts 1939, No. 171, p. 297; Code 1940, T. 55, §§257, 283; Acts 1959, No. 600, p. 1488; Acts 1982, No. 82-154, §4.)
This article shall in no way affect the administration and supervision of public school libraries which have been or may hereafter be established by aid through the Department of Education, except by agreement, nor shall this article affect in any way the administration and supervision of public school libraries under the control of any city or county board of education, except by agreement; nor shall it, except by agreement, affect or apply to libraries of institutions of higher learning nor to free public libraries in counties where a city having a population of not less than 65,000 already maintains a free public library.
(Acts 1939, No. 171, p. 297; Code 1940, T. 55, §284.)
As used in Section 41-8-10, the term “registration records” includes any information which a library requires a patron to provide in order to become eligible to borrow books and other materials, and the term “circulation records” includes all information which identifies the patrons utilizing particular books and any other library materials in any medium or format.
(Acts 1983, No. 83-565, p. 866, §1.)
It is recognized that public library use by an individual should be of confidential nature. Any other provision of general, special, or local law, rule, or regulation to the contrary notwithstanding, the registration and circulation records and information concerning the use of the public, public school, college and university libraries of this state shall be confidential. Registration and circulation records shall not be open for inspection by, or otherwise available to, any agency or individual except for the following entities: (a) the library which manages the records; (b) the state education department for a library under its jurisdiction when it is necessary to assure the proper operation of such library; or (c) the state Public Library Service for a library under its jurisdiction when it is necessary to assure the proper operations of such library. Aggregate statistics shown from registration and circulation records, with all personal identification removed, may be released or used by a library for research and planning purposes. Provided however, any parent of a minor child shall have the right to inspect the registration and circulation records of any school or public library that pertain to his or her child.
(Acts 1983, No. 83-565, p. 866, §2.)
As used in the compact, “state library agency” with reference to this state means the Alabama Public Library Service.
(Acts 1973, No. 1121, p. 1884, §3.)
The Interstate Library Compact is hereby enacted into law and entered into by this state with all states legally joining therein in the form substantially as follows:
INTERSTATE LIBRARY COMPACT.
Article I. Policy and Purpose.
Because the desire for the services provided by libraries transcends governmental boundaries and can most effectively be satisfied by giving such services to communities and people regardless of jurisdictional lines, it is the policy of the states party to this compact to cooperate and share their responsibilities; to authorize cooperation and sharing with respect to those types of library facilities and services which can be more economically or efficiently developed and maintained on a cooperative basis and to authorize cooperation and sharing among localities, states and others in providing joint or cooperative library services in areas where the distribution of population or of existing and potential library resources makes the provision of library service on an interstate basis the most effective way of providing adequate and efficient service.
Article II. Definitions.
As used in this compact:
(a) “Public library agency” means any unit or agency of local or state government operating or having power to operate a library.
(b) “Private library agency” means any nongovernmental entity which operates or assumes a legal obligation to operate a library.
(c) “Library agreement” means a contract establishing an interstate library district pursuant to this compact or providing for the joint or cooperative furnishing of library services.
Article III. Interstate Library Districts.
(a) Any one or more public library agencies in a party state in cooperation with any public library agency or agencies in one or more other party states may establish and maintain an interstate library district. Subject to the provisions of this compact and any other laws of the party states which pursuant hereto remain applicable, such district may establish, maintain and operate some or all of the library facilities and services for the area concerned in accordance with the terms of a library agreement therefor. Any private library agency or agencies within an interstate library district may cooperate therewith, assume duties, responsibilities and obligations thereto and receive benefits therefrom as provided in any library agreement to which such agency or agencies become party.
(b) Within an interstate library district and as provided by a library agreement, the performance of library functions may be undertaken on a joint or cooperative basis or may be undertaken by means of one or more arrangements between or among public or private library agencies for the extension of library privileges to the use of facilities or services operated or rendered by one or more of the individual library agencies.
(c) If a library agreement provides for joint establishment, maintenance or operation of library facilities or services by an interstate library district, such district shall have power to do any one or more of the following in accordance with such library agreement:
Undertake, administer and participate in programs or arrangements for securing, lending or servicing of books and other publications, any other materials suitable to be kept or made available by libraries and library equipment or for the dissemination of information about libraries, the value and significance of particular items therein and the use thereof.
Accept for any of its purposes under this compact any and all donations and grants of money, equipment, supplies, materials, and services (conditional or otherwise) from any state or the United States or any subdivision or agency thereof, or interstate agency, or from any institution, person, firm or corporation, and receive, utilize, and dispose of the same.
Operate mobile library units or equipment for the purpose of rendering bookmobile service within the district.
Employ professional, technical, clerical, and other personnel and fix terms of employment, compensation and other appropriate benefits and, where desirable, provide for the in-service training of such personnel.
Acquire, hold, and dispose of any real or personal property or any interest or interests therein as may be appropriate to the rendering of library service.
Construct, maintain and operate a library, including any appropriate branches thereof.
Do such other things as may be incidental to or appropriate for the carrying out of any of the foregoing powers.
Article IV. Interstate Library Districts, Governing Board.
(a) An interstate library district which establishes, maintains, or operates any facilities or services in its own right shall have a governing board which shall direct the affairs of the district and act for it in all matters relating to its business. Each participating public library agency in the district shall be represented on the governing board, which shall be organized and conduct its business in accordance with provisions therefor in the library agreement. But in no event shall a governing board meet less often than twice a year.
(b) Any private library agency or agencies party to a library agreement establishing an interstate library district may be represented on or advise with the governing board of the district in such manner as the library agreement may provide.
Article V. State Library Agency Cooperation.
Any two or more state library agencies of two or more of the party states may undertake and conduct joint or cooperative library programs, render joint or cooperative library services, and enter into and perform arrangements for the cooperative or joint acquisition, use, housing, and disposition of items or collections of materials which, by reason of expense, rarity, specialized nature, or infrequency of demand therefor would be appropriate for central collection and shared use. Any such programs, services or arrangements may include provision for the exercise on a cooperative or joint basis of any power exercisable by an interstate library district and an agreement embodying any such program, service, or arrangement shall contain provisions covering the subjects detailed in Article VI of this compact for interstate library agreements.
Article VI. Library Agreement.
(a) In order to provide for any joint or cooperative undertaking pursuant to this compact, public and private library agencies may enter into library agreements. Any agreement executed pursuant to the provisions of this compact shall, as among the parties to the agreement:
(1) Detail the specific nature of the services, programs, facilities, arrangements, or properties to which it is applicable.
(2) Provide for the allocation of costs and other financial responsibilities.
(3) Specify the respective rights, duties, obligations, and liabilities of the parties.
(4) Set forth the terms and conditions for duration, renewal, termination, abrogation, disposal of joint or common property, if any, and all other matters which may be appropriate to the proper effectuation and performance of the agreement.
(b) No public or private library agency shall undertake to exercise itself, or jointly with any other library agency, by means of a library agreement any power prohibited to such agency by the constitution or statutes of its state.
(c) No library agreement shall become effective until filed with the compact administrator of each state involved and approved in accordance with Article VII of this compact.
Article VII. Approval of Library Agreements.
(a) Every library agreement made pursuant to this compact shall, prior to and as a condition precedent to its entry into force, be submitted to the Attorney General of each state in which a public library agency party thereto is situated, who shall determine whether the agreement is in proper form and compatible with the laws of his or her state. The attorneys general shall approve any agreement submitted to them unless they shall find that it does not meet the conditions set forth herein and shall detail in writing addressed to the governing bodies of the public library agencies concerned the specific respects in which the proposed agreement fails to meet the requirements of law. Failure to disapprove an agreement submitted hereunder within 90 days of its submission shall constitute approval thereof.
(b) In the event that a library agreement made pursuant to this compact shall deal in whole or in part with the provision of services or facilities with regard to which an officer or agency of the state government has constitutional or statutory powers of control, the agreement shall, as a condition precedent to its entry into force, be submitted to the state officer or agency having such power of control and shall be approved or disapproved by him or her or it as to all matters within his, hers, or its jurisdiction in the same manner subject to the same requirements governing the action of the attorneys general pursuant to paragraph (a) of this article. This requirement of submission and approval shall be in addition to and not in substitution for the requirement of submission to and approval by the attorneys general.
Article VIII. Other Laws Applicable.
Nothing in this compact or in any library agreement shall be construed to supersede, alter, or otherwise impair any obligation imposed on any library by otherwise applicable law, nor to authorize the transfer or disposition of any property held in trust by a library agency in a manner contrary to the terms of such trust.
Article IX. Appropriations and Aid.
(a) Any public library agency party to a library agreement may appropriate funds to the interstate library district established thereby in the same manner and to the same extent as to a library wholly maintained by it and, subject to the laws of the state in which such public library agency is situated, may pledge its credit in support of an interstate library district established by the agreement.
(b) Subject to the provisions of the library agreement pursuant to which it functions and the laws of the states in which such district is situated, an interstate library district may claim and receive any state and federal aid which may be available to library agencies.
Article X. Compact Administrator.
Each state shall designate a compact administrator with whom copies of all library agreements to which this state or any public library agency thereof is party shall be filed. The administrator shall have such other powers as may be conferred upon him or her by the laws of his state and may consult and cooperate with the compact administrators of other party states and take such steps as may effectuate the purposes of this compact. If the laws of a party state so provide, such state may designate one or more deputy compact administrators in addition to its compact administrator.
Article XI. Entry Into Force and Withdrawal.
(a) This compact shall enter into force and effect immediately upon its enactment into law by any two states. Thereafter, it shall enter into force and effect as to any other state upon the enactment thereof by such state.
(b) This compact shall continue in force with respect to a party state and remain binding upon such state until six months after such state has given notice to each other party state of the repeal thereof. Such withdrawal shall not be construed to relieve any party to a library agreement entered into pursuant to this compact from any obligation of that agreement prior to the end of its duration as provided therein.
Article XII. Construction and Severability.
This compact shall be liberally construed so as to effectuate the purposes thereof. The provisions of this compact shall be severable; and, if any phrase, clause, sentence or provision of this compact is declared to be contrary to the constitution of any party state or of the United States or the applicability thereof to any government, agency, person or circumstance is held invalid, the validity of the remainder of this compact and the applicability thereof to any government, agency, person or circumstance shall not be affected thereby. If this compact shall be held contrary to the constitution of any state party thereto, the compact shall remain in full force and effect as to the remaining states and in full force and effect as to the state affected as to all severable matters.
(Acts 1973, No. 1121, p. 1884, §1.)
The Director of the Alabama Public Library Service shall be the compact administrator pursuant to Article X of the compact. The Director of the Alabama Public Library Service may appoint one or more deputy compact administrators pursuant to said article.
(Acts 1973, No. 1121, p. 1884, §5.)
No county, municipality or other political subdivision of this state shall be party to a library agreement which provides for the construction or maintenance of a library pursuant to Article III, subdivision (c) 7 of the compact nor pledge its credit in support of such a library or contribute to the capital financing thereof, except after compliance with any laws applicable to such counties, municipalities or other political subdivisions relating to or governing capital outlays and the pledging of credit.
(Acts 1973, No. 1121, p. 1884, §2.)
(a) An interstate library district lying partly within this state may claim and be entitled to receive state aid in support of any of its functions to the same extent and in the same manner as such functions are eligible for support when carried on by entities wholly within this state. For the purposes of computing and apportioning state aid to an interstate library district, this state will consider that portion of the area which lies within this state as an independent entity for the performance of the aided function or functions and compute and apportion the aid accordingly.
(b) Subject to any applicable laws of this state, such a district also may apply for and be entitled to receive any federal aid for which it may be eligible.
(Acts 1973, No. 1121, p. 1884, §4.)
In the event of withdrawal from the compact the Governor shall send and receive any notices required by Article XI (b) of the compact.
(Acts 1973, No. 1121, p. 1884, §6.)
It is the intent of the Legislature that:
(1) State publications of public interest be made available to the public.
(2) An efficient distribution and depository system of state publications be established.
(3) The preservation of all state publications having historical value be ensured.
(Acts 1993, No. 93-257, p. 384, §1.)
As used in this article, the following words shall have the following meanings:
(1) DEPOSITORY. An institution which contracts with the Alabama Public Library Service to participate in the state publications depository system.
(2) STATE AGENCY. Any permanent or temporary state office, department, division or unit, bureau, board, commission, task force, authority, institution, state college or university, or other unit of state government, whether executive, legislative, or judicial.
(3) STATE PRINTER. The state print shop, a commercial printer under contract with a state agency, or a state agency print shop.
(4) STATE PUBLICATION. Any document issued by a state agency which the agency may legally release for public distribution, but does not include any of the following:
Code of Alabama.
Bound volumes of the Acts of Alabama.
Legislative bills, journals, and slip laws.
The Alabama Digest.
Alabama Reporter.
Any other items prepared for commercial sales.
Correspondence, interoffice or intraoffice memoranda, routine forms, other internal records, or any other item of a strictly administrative nature.
Any document published pursuant to the Administrative Procedure Act.
Indices prepared by the Legislative Services Agency.
(Acts 1993, No. 93-257, p. 384, §2.)
There is created as a program of the Alabama Public Library Service, an Alabama Clearinghouse for State Publications. The clearinghouse shall establish and operate a state publications depository system for Alabama publications. The Alabama Public Library Service shall promulgate reasonable rules and regulations necessary to implement this article.
(Acts 1993, No. 93-257, p. 384, §3.)
(a) The state printer or the responsible state agency shall forward at the expense of the agency at least nine copies of every state publication to the clearinghouse. The clearinghouse shall distribute these copies as follows:
(1) Two to the Alabama Department of Archives and History for permanent retention in its historical collection.
(2) Two to the Library of Congress.
(3) Five to the Alabama Public Library Service to be distributed as follows:
a. One for its reference use.
b. Two for its circulation.
c. Two for reproduction by the Alabama Public Library Service for distribution to depositories.
(b) If the clearinghouse determines that a publication cannot be reproduced in a more suitable format for distribution, the state printer or the responsible state agency shall provide additional copies equal to the number of state publications depositories.
(c) When appropriate for distribution, the clearinghouse shall distribute one copy of every state publication to each state publications depository.
(d) The clearinghouse shall not engage in general public distribution of either state publications or lists of publications. This article shall not affect the existing distribution of state publications by state agencies, except that each state agency shall deposit in the clearinghouse the number of copies of each state publication published by it, certified by the clearinghouse.
(Acts 1993, No. 93-257, p. 384, §4.)
(a) Every state agency shall designate one of its employees as the publications officer for the agency and notify the clearinghouse of the identity of the publications officer.
(b) Each publications officer shall provide the clearinghouse with nine or more copies of each state publication of the state agency that was not printed by a state printer. Each publications officer shall compile and forward required lists of the state publications of the agency to the clearinghouse and provide other related information as may be requested.
(Acts 1993, No. 93-257, p. 384, §5.)
(a) The clearinghouse may enter into depository contracts with any municipal or county public library, public library system, state agency, in-state college or university library, or out-of-state research libraries. The requirements for eligibility to contract as a depository library shall be established by the clearinghouse. The standards shall include, but not be limited to, the type of library, the ability to preserve the publications and make them available for public use, and the location and accessibility of the library.
(b) Each depository library shall abide by the rules and regulations promulgated by the Alabama Public Library Service. Noncompliance with the contract shall result in the loss of depository status.
(Acts 1993, No. 93-257, p. 384, §6.)
The clearinghouse shall issue periodic lists of state publications to the depositories.
(Acts 1993, No. 93-257, p. 384, §7.)
Funding for the clearinghouse program shall be from separate appropriations provided to the Alabama Public Library Service in a program entitled “Alabama Clearinghouse for State Publications.” This article shall not be implemented until the Alabama Public Library Service has determined that sufficient funds have been appropriated for its implementation.
(Acts 1993, No. 93-257, p. 384, §8.)
This article shall not require state agencies to supply copies of publications produced prior to the implementation date of this article.
(Acts 1993, No. 93-257, p. 384, §9.)
(a) The following words, when used in this chapter, shall have the meanings ascribed to them below, unless the context clearly indicates a different meaning:
(1) LAW ENFORCEMENT and CRIMINAL JUSTICE. Any activity pertaining to crime prevention, control or reduction or enforcement of the criminal law, including, but not limited to, police efforts to prevent, control or reduce crime or to apprehend criminals, activities of courts having criminal jurisdiction and related agencies (including prosecutorial and defender services), activities of corrections, probation or parole authorities and programs relating to the prevention, control or reduction of juvenile delinquency or alcoholism, narcotic, and drug addiction.
(2) STATE. The State of Alabama and all political subdivisions thereof.
(3) UNIT OF GENERAL LOCAL GOVERNMENT or UNIT OF LOCAL GOVERNMENT. Any city, county, township, town, borough, village or other general purpose political subdivision of the State of Alabama which performs law enforcement functions as determined by the United States Secretary of the Interior, or as may be otherwise defined by the Alabama Law Enforcement Planning Agency.
(4) COMBINATION. Such term, as applied to state agencies or departments or units of local government, means any grouping or joining together of such state agencies, departments, or units for the purpose of preparing, developing or implementing a law enforcement plan.
(5) METROPOLITAN AREA. A standard metropolitan statistical area as established by the Bureau of the Budget of the United States, subject, however, to such modifications and extensions as the Law Enforcement Assistance Administration may determine to be appropriate from time to time.
(6) PUBLIC AGENCY. Any state agency or state department or unit of local government, combination of such state agencies, departments, or units or any department, agency or instrumentality of any of the foregoing described state agencies, units, or departments within the State of Alabama.
(7) JUVENILE CORRECTIONAL INSTITUTION or FACILITY. Any place for the confinement or rehabilitation of juvenile offenders or individuals charged with or convicted of criminal offenses.
(8) COMPREHENSIVE. The plan must be a total and integrated analysis of the problems regarding the law enforcement and criminal justice system within the State of Alabama; goals, priorities and standards must be established in the plan and the plan must address methods, organization and operation performance, physical and human resources necessary to accomplish crime prevention, identification, detection, and apprehension of suspects, adjudication, custodial treatment of suspects and offenders and institutional and noninstitutional rehabilitative measures.
(9) TREATMENT. Such term includes, but is not limited to, medical, educational, social, psychological and vocational services, corrective and preventive guidance and training, and other rehabilitative services designed to protect the public and benefit the addict or other user by eliminating his dependence on addicting or other drugs or by controlling his dependence, his susceptibility to addiction or use.
(10) ACRONYMS. The acronyms as used herein are as follows:
a. ALEPA. The Alabama Law Enforcement Planning Agency.
b. LEAA. The Law Enforcement Assistance Administration.
c. RPU. Regional Planning Unit.
(11) STATE BOARD. The Alabama Law Enforcement Planning Agency’s State Supervisory Board.
(12) REGIONAL BOARDS. The regional advisory planning boards and the high crime commission’s advisory board.
(13) SAFE STREETS ACT. The Omnibus Crime Control and Safe Streets Act of 1968, as amended.
(14) CENTRAL OFFICE. The ALEPA office in Montgomery, Alabama.
(Acts 1978, No. 820, p. 1195, §1-101.)
(a) There is hereby established within the executive department of the State of Alabama, under the general authority, policy direction and general control of the chief executive, the Governor of the State of Alabama, an Alabama Law Enforcement Planning Agency (hereinafter referred to as the agency or ALEPA or the administrative agency) composed of a staff which shall carry out the planning and administrative functions of said agency.
(b) Central responsibility for the development, maintenance, operation, and administration of the Alabama Law Enforcement Planning Agency shall be vested with the director of ALEPA under the general overview of the ALEPA State Supervisory Board.
(c) The director shall maintain the necessary staff along with support services necessary to enable the effective and efficient performance of the duties and responsibilities ascribed to ALEPA herein.
(Acts 1978, No. 820, p. 1195, §1-102.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-103.)
(a) The ALEPA Director shall:
(1) Supervise and be responsible for the administration of the policies established by the state supervisory board in accordance with the Safe Streets Act and LEAA regulations and guidelines.
(2) Establish, consolidate or abolish any administrative subdivision within the Alabama Law Enforcement Planning Agency and appoint and remove for cause the heads thereof, and delegate appropriate powers and duties to them.
(3) Establish and administer programs and projects for the operation of ALEPA.
(4) Appoint and remove employees of ALEPA as provided by law and delegate appropriate powers and duties.
(5) Make rules and regulations for the management and the administration of policies of ALEPA and the conduct of employees under his jurisdiction.
(6) Collect, develop, and maintain statistical information, records, and reports as the state supervisory board may determine relevant to the functions of ALEPA.
(7) Execute and carry out the provisions of all contracts, leases, and agreements authorized by the state supervisory board with agencies of federal, state or local governments, corporations or persons.
(8) Perform such additional duties as may be assigned to him or her by the state supervisory board, the chairperson of the board, the Governor, or by law.
(b) The ALEPA Director is authorized to accept block grants, discretionary grants, or any other funds from the federal government or state government as pertains to law enforcement and the criminal justice system, including juvenile justice and juvenile delinquency prevention, or any other federal grant designated by the Governor.
(c) The ALEPA Director shall have the authority to administratively reject any subgrant application which is not in compliance with the state comprehensive plan, the state supervisory board policy directives, the Safe Streets Act or LEAA requirements or is incorrect in regard to fiscal computations, and if no funds are available under the program area for which applied.
(Acts 1978, No. 820, p. 1195, §1-111.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-104.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-105.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-106.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-107.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-108.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-109.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §1-110.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1978, No. 820, p. 1195, §2-201.)
(a) The provisions of this chapter are cumulative and shall not be construed to repeal or supersede any laws not inconsistent herewith.
(b) Should any provision of this chapter be found to be in conflict with the Omnibus Crime Control and Safe Streets Act of 1968, as amended, then, and in that event only, the Safe Streets Act shall be deemed to prevail, and to such limited extent this chapter is abridged and is subject to the provisions of the Safe Streets Act.
(Acts 1978, No. 820, p. 1195, §3-302.)
[Reserved]
(a) As used in this section, “board” means any board, authority, or commission comprised of individual members, of which some or all members are appointed, as established under state law.
(b) Any individual appointed to a board by the Governor, the Lieutenant Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Minority Leader of the House of Representatives, or the Minority Leader of the Senate pursuant to a state law that authorizes the appointment shall serve at the pleasure of the Governor, the Lieutenant Governor, the Speaker of the House, the President Pro Tempore of the Senate, the House Minority Leader, or the Senate Minority Leader, as the case may be.
(c)(1) Notwithstanding any law to the contrary, including any law providing a specific removal process, the Governor, the Lieutenant Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Minority Leader of the House of Representatives, and the Minority Leader of the Senate, at any time, may remove any board member over which he or she has appointing authority.
(2) Any board member removed pursuant to subdivision (1) shall be replaced in accordance with existing law by the respective appointing authority, provided the new member meets the applicable qualifications to serve on the board, as set forth in the relevant state law.
(d) This section does not authorize the Governor to remove any individual whom the Governor previously appointed to fill a vacancy of an elected office.
(e) This section does not apply to the Alabama State Port Authority, the State Ethics Commission, or to the governing board of any two-year or four-year public institution of higher education.
(Act 2026-555, §1.)
There shall be a commission to be known as the Art Commission.
(Acts 1919, No. 636, p. 880; Code 1923, §79; Code 1940, T. 55, §328.)
The commission shall consist of the Governor, the Superintendent of Education, the Director of Transportation, the Director of the Department of Archives and History, all ex officio members and six other members to be appointed by the Governor, which said appointive members shall be qualified by training, previous experience, profession, or occupation in the fine and useful arts. The commissioners shall be appointed for a term of six years; and, on the resignation or death of a member, his successor shall be appointed by the Governor to serve out the unexpired term. The members of the commission shall serve without compensation.
(Acts 1919, No. 636, p. 880; Code 1923, §80; Code 1940, T. 55, §329.)
(a) The commission may receive donations and contributions to carry on its work. It may establish and maintain permanent offices and rooms. It may elect an executive officer, employ other officers and employees, and fix their compensation. It shall hold an annual meeting and as many special meetings as may be necessary to conduct its business. Its books shall be subject to examination by the Department of Examiners of Public Accounts. It shall have power to adopt such rules and regulations, not inconsistent with the provisions of this chapter, as may be necessary for the execution of the powers and duties herein conferred.
(b) The commission shall encourage the study of the fine and useful arts and art teaching, shall make investigations and surveys, shall adopt standards and shall do and perform such other things as will promote an interest in art in all of its relations. When called upon by state, county, or municipal officials or by the trustees or other officials of state or private institutions or by individuals, it shall advise in determining plans, designs, and models for buildings, parks, statues, fountains, and public monuments or in the making of additions or alterations in existing buildings. It may maintain permanent or temporary exhibitions and a library of art and allied subjects.
(Acts 1919, No. 636, p. 880; Code 1923, §§81, 83; Code 1940, T. 55, §§330, 332.)
The commission may make an annual report to the Governor and may issue such other publications as are necessary to better develop its activities, all to be printed and distributed as other state documents.
(Acts 1919, No. 636, p. 880; Code 1923, §82; Code 1940, T. 55, §331.)
(a) It is hereby found that many of our citizens lack the opportunity to view, enjoy, or participate in living theatrical performances, musical concerts, operas, dance and ballet recitals, art exhibits, examples of fine architecture, and the performing and fine arts generally. It is hereby further found that, with increasing leisure time, the practice and enjoyment of the arts are of increasing importance and that the general welfare of the people of the state will be promoted by giving further recognition to the arts as a vital aspect of our culture and heritage and as a valued means of expanding the scope of our educational programs.
(b) It is hereby declared to be the policy of the state to join with private patrons and with institutions and professional organizations concerned with the arts to insure that the role of the arts in the life of our communities will continue to grow and will play an ever more significant part in the welfare and educational experience of our citizens.
(Acts 1967, No. 551, p. 1300, §1.)
There is established a state commission to be known as the Alabama State Council on the Arts to honor the arts by providing grants, programs, and services that enhance the quality of life and economic vitality for all Alabamians by providing support for the state’s diverse and rich artistic resources. The council shall consist of 15 members, broadly representative of all fields of the performing and fine arts, to be appointed by the Governor from among residents of Alabama who are widely known for their competence and experience in connection with the performing and fine arts. When appointing members to the council, the Governor shall ensure that membership is reflective of the gender, race, and geographical makeup of the state. In making appointments, due consideration shall be given to the recommendations made by representative civic, educational, and professional associations and groups concerned with or engaged in the production or presentation of the performing and fine arts generally.
(Acts 1967, No. 551, p. 1300, §2; Acts 1969, No. 1065, p. 1986, §1; Acts 1987, No. 87-659, p. 1167; Act 2022-417, §1.)
The term of office of each member shall be six years; provided, however, that of the members first appointed, five shall be appointed for terms of two years, five for terms of four years and five for terms of six years. The council shall elect a chair and a vice-chair from the members of the council to serve at the pleasure of the council. The chair and vice-chair shall be the executive officers of the council. The council itself shall nominate three persons from the same geographical area to replace each of the members whose term of service is expiring, not less than six months prior to expiration of a regular term of service and promptly upon other occurrences of a vacancy. Vacancies shall be filled by appointment by the Governor from such nominees. The members of the council shall not receive any compensation for their services.
(Acts 1967, No. 551, p. 1300, §3; Acts 1976, No. 689, p. 952.)
The chair, with the approval of the council, may employ an executive director and such additional personnel as may be necessary to accomplish the purpose of this article. The executive director, consultants, advisors, and any such additional personnel as may be necessary shall serve at the pleasure of the council and shall be paid such compensation as may be specified by the council. Except for the executive director and employees paid by federal funds such additional personnel shall be subject to the provisions of the state Merit System Act receiving the same salaries for the position each employee holds as of August 21, 1981 unless such salary is less than the minimum set by the Merit System and in that instance such salary shall be raised to the minimum; and shall be eligible for participation in the state health insurance plan and benefits for state employees as provided in Sections 36-29-1 through 36-29-12 and they shall not be eligible for participation in the state Employees’ Retirement System.
(Acts 1967, No. 551, p. 1300, §4; Acts 1969, No. 1065, p. 1986, §2; Acts 1981, 1st Ex. Sess., No. 81-982, §1; Acts 1983, 2nd Ex. Sess., No. 83-131, §1.)
(a) The council may do all of the following:
(1) Issue or award honorariums whether as compensation for services or as gifts or donations, without entering into contracts and without regard to the state competitive bidding requirements in Chapters 4 and 16.
(2) Hold public and private hearings.
(3) Enter into contracts, within the limits of funds available therefor, with individuals, organizations, and institutions, for services furthering the educational objectives of the council’s program.
(4) Enter into contracts, within the limit of funds available therefor, with local and regional associations, for cooperative endeavors furthering the educational objectives of the council’s programs.
(5) Accept public or private gifts, grants, donations, or bequests of unrestricted funds.
(6) Acquire real property by lease or gift but not by purchase.
(7) Renovate, furnish, and maintain such real property and lease or sublease the same.
(8) Allocate and expend funds from all donations, income, and revenue from any source whatsoever coming into the State Treasury, for the fulfillment and accomplishment of the objectives for which the council was created.
(9) Make and sign any agreements and perform any acts that may be necessary to carry out the purposes of this article.
(b) All debts or obligations incurred by the council shall be solely and exclusively obligations of the council and shall not create an obligation of the State of Alabama or of any county or municipality.
(Acts 1967, No. 551, p. 1300, §6; Acts 1969, No. 1065, p. 1986, §3; Act 2022-417, §1.)
The duties of the council shall be:
(1) To stimulate and encourage throughout the state the study and presentation of the performing and fine arts and public interest and participation therein;
(2) To make such surveys as may be deemed advisable of public and private institutions engaged within the state in artistic and cultural activities, including, but not limited to, music, theatre, dance, painting, sculpture, architecture, and allied arts and crafts and to make recommendations concerning appropriate methods to encourage participation in and appreciation of the arts to meet the legitimate needs and aspirations of persons in all parts of the state;
(3) To take such steps as may be necessary and appropriate to encourage public interest in the cultural heritage of our state and to expand the state’s cultural resources; and
(4) To encourage and assist freedom of artistic expression essential for the well-being of the arts.
(Acts 1967, No. 551, p. 1300, §5.)
(a) The council shall be the official agency of this state to receive and disburse any funds made available by the National Foundation on the Arts and Humanities.
(b) The council may request and shall receive from any department, division, board, bureau, commission, or agency of the state such assistance and data as may be reasonably consistent with the facilities, personnel and duties of the organization to which the request is made so as to enable the council properly to carry out its powers and duties under this article.
(Acts 1967, No. 551, p. 1300, §7; Acts 1969, No. 1065, p. 1986, §4.)
The council shall make an interim report to the Governor and the Legislature not later than the thirtieth legislative day of the 1967 Regular Session of the Legislature and from time to time thereafter.
(Acts 1967, No. 551, p. 1300, §9.)
The purpose of this division is to provide a method of payment by the State of Alabama or any of its agencies, commissions, boards, institutions, or departments to persons for injuries to person or property or for death occasioned by the State of Alabama or any of its agencies, commissions, boards, institutions, or departments where in law, justice, or good morals the same should be paid.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §344.)
There shall be a Board of Adjustment to be composed of the Director of Finance, the State Treasurer, the Secretary of State and the State Auditor. The chair of said board shall be selected by the board from its members. The Secretary of State shall also be the secretary of said board and shall perform all the duties, powers and functions required of the secretary by the board. The Attorney General shall attend the meetings of the board and represent the State of Alabama in all proceedings before the board.
The Board of Adjustment shall be furnished with necessary quarters, stationery, and postage in the same manner as the same are furnished to other state officers, agencies, commissions, boards, institutions, or departments.
Any three of said board members shall constitute a quorum to transact business and discharge the functions of said board; provided, however, that in case there is an equal division of opinion on any decision or claim that the board is authorized to hear, the chairman of the board shall determine the decision in such instance.
The Board of Adjustment shall have the power, if, in its opinion the situation warrants it, to visit any scene of any injury or accident and make a view thereof and take said facts in consideration and personally interview such persons as may have knowledge or information as to the subject matter of the claim under consideration by said board and may take such views and information into consideration in reaching its conclusion and making awards on claims.
The Board of Adjustment shall supervise and direct the secretary of the board as to making a record as provided in Section 41-9-71 and shall aid and direct said secretary in making up a report of all cases heard and determined by said board, stating the substance of the claim and the disposition made of the case, and shall cause said cases to be classified under said board’s direction in accordance with the types and kinds of cases coming before said board.
(Acts 1935, No. 546, p. 1164; Acts 1939, No. 449, p. 602; Code 1940, T. 55, §333; Acts 1943, No. 421, p. 386.)
(a) The Board of Adjustment shall have the power and jurisdiction and it shall be its duty to hear and consider all of the following:
(1) All claims for damages to the person or property growing out of any injury done to either the person or property by the state or any of its agencies, commissions, boards, institutions, or departments, with the exception of claims by employees of the state for personal injury or death arising out of the course of employment with the state, where such employees are covered by an employee injury compensation program.
(2) All claims for personal injuries to or the death of any convict, and all claims for personal injuries to or the death of any employee of a city or county board of education, or college or university, arising out of the course of the employee’s employment and where the employee is not covered by a worker’s compensation program.
(3) All claims of members of the public at large or of officers of the law who are not employees of the state arising out of injuries sustained while attempting to recapture escaped convicts, which convicts have escaped after they have been placed in the actual custody of the Department of Corrections.
(4) All claims against the state or any of its agencies, commissions, boards, institutions, or departments arising out of any contract, express or implied, to which the State of Alabama or any of its agencies, commissions, boards, institutions, or departments are parties, where there is claimed a legal or moral obligation resting on the state.
(5) All claims for money overpaid on obligations to the state or any of its agencies, commissions, boards, institutions, or departments.
(6) All claims for money voluntarily paid to the state or any of its agencies, commissions, boards, institutions, or departments where no legal liability existed to make such payment.
(7) All claims for underpayment by the state or any of its agencies, commissions, boards, institutions, or departments to parties having dealings with the state or any of its agencies, commissions, boards, institutions, or departments.
(8) All claims for money or property alleged to have wrongfully escheated to the state.
(9) All claims for injury or death of any student enrolled in any of the public schools of this state resulting from an accident sustained while being transported to or from school or in connection with any school activity in any bus or any motor vehicle operated directly by any school board or agency of the state or through contract with another. Awards payable to any student for injuries sustained in such accident shall be equal to the maximum benefits payable to employees as provided in Chapter 5 of Title 25 for injuries, loss of time, or medical attendance. Where death results from the injuries, the amount payable to the parent or parents of such student shall be equal to the maximum amount payable to a totally dependent parent or parents as provided by Chapter 5 of Title 25. No payment for death of the student shall be made to any parent or parents unless they were actually supporting the student at the time of the accident causing the injuries and death. The fact that the student has no earning capacity or earns an average wage of less than the amount which would entitle the student to maximum benefits under Chapter 5 of Title 25 shall in no way limit an award to the student or his or her parent or parents. Awards for such injuries or death shall constitute a prior and preferred claim against monies appropriated for the minimum program fund, and no part of any award shall be charged against any funds allotted to the school board of the county or city or the district board of education of the independent school district where the accident occurred. If it appears to the Board of Adjustment after investigation that the accident causing the injury or death of the student was caused under circumstances also creating a legal liability for damages on the part of any party and it appears to the Board of Adjustment that a claim may be made against such party by the student, his or her parent or legal representative to recover damages, any payment otherwise due under this subdivision may be withheld by the Board of Adjustment pending final settlement of the claim. If the student or his or her parent or legal representative recovers damages against the party, any sum recovered and collected may be offset against payments due under this subdivision, and the balance due, if any, shall be promptly paid by the Board of Adjustment. This subdivision shall apply to all claims relating to injuries to school children filed with the board within one year of the date of an accident. Minor students shall have, for the purpose of this subdivision, the same power to contract, make elections of remedy, make settlements, and receive compensation as adults would have, subject to the power of the Board of Adjustment in its discretion at any time to require the appointment of a guardian to receive monies or awards. Payments of awards made to such minor students or their guardian shall exclude any further compensation either to the minor students or to their parents for loss of service or otherwise.
(b) The jurisdiction of the Board of Adjustment is specifically limited to the consideration of the claims enumerated in subsection (a) and no others. Nothing contained in this division shall confer upon the Board of Adjustment any jurisdiction now conferred by law upon the State Board of Compromise provided for in Sections 41-1-3 and 41-1-4, and nothing contained in this division shall be construed to confer jurisdiction upon the Board of Adjustment to settle or adjust any matter or claim of which the courts of this state have or had jurisdiction. Provided further, that the Board of Adjustment shall have no jurisdiction over claims growing out of forfeitures or of contracts with any state agency, commission, board, institution, or department where, by law or contract, the state agency, commission, board, institution, or department is made the final arbiter of any disagreement growing out of forfeitures or of contracts of the state agency, commission, board, institution, or department, and, particularly, the Board of Adjustment shall have no jurisdiction of disagreements arising out of contracts entered into by the Department of Transportation.
(c) Employees of municipalities and counties are not to be considered employees of the state or of any of its agencies, commissions, boards, institutions, or departments within the jurisdiction of the Board of Adjustment and within the meaning of the word “employee” as used in this section.
(d) The Board of Adjustment may approve uncontested claims on an expedited basis without a full hearing, subject to the forms and rules adopted under Section 41-9-66.
(Acts 1935, No. 546, p. 1164; Acts 1936-37, Ex. Sess., No. 173, p. 205; Code 1940, T. 55, §334; Acts 1953, No. 540, p. 755; Acts 1994, No. 94-680, p. 1308, §5; Act 2023-502, §1.)
A claimant shall have the right to file and prosecute his or her claim before the board in person or by counsel or agent of his or her own choice, whether such agent be licensed to practice law or not.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §344; Acts 1963, No. 307, p. 786, §2.)
Claims for death shall be made by the personal representative, who shall distribute the proceeds of the claim in the same manner as is provided by law with respect to damages awarded for death by wrongful act.
(Acts 1935, No. 546, p. 1164; Acts 1936-37, Ex. Sess., No. 173, p. 205; Code 1940, T. 55, §339.)
(a) Unless otherwise provided in this section, all claims must be presented to the Board of Adjustment within one year after the cause of action accrues.
(b) Claims for injury to the person resulting in death must be presented to the Board of Adjustment within two years after the cause of action accrues, unless the same is first carried into the courts of the state, in which event the statute of limitations shall not begin to run until the date on which a final judgment in the same, holding the claimant not entitled to relief through the courts of the state, is entered.
(c) In the matter of escheats to the State of Alabama, any such claim must be filed with the Board of Adjustment within 10 years from the time of the escheat to the State of Alabama; except, that the claims of minors may be considered by the Board of Adjustment if the claims are filed within three years after the minor has reached the age of 19 years.
(d) The Board of Adjustment is prohibited from hearing or considering any claim not filed within the time specified and the limitations provided in this section shall apply both to claims which have already accrued and to those which accrue after July 10, 1943.
(e) If a claim filed by a county or a department, agency, board, commission, public corporation, or instrumentality of a county on or after October 1, 2009, is based upon a state agency’s denial of a request for reimbursement of expenses required by law where the agency’s denial is based solely on grounds of failure to comply with an agency deadline, the board shall not uphold the agency’s denial on those grounds unless all of the following apply:
(1) The agency has promulgated written procedures for claiming reimbursement, which include timelines, which procedures have been approved by the agency head.
(2) A copy of the agency’s current written procedures has been distributed to all counties prior to the time the county or a department, agency, board, commission, public corporation, or instrumentality of the county incurred the expenses for which reimbursement is sought.
(3) The agency has properly applied its procedures in denying the claim for reimbursement of expenses submitted by the county or a department, agency, board, commission, public corporation, or instrumentality of the county.
(4) The agency provided written notice of the denial to the county or a department, agency, board, commission, public corporation, or instrumentality of the county within 14 days of its decision, which notice included instructions for appealing the decision to the Board of Adjustment.
(f) The Board of Adjustment’s one-year statute of limitations, as set out in subsection (a), shall apply to claims filed therein pursuant to subsection (e) and, for statute of limitations purposes, the Board of Adjustment claim shall be deemed to have accrued on the date the claim for reimbursement was denied by the state agency. The Board of Adjustment shall uphold the agency’s denial of reimbursement based solely on the failure to file timely if the reimbursement request is submitted to the agency more than 12 months after the November 30 following the close of the fiscal year in which the expense was incurred.
(Acts 1935, No. 546, p. 1164; Acts 1936-37, Ex. Sess., No. 173, p. 205; Code 1940, T. 55, §335; Acts 1943, No. 583, p. 585; Act 2010-693, p. 1681, §1.)
The Board of Adjustment may prescribe such forms and adopt such rules of evidence and procedure as it may deem necessary or proper, not inconsistent with the provisions of this division.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §337.)
(a) The Board of Adjustment shall have the power and it shall be its duty when any claim or claims for damages provided for in this division are presented to it to require any employee, agency, commission, board, institution, or department of the State of Alabama to furnish any documents or information deemed necessary by the Board of Adjustment and to require the presence of any person or the production of any documents in the same manner as in circuit court trials with the same rights as the circuit courts to punish for contempt.
(b) With the approval of the Governor and subject to the provisions of the Merit System, the Board of Adjustment may employ such necessary clerical or other help in ascertaining the facts incident to or growing out of claims presented to it and to make such investigations and to interview such witnesses as in the opinion of the Board of Adjustment are essential to ascertain the true facts upon which to base their findings and awards.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §338.)
(a) When claims are properly prepared and presented to the Board of Adjustment and, after ascertaining the facts in the case, it is directed to determine the amount of the injury, death, or disability or other injury or damage arising from contract or business and to fix the damages, using as its guide, when applicable, the ordinary rules of negligence and worker’s compensation laid down by the courts and the moral obligation of the State of Alabama, and to award and find the person entitled to payment and the amount, if any, which should be paid and any other facts necessary for a proper adjustment of claims. The ordinary rules of negligence as to liability are to be followed in claims by parties not employees of the State of Alabama or any of its agencies, commissions, boards, institutions, or departments. The rules of Chapter 5 of Title 25 as to liability are to be followed in claims for the injury or death of convicts, in claims for employment related injury or death of any employee of a city or county board of education, college or university, and in claims for injury or death of any employee of the State of Alabama arising out of employment with the state where the said employee is not covered by an employee injury compensation program.
(b) Whenever the provisions of this division authorize ascertainment of the amount of damages and provide for payment of the judgment, finding or award of the Board of Adjustment, they shall be construed to include also claims arising from contract or business dealings as well as for personal injury, property damage, death, and disability.
(Acts 1935, No. 546, p. 1164; Acts 1936-37, Ex. Sess., No. 173, p. 205; Code 1940, T. 55, §339; Acts 1994, No. 94-680, p. 1308, §6.)
The Board of Adjustment in its findings of facts and its findings and awards as to the amount of payment may also find the agency, commission, board, institution, or department of the State of Alabama which inflicted the injury or damage complained of, if it finds there is injury or damage done to persons or property, and may adjudge and find that said damage shall be paid out of the appropriation made to the agency, commission, board, institution, or department of the State of Alabama whose employees, servants, agents, or instrumentalities inflicted the damages and injuries complained of; provided, that the Board of Adjustment may order the payment of any claim out of any fund or funds appropriated for the purposes of this division.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §340.)
The Board of Adjustment shall not fix a greater amount to be paid on any claim for death or personal injuries than the limits fixed in Chapter 5 of Title 25 for injuries, loss of time, medical attendance, or death; provided, that convicts shall be considered as receiving the minimum wages mentioned in Chapter 5 of Title 25.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §336.)
The secretary of the Board of Adjustment shall make a record of and file in the office of the Secretary of State a history of the case, together with the findings and awards of the Board of Adjustment, and shall deliver to the agencies, commissions, boards, institutions, or departments against whom the award is made and by whom payment must be made a certified copy of its findings and awards.
Upon receipt of such a copy of the findings and awards of the Board of Adjustment, the agencies, commissions, boards, institutions, or departments will voucher and certify same to the Comptroller of the State of Alabama who is authorized and directed to draw his or her warrant in favor of the person or persons, association, or corporation found by the Board of Adjustment to be entitled to the damages in the amount of the damages so certified, and he or she shall charge the same to the appropriation as directed in said findings or awards.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §341; Acts 1984, 1st Ex. Sess., No. 84-758, p. 130.)
The Treasurer of the State of Alabama is authorized and directed to pay the warrants of the Comptroller, drawn pursuant to the findings and awards of the Board of Adjustment out of any money in the Treasury of the State of Alabama as directed by such findings and awards.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §342.)
There is hereby appropriated annually out of the General Fund of the State of Alabama, the State Insurance Fund, the fund of the Department of Corrections, the Education Trust Fund, the Special Mental Health Fund, or any other fund of the state, to be determined by the Board of Adjustment, an amount, not exceeding $1,000,000.00 for each fiscal year, as may be necessary to pay the claims ordered paid by the Board of Adjustment and its expenses. There is also hereby appropriated, for each fiscal year, an additional amount, not exceeding $175,000.00, from funds of the State Department of Transportation to pay the claims chargeable against the State Department of Transportation which are ordered paid by the Board of Adjustment and its expenses. There is also appropriated, in addition to the foregoing appropriations, from the State General Fund to the State Board of Adjustment, the sum of $400,000.00 for each fiscal year for the purpose of paying death benefits covered under the provisions of Article 1 of Chapter 30 of Title 36 of this Code.
(Acts 1935, No. 546, p. 1164; Code 1940, T. 55, §343; Acts 1951, No. 943, p. 1609; Acts 1963, No. 307, p. 786, §1; Acts 1965, 1st Ex. Sess., No. 218, p. 286; Acts 1977, No. 675, p. 1166; Acts 1982, No. 82-576, §1; Acts 1989, No. 89-870, p. 1745.)
(a) As part of the consideration of the employment or appointment of the Commissioner of the Board of Corrections, deputy commissioners of the Board of Corrections, members of the Board of Corrections and other officers, employees and agents of the Board of Corrections, whether part-time or full-time, the Board of Adjustment shall pay all final judgments awarded in courts of competent jurisdiction against the aforesaid commissioner, deputy commissioners, members of the Board of Corrections, officers, employees, and agents, for acts arising out of and performed in connection with their official duties in behalf of the State of Alabama, except to the extent that such coverage may be provided by an insurance carrier.
(b) Payment shall be limited to a maximum of $100,000.00 for all claims arising out of the same act.
(c) No part of this section shall be admissible evidence in any court of law wherein any of the officers or persons indemnified herein are parties. Nothing in this section shall be deemed to waive the sovereign immunity of the state with respect to a claim covered under this section or to authorize the payment by the state of any judgment or settlement against the aforesaid commissioner, deputy commissioners, members of the Board of Corrections, officers, employees, and agents, to the extent that the same exceeds the sum of $100,000.00.
(d) The provisions of this section shall not apply to the commissioner, any deputy commissioner, any member of the Board of Corrections and any other officer, employee and agent of the Board of Corrections who is found guilty of gross negligence or intentional or knowingly unlawful behavior.
(Acts 1979, No. 79-670, p. 1179.)
[Repealed]
Repealed by Act 2019-538, § 1, effective June 10, 2019.
(Acts 1979, No. 79-600, p. 1063, §1.)
[Repealed]
Repealed by Act 2019-538, § 1, effective June 10, 2019.
(Acts 1979, No. 79-600, p. 1063, §2.)
[Repealed]
Repealed by Act 2019-538, § 1, effective June 10, 2019.
(Acts 1979, No. 79-600, p. 1063, §3.)
[Repealed]
Repealed by Act 2019-538, § 1, effective June 10, 2019.
(Acts 1979, No. 79-600, p. 1063, §4.)
[Repealed]
Repealed by Act 2019-538, § 1, effective June 10, 2019.
(Acts 1979, No. 79-600, p. 1063, §5.)
This division shall be known and may be cited as Lisa’s Law.
(Act 2019-538, §2.)
As used in this division, the following terms shall have the following meanings:
(1) CONVICTED INDIVIDUAL. An individual convicted of a specified crime or a representative of the individual.
(2) EARNED INCOME. Income derived from an individual’s own labor or active participation in a business. The term does not include income from dividends or investments.
(3) FUNDS OF A CONVICTED INDIVIDUAL. Funds and property received from any source by a convicted individual. The term includes funds that a superintendent, sheriff, municipal official, or other correctional official receives on behalf of a convicted individual and deposits into the individual’s inmate or prisoner account to the credit of the individual. The term does not include funds from child support payments and earned income, except any income defined as profits from a crime.
(4) PERSON. An individual, corporation, estate, partnership, association, or other legal entity, or representative of such. The term does not include the state, a political subdivision of the state, or an individual who is a superintendent, sheriff, municipal official, or other correctional official required to give notice by this division.
(5) PROFITS FROM A CRIME. Any of the following:
a. Property or income of a convicted individual that the individual obtained or generated from the commission of the crime of which the individual was convicted.
b. Property or income that a convicted individual obtained or generated from the sale, conversion, or exchange of proceeds of a specified crime of which the individual was convicted.
c. Property or income generated as a result of having committed a specified crime of which a convicted individual was convicted, including through the use of unique knowledge obtained during the commission of, or in preparation for, the commission of a specified crime, as well as any property or income obtained or generated from the sale, conversion, or exchange of the property.
(6) REPRESENTATIVE. A person who represents or stands in the place of another person, including, but not limited to, an agent, assignee, attorney, guardian, committee, conservator, partner, receiver, administrator, executor or heir of another person, third-party beneficiary, or parent of a minor.
(7) SECURITIES COMMISSION. The Alabama Securities Commission.
(8) SPECIFIED CRIME. A felony offense involving moral turpitude, as described in Section 17-3-30.1, where the victim was a resident of this state at the time of the offense or the act or acts constituting the offense occurred in whole or in part of this state.
(9) VICTIM OF A CRIME. Any of the following:
a. A victim of a specified crime.
b. If the victim of a specified crime is deceased:
The surviving spouse of the victim.
If there is no surviving spouse, the next surviving person or surviving group of people in the order of intestate succession as listed in Section 43-8-42.
(Act 2019-538, §2.)
(a) A person that knowingly contracts for, pays for, or agrees to pay to a convicted individual profits from the crime or to the representative of the individual, shall give written notice to the Securities Commission of the payment or obligation to pay as soon as practicable after discovering that the payment or intended payment constitutes profits from a crime or funds of a convicted individual.
(b)(1) A superintendent, sheriff, municipal official, or other correctional official shall also give written notice to the Securities Commission of any payment or obligation to pay subject to the notice requirements of subsection (a) if he or she receives or will receive funds, the combined or aggregate value of which exceeds five thousand dollars ($5,000), on behalf of a convicted individual who is serving a sentence with the Alabama Department of Corrections or is otherwise confined at a local correctional facility and deposits or will deposit the funds into an inmate or prisoner account to the credit of the individual.
(2) Whenever the state or a political subdivision of the state makes a payment or has an obligation to pay funds of a convicted individual and the value, combined value, or aggregate value of the funds exceeds or will exceed five thousand dollars ($5,000), the state or political subdivision of the state shall also give written notice to the Securities Commission.
(3) In all other instances where the payment or obligation to pay involves funds of a convicted individual and the value, combined value, or aggregate value of the funds exceeds or will exceed five thousand dollars ($5,000), the convicted individual who receives or will receive the funds, or the representative of the individual, shall give written notice to the Securities Commission.
(Act 2019-538, §2.)
(a) Notwithstanding any other provision of law to the contrary, a victim of a crime may bring a civil action in a court of competent jurisdiction to recover restitution or money damages, or both, from the convicted individual who committed the crime or the individual’s representative.
(b) Notwithstanding any other provision of law to the contrary, a judgment obtained pursuant to this section is not subject to execution or enforcement against the first one thousand dollars ($1,000) deposited into an inmate or prisoner account to the credit of an inmate.
(c) In actions seeking relief pursuant to subsection (a), the claim must not be considered as having accrued until: (1) the actual discovery of the profits or funds; or (2) actual notice received from or published by the Securities Commission of the discovery of the profits or funds, whichever occurs first, after which a victim of a crime must have five years within which to prosecute the action.
(Act 2019-538, §2.)
Upon filing an action pursuant to subsection (a) of Section 41-9-85.3, the victim of a crime shall give notice to the Securities Commission of the filing by delivering a copy of the summons and complaint to the Securities Commission.
(Act 2019-538, §2.)
(a) The Securities Commission, acting on behalf of a victim of a crime, may apply for any and all provisional remedies that are also otherwise available to the victim.
(b) The provisional remedies of attachment, injunction, receivership, and notice of pendency available to the victim of the crime under existing law and the Alabama Rules of Civil Procedure shall also be available to the Securities Commission in all actions under this division.
(c) Upon the filing of a motion for a provisional remedy, the moving party shall state whether any other provisional remedy has previously been sought in the same action against the same defendant. The court may require the moving party to elect between those remedies to which it would otherwise be entitled.
(Act 2019-538, §2.)
(a) If a person knowingly and willfully fails to give notice in violation of Section 41-9-85.2, the Securities Commission, after notice and hearing pursuant to the Alabama Administrative Procedure Act, may impose an assessment of up to the amount of the payment or obligation to pay and a civil penalty of up to one thousand dollars ($1,000) or ten percent of the payment or obligation to pay, whichever is greater.
(b)(1) If a person fails to pay the assessment and civil penalty imposed by subsection (a), the assessment and civil penalty may be recovered from the person by an action brought by the Securities Commission in any court of competent jurisdiction.
(2) Notwithstanding any provision of law to the contrary, an alleged failure by a convicted individual to give notice under Section 41-9-85.2 may not result in proceedings for an alleged violation of the conditions of probation, parole, conditional release, post release supervision, or supervised release, unless all of the following occur:
a. A victim of a crime makes one or more claims pursuant to this division.
b. The Securities Commission imposes an assessment or penalty, or both, against the convicted individual pursuant to this division.
c. The convicted individual fails to pay the total amount of the assessment or penalty within 60 days of the imposition of the assessment or penalty.
(c) The Securities Commission may recover, from any assessment or civil penalty imposed under subsection (a), the actual cost of investigation, negotiation, settlement, or prosecution of the violation for which a penalty has been imposed. The expenses may include personnel costs, travel, per diem expenses, and any cost associated with retaining non-employee personnel to assist in collection or prosecution of the action.
(Act 2019-538, §2.)
(a) The Securities Commission, or any person designated by the Securities Commission, may do any of the following:
(1) Make public or private investigations, within or outside of the state, as deemed necessary to aid in the enforcement of this division.
(2) Require or permit any person to file a statement in writing, under oath or otherwise, as the Security Commission may determine, as to all facts and circumstances relating to the matter being investigated.
(3) Publish information concerning a violation of this division.
(4) Administer oaths and affirmations, subpoena witnesses, compel attendance, take evidence, and require the production of any books, papers, correspondence, memoranda, agreements, or other documents or records, in whatever form they may exist, that the Securities Commission deems relevant or material to an investigation.
(b) If a person fails to comply with a subpoena issued or refuses to appear, the Securities Commission may seek enforcement of the subpoena or order to appear in a court of competent jurisdiction.
(Act 2019-538, §2.)
The Securities Commission may retain any person or entity as required to implement and administer this division.
(Act 2019-538, §2.)
[Repealed]
Repealed by Act 2011-164, p. 297, §5, effective April 28, 2011.
(Acts 1980, No. 80-121, p. 171, §6.)
[Repealed]
Repealed by Act 2011-164, p. 297, §5, effective April 28, 2011.
(Acts 1939, No. 489, p. 703; Code 1940, T. 55, §348; Acts 1965, 2nd Ex. Sess., No. 128, p. 180; Acts 1973, No. 1241, p. 2088, §2; Acts 1980, p. 171, No. 80-121, §4; Acts 1982, No. 82-558, §1.)
[Repealed]
Repealed by Act 2015-435 effective October 1, 2015.
(Acts 1945, No. 128, p. 116, §1; Acts 1951, No. 356, p. 644, §1.)
Transferred to Section 41-4-400 by Act 2015-435.
(Acts 1945, No. 128, p. 116, §2; Acts 1993, No. 93-344, p. 533, §1.)
[Repealed]
Repealed by Act 2015-435 effective October 1, 2015.
(Acts 1993, No. 93-344, p. 533, §§2, 3.)
When used in this division, the following words and phrases shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) STATE BUILDING AND CONSTRUCTION. All buildings and other structures erected or acquired by or in behalf of the State of Alabama or any of its agencies or instrumentalities.
(2) SCHOOLHOUSE. Any building or other structure erected or acquired by the public schools of Alabama and also shall mean any private building in which 25 or more persons are congregated regularly for the purpose of instruction in any branch of knowledge.
(3) HOTEL. Any public inn or lodging house of 15 or more bedrooms, in which transient guests are lodged for pay.
(4) MOVING PICTURE THEATRE. Any building in which moving pictures are featured regularly for charge of admission.
(Acts 1945, No. 290, p. 480, §2.)
For the further protection of the people of Alabama, the Construction Management Division of the Department of Finance is authorized and directed hereby to promulgate and to enforce a code of minimum building standards. The code adopted by the Construction Management Division of the Department of Finance under the provisions of this section, after having been recorded in the Office of Secretary of State for 60 days, shall become effective.
The Construction Management Division of the Department of Finance shall have the code printed suitably immediately subsequent to its filing and shall distribute promptly the printed copies thereof in the same manner as acts of the Legislature are distributed; provided, however, that no charge may be collected by the Construction Management Division of the Department of Finance for copies of the code and that any person shall be furnished a copy upon request.
(Acts 1945, No. 290, p. 480, §1.)
(a) The code of minimum building standards promulgated and enforced by the Construction Management Division of the Department of Finance shall be applicable only to all state buildings and construction, schoolhouses, hotels, and moving picture theatres in Alabama.
(b) The effect of the building code shall be limited, in the cases of state building and construction and public schoolhouses, to buildings and structures erected or acquired after the operative date thereof. As to private schoolhouses, hotels, and moving picture theatres, the code shall apply to the place of conduct of each such business activity not employed or in the process of erection for that purpose prior to the effective date thereof.
(Acts 1945, No. 290, p. 480, §§2, 3.)
(a) The requirements of the building code shall be such that the safety, health, general welfare, and morals of the people of Alabama thereby will be protected.
(b) It shall be unlawful for any state building or construction or any public schoolhouse which does not conform to the requirements of the building code to be erected or acquired.
(c) It shall be unlawful for any person to operate a private school, hotel, or moving picture theatre which does not meet fully the requirements of the building code unless such building was used for that purpose prior to the effective date of the code.
(Acts 1945, No. 290, p. 480, §3.)
(a) For the purposes of this section, the following terms have the following meanings:
(1) PUBLIC BUILDING. A building or appurtenance to a building designed for public access and maintained for the public benefit through the use of state or local government funds.
(2) PUBLIC ENTITY. The same meaning as defined in 42 U.S.C. § 12131.
(3) RESPONSIBLE AUTHORITY. An organization, office, or individual responsible for enforcing code requirements or approving equipment, materials, installations, or procedures.
(b) Beginning January 1, 2028, a public entity that constructs a new public restroom accessible to both men and women in a public building, or that totally renovates an existing public restroom that is accessible to both men and women in a public building, shall do all of the following:
(1) Ensure that one or more of the public restrooms has a powered, height-adjustable, adult-size changing table that is capable of serving both a baby and an adult.
(2) Provide signage indicating the location of the public restroom with the changing table.
(3) Revise any existing central directory or map identifying the location of offices, restrooms, and other facilities to indicate the location of the public restroom with the changing table.
(4) Maintain, repair, and replace each changing table as necessary to ensure safety and ease of use.
(5) Clean each changing table with the same frequency as the public restrooms located within the facility.
(6) Provide sufficient clear floor space in the installation of adult-size changing tables to comply with the requirements of the 2010 Americans with Disabilities Act Standards for Accessible Design prescribed in 28 C.F.R. § 35.151 and 36 C.F.R. Part 1191, appendices B and D.
(c) Except as otherwise provided in subsection (d), this section only applies to new construction and to a total renovation of a restroom for which a permit has been obtained, for which the cost of renovation is at least five hundred thousand dollars ($500,000), and which totally removes all nonstructural interior walls, floor and ceiling finishes, mechanical systems, electrical systems, plumbing fixtures, and supply and waste lines. If a public building operated by a public entity is in compliance with the requirements of this section at the time of new construction or renovation, additional changing tables are not required.
(d) The responsible authority may grant an exemption from the requirements of this section if the responsible authority determines that any of the following apply:
(1) The installation would not be feasible.
(2) The installation would result in a failure to comply with the 2010 Americans with Disabilities Act standards for access for persons with disabilities.
(3) The installation would threaten or destroy the historic significance of a historic property.
(4) The public building is not frequented by the public.
(e) This section does not establish a private right of action.
(f) Beginning October 1, 2030, and every three years thereafter, the amount provided in subsection (c) shall be subject to a cost adjustment. The Chief Examiner of the Department of Examiners of Public Accounts shall adjust the amount provided in subsection (c) based on the percentage increase in the Consumer Price Index for the immediately preceding three-year period, rounded to the nearest thousand dollars. The Department of Examiners of Public Accounts shall notify the public of the adjusted dollar amounts by July 1 before the fiscal year in which the change will take effect.
(g) Public K-12 schools and public institutions of higher education are exempt from the requirements of this section, unless the public K-12 school or public institution of higher education has any area determined by the responsible authority to be frequented by the public, including, but not limited to, auditoriums, gymnasiums, stadiums, and sports halls.
(h)(1) Subject to appropriation by the Legislature, funds shall be appropriated to eligible public entities for the installation of powered, height-adjustable, adult-size changing tables in preexisting public restrooms.
(2) In awarding grants, the Legislature shall prioritize geographical diversity and higher traffic facilities. Applicants for grants must be public entities located in this state. The award must be used for facilities that are open to the public and accessible to both men and women.
(i) The Legislature encourages the private sector, when totally renovating building facilities and when constructing new restrooms, to install and maintain powered, height-adjustable, adult-size changing tables in restrooms open to the public and accessible to both men and women.
(Act 2025-171, §§1-4.)
The Construction Management Division of the Department of Finance is authorized and directed to make such changes in the code from time to time as seem advisable in the best interest of the people of Alabama. Changes in the code shall take effect and shall be printed and distributed in the same manner as the original code was made effective, printed and distributed.
(Acts 1945, No. 290, p. 480, §4.)
The Construction Management Division of the Department of Finance is empowered to provide adequate inspection service to insure compliance with the building code. Other agencies and instrumentalities of the state government are directed hereby to cooperate, as requested by the commission, in the enforcement of the building code. The commission may appoint, subject to the Merit System, such persons, including architectural and technical employees, as are necessary for the duties hereby imposed.
(Acts 1945, No. 290, p. 480, §6.)
Any municipality in the State of Alabama may adopt any model building code published by the Southern Building Code Congress International and the National Electrical Code published by the National Fire Protection Association as a municipal ordinance, enlarging the applicability thereof to include private buildings and structures other than private schoolhouses, hotels, public and private hospitals, and moving picture houses as it deems necessary and to prescribe penalties for violations thereof in the same manner in which other ordinances and related penalty provisions are adopted and prescribed.
Any county commission similarly may adopt and enlarge the applicability of any model building code published by the Southern Building Code Congress International and the National Electrical Code published by the National Fire Protection Association for the county, prescribing penalties for violations thereof, by resolution duly recorded in its minutes and, after notice of four weeks, by publication once weekly in some county newspaper, if there is one published in the county, and by posted notices at the door of each courthouse in the county.
Changes in the provisions of the building code effected by the Construction Management Division of the Department of Finance may be adopted similarly by counties and municipalities.
No county or municipality shall apply the building code to state buildings and construction of public schoolhouses.
Model building codes adopted by a county or municipality pursuant to this section shall only apply to structures and facilities on the customer’s side of the electric meter and shall not apply to any electric power generation, transmission, or distribution facilities on the electric service provider’s side of the electric meter.
Nothing contained in this section shall be construed as requiring the advertising or posting of the code itself. The provisions of this section shall be satisfied by giving of notice that it is proposed to adopt a code.
(Acts 1945, No. 290, p. 480, § 5; Act 2000-326, p. 522, § 1.)
(a) No provision of the state building code, or any municipal or county building code, or any other law or rule, may prohibit or otherwise limit the use of a substitute refrigerant or substitute refrigerant-equipped product that complies with the National Clean Air Act pursuant to 42 U.S.C. § 7671k and regulations adopted thereunder.
(b) Any heating, ventilation, air conditioning, or refrigeration equipment containing a refrigerant described in subsection (a) shall be listed and installed in accordance with all applicable safety standards and use conditions imposed pursuant to the designation.
(Act 2023-276, §1.)
When used in this division, the following words and phrases shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) Commission. The Construction Management Division of the Department of Finance.
(2) Director. The Director of the Technical Staff of the Construction Management Division of the Department of Finance.
(3) Code. The state building code to be adopted by the Construction Management Division of the Department of Finance.
(Acts 1978, No. 766, p. 1105, §1.)
For the health and welfare of the people of Alabama, the Construction Management Division of the Department of Finance of the State of Alabama, which was created in 1945 by the Legislature, is authorized and hereby directed to adopt, promulgate, and enforce a state building code. The code adopted by the commission under the provisions of this division, after having been recorded in the office of Secretary of State for 60 days, shall become effective. The code shall be applicable to all buildings constructed or remodeled after May 2, 1978, with state appropriated funds or funds from any other instrumentality of the state. It shall include a minimal energy conservation section which controls those items affecting heat loss in the exterior envelopment of buildings and affecting climatic control and illumination of buildings.
(Acts 1978, No. 766, p. 1105, §2.)
The director of the technical staff of the commission shall have the responsibility for developing said code and presenting it to the commission for adoption and, in fulfillment of such responsibility, may, as it becomes necessary, contract for the consultant services of architects, engineers and other technicians with a portion of the funds provided. It shall be the further responsibility of the director to keep the code updated and consistent with acceptable engineering and architectural practices by from time to time presenting the commission with recommended changes and modifications for adoption. The director shall, at the earliest possible date after the passage of this division, submit a state building code for any building or construction utilizing state funds to the commission for adoption. Said code shall contain provisions for an energy conservation code which regulates the thermal efficiency of the exterior of buildings and the efficiency of lighting design and climatic control in buildings.
The director shall include in the said code thermal and lighting efficiency standards which will meet the following criteria:
(1) Be applicable to all new and renovated buildings; and
(2) Be no less stringent than the Appendix J of the standard building code.
(Acts 1978, No. 766, p. 1105, §3.)
The director shall prepare and offer such training and assistance as the Construction Management Division of the Department of Finance deems necessary in implementing the provisions of this division and the standards herein established.
(Acts 1978, No. 766, p. 1105, §3.)
The commission also shall cause the director to formulate guidelines for thermal and lighting efficiency applicable to all new and renovated buildings, whether such buildings are state funded or not, and the manner of implementation therefor.
(Acts 1978, No. 766, p. 1105, §3.)
(a) There is hereby created and established the Alabama Industrial Development Advisory Board. The Alabama Industrial Development Advisory Board shall consist of nine members at-large who shall be appointed by the Governor for terms of two years each and the Governor, as chair of the board. When appointing members of the board, the Governor shall select citizens who are outstanding in the fields of manufacture and processing, business and commercial enterprise, engineering and industrial development, natural resources, electric and gas utilities, industrial real estate and industrial property management, banking and finance, labor relations, and mass communications.
The initial terms of the appointees shall be as follows: four members for one year and five members for two years. Subsequent appointments shall be for two-year terms, and appointments to fill vacancies shall be for the unexpired terms. Provided, however, that members may be appointed for successive terms at the discretion of the chair.
Before entering upon the discharge of their duties, the members of the board shall take the oath of office prescribed for other state officers. The members of the board shall hold office only during the tenure of the Governor making the appointment and until their successors are appointed and qualified. The Governor may remove any member of the board who fails to attend its meetings regularly or to perform properly his or her duties as a member of the board, by notifying the member in writing of his or her removal.
(b) Each member shall be paid the actual and necessary expenses incurred in the performance of his or her duties as a member of the board when approved by the chair. Ex officio members of the board shall receive no additional compensation for their services as members of the board.
The board may have an appropriate seal with such words and emblem as it may prescribe.
A majority of the board shall constitute a quorum for the transaction of business. The secretary shall notify each member in writing of all meetings of the board in such manner and under such rules and regulations as the board may prescribe. The board shall adopt rules and regulations for the transaction of its business, and the secretary shall keep a record of all its proceedings and, upon request, furnish a copy thereof to each member of the board.
(Acts 1980, No. 80-736, p. 1498, §1.)
It shall be the duty of the said board to consult with the Governor and the Director of the Alabama Department of Commerce, to advise the Governor of the industrial possibilities of the state and to furnish him or her with such information and studies as it deems desirable to accomplish a comprehensive program for the promotion of the commercial and industrial development of the state and the counties and municipalities thereof, and as the Governor may request. It shall also consult and advise in the facilitation of foreign investment and foreign industry location within the state, as the Governor may request.
(Acts 1980, No. 80-736, p. 1498, §2.)
On May 28, 1980, all powers, duties, functions, and authority invested in the State Industrial Development Board, including those in Section 41-9-183, shall be continued, transferred to and shall be vested in the Alabama Industrial Development Advisory Board, except those powers, duties and functions prescribed for the Office of State Planning and Federal Programs by Article 8A of this chapter. All books, records, supplies, funds, equipment, personnel, assets, and property of whatsoever nature, had, exercised, used, or employed by the State Industrial Development Board are transferred to the Alabama Industrial Development Advisory Board and all laws or parts of laws relating to the State Industrial Development Board shall be repealed and the said State Industrial Development Board shall be abolished.
(Acts 1980, No. 80-736, p. 1498, §3.)
The authority of the State Bureau of Tourism and Travel to plan and conduct all state programs of information and publicity designed to attract tourists to the State of Alabama is hereby confirmed and continued; provided, however, that the Director of the State Bureau of Tourism and Travel shall cooperate to the fullest possible extent with the Alabama Industrial Development Advisory Board and the Director of the Alabama Department of Commerce, toward the end that an integrated program of economic expansion and promotion may be pursued by the public agencies of this state.
(Acts 1955, No. 342, p. 765, §3(b); Code 1975, §41-9-184; Acts 1980, No. 80-736, p. 1498, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §3.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §5.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §6.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1993, No. 93-645, p. 1112, §7.)
(a) The Legislature finds and declares that:
(1) The people of this state have a fundamental interest in the orderly development of the state and its regions;
(2) The state has a positive interest in the preparation and maintenance of long-term, comprehensive plans for the economic, physical, and human resource development of the whole state and of each of its regions, which plans can serve as a guide for local governmental units and state departments and agencies;
(3) The continued growth of the state, particularly in urban areas, and the readjustment of the people to the changed economy of the state present problems which can best be solved by overall state planning guidance for their solution;
(4) Local governmental planning and program implementation can be strengthened when done in relation to and coordinated with the planning efforts and program implementation of the state and of the regions of the state; and
(5) Orderly and harmonious coordination of state and local plans and programs with those of the federal government, state and regional planning and programming requires direct leadership by the Governor.
(b) It is the purpose of this article to promote the development of the state’s human, economic and physical resources and to promote the health, safety, and general welfare of its citizens by creating, within the executive branch, an agency for comprehensive statewide planning and economic development. The agency shall act as an advisory, consulting and coordinating agency to harmonize activities at all levels of government, render planning assistance to governmental units and stimulate public interest and participation in the human resource, economic, and physical development of the state.
(Acts 1969, No. 657, p. 1187, §1.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-1.
(Acts 1969, No. 657, p. 1187, §2; Acts 1987, No. 87-591, p. 1029; Act 99-349, p. 512, §1; Act 2012-167, p. 249, §1.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-2.
(Acts 1969, No. 657, p. 1187, §5; Act 2012-167, p. 249, §1.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-3.
(Act 99-351, p. 532, §§1- 7; Act 2012-167, p. 249, §1.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-4.
(Acts 1969, No. 657, p. 1187, §4; Act 2012-167, p. 249, §1.)
[Repealed]
Repealed by Act 2015-450 effective June 11, 2015.
(Acts 1969, No. 657, p. 1187, §6; Act 2012-167, p. 249, §1.)
As used in this article, the following terms shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) A-95. The process of evaluation, review, and coordination of federal and federally assisted programs and projects;
(2) A-102. The process of establishing uniform administrative requirements for programs that provide financial assistance through grant or contractual arrangements;
(3) GOVERNING BODY. The chief legislative body of a governmental unit;
(4) GOVERNMENTAL UNIT. Counties and municipalities;
(5) MUNICIPALITY. Cities, towns, villages, and other incorporated jurisdictions;
(6) REGION. All the geographical area contained within the aggregate territorial limits of all governmental units participating in regional planning and development commission as stipulated in Sections 41-9-181 through 41-9-183 and 41-9-200 through 41-9-201;
(7) REVIEW AND COMMENT. Review and comment of the Office of State Planning and Federal Programs as directly related to those federal programs covered under currently effective Office of Management and Budget (OMB) Circular A-95, A-102, and other appropriate OMB circulars.
(Acts 1980, No. 80-735, p. 1491, §1.)
It specifically is the legislative intent to maintain and retain all of the powers, duties, responsibilities, personnel, property and assets of whatsoever nature, not involved in federal programs and federal grants and federal assistance, in the Alabama Development Office and in the Director of the Alabama Development Office, as the case may be, and that the Alabama Development Office shall retain all of its authority, powers, duties, responsibilities, and functions for industrial development.
(Acts 1980, No. 80-735, p. 1491, §2.)
(a) The Legislature finds and declares that:
(1) The people of this state have a fundamental interest in the orderly development of the state and its regions;
(2) The state has a positive interest in the preparation and maintenance of long-term, comprehensive plans for the economic, physical, and human resource development of the whole state and of each of its regions which plans can serve as guides for local governmental units and state departments and agencies;
(3) The continued growth of the state and the readjustment of the people to the changing economy of the state, present problems which can best be solved by overall state planning guidance for their solution;
(4) Local governmental planning and program implementation can be strengthened when done in relation to and coordinated with the planning efforts and program implementation of the state and of the regions of the state;
(5) Orderly and harmonious coordination of state and local plans and programs with those of the federal government, state and regional planning and programming requires direct leadership by the Governor;
(6) The state has a positive interest in assisting the various local governmental units, and state departments, agencies, and institutions, in the procurement of various forms of assistance from the federal government for the benefit of the people of the state and to meet critical state needs;
(7) Orderly and efficient administration of state finances and programs, and improved state assistance to local governmental units and state departments, agencies, political subdivisions, and institutions in the procurement of federal assistance can most effectively be accomplished if the state can monitor the types, amounts and purposes of advances, loans, grants, contributions, and any other form of assistance from the federal government which is applied for and/or accepted by departments, agencies, institutions, and political subdivisions of the state.
(b) It is the purpose of this article to promote the development of the state’s human, economic, and physical resources, and to promote the health, safety, and general welfare of its citizens, by creating within the executive branch, an agency for comprehensive statewide planning and federal assistance oversight. The agency shall act as an advisory, consulting, monitoring, and coordinating agency to harmonize activities at all levels of government, render technical assistance to governmental units and political subdivisions of this state, and stimulate public interest and participation in the human resource, economic, and physical development of the state as these relate to federal programs, federal grants, and federal assistance.
(Acts 1980, No. 80-735, p. 1491, §3.)
(a) There is hereby created the Office of State Planning and Federal Programs within the office of the Governor and directly under his or her supervision and control. The Office of State Planning and Federal Programs shall consist of the Governor as the State Planning and Federal Programs Officer, a chief administrative officer to be designated as Director of the Office of State Planning and Federal Programs, who shall be appointed by the Governor, and serve at his or her pleasure, at a salary to be set in the same manner and with the same limitations as otherwise provided by law for executive department heads. The Director of the Office of State Planning and Federal Programs shall be a member of such boards and commissions, as they relate to his or her authority under the provisions of this article, and as required and currently authorized under the various federal programs for the director of the Alabama Development Office, and as approved by the Governor. All other employees necessary to carry out the duties and functions of the Office of State Planning and Federal Programs shall be employed subject to the provisions of the state Merit System laws and shall be entitled to the same rights and benefits thereunder. Salaries set for employees shall not exceed the salary set by law for executive department heads.
(b) The Governor, through the Office of State Planning and Federal Programs, shall encourage comprehensive and coordinated planning and programming of the affairs of state government.
(c) The Governor may direct any state department or other agency of state government, directly under his control and supervision, to furnish the Office of State Planning and Federal Programs with such personnel, equipment, and services as are necessary to enable it to carry out its responsibilities and duties, and he may prescribe the terms thereof, including reimbursement of costs therefor.
(Acts 1980, No. 80-735, p. 1491, §4.)
The Governor, in carrying out his or her responsibilities under this article, may establish advisory committees or councils and appoint the members thereto, which members shall serve at his or her pleasure. Members shall serve without compensation, but shall be reimbursed for the necessary and actual expenses incurred in the performance of their duties. The Governor shall designate the chair and such other officers as he or she may deem necessary for each advisory committee or council. Advisory committees or councils, established pursuant to this section, shall meet at the call of their chair, or of the Director of the Office of State Planning and Federal Programs.
(Acts 1980, No. 80-735, p. 1491, §5.)
The Office of State Planning and Federal Programs shall be the principal staff agency of the executive branch to plan with the other departments of state government, and with other governmental units, for the comprehensive development of the state’s human, economic, and physical resources and their relevance for programs administered by the state and the governmental structure required to put such programs into effect. The purpose of such planning shall be to insure that the maximum benefit will accrue to the state from the advances, loans, grants, and other forms of assistance made available to local governmental units and state departments, agencies, and institutions by the federal government, or any agency, or any political subdivision thereof. It shall provide information, assistance and staff support by all appropriate means available. The Office of State Planning and Federal Programs shall perform all duties and exercise all the powers and authority relative to state, regional and local planning, and to the study and review of plans, programs, and federal aid applications filed with the federal government vested in the Alabama Development Office prior to May 28, 1980. All the functions, powers, authority and duties relative to carrying on a planning program for the human, economic and physical development of the state and the counties and municipalities thereof, including the preparation of a state master plan as well as the authority to provide an assistance program to regions, counties and municipalities in the preparation of comprehensive physical plans for such regions, counties, and municipalities vested by Sections 41-9-181 through 41-9-183, and 41-9-200 through 41-9-204 in the Alabama Development Office and as they relate to federal programs, federal grants, or federal assistance, are confirmed, continued, transferred to and shall be vested in the Office of State Planning and Federal Programs. All books, records, supplies, funds, equipment, personnel, and assets and property of whatsoever nature, had, exercised, used or employed by the Alabama Development Office in the pursuit of the functions herein delineated are also hereby transferred to the Office of State Planning and Federal Programs.
(Acts 1980, No. 80-735, p. 1491, §6.)
(a) The powers and duties of the Office of State Planning and Federal Programs shall be as follows:
(1) To develop a comprehensive state plan, and yearly updates to the plan, to be submitted by the Governor to the Legislature for its consideration;
(2) To develop, for approval by the Governor and the Legislature, long-range plans and policies for the orderly and coordinated growth of the state, including but not limited to, functional plans;
(3) To prepare special reports and make available the results of the research, studies and other activities, through publications, memoranda, briefings and expert testimony;
(4) To analyze the quality and quantity of services required for the continued orderly and long-range growth of the state, taking into consideration the relationship of activities, capabilities and future plans of local units of government, area commissions, development districts, private enterprise and the state and federal government;
(5) To encourage the coordination of the planning and programming activities of all state departments, agencies and institutions, local levels of government, and other public and private bodies with the state;
(6) To advise and consult with regional, county and local units of government and planning and development agencies on matters of planning;
(7) At the direction of the Governor, and in cooperation with the State Budget Division of the Finance Department, survey, review and appraise the accomplishments of state government in achieving its goals and objectives;
(8) To apply for, accept and disburse advances, loans, grants, contributions and any other form of assistance from the federal government, the state or other public body, or from any sources, public or private, for the purposes of this article, and enter into and carry out contracts or agreements in connection therewith, and include in any contract for financial assistance with the federal government such conditions imposed pursuant to federal laws as it may deem reasonable and appropriate and which are not inconsistent with the purposes of this article;
(9) To make grants from said appropriations to regional planning and development commissions which are certified to receive such grants by the Governor, under the provisions of law heretofore or hereafter enacted providing for the delineation and designation of state planning and development districts and authorizing the governing bodies of counties and municipalities to establish regional planning and development commissions, in Sections 11-85-50 through 11-85-56 and 11-85-58;
(10) To advise and consult with state agencies, departments and institutions, political subdivisions and local units of government for the purpose of increasing their capacity to identify and obtain all forms of federal assistance;
(11) To review and comment on all local and areawide applications for federal planning assistance, or delegate such authority to a regional planning and development commission;
(12) To review and comment upon prior to their submission, as required by OMB A-95 regulations, plans, programs, and federal assistance applications filed with the federal government or any instrumentality of the federal government by state departments, agencies and institutions;
(13) To maintain a record of and periodically analyze all action taken by any federal agency concerning plans, programs, and federal assistance applications submitted to the federal government or any instrumentality of the federal government by state departments, agencies and institutions, local governmental units, and political subdivisions of the state;
(14) To monitor and analyze the sources, types, amounts and purposes of federal assistance received by state agencies, departments and institutions, local governmental units, and political subdivisions;
(15) To provide information and recommendations to the Governor and Legislature with respect to federal programs of state interest or programs pending congressional or federal administrative action which may affect or be of interest to the state or any of its agencies or political subdivisions;
(16) To promote the development and coordination of the federal assistance activities of all state departments, agencies and institutions, local levels of government and other public and private bodies within the state to meet state needs;
(17) To insure that data used by the federal government and its agencies and instrumentalities for calculating the state’s share of formula-based federal assistance are accurate;
(18) To represent the Governor, and serve as an official liaison for the state in respect to federal assistance programs available to the state and its agencies and political subdivisions and be responsible for the establishment of responsible representation to assist in securing maximum benefits of the many forms of federal assistance; and
(19) To exercise all other powers necessary and proper for the discharge of its duties, including the promulgation of reasonable rules and regulations and to perform such other functions and duties of the Office of State Planning and Federal Programs as may from time to time be assigned by the Director of the Office of State Planning and Federal Programs. All state agencies, departments, institutions and political subdivisions are hereby empowered and authorized to make available to the Office of State Planning and Federal Programs such reasonable assistance and information as the office may request in carrying out the intentions and purposes of this article.
(b) It is the intent of this article that all reference herein to the duties and functions regarding review and comment of the Office of State Planning and Federal Programs be directly related to those federal programs covered under currently effective Office of Management and Budget Circulars A-95, A-102 and other appropriate Office of Management and Budget circulars.
(Acts 1980, No. 80-735, p. 1491, §7.)
All parts of the state appropriation and any funds from federal sources made prior to May 28, 1980, to the Alabama Development Office for the planning office functions are hereby transferred to the Office of State Planning and Federal Programs.
(Acts 1980, No. 80-735, p. 1491, §8.)
The Director of the Office of State Planning and Federal Programs is authorized to employ one person in the unclassified service; without participation in the state Merit System; provided, however, that such person shall be entitled to the same rights, privileges and benefits as provided for classified employees within the state Merit System. All employees of the state community services administration shall be placed in a classified position within the state Merit System and under state planning and federal programs. Salaries set for employees shall not exceed the salary set by law for executive department heads.
(Acts 1980, No. 80-735, p. 1491, §9.)
The provisions of this article shall not apply to the Alabama Law Enforcement Planning Agency and the Alabama Justice Information Commission.
(Acts 1980, No. 80-735, p. 1491, §10.)
(a) After May 4, 2011, no commitment made by the state to provide economic development funds as an incentive for a company to build or expand in this state shall be valid unless the state and the company to whom the commitment was made, within five years of the date of the commitment, enter into a mutually acceptable written contract outlining the conditions of the project.
(b) Any commitment made by the state before May 4, 2011, in which the state and the company to whom the commitment was made have not entered into a mutually acceptable written contract outlining the conditions of the project is void after five years from the date of the commitment or one year after May 4, 2011, whichever is later.
(Act 2011-216, p. 403, §1.)
This article shall only apply to those areas within the State of Alabama which qualify as a “low income community” pursuant to Section 45D of the Internal Revenue Code.
(Act 2012-483, p. 1340, §1.)
This article shall be known as the Alabama New Markets Development Act.
(Act 2012-483, p. 1340, §2.)
As used in this article, the following terms shall have the following meanings:
(1) APPLICABLE PERCENTAGE. Zero percent for the first credit allowance date, 8.33 percent for the next six credit allowance dates, for the total of 50 percent.
(2) CREDIT ALLOWANCE DATE. With respect to any qualified equity investment, the date on which such investment is initially made and each of the six anniversary dates of that date thereafter.
(3) DEPARTMENT. The Department of Commerce.
(4) LONG-TERM DEBT SECURITY. Any debt instrument issued by a qualified community development entity, at par value or a premium, with an original maturity date of at least seven years from the date of its issuance, with no acceleration of repayment, amortization, or prepayment features prior to its original maturity date. The qualified community development entity that issues the debt instrument may not make cash interest payments on the debt instrument during the period beginning on the date of issuance and ending on the final credit allowance date in an amount that exceeds the cumulative operating income, as defined by regulations adopted under Section 45D, Internal Revenue Code of 1986, as amended, of the qualified community development entity for that period prior to giving effect to the expense of such cash interest payments. The foregoing shall in no way limit the holder’s ability to accelerate payments on the debt instrument in situations where the issuer has defaulted on covenants designed to ensure compliance with this article or Section 45D of the Internal Revenue Code of 1986, as amended.
(5) PURCHASE PRICE. The amount paid to the issuer of a qualified equity investment for that qualified equity investment.
(6) QUALIFIED ACTIVE LOW-INCOME COMMUNITY BUSINESS. The same meaning given that term in Section 45D(d)(2) of the Internal Revenue Code of 1986, as amended. A business shall be considered a qualified active low-income community business for the duration of the qualified community development entity’s investment in, or loan to, the business if the entity reasonably expects, at the time the qualified community development entity makes the investment or loan, that the business may continue to satisfy the requirements for being a qualified active low-income community business throughout the entire period of the investment or loan.
(7) QUALIFIED COMMUNITY DEVELOPMENT ENTITY. The same meaning given that term in Section 45D of the Internal Revenue Code of 1986, as amended; provided, that the entity has entered into, or is controlled by an entity that has entered into, an allocation agreement with the Community Development Financial Institutions Fund of the U.S. Treasury Department with respect to credits authorized by Section 45D of the Internal Revenue Code of 1986, as amended, which includes the State of Alabama within the service area set forth in that allocation agreement. The term shall include affiliated entities and subordinate community development entities of any such qualified community development entity.
(8) QUALIFIED EQUITY INVESTMENT. Any equity investment in, or long-term debt security issued by, a qualified community development entity that does all of the following:
a. Is acquired after August 1, 2012, at its original issuance solely in exchange for cash.
b. Has at least 85 percent of its cash purchase price used by the issuer to make qualified low-income community investments in qualified active low-income community businesses located in the State of Alabama by the first anniversary of the issuance of the qualified equity investment.
c. Is designated by the issuer as a qualified equity investment under this article and is certified by the department as not exceeding the limitation contained in Section 41-9-219.2. This term includes any qualified equity investment that does not meet the provisions of paragraph a., if the investment was a qualified equity investment in the hands of a prior holder.
(9) QUALIFIED LOW-INCOME COMMUNITY INVESTMENT. Any capital or equity investment in, or loan to, any qualified active low-income community business. With respect to any one qualified active low-income community business, the maximum amount of qualified low-income community investments made in that business, on a collective basis with all of its affiliates that may be counted towards the satisfaction of subdivision (8), shall be ten million dollars ($10,000,000) whether issued by one or several qualified community development entities.
(10) TAX CREDIT. A credit against the state-distributed portion of the tax otherwise due under Section 27-4A-3, 27-3-29, 40-16-4, 40-18-5, or 40-18-31. A taxpayer claiming a credit against state premium tax liability earned through a qualified equity investment is not required to pay any additional retaliatory tax levied by law as a result of claiming that credit.
(11) TAXPAYER. Any individual or entity subject to the tax imposed in Section 27-4A-3, 27-3-29, 40-16-4, 40-18-5, or 40-18-31.
(Act 2012-483, p. 1340, §3.)
The purchaser of the qualified equity investment, or subsequent holder of the qualified equity investment, earns a vested right to a tax credit and shall be entitled to utilize a portion of such tax credit during the taxable year including that credit allowance date equal to the applicable percentage for such credit allowance date multiplied by the purchase price paid to the issuer of the qualified equity investment. The amount of the tax credit claimed shall not exceed the amount of the taxpayer’s state tax liability for the tax year for which the tax credit is claimed. The basis of any qualified equity investment shall be reduced by the amount of any credit determined under this section with respect to such investment.
(Act 2012-483, p. 1340, §4.)
Tax credits claimed under this article shall not be saleable or transferable. Tax credits earned by a partnership, limited liability company, S corporation, or other “pass-through” entity may be allocated to the partners, members, or shareholders of that entity for their direct use in accordance with the provisions of any agreement among the partners, members, or shareholders. Any amount of tax credit that the taxpayer, or partner, member, or shareholder thereof, is prohibited from claiming in a taxable year may be carried forward to any of the taxpayer’s subsequent taxable years.
(Act 2012-483, p. 1340, §5.)
Once the department has certified a cumulative amount of qualified equity investments that can result in the utilization of twenty million dollars ($20,000,000) of tax credits in any tax year, the department may not certify any more qualified equity investments under Section 41-9-219.3. This limitation shall be based on the scheduled utilization of tax credits without regard to the potential for taxpayers to carry forward tax credits to later tax years.
(Act 2012-483, p. 1340, §6.)
(a) A qualified community development entity that seeks to have an equity investment or long-term debt security designated as a qualified equity investment and eligible for tax credits under this article shall apply to the department. The qualified community development entity shall submit an application on a form that the department provides that includes all of the following:
(1) The name, address, tax identification number of the entity, and evidence of the entity’s certification as a qualified community development entity.
(2) A copy of any allocation agreement executed by the entity, or its controlling entity, and the Community Development Financial Institutions Fund.
(3) A certificate executed by an executive officer of the entity attesting that the allocation agreement remains in effect and has not been revoked or cancelled by the Community Development Financial Institutions Fund.
(4) A description of the proposed amount, structure, and purchaser of the equity investment or long-term debt security.
(5) The name and tax identification number of any taxpayer eligible to utilize tax credits earned as a result of the issuance of the qualified equity investment.
(6) Information regarding the proposed use of proceeds from the issuance of the qualified equity investment.
(7) A nonrefundable application fee of five thousand dollars ($5,000). This fee shall be paid to the department and shall be required of each application submitted.
(b) The department shall review the application and shall independently verify that the above requirements in subsection (a) have been met.
(c) Within 60 days after receipt of a completed application containing the information necessary for the department to certify a potential qualified equity investment, including payment of the application fee, the department shall grant or deny the application in full or in part. If the department denies any part of the application, it shall inform the qualified community development entity of the grounds for the denial. If the qualified community development entity provides any additional information required by the department and otherwise completes its application within 15 days of the notice of denial, the application shall be considered completed as of the original date of submission. If the qualified community development entity fails to provide the information or complete its application within the 15-day period, the application shall remain denied and shall be resubmitted in full with a new submission date.
(d) If the application is deemed complete, the department shall certify the proposed equity investment or long-term debt security as a qualified equity investment that is eligible for tax credits under this section, subject to the limitations contained in Section 41-9-219.2. The department shall provide written notice of the certification to the qualified community development entity. The notice shall include the names of those taxpayers who are eligible to utilize the credits and their respective credit amounts. If the names of the taxpayers who are eligible to utilize the credits change due to a transfer of a qualified equity investment or a change in an allocation pursuant to Section 41-9-219.1, the qualified community development entity shall notify the department of the change.
(e) The department shall establish a date on which it shall first accept applications to certify qualified equity investments which shall be no later than September 1, 2012. The department shall certify applications in the order applications are received by the department. Applications received on the same day shall be deemed to have been received simultaneously. For applications received on the same day and deemed complete, the department shall certify, consistent with remaining tax credit capacity, qualified equity investments in proportionate percentages based upon the ratio of the amount of qualified equity investment requested in an application to the total amount of qualified equity investments requested in all applications received on the same day.
(f) Once the department has certified qualified equity investments that, on a cumulative basis, equal the total allowable tax credits under Section 41-9-219.2, the department may not certify any more qualified equity investments. If a pending request cannot be fully certified, the department shall certify the portion that may be certified unless the qualified community development entity elects to withdraw its request rather than receive partial credit.
(g) Within 90 days after receiving notice of certification, the qualified community development entity shall issue the qualified equity investment in the amount of the certified amount. The qualified community development entity shall provide the department with evidence of the receipt or issuance of the qualified equity investment, or both, within 30 business days after receipt or issuance, or both. If the qualified community development entity does not issue the qualified equity investment within 180 days following receipt of the certification notice, the certification shall lapse and the entity may not issue the qualified equity investment without reapplying to the department for certification. A certification that lapses shall revert to the department and may be reissued only in accordance with the application process outlined in this section.
(Act 2012-483, p. 1340, §7.)
(a) The Department of Revenue shall recapture, from the taxpayer that claimed or is entitled to claim the credit on a return, the tax credit allowed under this article if, at any time during the seven-year period beginning on the date of the original issue to the qualified equity investment in a qualified community development entity, one of the following occurs:
(1) Where any amount of the federal tax credit available with respect to a qualified equity investment that is eligible for a tax credit under this article is recaptured under Section 45D of the Internal Revenue Code of 1986, as amended, the Department of Revenue’s recapture shall be proportionate to the federal recapture with respect to that qualified equity investment, and may then reallocate the recaptured credits to other qualified taxpayers in the year of recapture, without regard for the annual allocation limitation found in Section 41-9-219.2.
(2) The Department of Revenue shall recapture any allocated tax credit where the issuer fails to invest at least 85 percent of the purchase price of the qualified equity investment in qualified low-income community investments in the State of Alabama within 12 months of the issuance of the qualified equity investment and fails to maintain such level of investment in qualified low-income community investments in Alabama until the last credit allowance date for the qualified equity investment. An investment shall be considered held by an issuer even if the investment has been sold or repaid; provided that the issuer reinvests an amount equal to the capital returned to or recovered by the issuer from the original investment, exclusive of any profits realized, in another qualified low-income community investment in this state within 12 months of the receipt of that capital. An issuer shall not be required to reinvest capital returned from low-income community investments after the sixth anniversary of the issuance of the qualified equity investment, the proceeds of which were used to make the qualified low-income community investment, and the qualified low-income community investment shall be considered held by the issuer through the seventh anniversary of the qualified equity investment’s issuance.
(3) Subject to the reinvestment provisions to avoid recapture in subdivision (2), the issuer shall redeem or make principal repayment with respect to a qualified equity investment prior to the seventh anniversary of the issuance of such qualified equity investment. The department’s recapture shall be proportionate to the amount of the redemption or repayment with respect to such qualified equity investment.
(b) The Department of Revenue shall provide notice in accordance with the procedures outlined in Section 40-2A-7, to the qualified community development entity of any proposed preliminary assessment of recapture of tax credits pursuant to this article. The entity shall have 90 days to cure any deficiency indicated in the Department of Revenue’s preliminary assessment and avoid recapture. If the entity fails or is unable to cure the deficiency within the 90-day period, the Department of Revenue shall provide the entity and the taxpayer from whom the credit is to be recaptured with a final assessment of recapture in accordance with the procedures stated in Section 40-2A-7. Any tax credit for which a final assessment has been issued may be recaptured by the Department of Revenue from the taxpayer who claimed the tax credit on a tax return in accordance with the Taxpayers’ Bill of Rights and the Uniform Revenue Procedures contained in Chapter 2A of Title 40.
(Act 2012-483, p. 1340, §8.)
(a) On or before the 30th day prior to the third and sixth anniversaries of the issuance of each qualified equity investment, the issuer of such qualified equity investment shall submit a report on a form that the department provides that includes all of the following:
(1) The name, address, and tax identification number of the issuer.
(2) The name, address, and tax identification number of any qualified active low-income community businesses in which the qualified community development has made qualified low-income community investments.
(3) A certificate executed by an executive officer of the issuer attesting to the number of qualified jobs and corresponding payroll created at the qualified active low-income community business, the average of the salaries of such jobs, and the date each job was created and, if applicable, terminated.
(4) A certificate executed by an executive officer of the issuer attesting to all of the following:
a. The value of buildings and commercial real estate, as recorded in the balance sheet of the qualified active low-income community business.
b. State, county, and municipal sales, use, income, and property taxes paid, as recorded in the financial statement of the qualified active low-income community business.
(5) Further information supporting the creation of such jobs as the department shall request.
(b) The department shall review the report and conduct other investigations as it deems necessary or appropriate to determine if standards have been met on or prior to the third and sixth anniversary of the issuance of the qualified equity investment.
(Act 2012-483, p. 1340, §9.)
(a) The department may conduct examinations to verify that the tax credits under this article have been received and applied according to the requirements of this article and to verify that no event has occurred that would result in a recapture of tax credits under Section 41-9-219.4.
(b) The department and the Department of Revenue shall prescribe such rules as may be appropriate to carry out their respective duties under this section and may issue advisory letters to individual qualified community development entities and their investors that are limited to the specific facts outlined in an advisory letter request from a qualified community development entity. The rulings cannot be relied upon by any person or entity other than the qualified community development entity that requested the letter and the taxpayers that are entitled to any tax credits generated from investments in the entity.
(c) In rendering advisory letters and making other determinations under this article, to the extent applicable, the department and the Department of Revenue shall look for guidance to Section 45D of the Internal Revenue Code of 1986, as amended, and the rules and regulations issued thereunder.
(d) If the qualified equity investment in the qualified active low-income community business is used for the development of real estate in the taxable year in which a tax credit has been allocated to a taxpayer and the real estate is placed in service, the qualified community development entity shall deliver to the department an appraisal prepared by an independent MAI designated and licensed real estate appraiser that includes a valuation and description of the improvements. The department shall provide a copy of the appraisal to the taxing authority responsible for the assessment of ad valorem taxes. Upon notification, the taxing authority responsible for the assessment of ad valorem taxes shall complete a new assessment for the real estate to be used in the assessment of ad valorem taxes for the tax year in which the real estate was placed in service.
(Act 2012-483, p. 1340, §10.)
Notwithstanding the foregoing, no landfill or dump, regardless of nature, toxic substance, trash, waste, household, chemical, or otherwise, shall qualify for any tax credit permitted by this article.
(Act 2012-483, p. 1340, §11.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1943, No. 417, p. 383.)
The Richmond Pearson Hobson Memorial Board as established in Section 41-9-221 is abolished. All property, real and personal, under the management and control of the memorial board, including but not limited to “Magnolia Grove,” the Richmond Pearson Hobson home and lands located in Greensboro, Alabama, and all powers, authority, and jurisdiction over such property, are hereby transferred to the Alabama Historical Commission; and any right, title, or interest which the state has in the above described property is also transferred to the Alabama Historical Commission. The Alabama Historical Commission shall have full authority to develop, renovate, restore, preserve, maintain, operate, exhibit, and publicize such property in accordance with the powers and responsibilities of the Alabama Historical Commission.
(Acts 1980, No. 80-208, p. 289, §1.)
This article shall be known and may be cited as the Alabama Memorial Preservation Act of 2017.
(Act 2017-354, §1.)
“For the purposes of this article, the following terms shall have the following meanings:
”(1) ARCHITECTURALLY SIGNIFICANT BUILDING. A building located on public property that by its very nature, inherent design, or structure constitutes a monument.
”(2) COMMITTEE. The Committee on Alabama Monument Protection created by this article.
”(3) MEMORIAL SCHOOL. A K-12 or two-year postsecondary institution or facility that is located on public property and has been erected for, or named or dedicated in honor of, an event, a person, a group, a movement, or military service.
”(3)(4) MEMORIAL BUILDING. A building, structure, park, or other institution, other than a Memorial School, that is located on public property and has been erected for, or named or dedicated in honor of, an event, a person, a group, a movement, or military service.
”(4)(5) MEMORIAL STREET. A street that is located on public property and has been constructed for, or named or dedicated in honor of, an event, a person, a group, a movement, or military service.
”(5)(6) MONUMENT. A statue, portrait, or marker intended at the time of dedication to be a permanent memorial to an event, a person, a group, a movement, or military service that is part of the history of the people or geography now comprising the State of Alabama. The term does not include signage bearing historical or interpretive text, commonly known as a historical marker or wayside exhibit, or portraits or plaques installed by temporary means and not intended to be permanent at the time of installation.
”(6)(7) PUBLIC PROPERTY. All property owned or leased by the State of Alabama; any county, municipal, or metropolitan government in the state; or any other entity created by act of the Legislature to perform any public function.
”(a) No architecturally significant building, memorial building, memorial street, or monument which is located on public property and has been so situated for 40 or more years may be relocated, removed, altered, renamed, or otherwise disturbed.
”(b) No architecturally significant building, memorial building, memorial street, or monument which is located on public property and has been so situated for at least 20 years, and less than 40 years, may be relocated, removed, altered, renamed, or otherwise disturbed except as provided in Section 41-9-235.
”(c) No memorial school which is located on public property and has been so situated for 20 or more years may be renamed except as provided in Section 41-9-235.
No person may prevent the governmental entity having responsibility for maintaining any architecturally significant building, memorial building, memorial school, memorial street, or monument from taking proper and appropriate measures, and exercising proper and appropriate means, for the protection, preservation, care, repair, or restoration of those monuments, streets, or buildings.
(Act 2017-354, §4.)
(a) There is created the Committee on Alabama Monument Protection.
(b) The legislative members of the committee shall be appointed and reappointed at the beginning of each legislative quadrennium. The members of the committee appointed pursuant to subdivisions (3) to (5), inclusive, shall serve for terms of four years, with the exception of their initial terms, which shall be staggered as provided in subsection (d). Each term of a member appointed pursuant to subdivisions (3) to (5), inclusive, shall expire on September 30. The appointing authorities shall coordinate their appointments to assure committee membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. The membership of the committee shall include all of the following:
(1) Two members of the House of Representatives, one from the majority party and one from the minority party, appointed by the Speaker of the House of Representatives.
(2) Two members of the Senate, one from the majority party and one from the minority party, appointed by the President Pro Tempore of the Senate.
(3) One member of the public, appointed by the Speaker of the House of Representatives.
(4) One member of the public, appointed by the President Pro Tempore of the Senate.
(5) Two members of the public, appointed by the Governor.
(6) One actively serving county commissioner appointed by the Governor.
(7) One actively serving mayor or member of the municipal governing body of a Class 1, Class 2, or Class 3 municipality appointed by the Governor.
(8) One actively serving mayor or member of the municipal governing body of a Class 4 to Class 8, inclusive, municipality appointed by the Governor.
(c) To assist the appointing authorities in the process of appointing public members to the committee, each of the following entities may submit a list of names to the Speaker of the House of Representatives, President Pro Tempore of the Senate, and Governor for consideration for appointment:
(1) The Department of Archives and History.
(2) The Alabama Historical Commission.
(3) The Alabama Historical Association.
(4) The Alabama Trust for Historic Preservation.
(5) The Black Heritage Council.
(d) The initial members of the committee shall be appointed before September 1, 2017, and shall hold an organizational meeting of the committee before October 1, 2017. At the organizational meeting of the committee, the membership of the committee shall select a chair and a vice chair, who shall serve in that position for one year, and the public members appointed pursuant to subdivisions (3) to (5), inclusive, of subsection (b) shall draw lots to determine which one of those members shall serve an initial term of two years expiring on September 30, 2019, which two of those members shall serve an initial term of three years expiring on September 30, 2020, and which two of those members shall serve an initial term of four years expiring on September 30, 2021. The committee shall meet at least once each year, during the month of October, to select a chair and vice chair to serve for the following year. Thereafter, the committee shall meet at the call of the chair or any majority of the members of the committee. The committee shall have a continuing existence and may meet, act, and conduct committee business at any place within this state.
(e) Initial committee members appointed pursuant to subdivisions (3) to (5), inclusive, of subsection (b), shall begin serving immediately upon appointment. Each committee member appointed pursuant to subdivisions (3) to (5), inclusive, of subsection (b), is subject to confirmation by the Senate during the legislative session in which the appointment is made or, if the appointment is made when the Legislature is not in session, during the next special or regular session. An appointee may serve in the position pending confirmation by the Senate. Failure of the Senate to act on the appointment during the session in which the appointment is made or, if the appointment is made while the Legislature is not in session, during the next special or regular session, shall constitute confirmation by the Senate. Each member of the committee shall serve after the expiration of his or her term until his or her successor is appointed and may be appointed to more than one term.
(f) The committee shall perform all duties prescribed by this article. The chair of the committee may create advisory subcommittees and appoint members thereto, which may include members of the committee, representatives from governmental agencies, and members of the public with interest and expertise in the objectives of the committee. The committee shall create no more than two active advisory subcommittees at any given time unless the committee votes unanimously for additional subcommittees.
(g) Each legislative member of the committee or any subcommittee, if created, shall be entitled to the legislative compensation, per diem, and travel as provided in Amendment 871 to the Constitution of Alabama of 1901, now appearing as Section 49 of the Constitution of Alabama of 2022, as amended.
(Act 2017-354, §5.)
(a)(1) Any entity exercising control of public property on which an architecturally significant building, memorial building, memorial school, memorial street, or monument is located may petition the committee for a waiver from subsection (b) or subsection (c) of Section 41-9-232 through an application including, at a minimum, all of the following:
a. A resolution by the controlling entity seeking a waiver for the renaming of a memorial school or for the relocation, removal, alteration, renaming, or other disturbance of the architecturally significant building, memorial building, memorial street, or monument and the reasons therefor.
b. Written documentation of the origin of the architecturally significant building, memorial building, memorial school, memorial street, or monument, the intent of the sponsoring entity at the time of dedication, and any subsequent alteration, renaming, or other disturbance of the architecturally significant building, memorial building, memorial street, or monument.
c. Written commentary from any heritage, historical, genealogical, or preservation organizations with interest in the decision of the controlling entity, and from the general public.
d. A written statement of any facts that were not known at the time of the origin of the architecturally significant building, memorial building, memorial school, memorial street, or monument, but are known now, that the committee should consider in granting the waiver. The absence of such facts should serve as a presumption against the granting of a waiver by the committee.
(2)a. If the committee grants a waiver, the committee may provide reasonable conditions and instructions to ensure that the architecturally significant building, memorial building, memorial school, memorial street, or monument is restored or preserved to the greatest extent possible.
b. In the event there is a need for emergency repairs or construction at the site of or to the architecturally significant building, memorial building, memorial street, or monument or on adjacent property, the controlling entity may temporarily relocate or otherwise protect the architecturally significant building, memorial building, memorial street, or monument without seeking a waiver under the process provided in this section; provided the architecturally significant building, memorial building, memorial street, or monument shall be returned to its prior location or condition, or both, as soon as safely and reasonably possible, and no later than one year after the completion of the repair or construction. If the repair or construction is expected to take more than one year, the controlling entity shall seek a waiver under the process specified in this section.
c. If the committee fails to act on a completed application for a waiver within 90 days after the application is submitted to the committee, the waiver shall be deemed granted.
d. If the Attorney General determines that an entity exercising control of public property has renamed a memorial school or has relocated, removed, altered, renamed, or otherwise disturbed an architecturally significant building, memorial building, memorial street, or monument from that public property without first obtaining a waiver from the committee as required by this article, or failed to comply with the conditions and instructions issued by the committee upon the grant of a waiver pursuant to this section, the entity shall be fined twenty-five thousand dollars ($25,000) for each violation. The fine shall be collected by the Attorney General, forwarded by his or her office to the State Treasurer, and deposited into the Alabama State Historic Preservation Fund created in Section 41-9-255.
e. Judicial review of the final decision of the committee may be sought pursuant to the Alabama Administrative Procedure Act, Chapter 22 of this title.
(Act 2017-354, §6.)
This article does not apply to any of the following:
(1) Art and artifacts in the collections of museums, archives, and libraries.
(2) Any architecturally significant building, memorial building, memorial street, or monument that is any of the following:
a. Located on public property under the control of, or acquired by, the State Department of Transportation, which may interfere with the construction, maintenance, or operation of the public transportation system. The department shall strive to ensure that any architecturally significant building, memorial building, memorial street, or monument is preserved to the greatest extent possible.
b. Located on public property under the control of, or acquired by, a county or municipal body or a university, which may interfere with the construction, maintenance, or operation of the public transportation system. The governing body of the county, municipality, or university shall strive to ensure that any architecturally significant building, memorial building, memorial street, or monument is preserved to the greatest extent possible.
c. Located on public property operated or used by a utility, which may interfere with providing utility service. The utility shall strive to ensure that any architecturally significant building, memorial building, memorial street, or monument is preserved to the greatest extent possible.
d. Located on public property under the control of, or acquired by, the Alabama State Port Authority, which may interfere with the construction, maintenance, or operation of the port infrastructure or port related activities. The authority shall strive to ensure that any architecturally significant building, memorial building, memorial street, or monument is preserved to the greatest extent possible.
(Act 2017-354, §7.)
The Committee on Alabama Monument Protection, pursuant to the Alabama Administrative Procedure Act, shall adopt rules as necessary to provide for the implementation of this article including, but not limited to, further defining an architecturally significant building.
(Act 2017-354, §8.)
The historical heritage of the State of Alabama is among its most valued and important assets, and the preservation of historic sites, buildings, and objects within the state is of great concern to Alabama and its people. It is of special value to the youth of Alabama as a constant reminder of the circumstances under which our state was born and nurtured and under which our great nation has developed. To further foster the understanding and preservation of our heritage, there is hereby created and established an agency of the State of Alabama to be known as the Alabama Historical Commission.
(Acts 1966, Ex. Sess., No. 168, p. 190, §1.)
The commission, as an agency of the State of Alabama, constitutes a public body corporate and shall have, in addition to those set forth specifically in this division, all powers necessary or convenient to effect the purposes for which it has been established under and by the terms of this division, together with all powers incidental thereto or necessary to the discharge of its powers and duties.
(Acts 1966, Ex. Sess., No. 168, p. 190, §8.)
The purpose of the Alabama Historical Commission, hereinafter referred to as the commission, shall be to acquire in its own name or in the name of the State of Alabama by purchase, devise, lease, assignment, license, condemnation, gift, bequest, transfer, or otherwise buildings, objects, and sites deemed worthy of being preserved, improved, protected, and maintained for or on account of their particular historic, archaeological, or architectural significance, including adjacent properties deemed necessary for the proper setting, use and administration of same, and said buildings, objects, and sites shall include, but shall not be limited to, the following:
(1) Buildings in which events of great significance to Alabama’s or the nation’s history have taken place and the sites surrounding them;
(2) Birthplaces or residences of outstanding personages and the sites surrounding them;
(3) The sites of historic or significant events in Alabama or United States history, including military engagements, Indian treaties and massacres;
(4) Buildings of significant or outstanding architectural value;
(5) Buildings, sites, objects or monuments of special significance to our cultural, military, social, economic, religious, or commercial heritage, including post roads, traces, ruins, railroads, plantations, wharfs, missions, places of treaties, cemeteries, fortifications, and places of worship; and
(6) Archaeological sites for excavational, salvage, protective and interpretative purposes.
(Acts 1966, Ex. Sess., No. 168, p. 190, §2; Acts 1971, No. 500, p. 1213, §1.)
The commission shall consist of 21 members, one of whom shall be the Governor, one of whom shall be the Lieutenant Governor, one of whom shall be the Speaker of the House of Representatives, one of whom shall be the Director of the Department of Archives and History, one of whom shall be the Director of the Alabama Tourism Department, one of whom shall be the Commissioner of Conservation and Natural Resources, one of whom shall be the Director of the Technical Staff of the Division of Construction Management of the Department of Finance, and 14 other persons to be appointed by the Governor, one of whom shall be selected from a list of three nominees submitted by the Alabama Council of the American Institute of Architects, one from a list of three nominees submitted by the Alabama Historical Association, one from a list of three nominees submitted by the Alabama State Chamber of Commerce, one from a list of three nominees submitted by the Alabama Farmers Federation, one from a list of three nominees submitted by the President of the University of Alabama, one from a list of three nominees submitted by the President of Auburn University, one from a list of three nominees submitted by the President of the University of South Alabama, one from a list of three nominees submitted by the President of Troy University, one from a list of three nominees submitted by the President of the University of Montevallo, one from a list of three qualified archaeologists nominated by the Alabama Archaeological Society, one from a list of three nominees submitted by the Alabama Black Heritage Council, and three from the state at-large. Beginning with the next appointment to a vacant at-large seat, one of the at-large members shall reside within the Tennessee Valley Authority service area. The membership of the commission shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
The nominees and appointees shall be persons who have demonstrated interest in and concern about the preservation of this state’s rich history and traditions and who are conversant with the history of the state and who are qualified to direct and supervise the work of the commission.
The members appointed by the Governor shall be citizens of this state and shall serve for terms of six years each; except, that the terms of the members of the first commission shall be three years for one half of the members appointed by the Governor and six years for the remaining members. After the expiration of the term of the initial members, all members appointed by the Governor shall be appointed for terms of six years each.
Any member of the commission may be removed by the Governor for cause, and vacancies in the commission shall be filled by the Governor by the appointment of a competent and qualified person for the unexpired term, from a list of three nominees submitted to him or her by the organization which originally nominated the member being replaced.
The Chair of the Restructured Historic Chattahoochee Commission shall serve as an ex officio policy making member of the commission.
(Acts 1966, Ex. Sess., No. 168, p. 190, §13; Acts 1969, No. 768, p. 1366, §1; Acts 1971, No. 500, p. 1213, §9; Acts 1973, No. 1077, p. 1831; Acts 1992, No. 92-108, p. 178, §7; Act 2007-195, p. 230, §3; Act 2008-142, p. 228, §3; Act 2016-202, §1.)
No member of the commission shall receive any pay or emolument other than his or her expenses incurred in the discharge of his or her duties as a member of the commission which expenses shall be paid in the amounts provided for in Article 2 of Chapter 7 of Title 36 of this code. All such expenses are to be paid from the funds of the commission.
(Acts 1966, Ex. Sess., No. 168, p. 190, §14.)
The commission shall hold an annual meeting at the Capitol building in Montgomery, and eight members of the commission shall constitute a quorum for the transaction of business. Additional meetings will be held at such times and places within the State of Alabama as may be considered necessary, desirable, or convenient upon call of the chair or, in the case of his or her absence or incapacity, of the vice-chair. However, by four-fifths vote of the commission, such meetings may be held outside the State of Alabama. The commission shall determine and establish its own organization and procedures in accordance with the provisions of this division and the general law. The commission shall elect a chair, a vice-chair, a secretary and a treasurer, and such officers shall hold office for a period of one year and until successors are elected.
(Acts 1966, Ex. Sess., No. 168, p. 190, §15; Acts 1969, No. 768, p. 1366, §2.)
(a) There is hereby established a Board of Advisors to the Alabama Historical Commission. Said board of advisors shall consist of no less than 15 persons. Each of the below listed societies, organizations, individuals, commissions, and institutions shall have the authority to name one member of said board and shall submit the name of said person to the chair of the commission prior to the annual meeting of the commission:
(1) The Alabama Division, United Daughters of the Confederacy;
(2) The Alabama Society of the Daughters of the American Revolution;
(3) The Alabama Society of the Daughters of the American Colonists;
(4) The Mobile Historic Development Commission;
(5) The National Society of the Colonial Dames of America in the State of Alabama;
(6) The Huntsville Historic Preservation Commission;
(7) The Alabama Department of the Sons of Confederate Veterans;
(8) The Gorgas Memorial Board;
(9) The Hobson Memorial Board;
(10) The Cahaba Advisory Committee;
(11) The LaGrange Historical Commission;
(12) The Fort Morgan Historical Commission;
(13) The USS Alabama Battleship Commission;
(14) The Tennessee Valley Historical Society;
(15) The Montgomery Antiquarian Society;
(16) The Helen Keller Property Board;
(17) The Birmingham Historical Society;
(18) The Board of Trustees of the Mobile Museum Board;
(19) The Board of Trustees of the Montgomery Museum Board;
(20) The head of the department of history and the head of the department of archaeology of each accredited, four year, degree granting university and college located within the State of Alabama;
(21) The John H. Forney Historical Society;
(22) The Tuscaloosa County Preservation Society;
(23) The Blount County Historical Society;
(24) The Chattahoochee Valley Historical Society;
(25) The Dale County Historical Society;
(26) The Etowah Historical Society;
(27) The Hale County Historical Society;
(28) The Huntsville Historical Society;
(29) The North Alabama Historical Society;
(30) The Old South Historical Society;
(31) The Pike County Historical Society;
(32) The Society of Pioneers of Montgomery;
(33) The Eufaula Heritage Association;
(34) The Marengo Historical Society;
(35) The Historic Mobile Preservation Society;
(36) The Alabama Society, Sons of the American Revolution;
(37) The Alabama Society, Southern Dames of America;
(38) The Huguenot Society in Alabama;
(39) The Alabama Society of the Colonial Dames of the 17th Century;
(40) The Coweta Memorial Association; and
(41) Any other local or regional historical society duly recognized by the commission which may exist or which may be created subsequent to August 19, 1966.
(b) Said advisory board shall meet annually at a place to be designated by the commission and shall serve without compensation. The board shall advise the commission on matters relating to the historic and architectural assets of the State of Alabama and assist the commission in compiling and maintaining an inventory of such assets and in carrying out all of its various duties.
(c) There may further be added to the advisory board by the commission such other civic, charitable and patriotic organizations as it may from time to time deem to be to the best interest of the commission.
(Acts 1966, Ex. Sess., No. 168, p. 190, §16; Acts 1969, No. 768, p. 1366, §3.)
The commission may employ an executive director, who shall serve at the pleasure of the commission and who shall be responsible directly to the commission for the general supervision and execution of the work of the commission. The commission shall fix his or her compensation, with the approval of the Governor and the State Personnel Board, the same to be paid from the funds of the commission, and shall further designate his or her duties and authority.
(Acts 1966, Ex. Sess., No. 168, p. 190, §6.)
The commission may employ either on a part-time or full-time basis such advisors, archaeologists, architects, engineers, attorneys, real estate appraisers, laborers, artisans, historians, caretakers, guides, peace officers, technicians, superintendents, stenographers and administrative employees and supervisory and professional personnel as may be necessary or advisable for carrying out in the most efficient and beneficial manner the purposes and provisions of this division, and all permanent full-time employees other than the executive director, the state officer of archaeology and projects supervisor shall be subject to the state Merit System.
(Acts 1966, Ex. Sess., No. 168, p. 190, §5; Acts 1971, No. 500, p. 1213, §4; Acts 1975, No. 1173, §1.)
The commission shall have the following duties and powers:
(1) To promote and increase knowledge and understanding of the history of this state from the earliest time to the present, including the archaeological, Indian, Spanish, British, French, Colonial, Confederate, and American eras, by adopting and executing general plans, methods, and policies for permanently preserving and marking objects, sites, structures, and ruins as defined in Section 41-9-242;
(2) To promote and assist in the publicizing of the historic resources of the state by preparing and furnishing information to public mass media and to governmental agencies charged with publicity and to coordinate any of its objectives, efforts, or functions with any agency or agencies of the federal government, of the State of Alabama and of other states or local governments having objectives similar or related to those of the commission;
(3) To accept for renovation, maintenance, restoration, preservation, or management and operation any building or site within the State of Alabama owned by the United States, the State of Alabama or any agency or subdivision thereof or by the National Trust for Historic Preservation or by natural or corporate persons, public or private, upon such terms and conditions as to the commission shall be deemed in the best interest of the State of Alabama in conformity with the purposes of this division;
(4) To acquire, by exercise of the power of eminent domain, historic structures of paramount or exceptional importance, such as those Alabama landmarks eligible for nomination to or recorded in the National Register of Historic Places; provided, that at least two-thirds of the members of the commission shall vote to acquire such structures by the exercise of this measure;
(5) To charge admissions at the various buildings and sites under the control of the commission throughout the state and to sell booklets, pamphlets and souvenirs at said locations and to retain and use the proceeds of said sales and admissions for the furtherance of the purposes of the commission as defined by this division;
(6) To adopt a seal for the commission and to use the same on its brochures, stationery and other official publications and upon its historic site markers;
(7)a. To acquire, receive, and take title to, by purchase, gift, lease, devise or otherwise, and to own, to hold, keep and develop, and to sell, transfer, convey, lease, and assign to any person or otherwise dispose of property of every kind and character, whether real, personal, or mixed, whether tangible or intangible, whether in trust or otherwise, together with any and every interest therein, in furtherance of the lawful objectives of the commission;
b. To negotiate for Dismals Wonder Gardens in Franklin County; to be held in trust for the Alabama Indian Commission. The administration of said property shall be by and with consultation with the Alabama Historical Commission and the Alabama Indian Commission for the preservation of the historical heritage of said property and shall utilize any proceeds therefrom, including interest on any investments, for the preservation of the property;
c. To administer such property or trusts, whenever any such property is received or held to be used for the benefit of the historical heritage of the State of Alabama, for preservation of historic sites, buildings, and objects, or for other lawful objectives of the commission, as it deems in the best interest of historical preservation or in furtherance of the objective for which the property is held or the donation or gift is made; and to convert such property or any portion thereof into securities or other forms of property and use the proceeds therefrom, including any interest on investments, as it deems will best promote the objectives of the commission;
d. To accept as trustee, beneficiary, or both, any interest in such property, together with any proceeds from its investment, for the benefit of historical preservation or other purposes of the commission, upon such conditions as may be acceptable to the donor and the commission. No such undertaking entered into by the commission or its agent or agents shall bind the state to pay any state moneys to anyone; provided, however, that nothing herein shall prevent the commission from undertaking payments out of the proceeds from such trust funds as a condition of the acceptance of the donation. All trust funds administered pursuant to this act may be required by the commission to pay the expenses of administering the same. Such gifts shall be deductible from Alabama state income tax by the donor or donors;
e. To convey title or any interest in real estate by deed or other instrument executed by a majority of the commissioners or by agent or agents authorized by a majority vote of the commission; and to convey property other than real estate by agent or agents authorized by a majority vote of commissioners present and voting.
(8) To maintain an office in a location in the state to be selected by the commission for the use of the executive director, the employees and the commission and to acquire the necessary furniture and equipment therefor;
(9) To prepare, create, purchase and distribute pamphlets and brochures describing the various historic buildings and sites under the jurisdiction of the State of Alabama or any of its agencies;
(10) To make and publish a survey of the buildings, ruins and sites of historic, architectural or archaeological significance within the State of Alabama and to make available such survey to individuals, institutions and governmental bodies desiring copies of same;
(11) To determine from such survey the buildings, ruins and sites listed therein which are considered worthy of permanent preservation, to certify same as being worthy and to publish said list;
(12) To establish criteria for the certification, selection and acquisition of historic properties for state ownership and for state aid to local historic site projects;
(13) To nominate selected landmarks with historic, architectural and archaeological significance to the National Register of Historic Places using priorities established by the commission;
(14) To establish and maintain an Alabama state historic preservation depository into which may be deposited antiques, relics, artifacts, mementos, paintings, and other objects contributed to or acquired by the state or the commission. The commission shall have the authority to restore these objects and to use them for the furnishing of its own historic buildings and other selected landmarks in Alabama;
(15) To rent or lease any of its acquisitions to public or private agencies;
(16) To publish an informational newsletter which shall periodically report on and promote local, regional, and state historic preservation activities;
(17) To produce and publish technical (“how to”) manuals on historic preservation;
(18) To publish and present citations and distinguished service awards to selected private and public organizations and individuals for outstanding achievements in preserving the heritage of Alabama;
(19) To purchase, produce, sell, and distribute historic souvenir items;
(20) To improve, restore, preserve, renovate, maintain, exhibit, repair, rebuild, recreate and reconstruct its acquisitions, and the commission shall have jurisdiction over the same and the exhibits located thereon;
(21) To purchase or otherwise acquire and to erect and maintain “historic markers” on such buildings, roads, trails, routes, and sites as it shall designate and to cooperate with and assist local, regional, and state historical groups in selecting and erecting such markers; and
(22) To accept the gift of money and real and personal property from any and all public and private sources. Such gifts shall be deductible from Alabama state income tax by the donor.
(Acts 1966, Ex. Sess., No. 168, p. 190, §3, 7, 10, 11; Acts 1971, No. 500, p. 1213, §2, 5, 6, 7; Acts 1991, 1st Ex. Sess., No. 91-805, p. 201, §1.)
(a) Notwithstanding any provision of law to the contrary, the Alabama Historical Commission may enter into contracts with any group or person for the recovery or salvage of archaeological treasure, sunken or abandoned ships and wrecks of the sea, or parts thereof or their contents, which are determined to be located on state owned lands, or on private land if the written consent of the owner thereof is first obtained. Such contracts shall be on forms approved by the commission and may provide for fair compensation to the salvager, and owner of the private land where applicable, in terms of a percentage of the reasonable cash value of the objects recovered or at the discretion of the commission, of a fair share of the objects recovered. The amount constituting a fair share shall be determined by the commission, taking into consideration the circumstances of each operation, and the reasonable cash value may be determined by contractual agreement for appraisal by qualified experts or by representatives of the contracting parties. Each contract shall provide for the termination of any right in the salvager thereunder upon the violation of any of the terms thereof. Each contract shall be approved by both the state Finance Director and the Governor. The distribution of the state’s share of the recovery or salvage shall be as follows:
(1) All archaeological treasure and artifacts shall be placed in the custody and control of the Alabama Historical Commission.
(2) All monetary proceeds from the sale of any recovered or salvaged archaeological treasure or artifacts including but not limited to gold, silver, or other precious metal shall be deposited with the State Treasurer to the credit of the State General Fund.
(b) The provisions of this section are supplemental. It shall be construed in pari materia with other laws regulating salvage and excavation of antiquities; however, those laws or parts of laws which are in direct conflict or inconsistent herewith are hereby repealed.
(Acts 1984, 2nd Ex. Sess., No. 85-53, p. 75.)
(a) The following historic properties and sites shall be under the jurisdiction and control of the Alabama Historical Commission:
(1) Fort Mims, Stockton, Baldwin County;
(2) Fort Toulouse, Wetumpka, Elmore County;
(3) Gaineswood, Demopolis, Marengo County; and
(4) Confederate Memorial Cemetery, Mountain Creek, Chilton County.
(b) The Alabama Historical Commission shall have full authority to develop, renovate, restore, preserve, maintain, operate, exhibit, and publicize such properties in accordance with the powers and responsibilities of the said commission.
(Acts 1971, No. 665, p. 1374.)
The Cahawba Historical Site, a property on the National Register of Historic Places, Dallas County, Alabama, shall be under the jurisdiction and control of the Alabama Historical Commission, which shall have full authority to develop, renovate, preserve, maintain, operate, exhibit, and publicize the Cahawba Historical Site in accordance with the powers and responsibilities of the commission.
(Acts 1975, 3rd Ex. Sess., No. 155, §1; Act 2003-401, §1.)
(a)(1) There is established an advisory committee to be known as the Cahawba Advisory Committee, composed of 16 members, 15 of whom shall be appointed by the Governor. The Judge of Probate of Dallas County shall be the sixteenth member but shall be a member ex officio and shall not be entitled to a vote on the advisory committee. The members shall serve for terms of seven years each, and the judge of probate shall serve throughout his or her term of office. Members of the advisory committee shall be appointed so that each congressional district is represented by one appointed member on the advisory committee; except, that the congressional district in which Cahawba is situated shall be represented by eight appointed members, five of whom shall be residents of Dallas County and three of whom shall be from some other county in the congressional district. The membership of the advisory committee shall reflect the racial, ethnic, gender, urban/rural, and economic diversity of the state.
(2) The chair shall establish and maintain a bank account on behalf of the advisory committee and draw warrants for any lawful expenditures.
(3) The advisory committee shall advise the Alabama Historical Commission regarding the restoration and the development of the Old Cahawba Capital Site.
(4) The advisory committee shall chose biennially one of its members as chair, one as vice chair, and one as secretary-treasurer.
(5) Advisory committee members shall receive a per diem compensation sum to be fixed by the advisory committee, but the sum shall not be less than one hundred fifty dollars ($150), for attending official meetings of the advisory committee. The chair may approve the payment for an advisory committee member authorized to perform official duties at other times. Advisory committee members shall receive per diem allowance and travel expenses incurred in attending official meetings or in performing any actual service under the direction of the advisory committee and shall be paid in accordance with Article 2, commencing with Section 36-7-20, of Chapter 7 of Title 36, after approval by the chair.
(6) The secretary-treasurer shall receive such compensation as may be fixed by the advisory committee, which shall be in addition to his or her per diem compensation and payments made under Article 2, commencing with Section 36-7-20, of Chapter 7 of Title 36. The secretary-treasurer shall be paid a sum for clerical expenses fixed by the advisory committee.
(b) The chair of the advisory committee, with the approval of a majority of the committee members, may appoint an executive director. The executive director shall not be a member of the state classified service.
(c) The executive director shall be compensated by a salary payable from any funds available to the advisory committee. The exact amount of the executive director’s salary shall be set by the advisory committee, but in no event shall the salary be less than 60 percent nor more than 75 percent of the amount set as the standard compensation for cabinet level officials of the state.
(d) The executive director may hire an assistant director and such staff, at the pleasure of the executive director, as deemed necessary, with the approval of the advisory committee, but without regard to the state Merit System. The advisory committee shall approve all staff members hired and their job descriptions, and shall set the rate of pay or compensation due the assistant director and other staff.
(e) The advisory committee may permit any employee of the advisory committee to be treated as a state employee for the purpose of participating in any insurance programs and other fringe benefits provided other nonclassified state employees.
(f) It is the duty of the advisory committee, acting through its executive director, assistant director, and staff to perform the following duties:
(1) To provide statewide public awareness, public information, and education services regarding the Old Cahawba Capital Site.
(2) To solicit, collect, and receive funds from the public and private sectors for the support, maintenance, and preservation of the Old Cahawba Capital Site.
(3) To promote and encourage public and private efforts to benefit the Old Cahawba Capital Site project.
(4) To appropriate and expend funds, make grants, contract, cooperate financially or otherwise with the Alabama Historical Commission, Dallas County, and any historical organization, nonprofit corporation, or governmental agency to acquire, establish, maintain, reconstruct, and preserve historical sites in and around Alabama’s first permanent Capital at Cahawba, as may be deemed beneficial by the Alabama Historical Commission.
(5) To acquire title, possession, or control of properties and also objects of historic interest associated with or representative of the era of the Old Cahawba Capital Site, but only those located beyond the Old Cahawba Capital Site.
(6) To make grants to the Alabama Historical Commission, Dallas County, and any historical organization, nonprofit corporation, or governmental agency to acquire title, possession, or control of properties or for their preservation, maintenance, reconstruction in, or relocation to Alabama’s first permanent Capital at Cahawba.
(7) To lease, gift, sell, or otherwise dispose of any surplus, duplicate, or unused properties.
(g) The executive director, assistant director, and staff shall perform those duties required by the advisory committee necessary to implement this section.
(Acts 1943, No. 486, p. 449; Acts 1959, No. 387, p. 1012; Acts 1961, No. 815, p. 1191; Acts 1975, 3rd Ex. Sess., No. 155, §3; Acts 1981, 1st Ex. Sess., No. 81-944, §1; Acts 1982, No. 82-368; Acts 1994, No. 94-703, p. 1357, §1; Act 2003-401, §1.)
The Alabama Historical Commission may acquire title, possession, or control of such properties and also of objects of historic interest at the Cahawba Historical Site as it may deem necessary or proper to be maintained, preserved, and protected on behalf of the State of Alabama and may acquire, by purchase, construction, lease, gift, condemnation, or otherwise, lands and rights in land, including leaseholds and easements, and water rights in the rivers and lands adjacent to or in the immediate vicinity of Cahawba. The commission’s power of eminent domain may be exercised under Title 18 and any amendments thereto, or pursuant to any other general statutory provision enacted for the exercise of the power of eminent domain. The commission may mark in suitable manner the places or locations of historic interest at such point and prepare and publish for distribution pamphlets or other printed matter with respect thereto. The expenses incurred for such purposes by the historical commission shall be paid out of any appropriation made to the commission, upon warrant drawn by the Comptroller, supported by an itemized account thereof approved by the board of trustees and by the Governor.
(Acts 1943, No. 486, p. 449; Acts 1959, No. 387, p. 1012; Acts 1961, No. 815, p. 1191; Acts 1969, No. 854, p. 1560; Acts 1975, 3rd Ex. Sess., No. 155, §1; Act 2003-401, p. 1167, §1.)
The commission shall not accept, acquire, operate, or maintain libraries or museums, except when the same are an integral part of one of the properties owned or managed by the commission, nor shall the commission engage in the publishing or printing of historical quarterlies.
(Acts 1966, Ex. Sess., No. 168, p. 190, §12; Acts 1971, No. 500, p. 1213, §8.)
There is hereby established in the State Treasury a fund to be known as the “Alabama State Historic Preservation Fund” into which shall be deposited all moneys received by the commission from admissions, inspection fees, gifts, donations, grants, leases, rentals, bequests, loans, governmental appropriations, or any other sources, either public or private. Such funds shall be used by the commission to pay the costs of the maintenance, acquisitions, preservation and operation of its acquisitions and for carrying out any and all of the purposes of this division, including the payment of the salaries of any employees of said commission and any expenses of said commission. Money contributed to or deposited in this fund for capital outlay projects and from any source other than state appropriations for operations shall not revert to the General Fund of the state, but shall remain in the preservation fund until expended by the commission.
(Acts 1966, Ex. Sess., No. 168, p. 190, §4; Acts 1971, No. 500, p. 1213, §3.)
The commission, as an agency of the State of Alabama, shall constitute a nonprofit governmental agency and shall have a tax-exempt status, and the properties of the commission and the income therefrom, all lease agreements and contracts made by it shall be forever exempt from any and all taxation by the State of Alabama and any political subdivision thereof, including, but not limited to, income, admission, amusement, excise, sales, use and ad valorem taxes.
(Acts 1966, Ex. Sess., No. 168, p. 190, §9.)
There is hereby created the Alabama Council on Historic Pilgrimages, the same to be established under the auspices of the Alabama Historical Commission, said council having the purpose of coordinating the efforts of each of the existing and proposed historic pilgrimages in the State of Alabama, whether publicly or privately sponsored.
(Acts 1975, 4th Ex. Sess., No. 67.)
The Council on Historic Pilgrimages shall consist of seven individual members, one being appointed from each of the six districts of the state as the same shall be established by the Alabama Historical Commission and one being a representative of the Alabama Historical Commission. Additionally, there shall be two ex officio individual members, one representing the Alabama Travel Council, and one representing the State Bureau of Tourism and Travel.
(Acts 1975, 4th Ex. Sess., No. 67.)
(a) The individual members of the Council on Historic Pilgrimages who represent the six above described districts shall each be appointed, initially, by the Alabama Historical Commission, and three of the initially appointed members shall serve for terms of one year, with the other three serving for terms of two years each. Subsequent to the initial appointment, future individual members of the council shall be named for terms of two years each, and such future members of the council shall be named by the member historic pilgrimage organizations within the district represented by such council member.
(b) The Council on Historic Pilgrimages shall have the authority to establish such policies as it deems necessary for the carrying out of its purposes and to admit as general nonvoting members of the council such organizations in the State of Alabama engaged in the business of historic pilgrimages as it may, in its discretion, determine.
(c) The council shall have among its duties the duty to work closely with the Alabama Travel Council and the State Bureau of Tourism and Travel, and such organizations shall, themselves, provide assistance and advice to the Council on Historic Pilgrimages.
(Acts 1975, 4th Ex. Sess., No. 67.)
All of that part of the Fort Morgan Military Reservation lying within the Fort Morgan Military Reservation conveyed from the United States of America to the State of Alabama by quitclaim deed executed May 26, 1927, and on which Fort Morgan itself is located, and also a certain part of the Fort Morgan Military Reservation conveyed by the United States of America to the State of Alabama by deed executed December 16, 1946, including all that area south of the outer south face of the east-west sea wall and west of the north-south sea wall, is hereby transferred to the Alabama Historical Commission. All other property, both real and personal, including structures and objects located on either of said tracts of land, owned by the Fort Morgan Historical Commission and all of its powers, authority and jurisdiction over said property are also hereby transferred to the Alabama Historical Commission, and any right, title or interest which the state Department of Conservation and Natural Resources has in the above described property is also hereby transferred to the Alabama Historical Commission.
Such commission shall have full authority to develop, renovate, restore, preserve, maintain, operate, exhibit, and publicize the above described properties in accordance with the powers and responsibilities of said Alabama Historical Commission.
Any right, title, or interest of the Department of Conservation and Natural Resources in all that part of the Fort Morgan Military Reservation not hereinabove transferred to the Alabama Historical Commission shall continue to be held by the state Department of Conservation and Natural Resources, and all such property may be used as a public park for recreation, such as camping, boating, fishing and any other purposes for which the Department of Conservation and Natural Resources is authorized to maintain and operate a public park. The paved road that runs south at the sea wall shall, however, be open for use by vehicles for ingress and egress to the beach, and the Department of Conservation and Natural Resources shall not prohibit camping on any part of the reservation under their jurisdiction and control.
(Acts 1976, No. 628, p. 865.)
(a) The primary restoration, planning, and preservation responsibility for the State Capitol of Alabama and its contiguous historic grounds, designated by the United States government as a national historic landmark, is hereby delegated to the Alabama Historical Commission.
(b) The Alabama Historical Commission is instructed to protect the historic and architectural integrity of this historic Greek revival masterpiece which served as the first Capitol of the Confederacy in 1861 and has served as the Capitol of Alabama for more than 120 years.
(c) The agencies of the State of Alabama charged with architectural, engineering, maintenance, and alteration responsibilities for the State Capitol shall submit plans and specifications to the Alabama Historical Commission which shall review them for the retention of the historic merit and architectural integrity of the landmark prior to any adaptive or construction activities.
(d) The commission shall be authorized and empowered to promote and preserve the historic character and architectural purity of the Capitol building and grounds and, to that end, it shall exercise its authority, control, and general supervisory jurisdiction over the Capitol grounds, including walkways and driveways, and over all public areas within the Capitol building, including the outer office of the executive suite. Such authority shall specifically include, but not be limited to, the corridors, rotundas, lobbies, entranceways, stairways, restrooms, porticos, steps, and elevators. The commission shall have no jurisdiction over the areas used for private office space, except as to structural modifications, but shall have jurisdiction over all areas specified in this section, and any and all changes contemplated, whether they be architectural in nature or merely the moving or replacement of furniture and furnishings, shall first require the approval of the commission.
With respect to the legislative chambers, legislative lounges, and legislative meeting rooms, the commission shall be authorized and empowered to advise and consult with the Clerk of the House and the Secretary of the Senate and the presiding officer, respectively, and to suggest and recommend changes and renovations within such spaces that would be appropriate and in keeping with the preservation of the historic value and architectural purity therein; provided, however, that no changes or renovations to the said chambers, lounges, or meeting rooms shall be undertaken or initiated without the approval of the Clerk of the House and the Secretary of the Senate and the presiding officer, respectively; provided further, that no changes or renovations to the Capitol building and grounds as defined in this section, other than the legislative chambers, legislative lounges, and legislative meeting rooms provided for in the preceding provisions of this sentence, shall be undertaken or initiated without the approval of the Governor.
(e) Nothing in this section shall be construed as to supersede any authority of the Division of Construction Management of the Department of Finance and, if so, that portion is expressly repealed.
(Acts 1969, No. 1148, p. 2153, §2; Acts 1976, No. 634, p. 881.)
(a) An advisory board to be known as the Fort Tombeckbee Historical Advisory Board is hereby authorized to be appointed by the Governor for the purpose of advising the Alabama Historical Commission on the acquisition, maintenance and protection of certain properties and objects of historical interest at Fort Tombeckbee in Sumter County. Said board shall be composed of three members, and the first appointees shall be appointed to serve for terms of two, four, and six years, respectively, and subsequent appointees shall serve for terms of four years. Such members shall serve without compensation.
(b) Said board shall advise the Alabama Historical Commission: To acquire title, possession, or control of such properties and also of objects of historic interest at Fort Tombeckbee as it may deem necessary or proper, to be maintained, preserved and protected on behalf of the State of Alabama; to mark in suitable manner the places or locations of historic interest at such point; and to prepare and publish for distribution pamphlets or other printed matter with respect thereto. The Alabama Historical Commission may, in its complete discretion, act upon any suggestions or advice of the advisory board. Any expenses incurred by the board shall be paid out of any money appropriated by the Legislature or by any gift, bequest, or grant from whatever source.
(Acts 1978, No. 516, p. 571.)
The Alabama Historical Commission is subject to the Alabama Sunset Law, Chapter 20, Title 41, as an enumerated agency pursuant to Section 41-20-3, and shall have a termination date of October 1, 2007, and every four years thereafter, unless continued pursuant to the Alabama Sunset Law.
(Act 2006-151, p. 222, §3.)
(a) A board of trustees, to be known as LaGrange Historical Commission, is hereby authorized to be appointed by the Governor for the purpose of acquiring, maintaining and protecting certain properties and objects of historical interest at LaGrange, in Colbert County, the site of the first chartered college in Alabama. Said board shall be composed of three members, and the first appointees shall be appointed to serve for terms of two, four, and six years, respectively, and subsequent appointees shall serve for terms of four years. Such trustees shall serve without compensation other than payment of a per diem allowance and travel expenses in attending meetings of the board or in performing any actual service under the direction of the board, such expenses to be paid in accordance with Article 2 of Chapter 7 of Title 36 of this code. Such expenses shall be payable out of the appropriation made by subsection (c) of this section, upon warrant of the Comptroller, after the account for such expenses has been approved by the board of trustees and by the Governor.
(b) Said board of trustees, within its discretion, may acquire title, possession, or control of such properties and also of objects of historic interest at LaGrange as it may deem necessary or proper to be maintained, preserved, and protected on behalf of the State of Alabama, mark in suitable manner the places or locations of historic interest at such point and prepare and publish for distribution pamphlets or other printed matter with respect thereto. The expenses incurred for such purposes by the board of trustees shall be paid out of the appropriation made by subsection (c) of this section, upon warrant drawn by the Comptroller, supported by an itemized account thereof approved by the board of trustees and by the Governor.
(c) For the purposes provided by this section, the sum of $500.00 is hereby appropriated annually payable out of any funds in the treasury, not otherwise appropriated, all of which shall be released on order of the Governor.
(Acts 1943, No. 551, p. 540.)
The LaGrange Historical Site, Colbert County, Alabama, owned by the LaGrange Historical Commission is hereby transferred to the Alabama Historical Commission which shall have full authority to develop, renovate, preserve, maintain, operate, exhibit, and publicize the LaGrange Historical Site in accordance with the powers and responsibilities of said commission. The LaGrange Historical Commission board of trustees shall cause an appropriate deed or conveyance to be executed in accordance with the provisions of this section.
(Acts 1979, No. 79-614, p. 1084.)
(a) The LaGrange Historical Site in Colbert County, owned by the Alabama Historical Commission, is transferred to the LaGrange Living Historical Association, a nonprofit corporation, which shall have full authority to develop, renovate, preserve, maintain, operate, exhibit, and publicize the LaGrange Historical Site in accordance with the powers and responsibilities of the association. The Executive Director of the Alabama Historical Commission shall cause an appropriate deed or conveyance to be executed in accordance with the provisions of this section.
(b) The Alabama Historical Commission shall continue to assist the LaGrange Living Historical Association in the preservation and maintenance of the LaGrange Historical Site. Any funds appropriated to the Alabama Historical Commission for the preservation and maintenance of the LaGrange Historical Site, including any unencumbered and unexpended funds for the current fiscal year, shall continue to be appropriated to the Alabama Historical Commission for the preservation and maintenance of the LaGrange Historical Site by the LaGrange Living Historical Association.
(Acts 1995, No. 95-524, p. 1060, §§1, 2.)
This division shall be known as and may be cited as the “Alabama Underwater Cultural Resources Act.”
(Act 99-595, p. 1364, §1.)
As used in this division, the following terms shall have the following meanings:
(1) COMMISSION. The Alabama Historical Commission, acting as the custodian of cultural resources for the State of Alabama.
(2) CONTRACTOR. Any individual, company, corporation, or private or public institution determined by the commission to be appropriately qualified that has applied for and received a permit or contract from the commission to begin exploration or excavation activities in state-owned waters.
(3) CULTURAL RESOURCES. All abandoned shipwrecks or remains of those ships and all underwater archaeological treasures, artifacts, treasure troves, or other cultural articles and materials, whether or not associated with any shipwreck, that are contained in or on submerged lands belonging to the State of Alabama and the sea within the jurisdiction of the state, and that have remained unclaimed for more than 50 years, excluding therefrom sunken logs, cants, and timber resources of any other type not associated as part of a shipping vessel, and are eligible for, or listed in, the National Register of Historic Places.
(4) EXCAVATION. The study and intentional removal from submerged land belonging to the state, by accepted scientific methods, of any objects recognized as cultural resources.
(5) EXPLORATION. The systematic examination by actual survey of an area of submerged land belonging to the state for the purpose of locating and recognizing cultural resources.
(6) SUBMERGED LANDS. Lands under navigable waterways owned or controlled by the State of Alabama.
(7) TREASURE TROVE. Any gold bullion, gold ingots, gold dust, silver bars, and other precious metals or stones.
(Act 99-595, p. 1364, §2; Act 2019-484, §1.)
(a) All cultural resources as defined herein are declared to be state cultural resources subject to the exclusive dominion and control of the State of Alabama.
(b) Cultural resources shall not be taken, damaged, destroyed, salvaged, excavated, or otherwise altered without a prior contract or permit obtained through the commission, which is designated as the official custodian of state cultural resources within the jurisdiction of the State of Alabama; provided, however, that issuance of any contract or permit shall also be subject to the prior written approval of the Commissioner of Conservation and Natural Resources.
(Act 99-595, p. 1364, §3.)
(a) The commission, in coordination with the Department of Conservation and Natural Resources, shall develop and implement a management plan for cultural resources. The commission may appoint an advisory committee to assist the commission in the development and implementation of a management plan for cultural resources, and to advise the commission with respect to needed rules or regulations. The commission, in coordination with the Department of Conservation and Natural Resources, may promulgate, in accordance with the state Administrative Procedure Act and in the best interest of the state, any rule or regulation necessary to implement this division; provided however, that the rules and regulations shall be subject to the approval of the director of the commission and the Commissioner of Conservation and Natural Resources. The rules and regulations shall have the force and effect of law.
(b) These regulations shall include, but not be limited to, any of the following:
(1) The classification of historic maritime and submerged resources.
(2) Contracting or permitting for various activities.
(3) Establishing a repository or repositories for holding the ships, artifacts, treasure troves, or other cultural artifacts and materials recovered in the areas stipulated in this division.
(4) Methods of enforcement of this division and rules and regulations promulgated hereunder.
(Act 99-595, p. 1364, §4.)
(a) Any qualified individual, company, corporation, or public institution desiring to conduct any type of exploration or excavation of cultural resources shall first make application to the commission for a permit or contract to conduct the operation. If the commission finds that the granting of a permit or contract is in the best interest of the state, it may, subject to the other provisions of this division, grant the applicant a permit or contract for a period of time and under those terms and conditions as the commission considers to be in the best interest of the state.
(b) Holders of permits or contracts shall be responsible for obtaining permission of any federal agencies having jurisdiction, including, but not limited to, the United States Department of the Navy and the United States Army Corps of Engineers, prior to conducting those activities.
(c) Permits or contracts may be issued or made for any of the following activities, without limitation:
(1) Recreational diving permit or contract.
(2) Exploration and evaluation permit or contract.
(3) Excavation and recovery permit or contract.
(Act 99-595, p. 1364, §5.)
The commission may restrict, when necessary, as determined in writing in the sole discretion of the Commissioner of Conservation and Natural Resources, the activities of commercial fishing vessels in or around known underwater cultural resources when the likelihood of damage to or any alterations of the cultural resources is deemed evident. The restricted area shall encompass only the immediate area of the resource so as not to unduly disrupt fishing operations.
(Act 99-595, p. 1364, §6.)
(a) Any funds received by the commission under the terms and conditions of permits or contracts made pursuant to this division shall be placed in funds maintained in the State Treasury.
(b) The commission shall, pursuant to its rulemaking power, provide a procedure for the sale at public auction of any articles seized pursuant to this division, with the proceeds going to the State General Fund to be appropriated by the Legislature.
(Act 99-595, p. 1364, §7.)
(a) A person commits the crime of theft or disturbance of a cultural resource protected by the commission if the person does either of the following:
(1) Intentionally and knowingly removes, alters, disturbs, or destroys any cultural resource without the prior written authorization of the commission by permit or contract.
(2) Knowingly buys, receives, conceals, aids in the concealment of, or possesses any illegally obtained cultural resources.
(b) Intentional and knowing theft or disturbance of a cultural resource having a value of less than one thousand dollars ($1,000) shall constitute a Class A misdemeanor and be punishable, upon conviction, as provided by law.
(c) Intentional and knowing theft or disturbance of a cultural resource with a value of one thousand dollars ($1,000) or more shall constitute a Class C felony and shall be punishable, upon conviction, as provided by law.
(Act 99-595, p. 1364, §8.)
In all cases of arrest and conviction under Section 41-9-297, all boats, instruments, and other equipment used directly in connection with the offenses are declared to be contraband and shall be seized and brought before the court having jurisdiction of the offense for proper disposal.
(Act 99-595, p. 1364, §9.)
All law enforcement agencies and officers, state and local, shall assist the commission in the enforcement of this division.
(Act 99-595, p. 1364, §10.)
(a) Notwithstanding any other provisions of this division to the contrary, no contract with or permit from or fee paid to the commission shall be required for activities performed pursuant to United States Army Corps of Engineers’ permits, including general permits.
(b) Notwithstanding any other provisions of this division to the contrary, any violation of this division caused by activities conducted for purposes not related to the exploration, excavation, or salvaging of cultural resources may be cured and any otherwise applicable crimes, penalties, or seizures will no longer apply if the activities in violation of this division are halted as soon as practicable after notice from the commission and an application for any contract or permit determined to be necessary is submitted to the commission.
(Act 99-595, p. 1364, §11.)
This division shall be construed in pari materia with Section 41-9-249.1.
(Act 99-595, p. 1364, §13.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-165 EFFECTIVE MARCH 6, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1978, No. 545, p. 609, §1; Acts 1993, No. 93-643, p. 1103, §1.)
(a) There is hereby created the Tannehill Furnace and Foundry Commission to establish, operate and maintain as a state park or historic site the land and buildings in the County of Tuscaloosa where one of the state’s early ironworks, known as the Tannehill Furnace and Foundry, was located.
(b) The purpose of the commission shall be to preserve, restore, maintain, and promote as a state park or historic site the land and relics of the Tannehill furnace and, in recognition of the important part played by the iron and steel industry in the development of this state, to exhibit this old furnace as an example of the process of making iron in this state’s early days.
(Acts 1969, No. 994, p. 1760, §1.)
The commission shall be composed of 18 members, one of whom shall be appointed by the Board of Trustees of the University of Alabama, one of whom shall be appointed by the Board of Trustees of the University of Montevallo, and one of whom shall be a member of the Alabama Historical Commission, chosen by such commission in the manner prescribed by it. Fourteen members shall be appointed by the Governor and the remaining member who shall by virtue of historical background be knowledgeable about the early Alabama iron industry, be chosen by the commission membership and designated “historian.” Four of the first members appointed by the Governor shall be appointed for eight-year terms, four shall be appointed for six-year terms, four shall be appointed for four-year terms, and two shall be appointed for two-year terms. Beginning in 1990, future appointments by the Governor shall include no less than three seats each to persons legally residing in Jefferson, Tuscaloosa and Bibb Counties. The first members appointed by the Board of Trustees of the University of Alabama and the University of Montevallo and the first member representative of the Alabama Historical Commission shall be appointed for two-year terms. Successors to these first members shall all be appointed for eight-year terms. The term of the historian shall be set by the commission.
Vacancies on the board during a term shall be filled for the unexpired portion of the term in the same manner and by the same appointing authority as the member whose place is being filled.
(Acts 1969, No. 994, p. 1760, §4; Acts 1989, No. 89-1004, §1.)
No member of the commission shall receive any pay or emolument other than his expenses incurred in the discharge of his or her duties as a member of the commission, which expenses shall be paid in the amounts provided for in Article 2 of Chapter 7 of Title 36 of this Code. All such expenses shall be paid from the funds of the commission.
It shall be unlawful for any member of the commission or any employee thereof to charge, receive, or obtain, either directly or indirectly, any fee, commission, retainer or brokerage out of the funds of the commission, and no member of the commission or officer or employee thereof shall have any interest in any land, materials or contracts sold to or made or negotiated with the commission or with any member or employee thereof acting in his or her capacity as a member or employee of such commission. Violation of any provision of this section shall be a misdemeanor and, upon conviction, shall be punishable by removal from membership or employment and by a fine of not less than $100.00 or by imprisonment not to exceed six months, or both.
(Acts 1969, No. 994, p. 1760, §5.)
Ten members of the commission shall constitute a quorum for the transaction of business. Additional meetings may be held at such times and places within the state as may be necessary, desirable or convenient upon call of the chair or, in the case of his or her absence or incapacity, of the vice-chair or on the call of any three members of the commission. The commission shall determine and establish its own organization and procedure in accordance with the provisions of this division, and shall have an official seal. The commission shall elect its chair, its vice-chair, its secretary, and its treasurer, and such officers shall hold office for a period of one year or until a successor is elected. Neither the secretary nor the treasurer need be members of the commission. The commission may require that the treasurer thereof be bonded in an amount to be determined by the commission.
(Acts 1969, No. 994, p. 1760, §7; Acts 1989, No. 89-1004, §1.)
The commission shall constitute a body corporate and shall have, in addition to those set forth specifically in this division, all powers necessary or convenient to effect the purposes for which it has been established under and by the terms of this division, together with all powers incidental thereto or necessary to the discharge of its said powers and duties.
(Acts 1969, No. 994, p. 1760, §8.)
The commission shall be a state agency and shall have exclusive control over the Tannehill Furnace and Foundry and the area appurtenant thereto, the memorial park established under this division, all improvements and exhibits located thereon and any additions constructed, created, leased, acquired, or erected in connection therewith. The commission shall have the power and authority to establish and promulgate and from time to time alter, amend, or repeal rules and regulations concerning the preservation, protection, and use of the Tannehill Furnace and Foundry and the memorial park and to preserve the peace therein. Any person who violates any rule or regulation so established and promulgated shall be guilty of a misdemeanor and shall be punished by a fine of not more than $1,000.00 or imprisonment for not more than one year, or both, and may be adjudged to pay all costs of the proceedings. The commissioners shall have and are hereby vested with full police power to prefer charges against and to make arrests of any person or persons violating any such rule or regulation. The commission shall have full authority to designate any employee or employees of the commission as deputy police officers, who shall have full authority to prefer charges against or to make arrests of any person or persons violating any rule or regulation established and promulgated by the commission as provided hereunder.
(Acts 1969, No. 994, p. 1760, §6; Acts 1979, No. 79-606, p. 1074.)
(a) The commission is authorized to take possession under a lease or a deed of the land and other property in the County of Tuscaloosa, known as “old Tannehill Furnace,” which is now owned by the University of Alabama, and the Board of Trustees of the University of Alabama is hereby authorized, in its discretion, to lease or to deed in fee simple such lands and appurtenances thereto to the commission. Such board of trustees may also sell, give, or lend any other relics of old-style iron making or other items appropriate for display along with or as a part of a display or exhibit of iron making. The commission is further authorized to lease, accept as a gift or loan, or otherwise acquire any other property, real or personal, including gifts or bequests of money or other things of value to be used in fulfilling the purpose for which it is established, or for any auxiliary purpose incidental or appropriate thereto.
(b) The commission is also authorized to borrow money and issue revenue bonds in evidence thereof, but no such bonds shall be general obligations of the State of Alabama or any agency or any political subdivision thereof. Nor shall such commission pledge to the payment of any such loans the land, buildings, exhibits, or other appurtenances thereto. It may, however, pledge to the repayment thereof the proceeds derived from admission fees or charges or other fees or charges made in connection with such park or historical site.
(Acts 1969, No. 994, p. 1760, §2.)
(a) The commission shall operate or provide for the operation of the park or historic site hereby provided for and any appurtenances thereto in such manner as to facilitate its exhibition to the public either with or without a charge. If the commission, in its discretion, decides that a charge is appropriate, then the commission shall fix and provide for the collection of such charge or charges as it deems appropriate for admission to the park and for the use, viewing of or other enjoyment of exhibits and other facilities appurtenant to the park.
(b) The commission may enter into agreements with any civic organization, lay group, or industrial, professional, or governmental organization relative to the general management of the park or historic site.
(c) The commission is also specifically authorized to accept gratuitous services from individuals and organizations and to employ such hostesses, guards, superintendents and other employees as, in its opinion, are needed for the operation and exhibition of such park or historic site.
(Acts 1969, No. 994, p. 1760, §3.)
The county commission of any county or governing body of any municipality in this state shall be authorized, by resolution duly adopted and recorded, to appropriate any available public funds not otherwise pledged to the use of any such commission.
(Acts 1969, No. 994, p. 1760, §10.)
This commission shall have a tax-exempt status, and the properties of the commission and the income therefrom, all lease agreements and contracts made by it, all bonds issued by it and the coupons applicable thereto and the income therefrom, and all indentures executed with respect thereto shall be forever exempt from any and all taxation by the State of Alabama and any political subdivision thereof, including, but not limited to, income, admission, amusement, excise, and ad valorem taxes.
(Acts 1969, No. 994, p. 1760, §9.)
(a) All full-time employees of the Tannehill Furnace and Foundry Commission shall be treated as state employees for the purpose of participating in any insurance programs provided for state employees.
(b) The Tannehill Furnace and Foundry Commission is hereby authorized and empowered to pay the employer’s contributions to any such programs out of any funds appropriated to them or available to them for any purpose whatsoever, and it may deduct the employees’ contributions for such programs by means of payroll deductions or otherwise from any salary or compensation paid said employees.
(Acts 1975, No. 1245, §§1, 2.)
The Tannehill Furnace and Foundry Commission as provided for in this chapter and renamed by this section shall henceforth be officially named and called the Alabama Historic Ironworks Commission. In no manner shall this section alter the powers, duties, property, personnel, function, or liability of the commission. A reference in any provision of law to the Tannehill Furnace and Foundry Commission shall be deemed a reference to the Alabama Historic Ironworks Commission created by this section.
(Acts 1995, No. 95-548, p. 1150, §1.)
In addition to the authority granted to the commission under Sections 41-9-320, and 41-9-325 to 41-9-328, inclusive, the commission is further authorized to offer technical assistance to other 19th Century ironworks or related industrial preservation projects in Alabama as funds are available and to conduct an inventory of historic ruins appropriate to this critical period in the industrial heritage of the state. The commission may preserve, restore, acquire, maintain, and promote the sites and accept by gift, grant, long-term lease or other legal conveyance properties which contributed to the heritage of the antebellum iron and coal industry of the state.
(Acts 1995, No. 95-548, p. 1150, §2.)
(a) A board of trustees to be known as the St. Stephens Historical Commission is hereby authorized to be appointed and established for the purpose of acquiring, maintaining, protecting, and promoting certain properties of historical interest at St. Stephens, in Washington County, in the general vicinity of the site of the first territorial capital of Alabama. The board shall be comprised of 11 members, and the first five enumerated appointees designated herein shall serve for terms of two, three, four, five, and six years, respectively, with subsequent appointees serving for terms of six years. The four board members appointed by the legislative delegation representing Washington County pursuant to subsection (b), including the initial appointees, shall serve terms of six years. At least one of the four new members appointed by the Washington County Legislative Delegation shall be African American. The ex officio board member shall serve a term on the board concurrent with the serving of the term of the elected public office.
(b) The Board of Trustees of the St. Stephens Historical Commission shall consist of the following members:
(1) Two members appointed by the Governor.
(2) One member appointed by the Alabama Historical Commission.
(3) Two members appointed by the Washington County Historical Society.
(4) One member appointed by the Washington County Commission.
(5) Four members appointed by the legislative delegation representing Washington County.
(6) One ex officio, full member who shall be the member of the Alabama House of Representatives representing the geographical community of St. Stephens in Washington County.
(c) The trustees shall serve without compensation other than payment of a per diem allowance and travel expenses in attending meetings of the board or in performing any actual service under the direction of the board. The expenses shall be paid in amounts prescribed in Article 2 of Chapter 7 of Title 36, and shall be payable out of any appropriation, donation, or grant, by a check drawn upon a bank account of the commission, after payment for the expenses has been approved by the board of trustees or the treasurer thereof.
(d) The board, within its discretion, may acquire title, possession, or control of properties and also of objects of historic interest at St. Stephens as it may deem necessary or proper to be constructed, reconstructed, maintained, preserved, and protected on behalf of the State of Alabama, mark in a suitable manner the places or locations of historic interest at such point, and prepare and publish for distribution pamphlets or other printed matter with respect thereto. The expenses incurred for these purposes by the board of trustees shall be paid out of the appropriation upon a check drawn on the bank account of the commission, supported by an itemized account thereof approved by the board of trustees or the treasurer thereof.
(e) The board shall hold an annual meeting at St. Stephens in Washington County each September on a day designated by the chair. Six members shall constitute a quorum for the transaction of business. Additional meetings may be held at such times and places within the state as may be necessary, desirable, or convenient, upon call of the chair or, in the case of his or her absence or incapacity, of the vice chair, or on the call of any five members of the board.
(f) The board shall determine and establish its own procedure in accordance with this division, and shall have an official seal.
(g) The board shall elect its chair, its vice chair, its secretary, and its treasurer, and these officers shall hold office for a period of two years or until a successor is elected. The board may require that the treasurer be bonded in an amount to be determined by the board.
(h) The board may appropriate and expend funds and cooperate financially and otherwise with the Washington County Historical Society, the County of Washington, and any other historical organization, county, or municipality in this state to acquire, establish, maintain, and promote historical sites in and around the present community of St. Stephens, in the vicinity of the first territorial capital of Alabama.
(i) The board shall promulgate rules and regulations having the force and effect of law governing its operations and activities, including, but not limited to, the management of any real property under its jurisdiction and providing for fines for certain violations. Violations of specified rules and regulations shall be a Class C misdemeanor. The board is further authorized to hire law enforcement officers to enforce the rules and regulations, as well as enforce all other laws and regulations as necessary or appropriate. The law enforcement officers shall have the general law enforcement authority of other peace officers of the State of Alabama and shall be required to meet the minimum standards of law enforcement officers as provided by the Alabama Peace Officers Standards and Training Commission or other standards as may be hereafter provided by law.
(Acts 1988, No. 88-335, p. 510, § 1; Acts 1996, No. 96-530, p. 740, § 1; Act 2000-570, p. 1052, § 1; Act 2001-493, p. 860, § 1.)
The county commission of any county or governing body of any municipality in this state or any other public or private agency or any historical organization shall be authorized, by resolution duly adopted and recorded, to appropriate any available public funds not otherwise pledged to the use of the St. Stephens Historical Commission and shall be authorized to acquire, construct, and maintain roads and bridges and other public facilities and improvements on commission owned or controlled land.
(Acts 1988, No. 88-335, p. 510, §2.)
(a) All full-time employees of the St. Stephens Historical Commission shall be treated as state employees for the purpose of participating in any insurance programs and other fringe benefits provided for state employees.
(b) The commission is hereby authorized and empowered to pay the employer’s contributions to any such programs out of any funds appropriated them or available to them for any purpose whatsoever, and it may deduct the employees’ contributions for such programs by means of payroll deductions or otherwise from any salary or compensation paid said employees.
(c) Part-time employees may be employed from time to time as needed.
(Acts 1988, No. 88-335, p. 510, §3.)
The Legislature finds as follows as to Rosa Parks:
(1) On December 1, 1955, Rosa Parks refused to give up her seat on a Montgomery bus.
(2) This bold act led to the Montgomery bus boycott, a major event in the United States’ Civil Rights struggle.
(3) Rosa Parks spent all of her life advocating for Civil Rights for African-Americans.
(4) Following the death of Rosa Parks, her body lay in honor in the rotunda of the United States Capitol, making her the first woman given such honor, the second African-American, and the first American who was not a government official.
(5) A statue of Rosa Parks was placed in the National Statuary Hall at the U.S. Capitol by special action of the U.S. Congress.
(6) That a commemorative statue to honor Rosa Parks would be a worthy addition to the grounds of the Alabama State Capitol, and the Legislature supports the inclusion of such a statue in a place of prominence on the West front of the Capitol facing Bainbridge Street that will convey to future generations the importance of Rosa Parks to the State of Alabama, the United States, and the world.
(Act 2019-178, §1.)
The Legislature find as follows as to Helen Keller:
(1) Helen Keller was born in Tuscumbia and, at age nineteen months, contracted an illness which left her deaf and blind.
(2) How Helen Keller learned to communicate is a quintessential story of overcoming adversity and is inspirational to many people in Alabama, the United States, and the world.
(3) A statue of Helen Keller is in the National Statuary Hall Collection as one of two statues representing Alabama since 2009, making hers one of only nine statues in the collection representing women.
(4) That a commemorative statue to honor Helen Keller would be a worthy addition to the grounds of the Alabama State Capitol, and the Legislature supports the inclusion of such a statue in a place where it will be readily accessible to, and touchable by, disabled persons.
(Act 2019-178, §2.)
(a)(1) The Women’s Tribute Statue Commission is created to fund, commission, and place statues of Rosa Parks and Helen Keller. The statue of Rosa Parks shall be placed on the West front of the Capitol facing Bainbridge Street. The statue of Helen Keller shall be placed on the grounds of the Capitol in a place where it will be readily accessible to, and touchable by, individuals with disabilities.
(2) The commission may solicit input from public and private organizations and entities regarding the design and proposed plans for the statues.
(b)(1) The commission shall consist of seven members to be appointed as follows:
a. Three members appointed by the Governor.
b. Two members appointed by the President Pro Tempore of the Senate.
c. Two members appointed by the Speaker of the House of Representatives.
(2) Appointed members shall be representative of the areas of the arts, disabilities, and civil rights.
(3) The appointing authorities shall coordinate their appointments so that the diversity of gender, race, and geographical areas is reflective of the makeup of this state.
(4) Members of the commission shall serve without compensation.
(c)(1) The Governor shall select one of his or her three appointees as chair of the commission, and the members may elect a vice-chair from the membership of the commission. The commission shall meet at the call of the chair or half of its members, and four of the members present at a called meeting shall constitute a quorum. The commission may choose to adopt bylaws.
(2) Meetings of the commission shall be subject to the Alabama Open Meetings Act, and its members shall be considered public officials for purposes of Chapter 25 of Title 36. Members of the commission shall serve at the pleasure of the appointing authorities.
(d) Public and private funds, including in-kind services, may be used to commission the monuments for Rosa Parks and Helen Keller.
(e) The commission shall be terminated upon the placement of the statues in accordance with this division.
(Act 2019-178, §3.)
The Alabama Historical Commission and the Division of Construction Management of the Department of Finance shall implement the placement of the statues on the grounds of the Capitol according to the recommendations and findings of the Women’s Tribute Statue Commission, as provided in this division.
(Act 2019-178, §4.)
(a) The Alabama Women’s Tribute Statue Commission is exempt from Chapter 2 of Title 39 for the purpose of procuring any contract to commission the creation and placement of statues or any works directly related to statues of Rosa Parks and Helen Keller on the grounds of the Capitol by artists or other individuals possessing a high degree of professional skill where the personality of the individual plays a decisive part.
(b) The Finance Director shall approve any contract pursuant to subsection (a) prior to any expenditure of funds.
(Act 2023-514, §1.)
(a) There is hereby created a state commission to be known as the “USS Alabama Battleship Commission.” The membership of the commission shall consist of 18 competent and qualified citizens of Alabama. The members shall be appointed by the Governor, with at least three being residents of Mobile County and at least one being a resident of Baldwin County. The remaining members shall be appointed from throughout the state in a manner as to provide general statewide representation of the commission.
(b) The terms of the members of the commission shall be for eight years, with nine members appointed every four years.
(c) Any member of the commission may be removed by the Governor for cause, and vacancies in the commission shall be filled by the Governor by appointment of a competent and qualified person for the unexpired term.
(Acts 1963, No. 481, p. 1028, §2; Acts 1997, No. 97-634, p. 1153, §1.)
No member of the commission shall receive any pay or emolument for the discharge of his duties. Commission members and employees of the commission shall be reimbursed for actual expenses incurred on behalf of the commission in the development, operation, promotion, and expansion of its programs and activities. All such expenses are to be paid from the funds of the commission.
It shall be unlawful for any member of the commission or any employee thereof to charge, receive, or obtain, either directly or indirectly, any fee, commission, retainer, or brokerage out of the funds of the commission, and no member of the commission or officer or employee thereof shall have any interest in any land, materials or contracts sold to or made or negotiated with the commission or with any member or employee thereof acting in his or her capacity as a member or employee of such commission. Violation of any provision of this section shall be a misdemeanor and, upon conviction, shall be punishable by removal from membership or employment and by a fine of not less than $100.00 or by imprisonment not to exceed six months or both.
(Acts 1963, No. 481, p. 1028, §3; Acts 1988, 1st Ex. Sess., No. 88-900, p. 467, §1.)
The commission shall hold an annual meeting at the site of the Battleship Memorial Park and one half of the members of the commission shall constitute a quorum for the transaction of business. Additional meetings may be held at such times and places within the State of Alabama as may be considered necessary, desirable or convenient upon call of the chair or, in the case of his or her absence or incapacity, of the vice-chair or on call of any three members of the commission. However, by two-thirds vote of the commission, the meetings may be held outside the State of Alabama. The commission shall determine and establish its own organization and procedure in accordance with the provisions of this article and shall have an official seal. The commission shall elect its chair, vice-chair, secretary, and treasurer. The officers shall hold office for a period of one year or until a successor is elected. Neither the secretary nor the treasurer need be members of the commission. The commission may require that the treasurer be bonded in an amount to be determined by the commission.
(Acts 1963, No. 481, p. 1028, §5; Acts 1997, No. 97-634, p. 1153, §1.)
The commission may, at its discretion, create and provide for an executive committee of not fewer than five members and delegate to such committee such powers and authority as are deemed advisable by the commission; except, that the executive committee may not be empowered to issue revenue or any other bonds or execute any lease or contract for a period in excess of one year or execute any contract for an amount in excess of $100,000.00. The commission shall notify the Governor when any member misses three consecutive meetings and the commission shall recommend that said member shall be removed by the Governor for cause.
(Acts 1963, No. 481, p. 1028, §6; Acts 1985, No. 85-703, p. 1156, §1.)
The commission may employ an executive director, who shall serve at the pleasure of the commission and who shall be responsible directly to the commission for the general supervision, promotion, and development of the battleship and of the state memorial park. The commission shall fix his or her compensation, the same to be paid from the funds of the commission and shall further designate his or her duties and authority.
(Acts 1963, No. 481, p. 1028, §11.)
The commission may hire such laborers, artisans, caretakers, technicians, stenographers and administrative employees, and supervisory and professional personnel as may be necessary or advisable for the carrying out in the most efficient and beneficial manner of the purposes and provisions of this article. The commission may offer to its employees any benefits offered to employees of the State of Alabama, including retirement, medical and dental care, and workers’ compensation plans.
(Acts 1963, No. 481, p. 1028, §10; Acts 1985, No. 85-703, p. 1156, §2; Acts 1997, No. 97-634, p. 1153, §1.)
The commission shall constitute a public body corporate and shall have, in addition to those set forth specifically in this article, all powers necessary or convenient to effect the purposes for which it has been established under and by the terms of this article, together with all powers incidental thereto or necessary to the discharge of its said powers and duties.
(Acts 1963, No. 481, p. 1028, §12.)
The commission shall establish, operate, and maintain a state memorial park to honor the Alabamians who participated in all armed conflicts of the United States, which shall be under the exclusive management and control of the commission as a separate agency of the state government. The principal purpose and function of the commission shall be to acquire, transport, berth, renovate, equip, maintain, and exhibit the Battleship USS Alabama and such other military artifacts and educational exhibits as deemed appropriate by the commission to effectively represent the veterans of all branches of the United States Armed Services in all conflicts and educate the public on their contributions and sacrifices as a permanent public memorial.
(Acts 1963, No. 481, p. 1028, §1; Acts 1985, No. 85-703, p. 1156, §3; Acts 1997, No. 97-634, p. 1153, §1.)
The commission shall be a state agency and shall have exclusive control over the Battleship USS Alabama, the memorial park established under this article, any and all improvements and exhibits located thereon, and any additions constructed, created, leased, acquired, or erected in connection therewith, including any text, image, audio, or video developed from assets exclusively under the ownership and control of the commission.
(Acts 1963, No. 481, p. 1028, §4; Acts 1997, No. 97-634, p. 1153, §1.)
(a) The commission shall acquire the Battleship USS Alabama (BB60) for and on behalf of the State of Alabama and select and improve appropriate sites for the permanent or temporary berthing of the vessel, taking into consideration factors, including, but not limited to, the accessibility of same, the location of nearby roads and highways, scenic attractions, esthetic value, cost, cooperation with federal, state, county, municipal, and other governmental authorities, protection from the hazards of weather, fire, and sea and any other factors which may affect the suitability of the site for the establishment of the ship as a temporary or permanent memorial and exhibit.
(b) The commission shall generate and manage operating funds through parking fees, admission charges, and overnight berthing or camping programs for the education of scouts and other youth groups exempt from state lodging taxes, staff or concession operations offering merchandise, food, beverages, rides, or services compatible with the commission’s mission, and short term rental of park sites for educational, commemorative, civic, camping, or social functions.
(c) The commission may accept public or private gifts, grants, and donations for the purposes of this article, may make and enter into contracts with other governmental departments, agencies, and boards, either federal, state, or municipal, and with private persons and corporations, may transport the ship to and berth the same at temporary and permanent park sites, ready the ship for visitation by the public, establish and provide for a proper charge for admission to the ship and otherwise renovate, maintain, and operate the ship as a permanent memorial and exhibit.
(d) The commission shall have full, complete and exclusive jurisdiction over the vessel, the sites and the related exhibits and shall allocate funds from its treasury for the fulfillment and accomplishment of its duties and responsibilities in a manner as may be necessary and appropriate for the perfection of the purposes of this article, including the power to lease lands of the commission whenever the commission shall find any action to be in furtherance of the purposes for which the commission was organized, and the authority to pledge revenues from its income from long term leases, future revenues from admissions, and any other sources as may from time to time be necessary or desirable.
(e) No lease may be entered into for longer than 25 years with option to renew every five year period thereafter.
(Acts 1963, No. 481, p. 1028, §7; Acts 1965, 1st Ex. Sess., No. 169, p. 220, §1; Acts 1988, 1st Ex. Sess., No. 88-900, p. 467, §2; Acts 1997, No. 97-634, p. 1153, §1.)
(a) The commission shall maintain books of account covering revenues derived by it from all sources whatsoever, together with accounts of all expenses incurred in connection with the carrying out by the commission of its purposes as established by and under the terms of this article. Such records and books shall be available for audit at any time by the Department of Examiners of Public Accounts and shall be audited at least every two years in the same manner as audits are made of other state agencies and departments.
(b) The commission shall establish a reserve fund for special contingencies and emergencies over and beyond those occurring in the normal course of routine maintenance and operation and may authorize the deposit of this reserve fund in any lawful depository or depositories.
(Acts 1963, No. 481, p. 1028, §9.)
(a) The commission may provide insurance covering loss or damage to its properties or any properties of others in its custody, care, or control or any properties as to which it has any insurable interest caused by fire or other casualty and may likewise provide insurance for the payment of damages on account of the injury or death of persons and the loss or destruction of properties of others, and may pay the premiums out of the revenues of the commission. Nothing in this section shall be construed to authorize or permit the institution of any civil action or proceeding in any court against the commission for or on account of any matter referred to in this section. Any contracts of insurance authorized by this section may, in the discretion of the chair of the commission, provide for a direct right of action against the insurance carrier for the enforcement of any claims or causes of action.
(b) The liability under any policy or contract of insurance, arising out of facts and circumstances as would bring the claim or cause of action within the provisions of Chapter 5 of Title 25 if the commission were subject to the provisions of the law shall be governed by the provisions of the law. The chair of the commission may increase the hospital and medical liability coverage if he or she deems the increase of liability coverage to be in the best interests of the commission. The liability in all other cases from any such policy or contract of insurance, except to the extent expressly stated to the contrary therein, shall be the same as that imposed by law upon private persons, firms, or corporations in like circumstances.
(c) The commission may, with the approval of the Governor, enter into contract by bond or policy with an insurance company authorized to do business in this state covering a certain amount to be paid to the employees of the commission who may be killed or injured in the line and scope of their employment. The amount paid to an employee on account of death or injury shall not exceed the amount or amounts as provided by Chapter 5 of Title 25; provided however, that the bond or policy may provide additional benefits not to exceed twenty-five thousand dollars ($25,000) per employee for the payment of hospital and medical expenses. The premium upon the bond or policy shall be paid out of the revenues of the commission.
(d) Claims by the general public against the commission or its staff will be referred to the State Board of Adjustment for adjudication. Claims by the commissioners or the commission’s staff arising from their duties shall be referred to the Director of Finance, Division of Risk Management for settlement and compensation.
(Acts 1965, 2nd Ex. Sess., No. 95, p. 129; Acts 1997, No. 97-634, p. 1153, §1.)
The commission shall have the power and authority to issue and sell at any time and from time to time its revenue bonds for the purpose of providing funds to acquire, transport, outfit, renovate, maintain, improve, and berth the Battleship USS Alabama and to construct, improve, enlarge, complete, maintain, operate, and equip the memorial park established in this article and for the payment of obligations incurred for such purpose or purposes; provided, however, that the first proceeds from the first revenue bonds issued under this section shall be used to repay the loan received from the Alabama State Port Authority.
The principal of and interest on any such bonds shall be payable solely out of the revenues derived from the project. All bond service payments shall be subordinate to the acquisition, establishment and maintenance of a reasonable maintenance and operating fund.
Any bonds of the commission may be delivered by it at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, payable and evidenced in such manner, may contain provisions for redemption prior to maturity and may contain other provisions not inconsistent with this section, all as provided by duly adopted resolutions of the commission whereunder such bonds are authorized to be issued; provided, however, that no bond of the commission shall have a specified maturity date later than 30 years after its date. Each bond of the commission having a specified maturity date more than 10 years after its date shall be made subject to redemption at the option of the authority of the commission at the end of the tenth year after its date and on any interest payment date thereafter under such terms and conditions as may be provided in the resolution under which such bond is authorized to be issued.
Bonds of the commission may be sold at either public or private sale in such manner and at such time or times as may be determined by the commission to be most advantageous to it.
Bonds issued by the commission shall not be obligations of the State of Alabama but shall be payable solely out of the revenue derived from the park project in respect of which such bonds are issued. The principal of and the interest on the bonds shall be secured by a pledge of the revenues out of which the bonds shall be payable and by a pledge of the rentals or leases from any concessions granted by the commission and may be secured by nonforeclosable indenture covering the park project.
(Acts 1963, No. 481, p. 1028, §13.)
All obligations incurred by the commission and all bonds issued by it shall be solely and exclusively an obligation of the commission and shall not create an obligation or debt of the State of Alabama or any county or municipality therein.
All bonds issued by the commission, while not registered, shall be construed to be negotiable instruments even though they are payable from a limited source. All coupons applicable to any bonds issued by the commission, while the applicable bonds are not registered as to both principal and interest, shall likewise be construed to be negotiable instruments although payable from a limited source. Such bonds shall constitute legal investments for savings banks and insurance companies organized under the laws of the state; and, unless otherwise directed by the court having jurisdiction thereof or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable prudence, invest trust funds in the bonds of the commission.
Any resolution authorizing any bonds under this article shall contain a recital that they are issued pursuant to this article, which shall be conclusive evidence that said bonds have been duly authorized, notwithstanding the provisions of any other law now in force or hereafter enacted or amended.
(Acts 1963, No. 481, p. 1028, §15.)
The commission shall have the authority to borrow money from private sources, the state emergency fund or such other sources as may be acceptable to the commission under such terms and conditions as may be provided by law. In order to provide security for the repayment of any such private or public loans, the commission shall have the authority to pledge such future revenues from admissions and any other sources as may, from time to time, be necessary or desirable.
(Acts 1963, No. 481, p. 1028, §16; Acts 1965, 1st Ex. Sess., No. 169, p. 220, §2.)
(a) At such time as existing revenue bond covenants of the Alabama State Docks Department are satisfied as a result of any refunding of revenue bond issues of the Alabama State Docks Department that are outstanding as of August 1, 1963, the Alabama State Docks Department shall loan $50,000.00 to the USS Alabama Battleship Commission from the trust fund that will be released to the Alabama State Docks Department as a result of said refunding. This loan shall be repaid to the Alabama State Docks Department from the proceeds of the first revenue issue authorized under this article.
Pending said loan from the Alabama State Docks Department from the released trust fund, the USS Alabama Battleship Commission is hereby authorized to borrow from any bank or banks in the state of Alabama such sums up to $50,000.00 as are needed to carry out the purposes of this article. The USS Alabama Battleship Commission may pledge as collateral for this loan or loans the above described loan that will be received from the Alabama State Docks Department.
(b) Having issued no bonds as of May 29, 1985, and having no intentions to do so, the $50,000.00 outstanding indebtedness to the Alabama State Docks Department is hereby forgiven.
(Acts 1963, No. 481, p. 1028, §17; Acts 1985, No. 85-703, p. 1156, §4.)
The county commissions of the several counties of the state and the city commissions, the city councils, and other like governing bodies of the cities and towns of the state are hereby authorized to make appropriations to the commission for the purposes enumerated in this article.
(Acts 1964, 1st Ex. Sess., No. 146, p. 213; Acts 1965, 1st Ex. Sess., No. 169, p. 220.)
The commission shall establish and maintain at such lawful depository or depositories in the State of Alabama as it shall select a “Battleship Fund,” composed of the money or moneys which may come into its hands from admissions, inspection fees, gifts, donations, grants, bequests, loans, bond issues, governmental appropriations, or other sources, either public or private. The funds shall be used by the commission to pay the costs of acquiring, restoring, renovating, outfitting, documenting, developing, maintaining, displaying, recording, storing, and when deemed appropriate, disposing of artifacts, exhibits, and park assets, and conducting marketing, promotion, and other activities to sustain operations, and meet maintenance and development requirements for the purposes set forth in this article and for the servicing, retirement, or amortization of any bonds or other evidences of indebtedness issued by the commission. The commission, in the promotion of Battleship Memorial Park through its chair and such employees as may be designated in writing by the chair, may expend funds of the commission to entertain customers or prospective customers and prospects, including prospective contributors or in promoting public relations in such a manner as the chair deems necessary. Any funds expended under this section shall be subject to audit and accounting as otherwise provided for by law.
(Acts 1963, No. 481, p. 1028, §8; Acts 1997, No. 97-634, p. 1153, §1.)
The commission shall have a tax exempt status, and the properties of the commission and the income therefrom, all lease agreements and contracts made by it, all bonds issued by it and the coupons applicable thereto and the income therefrom and all indentures executed with respect thereto shall be forever exempt from any and all taxation by the State of Alabama and any political subdivision thereof, including, but not limited to, income, admission, amusement, excise, and ad valorem taxes.
(Acts 1963, No. 481, p. 1028, §14.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
The Commission on Uniform State Laws is continued in existence as an advisory commission to the Legislature. The commission consists of three members of the bar appointed by the Governor for a term of four years or until their successors are appointed, a member of the Senate appointed by the President of the Senate, a member of the House of Representatives appointed by the Speaker of the House, the Director of the Legislative Services Agency, and the Deputy Director of the Legislative Services Agency, Law Revision Division.
(Acts 1951, No. 926, p. 1575, §1; Acts 1993, No. 93-613, p. 1004, §1; Act 2006-190, p. 268, §1; Act 2015-408, p. 1220, §2; Act 2017-214, §4; Act 2023-224, §1.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
Upon the death, resignation, failure, or refusal to serve of any appointed commissioner, his or her office shall become vacant, and the Governor, President of the Senate, or the Speaker, as the case may be, shall make an appointment to fill the vacancy for the unexpired term of the former appointee.
(Acts 1951, No. 926, p. 1575, §2; Acts 1993, No. 93-613, p. 1004, §1.)
The commissioners shall meet at least once every two years and shall elect one of their number as chair and another as secretary, who shall hold their respective offices for a term of two years and until their successors are elected.
(Acts 1951, No. 926, p. 1575, §3; Acts 1993, No. 93-613, p. 1004, §1.)
Each commissioner shall attend the meeting of the National Conference of Commissioners on Uniform State Laws and, both in and out of the national conference, shall do all in his or her power to promote uniformity in state laws upon all subjects where uniformity is deemed desirable and practicable. The commission shall report to the Legislature at each regular session and from time to time thereafter as the commission deems proper an account of its transactions and its advice and recommendations for legislation. It is also the duty of the commission to bring about as far as practicable the uniform judicial interpretation of all uniform laws.
(Acts 1951, No. 926, p. 1575, §4; Acts 1993, No. 93-613, p. 1004, §1.)
(a) The Commission on Uniform State Laws shall annually present its dues requirement to the Legislative Council for payment.
(b) Reimbursement of members of the commission for their necessary expenses in attending the meeting of the National Conference of Commissioners on Uniform State Laws shall be the obligation of the body or agency the member represents or by the appointing authority in the case of individuals who are not public officials or public employees. No reimbursement of expenses shall be made for life members who are no longer otherwise public officials or public employees.
(Acts 1951, No. 926, p. 1575, §5; Acts 1993, No. 93-613, p. 1004, §1; Act 2000-694, p. 1415, §1; Act 2015-408, p. 1220, §2; Act 2023-224, §1.)
(a) There is hereby created and established a continuing Women’s Commission, hereinafter referred to as the commission, which shall be composed of three members of the House of Representatives appointed by the Speaker of the House, two members of the Senate appointed by the President Pro Tem of the Senate, and the following members appointed by the Governor: One member shall be appointed from each congressional district and three members shall be appointed from the state-at-large. The additional at-large membership created by Act 2016-247 shall be appointed by the Governor in 2016, for a term of two years. Successors to this position shall serve a term of five years. No existing member’s term of office may be shortened due to the creation of the additional at-large membership. At least seven of the members appointed by the Governor shall be women. The original five members representing the Legislature shall be appointed for terms of two years, and their successors shall be appointed for terms of two years. Of those members initially appointed by the Governor, five members shall be appointed for terms of five years, and five members shall be appointed for terms of three years, and the successors to such appointees shall serve for terms of five years.
(b) Members shall be selected on the basis of their interests and knowledge in, and their ability to make contributions to, the solutions of problems related to the status of women.
(c) The commission shall report to the Governor and the Legislature.
(d) Vacancies on the commission shall be filled by appointment in the same manner provided for the appointment of the initial members. Any appointment to replace a member whose position becomes vacant prior to the expiration of the term shall be filled only for the remainder of the term.
(e) Members of the commission shall receive no compensation for their services, except that they may be reimbursed for reasonable and necessary expenses incident to their duties as members of the commission, in accordance with state law.
(Acts 1971, No. 1937, p. 3127, §1; Act 2010-509, p. 839, §1; Act 2016-247, §1.)
The commission shall hold an organizational session at which time the commission shall select a chair and such other officers from its membership as it deems necessary. The commission shall at its organizational session adopt such procedures and rules that will enable the implementation of the purposes of the commission. It shall have the responsibility of appointing such committees and task forces as they deem necessary.
(Acts 1971, No. 1937, p. 3127, §2; Act 2010-509, p. 839, §1.)
The commission shall meet at least three times a year.
(Acts 1971, No. 1937, p. 3127, §4.)
The purpose of the commission is to improve and advance the lives of women in the State of Alabama. The commission may study, make recommendations, educate, and promote constructive action on issues related to women which shall include, but not be limited to, economic development, education, employment, health, legal rights, political participation, and the quality of individual and family life. The areas of responsibility may include any or all of the following:
(1) To create public awareness and understanding of the responsibilities, needs, potentials, and contributions of women and their roles in the changing society.
(2) To research, assemble, analyze, and disseminate pertinent data and educational materials relating to activities and programs which will assist in meeting the needs of women.
(3) To institute, conduct, or support, or any combination thereof, educational and other programs, meetings, conferences, hearings, forums, and discussion groups to address matters of concern to the women of the state.
(4) To advise and make recommendations to the Governor and to the Legislature on issues, policies, and programs relating to women.
(5) To evaluate and monitor legislation pending in the Legislature on issues relating to women and make recommendations concerning such legislation to the Governor and the Legislature.
(6) To maintain contact and collaborate with the appropriate federal, state, local, and international agencies concerned with the status of women.
(7) To perform such other functions and duties as imposed upon it by law or as assigned to it by the Governor or the Legislature, or both.
(Acts 1971, No. 1937, p. 3127, §3; Act 2010-509, p. 839, §1.)
The commission shall submit an annual report to the Governor and the Legislature of its activities and findings and any suggested legislation which would aid in accomplishing its objectives.
(Acts 1971, No. 1937, p. 3127, §5.)
(a) The commission may employ an executive director, who shall serve at the pleasure of the commission and who shall be responsible directly to the commission. The commission shall determine the compensation of the executive director, which shall be paid from the funds of the commission. The commission shall designate the duties and responsibilities of the executive director.
(b) The commission may employ administrative employees, consultants, research assistants, and other supervisory and professional personnel as may be necessary or advisable for carrying out, in the most efficient and beneficial manner, the purposes and provisions of this article. The commission may offer to its employees any benefits offered to employees of the State of Alabama, including retirement, medical and dental care, and workers’ compensation plans.
(Act 2010-509, p. 839, §2.)
(a) The commission shall administer funds allocated for its work and be authorized to accept, disburse, and allocate any funds that may become available from other governmental and private sources, provided that all such funds shall be disbursed or allocated in compliance with any specific designation stated by the donor. In the absence of such specific designation, the funds shall be disbursed or allocated to projects related to any of the purposes of the commission.
(b) The commission may impose user fees on participants in its programs, services, or activities. Fees shall not exceed the reasonable cost of administering the programs, services, or activities. The commission or the executive director may waive the user fee if the waiver would promote the purpose of the commission or if the participant is unable to pay the user fee.
(c) All user fees collected, sponsorships, direct appropriations, and other funds received shall be deposited into a special fund in the State Treasury to be known as the Women’s Commission Fund. The commission may make deposits and expenditures from such special fund to administer and implement the purposes of this article, including, but not limited to, expenditures for expenses, meals and receptions, awards, and promotional items. All revenue remaining in the special fund at the end of the fiscal year shall carry over to the next fiscal year and shall not revert to the State General Fund or any other fund. Such funds shall be appropriated, budgeted, and allotted in accordance with Sections 41-4-80 to 41-4-96, inclusive, and 41-19-1 to 41-19-12, inclusive, and only in amounts stipulated in general appropriations bills and other appropriations bills.
(d) All contributions and gifts of money and property made to the commission shall be exempt from all taxation in the state. All real and personal property, money, income, resources, and activities of the commission shall be exempt from all taxation in the state.
(e) The commission may award research grants in accordance with state law and subject to budget appropriations.
(f) The commission shall maintain accurate records and books of account covering revenue and expenditures, which shall be subject to audit by the Department of Examiners of Public Accounts.
(g) The commission shall be provided with office space and necessary office equipment.
(Act 2010-509, p. 839, §2.)
(a) There is created and established a state agency to be known as the Alabama Space Science Exhibit Commission, which shall be a public body corporate with all the powers and privileges of a corporation, for the purpose of providing for and participating in the management and control of facilities to house and display visual exhibits of space exploration and hardware used therefor as may be made available by the National Aeronautics and Space Administration. The facility shall constitute a permanent housing for the national aeronautics and space administration exhibit, which shall be open to the general public and shall be located at a place to be designated and made available in Madison County for a nominal cost through the cooperation of the Department of the Army and other public and private partners, where feasible, or at other locations as the commission may deem appropriate.
(b)(1) Commencing on October 1, 2025, the name of the Alabama Space Science Exhibit Commission shall be the U.S. Space and Rocket Center Commission, and all rights, duties, property, real or personal, and all other effects existing in the name of the Alabama Space Science Exhibit Commission, or in any other name by which the commission has been known, shall continue in the name of the U.S. Space and Rocket Center Commission. Any existing or future reference to the Alabama Space Science Exhibit Commission, or any other name by which the commission has been known, in any existing law, contract, or other instrument, shall constitute a reference to the U.S. Space and Rocket Center Commission.
(2) A reasonable transition period for the name change shall be allowed to permit an orderly and cost-effective transition relating particularly to the use of equipment and supplies. All letterhead, business cards, forms, and any other materials in use by the commission containing the name Alabama Space Science Exhibit Commission shall continue to be used by the U.S. Space and Rocket Center Commission until the supplies are exhausted. Replacement supplies shall contain the name of the U.S. Space and Rocket Center Commission.
(c) The commission may do any of the following:
(1) Provide facilities as mutually agreed upon between the commission and the Department of the Army, or other public and private partners, where feasible, for the housing and display of army weaponry and mementos of national defense.
(2) Establish an energy information and exhibit center in order to provide information to the public on research and development in the field of energy as developed by the National Aeronautics and Space Administration, the Department of the Army, the Energy Research and Development Administration, other federal and state agencies, including universities and colleges, and other public and private sectors engaged in energy related activities.
(3) Construct or otherwise acquire, whether by purchase, construction, exchange, gift, lease, or otherwise, lodging and other similar facilities, including parking facilities and facilities for meetings, for use by visitors to the permanent exhibit of the commission and users of the commission’s visitors’ center. In connection therewith, the commission may acquire any land or construct or acquire buildings or other improvements and all real and personal properties deemed necessary by the commission for such purpose, whether or not now in existence. The commission may lease to others any facilities and may also lease lands of the commission on which the facilities may be constructed and charge and collect rent therefor, and terminate any lease upon the failure of the lessee to comply with any of the obligations thereof. The commission may also sell, exchange, or convey and grant options to any lessee to acquire any facilities and may lease lands of the commission on which the facilities may be constructed whenever the commission finds any action to be in furtherance of the purpose for which the commission was organized.
(Acts 1965, No. 863, p. 1605, §1; Acts 1966, Ex. Sess., No. 408, p. 553; Acts 1976, No. 587, p. 799; Acts 1983, No. 83-576, p. 895, §1; Act 2025-70, §1.)
(a) The commission created by Section 41-9-430 shall consist of 18 members, appointed by the Governor, who shall be bona fide residents and qualified voters of this state, at least three of whom shall be residents of Madison County. The Governor shall serve as an ex officio nonvoting member of the commission whose absence does not affect a quorum. The Governor shall coordinate his or her appointments to assure the commission membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. All members shall be qualified individuals of unquestioned loyalty to this country who are knowledgeable and interested in national defense and space exploration and in the promotion of interest in those fields. Nine of the original members shall be appointed for terms of four years, and nine of the original members shall be appointed for terms of eight years. Commencing on October 1, 2025, as terms expire, all members shall serve for terms of six years, with a limit of two full consecutive terms. Terms served before or being served on October 1, 2025, do not count toward the two full consecutive term limit. A member who has served for two full consecutive terms after October 1, 2025, may not be appointed to any additional terms for at least six years following the consecutive service. All members shall serve until their successors are appointed and qualified, but any member may be removed by the Governor for just cause. Vacancies shall be filled for the unexpired term in the same manner as original appointments are made. Service for an unexpired term does not constitute service for a full term for purposes of term limits.
(b) The chair of the commission shall be selected by the membership of the commission.
(c) Members of the commission shall serve without compensation.
(d) Members and employees of the commission shall be reimbursed for actual expenses incurred on behalf of the commission in the development, operation, promotion, and expansion of commission programs and activities.
(e) The commission shall hold at least one annual meeting at the site of the exhibit, and one-half of the members shall constitute a quorum for the transaction of any business which may properly come before the commission at a meeting.
(f) The commission may provide for an executive committee of not fewer than five commission members to whom the commission may delegate such powers and authority as the commission may deem to be advisable.
(Acts 1965, No. 863, p. 1605, §2; Acts 1985, 2nd Ex. Sess., No. 85-987, p. 333, §1; Act 2025-70, §1.)
The commission may do all of the following:
(1) Investigate and select an available site for housing the exhibits, including the surrounding grounds, in cooperation with the Department of the Army, the community, and other interested public or private partners, taking into consideration all pertinent factors affecting the suitability of the site.
(2) Acquire by rent or lease agreement or otherwise the necessary housing facilities and establish, improve, and enlarge the available facility, including providing the facility with necessary equipment, furnishings, landscaping, and related facilities, including parking areas and ramps, roadways, sewers, curbs, and gutters.
(3) Enter into contracts and cooperative agreements, including leases to private industry, with the local, state, and federal governments, with agencies of those governments, including the Department of the Army and the National Aeronautics and Space Administration, with other public or private individuals, corporations, associations, and other organizations as the commission may deem necessary or convenient to carry out the purpose of this article.
(4) Borrow money from private sources or other sources as may be acceptable to the commission under terms and conditions as may be provided by law and, in order to provide security for the repayment of any private loans, pledge future revenues from admissions and any other sources as may from time to time be necessary or desirable.
(5) Issue and sell, subject to the approval of the Governor, interest-bearing general obligation bonds not in excess of one million nine hundred thousand dollars ($1,900,000) in principal amount as authorized by constitutional amendment. The bonds shall be general obligations of the State of Alabama with full faith and credit and taxing power of the state to be pledged to the prompt and faithful payment of the principal of the bonds and the interest thereon. The proceeds from the sale of the bonds shall be used exclusively for the purpose of paying the expenses incurred in the sale and issuance thereof and for the construction, establishment, improvement, or enlargement and equipment of building facilities and related grounds, including the renewal or replacement of structural parts of the facility, but not including the purchase of the site for the facility.
(6) Issue and sell at any time and from time to time its revenue bonds for the purpose of providing funds to acquire, enlarge, improve, equip, and maintain a facility and for the payment of obligations incurred for those purposes. The principal and interest on any revenue bonds shall be payable solely out of the revenues derived from the project.
(7) Borrow money and in evidence of the borrowing issue and sell at any time and from time to time its revenue bonds, in addition to those authorized under subdivisions (5) and (6), for the purpose of carrying out the commission’s power to construct or acquire lodging facilities, as set out in Section 41-9-430, the principal of and interest on which shall be payable solely out of the revenues and receipts derived by the commission from the operation, leasing, or sale of the lodging facilities. The resolution under which the revenue bonds are authorized to be issued and any mortgage and deed of trust or trust indenture securing the same may contain any agreements and provisions respecting the operation, maintenance, and insurance of the property covered by the mortgage and deed of trust or trust indenture, the use of the revenues and receipts subject to the mortgage and deed of trust or trust indenture, the creation and maintenance of special funds from the revenues and receipts, the rights, duties, and remedies of the parties to any instrument and the parties for the benefit of whom the instrument is made, and the rights and remedies available in the event of default as the commission shall deem advisable and which are not in conflict with this section. Each pledge, agreement, mortgage, and deed of trust or trust indenture made for the benefit or security of any of the revenue bonds of the commission shall continue effective until the principal of and interest on the bonds for the benefit of which the same were made shall have been fully paid. In the event of default in payment or in any agreements of the commission made as a part of the contract under which the revenue bonds were issued, whether contained in the proceedings authorizing those bonds or in any mortgage and deed of trust or trust indenture executed as security therefor, the payment may be enforced by mandamus, the appointment of a receiver, or either of these remedies, and foreclosure of the mortgage and deed of trust or trust indenture, if provided for in the instrument, may be had.
(8) Make contracts in the issuance of its bonds as may seem necessary or desirable to assure their marketability and provide for their retirement by a pledge of all or any revenue which may come to the commission from the investment of the proceeds of the sale of the bonds or from any other source whatsoever.
(9) Accept public or private gifts, grants, and donations.
(10) Acquire property by purchase, lease, gift, or license.
(11) Allocate and expend funds from all donations, income, and revenue from any source whatsoever coming into its treasury for the fulfillment and accomplishment of its duties and responsibilities in any manner as may be necessary and appropriate for the perfection of the purposes of this article. The treasury of the commission is not within the State Treasury.
(12) Sell, convey, transfer, mortgage, lease, or donate any property, franchise, grant, easement, license, or lease or interest therein which the commission may own; and transfer, assign, sell, mortgage, convey, or donate any right, title, or interest which it may have in any lease, contract, agreement, license, or property.
(13) Employ a chief executive officer or an executive director and additional personnel as may be necessary to accomplish the purposes of this article. The chief executive officer or executive director shall serve at the pleasure of the commission. The commission shall fix the compensation of the chief executive officer or executive director which shall be paid from the funds of the commission. The commission shall designate the duties and authority of the chief executive officer or executive director. The chief executive officer or executive director and any additional personnel shall not be subject to the state Merit System Act; provided, however, that they shall be eligible for participation, in whole or in part, in the state health insurance plan and benefits as provided in Article 1 of Chapter 29 of Title 36, and they shall be eligible for participation, in whole or in part, in the State Employees’ Retirement System under Section 36-27-6 governing counties, cities, towns, and other quasi-public organizations of the state, at the discretion of the commission. The commission and the personnel of the commission are not subject to the state calendar and other benefits provided in Section 1-3-8, and may provide, by rule, for a calendar, holiday schedule, and other employee benefits.
(14) Adopt rules as the commission deems necessary and desirable to provide for the operation, management, and control of the facility in cooperation with the Department of the Army, with the National Aeronautics and Space Administration, and with other public or private partners, where feasible.
(15) Expend funds of the commission in the development, operation, promotion, and expansion of the programs and activities of the commission including the franchising, nationally and internationally, of the United States Space Camp, a youth science program developed and owned by the commission, and create, maintain, and operate additional education programs in rocketry, space exploration, astronomy, aviation, aeronautics, robotics, computer programming, cybersecurity, and any other topic the commission deems appropriate to fulfilling the educational mission and mandate of the U.S. Space and Rocket Center.
(16) Perform other acts necessary or incidental to the accomplishment of the purposes of this article, whether or not specifically authorized in this section and not otherwise prohibited by law.
(Acts 1965, No. 863, p. 1605, §3; Acts 1969, No. 280, p. 611, §1; Acts 1971, No. 2339, p. 3772; Acts 1983, No. 83-567, p. 868, §2; Acts 1985, 2nd Ex. Sess., No. 85-987, p. 333, §1; Act 2025-70, §1.)
All bonds shall be issued, subject to the approval of the Governor, in such forms, denominations, series, and numbers, may be of such tenor and maturities, may bear such date or dates, may be in registered or bearer form either as to principal or interest or both with rights of conversion into another form, may be payable in such installments and at such place or places, may bear interest at such rate or rates payable and evidenced in such manner, and may contain provisions for redemption at the option of the state, to be exercised by said commission at such date or dates prior to their maturity and upon payment of such redemption price or prices, as shall be provided by said commission in the resolution or resolutions whereunder the bonds are authorized to be issued. The principal of each series of bonds shall mature in annual installments in such amounts as shall be specified in the resolution or resolutions of the said commission under which they are issued, the first of which installments shall mature not later than one year after the date of the bonds of such series, and the last of which installments shall mature not later than 20 years after the date of the bonds of the same series. When each series of bonds is issued, the maturities of the bonds of that series shall, to such extent as may be practicable, be so arranged that during each then succeeding fiscal year of the state government the aggregate installments of principal and interest that will mature on all bonds that will be outstanding under this article immediately following the issuance of the bonds of that series will be substantially equal; provided, that the determination by the said commission that the requirements of this sentence have been complied with shall be conclusive of such compliance and the purchasers of the bonds with respect to such determination is made and all subsequent holders thereof shall be fully protected thereby.
None of the bonds shall be sold for less than face value plus accrued interest thereon to the date of delivery. All of the bonds shall be sold only at public sale or sales, either on sealed bids or at public auction, after such advertisement as may be prescribed by said commission, to the bidder whose bid reflects the lowest net interest cost to the state computed to the respective maturities of the bonds sold; provided, that if no bid deemed acceptable by the said commission is received, all bids may be rejected.
The bonds shall be signed in the name of the state by the Governor and countersigned by the chair of the commission and the Great Seal of the State of Alabama or a facsimile thereof shall be impressed, printed, or otherwise reproduced thereon and shall be attested by the signature of the Secretary of State; provided, that facsimile signatures of any one or any two but not all of said officers may be reproduced on such bonds in lieu of their manually signing the same. Coupons attached to the bonds and representing installments of interest thereon shall be signed with the facsimile signature of the State Treasurer, which facsimile signature is hereby adopted as due and sufficient authentication of said coupons.
(Acts 1965, No. 863, p. 1605, §4.)
Any general obligation bonds shall also be payable from and secured by a pledge of the revenues and income of the commission remaining after the payment of the reasonable and necessary expenses of operating and maintaining the facilities to be constructed by the commission.
(Acts 1965, No. 863, p. 1605, §6a.)
All revenue bonds issued by the commission shall be solely and exclusively the obligations of the commission and shall not create an obligation or debt of the state or of any county or of any municipality within the state. All revenue bonds issued by the commission for the purpose of providing lodging facilities shall be payable solely out of the revenues and receipts derived from the operation, leasing or sale by the commission of such lodging facilities as may be designated in the proceedings of the commission under which the bonds shall be authorized to be issued.
The principal of and interest on any such revenue bonds shall be secured by a pledge of the revenues and receipts out of which the same may be payable and may be secured by a mortgage and deed of trust or trust indenture conveying as security for such revenue bonds all or any part of the property of the commission from which the revenues or receipts so pledged may be derived.
(Acts 1965, No. 863, p. 1605, §6; Acts 1983, No. 83-567, p. 868, §3.)
In view of the unique character and complexity of the duties and responsibilities imposed on the commission by this article, it is hereby specifically provided that in addition to the power and authority enumerated in Section 41-9-432, the commission may:
(1) Develop and institute a program of promotion and advertising of the exhibits and facilities provided for by this article. The program of promotion and advertising shall be conducted by the commission both within and without the state in a manner and to an extent as may be deemed economically advisable and appropriate by the commission;
(2) Procure supplies and services in the same manner as an educational or eleemosynary institution governed by a board of trustees or other similar governing body pursuant to Section 41-4-124(b)(1); and
(3) Operate itself or, in its discretion enter into lease agreement with a person or agency of its choosing to operate, all concessions located in or on the grounds and facilities operated by the commission. Any such lease agreement shall be so designated as to provide maximum services and convenience to the patrons of the exhibit center and to provide reasonable revenue return to the commission.
(Acts 1965, No. 863, p. 1605, §8; Acts 1969, No. 280, p. 611, §2; Act 2025-70, §1.)
It shall be the duty of the commission to maintain at all times accurate records and books of account covering revenues and expenditures which shall be subject to the audit of the Department of Examiners of Public Accounts.
(Acts 1965, No. 863, p. 1605, §7.)
The commission, its property and income and all bonds issued by the commission, the income from such bonds or from the investment of such income and all conveyances, leases, mortgages, and deeds of trust by or to the commission shall be exempt from all taxation in the State of Alabama.
(Acts 1965, No. 863, p. 1605, §5.)
The provisions of this article shall be construed liberally, it being the purpose to provide in this state appropriate housing facilities for displaying to the general public exhibits of the Department of the Army and of the National Aeronautics and Space Administration, in cooperation with public and private partners, where feasible, and for providing for the management and control of that portion of the display furnished and supplied by the National Aeronautics and Space Administration by any means as may be feasible and agreed upon.
(Acts 1965, No. 863, p. 1605, §8; Acts 1969, No. 280, p. 611, §2; Act 2025-70, §1.)
There shall be created and established as provided in this article a board to be designated and known as the Alabama Sports Hall of Fame Board. The board shall be composed of 14 members, eleven of whom shall be appointed by the Governor of Alabama for terms of six years each. Of the first members appointed, two shall serve for two years, and three shall serve for four years as the Governor may direct. One board member shall be appointed for each congressional district in the state. One member of the board shall be the Chair or President of the Jefferson County Civic Center Board by virtue of the office. One board member shall be appointed by the Lieutenant Governor from the state-at-large, and one board member shall be appointed by the Speaker of the House from the state-at-large, for terms of six years. The remaining member shall be appointed by the Governor of Alabama from the state-at-large for a term of six years.
The members of the board shall select a chair and vice-chair from among their own number. Members of the board shall not be compensated for their services, but each member shall be entitled to reimbursement for expenses incurred in attending board meetings. The board shall meet quarterly and at such other times as its rules and bylaws may prescribe. A majority of the members shall constitute a quorum for transaction of business.
(Acts 1967, No. 225, p. 594, §1; Acts 1980, No. 80-447, p. 694; Acts 1993, No. 93-258, p. 386, §1.)
The board shall be domiciled at the Jefferson County Civic Center, where it shall maintain such halls, rooms, or quarters as may be considered suitable and appropriate for conducting its affairs. The board may appoint an executive secretary or director and such staff as may be necessary for performance of its duties and functions. The Director of the Jefferson County Civic Center shall cause to be set apart at the center a section thereof to be used by the board for display of busts, statues, plaques, books, papers, pictures, and other exhibits relating to sports, athletics, and athletes.
(Acts 1967, No. 225, p. 594, §2.)
It shall be the function and main purpose of the board to honor those, living or dead, who by achievement or service have made outstanding and lasting contributions to sports in Alabama or elsewhere. The board may adopt such rules, regulations, and bylaws as may be needed to carry out its functions. The board may honor Alabama sports dignitaries at an annual function and may pay the actual expenses of celebrities and/or guest speakers who are invited to participate in the ceremonies. It may also conduct surveys and polls and may appoint such committees and representatives as it may determine necessary or desirable.
(Acts 1967, No. 225, p. 594, §3; Acts 1978, No. 667, p. 961.)
The board may solicit and accept donations, contributions, and gifts of money and property, and all gifts made to the board shall be exempt from all taxation in Alabama. All property, money, income, resources, and activities of the board shall likewise be exempt from taxation.
(Acts 1967, No. 225, p. 594, §4.)
The board may spend all legislative appropriations made for the use of the board and may expend funds donated or contributed for its support.
(Acts 1967, No. 225, p. 594, §5.)
There is hereby created and established a state agency to be known as the Motor Sports Hall of Fame Commission for the purpose of providing for and participating in the management and control of facilities to house and display such visual exhibits relating to the automobile racing industry and the automobile industry as may be made available by the automobile racing industry, the automobile industry or any other individual, corporation or legal entity. Such facility shall constitute a permanent housing for the exhibit, which shall be open to the general public and shall be located at a place to be designated and made available in Talladega County.
(Acts 1975, No. 1137, §1.)
The commission created herein shall consist of 18 members, to be appointed by the Governor, who shall be bona fide residents and qualified voters of this state, at least six of whom shall be residents of Talladega County. The remaining members of the commission shall be appointed from throughout the state in such manner as to provide general statewide representation on the commission. All members shall be knowledgeable and interested in the automobile racing industry and the automobile industry and in the promotion of interest in such fields. Nine of the original members shall be appointed for terms of four years, and nine members shall be appointed for terms of eight years. All members shall serve until their successors are appointed and qualified, but any member may be removed by the Governor for just cause. Vacancies shall be filled in the same manner as original appointments are made. The first chair of the commission shall be appointed by the Governor from among the original appointees. Thereafter, each succeeding chair shall be selected by the other members of the commission. Members of the commission shall serve without compensation, but shall be entitled to reimbursement for expenses incurred in the performance of the duties of the commission in the amounts provided by law. The commission shall hold at least one annual meeting at the site of the exhibit, and one half of the members shall constitute a quorum for the transaction of any business which may properly come before the commission at any such meeting. The commission shall have the right to adopt such rules and regulations as may be necessary to carry out the effect and purposes of this article and shall be authorized to provide for an executive committee of not fewer than five of its members to whom it may delegate such powers and authority as the commission may deem to be advisable.
(Acts 1975, No. 1137, §2.)
The commission shall be authorized:
(1) To investigate and select an available site for housing the exhibits, including the surrounding grounds, in cooperation with the community, taking into consideration all pertinent factors affecting the suitability of such site;
(2) To acquire by rent or lease agreement or otherwise the necessary housing facilities; and to establish, improve and enlarge the available facility, including providing it with necessary equipment, furnishings, landscaping and related facilities, including parking areas and ramps, roadways, sewers, curbs, and gutters;
(3) To enter into such contracts and cooperative agreements with local, state, and federal governments, with agencies of such governments, with private individuals, corporations, associations, and other organizations as the commission may deem necessary or convenient to carry out the purpose of this article, with such contracts and agreements to include leases to private industry;
(4) To borrow money from private sources or such other source as may be acceptable to the commission under such terms and conditions as may be provided by law; and, in order to provide security for the repayment of any such private loans, the commission shall have the authority to pledge such future revenues from admissions and any other sources as from time to time, be necessary or desirable;
(5) To issue and sell, subject to the approval of the Governor, interest-bearing general obligation bonds not in excess of $3,000,000.00 in principal amount, as authorized by constitutional amendment; such bonds shall be general obligations of the State of Alabama, with full faith and credit and taxing power of the state to be pledged to the prompt and faithful payment of the principal of the bonds and the interest thereon. The proceeds from the sale of such bonds shall be used exclusively for the purpose of paying the expenses incurred in the sale and issuance thereof and for the construction, establishment, improvement, or enlargement and equipment of building facilities and related grounds including the renewal or replacement of structural parts of such facility, but not including the purchase of the site for such facility;
(6) To issue and sell at any time and from time to time its revenue bonds for the purpose of providing funds to acquire, enlarge, improve, equip, and maintain a facility and for the payment of obligations incurred for such purposes. The principal and interest on any such revenue bonds shall be payable solely out of the revenues derived from the project;
(7) To make such contracts in the issuance of its bonds as may seem necessary or desirable to assure their marketability and to provide for their retirement by a pledge of all or any revenue which may come to the commission from the investment of the proceeds of the sale of such bonds or from any other source whatsoever;
(8) To accept public or private gifts, grants, and donations;
(9) To acquire property by purchase, lease, gift, or license, but not to include the purchase of a site for the facility;
(10) To allocate and expend funds from all donations, income, and revenue from any source whatsoever coming into its treasury for the fulfillment and accomplishment of its duties and responsibilities in such manner as may be necessary and appropriate for the perfection of the purposes of this article;
(11) To sell, convey, transfer, lease, or donate any property, franchise, grant, easement, license, or lease or interest therein which it may own and to transfer, assign, sell, convey, or donate any right, title, or interest which it may have in any lease, contract, agreement, or license of property;
(12) To employ an executive director and such additional personnel as may be necessary to accomplish the purposes of this article. The executive director and such additional personnel as may be employed by the commission will serve at the pleasure of the commission. The commission shall fix the compensation of the executive director and such additional personnel, and such compensation shall be paid from the funds of the commission. The commission shall designate the duties and authority of the executive director and such additional personnel. The executive director and such additional personnel shall not be subject to the provisions of the state Merit System Act; however, they shall be eligible for participation in the state health insurance plan and benefits as provided in Chapter 29 of Title 36 of this code, and they shall be eligible for participation in the State Employees’ Retirement System law governing counties, cities, towns, and other quasi-public organizations of the state; and
(13) To make such rules and regulations as the commission may deem necessary and desirable to provide for the operation, management, and control of the facility.
(Acts 1975, No. 1137, §3.)
All bonds shall be issued, subject to the approval of the Governor, in such forms, denominations, series, and numbers, may be of such tenor and maturities, may bear such date or dates, may be in registered or bearer form either as to principal or interest or both with rights of conversion into another form, may be payable in such installments and at such place or places, may bear interest at such rate or rates payable and evidenced in such manner, and may contain provisions for redemption at the option of the state to be exercised by said commission at such date or dates prior to their maturity and upon payment of such redemption price or prices, all as shall be provided by said commission in the resolution or resolutions whereunder the bonds are authorized to be issued. The principal of each series of bonds shall mature in annual installments in such amounts as shall be specified in the resolution or resolutions of the said commission under which they are issued, the first of which installments shall mature not later than one year after the date of the bonds of such series, and the last of which installments shall mature not later than 20 years after the date of the bonds of the same series. When each series of bonds is issued, the maturities of the bonds of that series shall, to such extent as may be practicable, be so arranged that during each then succeeding fiscal year of the state the aggregate installments of principal and interest that will mature on all bonds that will be outstanding under this article, immediately following the issuance of the bonds of that series, will be substantially equal; provided, that the determination by the said commission that the requirements of this sentence have been complied with shall be conclusive of such compliance, and the purchasers of the bonds with respect to such determination is made and all subsequent holders thereof shall be fully protected thereby. None of the bonds shall be sold for less than face value plus accrued interest thereon to the date of delivery. All of the bonds shall be sold only at public sale or sales, either on sealed bids or at public auction, after such advertisement as may be prescribed by said commission, to the bidder whose bid reflects the lowest net interest cost to the state computed to the respective maturities of the bonds sold; provided, that if no bid deemed acceptable by said commission is received, all bids may be rejected. The bonds shall be signed in the name of the state by the Governor and countersigned by the chair of the commission, and the Great Seal of the State of Alabama or a facsimile thereof shall be impressed, printed or otherwise reproduced thereon and shall be attested by the signature of the secretary of state; provided, that facsimile signatures of any one or any two, but not all, of said officers may be reproduced on such bonds in lieu of their manually signing the same. Coupons attached to the bonds and representing installments of interest thereon shall be signed by the facsimile signature of the State Treasurer, which facsimile signature is hereby adopted as due and sufficient authentication of said coupons.
(Acts 1975, No. 1137, §4.)
The commission, its property and income and all bonds issued by the commission, the income from such bonds or from the investment of such income, and all conveyances, leases, mortgages and deeds of trust by or to the commission shall be exempt from all taxation in the State of Alabama.
(Acts 1975, No. 1137, §5.)
All revenue bonds issued by the commission shall be solely and exclusively the obligations of the commission and shall not create an obligation or debt of the state or any county or of any municipality within the state.
(Acts 1975, No. 1137, §6.)
Any general obligation bonds shall also be payable from and secured by a pledge of the revenues and income of the commission remaining after the payment of the reasonable and necessary expenses of operating and maintaining the facilities to be constructed by the commission.
(Acts 1975, No. 1137, §7.)
It shall be the duty of the commission to maintain at all times accurate records and books of account covering revenues and expenditures, which shall be subject to the audit of the Department of Examiners of Public Accounts.
(Acts 1975, No. 1137, §8.)
(a) The provisions of this article shall be construed liberally, it being the purpose to provide in this state appropriate housing facilities for displaying to the general public exhibits relating to the automobile racing industry and the automobile industry and providing for the management and control of the displays by such means as may be feasible and agreed upon.
(b) In view of the unique character and complexity of the duties and responsibilities imposed on the commission by this article, it is hereby specifically provided that the commission shall have, in addition to the power and authority enumerated in Section 41-9-472, the right, power and authority to:
(1) Develop and institute a program of promotion and advertising of the exhibits and facilities provided for by this article, said program of promotion and advertising to be conducted by the commission both within and without the state in such manner and to such extent as may be deemed economically advisable and appropriate by the commission;
(2) Purchase and acquire items of tangible personal property on a competitive bid basis in the manner prescribed by law for the purchase of such items by state trade schools, state junior colleges, state colleges and universities under the supervision and control of the State Board of Education, the city and county boards of education, and the county boards of revenue or other similar county governing bodies and the governing bodies of the municipalities of the state and the governing boards of instrumentalities of counties and municipalities under Article 3 of Chapter 16 of this title; and
(3) Itself operate, or in its discretion enter into lease agreement with a person or agency of its choosing to operate, all concessions located in or on the grounds and facilities operated by the commission, any such lease agreement to be so designated as to provide maximum services and convenience to the patrons of the exhibit center and to provide reasonable revenue to the commission.
(Acts 1975, No. 1137, §9.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §3.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §5.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §6.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §8.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §9.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1969, No. 1115, p. 2050, §7.)
There is hereby created and established a committee to be known as the State Capitol Advisory Committee. Such committee shall be composed of eight members, including two ex officio members, who shall be the Director of the Technical Staff of the Division of Construction Management within the Department of Finance and the Director of the Department of Archives and History, one member shall be appointed by the Mobile Historic Development Commission, one shall be appointed by the Montgomery Historic Development Commission, and one member shall be appointed by the Huntsville Historic Preservation Commission. The Governor shall appoint three members from the state at large to serve for terms of two, three and four years respectively. Such members shall reside in divergent areas of the state and in some other area other than those areas in which the other appointed members reside. The three members representative of the historical commissions in the Cities of Mobile, Montgomery, and Huntsville shall draw lots to determine which of such members shall serve for terms of two, three or four years. Thereafter all appointed members of the committee shall serve for terms of four years each, and the ex officio members shall serve throughout their terms of office. Members of the committee shall serve without compensation for their services and without reimbursement for expenses incurred.
(Acts 1969, No. 1148, p. 2153, §1; Acts 1976, No. 634, p. 881, §4.)
The committee shall meet at the State Capitol building at least twice each year, one of which said meetings shall be designated as the annual meeting. The committee at its organizational meeting shall elect a chair and secretary. Said officers shall serve terms of one year each and until their successors are elected and take office.
(Acts 1969, No. 1148, p. 2153, §3; Acts 1976, No. 634, p. 881, §4.)
The committee shall advise the Alabama Historical Commission regarding the restoration and preservation of the State Capitol.
(Acts 1976, No. 634, p. 881, §4.)
[Repealed]
Repealed by Act 2011-568, p. 1146, §12, effective September 1, 2011.
(Acts 1971, No. 2329, p. 3756, §1.)
[Repealed]
Repealed by Act 2011-568, p. 1146, §12, effective September 1, 2011.
(Acts 1971, No. 2329, p. 3756, §2.)
[Repealed]
Repealed by Act 2011-568, p. 1146, §12, effective September 1, 2011.
(Acts 1971, No. 2329, p. 3756, §3.)
This article shall be known and may be cited as the First Lady Dianne Bentley Governor’s Mansion Preservation Act.
(Act 2011-568, p. 1146, §1.)
(a) There is created the Governor’s Mansion Authority to preserve, operate, and maintain the Alabama Governor’s Mansion, also known as the Ligon House, located on South Perry Street in Montgomery, Alabama, the adjacent historic property known as the John Blue-Hill House (“Hill House”) on South Perry Street, and such adjacent properties as may be acquired from time to time, hereinafter designated the Governor’s Mansion Complex. The Governor’s Mansion Complex means the state-owned property within the area bounded on the north by Cromwell Street, bounded on the east by South Perry Street, bounded on the south by Finley Avenue, and bounded on the west by South Court Street.
(b) The purposes of the authority shall be to preserve and maintain the Governor’s Mansion and to protect the historical and architectural integrity of the mansion exterior, interior, contents, and grounds; to develop, maintain, and operate the Governor’s Mansion Complex as an appropriate setting for carrying on the official and ceremonial functions of the state, including, but not limited to, the recruitment of industry; and to provide suitable housing for the Governor and the family of the Governor in comfortable, private, and physically secure quarters within the Governor’s Mansion Complex, including the Hill House.
(Act 2011-568, p. 1146, §2; Act 2019-503, §1.)
(a) The authority shall be composed of the following members or their designees:
(1) The Director of the Alabama Department of Archives and History.
(2) The Director of the Division of Construction Management of the Department of Finance.
(3) The Director of Finance of the State of Alabama.
(4) The Executive Director of the Alabama Historical Commission.
(5) The senior collections curator of the Alabama Department of Archives and History.
(6) The chief architectural historian of the Alabama Historical Commission.
(7) The President of the Alabama Trust for Historic Preservation.
(8) The President of the Friends of the Alabama Governor’s Mansion.
(9) The President of the Business Council of Alabama.
(10) The Chair of the Black Heritage Council.
(11) The Executive Director of the Landmarks Foundation of Montgomery.
(12) A history teacher to be appointed by the State Superintendent of Education, having demonstrated proficiency and interest in preservation of state history.
(13) The Director of the State Black Archives Research Center and Museum.
(14) The Director of the Historic Mobile Preservation Society.
(15) The President of the Alabama Historical Association.
(16) The Governor of Alabama or the Governor’s spouse upon appointment by the Governor.
(17) The Executive Director of the Eufaula Heritage Association.
(18) Two members appointed by the Governor.
(b) At its first meeting each year, the members of the authority shall elect a chair, a vice chair, and a secretary, each of whom shall serve two-year terms. The vice chair shall act in the place of the chair in the chair’s absence or disability. The vice chair and secretary shall not serve more than two consecutive terms. The authority shall meet at such times as designated by the authority at a place as is deemed necessary or convenient, but the chair shall call a meeting once a year. The chair may also call a special meeting at any time the chair deems it advisable or necessary. A quorum shall be a simple majority of the authority membership or their designees. Members of the authority or any committee thereof may participate in meetings of the authority or such committees by telephone conference or similar communications equipment through which all persons participating in the meeting can hear each other at the same time, and such participation by the members shall constitute presence at a meeting for all purposes. Members and their designees shall serve without compensation.
(c) Except as specified by subsection (a), the authority shall strive, when applicable, to select designees that reflect the racial, geographic, and economic diversity of the state.
(d) There is created an executive committee of the authority, which shall have authority to exercise any and all powers of the authority on the authority’s behalf, except as expressly limited by an administrative rule adopted by the authority. The executive committee shall be composed of three members of the authority, each appointed to the executive committee by the Governor, and who shall serve on the executive committee at the pleasure of the Governor. The executive committee shall submit an annual report of its activities to the authority no later than October 1 of each year.
(Act 2011-568, p. 1146, §3; Act 2019-503, §1.)
(a) The authority shall constitute a body corporate and shall have, in addition to those powers and responsibilities set out in this article, all powers necessary or convenient to effect the purposes for which it has been established by this article, together with all powers incidental thereto or necessary for the discharge of its powers and duties.
(b) The authority shall be a state agency and shall have exclusive control over the Governor’s Mansion Complex, all improvements located thereon, and any additions constructed, created, leased, acquired, or erected in connection therewith, including the contents of the Governor’s Mansion. Any change to the exterior, interior, and contents of the Governor’s Mansion and Hill House requires prior approval of the authority. The private living quarters of the Governor and the family of the Governor, as designated by the authority, are excepted from this requirement for an interior change to the contents or a nonstructural decorative change other than fixtures. The authority may establish and promulgate and, from time to time, alter, amend, or repeal rules concerning the preservation, protection, and use of the Governor’s Mansion Complex. The complex shall be subject to the historic preservation ordinance of the City of Montgomery.
(c) The authority shall take possession under deed of the land and other property within the Governor’s Mansion Complex. By October 1, 2011, the Director of Finance or any and all other state agencies or entities owning property within the complex shall deed in fee simple such lands and appurtenances to the authority and shall transfer ownership of the entire contents of the Governor’s Mansion, the Hill House, and any other structure as audited by the State Auditor, to the authority. The Director of Finance shall also sell, give, or lend any personal property necessary or convenient for the operation of the complex to the authority. The authority also may lease, accept as a gift or loan, or otherwise acquire any property, real or personal, including gifts, bequests of money, or other things of value, to be used in fulfilling the purpose for which it is established, or for any auxiliary purpose incidental or appropriate thereto.
(d) By October 1, 2011, the State Treasurer shall deposit all remaining state appropriations for the current fiscal year for the Governor’s Mansion into the Governor’s Mansion Preservation Fund in the State Treasury, established pursuant to subsection (d) of Section 41-9-545.
(Act 2011-568, p. 1146, §4.)
In addition to any other power established pursuant to this article, the authority may exercise the following powers:
(1) To solicit and receive appropriations, gifts, contributions of money, and property consistent with the purpose for which the authority is created. Title to all gifts, articles, and money received by the authority shall be vested in the authority. The authority shall use gifts, articles, and money received for the purpose specified by the grantor, to the extent consistent with this article and the rules of the authority.
(2) To solicit and accept loans of furniture and other objects as it deems suitable and appropriate. The authority shall use loaned furniture and objects for the purpose specified by the grantor to the extent consistent with this article and the rules of the authority.
(3) To make, enter into, and execute contracts, agreements, and other instruments as may be necessary or desirable to accomplish any purpose for which it is created, including entering into agreements with any civic organization, nonprofit group or organization, or professional or government organization relative to the day-to-day operation of the Governor’s Mansion Complex.
(4) To accept gratuitous services from individuals and organizations and to appoint, employ, and contract with the employees, agents, advisors, and consultants, including, but not limited to, architectural historians, landscape architects with experience in landscape architectural preservation, conservators, historians, engineers, and craftsmen as may be necessary or desirable, and to fix their compensation.
(5) To expend any funds it may receive under this article as it deems appropriate and consistent with the purposes of this article or for any of the purposes set out in Section 36-13-6 for which expenditures from the Mansion Fund are authorized.
(6) To participate with other public and private authorities in providing for the transportation of visitors between the complex and other historic and cultural sites. The authority may set and collect a fee for such transportation.
(7) To construct and operate a visitor’s center and parking lot for the benefit of visitors to the complex, and to set and collect a fee for parking.
(8) To purchase, produce, sell, and distribute historical souvenir items.
(9) To publish or contract for the publication of brochures, books, and periodicals intended for the general public that are promotional, informational, or educational about the buildings, contents, and grounds of the complex, and to sell the publications at prices set by the authority.
(10) To apply for and accept from any federal, state, county, or municipal government or agency or any other public or private source, grants, or other assistance in furtherance of the authority’s purposes under the conditions as may be provided by the source.
(Act 2011-568, p. 1146, §5; Act 2019-503, §1.)
(a) The authority shall keep an account of all receipts and expenditures. Books of the authority shall be open to regular inspection and audit by the Department of Examiners of Public Accounts.
(b) The authority shall operate or provide for the operation of the Governor’s Mansion Complex in such a manner as to effectuate the purposes enumerated in this article.
(c) No furniture, equipment, art work, or other items related to the function and operation of the complex may be disposed of by sale or donation except where allowed by law relating to the disposal of broken or damaged state property. The authority shall maintain an inventory of every item associated with the complex, its functions and operations made available to the Department of Examiners of Public Accounts.
(d) There is established in the State Treasury a fund to be known as the Governor’s Mansion Preservation Fund into which shall be deposited all moneys received by the authority from fees, gifts, donations, grants, bequests, loans, governmental appropriations, or any other sources, either public or private. The funds shall be used for any purposes for which the authority is created, including the purposes set out in Section 36-13-6 for which expenditures from the Mansion Fund are authorized. Money deposited in this fund from any source other than state appropriations for operations shall not revert to the State General Fund, but shall remain in the preservation fund until expended by the authority.
(Act 2011-568, p. 1146, §6; Act 2019-503, §1.)
The authority shall make the Governor’s Mansion Complex, most notably the Governor’s Mansion, available to the public for tours and other such events on a regular basis, creating a schedule with the advice of the Governor and First Family that accommodates and conforms to the sitting First Family’s schedule and needs. The private living quarters of the Governor and First Family shall not be available for tours and events except on the consent of and terms of the Governor.
(Act 2011-568, p. 1146, §8.)
The authority shall be tax exempt and the properties of the authority and any income therefrom, all lease agreements and all contracts made by the authority and all income therefrom, and all indentures executed with respect thereto shall be forever exempt from any and all taxation by the State of Alabama and any political subdivision thereof, including, but not limited to, income taxes, admission taxes, amusement taxes, sales and use taxes, and ad valorem taxes.
(Act 2011-568, p. 1146, §9.)
(a)(1) All full-time employees of the authority shall be treated as state employees for the purposes of participating in any insurance programs provided for the state employees.
(2) The authority shall pay the employer’s contributions to any insurance programs out of funds appropriated to it or otherwise available to it for any purpose whatsoever. The authority may deduct the employees’ contributions for such programs by means of payroll deductions or otherwise from the compensation paid to the employees.
(b)(1) All employees of the authority shall be members of the unclassified service for purposes of Section 36-26-10.
(2) Any employee of the authority employed as of March 11, 2026, shall be entitled to payment for his or her accumulated leave upon separation from service, and any employee hired after March 11, 2026, shall be entitled to such payment only to the extent generally provided to unclassified employees in the Merit System, consistent with generally applicable administrative rules adopted by the State Personnel Department.
(Act 2011-568, p. 1146, §10; Act 2026-225, §2.)
The authority shall be entitled to the services of the state Attorney General in connection with the affairs of the authority.
(Act 2011-568, p. 1146, §11.)
There is created a board to be designated and known as the Alabama Women’s Hall of Fame. The board shall be composed of 11 members with at least one member chosen from each of the following fields: Politics, art, education, business, law, community service, medicine, religion, and science. The initial members of the board shall be appointed by the Governor. In addition, the Governor and the president or chief executive officer of the institution that hosts the hall shall serve as voting members of the board. The executive secretary shall serve as a nonvoting member of the board. The board shall meet semiannually and at other times as its rules and bylaws may prescribe. A quorum of five members of the board shall be present for business to be conducted. The board may meet and transact any of its business by means of telephone conference, video conference, or similar communications equipment by means of which all board members participating in the meeting may hear each other at the same time. Participation by these means shall constitute presence in person at a meeting for all purposes, provided public notice of the meeting is in accordance with the Open Meetings Act. The members of the board shall not be compensated for their services, but each member shall be entitled to reimbursement for expenses incurred in attending board meetings. Members of the board shall serve for terms of three years. The board shall fill vacancies as they occur and shall have the full and final right of choosing succeeding members. The members of the board shall coordinate their appointments so that diversity of race and geographical areas is reflective of the makeup of this state. The chair shall be elected annually. The executive secretary shall serve at the pleasure of the board.
(Acts 1975, No. 1061, §1; Acts 1994, No. 94-687, p. 1321, §1; Act 2022-54, §1.)
The board shall implement and maintain with a public or private institution an agreement under which the institution shall provide halls, rooms, or quarters as may be considered suitable and appropriate for conducting the affairs of the board and for displaying plaques and other memorabilia relating to women of achievement. The board may negotiate, enter, and sever these agreements as necessary to serve the purposes of the board.
(Acts 1975, No. 1061, §2; Act 2022-54, §1.)
It shall be the function and main purpose of the board to honor those women of Alabama who have rendered outstanding services or have won fame on account of their achievements. The board shall elect and induct to the Alabama Women’s Hall of Fame those women who are nominated for election and who receive a unanimous vote of the board with at least a quorum of the board present and voting unanimously. New members of the hall shall be selected each year, and these new members must be deceased, for a minimum of two years, at the time of their selection. Nominations shall be received from the public.
(Acts 1975, No. 1061, §3; Act 2022-54, §1.)
The board shall receive an annual appropriation which shall be fixed by the Legislature during each regular session. The appropriation shall be used by the board to pay for stationery, plaques, display cases, installation programs, administrative functions, and such other necessary or appropriate expenses incurred in carrying out the purposes of the board.
(Acts 1975, No. 1061, §4; Acts 1994, No. 94-687, p. 1321, §1.)
The board may solicit and accept donations, contributions, and gifts of money and property, and all gifts made to the board shall be exempt from taxation in Alabama. All property, money, income, resources, and activities of the board shall likewise be exempt from taxation.
(Acts 1975, No. 1061, §6.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1975, No. 1201, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1975, No. 1201, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1975, No. 1201, §3.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1975, No. 1201, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1975, No. 1201, §5.)
AMENDED BY ACT 2026-374, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
When used in this article, the following terms shall have the following meanings, respectively, unless the context clearly indicates a different meaning:
(1) AJIC or COMMISSION. The Alabama Justice Information Commission.
(2) ALEA. The Alabama State Law Enforcement Agency.
(3) CRIMINAL JUSTICE AGENCIES. Federal, state, local, and tribal public agencies that perform substantial activities or planning for activities relating to the identification, apprehension, prosecution, adjudication, or rehabilitation of civil, traffic, and criminal offenders.
(4) CRIMINAL JUSTICE INFORMATION. Data necessary for criminal justice agencies to perform their duties and enforce existing law. This term includes biometric, identity history, person, organization, property, when accompanied by any personally identifiable information, case/incident history data, and any other data deemed criminal justice information by the FBI CJIS Security Policy. The term also includes ALEA-provided or FBI CJIS-provided data necessary to make hiring decisions.
(5) CRIMINAL JUSTICE INFORMATION SERVICES DIVISION or FBI CJIS. The division of the Federal Bureau of Investigation that equips law enforcement, national security, and intelligence community partners with needed criminal justice information.
(6) INFORMATION SYSTEM. A system of people, data, and processes, whether manual or automated, established for the purpose of managing information.
(7) NLETS. Network provider for exchange of criminal justice information among multiple state, federal, and international criminal justice agencies.
(8) NLETS SYSTEM AGENCY or NSA. The agency responsible for the administration of the NLETS network within this state.
(9) OFFENSE. Any act that is a felony, misdemeanor, state violation, municipal ordinance violation, or violation, or an act of delinquency.
(10) SECRETARY. The Secretary of the Alabama State Law Enforcement Agency.
(11) SBI. The State Bureau of Investigation.
(12) USER AGENCY. Any agency or entity that subscribes to, accesses, or views any ALEA information system or service provided under the authority of this article.
(Acts 1975, No. 872, §1; Act 2019-495, §1.)
(a) There is created and established an Alabama Justice Information Commission, which shall be the regulatory body to establish policy and procedures for the interstate and intrastate accumulation, storage, retrieval, analysis, and dissemination of information relating to offenses, criminals, and criminal activity collection, and the use of data within the state for criminal investigation and public safety purposes.
(b) Central responsibility for the development, maintenance, operation, and administration of the policies and procedures dictated by the commission, and legal mandates of this article shall be vested with the secretary.
(c) ALEA is designated the CJIS Systems Agency to the FBI CJIS, or its successor, and the NLETS System Agency to NLETS, or its successor. ALEA may enforce all laws, rules, and regulations regarding transmittal, exchange, and retrieval of information with and through these entities. The CJIS Systems Officer, or a designee approved by the secretary, shall serve as the representative to those entities.
(Acts 1975, No. 872, §2; Act 2019-495, §1.)
(a) The commission shall be composed of two sections.
(b) The voting section shall include all of the following:
(1) The Secretary of the Alabama State Law Enforcement Agency.
(2) The Attorney General.
(3) The Executive Director of the Board of Pardons and Paroles.
(4) The Commissioner of the Department of Corrections.
(5) The President of the Alabama Sheriffs Association.
(6) The President of the Alabama Association of Chiefs of Police.
(7) The Director of the Law Enforcement and Traffic Safety Division within the Alabama Department of Economic and Community Affairs.
(8) The President of the Alabama District Attorneys Association.
(9) The President of the Alabama Circuit Clerks’ Association.
(10) The Chief Justice of the Alabama Supreme Court.
(11) The President of the Alabama District Judges’ Association.
(12) The President of the Alabama Circuit Judges’ Association.
(13) The Alabama Secretary of Information Technology.
(14) The President of the Alabama Probate Judges Association.
(15) The President of the Alabama Municipal Court Judges Association.
(c) The advisory section shall include:
(1) The presiding officer of the Alabama Senate.
(2) The Speaker of the Alabama House of Representatives.
(3) The President of the Association of County Commissions of Alabama.
(4) The President of the Alabama League of Municipalities.
(5) The Administrative Director of Courts.
(6) The Executive Director of the Alabama Peace Officers’ Standards and Training Commission.
(7) A citizen of the State of Alabama, to be appointed by the Governor.
(d) Any member, except the citizen appointee, may designate in writing a designee based upon qualifications and with a view of continuity of representation and attendance at the commission meetings.
(e) No person or individual shall continue to serve on the commission when he or she no longer officially represents the function or serves in the capacity enumerated in this section as a member to which he or she was elected or appointed.
(Acts 1975, No. 872, §3; Act 2013-67, p. 130, §11; Act 2019-495, §1; Act 2022-240, §1.)
(a) The commission shall elect from its membership a chair and a vice-chair at the October meeting who shall serve for a period of one year beginning the following year on January 1. The vice-chair shall act in the place of the chair in his or her absence or disability. If a new chair and vice-chair are not elected at the October meeting, the current chair and vice-chair shall remain in place until successors are elected at the next meeting.
(b) The commission shall meet at such times as designated by the commission or by the chair at the state capital or at other places as is deemed necessary or convenient, but the chair of the commission shall call a meeting four times a year at the state capital or main location of ALEA in the months of January, April, July, and October. The chair of the commission may also call a special meeting of the commission at any time he or she deems it advisable or necessary. A quorum shall be a simple majority of the voting commission membership or their designees, and all matters coming before the commission shall be voted on by the commission.
(c) The commission shall keep or cause to be kept a record of all transactions discussed or voted on by the commission.
(d) Members of the commission and their designees shall serve without compensation; except, that payment of their expenses may be paid in accordance with the applicable state travel regulations.
(Acts 1975, No. 872, §4; Act 2013-67, p. 130, §11; Act 2019-495, §1.)
AMENDED BY ACT 2026-374, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) The commission shall establish its own rules and policies for the performance of the responsibilities charged to it in this article.
(b) The commission shall establish rules and policies that will restrict the information obtained under authority of this article to the items germane to the implementation of this article and restrict the use of information only to authorized persons and agencies.
(c) The chair of the commission shall appoint a Privacy and Security Committee from the membership of the commission who are elected officials, or their designees, consisting of a chair and three members, to study the privacy and security implications of sharing criminal justice information and to formulate policy recommendations for consideration by the commission concerning the collection, storage, dissemination, or usage of criminal justice information.
(d) The commission may adopt rules and policies regarding the collection, storage, and dissemination of criminal justice information that conform to the policies of the FBI CJIS. The commission may adopt rules and policies that permit ALEA to perform background checks for noncriminal justice purposes and may provide for the procedure for obtaining the records including, but not limited to, charging a fee not to exceed twenty-five dollars ($25) for securing records through ALEA. All fees shall be deposited into the State Treasury to the credit of the Public Safety Fund and shall be used to cover the expenses for improving criminal history records and the state repository at ALEA.
(e) Any rule or policy of the commission to the contrary notwithstanding, the police department of any college or university in this state which offers medical, nursing, and health care education, or which operates a hospital may request from ALEA a criminal background check on any person who applies for employment with the college or university, and ALEA may charge a background search fee of up to twenty-five dollars ($25) from each applicant for each search conducted on the applicant. All fee proceeds from the background check fee shall be deposited in the State Treasury to the credit of the Public Safety Fund and shall be used to cover expenses for improving criminal history records and the state repository at ALEA.
(f) The commission may establish a fee schedule for any services rendered by ALEA under the authority of this article. All fees shall be deposited into the State Treasury to the credit of the Public Safety Fund and shall be used to support, develop, maintain, and promote operations as authorized in this article.
(Acts 1975, No. 872, §5; Acts 1994, No. 94-578, p. 1053, §1; Act 2000-801, p. 1906, §1; Act 2019-495, §1.)
Nothing in this article shall be interpreted to impair, or grant the authority to impair, a citizen’s access to records currently considered open to public inspection under Section 36-12-40, nor any record which is open for public inspection under Section 36-12-40, from sources other than an information system developed, operated, or maintained under Section 41-9-621. All records from an information system developed, operated, or maintained under Section 41-9-621, shall be deemed privileged.
(Act 2019-495, §3.)
(a) The secretary shall appoint a division head who shall be responsible for the development, maintenance, and operation of the duties of ALEA as required by the terms of this article and the implementation and operation of policies, programs, and procedures established by the commission under the limitations of this article. The qualifications of the division head shall be determined by the State Personnel Department and the position shall be a merit position.
(b) The secretary shall designate an employee within ALEA as the CJIS Systems Officer who is the liaison to the Federal Bureau of Investigation CJIS Division and is responsible for the administration of the federal and state CJIS security policies on behalf of the state.
(Acts 1975, No. 872, §6; Act 2019-495, §1.)
The secretary shall maintain the necessary staff along with support services necessary to enable the effective and efficient performance of the duties and responsibilities ascribed to ALEA in this article.
(Acts 1975, No. 872, §7; Act 2019-495, §1.)
[Repealed]
Repealed by Act 2019-495, §5, effective September 8, 2019.
(Acts 1975, No. 872, §8.)
The process for appeals by an individual or governmental body of any rules and policies adopted by the commission shall first be to the commission. The appellant may present his or her argument at a regular meeting of the commission requesting the alteration or suggesting the nonapplicability of a particular rule or policy. If the appellant is not satisfied by the action of the commission, then an appeal may be made to the circuit court in Montgomery County.
(Acts 1975, No. 872, §42; Act 2019-495, §1.)
[Repealed]
Repealed by Act 2019-495, §5, effective September 8, 2019.
(Acts 1975, No. 872, §43.)
Any officer or official mentioned in this article who neglects or refuses to make any report or to do any act required in this article shall be subject to prosecution for a misdemeanor and, if found guilty, may be fined not less than $100.00 nor more than $10,000.00 and may be confined in a county jail for not more than one year. He shall also be subject to prosecution for nonfeasance and, if found guilty, shall be subject to removal from office therefor.
(Acts 1975, No. 872, §37.)
Any person who willfully requests, obtains, or seeks to obtain criminal offender record information under false pretenses or who willfully communicates or seeks to communicate criminal offender record information to any agency or person except in accordance with this article, or any member, officer, employee, or agent of AJIC, ALEA, or any participating agency who willfully falsifies criminal offender record information or any related records, for each offense, shall be fined not less than five thousand dollars ($5,000) nor more than ten thousand dollars ($10,000) or imprisoned in the state penitentiary for not more than five years or both.
(Acts 1975, No. 872, §35; Act 2019-495, §1.)
Any person who knowingly communicates or seeks to communicate criminal offender record information, except in accordance with this article, shall, upon conviction, be guilty of a misdemeanor and, for each such offense, may be fined not less than $500.00 nor more than $10,000.00 or imprisoned for not less than 30 days nor more than one year or both.
(Acts 1975, No. 872, §36.)
(a) In the event of conflict, this article shall, to the extent of the conflict, supersede all conflicting parts of existing statutes which regulate, control or otherwise relate, directly or by implication, to the collection, storage, and dissemination or usage of fingerprint identification, offender criminal history, uniform crime reporting and criminal justice activity data records or any conflicting parts of existing statutes which relate, directly or by implication, to any other provisions of this article.
(b) The provisions of this article shall not alter, amend or supersede the statutes and rules of law governing the collection, storage, dissemination or usage of records concerning individual juvenile offenders in which they are individually identified by name or other means until such time as the Alabama Legislature provides legislation permitting the collection, storage, dissemination or usage of records concerning individual juvenile offenders.
(c) All laws or parts of laws which conflict with this article are hereby repealed. No part of this article shall violate provisions of Article 8 of Chapter 4 of Title 41 of this code, Article VI of the Constitution of Alabama of 2022 or Chapter 1 of Title 44 of this code.
(Acts 1975, No. 872, §§38, 39, 41.)
The commission shall provide for a uniform crime reporting system for the periodic collection and analysis of crimes reported to any and all criminal justice agencies within the state. The collection of said data and the time for submission of said data shall be subject to the commission’s regulation-making authority.
(Acts 1975, No. 872, §9.)
The commission, acting through the secretary, shall do all of the following:
(1) Develop, operate, and maintain information systems that will support the collection, storage, retrieval, analysis, and dissemination of criminal justice information, other data that will aid crime fighting and public safety, including data from license plate readers, biometrics and geospatial information, and data from automated-data collection systems operated by criminal justice agencies consistent with those principles of scope, security, and responsiveness prescribed by this article. The commission may adopt rules and policies regarding the collection, use, storage, dissemination, and transmittal to ALEA of this information by criminal justice agencies within the state. The information in these systems is privileged, not public record, and subject to the same criminal penalties for misuse as provided in Sections 41-9-601 and 41-9-602.
(2) Cooperate with all criminal justice agencies within the state in providing those forms, procedures, standards and related training assistance necessary for the uniform operation of the statewide ALEA crime reporting and criminal justice information systems.
(3) Offer assistance and, when practicable, instruction to all criminal justice agencies in establishing efficient systems for information management.
(4) Compile statistics on the nature and extent of crime in Alabama and compile data for planning and operating criminal justice agencies; provided, the statistics shall not identify persons. The commission shall make available all statistical information obtained to the Governor, the Legislature, the judiciary, and any other governmental agencies whose primary responsibilities include the planning, development, or execution of crime reduction programs. Access to information by governmental agencies shall be on an individual written request basis or in accordance with the commission-approved operational procedure. A governmental agency must demonstrate a need to know, the intent of any analyses and dissemination of such analyses, and shall be subject to any security provisions deemed necessary by the commission.
(5) Periodically publish statistics, no less frequently than annually, that do not identify persons and report such information to the chief executive officers of the agencies and branches of government concerned; the information shall accurately reflect the level and nature of crime in this state and the general operation of the agencies within the criminal justice system.
(6) Make available, upon request, to all criminal justice agencies in this state, to all federal criminal justice and criminal identification agencies, and to state criminal justice and criminal identification agencies in other states, any information in the files of ALEA that will aid these agencies in crime fighting and public safety; for this purpose ALEA shall operate 24 hours per day, seven days per week. The commission may adopt rules and policies to share criminal justice information with international criminal justice agencies.
(7) Cooperate with other agencies of this state, the crime information agencies of other states, and the uniform crime reports and national crime information center systems of the Federal Bureau of Investigation or any entity designated by the federal government as the central clearinghouse for criminal justice information systems in developing and conducting an interstate, national, and international system of criminal identification, records, and statistics.
(8) Provide the administrative mechanisms and procedures necessary to respond to those individuals who file requests to view their own records as provided for elsewhere in this article and to cooperate in the correction of the central ALEA records and those of contributing agencies when their accuracy has been successfully challenged either through the related contributing agencies or by court order issued on behalf of the individual.
(9) Institute the necessary measures in the design, implementation, and continued operation of the criminal justice information systems to ensure the privacy and security of the systems. Any privacy and security measures must meet standards to be set by the commission as well as those set by the nationally operated systems for interstate sharing of such information.
(10) Designate in writing agents or employees of ALEA who shall be and are constituted law enforcement officers of the State of Alabama with full and unlimited police power and jurisdiction to enforce the laws of this state pertaining to the operation and administration of the information systems regulated through the authority of the commission and the storage, use, and dissemination of information processed therein.
(11) a. Establish guidelines for violations of data reporting or unlawful dissemination.
b. The measures established may include, but are not limited to, any of the following:
Suspension of access to ALEA information systems pending investigation.
Temporary or permanent suspension of access to ALEA information systems if it is determined a violation occurred.
Implementation of a user agency’s administrative sanction.
Pursuance of prosecution for misuse of information.
Denial of access if convicted of any criminal offense.
c. For the purpose of this section, the commission and ALEA shall be exempt from Sections 41-22-12 through 41-22-21, inclusive.
(Acts 1975, No. 872, p. 1716, §10; Acts 1986, Ex. Sess., No. 86-714, p. 129; Act 2019-495, §1.)
[Repealed]
Repealed by Act 2019-495, §5, effective September 8, 2019.
(Acts 1975, No. 872, §11; Acts 1996, No. 96-524, p. 677, §1; Act 99-433, p. 792, §3.)
(a) All criminal justice agencies within the state shall submit to ALEA fingerprints, descriptions, photographs, and other identifying data on the following persons:
(1) Persons who have been lawfully arrested in this state for an offense.
(2) Persons who have been charged with an act of delinquency or adjudicated a youthful offender for conduct which would constitute an offense if committed by an adult.
(b) All chiefs of police, sheriffs, prosecuting attorneys, parole and probation officers, wardens, or other persons in charge of correctional or detention institutions in this state shall furnish ALEA with any other data deemed necessary by the commission to carry out its responsibilities under this article.
(c) The Administrative Director of Courts or the chief administrative officer of any other entity charged with the compilation of information and statistics pertaining to the disposition of criminal, youthful offender, and juvenile cases shall report the disposition to ALEA within a reasonable time after formal rendition of judgment as prescribed by the commission.
(Acts 1975, No. 872, §12; Acts 1996, No. 96-524, p. 677, §1; Act 99-433, p. 792, §3; Act 2019-495, §1.)
Notwithstanding any provision in this article, except for providing copies of data required by law to carry out the duties of the commission and ALEA, nothing in this article shall be interpreted to impair or grant the authority to impair the ownership, dissemination, or control of data collected and maintained by the Administrative Office of Courts or the appellate courts of the state.
(Act 2019-495, §4.)
The commission is authorized to compare all fingerprints and other identifying data received with information already on file, to ascertain whether or not a criminal record is found for that person and at once to inform the requesting agency or arresting officer of such facts.
(Acts 1975, No. 872, §15.)
AMENDED BY ACT 2026-374, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) All persons in this state in charge of law enforcement and correctional agencies shall obtain biometric identifiers, which may include fingerprints, photographs, palm prints, retina scans, or other identifiers specified by the FBI, according to the biometric identification system at ALEA and the rules established by the commission of all persons arrested or taken into custody as fugitives from justice, and of all unidentified human corpses in their jurisdictions. All biometric identifiers collected according to this section shall be provided to ALEA according to the rules of the commission.
(b) If any person arrested or taken into custody is subsequently released without charge or cleared of the offense through criminal justice proceedings, the disposition shall be reported by all state, county, and municipal criminal justice agencies to ALEA within 30 days of such action, and all of the information shall be eliminated and removed.
(Acts 1975, No. 872, §19; Act 2019-495, §1.)
Fingerprints and other identifying data required to be taken by this article shall be forwarded within 24 hours after taking for filing and classification, but the period of 24 hours may be extended to cover any intervening holiday or weekend. Photographs taken shall be forwarded at the discretion of the agency concerned; but, if not forwarded, the fingerprint record shall be marked “photo available,” and the photographs shall be forwarded subsequently if the commission so requests.
(Acts 1975, No. 872, §20.)
(a) All persons in this state in charge of criminal justice agencies shall submit to ALEA detailed descriptions of arrest warrants and related identifying data immediately upon determination of the fact that the warrant cannot be served for the reasons stated.
(b) If the warrant is subsequently served or withdrawn, the criminal justice agency concerned must immediately notify ALEA of the service or withdrawal.
(c) The agency concerned, no later than January 31 of each year and at other times if requested by the commission, shall confirm to ALEA all arrest warrants of this type which continue to be outstanding.
(Acts 1975, No. 872, §21; Act 2019-495, §1.)
(a) All persons in charge of penal operations under the authority of the Department of Corrections shall obtain biometric identifiers, which may include fingerprints, photographs, palm prints, retina scans, or other identifiers specified by the FBI, according to the biometric identification system at ALEA and the rules established by the commission of all persons received on commitment to these institutions. All biometric identifiers collected according to this section shall be provided to ALEA according to the rules of the commission within 10 days after the arrival at the institution of the person committed.
(b) At the time of release, the institution shall again obtain fingerprints or other biometric identifiers as determined by the commission and forward them to ALEA within 10 days. Immediately upon release, the institution shall notify ALEA of the release of such person.
(Acts 1975, No. 872, §22; Act 2019-495, §1.)
[Repealed]
Repealed by Act 2019-495, §5, effective September 8, 2019.
(Acts 1975, No. 872, §23.)
(a) All persons in charge of criminal justice agencies in this state shall furnish ALEA with any other identifying data required in accordance with guidelines established by the commission.
(b) All criminal justice agencies in this state having criminal identification files shall cooperate in providing to ALEA information in the files to aid in establishing the nucleus of the state criminal identification file.
(Acts 1975, No. 872, §24; Act 2019-495, §1.)
(a) All criminal justice agencies within the state shall submit to ALEA periodically, at a time and in such a form as prescribed by the commission, information regarding only the cases within its jurisdiction. The report shall be known as the “Alabama Uniform Crime Report” and shall include crimes reported and otherwise processed during the reporting period.
(b) The report shall contain the number and nature of offenses committed, the disposition of offenses, and other information as the commission shall specify relating to the method, frequency, cause, and prevention of crime.
(Acts 1975, No. 872, §25; Act 2019-495, §1.)
Any governmental agency that is not included within the description of those departments and agencies required to submit the uniform crime report which desires to submit such a report shall be furnished with the proper forms by ALEA. When a report is received by ALEA from a governmental agency not required to make a report, the information contained in the report shall be included within the periodic compilation provided for in this article.
(Acts 1975, No. 872, §30; Act 2019-495, §1.)
All criminal justice agencies within the state shall report to ALEA, in a time and manner prescribed by the commission, all persons wanted by and all vehicles and property stolen from their jurisdictions. The reports shall be made as soon as is practicable after the investigating department or agency either determines a vehicle or identifiable property has been stolen, obtains a warrant for an individual’s arrest, or determines that there are reasonable grounds to believe that the individual has committed the crime. In no event shall this time exceed 12 hours after the reporting department or agency determines that it has grounds to believe that a vehicle or property was stolen or that the wanted person should be arrested. The commission may institute any and all procedures necessary to trace and complete the investigative cycles of stolen vehicles or wanted persons.
(Acts 1975, No. 872, §26; Act 2019-495, §1.)
If it is determined by the reporting agency that a person is no longer wanted due to his or her apprehension or any other factor, or when a vehicle or property reported stolen is recovered, the determining agency shall immediately notify ALEA. If the agency making the apprehension or recovery is other than the one which made the original wanted or stolen report, then it shall immediately notify the originating agency of the full particulars relating to the apprehension or recovery.
(Acts 1975, No. 872, §27; Act 2019-495, §1.)
All probation and parole officers shall supply ALEA with information on delinquent parolees required by this article in a time and manner prescribed by the commission.
(Acts 1975, No. 872, §29; Act 2019-495, §1.)
Provision of information under this article shall be limited by all constitutional provisions, limitations, and guarantees, including, but not limited to, due process, the right of privacy, and the tripartite form of Alabama’s state government.
(Acts 1975, No. 872, §41.)
Pertinent identifying data and historical criminal information may be obtained and disseminated on any person confined to any workhouse, jail, reformatory, prison, penitentiary, other penal institution, community corrections, or in custody pursuant to Section 15-18-8, having been convicted of an offense.
(Acts 1975, No. 872, §13; Act 2019-495, §1.)
Pertinent identifying data and historical criminal information may be obtained and disseminated on any unidentified human corpse found in this state.
(Acts 1975, No. 872, §14.)
A log shall be maintained of all disseminations made of each criminal history, including the date of information request and the recipient of said information.
(Acts 1975, No. 872, §17.)
Nothing in this article shall be construed to give authority to any person, agency, or corporation or other legal entity to invade the privacy of any citizen as defined by the constitution, the Legislature or the courts other than to the extent provided in this article.
Disclosure of criminal histories or other information that may directly or otherwise lead to the identification of the individual to whom such information pertains may not be made to any person, agency, corporation, or other legal entity that has neither the “need to know” nor the “right to know” as determined by the commission pursuant to Section 41-9-594.
(Acts 1975, No. 872, §31.)
ALEA shall make a person’s criminal records available for inspection to him or her or his or her attorney upon written application to the commission. Forms, procedures, identification, and other related aspects pertinent to the access may be prescribed by the commission in providing access to the records and information.
(Acts 1975, No. 872, §32; Act 2019-495, §1.)
Agencies, including AJIC, at which criminal offender records are sought to be inspected may prescribe reasonable hours and places of inspection and may impose additional procedures, fees, not to exceed twenty-five dollars ($25), or restrictions, including fingerprinting, as are reasonably necessary to assure the records’ security, to verify the identities of those who seek to inspect them, and to maintain an orderly and efficient mechanism for these accesses.
All fees collected shall be forwarded to the State General Fund.
(Acts 1975, No. 872, §35; Acts 1995, No. 95-390, p. 798, §1.)
(a) If an individual believes information is inaccurate or incomplete, he or she may request the original agency having custody or control of the detail records to purge, modify, or supplement them and to notify SBI of the changes.
(b) If the agency declines to act or if the individual believes the agency’s decision is unsatisfactory, the individual or his or her attorney, within 30 days of the decision and with notice to the agency, may enter an appeal to the circuit court of the county of his or her residence or to the circuit court in the county where the agency exists. The court in each case shall conduct a de novo hearing and may order relief as it finds to be required by law. Appeals shall be entered in the same manner as appeals are entered from the court of probate; except, that the appellant shall not be required to post bond nor pay the costs in advance. If the appellant desires, the appeal may be heard by the judge at the first term or in chambers. A notice sent by registered or certified mail shall be sufficient service on the agency of disputed record that the appeal has been entered.
(c) The party found to be in error shall assume all costs involved.
(Acts 1975, No. 872, §33; Act 2019-495, §1.)
Should the record in question be found to be inaccurate, incomplete, or misleading, the court shall order it to be appropriately purged, modified, or supplemented by an explanatory notation. Each agency or individual in the state with custody, possession, or control of any record shall promptly alter every copy in its custody, possession, or control in accordance with a court order. Notification of each deletion, amendment, and supplementary notation shall be promptly disseminated to any individuals or agencies to which the records in question have been communicated, including ALEA, and to the individual whose records have been ordered to be altered.
(Acts 1975, No. 872, §34; Act 2019-495, §1.)
The commission shall establish guidelines for appropriate measures to be taken in the instance of any violation of data reporting or dissemination and shall initiate and pursue appropriate action for violations of rules, regulations, laws, and constitutional provisions pertaining thereto.
(Acts 1975, No. 872, §18.)
[Repealed]
Repealed by Act 2019-495, §5, effective September 8, 2019.
(Acts 1975, No. 872, §28.)
All transfers or purchases of firearms conducted by a licensed importer, licensed manufacturer, or licensed dealer shall be subject to the National Instant Criminal Background Check System (NICS) created by the federal “Brady Handgun Violence Prevention Act” (P.L. No. 103-159), the relevant portion of which is codified at 18 U.S.C. §922 (t). To the extent possible, all information from any state or local government agency that is necessary to complete an NICS check shall be provided to ALEA. The commission shall adopt rules and policies necessary to implement a complete NICS check. The commission shall also ensure that all information received shall be used solely for the purposes of compliance with NICS and every effort is made to protect the privacy of this information. Prior to the adoption of rules pursuant to this section, all proposed rules shall go through the privacy and security committee of the commission which shall seek consultation from the President of the Probate Judges’ Association and the Commissioner of the Department of Mental Health and consumer advocates as recommended by the commissioner.
(Act 2004-641, p. 1468, §1; Act 2019-495, §1.)
AMENDED BY ACT 2026-374, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
In addition to any other requirements, any agency, board, or commission in this state that issues a permit or license, by rule, may require a criminal background check through ALEA as part of its licensing or permitting requirements. Any agency, board, or commission adopting a rule requiring a background check shall be subject to rules and procedures of the commission for the use of the background check.
(Act 2019-495, §2.)
(a) For the noncriminal justice purposes specified in this section, ALEA may provide a background check to any of the following persons or entities:
(1) Any public or private employer to screen a prospective employee or contractor or for other employment purposes.
(2) Any government agency, board, or commission with legal authority to issue a license, permit, or certification to screen an applicant for the issuance or renewal of the license, permit, or certification.
(3) Any nonprofit or volunteer organization to screen a prospective or current volunteer of the organization.
(4) Any housing authority or lessor of rental property to screen a prospective or current resident.
(5) Any educational entity to screen student applicants, prospective or current volunteers involved with entity-related activities, or other individuals directly related to the operations or events of the entity and subject to the entity’s authority.
(6) Any agency or organization established by federal or state law for an official purpose of the agency or organization.
(7) Any person or entity authorized by the rules of the commission to obtain a background check for noncriminal justice purposes.
(b) Except as otherwise provided by law, an individual who is the subject of a background check for noncriminal justice purposes shall provide express permission for the release of information to the authorized person or entity requesting the check prior to ALEA’s dissemination of background check information. The subject’s express permission shall be maintained, physically or digitally, by the requesting person or entity for a period of three years or for the term of the subject’s association with the requester, whichever is longer.
(c) A background check may not be provided on any individual under 18 years of age without parental consent.
(d) Any person or entity that is authorized by state law to perform a background check or allowed by law to adopt rules requiring a background check is subject to the AJIC rules and ALEA procedures described in Section 41-9-650.
(e) The commission may require a person or entity to develop background check guidelines for the commission’s review and approval prior to allowing the release of background check information to that person or entity.
(f) Background check information may only be disseminated for the specific purposes listed in this section. No person or entity that has received background check information from ALEA shall subsequently disseminate the background check information to any other person or entity.
(g) Any recipient of a background check record may be subject to an audit by ALEA CJIS.
(Act 2026-374, §2.)
(a) The Alabama Background Check Service may be provided through a biometric-based or a name-based search for a background check record.
(b) A name-based search shall be initiated by submitting an individual’s name to ALEA through an Internet web portal or other commission-approved mechanism, which shall allow for the electronic transfer of records and shall only return state information results.
(c) The response to a biometric-based search shall only be provided upon the receipt of biometric information by ALEA or a commission-approved third-party entity acting on behalf of ALEA which meets all FBI standards for biometric identification collection. This search shall provide state information results, as well as other state and federal information as allowed by law.
(d) An applicant for a license, permit, or certification shall provide the issuing government agency, board, or commission with his or her name, date of birth, Social Security number, and express permission for the release of information on a form sworn by the applicant. This information shall be digitally provided to ALEA. If a biometric-based check is requested, the applicant shall submit fingerprints or other biometrics in accordance with AJIC rules and ALEA CJIS procedures. If a national record check is required, ALEA shall forward or process the applicant’s prints or other biometrics to the FBI for a national criminal background check in a manner consistent with federal law.
(Act 2026-374, §2.)
(a) The secretary may establish reasonable record fees for the provision of a background check report, not to exceed thirty dollars ($30). The record fee may be waived at the discretion of the secretary.
(b) Additional costs may be assessed to a person or entity requesting a background check for any of the following:
(1) The cost for a national criminal background check, as determined by the FBI.
(2) Financial transaction fees.
(3) A reasonable one-time account registration fee.
(c) ALEA may enter into an agreement with one or more vendors or other third-party entities to perform background check services for ALEA on the basis of fee sharing or by adding an additional convenience fee for third-party services.
(d) Requests for background checks made by the Alabama Peace Officers’ Standards and Training Commission or by any criminal justice agency are exempt from fees established pursuant to this section if the request is made for criminal justice purposes or for the purpose of making an employment suitability decision.
(e) All monies received for background checks shall be deposited in the State Treasury to the credit of the Public Safety Fund. The monies shall be used for the purposes of ALEA CJIS and for other ALEA expenses as determined by the secretary.
(Act 2026-374, §2.)
(a) As part of the Alabama Background Check Service, ALEA may establish the Alabama Rap Back Program. If established, ALEA shall participate in the FBI’s Next Generation Identification (NGI) Rap Back Service. The purpose of the rap back service is to allow ALEA to notify participating entities when an enrolled individual is the subject of a rap back notification event, including, but not limited to, being arrested for or convicted of an offense.
(b) As used in this section, the following words have the following meanings:
(1) INDIVIDUAL. Any individual who has undergone a fingerprint-based background check in order to care for children, the disabled, or the elderly, to be licensed or certified, to perform volunteer service, or for any other FBI or federally authorized purpose with a participating entity and who has been enrolled by that participating entity in the Alabama Rap Back Program.
(2) PARTICIPATING ENTITY. An entity with statutory authority to require an individual to undergo a fingerprint-based background check as a condition to care for children, the disabled, or the elderly, to be licensed or certified, to perform volunteer service, or for any other FBI or federally authorized purpose and which has elected to enroll those individuals in the Alabama Rap Back Program.
(c) ALEA may submit fingerprints and accompanying records to the FBI to be retained in and advised through the FBI’s NGI Rap Back Service when an enrolled individual is arrested for or convicted of a criminal offense. Fingerprints submitted to the FBI may be used for future searches, including latent searches.
(d) ALEA shall ensure that notification is made to the participating entity that enrolls an individual in the Alabama Rap Back Program when an FBI Rap Back report notification is received. The information contained in the notification shall be used by the participating entity for purposes of determining the eligibility of the continued service of the individual and shall not be further disseminated.
(e) ALEA shall adopt rules governing the operation and maintenance of the Alabama Rap Back Program and the removal and destruction of records on individuals who are deceased or who are no longer individuals as defined in this section. The rules shall provide that a participating entity shall disenroll any individual who is deceased or is no longer an individual as defined in this section within five business days of death or such event that no longer requires the individual to be enrolled in the Alabama Rap Back Program to ensure the prompt removal and destruction of records from the Alabama Rap Back Program.
(f) ALEA may assess an annual fee not to exceed twelve dollars ($12) per individual enrolled in the Alabama Rap Back Program. The fee shall be paid by the participating entity enrolling an individual in the Alabama Rap Back Program. When more than one participating entity enrolls the same individual in the Alabama Rap Back Program, both participating entities shall be responsible for paying the full cost for maintenance and notification. Any fees collected shall be deposited in the State Treasury to the credit of the Public Safety Fund. Such monies shall be used for the purposes of ALEA CJIS and for other ALEA expenses as determined by the secretary.
(g) No participating entity authorized to submit fingerprints shall be considered negligent per se in a civil action solely because the entity elected not to enroll an individual in the Alabama Rap Back Program pursuant to this section.
(h) Prior to enrolling an applicant in the Alabama Rap Back Program, a participating entity shall ensure the applicant receives notice and access to documentation informing the applicant that his or her fingerprints shall be retained for the purpose of providing the participating entity notification of any subsequent modifications to the applicant’s criminal history record.
(i) ALEA may establish an in-state rap back service for any person or entity that does not qualify to receive information from the FBI Rap Back service but that has authority to require a state-only background check.
(Act 2026-374, §2.)
(a) An individual commits the crime of misuse of a background check report if he or she does any of the following:
(1) Knowingly receives, disseminates, or otherwise uses a background check contrary to the purposes allowed by this article or otherwise allowed in law.
(2) Performs a background check on an individual without first receiving a release, when required, from the subject of the report.
(3) Willfully uses information submitted to the Alabama Rap Back Program for purposes not authorized in this article with the intent to harass or intimidate another individual.
(b) Misuse of a background check report is a Class B misdemeanor.
(c) Upon conviction for any violation of this section, the defendant may be ordered to pay restitution to the victim whose information was misused. Restitution shall include any pecuniary damages or loss to the victim ordered pursuant to a hearing held as provided in Section 15-18-67.
(Act 2026-374, §2.)
Subject to the rules of the commission, ALEA may provide criminal history information to a judge of probate for the purpose of name changes, adoption hearings, determinations of eligibility of administrators or executors of estates, or any other lawful purpose.
(Act 2019-495, §2.)
(a) The Legislature approves and ratifies the National Child Protection Act of 1993, 42 U.S.C. §5119-5119(c), as amended, in order to facilitate the authorized interstate exchange of criminal history information for noncriminal justice purposes, including, but not limited to, background checks for the licensing and screening of employees and volunteers. The secretary shall execute the compact on behalf of the state. The secretary may delay the initial execution of the compact until funding is secured to establish the procedures and hire the necessary staff or contract for services to fulfill the requirements and responsibilities of this compact.
(b) ALEA is the repository of criminal history records for purposes of the compact and shall do all things necessary or incidental to carry out the compact.
(c) The secretary, or the secretary’s designee, is the compact officer of the state and shall administer the compact within the state. The commission may adopt rules and establish procedures for the cooperative exchange of criminal history records between the state and federal governments for use in noncriminal justice cases.
(d) The ratification by the state of the compact remains in effect until further action of the Legislature.
(e) This compact and this section do not affect or abridge the obligations and responsibilities of ALEA under other provisions of this article and do not alter or amend the manner, direct or otherwise, in which the public is afforded access to criminal history records under state law.
(f) All revenue received by ALEA through the exchange of information enabled through this compact shall be deposited into the State Treasury to the credit of the Public Safety Fund and shall be used to cover expenses for improving criminal history records and the state repository at ALEA.
(Act 2019-495, §2.)
This division shall be known and may be cited as the Alabama Forfeiture Information Reporting Act.
(Act 2019-505, §1.)
(a) All property seized by a state, county, or municipal law enforcement agency for forfeiture in connection with a criminal event shall be reported to the uniform crime reporting system operated by the Alabama State Law Enforcement Agency on behalf of the Alabama Justice Information Commission.
(b) The commission shall develop rules for reporting property seized pursuant to this section. Information reported shall include any information required by the commission, including, but not limited to, all of the following:
(1) The date of the seizure.
(2) The address of the seizure.
(3) The name of the law enforcement agency that conducted the seizure.
(4) The type of property seized.
(5) A general description of the property seized.
(6) The name of the person or entity, if known, from whom the property was seized.
(7) A description of the suspected underlying criminal activity that led to the seizure.
(8) Any known arrest, including the date and charge, related to the seizure which occurred prior to a forfeiture final judgment of the seized property.
(9) Any and all civil case action numbers assigned in state court.
(10) Any known claimants, including title holders of record or lien holders of record.
(11) The disposition of the property, including the date of any order.
(12) The name of each entity receiving all or any portion of the seized property subject to the forfeiture disposition. If the forfeiture order requires the selling of the property, all proceeds from the sale shall be accounted for by the recipient.
(c) The commission shall establish rules for the reporting of property seized in connection with a federal seizure in which seized property is forfeited in federal court to a state, county, or municipal law enforcement agency or when a law enforcement agency receives proceeds from a sale of forfeited property.
(d) The commission shall establish restrictions and protections on forfeiture reporting consistent with the sensitivity placed on uniform crime reports through its authority under Section 41-9-594.
(Act 2019-505, §2.)
(a) Civil asset forfeiture funds or monies are to be maintained consistent with any restrictions set out in the forfeiture laws.
(1) All civil asset forfeiture funds or monies derived from the liquidation of civil asset forfeiture funds shall be kept on a separate line item in the budget of any agency that may be awarded the asset funds.
(2) Any expenditure of any monies by a law enforcement-related entity from an award of a civil asset forfeiture may only be expended from a line item pursuant to subdivision (1).
(b) All civil asset forfeiture proceeds awarded to any state, county, or municipal entity may only be deposited into an account that is audited as other public funds under state law.
(Act 2019-505, §3.)
(a) Annually, on or before February 1, the Alabama Justice Information Commission shall submit to the Speaker of the House of Representatives, President Pro Tempore of the Senate, and Governor a written report that includes all of the following:
(1) A summary of seizure and forfeiture activity in the state for the preceding fiscal year.
(2) The type, approximate value, and disposition of the property seized and forfeited.
(3) The amount of any proceeds received.
(b) The summary for data on seizures and forfeitures may be disaggregated by the commission. The aggregate report shall also be made available on the website of the Alabama Justice Information Commission and shall contain all civil case numbers assigned in state court.
(c) The Alabama Justice Information Commission may include in the report required under this section recommendations to improve laws, rules, and policies to better ensure that seizure, forfeiture, and expenditures are done and reported in a manner that is fair to crime victims, innocent property owners, secured interest holders, citizens, law enforcement, and taxpayers.
(Act 2019-505, §4; Act 2025-355, §1.)
There is hereby created a commission called the Foreign Trade and Relation Commission of Alabama which shall be composed of five members, each of whom shall be a citizen of the United States and a resident of the State of Alabama.
The members of the commission shall be appointed by the Governor with the advice and consent of the Senate. One of such members shall be appointed for a term of two years from August 23, 1976, two shall be appointed for terms of four years from August 23, 1976, and two for terms of six years from such date. Each two years after August 23, 1976, the Governor shall appoint one or two members of the commission, as the case may be, to fill any vacancy or vacancies, and such appointment shall be for a term of six years.
Vacancies in the membership of the commission shall be filled, as in the first instance, for the unexpired term.
Three members of the commission shall constitute a quorum for the transaction of business.
(Acts 1976, No. 682, p. 936, §1.)
(a) It shall be the duty of the commission to devise and put into effect methods by which inter-American understanding and good will may be promoted and inter-American relations advanced without resort to tentative measures or the application of civil or criminal sanctions.
(b) The commission shall have power:
(1) To elect from its members a chair and such other officers as it may deem desirable; provided, that the first chair of the commission shall be named by the Governor and shall call the first meeting of the commission and serve as such president until his or her successor shall be elected by the commission. All officers of the commission shall serve as such only during the pleasure of the commission.
(2) To hold such meetings, at such places within or without the State of Alabama and at such times as the commission may designate.
(3) To conduct such research, investigations, and inquiries as may be necessary to inform the commission as to matters concerning inter-American relations.
(4) To appoint committees from its membership and prescribe their duties.
(5) To appoint consultants to the commission.
(6) To make rules and regulations for the government of the commission, its officers and committees and to prescribe the duties of its officers, consultants, and employees.
(7) To employ an executive secretary and such other clerical employees as it may think necessary and to fix the pay and compensation of such employees within the limits of funds available to it for such purposes.
(8) To receive, hold, and expend any funds granted, donated, or given to it. Any funds derived from a gift for a designated purpose shall be used and expended by the commission in accordance with the terms of the gift, but any funds received by the commission which are not limited to specified uses by the donor may be used and expended for the payment of salaries and expenses of the commission and its employees and for any other purpose incident to or which will promote the purposes of this article. Such funds when received by the commission shall be deposited with the State Treasury and shall be placed to the credit of a special account to be known as “the Foreign Trade and Relations Commission of Alabama Fund.”
(Acts 1976, No. 682, p. 936, §2.)
(a) On or before April 1 of each year, the commission shall make in writing a complete and detailed report to the Governor and to the presiding officer of each house of the Legislature of its activity.
(b) No member, consultant or officer of the commission shall receive any compensation for his or her services in acting in such capacity, but shall be paid his or her traveling and other necessary expenses incurred in attending the meetings of the commission and in the discharge of his or her duties as a member, consultant or officer, upon verified and itemized accounts approved by the chair of the commission, in accordance with the provisions of Article 2 of Chapter 7 of Title 36 of this code.
(Acts 1976, No. 682, p. 936, §3.)
(a) The necessary clerical and other expenses of the commission shall be paid in the same manner as provided in Section 41-9-662 for the payment of expenses of members, consultants, or officers of the commission.
(b) All officers, departments, and agencies of the state government shall cooperate with the commission and, when requested by the commission, render to it such assistance as the officer, department, or agency can without interfering with the discharge of its other regular duties.
(Acts 1976, No. 682, p. 936, §4.)
Every gift to the Foreign Trade and Relations Commission, whether or not the use thereof is prescribed by the donor, shall be deemed a gift to the State of Alabama.
The donor in computing his or her net income for state income tax purposes for the year in which he or she makes his or her gift may deduct the amount of the gift from his or her gross income as authorized in Section 40-18-15.
(Acts 1976, No. 682, p. 936, §5.)
There shall be created and established as herein provided a board to be designated and known as the Alabama Music Hall of Fame Board. The board shall be composed of seven members, who shall be appointed by the Governor of Alabama for terms of six years each; provided, that of the first members appointed under any restructured board, two shall serve for two years and two shall serve for four years, as the Governor may direct. Four board members shall be appointed from the membership of the Muscle Shoals Music Association and three board members shall be appointed from the state at large and shall not be employed in the music business. The members of the board shall select a chair and vice-chair from among their own number. Members of the board shall not be compensated for their services, but each member shall be entitled to reimbursement for expenses incurred in attending board meetings. The board shall meet quarterly and at such other times as its rules and bylaws may prescribe. A majority of the members shall constitute a quorum for transaction of business.
(Acts 1977, No. 645, p. 1093, §1; Acts 1982, No. 82-403.)
The board shall be domiciled within Colbert County, Alabama, where it shall maintain such halls, rooms, or quarters as may be considered suitable and appropriate for conducting its affairs. The board may appoint an executive secretary or director and such staff as may be necessary for the performance of its duties and functions.
(Acts 1977, No. 645, p. 1093, §2.)
(a) It shall be the function and main purpose of the board to honor those, living or dead, who, by achievement or service, have made outstanding and lasting contributions to music in Alabama or elsewhere. The board may adopt such rules, regulations, and bylaws as may be needed to carry out its functions. Also, it may conduct surveys and polls and may appoint such committees and representatives as it may determine necessary or desirable. The board may acquire, construct, install, equip, lease, manage, and operate buildings and other facilities consisting of any one or more of the following to be located in Colbert County, Alabama: (i) a music hall of fame and exhibition facility for the display of busts, statues, plaques, books, papers, computerized figures, memorabilia, records, films, audio tapes, video tapes, compact disks, recordings, pictures, and other exhibits relating to music and musicians, (ii) a library, research, and educational center for the collection and documentation of music and for music education and enrichment programs, (iii) an audiovisual auditorium/theatre, (iv) a recording studio, or (v) other facilities necessary or useful in connection with the use of any of the aforesaid facilities, including sites and equipment for any of the aforesaid facilities.
(b) Pursuant to the constitutional amendment authorizing the creation of the Alabama Music Hall of Fame Authority, the members of the Alabama Music Hall of Fame Board shall serve ex officio as members of such authority which shall be a public body corporate with all the powers and privileges of a corporation for the purposes of providing for and participating in the management and control of any of its facilities. The authority may acquire, construct, install, equip, lease, manage, and operate buildings and other facilities consisting of any one or more of the following to be located in Colbert County, Alabama: (i) a music hall of fame and exhibition facility for the display of busts, statues, plaques, books, papers, computerized figures, memorabilia, records, films, audio tapes, video tapes, compact disks, recordings, pictures, and other exhibits relating to music and musicians, (ii) a library, research, and educational center for the collection and documentation of music and for music education and enrichment programs, (iii) an audiovisual auditorium/theatre, (iv) a recording studio, or (v) other facilities necessary or useful in connection with the use of any of the aforesaid facilities, including sites and equipment for any of the aforesaid facilities.
(c) The authority shall have the following powers, together with all powers incidental thereto or necessary to the discharge thereof:
(1) To adopt, alter, and repeal bylaws, not inconsistent with the provisions of this section, for the regulation and conduct of its affairs and business;
(2) To acquire, whether by purchase, construction, exchange, gift, lease, or otherwise and to improve, maintain, equip and furnish one or more projects, including all real and personal properties which the members of the authority may deem necessary in connection therewith, regardless of whether or not any such projects shall then be in existence;
(3) To lease to others any or all of its projects and properties and to charge and collect rent therefor and to terminate any such lease upon the failure of the lessee to comply with any of the obligations thereof;
(4) To receive and accept, from any source, aid or contributions of money, property, labor, or other items of value for furtherance of any of its purposes, subject to any conditions not inconsistent herewith, including, but without limitation to, gifts or grants from any department, agency, or instrumentality of the United States of America;
(5) To procure such insurance and guarantees as the members of the authority may deem advisable, including, but without limitation to, insurance or guarantees against any loss in connection with any of its projects, property or assets and for payment of any bonds or other obligations issued by the board, in such amounts and from such public or private entities, as it may deem advisable, and to pay premiums or other charges for any such insurance or guarantees;
(6) To borrow money and to sell and issue its bonds for any authority function, use, or purpose;
(7) To mortgage, pledge, assign, or grant security interests in any or all of its projects and properties or any part or parts thereof, as security for the payment of the principal of and interest on any bonds issued by the board, or as security for any agreements made in connection therewith, whether then owned or thereafter acquired, and to pledge the revenues from which said bonds are payable as security for the payment of the principal of and interest on said bonds and any agreements made in connection therewith;
(8) To appoint, employ, contract with, and provide for the compensation of, such officers, employees, and agents, including, but without limitation to, engineers, architects, construction contractors, attorneys, management consultants, and fiscal advisers, as the business of the authority may require;
(9) To invest any funds of the authority that the members of the authority may determine are not presently needed for any of its corporate purposes in obligations of the United States of America and interest-bearing bank and savings and loan association deposits and in any investments eligible under then applicable law for the investment of trust funds by fiduciaries, or any thereof;
(10) To enter into a management agreement or agreements with any person or firm for the management by said person or firm for the authority of any of its projects and properties upon such terms and conditions as may be mutually agreeable;
(11) To sell, exchange, donate, and convey any or all of its projects, properties and assets whenever its members shall find any such action to be in furtherance of the purposes for which the authority was created; and
(12) To make, enter into, and execute such contracts, agreements, leases, and other instruments and to take such other actions as may be necessary or convenient to accomplish any purpose for which the authority was created or to exercise any power expressly granted hereunder.
(d) All revenue bonds issued by the board shall be payable solely out of the revenues and other receipts of the board as may be designated in the proceedings of the authority under which the bonds shall be authorized to be issued.
(e) The principal of and interest on the bonds issued by the board shall be secured by a pledge of the revenues and other receipts out of which the same may be payable and may be secured by a trust indenture evidencing such pledge or by a foreclosable mortgage and deed of trust conveying as security for such bonds all or any part of the property of the board from which the revenues so pledged may be derived. The resolution under which the bonds are authorized to be issued or any such trust indenture or mortgage may contain any agreements and provisions respecting the maintenance and insurance of the property covered by such trust indenture or mortgage, the use of the revenues subject to such trust indenture or mortgage, the creation and maintenance of special funds from such revenues, the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit of whom such instrument is made and the rights and remedies available in the event of default as the authority shall deem advisable and which are not in conflict with the provisions of this section.
(f) All bonds issued by the authority shall be signed by its chair and attested by its secretary; provided, that a facsimile of the signature of any one or more of said officers executing or attesting any such bonds may be printed or otherwise reproduced on any such bonds in lieu of said officer or officers manually signing the same if such bonds are required to be authenticated by the manual signature of the duly authorized registrar of such bonds, or an authorized officer of such registrar.
(g) Any such bonds may be executed and delivered by the authority at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall contain such provisions permitting or restricting redemption of such bonds prior to their maturities, shall contain such provisions not inconsistent with the provisions of this section, and shall bear such rate or rates of interest, payable and evidenced in such manner, as may be provided by resolution of the authority. Bonds of the authority may be sold at either public or private sale in such manner and at such price or prices and at such times as determined by the authority to be advantageous. The authority may pay all expenses, premiums, and commissions which the authority may deem necessary or advantageous in connection with any financing done by it.
(h) All revenue bonds issued by the authority shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of the state or any county or municipality within the state, or a charge on the credit or taxing powers of the state or any county or municipality within the state. Any revenue bonds issued by the authority shall be limited or special obligations of the authority payable solely out of the revenues and other receipts of the authority specified in the proceedings authorizing those bonds.
(i) All moneys derived from the sale of any bonds issued by the authority shall be used solely for the purpose or purposes for which the same are authorized, including, without limitation to, the establishment of reserve funds as security for the payment of the principal of (and premium, if any) and interest on the bonds, and any costs and expenses incidental thereto. Such costs and expenses may include but shall not be limited to (i) the fiscal, consulting, legal, and other expenses incurred in connection with the issuance of the bonds, (ii) in the case of bonds issued to pay costs of construction, interest on such bonds prior to and during such construction and for not exceeding one year after completion of such construction, and (iii) except in the case of refunding bonds, interest to accrue on such bonds for a period ending not later than two years from their date.
(j) Any bonds issued by the authority may from time to time be refunded by the issuance, by sale or exchange, of refunding bonds payable from the same or different sources for the purpose of paying all or any part of the principal of the bonds to be refunded, any redemption premium required to be paid as a condition to the redemption prior to maturity of any such bonds that are to be so redeemed in connection with such refunding, any accrued and unpaid interest on the bonds to be refunded, any interest to accrue on each bond to be refunded to the date on which it is to be paid, whether at maturity or by redemption prior to maturity, and the expenses incurred in connection with such refunding; provided, that unless duly called for redemption pursuant to provisions contained therein, the holders of any such bonds then outstanding and proposed to be refunded shall not be compelled without their consent to surrender their outstanding bonds for such refunding. Any refunding bonds may be sold by the authority at public or private sale at such price or prices as may be determined by it to be most advantageous, or may be exchanged for the bonds or other obligations to be refunded. Any refunding bonds issued by the board shall be issued and may be secured in accordance with the foregoing provisions of this section.
(k) The authority, its property and income and all bonds issued by the authority, the income from such bonds or from the investment of such income and all conveyances, leases, mortgages and deeds of trust by or to the authority shall be exempt from all taxation of any nature.
(l) The authority is hereby vested with full authority, except as limited herein, and in the constitution as amended, to provide for the terms of its bonds and to provide for the sale and issuance thereof.
(m) The full faith and credit of the State of Alabama shall be pledged to pay the principal, interest and premium (if any) of such bonds of the authority only as provided in such amendment or amendments to the Constitution of Alabama of 2022, which amendment or amendments may be adopted and ratified before or after July 23, 1987.
(n) The provisions of this section shall be construed liberally, it being the purpose to provide in this state appropriate housing facilities for displaying to the general public exhibits of the Alabama Music Hall of Fame Board and for the management and control of displays by such means as may be feasible and agreed upon.
(Acts 1977, No. 645, p. 1093, §3; Acts 1987, No. 87-613, p. 1063, §1; Acts 1988, 1st Ex. Sess., No. 88-918, p. 512, §118).
The board may solicit and accept donations, contributions, and gifts of money and property. All gifts made to the board shall be exempt from all taxation in Alabama. All property, money, income, resources and activities of the board shall likewise be exempt from taxation.
(Acts 1977, No. 645, p. 1093, §4.)
(a) The board may spend all legislative appropriations made for the use of the board and may expend funds donated or contributed for its support.
(b) There are no state funds appropriated for the expenses and implementation of this article.
(Acts 1977, No. 645, p. 1093, §§5, 6.)
(a) There is hereby created and established the Alabama Indian Affairs Commission hereinafter called the commission, which shall be administered under the direction and supervision of the Joint Committee on Administrative Rules, as provided by Section 41-22-22.
(b) The commission shall be composed of at least 11 members. All members of the commission must reside in Alabama. Members shall include a member of the State Senate, appointed by the Lieutenant Governor, and a member of the House of Representatives, appointed by the Speaker of the House of Representatives, seven Indian representatives from the seven tribes, bands, or groups in the State of Alabama, and one member at large. The Governor shall appoint seven Indian members from recommendations submitted by each of the seven Indian tribes, bands or groups, principally geographically located as follows: The Poarch Band of Creeks of Escambia County, one member; the Mowa Band of Choctaws of southwest Alabama, one member; the Star Clan of Muscogee Creeks of Pike County, one member; the Echota Cherokees of Alabama, one member; the Cherokees of northeast Alabama, one member; the Cherokees of southeast Alabama, one member; and the Ma-Chis Lower Creek Indian Tribe, one member. Each of the seven identified groups shall have one member. The commission shall appoint one Alabama resident, who is a member of a federally recognized Indian tribe, band or group, that is not a member of any tribe represented on this commission. The Governor shall appoint one member at large, who may be Indian or non-Indian; provided, however, that the majority of the members of the commission shall always be Indian. All above stated tribes, bands, and groups shall be state recognized upon passage of this article. The commission shall have the power to recognize additional Indian tribes, bands, or groups. The commission shall adopt appropriate procedure for such recognition process. Any recognized Indian tribe, band, or group shall be entitled to have one representative on the commission who shall be appointed for an initial term of three years by the Governor and subject thereafter to the same requirements and privileges as specified in subsections (b) and (c) and any other applicable sections. Said member shall be granted the same voting powers accorded other members.
(c) The commission shall elect a chair of the commission from among its members. Members serving by virtue of their office within state government shall serve so long as they hold that office. The terms of office for all other members shall be for four years each, except for the initial appointments which shall be as follows: Four members for two years; two members for three years; and two members for four years. The initial term of office for persons who are granted membership upon the recognition of their tribe, band, or group by the commission shall be as provided in subsection (b). The initial term and all subsequent terms of office of the member representing the Ma-Chis Lower Creek Indian Tribe shall be four years. Each member shall serve until his or her successor is appointed. Members shall be eligible for reappointment. Upon the death, disability, resignation, removal, or refusal to serve of any member, the Governor shall appoint a qualified member of that tribe, band, or group to fill the unexpired term of office.
(d) The chair shall submit any written complaint of any tribal body that appoints members to the commission, or any written complaint of any other appointing authority that any commissioner is negligent in the performance of his or her commission duties to the Governor for review. After reviewing the complaint, if the Governor determines the commission has been negligent, the Governor may remove the commissioner from the commission and appoint a successor as provided in this section.
(Acts 1984, No. 84-257, p. 423, §1; Acts 1985, No. 85-738, p. 1188, §1; Acts 1992, No. 92-134, p. 242, §3.)
The purpose of this commission shall be to deal fairly and effectively with Indian affairs; to bring local, state, federal resources into focus for the implementation or continuation of meaningful programs for Indian citizens of the State of Alabama; to provide aid for Indians as needs demonstrate; to assist Indian communities in social and economic development; to promote recognition of the right of Indians to pursue cultural and religious traditions considered by them to be sacred and meaningful to the American Indian; and to establish appropriate procedures to provide for legal recognition of any future Indian organization who desires state recognition.
(Acts 1984, No. 84-257, p. 423, §2.)
It shall be the duty of the commission to study, consider, accumulate, compile, assemble and disseminate information on any aspect of Indian affairs; to investigate relief needs of Indians of Alabama and to provide technical assistance in the preparation of plans for the alleviation of such needs; to confer with appropriate officials of local, state, and federal governments and agencies of those concerned with Indian affairs to encourage and implement coordination of applicable resources to meet the needs of Indians in Alabama; to cooperate with and secure the assistance of the local, state and federal governments or any agencies thereof in formulating any such programs, and to coordinate such programs with any program regarding Indian affairs adopted or planned by the federal government to the end that the Alabama Indian Affairs Commission secure the full benefit of such programs; provided, however, that such commission is hereby authorized to directly seek and receive from the federal government any grants, funds, or other benefits which may be available for Indians; to review all proposed or pending legislation and amendments to existing state legislation affecting Indians in Alabama; and to conduct public hearings on matters relating to Indian affairs.
(Acts 1984, No. 84-257, p. 423, §3.)
The members of the Alabama Indian Affairs Commission shall receive no compensation for their services, other than reimbursement for travel and other expenses actually incurred in the performance of their official duties.
(Acts 1984, No. 84-257, p. 423, §4.)
(a) The commission shall meet at the call of the chair, or by a petition signed by a majority of the members of the commission. Ten days’ notice shall be given in writing prior to the meeting date. Such notice shall describe the matters to be discussed at the meeting.
(b) A simple majority of the members of the commission shall constitute a quorum for the transaction of business at every meeting of the commission.
(c) Proxy vote shall not be permitted.
(Acts 1984, No. 84-257, p. 423, §5; Acts 1992, No. 92-134, p. 242, §3.)
The commission shall hire an executive director for the commission. Such director shall serve as secretary of the commission and as chief administrator and executive officer of the commission, having general charge of the work of the commission under its direction, and shall hire such other personnel as may be necessary in carrying out the provisions of this article. The executive director shall always serve at the discretion of the commission.
(Acts 1984, No. 84-257, p. 423, §6; Acts 1992, No. 92-134, p. 242, §3.)
The commission is authorized to receive, and hold, gifts, devises, bequests of money, real estate, and other things of value to be used in the support and development of its work for the commission.
(Acts 1984, No. 84-257, p. 423, §7.)
(a) There is continuously appropriated out of funds in the State Treasury, not otherwise appropriated, the sum of not less than $200,000, for the operation of the commission, which funds shall be disbursed in accordance with a financial management system approved by the Legislative Council.
(b) The commission may accept any surplus property from other government agencies and shall be exempt from paying the surplus property surcharge of the Alabama Department of Economic and Community Affairs.
(Acts 1984, No. 84-257, p. 423, §8; Acts 1992, No. 92-134, p. 242, §3.)
The commission shall prepare and submit a written annual report to the Governor and the Legislature. The report will become a matter of public record and will be maintained in the state Department of Archives and History.
(Acts 1984, No. 84-257, p. 423, §9; Acts 1992, No. 92-134, p. 242, §3.)
(a) Fiscal records shall be kept by the executive director or his/her designee, and will be subject to annual audit by the state examiner of public accounts. The audit report will become a part of the annual report.
(b) Commission members or employees of the commission who are responsible for receiving and disbursing commission funds shall be bonded in an amount satisfactory to the commission, but not less than $50,000.00.
(Acts 1984, No. 84-257, p. 423, §10.)
There is hereby created and established a public agency of the state to be known as the Alabama Aviation Hall of Fame Board which shall be permanently located in the Southern Museum of Flight Building in Birmingham, Alabama. The purpose and function of the board shall be to promote and encourage the growth and public support of aviation, especially general aviation within the state by providing official and public recognition and honor to individuals, living or dead, who by extraordinary achievement and service have made outstanding and substantial contributions to aviation in Alabama. Persons to receive such recognition may be residents of the state who receive national recognition for aviation achievements elsewhere, or nonresidents who contributed directly to aviation in this state.
(Acts 1979, No. 79-663, p. 1162, §1; Acts 1981, 2nd Ex. Sess., No. 81-1074, §1.)
The board shall meet annually by the first day of March each year and at such other times as called either by the chair or upon petition for such meeting submitted by three or more members. The board shall be composed of seven Alabama residents, who shall serve for terms as herein prescribed until a successor is named or they are reappointed. Two members shall be appointed by the Governor of Alabama for terms of four years and six years, one shall be appointed by the trustees of the Southern Museum of Flight for a term of six years, and one each by the Mayors or chief executives of Mobile, Montgomery, Huntsville and Birmingham. The first members appointed by the Governor shall serve for a term of four years, and the first members appointed by the Mayors of Montgomery, Huntsville, Birmingham, and Mobile shall serve for four years. Members of the board shall not be compensated for their services, but may be reimbursed for expenses in attending meetings of the board. The board shall elect a chair from its members, and shall adopt bylaws to govern its organization and procedures.
(Acts 1979, No. 79-663, p. 1162, §2; Acts 1981, 2nd Ex. Sess., No. 81-1074, §1.)
The board may receive and expend legislative appropriations as provided by law, and may submit, receive and expend contributions of money and property. All gifts to, and property, funds, income, and activities of the board shall be exempt from taxation.
(Acts 1979, No. 79-663, p. 1162, §3.)
Amended and renumbered as §38-3-20 by Act 2008-398, p. 787, §3, effective May 16, 2008.
(Acts 1983, No. 83-674, p. 1063, §1.)
Amended and renumbered as §38-3-21 by Act 2008-398, p. 787, §3, effective May 16, 2008.
(Acts 1983, No. 83-674, p. 1063, §2; Acts 1995, No. 95-631, p. 1340, §1.)
Amended and renumbered as §38-3-22 by Act 2008-398, p. 787, §3, effective May 16, 2008.
(Acts 1983, No. 83-674, p. 1063, §3; Acts 1995, No. 95-631, p. 1340, §1.)
Amended and renumbered as §38-3-23 by Act 2008-398, p. 787, §3, effective May 16, 2008.
(Acts 1983, No. 83-674, p. 1063, §4.)
Amended and renumbered as §38-3-24 by Act 2008-398, p. 787, §3, effective May 16, 2008.
(Acts 1983, No. 83-674, p. 1063, §5; Acts 1995, No. 95-631, p. 1340, §1.)
Amended and renumbered as §38-3-25 by Act 2008-398, p. 787, §3, effective May 16, 2008.
(Acts 1983, No. 83-674, p. 1063, §6.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-220.
(Acts 1984, No. 84-262, p. 445, §1.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-221.
(Acts 1984, No. 84-262, p. 445, §2.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-222.
(Acts 1984, No. 84-262, p. 445, §3.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-223.
(Acts 1984, No. 84-262, p. 445, §4.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-224.
(Acts 1984, No. 84-262, p. 445, §5.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-225.
(Acts 1984, No. 84-262, p. 445, §6.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-226.
(Acts 1984, No. 84-262, p. 445, §7.)
Transferred by Act 2015-450, §5, effective June 11, 2015. It is now Section 41-29-227.
(Acts 1984, No. 84-262, p. 445, §8.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §1; Acts 1985, No. 85-655, p. 1024, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §3; Acts 1985, No. 85-655, p. 1024, §1; Acts 1986, No. 86-501, p. 980, §1; Acts 1987, No. 87-586, p. 957, §1; Acts 1990, No. 90-531, p. 823, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §2; Acts 1985, No. 85-655, p. 1024, §1; Act 2000-725, p. 1556, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §4; Acts 1985, No. 85-655, p. 1024, §1; Acts 1987, No. 87-586, p. 957, §2; Acts 1990, No. 90-531, p. 823, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §5.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §6.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §7; Acts 1985, No. 85-655, p. 1024, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1984, No. 84-292, p. 551, §8; Acts 1985, No. 85-655, p. 1024, §1.)
There is hereby created a commission to be known as the Cahaba Trace Commission to consist of 23 members who shall be appointed by the Governor of Alabama and shall be bona fide residents and qualified voters of the county represented. Said members shall be confirmed by the Senate. Two shall be residents of St. Clair County, two shall be residents of Jefferson County, two shall be residents of Shelby County, two shall be residents of Autauga County, two shall be residents of Tuscaloosa County, three shall be residents of Bibb County, two shall be residents of Perry County, two shall be residents of Hale County, two shall be residents of Dallas County, two shall be residents of Lowndes County and two shall be residents of Montgomery County. Said members appointed by the Governor shall constitute the board of directors of the commission and shall be the voting members of the commission. The board, at its discretion, may appoint as many advisory members as it deems necessary.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §1; Acts 1988, No. 88-298, p. 458, §1.)
Members of the commission shall serve for terms of office as follows: One member from each county shall serve for two years and the remaining member of each county shall serve for four years. Two of Bibb County’s members shall be appointed for an initial term of four years and one for an initial term of two years. The initial members from Autauga County shall serve one year and two years, respectively. Upon the expiration of the original term of office of commission members, all successor voting members shall be appointed for four-year terms, providing for approximately one-half membership vacancies every two years.
All board members shall serve until their successors are appointed and qualified. New members shall be appointed by the Governor from nominations submitted by the Cahaba Trace Commission. The first chair of the commission shall be elected by the board of directors from among its voting membership. Annually thereafter, each succeeding chair shall be selected by all the members of the commission.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §2; Acts 1988, No. 88-298, p. 458, §1.)
The headquarters of the commission shall be located in Bibb County. The commission shall hold an annual meeting and one-half of the voting members shall constitute a quorum for the transaction of business. Additional meetings may be held at such times as may be considered necessary, desirable or convenient, upon call of the chair, or in the case of his or her absence or incapacity, of the vice-chair. The commission shall elect a chair, vice-chair, secretary, and treasurer, and such officers shall hold office for a period of one year or until a successor is elected. Neither secretary nor treasurer need be members of the commission. The commission may require that the treasurer be bonded in an amount to be determined by the commission.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §3.)
The commission shall have the right to adopt such rules and regulations as may be necessary to carry out the intent and purpose of the commission, and shall be authorized to provide for an executive committee of not fewer than three members to whom such powers and authority as the commission may deem to be advisable shall be delegated.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §4.)
No member of the commission shall receive any pay or emolument other than actual expenses incurred in the discharge of his or her duties as a member of the commission. All such expenses are to be paid from the funds of the commission. Further, it shall be unlawful for any member of the commission or any employee thereof to charge, receive or obtain, either directly or indirectly, any fee, commission, retainer, or brokerage out of the funds of the commission, and no members of the commission or officer or employee thereof shall have any interest in any land, materials or contracts sold to or made or negotiated with the commission, or with any member or employee thereof acting in his capacity as a member of such commission. Any person violating the provisions of this section, upon conviction, shall be guilty of a Class C misdemeanor and shall be removed from the commission.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §5.)
The commission shall establish, and maintain at such lawful depository or depositories as it shall select, a “Cahaba Trace Fund” composed of the money or moneys which may come into its hands from admission, inspection fees, gifts, donations, grants, bequests, loans, bond issues, governmental appropriations, or other sources, either public or private. Such funds shall be used by the commission to pay for the purposes herein set forth, and the servicing, retirement or amortization of any bonds or other evidences of indebtness issued by the commission.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §6.)
The commission shall be authorized:
(1) To investigate and select available sites for housing historic exhibits, including the surrounding grounds, with such state, federal, or local agencies and governments and private individuals, corporations, associations, or other organizations as may be involved, taking into consideration all pertinent factors affecting the suitability of such sites; to acquire, transport, renovate, maintain, and exhibit appropriate and suitable military or historic units, articles, exhibits and attractions; to have full, complete and exclusive jurisdiction over the sites and any related exhibits;
(2) To promote tourism throughout the Cahaba Valley by attending travel shows; issuing news releases, calendars of events and newsletters; publishing brochures and pamphlets; constructing mobile travel exhibits; producing films and other visual presentations as may be necessary; and advertising in magazines and/or newspapers;
(3) To acquire by rent or lease agreement or otherwise the necessary housing facilities; and to establish, improve and enlarge available facilities, including providing them with necessary equipment, furnishings, landscaping and related facilities, including parking areas and ramps, roadways, sewers, curbs, and gutters;
(4) To enter into such contracts and cooperative agreements with the local, state, and federal governments, with agencies of such governments, with private individuals, corporations, associations, and other organizations as the commission may deem necessary or convenient to carry out the purposes of the commission with such contracts and agreements to include leases to private industry;
(5) To borrow money from private sources, the state emergency fund or such other source as may be acceptable to the commission under such terms and conditions as may be provided by law, and, in order to provide security for the repayment of any such private loans, the commission shall have the authority to pledge such future revenues from admissions and any other sources as may from time to time be necessary or desirable;
(6) To issue and sell at any time and from time to time its revenue bonds for the purpose of providing funds to acquire, enlarge, improve, equip, and maintain its property, and for the payment of obligations incurred for such purposes. The principal and interest on any such revenue bonds shall be payable solely out of the revenues derived from the project;
(7) To make such contracts in the issuance of its bonds as may seem necessary or desirable to assure their marketability and to provide for their retirement by a pledge of all or any revenue which may come to the commission from the investment of the proceeds of the sale of such bonds or from any other source whatsoever;
(8) To accept public or private gifts, grants, and donations;
(9) To acquire property by purchase, lease, gift, or license; and to dispose of any property of the commission when, in the opinion of the commission, such disposition is deemed expedient;
(10) To allocate and expend funds from all donations, income and revenue from any source whatsoever coming into its treasury for the fulfillment and accomplishment of its duties and responsibilities in such manner as may be necessary and appropriate for the perfection of the purposes of this article;
(11) To sell, convey, transfer, lease, or donate any property, franchise, grant, easement, license, or lease or interest therein which it may own, and to transfer, assign, sell, convey, or donate any right, title, or interest which it may have in any lease, contract, agreement, license, or property;
(12) To hire such laborers, artisans, caretakers, technicians, stenographers and administrative employees, and supervisory and professional personnel as may be necessary or advisable for the carrying out in the most efficient and beneficial manner of the purposes and provisions of the commission;
(13) To employ an executive director who shall serve at the pleasure of the commission, who shall be responsible directly to the commission, whose compensation shall be fixed by the commission, whose duties and authority shall be designated by the commission and who shall be paid from funds of the commission;
(14) To make such rules and regulations as the commission may deem necessary and desirable to provide for the operation, management, and control of its facilities; and
(15) To perform such other acts necessary or incidental to the accomplishment of the purposes of the commission, whether or not specifically authorized in this section, and not otherwise prohibited by law.
The commission shall constitute a public body corporate and shall have, in addition to those powers set forth specifically in this section, all powers necessary or convenient to effect the purposes for which it has been established, together with all powers incidental thereto or necessary to the discharge of its said powers and duties.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §7.)
The commission, its property and income and all bonds issued by the commission, the income from such bonds or from the investment of such income and all conveyances, leases, mortgages, and deeds of trust by or to the commission shall be exempt from all taxation in the State of Alabama.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §8.)
All obligations incurred by the commission shall be solely and exclusively an obligation of the commission and shall not create an obligation or debt of the State of Alabama or any county or municipality of either.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §9.)
The commission shall maintain at all times accurate records and books of account covering revenues and expenditures. Such records and books shall be available for audit at any time by the Department of Examiners of Public Accounts, and shall be audited at least every two years in the same manner as audits are made of other state agencies and departments.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §10.)
Nothing in this article shall be construed to grant authority to establish a state park or museum.
(Acts 1985, 2nd Ex. Sess., No. 85-945, p. 285, §11.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1986, No. 86-202, p. 266, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1986, No. 86-202, p. 266, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1986, No. 86-202, p. 266, §3.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1986, No. 86-202, p. 266, §4.)
There shall be created and established as herein provided a board to be designated and known as the Alabama Men’s Hall of Fame. The board shall be composed of 19 members: Five of whom shall be members of the Women’s Committee of 100 for Birmingham; two members shall be appointed by the Governor from each of the United States Congressional Districts, except District Number 6, as such districts are presently established, for a total of 12 members appointed from said districts; and the Governor and the Director of the Department of Archives and History who shall serve as voting members of the board. The initial members of the board of directors of the hall shall be appointed by the Governor of the State of Alabama. The board shall meet semiannually and at such other times as its rules and bylaws may prescribe. A quorum for all meetings shall be a majority of those present and voting.
The newly created board of directors’ membership shall serve for three years. After this initial period of organization, a rotation policy for members of the board shall go into effect and each member shall serve one, two, or three years in addition to the three-year minimum period. Five members shall rotate off the board in 1989, five more in 1990, and four more in 1991 unless a member should be reappointed to the board for an additional three-year term. Members appointed to fill vacancies shall serve for a term of three years on the board of directors.
The perpetuation of the board shall result from choices made by the board to fill all vacancies as they occur because of rotation, resignation, or incapacitation. The board shall have full and final right of choosing succeeding members.
The chair of the board of directors shall be elected annually by the board of directors, and may not serve more than two consecutive years.
The chair of the board shall appoint a secretary.
(Acts 1987, No. 87-717, p. 1407, §1.)
The location of the hall shall be in the Library Building, Samford University, Birmingham, Alabama. All items pertaining to the hall shall be housed at the same location.
(Acts 1987, No. 87-717, p. 1407, §2.)
The purpose of the Alabama Men’s Hall of Fame shall be to recognize those men native to or identified most closely with the State of Alabama who have made significant contributions on a state, national, or international scale within their professional or personal fields of activity and concern. The number of persons chosen to be installed at each noted period shall not exceed the following:
(1) The first selection meeting of the board of directors shall choose not more than five persons, who must be deceased for a minimum of two years.
(2) Once every year after the first selection meeting, the board may choose not more than three new members of the hall. These new members must be deceased, for a minimum of two years, at the time of their selection.
(Acts 1987, No. 87-717, p. 1407, §3.)
The board may solicit and accept donations, contributions, and gifts of money and property, and all gifts made to the board shall be exempt from taxation in Alabama. All property, money, income, resources, and activities of the board shall likewise be exempt from taxation.
(Acts 1987, No. 87-717, p. 1407, §4.)
(a) The Alabama Peace Officers’ Hall of Fame Board is hereby created and established. The board shall be composed of seven law enforcement officers. Any board member serving on May 14, 2012, shall serve a term of four years commencing from that date, and thereafter, all board members shall be appointed as herein provided and shall serve a term of office of four years. Each two years the board shall elect one of its members to serve as chair. The board members shall be appointed as follows: One member shall be appointed from the Alabama Peace Officers’ Association; one member shall be appointed from the Alabama Sheriffs’ Association; one member shall be appointed from the Fraternal Order of Police; one member shall be appointed from the Alabama League of Municipalities; one member shall be appointed from the Alabama Association of County Commissioners; one member shall be appointed by the Alabama Association of Chiefs of Police, and one member shall be appointed from the Alabama State Troopers Association. Members of the board shall not be compensated for their services. The board shall meet annually at the office of the Alabama Peace Officers’ Association, or at such other times and places as its rules and bylaws may prescribe. A majority of the members shall constitute a quorum for the transaction of business.
(b) The membership of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(Acts 1987, No. 87-718, p. 1408, §1; Act 2012-371, p. 928, §1.)
It shall be the function and main purpose of the board to honor those living or dead, who by achievement or service, have made outstanding and lasting contributions to law enforcement in Alabama. The board may adopt such rules, regulations, and bylaws as it deems necessary to carry out its functions and duties.
(Acts 1987, No. 87-718, p. 1408, §2.)
The board may solicit and accept donations, contributions and gifts of money and property or services, and all gifts made to the board shall be exempt from all taxation in Alabama. All property, money, and income, of the board shall likewise be exempt from taxation.
(Acts 1987, No. 87-718, p. 1408, §3.)
The board may spend all appropriations of public money made for the use of the board and may expend funds donated or contributed for its use.
(Acts 1987, No. 87-718, p. 1408, §4.)
The Alabama Chiropractors’ Hall of Fame Board is hereby created and established. The board shall be composed of the Executive Committee of the Alabama State Chiropractic Association. The board shall meet annually at the office of the Alabama State Chiropractic Association and at such other times and places as its rules and bylaws may prescribe. A majority of the members shall constitute a quorum for the transaction of business. Members who cannot attend a meeting may appoint another member of the State Chiropractic Association to serve in their place for that meeting.
(Acts 1988, 1st Ex. Sess., No. 88-874, p. 409, §1.)
It shall be the function and main purpose of the board to honor those living or dead, who by achievement or service, have made outstanding and lasting contributions to the profession and exhibited outstanding civic service in Alabama. The board may adopt such rules, regulations, and bylaws as it deems necessary to carry out its functions and duties.
(Acts 1988, 1st Ex. Sess., No. 88-874, p. 409, §2.)
The board may solicit and accept donations, contributions, and gifts of money and property or services, and all gifts made to the board shall be exempt from all taxation in Alabama. All property, money and income of the board shall likewise be exempt from taxation.
(Acts 1988, 1st Ex. Sess., No. 88-874, p. 409, §3.)
The board may receive and spend all appropriations of public money made for the use of the board and may expend funds donated or contributed for its use.
(Acts 1988, 1st Ex. Sess., No. 88-874, p. 409, §4.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §1.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §2.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §3.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §4.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §5.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §6.)
[Repealed]
Repealed by Act 2015-70 effective April 21, 2015.
(Acts 1993, No. 93-602, p. 980, §7.)
There is created and established a public agency of the state to be known as the Alabama Agricultural Museum Board. In accordance with Section 1-2-30, this board and museum shall be permanently located at Landmark Park in Dothan, Alabama, where it shall maintain buildings, exhibits, and equipment, considered suitable and appropriate for conducting its affairs.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §1.)
It shall be the function and main purpose of the board to recognize the important contribution of agriculture to the state and to preserve, exhibit, display, and interpret artifacts and other materials associated with it.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §2.)
(a) The board shall be composed of 11 members: One member shall be appointed by the President of Auburn University, one member shall be appointed by the Director of the Alabama Department of Archives and History, one member shall be appointed by the Commissioner of the Alabama Department of Agriculture and Industries, one member shall be appointed by the President of Tuskegee University, one member shall be appointed by the President of Alabama A & M University, and six members shall be appointed by the Governor, to be selected from a list of 20 individuals submitted by the Dothan Landmarks Foundation.
(b) Terms of members serving on the initial board shall be: 3 shall serve a two-year term, 3 shall serve a three-year term, and 3 shall serve a four-year term, determined by lot. Thereafter, all shall serve a four-year term, including those members appointed pursuant to Act 2000-672.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §3; Act 2000-672, p. 1339, §1.)
The board shall elect a chair, a vice-chair, and secretary-treasurer from its members for a term of one year and may appoint any committees it considers necessary to carry out its duties pursuant to this article. The board shall meet at least once each year. Additional meetings may be held as prescribed in its rules and by-laws. A majority of the members shall constitute a quorum for transaction of business. The secretary-treasurer shall keep a record of the proceedings of the board. The board may promulgate and adopt rules and regulations consistent with this article which are necessary for the performance of its duties. The members of the board shall not be compensated for their services. The board members shall be reimbursed for their travel expenses in the same manner as state employees. The board shall fill vacancies as they occur in the manner prescribed in this article. A board member shall serve until his or her successor is appointed.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §4.)
The board may hire personnel necessary or as advisable to carry out the purposes and provisions of this article. Personnel shall be subject to the provisions of the state Merit System Act.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §5.)
The board shall constitute a public body corporate and shall have, in addition to those set forth specifically in this article, all powers necessary or convenient to effect the purposes for which it has been established under and by the terms of this article, together with all powers incidental thereto or necessary to the discharge of its powers and duties.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §6.)
The board may solicit and accept public or private donations, grants, contributions, property, or services, and all gifts made to the board shall be exempt from all taxation in Alabama. The board is authorized to set and charge reasonable entrance fees to view the museum and related exhibits. The board may also provide for concessions in accordance with state law and charge or receive reasonable fees therefor.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §7.)
All receipts and income of the Alabama Agricultural Museum Board shall be deposited into the State Treasury to the credit of the Alabama Agricultural Museum Fund, which is hereby created. Such receipts and income shall be paid out only by warrant of the Comptroller upon the Treasurer, upon itemized vouchers, approved by the chairman of the board; provided, that no funds shall be withdrawn or expended except as budgeted and allotted according to the provisions of Sections 41-4-80 through 41-4-96 and Sections 41-19-1 through 41-19-12, as amended and only in amounts as stipulated in the general appropriation or other appropriation bills.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §8.)
The board may sell, convey, transfer, lease, or donate any property, franchise, grant, easement, license, or lease or interest therein which it may own and to transfer, assign, sell, convey, or donate any right, title, or interest which it may have in any lease, contract, agreement, license, or property.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §10.)
The board shall be a state agency and shall have exclusive control over the Alabama Agricultural Museum at Landmark Park established pursuant to this article, all improvements and exhibits located thereon, and all additions constructed, created, leased, acquired, or erected in connection therewith.
(Acts 1993, 1st Ex. Sess., No. 93-893, p. 177, §11.)
The North Alabama Agriplex Board of Directors is created and established as a public agency of this state. The North Alabama Agriplex shall be permanently located in Cullman County, Alabama, where the board shall maintain buildings, exhibits, and equipment suitable and appropriate for conducting its affairs.
(Act 2000-747, p. 1668, §1.)
The function and main purpose of the board shall be to recognize the important contribution of agriculture to our state through the North Alabama Agriplex, and to act in an advisory capacity to the North Alabama Agriplex. The Agriplex facility or facilities shall preserve, exhibit, display, and interpret artifacts and other materials associated with the agricultural heritage of Alabama at such places as may be designated in Cullman County by the board. The board shall administer and maintain the North Alabama Agriplex as provided in this article.
(Act 2000-747, p. 1668, §2.)
(a) The board shall be composed of eleven members as follows:
(1) One appointed by the President of Auburn University.
(2) One appointed by the Commissioner of the Department of Agriculture and Industries.
(3) Three appointed by the Governor.
(4) One appointed by the President of Tuskegee University.
(5) One appointed by the President of Alabama A & M University.
(6) Four appointed by the members of the board, appointed pursuant to subdivisions (1) to (5), inclusive.
(b) Initial members of the board shall serve terms of office as follows and determined by drawing lots:
(1) Three shall serve one-year terms.
(2) Three shall serve two-year terms.
(3) Three shall serve three-year terms.
(c) After the expiration of initial appointments, all members shall serve three-year terms.
(d) When the term of any member of such board shall expire, the remaining members of the board shall elect his or her successor.
(Act 2000-747, p. 1668, §3.)
(a) The board shall meet at least annually as prescribed in its rules and bylaws. Members of the board shall not be compensated for their services. The board shall fill vacancies as they occur in the manner prescribed in Section 41-9-932. A board member shall serve until his or her successor is appointed.
(b) The board may hire personnel necessary or advisable to carry out the purposes and provisions of this article through its Agriplex facilities. Personnel shall be subject to the state Merit System Act.
(c) The board shall constitute a public body corporate and shall have, in addition to those powers set forth specifically in this article, all powers necessary or convenient to effect the purposes for which it has been established under and by the terms of this article, together with all powers incidental or necessary to discharge its powers and duties.
(Act 2000-747, p. 1668, §§4, 5, 6.)
(a) The North Alabama Agriplex may solicit and accept public or private donations, grants, contributions, property, or services, all of which shall be exempt from all taxation in Alabama.
(b) The North Alabama Agriplex may sell, convey, transfer, lease, or donate any property, franchise, grant, easement, license, or lease any interest therein which it may own and transfer, assign, sell, convey, or donate any right, title, or interest which it may have in any lease, contract, agreement, license, or property.
(Act 2000-747, p. 1668, §§7, 8.)
(a) The North Alabama Agriplex may receive and expend all legislative appropriations and funds donated or contributed for its use.
(b) In any fiscal year after FY 2001, the direct appropriation from the State General Fund to the Alabama Agriculture Museum Board shall always be equal to the amount appropriated to the North Alabama Agriplex Board plus one hundred thirty-six thousand dollars ($136,000).
(Act 2000-747, p. 1668, §§9, 10.)
This article shall be known and may be cited as the “Alabama Legislative Commission on Total Quality Government Act of 1994.”
(Acts 1994, No. 94-597, p. 1106, §1.)
The Legislature hereby finds as follows:
(1) The state and federal governments are facing unprecedented demands for government services in a time of proration, national deficit spending, increasing national debt, a highly competitive world economy, and the increasing disillusionment on the part of the public with the ability of the governments to adequately meet the needs.
(2) Citizens want their governments, state and federal, to be more responsive to their needs, by operating at a more personal level with greater efficiency, higher performance, and lower cost.
(3) Total Quality, a structured management approach first used in private industry, has proven to increase profitability and marketshare, decrease costs, increase employee satisfaction, and decrease employee turnover.
(4) Early efforts to implement Total Quality within the federal government have produced favorable results; in fact, it is believed that Total Quality offers one of the greatest hopes for improving government services, managing the diverse demands of Alabama’s government, and optimizing the results of state tax dollar expenditures.
(5) The application of Total Quality principles to Alabama government must begin with educating state government officials about Total Quality; there has been no established legislative group to educate the full Legislature and the service and regulatory departments of state government about the principles and application of Total Quality.
(6) There is a need for a legislative commission to examine Total Quality and its applications to state government.
(Acts 1994, No. 94-597, p. 1106, §2.)
As used in this article, the following words and phrases shall have the following meanings:
(1) COMMISSION. The Alabama Legislative Commission on Total Quality Government established by this article.
(2) CUSTOMER. Any individual, organization, or entity that is a recipient of state government products or services, including any individual, organization, or entity within the government that is a recipient of those products and services.
(3) STATE GOVERNMENT or GOVERNMENT. All service and regulatory agencies of the State of Alabama.
(4) SUPPLIER. Any individual, organization, or entity that provides products or services to the government, including any individual, organization, or entity within the state government that receives those products or services.
(5) TOTAL QUALITY. A strategic, customer-focused management approach that focuses on continual quality improvement processes, products, and services of an entire organization; the basic principles of Total Quality include:
a. Customer-defined and customer-driven quality.
b. Strong leadership and commitment.
c. Continuous improvement.
d. Actions based on facts, data, and analysis.
e. Large-scale employee involvement and teamwork.
f. Employee reward and recognition.
g. Effective two-way communication between employees and management.
(Acts 1994, No. 94-597, p. 1106, §3.)
There is created the Alabama Legislative Commission on Total Quality to be composed of 15 members, of whom four shall be black, appointed as follows: Four members appointed by the Governor, to serve an initial term of either one, two, three, or four years; four members appointed by the Presiding Officer of the Senate, to serve an initial term of either one, two, three, or four years; and four members appointed by the Speaker of the House of Representatives, to serve an initial term of either one, two, three, or four years. After the initial terms, all members shall serve four-year terms. The Governor, Presiding Officer of the Senate, and Speaker of the House of Representatives shall serve as ex officio members. Vacancies on the commission shall be filled by the original appointing authority. A member shall not serve more than one term as a commissioner. A chair and vice chair shall be selected from the membership. The chair and vice chair shall serve one-year terms and not be permitted to succeed themselves. The commission shall meet at least bimonthly at the call of the chair at any other time deemed appropriate by the commission. The Clerk of the House of Representatives and the Secretary of the Senate shall furnish such clerical assistance, and the Director of the Legislative Services Agency shall furnish such legal assistance as may be necessary for the work of the commission.
(Acts 1994, No. 94-597, p. 1106, §4.)
The commission shall have the following duties:
(1) Provide for the education of members of the Legislature and state agencies of Alabama about Total Quality, including the basic concepts, potential benefits, and application to state government, among other responsibilities.
(2) Arrange Total Quality presentations for members of the Legislature and host quality meetings between invitees from the Legislature, the executive branch, state and local governments, private industry, or other relevant parties to discuss the application of Total Quality to government.
(3) Make and transmit to the Governor and the Legislature findings and recommendations regarding the application of Total Quality principles to the organization and continuous operations of state government. These findings and recommendations shall address the continuous improvement of government operations through the promotion of citizen satisfaction, cost-saving, employee satisfaction and service in the government, including:
a. Defining program missions in terms of measurable outcomes, with an emphasis on quality of the service, citizen satisfaction, and result-oriented accountability.
b. Improving department operating systems to improve morale, inspire initiative, maximize productivity and effectiveness, foster teamwork, and rewarding excellence.
c. Recommending procedural changes aimed at employee empowerment.
d. Empowering employees, agencies, and programs in order to reduce costs, simplify processes, and focus responsibility.
e. Promoting the application of state-of-the-art technologies in order to improve efficiency and reduce costs.
f. Developing of mechanisms to promote greater cooperation and coordination in policy-making between the legislative and executive branches, and greater attention to the long term impacts of budgetary and policy decisions.
(4) Sponsoring and participating in periodic forums with various state government customers and suppliers, and provide opportunities for citizens, government employees, and other affected groups to communicate their satisfaction with government services or their recommendation for improvement.
(Acts 1994, No. 94-597, p. 1106, §5.)
The commission shall annually submit a report to the Governor and the Legislature, which shall include:
(1) An outline of the educational strategy of the commission.
(2) A plan for accomplishing the goals of the commission.
(3) A summary of the activities of the commission following its establishment.
(4) A recommendation regarding the application of Total Quality principles to the organization and operation of Alabama state government.
(Acts 1994, No. 94-597, p. 1106, §6.)
(a) The Tuskegee Airmen Commission is created to consist of 18 members. The members shall be appointed by the Governor, with at least three of the members being residents of Macon County as recommended by the legislative delegation and at least two of the original board members being Tuskegee Airmen.
(1) Three members appointed by the Governor from a list of six nominees submitted by the Speaker of the House of Representatives with one member recommended by the member of the House of Representatives from the district in which the commission is located. The Governor shall make the appointments from the list within 10 days of the submission of the list or may ask for a new list of nominees.
(2) Three members appointed by the Governor from a list of six nominees submitted by the Presiding Officer of the Senate with one member recommended by the member of the Senate from the district in which the commission is located. The Governor shall make the appointments from the list within 10 days of the submission of the list or may ask for a new list of nominees.
(3) Three members appointed by the Board of Trustees of Tuskegee University.
(4) Nine members appointed by the Governor.
(b) The terms of the members of the first commission shall be four years for nine members and eight years for the remaining nine members. After the expiration of the terms of the initial members, all members shall be appointed for terms of eight years.
(c) Any member of the commission may be removed by the Governor for cause, and vacancies in the commission shall be filled by the Governor by appointment of a competent and qualified person for the unexpired term.
(Acts 1996, No. 96-522, p. 670, §1; Act 98-664, p. 1453, §1.)
(a) No member of the commission shall receive pay for the discharge of his or her duties. Commission members and employees of the commission shall be reimbursed for actual expenses incurred on behalf of the commission in the development, operation, promotion, and expansion of programs and activities. All expenses are to be paid from the funds of the commission.
(b) It shall be unlawful for any member of the commission or any employee to charge, receive, or obtain, either directly or indirectly, any fee, commission, retainer, or brokerage out of the funds of the commission, and no member of the commission or officer or employee shall have any interest in any land, materials, or contracts sold, made, or negotiated with the commission or with any member or employee acting in his or her capacity as a member or employee of the commission. Violation of any provision of this section shall be in accordance with the ethics law of the state.
(Acts 1996, No. 96-522, p. 670, §2.)
The commission shall hold an annual meeting in Macon County, Alabama, and nine of the members shall constitute a quorum for the transaction of business. Additional meetings may be held at times and places within the state as may be considered necessary, upon call of the chair or, in the case of his or her absence or incapacity, of the vice chair, or on call of any five members of the commission. However, meetings may be held outside the state upon a three-fifths vote of the commission. The commission shall determine and establish its own organization and procedure and shall have an official seal. The commission shall elect its chair, vice chair, secretary, and treasurer and each officer shall hold office for a period of one year or until a successor is elected. Neither the secretary nor the treasurer need to be members of the commission. The commission may require the treasurer to be bonded in an amount to be determined by the commission.
(Acts 1996, No. 96-522, p. 670, §3.)
The commission may, at its discretion, create and provide for an executive committee of not fewer than five members and delegate to the committee powers and authority as are deemed advisable by the commission; except that the executive committee may not be empowered to issue revenue or any other bonds or execute any lease or contract for a period in excess of one year or execute any contract for an amount in excess of fifty thousand dollars ($50,000).
(Acts 1996, No. 96-522, p. 670, §4.)
The commission may employ or contract with an executive director, who shall serve at the pleasure of the commission and who shall be responsible directly to the commission for the general supervision, promotion, and development of the Tuskegee Airmen Memorial. The commission shall fix his or her compensation, the same to be paid from the funds of the commission and shall further designate his or her duties and authority.
(Acts 1996, No. 96-522, p. 670, §5.)
The commission may hire or may delegate to the executive director the authority to hire laborers, artisans, caretakers, technicians, stenographers, administrative employees, and supervisory and professional personnel as may be necessary or advisable for the carrying out in the most efficient and beneficial manner the purposes and provisions of this article; and may at its discretion offer to its employees any benefits offered to employees of the State of Alabama.
(Acts 1996, No. 96-522, p. 670, §6.)
The commission shall constitute a public body corporate and shall have all power necessary to effect the purposes for which it has been established under the terms of this article, together with all powers incidental or necessary to the discharge of its powers and duties, including promotional activities, advertising, and other related tourism activities.
(Acts 1996, No. 96-522, p. 670, §7.)
The commission shall establish, operate, and maintain a memorial to honor the Tuskegee Airmen and other related individuals, which shall be under the exclusive management and control of the commission as a separate agency of the state government as provided for in this article, the principal purpose and function of which shall be to acquire, equip, maintain, and exhibit any and all memorials to honor the Tuskegee Airmen as a permanent public museum. The commission shall be responsible for making known the contributions of Tuskegee Institute (Tuskegee University) in the promotion, development, and operation of the Tuskegee Airmen. The commission shall be responsible for the coordination of historical information in conjunction with Tuskegee University to accurately depict the historical significance of airmen in the museum.
(Acts 1996, No. 96-522, p. 670, §8.)
The commission shall be a state agency and shall have exclusive control over the museum established under this article, all improvements and exhibits, and any additions constructed, created, leased, acquired, or erected.
(Acts 1996, No. 96-522, p. 670, §9.)
(a) The commission shall have the duty and authority to acquire membership and to select and improve a site for the museum, taking into consideration the following factors:
(1) Accessibility.
(2) Location of nearby roads and highways.
(3) Scenic attractions.
(4) Esthetic value.
(5) Cost.
(6) Cooperation with federal, state, county, municipal, and other governmental authorities.
(7) Protection from the hazards of weather, fire, and any other factors which may affect the suitability of a site for the establishment of the museum.
(b) The commission may accept public or private gifts, grants, and donations and may make and enter into contracts with other governmental departments, agencies and boards, whether federal, state, or municipal, and with private persons and corporations, and establish and provide for a proper charge for admission and otherwise renovate, maintain, and operate the museum as a permanent memorial and exhibit.
(c) The commission shall have full, complete, and exclusive jurisdiction over the museum, the sites, and the related exhibits and shall have the power and authority to allocate funds from its treasury for the fulfillment and accomplishment of its duties and responsibilities in a manner as may be necessary and appropriate for the perfection of the purposes of this article, including the power to lease lands of the commission whenever the commission shall find any action to be in furtherance of the purposes for which the commission was organized, and the authority to pledge revenues from its income for long term leases, future revenues from admissions, and any other sources as may be necessary and desirable.
(d) No lease may be entered into for longer than 25 years with an option to renew every five-year period thereafter.
(Acts 1996, No. 96-522, p. 670, §10; Act 98-664, p. 1453, §1.)
(a) The commission shall maintain books of accounts covering revenues derived by it from all sources, together with accounts of all expenses incurred in connection with the carrying out by the commission of its purposes as established under the terms of this article. Records and books shall be available for audit at any time by the Department of Examiners of Public Accounts or the commission may obtain the services of a certified public accountant which shall make annual audits which shall be in lieu of audits by the Department of Examiners of Public Accounts and are filed with the Department of Examiners of Public Accounts and opened for public inspection.
(b) The commission shall establish a reserve fund for special contingencies and emergencies over and beyond those occurring in the normal course of routine maintenance and operation and may authorize the deposit of this reserve fund in any lawful depository or depositories.
(Acts 1996, No. 96-522, p. 670, §11.)
(a) The commission may provide insurance covering loss or damage to its properties or any properties of others in its custody, care, or control, or any properties as to which it has any insurable interest caused by fire or other casualty and may likewise provide insurance for the payment of damages on account of the injury to or death of persons and the loss of or destruction of properties of others, and may pay the premiums out of the revenues of the commission. Nothing in this section shall be construed to authorize or permit the institution of any civil action or proceeding in any court against the commission for or on account of any matter referred to in this section; provided, any contracts of insurance authorized by this section may, in the discretion of the chair of the commission, provide for a direct right of action against the insurance carrier for the enforcement of any claims or causes of action.
(b) The liability under any policy or contract of insurance, arising out of facts and circumstances that would bring a claim or cause of action within the provisions of Chapter 5 of Title 25 shall be governed by that chapter; provided that the chair of the commission may increase the hospital and medical liability coverage if, in his or her opinion, the increase in coverage is in the best interests of the commission. The liability in all other cases from any policy or contract of insurance, except stated to the contrary, shall be the same as that imposed by law upon private persons, firms, or corporations in like circumstances.
(Acts 1996, No. 96-522, p. 670, §12.)
(a) The commission shall have the power and authority to issue and sell at any time its revenue bonds for the purpose of providing funds to acquire, transport, outfit, renovate, maintain, improve, and berth the items relevant to the Tuskegee Airmen and other related historic artifacts and to construct, improve, enlarge, complete, maintain, operate, and equip the museum established in this article and for the payment of obligations incurred.
(b) The principal of and interest on any bonds shall be payable solely out of the revenues derived from the project. All bond service payments shall be subordinate to the acquisition, establishment, and maintenance of a reasonable maintenance and operating fund.
(c) Any bonds of the commission may be delivered by the commission at any time and shall be in such form and denominations and of tenor and maturities, shall bear rate or rates of interest, may contain provisions for redemption prior to maturity, and may contain other provisions not inconsistent with this section, all as provided by duly adopted resolutions of the commission whereupon bonds are authorized to be issued; provided, however, that no bond of the commission shall have a specified maturity date later than 30 years after its date. Each bond of the commission having a specified maturity date more than 10 years after its date shall be made subject to redemption at the option of the authority of the commission at the end of the tenth year after its date and on any interest payment date thereafter under terms and conditions as may be provided in the resolution under which a bond is authorized to be issued.
(d) Bonds of the commission may be sold at either public or private sale in a manner and in a time as may be determined by the commission to be most advantageous.
(e) Bonds issued by the commission shall not be obligations of the State of Alabama but shall be payable solely out of the revenue derived from the park project in respect of which bonds are issued. The principal of and the interest on the bonds shall be secured by a pledge of the revenues out of which the bonds shall be payable and by a pledge of the rentals or leases from any concessions granted by the commission and may be secured by nonforeclosable indenture covering the park project.
(Acts 1996, No. 96-522, p. 670, §13.)
(a) All obligations incurred by the commission and all bonds issued by it shall be solely and exclusively an obligation of the commission and shall not create an obligation or debt of the State of Alabama or any county or municipality.
(b) All bonds issued by the commission, while not registered, shall be construed to be negotiable instruments even though they are payable from a limited source. All coupons applicable to any bonds issued by the commission, while the applicable bonds are not registered as to both principal and interest, shall likewise be construed to be negotiable instruments although payable from a limited source. Bonds shall constitute legal investments for savings banks and insurance companies organized under the laws of the state; and, unless otherwise directed by the court having jurisdiction or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable prudence, invest trust funds in the bonds of the commission.
(c) Any resolution authorizing bonds under this article shall contain a recital that they are issued pursuant to this article, which shall be conclusive evidence the bonds have been duly authorized.
(Acts 1996, No. 96-522, p. 670, §14.)
The commission shall have the authority to borrow money from private sources, the state emergency fund or other sources as may be acceptable to the commission under terms and conditions as may be provided by law. In order to provide security for the repayment of any private or public loans, the commission shall have the authority to pledge future revenues from admissions and any other sources.
(Acts 1996, No. 96-522, p. 670, §15.)
The commission shall establish and maintain at a lawful depository in the State of Alabama a Tuskegee Airmen Fund composed of money which may come from admissions, inspection fees, gifts, donations, grants, bequests, loans, bond issues, governmental appropriations, or other sources, either public or private. Funds shall be used by the commission to pay the costs of operating, creating, establishing, enlarging, maintaining, and operating the state museum for the purposes set forth in this article and the servicing, retirement, or amortization of any bonds or other evidences of indebtedness issued by the commission.
(Acts 1996, No. 96-522, p. 670, §16.)
The commission shall be exempt from taxation by the State of Alabama and any political subdivision, including, but not limited to, income, admission, amusement, excise and ad valorem taxes on any of the following items:
(1) Properties of the commission and the income derived.
(2) Lease agreements and contracts.
(3) Bonds and coupons and the income derived.
(4) Executed indentures.
(Acts 1996, No. 96-522, p. 670, §17.)
For purposes of this article, “commission” shall mean the commission or the chief staff persons designated by the commission during open meetings.
(Acts 1996, No. 96-522, p. 670, §18.)
There is hereby established within the executive branch the Alabama Holocaust Commission. It shall be non-partisan and autonomous.
(Act 99-404, p. 685, §2.)
The Legislature finds and declares the following:
(1) During the period from 1933-1945, six million Jews and millions of other Europeans were murdered in Nazi concentration camps as part of a carefully orchestrated program of cultural, social, political, and ethnic genocide known as the Holocaust.
(2) All people should remember the horrible atrocities committed at that time and other times in human history as the result of bigotry, discrimination, and the abuse of power and should continually rededicate themselves to the principles of human rights and equal protection under the laws of this democratic society.
(3) It is desirable to educate Alabama citizens about the events leading up to the Holocaust and about organizations, institutions, and facilities that were created and used purposefully for the systematic destruction of human beings.
(4) It is the policy of the State of Alabama that Holocaust education is the proper concern of all peoples.
(5) Although annual commemorations for the remembrance of the Holocaust, programs, workshops, institutes, seminars, and other teacher-training activities for the study of the Holocaust have taken place on a limited basis during recent years in Alabama, it is now desirable to create a permanent state-level commission.
(6) The commission, as an organized body, shall survey, design, encourage, and promote implementation of ongoing Holocaust education and awareness programs of the Holocaust throughout the state.
(Act 99-404, p. 685, §1.)
(a) The commission shall be composed of 20 members as follows:
(1) A member of the Senate appointed by the President Pro Tempore of the Senate.
(2) A member of the House of Representatives appointed by the Speaker of the House.
(3) The State Superintendent of Education.
(4) Five representatives from the Postsecondary Education System appointed by the State Board of Education.
(5) Twelve members of the public appointed by the Governor. The public members shall be residents of Alabama, with broad geographic representation, who have a personal interest or experience in the Holocaust or other genocide or human rights issue; have experience in the field of Holocaust education; or are liberators of victims of the Holocaust.
(b) Each public member of the commission shall serve for a term of three years. Public members shall be eligible for reappointment. They shall serve until their successors are appointed and qualified. A vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment, but for the unexpired term only. All other members shall serve indefinitely at the pleasure of the appointing authority.
(c) The members of the commission shall serve without compensation, but shall be entitled to reimbursement for all necessary expenses incurred in the performance of their duties in accordance with the comprehensive state travel regulations.
(d) The Governor shall appoint the chair of the commission to serve a three-year term. The commission shall meet upon the call of the chair or of a majority of commission members, but not less than four times per year. The presence of a majority of the authorized membership of the commission shall be required for the conduct of official business.
(e) The commission shall appoint an executive director, who shall serve at the commission’s pleasure and shall be a person qualified by training and experience to perform the duties of the office.
(Act 99-404, p. 685, §3.)
(a) The commission shall have the following responsibilities and duties:
(1) Provide assistance and advice to the public and private schools, colleges, and universities with respect to implementation of Holocaust education and awareness programs.
(2) Meet with appropriate education officials and other interested public and private organizations, including service organizations, to assist with the planning, coordinating, and enriching of courses of study dealing with the Holocaust.
(3) Survey and catalog the extent and breadth of Holocaust and genocide education presently incorporated into the curricula and taught in the educational systems of the state; to inventory those Holocaust memorials, exhibits, and resources which could be incorporated in courses of study; and to assist other educational agencies in the development and implementation of Holocaust and genocide education programs. In furtherance of this responsibility, the commission may contact and cooperate with existing resource organizations.
(4) Compile a roster of individual volunteers who are willing to share their knowledge and experience in classrooms, seminars, and workshops on the subject of the Holocaust. These volunteers may be survivors of the Holocaust, liberators of concentration camps, scholars, clergy, artists, community relations professionals, or other persons who, by virtue of their experience or interest, have acquired personal or academic knowledge of the Holocaust.
(5) Coordinate events commemorating the Holocaust and to seek volunteers who are willing and able to participate in events that will enhance public awareness of the consequences and significance of the Holocaust.
(6) Prepare reports for the Governor and the Legislature regarding findings and recommendations to facilitate the inclusion of Holocaust studies and commemorative programs throughout the state.
(7) Act as a liaison in matters concerning the United States Holocaust Memorial Museum.
(b) The commission shall be subject to the Alabama Administrative Procedure Act.
(Act 99-404, p. 685, §4.)
(a) The commission may create a not-for-profit corporation to raise funds, and to develop, implement, and manage the plans and programs of the commission.
(b) The commission may select a name for the corporation. The corporation shall have its own board of directors which shall consist of members of the commission, a representative appointed by the Governor, and a representative of the Attorney General. The board may select its own chair with the approval of the chair of the commission.
(c) Upon its incorporation, the not-for-profit corporation shall apply for tax-exempt status under Section 501(c)(3) of the Internal Revenue Code, 26 U.S.C. 501 (c)(3).
(d) In addition to funds received from the general public, the corporation may receive funds from the State of Alabama, in addition to its original mandated budget, at such times and in such amounts as appropriated by the Legislature to be used for its tax-exempt purposes.
(e) The not-for-profit corporation may hire support staff and name advisory groups or steering committees as necessary to assist in the promotion, coordination, and implementation of, and fund-raising for the programs developed by the commission.
(Act 99-404, p. 685, §5.)
The Legislature of Alabama finds and declares all of the following:
(1) On Sunday, March 7, 1965, citizens participating in a peaceful march while seeking their voting rights were beaten as they attempted to cross the Edmond Pettus Bridge in Selma, Alabama.
(2) The initial impetus for the march on March 7, 1965, derived from the killing of Jimmy Lee Jackson in Marion, Alabama, and the majority of the citizens on the march were citizens of Perry County, Alabama, who had traveled in a processional from Marion via Highway 14 to Selma, Alabama.
(3) On March 21, 1965, the Selma to Montgomery March brought international attention to the State of Alabama.
(4) Over 25,000 people marched together in a fight for the right to vote, free and fair from any discrimination.
(5) Due in part to the effort of the participants in the Selma to Montgomery March, the federal government enacted the Voting Rights Act of 1965, thereby protecting the right of all citizens to vote.
(6) The Selma to Montgomery March inspired people from nations all over the world, including South Africa and Poland, to proclaim and fight for their right to vote and is an international symbol for the right to vote.
(7) On September 19, 1996, the United States Secretary of Transportation designated the Selma to Montgomery Scenic Byway as an All-American Road under the National Scenic Byways Program.
(8) The National Park Omnibus Act of 1996 officially established the Selma to Montgomery National Historic Trail, consisting of 54 miles, of city streets and U.S. Highway 80 from Brown Chapel A.M.E. Church in Selma to the State Capitol Building in Montgomery, Alabama.
(9) The Selma to Montgomery March made America a true democracy by providing the impetus by which all citizens of the United States of America are allowed to exercise their constitutional right to vote.
(10) Although the rich history and notoriety surrounding the Selma to Montgomery March have had a tremendous impact on educating people about voting rights and promoting tourism and economic development in the State of Alabama, the designation of the “International Voting Rights Trail” and creation of the International Voting Rights Trail Commission will enable the people of Alabama to make an even greater impact on future generations.
(11) Sammie Young was murdered in Tuskegee while struggling for voting rights and Gomillion v. Lightfoot, one of the most important landmark cases of our time on voting rights, originated in Tuskegee, Alabama.
( Acts 2000-98, §1.)
Those portions of U. S. Highway 80 from Tuskegee to Montgomery to Selma and Alabama Highway 14 from Selma to Marion are jointly hereby designated the “International Voting Rights Trail.”
(Act 2000-98, p. 117, §2.)
(a) There is created an International Voting Rights Trail Commission. The commission shall be responsible for educating people about the significant historical events associated with the trail and the voting rights movement and promoting economic development and tourism in connection with the trail inclusive of counties and cities that were sites of significant events that impacted the trail’s inception. The commission may receive funds from any legal source and disburse those funds in furtherance of its mission.
(b) The commission shall coordinate its efforts with the Alabama Historical Commission, the Alabama Department of Transportation, the Alabama Department of Commerce, the Alabama Department of Economic and Community Affairs, the State Department of Tourism and Travel, the Department of Conservation and National Resources, and the National Park Service.
(c) The commission shall perform all of the following duties:
(1) Work with the National Park Service, Department of Conservation and Natural Resources, and the Alabama Historical Commission in the coordination of projects and activities to promote the historical significance of the trail.
(2) Work with the Department of Tourism and Travel to promote tourism in, on, around, and in conjunction with the trail.
(3) Work with the Alabama Department of Economic and Community Affairs, the Alabama Department of Commerce, county commissions, and local city officials to encourage businesses and tourist attractions located in the vicinity of the trail.
(4) Work with the Alabama Department of Transportation on any purpose included in this article.
(d) The commission shall consist of 28 members who shall be appointed in the following manner:
(1) Three members appointed by the Governor.
(2) One member appointed by the Member of Congress representing the Seventh Congressional District.
(3) One member appointed by the members of the Southern Christian Leadership Conference.
(4) One member appointed by the members of the Alabama Historical Commission.
(5) One member appointed by the members of the Montgomery City Council.
(6) One member of the Montgomery County Commission.
(7) One member appointed by the members of the Montgomery Improvement Association.
(8) One member appointed by the members of St. Jude of Montgomery.
(9) One member appointed by the members of Mt. Zion Church of Montgomery.
(10) One member appointed by the members of the Lowndes County Commission.
(11) One member appointed by the members of the Hayneville Town Council.
(12) One member appointed by the members of the Lowndes County Christian Movement.
(13) One member appointed by the members of the White Hall Town Council.
(14) One member appointed by the members of the Dallas County Commission.
(15) One member appointed by the members of the Dallas County Voters League.
(16) One member appointed by the Board of Directors of the National Voting Rights Museum and Institute.
(17) One member appointed by the members of the Selma City Council.
(18) One member appointed by the members of the Perry County Commission.
(19) One member appointed by the members of the Marion Town Council.
(20) One member appointed by the members of the Perry County Civic League.
(21) One member appointed by the members of Brown Chapel A.M.E. Church.
(22) One member appointed by the members of the Dexter Avenue King Memorial Church.
(23) One member appointed by the members of the First Baptist Church located on Martin Luther King Street in Selma.
(24) One member appointed by the Macon County Commission.
(25) One member appointed by the Tuskegee City Council.
(26) One member appointed by the City Council of Shorter.
(e) The members of the commission shall serve staggered three-year terms. The initial terms of the members shall be determined by lot, one-third for one year, one-third for two years, and one-third for three years. Membership on the commission shall, as nearly as possible, equally represent each county with appointing authorities appointed in each of the years of the staggered terms.
(f) The commission shall have the power to establish an executive committee of seven persons and establish its duties, responsibilities, and authorities consistent with the provisions of this article.
(Act 2000-98, §3.)
There shall be created and established as herein provided a board to be designated and known as the Alabama Military Hall of Honor. The membership of the board shall be the Governor of the State of Alabama, who will serve as the permanent chair; the President of Marion Military Institute, who will serve as the permanent vice chair; the Adjutant General of the Alabama National Guard; the Commander of the Alabama Veterans of Foreign Wars; the Commander of the Alabama American Legion; the Commander of the Alabama Department of the Order of the Purple Heart; the Director of the Alabama Department of Archives and History; the President of the Alabama Press Association; the Command Sergeant Major of the Alabama National Guard; and the senior active duty officer on duty in Alabama and the retired officer presently living in the State of Alabama from the United States Army, United States Marine Corps, United States Navy, United States Air Force, and United States Coast Guard with retired seniority determined by the date of last active duty rank. The board may at its discretion add the commander or other titled leader of other Alabama Veterans’ organizations as standing members of the board. There shall also be five additional members appointed to the board by the Governor. Of the first group of five appointed under this article, two shall be appointed for a term of one year; two shall be appointed for a term of two years; and one shall be appointed for a term of three years. After these initial terms expire, each successor shall serve four-year terms. Members appointed to fill vacancies shall serve for the remainder of the term filled. The board shall meet semiannually and at such other times as its rules and bylaws may prescribe. A quorum for all meetings shall be a majority of those present and voting.
The continuation of the board shall result from choices made by the board to fill all vacancies as they occur because of rotation, resignation, or incapacitation. The board shall have full and final right of choosing succeeding members.
(Act 2009-573, p. 1684, §1.)
The location of the Hall shall be in the City of Marion, Alabama, on the campus of the Marion Military Institute. All items pertaining to the Hall shall be housed at the same location.
(Act 2009-573, p. 1684, §2.)
The purpose of the Alabama Military Hall of Honor is to honor Alabama’s military heroes and to provide a permanent and visible tribute to them. In addition to the main purpose, when properly funded and staffed, it will serve as a valuable tourism and educational vehicle providing tours for the public as well as students from all over the State of Alabama. The board may adopt rules and bylaws as may be needed to carry out its functions. The number and qualifications of persons selected for installation annually shall be in accordance with the following:
Once each year the board will meet to consider nominations and choose new members to be inducted into the Hall as prescribed by the bylaws. These new members must have, by their military achievements and service, made outstanding contributions to the State of Alabama or the United States. They must be Alabamians who have distinguished themselves in the Armed Forces of the United States, including National Guard and Reserves, and whose patriotism should be recognized and serve as a constant testimony to present and future generations. Persons to be considered shall be either native-born Alabamians or legal residents of Alabama at the time the individual performed the deed or deeds being recognized.
(Act 2009-573, p. 1684, §3.)
The board may receive an annual appropriation from the State General Fund that shall be fixed by the Legislature during each regular session. The appropriation shall be used by the board to pay for supplies, plaques, display cases, administrative functions, facility maintenance and upgrades as necessary, and such other necessary or appropriate expenses incurred in carrying out the purposes of the board.
(Act 2009-573, p. 1684, §4.)
The board may solicit and accept donations, contributions, and gifts of money and property, and all gifts made to the board shall be exempt from taxation in Alabama. All property, financial resources, income, and other resources and activities of the board shall likewise be exempt from taxation.
(Act 2009-573, p. 1684, §5.)
The board may spend all appropriations of public money made for the use of the board and may expend funds donated or contributed for its use.
(Act 2009-573, p. 1684, §6.)
The Alabama Military Hall of Honor may receive any appropriations from the State General Fund made by the Legislature.
(Act 2009-573, p. 1684, §7.)
This article shall be known and may be cited as the Alabama Unarmed Combat Act.
(Act 2009-622, p. 1872, §1; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2021-518, §1.)
As used in this article, the following terms shall have the following meanings:
(1) AMATEUR. An individual who engages in a match, contest, or exhibition of boxing, tough man contests, wrestling, mixed martial arts, or other form of unarmed combat, for no compensation or thing of value for participating, which is governed or authorized by any of the following:
a. U.S.A. Boxing.
b. The Alabama High School Athletic Association.
c. The National Collegiate Athletic Association.
d. Amateur Athletic Union.
e. Golden Gloves.
f. The local affiliate of any organization listed in this subdivision.
g. USA Wrestling.
h. The National Junior College Athletic Association.
i. The National Association of Intercollegiate Athletics.
j. The National Collegiate Wrestling Association.
k. Any organization licensed by the commission.
(2) BARE KNUCKLE BOXING. The original form of boxing, involving two individuals fighting without boxing gloves or other padding on their hands.
(3) BOXING MATCH. A contest between two individuals in which contestants score points in rounds of two or three minutes by striking with gloved fists the head and upper torso of the opponent or by knocking the opponent down and rendering the opponent unconscious or incapable of continuing the contest by the blows, which contest is held in a square ring supervised by a referee and scored by three judges.
(4) BOXING REGISTRY. A registry created or designated pursuant to subsection (k) of Section 41-9-1024.
(5) CHARITABLE ORGANIZATION. An entity described by either of the following:
a. Section 501(c)(3), Internal Revenue Code of 1986 (26 U.S.C. § 501(c)(3)).
b. Section 170(c), Internal Revenue Code of 1986 (26 U.S.C. § 170(c)).
(6) COMMISSION. The Alabama Athletic Commission.
(7) EXHIBITION. A contest where the participants engage in the use of boxing skills and techniques, bare knuckle skills and techniques, tough man skills and techniques, wrestling skills and techniques, or mixed martial arts skills and techniques, or any or all of these, and where the objective is to display the skills and techniques without striving to win.
(8) FACE VALUE. The dollar value of a ticket or order shall reflect the dollar amount that the customer shall pay in order to view the match, contest, exhibition, or entertainment event. Face value shall include any charges or fees, such as dinner, gratuity, parking, surcharges, or any other charges or fees which are charged to and must be paid by the customer in order to view the match, contest, exhibition, or entertainment event. It shall exclude any portion paid by the customer for federal, state, or local taxes.
(9) GROSS RECEIPTS. Any of the following:
a. The gross price charged for the sale or lease of broadcasting, television, closed circuit, or motion picture rights without any deductions for commissions, brokerage fees, distribution fees, production fees, advertising, or other expenses or charges.
b. The face value of all tickets sold.
(10) MANAGER. An individual who, under contract, agreement, or other arrangement with a boxer, bare knuckle boxer, or a mixed martial arts competitor, undertakes to control or administer, directly or indirectly, a matter on behalf of a boxer or a mixed martial arts competitor. The term includes, but is not limited to, a person who functions as a booking agent, adviser, or consultant.
(11) MATCHMAKER. A person who is employed by or associated with a promoter in the capacity of booking and arranging professional matches, contests, or exhibitions of boxing, bare knuckle boxing, or mixed martial arts between opponents or who proposes professional matches, contests, or exhibitions of boxing, bare knuckle boxing, or mixed martial arts and selects and arranges for the participants in such events and for whose activities in this regard the promoter is legally responsible.
(12) MIXED MARTIAL ARTS. Unarmed combat involving the use of any combination of techniques from different disciplines of the martial arts, including, without limitation, grappling, submission holds, throws, and striking or kicking with the hands, feet, knees, or elbows. The term mixed martial arts includes kickboxing.
(13) PERSON. An individual, partnership, firm, association, corporation, or combination of individuals of whatever form or character.
(14) PHYSICIAN. A doctor of medicine or doctor of osteopathy licensed to practice medicine in the State of Alabama.
(15) PROFESSIONAL. A person who is participating or has participated in a match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts which is not governed or authorized by one or more of the organizations listed in subdivision (1) and any of the following:
a. Has received or competed for or is receiving or competing for any cash as a salary, purse, or prize for participating in any match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts.
b. Is participating or has participated in any match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts to which admission is granted upon payment of any ticket for admission or other evidence of the right of entry.
c. Is participating or has participated in any match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts which is or was filmed, broadcast, or transmitted for viewing.
d. Is participating or has participated in any match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts which provides a commercial advantage by attracting persons to a particular place or promoting a commercial product or enterprise.
(16) PROFESSIONAL MATCH OF BOXING, BARE KNUCKLE BOXING, WRESTLING, MIXED MARTIAL ARTS, OR UNARMED COMBAT. A boxing match, contest, or exhibition; a bare knuckle boxing match, contest, or exhibition; a wrestling match; a mixed martial arts match, contest, or exhibition; or other unarmed combat match, contest, or exhibition, which is not governed or authorized by one or more of the organizations listed in subdivision (1) and which does any of the following:
a. Rewards a boxer, bare knuckle boxer, wrestler, mixed martial arts competitor, or other unarmed combat competitor participating with cash as a salary, purse, or prize for such participation.
b. Requires for admission payment of a ticket or other evidence of the right of entry.
c. Is filmed, broadcast, or transmitted for viewing.
d. Provides a commercial advantage by attracting persons to a particular place or promoting a commercial product or enterprise.
(17) PROFESSIONAL WRESTLING. Any organized event between two unarmed contestants in which participants compete primarily for the purpose of providing entertainment to spectators that may or may not comprise a bona fide athletic contest or competition.
(18) PROMOTER. The person primarily responsible for organizing, promoting, and producing a match, contest, or exhibition of professional boxing, bare knuckle boxing, tough man contest, professional wrestling, or mixed martial arts and who is legally responsible for the lawful conduct of the professional match, contest, or exhibition.
(19) PURSE or RING EARNINGS. The financial guarantee or any other remuneration, or part thereof, which a professional boxer, bare knuckle boxer, wrestler, or mixed martial arts competitor participating in a match, contest, or exhibition will receive and includes any share of any payment received for radio broadcasting, television, or motion picture rights.
(20) TOUGH MAN CONTEST. A boxing match and tournament where each contestant wears headgear and oversized gloves. A contestant in a tough man contest is not an amateur or a professional and cash prizes may be awarded.
(21) UNARMED COMBAT. Any form of competition between human beings in which both of the following occurs:
One or more blows are struck which may reasonably be expected to inflict injury on a human being.
There is some compensation or commercial benefit arising from such competition, whether in the form of cash or non-cash payment to the competitors or the person arranging the competition; the sale of the right to film, broadcast, transmit, or view the competition; or the use of the competition to attract persons to a particular location for some commercial advantage or to promote a commercial product or commercial enterprise.
(Act 2009-622, p. 1872, §2; Act 2010-222, p. 392, §1; Act 2011-164, p. 297, §3; Act 2013-285, p. 961, §1; Act 2019-491, §1; Act 2021-518, §1.)
This article shall not be construed to apply to any match, contest, or exhibition of boxing or wrestling in which the contestants are all amateurs and which is governed or authorized by any of the following:
(1) U.S.A. Boxing.
(2) The Alabama High School Athletic Association.
(3) The National Collegiate Athletic Association.
(4) Amateur Athletic Union.
(5) Golden Gloves.
(6) USA Wrestling.
(7) The National Junior College Athletic Association.
(8) The National Association of Intercollegiate Athletics.
(9) The National Collegiate Wrestling Association.
(10) The local affiliate of any organization listed in this section.
(Act 2009-622, p. 1872, §3; Act 2013-285, p. 961, §1.)
(a) There is created the Alabama Athletic Commission composed of six members.
(b)(1) All appointing authorities shall coordinate their appointments so that diversity of gender, race, and geographical areas is reflective of the makeup of this state. The six initial members shall be as follows:
a. Two members appointed by the Governor.
b. One member appointed by the Alabama Athlete Agents Commission.
c. One member appointed by the Speaker of the House of Representatives.
d. One member appointed by the President of the Senate.
e. One member appointed by the President Pro Tempore of the Senate.
(2) Initial appointments by the Governor shall be for one and three years, the initial appointment by the Speaker of the House of Representatives shall be for four years, the initial appointment of the President of the Senate shall be for two years, and the initial appointment of the President Pro Tempore of the Senate shall be for one year. The initial appointment by the commission shall be for four years. All subsequent appointments shall be for terms of four years. Vacancies shall be filled for the unexpired terms under the same procedures and requirements as appointments for full terms. Each member of the commission shall be a resident of this state.
(c) The commission shall elect a chair from among its membership for a term of one year. While serving as chair, a member may not vote on any matter coming before the commission. The commission may elect a vice chair from its membership for a term of one year. Any member serving as chair shall be eligible for successive election to the office by the commission. The chair may designate another member of the commission to perform the duties of chair in his or her absence. The commission may employ an executive director to manage the day-to-day operations of the commission within the available funds of the commission.
(d) A medical advisory panel of the commission shall be appointed by the Governor and shall consist of four persons licensed to practice medicine in this state, with one member each representing the specialties of ophthalmology and general medicine and two members representing the specialty of sports medicine. The medical advisory panel shall advise and assist the commission and its staff regarding issues and questions concerning the medical safety of professional boxers, bare knuckle boxers, tough man contestants, professional wrestlers, amateur mixed martial arts competitors, professional mixed martial arts competitors, and other unarmed combat competitors including, but not limited to, matters relating to medical suspensions. The medical advisory panel may meet separately from the commission to discuss and formulate recommendations for the commission in connection with medical safety. Members of the medical advisory panel shall not be counted in determining a quorum of the commission and shall not vote as commission members.
(e) Each member of the commission and the medical advisory panel shall be reimbursed for expenses and travel as provided for public officials of this state.
(Act 2009-622, p. 1872, §4; Act 2010-222, p. 392, §1; Act 2011-164, p. 297, §3; Act 2013-285, p. 961, §1; Act 2019-491, §1; Act 2021-518, §1.)
(a)(1) The commission shall be the sole regulator of professional boxing in this state and shall have authority to protect the physical safety and welfare of professional boxers and serve the public interest by closely supervising all professional boxing in this state.
(2) The commission shall be the sole regulator of professional and amateur matches, contests, or exhibitions of mixed martial arts and shall have the authority to protect the physical safety and welfare of professional competitors in mixed martial arts and serve the public interest by closely supervising all competitors in mixed martial arts. The commission shall regulate professional and amateur mixed martial arts to the same extent as professional boxing unless any rule of the commission is not by its nature applicable to mixed martial arts.
(3) The commission shall be the sole regulator of professional matches, contests, or exhibitions of wrestling and shall have the authority to protect the physical safety and welfare of professional competitors in professional wrestling and serve the public interest by closely supervising all competitors in professional wrestling. The commission shall regulate professional wrestling to the same extent as professional boxing unless any rule of the commission is not by its nature applicable to professional wrestling.
(4) The commission shall have the sole authority to license a wrestling sanctioning organization to safeguard the public health, to protect competitors, and to provide for competitive matches by requiring each licensed organization to abide by rules adopted by the commission. The commission, at the request of a licensed sanctioning organization, may provide direct oversight of any event sanctioned by the organization for a fee negotiated between the commission and the licensed sanctioning organization.
(5) The commission shall have the sole authority to license the promoters of tough man contests to safeguard the public health, to protect competitors, and to provide for competitive matches by requiring each licensed promoter to abide by rules adopted by the commission. The commission, at the request of a promoter, may provide direct oversight of any tough man match for a fee negotiated between the commission and the promoter.
(6) The commission shall be the sole regulator of professional bare knuckle boxing matches, contests, or exhibitions of bare knuckle boxing and shall have the authority to protect the physical safety and welfare of professional competitors in bare knuckle boxing and serve the public interest by closely supervising all competitors in bare knuckle boxing. The commission shall regulate professional bare knuckle boxing to the same extent as professional boxing unless any rule of the commission is not by its nature applicable to bare knuckle boxing.
(7) The commission shall be the sole regulator and shall have the sole authority to regulate any form of unarmed combat held in the state as the commission deems necessary.
(b) The commission shall have the sole jurisdiction to license the promotion or holding of each match, contest, or exhibition of professional boxing, bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, professional mixed martial arts, or other form of unarmed combat promoted or held within this state.
(c) The commission shall have the authority to license participants in any match, contest, or exhibition of professional boxing, professional bare knuckle boxing, professional wrestling, amateur mixed martial arts, professional mixed martial arts, or other form of unarmed combat held in this state.
(d) The commission shall have the authority to direct, manage, control, and supervise all matches, contests, or exhibitions of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, or professional mixed martial arts including, but not limited to, the authority to enforce safety measures and restrict access to certain areas for the protection of the public and participants. The commission may adopt bylaws for its own management and adopt and enforce rules consistent with this article. The commission may immediately implement medical guidelines that have been vetted by the medical advisory panel and approved by the commission and competition guidelines that have been approved by the commission. Medical and competition guidelines approved by the commission pursuant to this subdivision are exempt from the Alabama Administrative Procedure Act.
(e) The commission shall have the sole authority to inquire into the plans or arrangements for compliance of a licensed organization with rules adopted by the commission. The commission may require a wrestling sanctioning organization to pay an annual licensure fee and any other fee determined necessary by the board and may penalize any organization for violation of this article or any rule adopted by the commission pursuant to this article.
(f) The commission may appoint one or more inspectors as duly authorized representatives of the commission to ensure that the rules are strictly observed. The inspectors shall be present at all professional matches, contests, or exhibitions of boxing, bare knuckle boxing, wrestling, or mixed martial arts.
(g) The commission may designate physicians as duly authorized representatives of the commission to conduct physical examinations of boxers, bare knuckle boxers, or mixed martial arts competitors licensed under this article and shall designate a roster of physicians authorized to conduct prefight physicals and serve as ringside physicians in all professional boxing, professional bare knuckle boxing, tough man, or mixed martial arts matches held in this state.
(h)(1) The commission or any agent duly designated by the commission may do any of the following:
a. Make investigations.
b. Hold hearings.
c. Issue subpoenas to compel the attendance of witnesses and the production of books, papers, and records.
d. Administer oaths to and examine any witnesses for the purpose of determining any question coming before it under this article or under the rules adopted pursuant to this article.
e. Swear out a warrant of arrest against any person violating the criminal provisions of this article, and the commission shall not be liable in damages or to any action for damages by reason of swearing out a warrant or for causing the arrest and detention or imprisonment of any person under such warrant, unless the commission or agent fails to act in a reasonably prudent manner.
f. Assess fines, not to exceed ten thousand dollars ($10,000) per violation, for violations of the rules and guidelines of the commission.
(2) During an investigation of any allegation which, if proven, would result in criminal or civil sanctions as provided in this article, the commission may withhold all or a portion of the gross receipts to which the person under investigation is entitled until such time as the matter has been resolved.
(i) The commission may engage in activities that promote amateur boxing, amateur wrestling, and amateur mixed martial arts in this state and contract with any nonprofit organization which is exempted from the taxation of income. To support amateur boxing, amateur wrestling, and amateur mixed martial arts in this state, the commission may promote voluntary contributions through the application process or through any fund-raising or other promotional technique deemed appropriate by the commission.
(j) Pursuant to 15 U.S.C. § 6301, et seq., the commission may issue to each boxer who is a resident of this state an identification card bearing the photograph of the boxer and in such form and containing such information as the commission deems necessary and appropriate. The commission shall ensure that the form and manner of issuance of the identification cards comply with any applicable federal law or regulation. The commission may charge an amount not to exceed one hundred dollars ($100) per card for the issuance or replacement of each identification card.
(k) The commission may create a boxing registry or designate a nationally recognized boxing registry and register each boxer who is a resident of this state or who is a resident of another state which has no boxing registry.
(l) The commission may inquire into the financial backing of any professional match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts and obtain answers to written or oral questions propounded to all persons associated with the professional event.
(m) The commission, pursuant to rule, may license any concessionaire, ring announcer, photographer, or other person receiving any portion of the gate proceeds from a match, contest, or exhibition held in the state pursuant to this article.
(Act 2009-622, p. 1872, §5; Act 2010-222, p. 392, §1; Act 2011-164, p. 297, §3; Act 2013-285, p. 961, §1; Act 2019-491, §1; Act 2021-518, §1.)
The commission shall designate a person to serve as executive director and the executive director shall issue licenses and identification cards and perform other duties as the commission may direct in the enforcement of this article.
(Act 2009-622, p. 1872, §6; Act 2013-285, p. 961, §1.)
(a) The commission shall meet upon the call of the chair or upon the call of any two members. The business of the commission shall be conducted by a majority vote of the members present. A majority of the commission members shall constitute a quorum.
(b) The chair, if necessary, may within 10 days of receiving an application and license fee call a meeting of the commission for the purpose of approving or rejecting an application for a license or match permit which has been submitted to the commission. The meeting shall be held within 20 days of the call of the chair at a place designated by the chair.
(Act 2009-622, p. 1872, §7.)
The commission shall adopt rules and regulations governing professional boxing, tough man contests, amateur mixed martial arts, and professional mixed martial arts to establish the following:
(1) Procedures to evaluate the professional records and physician certifications of each boxer participating in a match, contest, or exhibition of professional boxing, tough man contests, amateur mixed martial arts, and professional mixed martial arts and to deny authorization for a professional boxer, tough man contestant, amateur mixed martial arts competitor, or professional mixed martial arts competitor to fight where appropriate.
(2) Procedures to ensure that, except as otherwise provided in subsection (c) of Section 41-9-1032, no professional boxer, amateur mixed martial arts competitor, or professional mixed martial arts competitor shall be permitted to participate while under suspension from any state boxing or athletic commission because of any of the following:
a. A recent knockout, technical knockout, or series of consecutive losses.
b. An injury, requirement for a medical procedure, or physician’s denial of certification.
c. Failure of a drug test.
d. The use of false aliases or falsifying official identification cards or document.
e. Other reasons as determined by the commission.
(3) Procedures to report to the boxing registry the results of all professional matches, contests, or exhibitions of boxing held in this state or being supervised by the commission and any related suspensions.
(Act 2009-622, p. 1872, §8; Act 2013-285, §1.)
A member or employee of the commission and any person who administers or enforces this article or rules adopted in accordance with this article shall not be a member of, contract with, or receive any compensation from any person or organization who authorizes, arranges, or promotes matches, contests, or exhibitions of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, or professional mixed martial arts or who otherwise has a financial interest in any activity or licensee regulated by the commission. The term compensation does not include funds held in escrow for payment to another person in connection with a professional match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts.
(Act 2009-622, p. 1872, §9; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
(a)(1) No person shall promote or hold a match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, or professional mixed martial arts within this state without first applying for and obtaining a promoter’s license from the commission.
(2) Licenses shall be issued annually and shall expire on December 31 of each calendar year.
(b) Promoters shall apply to the commission for a license required by subsection (a) on a form provided by the commission. The application shall be accompanied by a nonrefundable fee not to exceed two hundred fifty dollars ($250). The application shall also be accompanied by a performance bond in an amount and under any conditions required by the commission.
(c)(1) In addition to the license required by subsection (a), a match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, or professional mixed martial arts within this state shall not be staged unless a match permit has been issued by the commission for the match, contest, or exhibition.
(2) Each application for a match permit shall be on a form provided by the commission and shall be accompanied by a nonrefundable application fee not to exceed two hundred fifty dollars ($250). The commission may charge an additional match fee in accordance with rules adopted by the commission.
(d) The commission, prior to issuing any match permit, may require a performance bond in addition to that required in subsection (b).
(e) The commission may refund any portion of the match permit fee in excess of two hundred fifty dollars ($250) to any person who paid the excess fee if the match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, or professional mixed martial arts for which the fees were paid is not held.
(f) The commission shall have the sole authority to certify the results of each amateur mixed martial arts match, contest, or exhibition held within the state.
(Act 2009-622, p. 1872, §10; Act 2010-222, p. 392, §1; Act 2011-164, p. 297, §3; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
(a) Prior to participating in a match, contest, or exhibition of professional boxing, professional bare knuckle boxing, professional wrestling, amateur mixed martial arts, or professional mixed martial arts supervised by the commission, referees, judges, timekeepers, matchmakers, boxers, bare knuckle boxers, wrestlers, mixed martial arts competitors, managers, trainers, and each person who assists a boxer, bare knuckle boxer, wrestler, or mixed martial arts competitor immediately before and after a match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts and between rounds during a match, contest, or exhibition of boxing, bare knuckle boxing, wrestling, or mixed martial arts shall be required by the commission to apply for and be issued a license. Licenses shall be issued annually and shall expire on December 31 of each calendar year. Each applicant shall make application on a form provided by the commission and pay an annual license fee not to exceed two hundred fifty dollars ($250). The commission may issue a temporary license to any applicant who applies for a license less than 30 days before participating in a scheduled, sanctioned event.
(b) The nonrefundable initial licensing fee and annual renewal fee for a professional wrestling sanctioning organization may not exceed one thousand dollars ($1,000).
(c) The commission shall issue a license under this section only if:
(1) The commission has determined to the best of its ability that the applicant has the training or skills necessary to perform in a manner appropriate to the license.
(2) The applicant has complied with all applicable requirements of this article and any rules adopted pursuant to this article.
(3) The commission or its designated representative has determined from information provided by the applicant and from any medical evaluation required by the commission that the health, welfare, and physical safety of the applicant will not be unduly jeopardized by the issuance of the license.
(4) The applicant is a citizen of the United States or, if not a citizen of the United States, a person who is legally present in the United States with appropriate documentation from the federal government.
(Act 2009-622, p. 1872, §11; Act 2010-222, p. 392, §1; Act 2011-164, p. 297, §3; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
(a) In addition to the license required in Section 41-9-1030, each professional boxer, professional bare knuckle boxer, amateur mixed martial arts competitor, or professional mixed martial arts competitor who is a resident of this state or another state which has no state boxing or athletic commission shall register with a boxing, bare knuckle boxing, amateur mixed martial arts, or professional mixed martial arts registry created or designated by the commission and renew his or her registration as prescribed by rules of the commission.
(b) At the time of registration and renewal, the boxer, bare knuckle boxer, amateur mixed martial arts competitor, or professional mixed martial arts competitor shall provide the registry with a recent photograph of the licensee and the Social Security number of the licensee or, in the case of a foreign licensee, any similar citizen identification number or licensee number from the country of residence of the licensee, along with any other information the commission requires. The registries shall issue a personal identification number to each licensee and the number shall appear on the identification card issued to the licensee as a result of registration. Each licensee shall present to the commission an identification card issued by the state in which he or she resides not later than the time of the weigh-in for a match, contest, or exhibition.
(c) The commission may charge a registration fee in an amount calculated to cover the administrative expense of the registration.
(Act 2009-622, p. 1872, §12; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
(a) The commission may refuse to grant a license to an applicant upon a finding by a majority of the entire commission that the applicant has failed to demonstrate the qualifications or standards for a license contained in this section or under the laws and rules under which licensure is sought. The applicant shall demonstrate to the satisfaction of the commission that he or she meets all the requirements for the issuance of a license, and, if the commission is not satisfied as to the qualifications of the applicant, it may deny a license without a prior hearing; however, the applicant shall be allowed to appear before the commission if he or she so desires.
(b)(1) The commission, by majority vote, after prior notice to the holder of a license and after affording such a holder an opportunity to be heard, may fine the license holder; revoke or suspend the license, or take other disciplinary action against the licensee upon the recommendation of any officially designated representative for reasons involving the medical or physical safety of any professional boxer, tough man contestant, amateur mixed martial arts competitor, or professional mixed martial arts competitor licensed by the commission; summarily suspend any license previously issued by the commission; or take other disciplinary action against any licensee. The licensee shall, after the summary suspension, be afforded an opportunity to be heard, in accordance with the rules of the commission and the Alabama Administrative Procedure Act. A summary suspension imposed against such a licensee may include, but shall not be limited to, the following:
a. Prohibiting any professional boxer, professional bare knuckle boxer, tough man contestant, amateur mixed martial arts competitor, or professional mixed martial arts competitor from competing, appearing in, or participating in any match, contest, or exhibition within 60 days of having suffered a knockout.
b. Prohibiting any professional boxer, professional bare knuckle boxer, amateur mixed martial arts competitor, or professional mixed martial arts competitor, from competing, appearing in, or participating in any match, contest, or exhibition within 30 days of having suffered a technical knockout where evidence of head trauma has been determined by the attending ringside physician.
(2) The length of any summary suspension invoked pursuant to this subsection, upon the recommendation of the ringside physician, may be extended to any number of days. The terms and conditions of the suspension or revocation may require that the boxer submit to further medical evaluation as determined by the ringside physician.
(c) The commission, its executive director, or its duly authorized representative, at any time prior to the completion of a permitted match, contest, or exhibition of professional boxing, professional bare knuckle boxing, a tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts, may summarily suspend or revoke the match permit or the license of any specific boxer, bare knuckle boxer, wrestler, or mixed martial arts competitor should it be determined by such person that the continuation of the match, contest, or exhibition of professional boxing, professional bare knuckle boxing, professional wrestling, amateur mixed martial arts, or professional mixed martial arts may jeopardize the health, welfare, morals, or safety of the citizens of this state or may jeopardize the health or personal safety of any participant of the match, contest, or exhibition of professional boxing, professional bare knuckle boxing, professional wrestling, amateur mixed martial arts, or professional mixed martial arts; provided, however, that the licensee, after a summary suspension, shall be afforded an opportunity to be heard, in accordance with the rules of the commission and the Alabama Administrative Procedure Act.
(d) The commission may revoke a suspension of a professional boxer, professional bare knuckle boxer, professional wrestler, amateur mixed martial arts competitor, or professional mixed martial arts competitor if any of the following applies:
(1) The professional boxer, professional bare knuckle boxer, professional wrestler, or mixed martial arts competitor was suspended pursuant to rules adopted pursuant to Section 41-9-1027 and has furnished proof of a sufficiently improved medical or physical condition.
(2) The professional boxer, professional bare knuckle boxer, professional wrestler, or mixed martial arts competitor furnishes proof that a suspension pursuant to Section 41-9-1027 was not or is no longer merited by the facts.
(Act 2009-622, p. 1872, §13; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
No person shall arrange, promote, organize, produce, or participate in a match, contest, or exhibition of professional boxing, professional bare knuckle boxing, professional wrestling, amateur mixed martial arts, or professional mixed martial arts unless he or she has complied with the following requirements:
(1) An examination by a physician who has certified that the boxer, bare knuckle boxer, or mixed martial arts competitor is physically fit to compete safely. Copies of each certificate shall be provided to the commission prior to the match, contest, or exhibition of professional boxing, professional bare knuckle boxing, amateur mixed martial arts, or professional mixed martial arts. The commission may require a boxer, bare knuckle boxer, tough man contestant, wrestler, or mixed martial arts competitor to undergo a physical examination, including neurological or neuropsychological tests and procedures.
(2) A physician approved by the commission shall be continuously present at ringside during every match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts. The physician shall observe the physical condition of the boxers, bare knuckle boxers, tough man contestants, wrestlers, or competitors in mixed martial arts and advise the referee with regard to the boxers, bare knuckle boxers, tough man contestants, wrestlers, or competitors.
(3) One or more inspectors appointed by the commission as duly authorized representatives of the commission shall be present at each match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, or professional mixed martial arts to ensure that the rules are strictly observed. An inspector or other duly authorized representative of the commission shall be present at the weigh-in and at the ring during the conduct of the match, contest, or exhibition of professional boxing, professional bare knuckle boxing, amateur mixed martial arts, or professional mixed martial arts. Inspectors and other duly authorized representatives of the commission shall have free access to the dressing rooms of the professional boxers, professional bare knuckle boxers, tough man contestants, and mixed martial arts competitors.
(4) Each boxer, bare knuckle boxer, tough man contestant, wrestler, or competitor in mixed martial arts shall be covered by health insurance that will cover injuries sustained during the match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts.
(5) An ambulance and medical personnel with appropriate resuscitation equipment shall be continuously present at the site during any match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts.
(Act 2009-622, p. 1872, §14; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
It shall be unlawful for any professional boxer, professional bare knuckle boxer, tough man contestant, professional wrestler, amateur mixed martial arts competitor, or professional competitor in mixed martial arts to participate or attempt to participate in a match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts while under the influence of alcohol or any drug. A professional boxer, professional bare knuckle boxer, tough man contestant, professional wrestler, amateur mixed martial arts competitor, or professional mixed martial arts competitor shall be deemed under the influence of alcohol or a drug for the purposes of this section if a physical examination made during a period of time beginning not more than six hours prior to the beginning of the match, contest, or exhibition and ending not more than one hour after the completion of the match, contest, or exhibition reveals that the mental or physical ability of the professional boxer, professional bare knuckle boxer, tough man contestant, professional wrestler, amateur mixed martial arts competitor, or professional mixed martial arts competitor is impaired as a direct result of the use of alcohol or a drug.
(Act 2009-622, p. 1872, §15; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
All buildings or structures used or intended to be used for holding or giving matches, contests, or exhibitions of professional boxing, professional bare knuckle boxing, tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts shall be safe and shall in all manner conform to the laws, ordinances, and regulations pertaining to buildings in the municipality or unincorporated area of the county where the building or structure is situated.
(Act 2009-622, p. 1872, §16; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
No person under the age of 18 years shall participate as a contestant in any match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contest, professional wrestling, amateur mixed martial arts, or professional mixed martial arts.
(Act 2009-622, p. 1872, §17; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1.)
The commission shall have jurisdiction over any match, contest, or exhibition of professional boxing, professional bare knuckle boxing, tough man contests, professional wrestling, amateur mixed martial arts, professional mixed martial arts, or other form of unarmed combat which occurs or is held within this state, is filmed in this state, or is broadcast or transmitted from this state.
(Act 2009-622, p. 1872, §18; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1; Act 2021-518, §1.)
(a) Any person may file a written and signed complaint with the commission alleging that any other person has violated Sections 41-9-1029 to 41-9-1037, inclusive. A complaint shall be made in the manner prescribed by the board and shall be referred by the commission to a standing investigative committee, consisting of a commission member, the executive director, the attorney for the commission, and an investigator or the chief inspector of the commission. If the investigative committee finds that no probable cause exists, the investigative committee may dismiss the charges and prepare a statement in writing, detailing the reasons for the decision.
(b)(1) If the investigative committee finds that probable cause exists, the commission shall initiate an administrative proceeding. If the commission determines the person has violated any provision of Sections 41-9-1029 to 41-9-1037, inclusive, the commission may do any of the following:
a. Issue a cease and desist order.
b. Suspend or revoke a license.
c. Impose an administrative fine of not more than ten thousand dollars ($10,000) per violation.
(2) The commission may petition the circuit court of the county where the violation occurred to enforce a cease and desist order and to collect any assessed fine.
(c) The criminal penalties in this section shall not be construed to repeal other criminal laws. Whenever conduct prescribed by this article is also prescribed by other provision of law, the provision which carries the more serious penalty shall be applied.
(d) Any person aggrieved by an adverse action of the commission may appeal the action to the Circuit Court of Montgomery County in accordance with the Alabama Administrative Procedure Act.
(Act 2009-622, p. 1872, §19; Act 2010-222, p. 392, §1; Act 2013-285, p. 961, §1; Act 2019-491, §1; Act 2021-518, §1.)
There is established a separate trust fund in the State Treasury to be known as the Alabama Athletic Commission Fund. All receipts collected by the commission shall be deposited into this fund and used only to carry out the provisions of this article. Monies shall be disbursed only by warrant of the state Comptroller drawn upon the State Treasury supported by itemized vouchers approved by the commission. No funds shall be withdrawn or expended except as budgeted and allotted according to Sections 41-4-80 to 41-4-96, inclusive, and 41-19-1 to 41-19-12, inclusive, and only in amounts as stipulated in the general appropriations act or other appropriation acts.
(Act 2009-622, p. 1872, §20; Act 2010-222, p. 392, §1.)
The Alabama Athletic Commission shall be subject to the Alabama Sunset Law in Chapter 20 of Title 41, as an enumerated agency, and shall have a termination date of October 1, 2011, and every four years thereafter, unless continued as provided in the Alabama Sunset Law.
(Act 2009-622, p. 1872, §22; Act 2010-222, p. 392, §1.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) The Commission on Girls and Women in the Criminal Justice System is created.
(b) The commission shall be composed of all of the following members:
(1) Three members of each house, to be appointed by the presiding officer in each house. One member of each house shall be designated the co-chairperson of the commission.
(2) The Director of the Board of Pardons and Paroles or his or her designee.
(3) The Commissioner of the Department of Corrections or his or her designee.
(4) The Executive Director of the Alabama Department of Youth Services or his or her designee.
(5) The Commissioner of the Department of Human Resources or his or her designee.
(6) The Commissioner of the Department of Mental Health or his or her designee.
(7) The Executive Director of the Alabama Sentencing Commission or his or her designee.
(8) The State Health Officer of the Alabama Department of Public Health or his or her designee.
(9) The Chancellor of Postsecondary Education or his or her designee.
(10) The President of the Alabama Association of Community Corrections or his or her designee.
(11) The Deputy Commissioner of the Substance Abuse Division of the Department of Mental Health or his or her designee.
(12) The Executive Director of the Association of County Commissions of Alabama or his or her designee.
(13) A circuit court judge appointed by the Chief Justice of the Supreme Court of Alabama.
(14) The Chief Justice of the Supreme Court of Alabama.
(15) A representative from the Alabama Coalition Against Domestic Violence.
(16) A representative from Aid to Inmate Mothers.
(17) A re-entry professional appointed by the Governor.
(18) Two members of the Alabama State Bar Association with experience relating to women’s legal issues, juvenile justice, or criminal justice appointed by the association president.
(19) An attorney specializing in criminal defense, appointed by the Alabama Association of Criminal Defense Lawyers.
(20) A district attorney, appointed by the District Attorney’s Association.
(21) A representative of the Alabama Women’s Resource Network.
(22) An adult recipient or family member of programs/services of the criminal or juvenile justice system appointed by the chair.
(23) The Executive Director of the Alabama Sheriff’s Association or his or her designee.
(24) The Executive Director of the Fraternal Order of Police or his or her designee.
(25) The Chair of the Alabama Juvenile Court Judges Association or his or her designee.
(26) The President of the Chief Juvenile Probation Officers Association or his or her designee.
(27) The State Superintendent of Education or his or her designee.
(c) The membership of the commission shall be inclusive and reflect the racial, gender, geographic, urban and rural, and economic diversity of the state.
(d) Citizen members of the commission shall serve at the pleasure of the appointing authority.
(e) Initial legislative members of the commission shall be appointed after July 1, 2010. Thereafter, legislative members of the commission shall be appointed by the incoming President of the Senate and the incoming Speaker of the House of Representatives after the election of such officers for each legislative term. Legislative members shall serve a term concurrent with the legislative term of office.
(f) Legislative members of the commission may serve on the commission during the term for which appointed, and if reelected to the same house without break in service to that house, during the succeeding legislative term until a successor on the commission is appointed.
(g) Legislative vacancies shall be filled by the appointing authority who appointed the vacating member for the remainder of the vacated term.
(h) The commission shall meet for the purpose of organizing and electing such officers as it deems advisable, determining a quorum, adopting procedures for operations, and attending to such other matters as it deems appropriate by August 15, 2010. The date, time, and place of the first meeting shall be determined by the Speaker of the House of Representatives.
(Act 2010-517, p. 867, §1.)
(a) The commission shall study the conditions, needs, issues, and problems of the criminal justice system in Alabama as it affects girls and women by conducting walk through inspections of each of the women’s correctional facilities and female youth facilities and shall have unimpeded access to all documents of public record produced, used, and maintained by entities of the criminal justice system to assess the needs of the beneficiary population and to assess the impact of the commission’s recommendations.
(b) The commission shall conduct beneficiary panels and focus groups to assess needs of the beneficiary population to ensure the responsiveness and accountability of the criminal justice system.
(c) In conducting such study, the commission shall study best practices regarding women victims and offenders in Alabama and other states and shall elicit views from experts in the field of criminal justice, drug treatment, and domestic violence.
(d) The commission shall review the range of services or sanctions that are needed by the criminal and juvenile justice, public health, and mental health systems to best serve the needs of the community, family, women victims, women offenders, and adjudicated female youth.
(e) Based on such research, investigation, and review, the commission shall develop comprehensive, evidence-based recommendations through all of the following:
(1) The generation of savings from the elimination of redundant administrative, management, and programmatic functions, and the reinvestment of those savings into community-based services.
(2) The development, establishment, and implementation of gender-specific risk assessments to ensure gender equity in public risk assessment.
(3) The establishment of reporting procedures between criminal justice system entities and the commission to ensure incarcerated girls and women are fairly afforded access to and are involved in the planning and evaluation of programs and services, including domestic violence services, educational services, work release, mental health services, rehabilitative programming, and supportive services for re-entry.
(4) The establishment and implementation of gender-specific risk assessments.
(5) The development of other policies, standards, or licensing procedures that will enhance gender responsiveness or gender equity, or both, in the criminal justice system.
(f) The commission may solicit the input of other government, provider, community, and consumer representatives not otherwise specified in this section, by appointing an advisory council, and by other means as it deems appropriate.
(g) The commission shall create such partnerships and tools as necessary to ensure that female offenders and female adjudicated youth in Alabama are provided a continuum of supervision strategies and program services reflecting best practices for female probationers, prisoners, parolees, and detainees in areas including, but not limited to, classification, diagnostic processes, facilities, medical and mental health care, and child custody and visitation.
(h) The commission may enter into agreements with other state agencies and public or private organizations for such additional staff or support as the commission may determine to be necessary. Any and all private funding shall be accepted only upon clear designation that such funding place no conditions on the findings or recommendations of the commission.
(i) The commission shall make recommendations for legislative or administrative rule changes that can safely reduce the women’s prison population or increase the well-being of Alabama’s women prisoners and criminal justice involved female youth, or both.
(j) The commission shall submit an annual report to the Legislature and the Governor no later than 20 days before the convening of each regular session. The report shall detail the development of the comprehensive continuum of care to address the gender-responsive needs of Alabama’s female offenders and female adjudicated youth. The report shall highlight the existing gaps in the system and include recommendations for resources needed to reach a seamless continuum of care and other relevant information concerning the creation of a gender-responsive environment for female offenders and female adjudicated youth. The report may also include gender impact statements that provide a cost-benefit analysis comparing the costs and effectiveness of high security residential facilities, community corrections programs, community treatment programs, transitional facilities, and other alternatives to incarceration or high security correctional facilities, or both.
(Act 2010-517, p. 867, §2.)
Each citizen member of the commission shall receive the same daily expense, mileage, and travel allowance for each day he or she attends a commission meeting as authorized for state employees attending state business. Each legislator serving on the commission shall receive his or her regular legislative compensation, per diem, and travel expenses for each day he or she attends a meeting of the commission. Upon requisitions signed by the chair of the commission, these payments shall be paid out of any funds appropriated to the use of the commission by means of warrants drawn by the state Comptroller on the State Treasury. Notwithstanding the foregoing, no legislative member shall receive additional compensation or per diem for a meeting day on the commission when he or she attends a regular or special legislative session meeting day or legislative committee meeting day, or if a member is being paid any other payments on the same dates for attendance on other state business. Members of the commission who are state officials, other than legislative members, shall receive no compensation for their service on the commission, but may be reimbursed for expenses from funds appropriated to or otherwise available to their respective departments or agencies.
(Act 2010-517, p. 867, §3.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-280.
(Act 2013-118, p. 240, §1.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-281.
(Act 2013-118, p. 240, §1.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-282.
(Act 2013-118, p. 240, §1.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-283.
(Act 2013-118, p. 240, §1.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-284.
(Act 2013-118, p. 240, §1.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-285.
(Act 2013-118, p. 240, §1.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-286.
(Act 2013-118, p. 240, §1.)
(a) There is established the Alabama Council on Advanced Technology and Artificial Intelligence.
(b) The council shall review and advise the Governor and the Legislature on all aspects of the use and development of advanced technology and artificial intelligence in this state.
(c) The council shall be composed of the following members:
(1) Fourteen members appointed by the Governor.
(2) The Secretary of Commerce, or his or her designee.
(3) The Secretary of Information Technology, or his or her designee.
(4) Two members appointed by the Lieutenant Governor, at least one of whom shall be an employee, board member, or trustee of an Alabama public community college or a four-year public institution of higher education.
(5) Two members of the Alabama House of Representatives appointed by the Speaker of the House.
(6) Two members of the Alabama Senate appointed by the Senate President Pro Tempore.
(d) All individuals appointed to the council other than legislators shall have one or more of the following qualifications: Expertise in matters relating to artificial intelligence, workforce development, technology, ethics, privacy, or computer science.
(e) Members of the council appointed by the Governor and Lieutenant Governor shall serve at the pleasure of the Governor and Lieutenant Governor, respectively. Legislative members shall serve a term concurrent with the legislative term in which they were appointed.
(f) The first meeting of the council shall be called by the Governor or his or her designee and the commission members shall elect a chair and vice chair. The council shall establish procedures and other policies necessary to carry on the business of the council, including the establishment of a quorum. The council shall meet at least twice a year, but may meet more frequently upon the call of the chair. Members of the council may participate in a meeting of the council by means of conference telephone, video conference, or similar communications equipment by means which allow all persons participating in the meeting to hear each other and otherwise participate in the meeting. Participation by any of these means shall constitute presence in person at a meeting for all purposes, including the establishment of a quorum.
(g) The appointing authorities shall coordinate their appointments so that the appointments are reflective of the diversity of gender, race, and geographical areas in this state.
(h)(1) The members of the council, except for legislative members, shall not receive a salary or per diem allowance for serving as members of the council, but shall be entitled to reimbursement by the council for expenses in the performance of the duties of the office at the same rate allowed state employees pursuant to general law.
(2) Each legislative member of the council shall be entitled to his or her regular legislative compensation, per diem, and travel expenses for each day he or she attends a meeting of the council in accordance with Amendment 871 of the Constitution of Alabama of 1901, now appearing as Section 49.01 of the Official Recompilation of the Constitution of Alabama of 1901, as amended. These payments shall be paid out of any funds appropriated to the use of the Legislature by means or warrants drawn by the state Comptroller on the State Treasury.
(i) The council shall submit to the Governor and Legislature an annual report each year on any recommendations the council may have for administrative or policy action relating to advanced technology and artificial intelligence. The report shall be available electronically and posted on the website of the office of the Governor, the Legislature, and the Department of Commerce.
(Act 2021-344, §1.)
As used in this chapter, the following terms have the following meanings:
(1) LICENSE. Any license, certificate, or other evidence of qualification that an individual is required to obtain before he or she may engage in or represent himself or herself to be a member of a particular profession or occupation. The term does not include certification by the Alabama Peace Officers’ Standards and Training Commission or driver licenses.
(2) OCCUPATIONAL LICENSING BOARD. Any state board, agency, commission, or other entity in this state which is established for the primary purpose of regulating the entry of individuals into, or the conduct of individuals within, or both, a particular profession or occupation, and which is authorized to issue licenses. The term does not include any state agency staffed by full-time state employees which, as a part of its regular functions, may issue licenses and does not include a board governed by Chapter 9, Chapter 23, or Chapter 24 of Title 34.
(Act 2019-464, §12(a); Act 2025-388, §1.)
(a) Notwithstanding any other law to the contrary, an occupational licensing board shall not deny an application for a license due to any of the following:
(1) A criminal conviction that is not directly related to the duties and responsibilities of the profession or occupation for which the license is required.
(2) A criminal conviction that has been pardoned, sealed, expunged, or otherwise nullified or made confidential by the jurisdiction from which it originated.
(3) An arrest that did not result in a criminal conviction and for which criminal charges are not currently pending.
(4) An applicant’s lack of good moral character or failure to adhere to any similarly vague or generic standard.
(b) In determining whether a criminal conviction is directly related to the duties and responsibilities of the profession or occupation for which a license is required, an occupational licensing board shall consider all of the following factors on a case-by-case basis:
(1) The nature and seriousness of the crime for which the individual was convicted.
(2) The nature of the specific duties and responsibilities for which the license is required.
(3) The age of the individual at the time of the commission of the crime.
(4) The passage of time since the commission of the crime.
(5) Any evidence of rehabilitation or treatment undertaken by the individual which might mitigate the direct relationship between the criminal conviction and the duties and responsibilities of the profession or occupation sought.
(c) An occupational licensing board that makes determinations pursuant to this section and Section 41-9A-2.1 shall publish on the occupational licensing board’s official website the standards and factors that shall guide the board in making such determinations.
(d) When applying for a license, an applicant may attach to the application a valid order of limited relief granted under Section 12-26-9. A valid order of limited relief shall create a presumption that an individual’s criminal conviction is not directly related to the duties and responsibilities for which a license is required.
(e) This section and Section 41-9A-2.1 do not apply to any licensure requirement imposed by an interstate licensure compact or other interstate mutual recognition licensure requirement imposed by law to which the State of Alabama is subject, or to any licensure requirement imposed by Title 27, Title 8, or Title 5 or by federal law.
(Act 2019-464, §12(b)-12(d); Act 2025-388, §1.)
(a) An individual who has been convicted of a criminal offense, at any time, may request in writing that an occupational licensing board determine whether the individual’s criminal conviction disqualifies that individual from obtaining a license from the board. Any individual making a request shall include any required fee as provided in subsection (e) and information relevant to the factors listed in Section 41-9A-2(b). An occupational licensing board, by rule, may prescribe a standard request form to be used by all individual’s requesting a determination.
(b) Not later than 30 days after receiving a request, an occupational licensing board shall make a determination, based on the factors provided in Section 41-9A-2, whether the individual’s criminal conviction disqualifies the individual from obtaining a license and notify the individual, in writing, of its determination. If the occupational licensing board disqualifies the individual, the notification must include an explanation that addresses the factors provided in Section 41-9A-2.
(c) A determination made pursuant to this section that an individual’s criminal conviction does not disqualify the individual from obtaining a license may be rescinded if, at the time the individual submits a completed application for licensure, the individual:
(1) Has been convicted of a subsequent crime;
(2) Is the subject of a pending criminal charge or charges; or
(3) Has failed to disclose a prior criminal conviction.
(d) If an individual submits a completed application for licensure after an occupational licensing board has determined pursuant to this section that the individual’s criminal conviction disqualifies him or her from obtaining a license, the occupational licensing board shall make a de novo determination as further provided in subsections (a) and (b).
(e) An occupational licensing board may charge a fee of not more than twenty dollars ($20) per request to reimburse the board for costs incurred in making a determination.
(f) An occupational licensing board may adopt rules to implement Section 41-9A-2 and this section.
(Act 2025-388, §2.)
(a) As used in this section, the term “design professional” means a person or entity who is licensed or authorized in this state to practice architecture, landscape architecture, surveying, engineering, interior design, or geology.
(b) A provision of a contract for the professional services of a design professional entered into after July 1, 2021, is void and unenforceable if it does any of the following:
(1) Requires the design professional to indemnify or hold harmless a contracting party, an indemnitee, or a third party against liability for damage other than liability for damage to the extent caused by, or in proportion to the extent the design professional participates in resolution of a claim based on, an act of negligence, recklessness, intentional tort, intellectual property infringement, or failure to pay a subconsultant or supplier that is committed by the design professional or the design professional’s agent, consultant under contract, or other entity for which the design professional is legally liable.
(2) Requires the design professional to defend a contracting party, an indemnitee, or a third party against a claim arising out of the rendering of or failure to render professional services by the design professional or its agents that is not otherwise covered by the design professional’s policy of professional liablity insurance.
(3) Requires the design professional to list a party or any other person or entity as an additional insured on the design professional’s policy of professional liability insurance.
(4) Subjects the design professional to a standard of care different than that provided under subsection (d).
(c) Nothing in this section voids a provision of a contract for the professional services of a design professional to the extent that it includes any or all of the following:
(1) A requirement that the design professional list an additional insured on the design professional’s general liability insurance policy, automobile liability insurance policy, or both, and provide coverage and any defense provided by those policies.
(2) A provision for the reimbursement of a contracting party’s or an indemnitee’s reasonable attorney fees, damages, losses, injuries, or other litigation costs in proportion to the design professional’s liability, or in proportion to the extent the design professional participates in resolution of a claim also made against the contracting party or indemnitee.
(3) A provision or requirement not otherwise in conflict with subsection (b).
(d)(1) A contract for the professional services of a design professional shall require the design professional to perform the services with the professional skill and care ordinarily provided by a competent design professional practicing under the same or similar circumstances and professional licenses as expeditiously as is prudent considering the ordinary professional skill and care of a competent design professional.
(2) If a standard of care provision in a contract differs from the skill and care required under subdivision (1), the standard of care provided in subdivision (1) shall apply.
(e)(1) Nothing in this section prohibits parties to a contract for professional services of a design professional from including and enforcing conditions that relate to the scope, fees, and schedule of a project that is subject to the contract, so long as the conditions are subject to the requirements of subsection (d).
(2) To the extent not otherwise prohibited by law, nothing in this section shall be interpreted to make a public awarding authority responsible for, or to authorize a design professional to include in a contract, any provision making the public awarding authority responsible for the design professional’s proportionate liability for negligence in rendering professional services or liability arising out of the design professional’s non-professional actions in connection with its performance for or on behalf of the public awarding authority.
(f) This section does not affect the validity of any existing insurance contract, workers’ compensation, or any agreement or coverage document issued by an insurer.
(g) Any provision of law to the contrary notwithstanding, this section may not be interpreted to alter or affect state joint and several liability law or workers’ compensation law.
(Act 2021-318, §1.)
Before entering into a verbal or written agreement to provide services, a design professional, as defined in Section 41-9A-3(a), who is not covered by professional liability insurance, shall disclose that fact in writing to the client. The disclosure shall be signed by the client and notarized before the design professional may perform any work for that client.
(Act 2023-477, §1.)
(a) As used in this section, the following terms have the following meanings:
(1) CREDENTIAL or CREDENTIALED. The grant or receipt of credentials by TWG.
(2) FICS. Federation Internationale de Chiropratigue du Sport, headquartered in Lausanne, Switzerland.
(3) ISF. International Sports Federation governing each sport for which there will be a competition, exhibition, or presentation during the World Games or a Test Event.
(4) IWGA. The International World Games Association, headquartered in Lausanne, Switzerland.
(5) NOC. The National Olympic or IWGA Committee or other organization responsible for the delegation of athletes, coaches, trainers, and other credentialed support staff and officials of a participating nation state in the World Games.
(6) TEST EVENTS. Preview events in certain fields the IWGA requires TWG to hold in Alabama during 2020, 2021, and 2022 in conjunction with the World Games.
(7) TWG. The TWG 2021 Birmingham Foundation.
(8) WORLD GAMES. The World Games 2022 under the authority of the IWGA, to be held in Birmingham, Alabama in July 2022.
(9) WORLD GAMES FAMILY. Any credentialed athletes, coaches, trainers, or other credentialed support staff and officials of the IWGA, NOC, IWGA-affiliated entities, and ISF or their designated IWGA confederations, including judges and juries for the games.
(b) Nothing in Title 34, shall be construed to require licensure, registration, or certification of individuals who are nonresidents of this state, who hold a current and valid professional license, certificate, registration, or other authorization to practice any profession regulated under Title 34 from any state or country, and who are credentialed by TWG for involvement in events to specific, time-limited services to athletes and other members of the World Games family in connection with the World Games or Test Events.
(c) Whenever the services authorized under subsection (b) are health care services, the services shall only be provided to the World Games family at the sites designated by TWG. Individuals exempted from licensure by this section who provide health care services shall provide services only to members of the World Games family at the sites designated by TWG. Individuals exempted from licensure by this section who provide the health care services shall provide those services only to those members of the World Games family who are citizens or members of the delegation of that provider’s sponsoring country as credentialed by TWG, except that members of FICS credentialed by TWG to provide health care services shall be permitted to provide those services to any member of the World Games family.
(d) Nothing in this section shall be construed to authorize or grant hospital medical staff privileges at any hospital, ambulatory surgery center, outpatient care center, or other health care facility.
(e) Notwithstanding any other provision of law, each NOC and ISF may designate to TWG, which shall in turn appropriately credential an official delegate who may give consent to hospital, medical, and surgical care to a minor who is a team member for the respective NOC delegate’s team or a participant for the respective ISF delegate’s sport, and that consent shall not be subject to disaffirmance because of minority. The consent of the parent or parents of that minor shall not be necessary in order to authorize hospital, medical, or surgical care.
(f) This section is repealed on December 31, 2022.
(Act 2021-381, §1.)
(a) As used in this section, the following terms have the following meanings:
(1) CREDENTIAL or CREDENTIALED. The grant or receipt of credentials by the Birmingham Host Committee of the 2025 World Police and Fire Games.
(2) DEPARTMENT. A police, fire, or emergency response department or equivalent organization represented by a delegation of athletes, coaches, trainers, and other credentialed support staff and officials which is participating in the 2025 World Police and Fire Games.
(3) GAMES. The 2025 World Police and Fire Games to be held in Birmingham, Alabama.
(4) THE GAMES FAMILY. Any credentialed athletes, coaches, trainers, or other credentialed support staff and officials of the Birmingham Host Committee of the 2025 World Police and Fire Games, the California Police Athletic Federation, a department, or individuals with entities affiliated with the games, including judges and juries.
(5) WPFG. The Birmingham Host Committee of the 2025 World Police and Fire Games.
(b) Nothing in Title 34, shall be construed to require licensure, registration, or certification of individuals who are nonresidents of this state, who hold a current and valid professional license, certificate, registration, or other authorization to practice any profession regulated under Title 34 from any state or nation, and who are credentialed by WPFG to render care or to provide services to athletes or other members of the games family in connection with the games and its events.
(c) Whenever the services authorized under subsection (b) are health care services, the services shall only be provided to the games family at the sites designated by WPFG. Individuals exempted by subsection (b) who provide health care services shall provide services only to members of the games family at the sites designated by WPFG. Individuals exempted by subsection (b) who provide health care services shall provide those services only to those members of the games family who are also members of that individual’s sponsoring department as credentialed by WPFG.
(d) Nothing in this section shall be construed to authorize or grant individuals who are hospital medical staff privileges at any hospital, ambulatory surgery center, outpatient care center, or other health care facility located in the State of Alabama.
(e) Notwithstanding any other provision of law, each department may designate to WPFG, who shall in turn appropriately credential an official delegate who may give consent to hospital, medical, and surgical care to a minor who is a team member for that department’s team, and that consent shall not be subject to disaffirmance because of minority. The consent of the parent or parents of that minor shall not be necessary in order to authorize hospital, medical, or surgical care.
(f) This section is repealed on December 31, 2025.
(Act 2023-468, §1.)
(a) For the purposes of this section, an occupational licensing board includes all of the following:
(1) The Alabama Board of Electrical Contractors, operating pursuant to Chapter 36 of Title 34.
(2) The State Licensing Board for General Contractors, operating pursuant to Chapter 8 of Title 34.
(3) The Board of Heating, Air Conditioning, and Refrigeration Contractors, operating pursuant to Chapter 31 of Title 34.
(4) The Home Builders Licensure Board, operating pursuant to Chapter 14A of Title 34.
(5) The State of Alabama Plumbers and Gas Fitters Examining Board, operating pursuant to Chapter 37 of Title 34.
(b) If the designated qualifying representative, license holder, or certificate holder for an entity employing other licensees of the same occupational licensing board is no longer able to hold a valid license or certificate from that occupational licensing board, due to his or her death or mental or physical incapacity, and the holding of a valid license or certificate is necessary for the employing entity to continue operations, the applicable occupational licensing board shall issue a special hardship or temporary license or certificate waiver to the employing entity. The waiver shall allow the employing entity and the employed licensees and certificate holders to continue operations on a temporary basis.
(c) To request a waiver, a license or certificate holder employee of the employing entity shall submit to the applicable occupational licensing board, in writing, notice of the death or incapacity of the designated qualifying representative, license holder, or certificate holder, and any documentation required by the occupational licensing board, on forms provided by the occupational licensing board. A request for waiver shall be submitted to the occupational licensing board within 45 days after the designated qualifying representative, license holder, or certificate holder dies or becomes incapacitated. Any request for waiver submitted after that time may be denied after a show cause hearing by the occupational licensing board.
(d) A waiver shall be valid for no more than a maximum of 135 days after the date of death or incapacitation of the designated qualifying representative, license holder, or certificate holder.
(e) Each occupational licensing board may impose a waiver fee in an amount equal to one half of the total renewal fee for the license or certificate for which waiver is requested.
(f) Each occupational licensing board shall adopt rules as necessary to implement this section.
(Act 2021-486, §1.)
To the extent that such have not been heretofore exercised or discharged, all rights, powers, duties, and liabilities of the Alabama Building Authority created by Act No. 205 of the 1955 Legislature, page 501, Acts of 1951, approved August 3, 1955, are hereby continued in full force and effect until such have been fully exercised and discharged. At such time as all of the rights, powers, duties, and liabilities of the said Alabama Building Authority have been exercised or discharged, including specifically the payment or discharge of all bonds or other securities issued by such authority, the said authority shall perform the acts of dissolution prescribed by Section 18 of said act, and thereupon the said authority shall cease to exist.
To the extent that such have not been heretofore exercised or discharged, all rights, powers, duties, and liabilities of the Alabama Building Finance Authority created by Act No. 658 of the 1961 Legislature, page 807, Acts of 1961, approved September 6, 1961, are hereby continued in full force and effect until such have been fully exercised and discharged. At such time as all of the rights, powers, duties, and liabilities of the said Alabama Building Finance Authority have been exercised or discharged, including specifically the payment or discharge of all bonds or other securities issued by such authority, the said authority shall perform the acts of dissolution prescribed by Section 25 of said act, and thereupon the said authority shall cease to exist.
To the extent that such have not been heretofore exercised or discharged, all rights, powers, duties, and liabilities of the Alabama Building Corporation created by Act No. 477 of the 1951 Legislature, page 845, Acts of 1951, approved August 17, 1951, are hereby continued in full force and effect until such have been fully exercised and discharged. At such time as all of the rights, powers, duties, and liabilities of the said Alabama Building Corporation have been exercised or discharged, including specifically the payment or discharge of all bonds or other securities issued by such corporation, the said corporation shall perform the acts of dissolution prescribed by Section 18 of said act, and thereupon the said corporation shall cease to exist.
When used in this article, the following terms shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) AUTHORITY. The public corporation organized pursuant to the provisions of this article.
(2) BOARD OF DIRECTORS. The board of directors of the authority.
(3) BONDS. The bonds issued under the provisions of this article.
(4) GRANTEE. A county, municipality or local industrial development board organized as a public corporation in this state, or an airport authority organized as a public corporation in this state pursuant to Chapter 3 of Title 4, or whether created by general, special, or local laws, or general acts of local application, if such authority governs an airport operated by a county and at least one municipality therein jointly, to which a grant of money is made as provided in Section 41-10-26.
(5) INDUSTRIAL SITES. Land owned by a grantee or potential grantee on which industrial facilities have been or will be constructed for sale or lease to an individual, private association or private corporation.
(6) NOMINAL TRANSFEREE. Any person to whom a grantee transfers one or more industrial sites or any part of any thereof for less than fair market value and any person who derives title to such industrial sites or any part of any thereof through such a transferee.
(7) PERSON. Unless limited to a natural person by the context in which it is used, such term includes a private firm, a private association, a public or private corporation, a municipality, a county or an agency, department, or instrumentality of the state or of a county or municipality.
(8) PREPARATION OF INDUSTRIAL SITES. The grading and draining of industrial sites and the means of access thereto.
(9) STATE. The State of Alabama.
(Acts 1965, No. 662, p. 1187, §2; Acts 1980, No. 80-437, p. 662, §1; Acts 1981, No. 81-289, p. 370, §1.)
The Legislature hereby makes the following findings of fact and declares its intent to be as follows: In recent years changes have taken place in the economy of this state which have had a far-reaching effect on the welfare of its citizens. The agrarian economy which once prevailed in this state and provided the principal means of livelihood for most of the citizens of the state has proven inadequate to provide employment for the state’s growing population. The advent of mechanized and scientific farming methods has reduced greatly the number of persons required to obtain increased yields of agricultural products from land under cultivation. There has been a correspondingly greater dependence upon industrial development as the bulwark of the economy of this state. It is appropriate and necessary that measures be taken to secure to the citizens of this state the benefits of a strengthened economy resulting from increased industrial development. Among these benefits are diversification of available job opportunities, higher salaries, better working conditions, lower consumer prices for industrial products, conservation and efficient use of natural resources, and maximum utilization of technical skills possessed by the citizens of this state. The police power of the state casts upon the Legislature the peculiar function of ascertaining and determining when the welfare of the people needs its exercise. The public interest lies in the promotion of industry, and the welfare of the people is so inextricably tied up with industry and industrial development as to make its well-being a matter of governmental concern.
It is the intention of the Legislature by the passage of this article to exercise its police power to authorize the formation of an independent public corporation which shall have as its general purpose the promotion of industrial development in this state and which shall have power to issue bonds payable solely from the proceeds of a special state tax set aside by this article for the purpose of retiring the said bonds. It is the further intention of the Legislature that the public corporation authorized by this article shall have discretion as to the manner of expending funds at its disposal for the purpose of promoting industrial development in this state, subject to the limitations more particularly detailed in this article.
This article shall be liberally construed in accordance with the foregoing findings of fact and declaration of intent.
(Acts 1965, No. 662, p. 1187, §1.)
The Secretary of the Alabama Department of Commerce, the Commissioner of Revenue, and the Director of Finance may become a public corporation with the powers provided for in this article by proceeding according to the provisions of Section 41-10-23.
(Acts 1965, No. 662, p. 1187, §3; Acts 1965, 3rd Ex. Sess., No. 2, p. 208, §1; Act 2011-690, p. 2112, §1.)
(a) To become the public corporation authorized by this article, the Secretary of the Alabama Department of Commerce, the Commissioner of Revenue, and the Director of Finance shall present to the Secretary of State of Alabama an application signed by them which shall set forth:
(1) The name, official designation, and official residence of each of the applicants, together with a certified copy of the commission evidencing each applicant’s right to office;
(2) The date on which each applicant was inducted into office and the term of office of each applicant;
(3) The name of the proposed public corporation, which shall be the State Industrial Development Authority; and
(4) The location of the principal office of the proposed corporation. The applicants may also include in the said application any other matters which are not inconsistent with this article or with any of the other laws of the state.
(b) The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of this state to take acknowledgments to deeds.
(c) The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, he or she shall receive and file it and record it in an appropriate book of records in his office.
(Acts 1965, No. 662, p. 1187, §4; Acts 1965, 3rd Ex. Sess., No. 2, p. 208, §2.)
(a) When the application has been made, filed and recorded as provided in this article, the applicants shall constitute a corporation under the name proposed in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application.
(b) There shall be no fees paid to the Secretary of State for any service rendered or work performed in connection with the authority, its incorporation, dissolution, or records.
(Acts 1965, No. 662, p. 1187, §5.)
(a) The applicants named in the application and their respective successors in office, the Governor, or his or her designee, an additional person to be designated by the Governor who shall serve at the pleasure of the Governor, the President Pro Tempore of the Senate, or his or her designee, and the Speaker of the House of Representatives, or his or her designee, shall constitute the members of the authority. The Secretary of the Department of Commerce shall be the president of the authority, the Commissioner of Revenue shall be the vice-president thereof, and the Director of Finance shall be the secretary thereof. The State Treasurer shall be treasurer of the authority, shall act as custodian of its funds and shall pay the principal of and interest on the bonds of the authority out of the funds provided for in this article. The members of the authority shall constitute all the members of the board of directors of the authority, and any five members of the board of directors shall constitute a quorum for the transaction of business. Should any person holding any state office named in this section cease to hold such office by reason of death, resignation, expiration of his or her term of office, or for any other reason, then his or her successor in office shall take his place as an officer, if applicable, and member of the board of directors of the authority. No officer or member of the board of directors of the authority shall draw any salary in addition to that now authorized by law for any service he or she may render or for any duty he or she may perform in connection with the authority.
(b) All proceedings had and done by the board of directors shall be reduced to writing by the secretary of the authority, shall be signed by at least five members of the authority present at the proceedings and shall be recorded in a substantially bound book and filed in the office of the Secretary of State. Copies of such proceedings, when certified by the secretary of the authority under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1965, No. 662, p. 1187, §6; Acts 1965, 3rd Ex. Sess., No. 2, p. 208, §3; Act 2011-690, p. 2112, §1; Act 2012-512, p. 1528, §1.)
The authority shall have the following powers:
(1) To have succession by its corporate name until dissolved as provided in this article;
(2) To institute and defend legal proceedings in any court of competent jurisdiction and proper venue; provided, that the authority may not be sued in any trial court other than the courts of the county in which is located the principal office of the authority; provided further, that the officers, directors, agents, and employees of the authority may not be sued for actions in behalf of the authority in any trial court other than the courts of the county in which is located the principal office of the authority;
(3) To have and to use a corporate seal and to alter the seal at pleasure;
(4) To establish a fiscal year;
(5) To anticipate by the issuance of its bonds the receipt of the revenues appropriated and pledged in this article;
(6) To pledge the proceeds of the appropriations and pledges provided for in this article as security for the payment of the principal of and interest on its bonds;
(7) To make surveys to determine suitable locations in the state for prospective industries;
(8) To make surveys to determine the availability of labor in various parts of the state and to classify such labor in terms of skills and educational levels;
(9) To assist counties, municipalities, local industrial development boards organized as public corporations in the state, or airport authorities organized as public corporations in this state pursuant to Chapter 3 of Title 4, or whether created by general, special or local law, or general acts of local application, if such authority governs an airport operated by a county and at least one municipality therein jointly, in the survey and analysis of their industrial resources and needs;
(10) To make grants of money to counties, municipalities, and local industrial development boards organized as public corporations in the state, or airport authorities organized as public corporations in this state pursuant to Chapter 3 of Title 4, or whether created by general, special or local law, or general acts of local application if such authority governs an airport operated by a county and at least one municipality therein jointly, for the purposes and subject to the terms and conditions set forth in Section 41-10-27; and
(11) To appoint and employ such attorneys and agents as the authority may require for the carrying out of its corporate purposes and the exercise of the foregoing powers.
(Acts 1965, No. 662, p. 1187, §7; Acts 1980, No. 80-437, p. 662, §2; Acts 1981, No. 81-289, p. 370, §2.)
Any industrial development authority organized and incorporated under the provisions of Chapter 10 of Title 41, which owns and utilizes property that has airport facilities is hereby authorized and empowered to exercise those powers granted to airport authorities under Section 4-3-11.
(Acts 1988, No. 88-337, p. 514.)
(a) The authority is hereby authorized from time to time to sell and issue its bonds, not exceeding $2,600,000.00 in aggregate principal amount, for the purpose of making the grants of money authorized in Section 41-10-26. The grantees may use the grants authorized in that section for any of the following purposes:
(1) The making of surveys to determine the location of suitable industrial sites in the locality of the grantee.
(2) The making of surveys to determine the availability of labor in the locality of the grantee and to classify such labor in terms of skills and educational level.
(3) The preparation of industrial sites.
(4) Any combination of any of the foregoing which the grantees consider appropriate and necessary for the promotion of industrial development in their respective localities.
(b) Every grant of money made by the authority pursuant to Section 41-10-26 shall be made subject to the following terms and conditions, which are hereby declared to be legally enforceable in any court of competent jurisdiction:
(1) No part of any such grant or grants shall be used with respect to the preparation of industrial sites in excess of one and one-half percent of the amount that it is anticipated will be spent for the construction and equipment of the facilities that will occupy the industrial sites as such anticipated amount shall be certified to the authority by the architect or engineer for the facilities to be constructed and equipped or by the chief executive officer of the grantee.
(2) The authority shall have power to audit the disbursements by the grantee from such grant or grants.
(3) Any other appropriate terms and conditions to facilitate the enforcement of the foregoing provisions of this subsection.
(Acts 1965, No. 662, p. 1187, §8; Act 2011-215, p. 401, §1.)
Notwithstanding any other provision of law to the contrary, a corporation in Standard Industrial Code Classification 3275 shall qualify to receive in site preparation grant money the sum of one million dollars ($1,000,000) for a site that is raw or completely undeveloped if the corporation is making a one hundred million dollar ($100,000,000) or more capital investment and is employing 400 or more employees either directly or indirectly.
(Acts 1997, No. 97-466, p. 819, §1.)
Beginning in the fiscal year ending September 30, 2024, the Legislature shall annually appropriate an amount up to $2,000,000 from the Capital Improvement Trust Fund to the State Industrial Development Authority for the purpose of paying industrial development site grants, site assessment grants, or site development grants . The bond commission established by Section 210.04 of the Constitution of Alabama of 2022, shall consult with the State Industrial Development Authority and recommend to the Legislature the actual amount of the annual appropriation.
(Act 2006-417, p. 1033, §2; Act 2007-300, p. 546, §2; Act 2023-35, §2.)
The bonds of the authority shall be signed by its president and attested by its secretary, and the seal of the authority shall be affixed thereto, and any interest coupons applicable to such bonds shall be signed by the president; provided, that a facsimile of the signature of one, but not both, of said officers may be printed or otherwise reproduced on any such bonds in lieu of being manually subscribed thereon, a facsimile of the seal of the authority may be printed or otherwise reproduced on any such bonds in lieu of being manually affixed thereto, and a facsimile of the president’s signature may be printed or otherwise reproduced on any such interest coupons in lieu of being manually subscribed thereon.
Any bonds of the authority may be executed and delivered by it at any time and from time to time and shall be in such form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, not exceeding five percent per annum, shall be payable at such times and evidenced in such manner and may contain such other provisions not inconsistent with this article as may be provided by the resolution of the board of directors of the authority under which such bonds are authorized to be issued; provided, that no bond of the authority shall have a specified maturity date later than 20 years after its date. Any bond of the authority may be made subject to redemption at the option of the authority at such times and after such notice and on such conditions and at such redemption price or prices as may be provided in the resolution under which it is authorized to be issued; provided, that those bonds of the authority having specified maturity dates more than 10 years after their date shall be made subject to redemption at the option of the authority not later than the end of the tenth year after their date and on any interest payment date thereafter, under such terms and conditions and at such redemption price or prices as may be provided in the resolution under which such bonds are authorized to be issued.
Bonds of the authority may be sold from time to time as the board of directors of the authority may consider advantageous, but bonds of the authority must be sold only at public sale, either on sealed bids or at public auction, to the bidder whose bid reflects the lowest net interest cost to the authority for the bonds being sold, computed from their date to their respective maturities; provided, that if no bid acceptable to the authority is received, it may reject all bids. Notice of each such sale shall be given by publication in either a financial journal or a financial newspaper published in the City of New York, New York, and also by publication in a daily newspaper published in the State of Alabama not less than five days during each calendar week, each of which notices must be published at least one time not less than 10 days before the date fixed for the sale. The board of directors of the authority may fix the terms and conditions under which such sale may be held; provided, that none of the bonds may be sold for a price less than the face value thereof; provided further, that such terms and conditions shall not conflict with any of the requirements of this article.
Subject to the provisions and limitations contained in this article, the authority may from time to time sell and issue refunding bonds for the purpose of refunding any matured or unmatured bonds of the authority then outstanding. Such refunding bonds shall be subrogated and entitled to all priorities, rights and pledges to which the bonds refunded thereby were entitled.
Approval by the president of the authority of the terms and conditions under which any bonds of the authority may be issued shall be requisite to their validity. Such approval shall be entered on the minutes of the meetings of the board of directors at which the bonds are authorized and shall be signed by the president of the authority.
The authority may pay out of the proceeds of the sale of its bonds attorneys’ fees and the expenses of issuance which the said board of directors may deem necessary and advantageous in connection with the issuance of such bonds. No fiscal agents’ fees shall be paid in connection with the issuance or sale of any bonds.
Bonds issued by the authority shall not be general obligations of the authority but shall be payable solely out of the funds appropriated and pledged therefor in Section 41-10-30.
As security for the payment of the principal of and interest on the bonds issued by it, the authority is hereby authorized and empowered to pledge for payment of such principal and interest the funds that are appropriated and pledged in Section 41-10-30 for payment of such principal and interest. All such pledges made by the authority shall take precedence in the order of the adoption of the resolutions containing such pledges; provided, that each pledge for the benefit of refunding bonds shall have the same priority as the pledge for the benefit of the bonds refunded thereby.
All contracts made and all bonds issued by the authority pursuant to the provisions of this article shall be solely and exclusively obligations of the authority and shall not constitute or create an obligation or debt of the State of Alabama.
Bonds issued by the authority shall be construed to be negotiable instruments, although payable solely from a specified source as provided in this article.
All bonds issued by the authority and the income therefrom shall be exempt from all taxation in the state.
Any bonds issued by the authority may be used by the holder thereof as security for any funds belonging to the state or to any political subdivision, instrumentality or agency of the state in any instance where security for such deposits may be required by law.
Unless otherwise directed by the court having jurisdiction thereof or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in bonds of the authority.
Neither a public hearing nor consent of the state Department of Finance or any other department or agency shall be a prerequisite to the issuance of bonds by the authority. The bonds issued under the provisions of this article shall be legal investments for funds of the Teachers’ Retirement System of Alabama, the Employees’ Retirement System of Alabama, and the State Insurance Fund.
(Acts 1965, No. 662, p. 1187, §9.)
The proceeds of all bonds, other than refunding bonds, issued by the authority remaining after paying expenses of their issuance shall be deposited in the State Treasury and shall be carried in the State Treasury in a special or separate account. Such funds shall be subject to be drawn upon by the authority with the approval of the president of the authority, but any funds so withdrawn shall be used solely for the purposes for which the bonds were issued as authorized in this article.
The State Treasurer, with the approval of the president of the authority, shall invest funds not needed immediately or within the ensuing 30 days for any purpose for which they are held, which investments shall be made in the manner authorized and provided for in Section 36-17-18.
The proceeds from the sale of any refunding bonds issued under this article remaining after paying the expenses of their issuance shall be used only for the purpose of refunding the principal of outstanding bonds of the authority and of paying any premium that may be necessary to be paid in order to redeem or retire the bonds to be refunded.
(Acts 1965, No. 662, p. 1187, §10.)
For the purpose of providing funds to enable the authority to pay, at their respective maturities, the principal of and interest on any bonds issued by it under the provisions of this article and to accomplish the objects of this article, there is hereby irrevocably pledged to such purpose and there is hereby appropriated so much as may be necessary for such purpose of the receipts from the tax levied by Sections 40-25-2 and 40-25-41 and distributed in accordance with subparagraph (1) b. 1. i. of Section 40-25-23. All moneys hereby appropriated and pledged shall constitute a sinking fund for the purpose of paying the principal of and the interest on the bonds authorized by this article.
(Acts 1965, No. 662, p. 1187, §11.)
Out of the revenues appropriated and pledged in Section 41-10-30, the State Treasurer is hereby authorized and directed to pay the principal of and interest on the bonds issued by the authority under the provisions of this article, as said principal and interest shall respectively mature, and the State Treasurer is further authorized and directed to set up and maintain appropriate records pertaining thereto.
(Acts 1965, No. 662, p. 1187, §12.)
At any time when no bonds of the authority are outstanding, the authority may be dissolved upon the filing with the Secretary of State of an application for dissolution, which shall be subscribed by each of the members of the authority and sworn to by each such member before an officer authorized to take acknowledgments to deeds. Upon the filing of such application for dissolution, the authority shall cease to exist. The Secretary of State shall file and record the application for dissolution in an appropriate book of record in his office and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved and shall record such certificate with the application for dissolution.
Title to all property held in the name of the authority shall be vested in the state upon dissolution of the authority.
(Acts 1965, No. 662, p. 1187, §13.)
The Internal Revenue Code of 1986, as amended, imposes a “state ceiling” upon the aggregate principal amount of “private activity bonds” which may be issued in any calendar year by or on behalf of a state and its political subdivisions and instrumentalities, and establishes a method of allocating the available state ceiling within each state. Authority is granted by the Internal Revenue Code, however, to the states to provide for a different formula for allocation of the state ceiling. The Legislature has found and determined that the allocation method contained in the Internal Revenue Code is ill-suited for the needs of the State of Alabama and that the provisions of this division will result in a more equitable and efficient distribution of the state ceiling available to the state and will therefore promote the economic and industrial development of the state. It is the intent of the Legislature by the passage of this division to establish a method of allocation of the available state ceiling in the state and to delegate to the State Industrial Development Authority substantial responsibility for the administration of the bond allocation plan established by this division.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §1.)
Unless the context requires otherwise, the terms defined in this section shall have the following meanings for purposes of this division:
(1) AFFECTED BOND. Any obligation or portion thereof which is required under the terms of the code to receive an allocation of the state ceiling as a condition for the exclusion of interest on such obligation from the gross income of the recipient thereof for federal income tax purposes.
(2) ALLOCATION. An allocation of a portion of the state ceiling issued by the authority pursuant to the provisions of this division.
(3) APPLICATION. An application for an allocation, submitted by an issuer under the provisions of this division.
(4) APPLICATION FOR CARRYFORWARD ALLOCATION. Any application filed with the authority seeking an elective carryforward of unused limitation for a “carryforward purpose” as defined in Section 146(f)(5) of the code.
(5) AUTHORITY. The State Industrial Development Authority, a public corporation of the state, organized and existing under Act No. 662, enacted at the 1965 Regular Session of the Legislature of Alabama.
(6) CARRYFORWARD ALLOCATION. An elective carryforward of state ceiling for a “carryforward purpose” which may be granted by the authority under the provisions of Section 41-10-39 and Section 146(f) of the code.
(7) CODE. The Internal Revenue Code of 1986, as amended, including any successor provision to any code section or subsection referred to herein.
(8) EXEMPT FACILITY BOND. Any obligation described as such in Section 142(a) of the code, other than bonds, the proceeds of which are to be used to provide airports or docks and wharves within the meaning of Sections 142(a)(1) and 142(a)(2), respectively, and includes any obligation issued to finance air and water pollution control facilities under the provisions of Section 103(b)(4)(F) of the Internal Revenue Code of 1954, as amended, to the extent permitted under any transitional or effective date provision of the code.
(9) ISSUER. The state, any agency or instrumentality of the state and any county, municipality, or public corporation authorized by or pursuant to the constitution or laws of the state to issue affected bonds.
(10) LOCAL ISSUER. Any issuer which is a county, municipality, or public corporation organized by or pursuant to approval by a county or municipality (or pursuant to approval by two or more counties or municipalities or both) and which is authorized by or pursuant to the constitution or laws of the state to issue affected bonds.
(11) MANUFACTURING FACILITY. Any facility which is used in the manufacturing or production of tangible personal property (including processing resulting in a change in the condition of such property), and includes any facility devoted to an activity described in Standard Industrial Classification (SIC) Code Major Groups 20 through 39, or to agricultural activities, and further includes office facilities related to the foregoing so long as such office facilities are located on the premises of the manufacturing facility to which they are related.
(12) PRIVATE ACTIVITY BOND has the same meaning as that specified for such term in Section 141(a) of the code.
(13) QUALIFIED MORTGAGE BOND has the same meaning as that specified for such term in Section 143(a)(1)(A) of the code.
(14) QUALIFIED REDEVELOPMENT BOND has the same meaning as that specified for such term in Section 144(c) of the code.
(15) QUALIFIED RESIDENTIAL RENTAL PROJECT has the same meaning as that specified for such term in Section 142(d) of the code.
(16) QUALIFIED SMALL ISSUE BOND has the same meaning as that specified for such term in Section 144(a) of the code.
(17) QUALIFIED STUDENT LOAN BOND has the same meaning as that specified for such term in Section 144(b) of the code.
(18) REMAINING STATE CEILING. The total state ceiling for calendar year 1988, less the amount thereof which, as of September 27, 1988, has been allocated by the Governor of the state pursuant to the provisions of Executive Order No. 22 of the Governor, and less the amount thereof which, as of September 27, 1988, has been allocated to, or otherwise used by, local issuers for the issuance of affected bonds issued prior to September 27, 1988. The amount of the remaining state ceiling shall be determined by the authority pursuant to Section 41-10-38(b)(2).
(19) STATE. The State of Alabama.
(20) STATE CEILING. The maximum principal amount of affected bonds permitted to be issued in the state during a calendar year under the provisions of Section 146 of the code. Under the provisions of the code in effect on September 27, 1988, based upon the most recent estimate of the population of the state made by the Bureau of Census, the state ceiling for calendar year 1988 is $201,050,000. In the event that the provisions of Section 146 of the code are amended subsequent to September 27, 1988, or upon the publication by the Bureau of Census of revised estimates of the population of the state from time to time, the amount of the state ceiling available for allocation hereunder shall be revised in accordance with the provisions of Section 146 of the code.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §2.)
Allocations of the state ceiling shall be granted by the authority in response to applications filed with the authority by any issuer in the following manner:
(1) Each application shall be made by an instrument in writing signed by an officer or agent of the issuer and shall contain (i) the names and addresses of the issuer, the proposed lessee, purchaser, or user of the project to be financed (if applicable), and bond counsel, (ii) the maximum principal amount of affected bonds proposed to be issued, (iii) a brief description of the project to be financed, and (iv) a brief description of the affected bonds proposed to be issued, identifying such bonds as “Exempt Facility Bonds,” “Qualified Mortgage Bonds”, “Qualified Small Issue Bonds” (and if “Qualified Small Issue Bonds,” further indicating whether the project to be financed constitutes a “Manufacturing Facility”), “Qualified Student Loan Bonds,” or “Qualified Redevelopment Bonds.” In addition, a copy of any notification required by law to be filed with the Alabama Securities Commission in connection with the issuance of the bonds which are the subject of the application shall also be filed with the authority together with the application. All applications shall be mailed or otherwise delivered to the authority at such address and in such manner as may be specified by the authority.
(2) Each application and each request for an extension of an allocation shall be accompanied by an administrative fee in such amount as may be determined by the authority.
(3) All applications shall be processed and all allocations shall be made by the authority in accordance with the provisions of Section 41-10-38.
(4) Each allocation of state ceiling granted by the authority prior to December 1 of any calendar year shall expire upon the earlier of (i) 60 calendar days following the date of allocation, or (ii) midnight on November 30 of the calendar year in which the allocation is made, unless a notification confirming issuance of the bonds has been received by the authority as described in subdivision (5) below, subject to extension for such period as may be permitted at the discretion of the authority for good cause shown. Any application which has expired may be renewed by resubmission of a new application. Any allocation granted by the authority on or after December 1 of any year shall expire at such time as may be designated by the authority in such allocation. The foregoing provisions of this subdivision (4) shall not apply to carryforward allocation, which shall be effective for the period provided in Section 146(f)(3) of the code.
(5) Every allocation shall be subject to the condition subsequent that a notification confirming the issuance of bonds pursuant to such allocation must be received in the office of the president of the authority within such period of time following the date of issuance of the bonds as may be provided by the authority. The confirmation required hereby may be executed by any officer, representative, or agent of the issuer, by hand delivery, or by regular, certified or registered mail, and shall be effective upon receipt at the office of the president of the authority. Failure to provide a confirmation within the specified period shall authorize the authority to revoke the allocation for which the confirmation is required; provided, however, that the authority shall waive any such revocation upon a reasonable and timely showing of good cause for such failure or undue hardship that would be caused by the said revocation, and any such revocation shall be subject to review by a court of competent jurisdiction.
(6) On December 1 of each calendar year, any portion of the state ceiling previously allocated by the authority, for which a confirmation of issuance has not been received by the authority as required by subdivision (5) above shall revert to the authority, to be allocated along with any other portion of the state ceiling then available, to issuers of affected bonds at the discretion of the authority, subject to the duty of fairness and impartiality in the granting of allocations set forth in Section 41-10-40. Applications for allocations to be made during the month of December shall be submitted to the authority in the manner required in subdivisions (1) and (2) above.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §3.)
(a) The state ceiling for calendar year 1989 and thereafter is hereby allocated in its entirety to the state, and no other governmental unit, issuer, or other entity of any type shall have or utilize any portion of the state ceiling for such year except in accordance with this division. The state ceiling for calendar year 1989 and thereafter shall be redistributed by the authority to issuers of affected bonds in the chronological order of receipt of completed applications, subject to the limitations, reservations and further provisions of this subsection.
(1) There is hereby reserved for Alabama Housing Finance Authority 25 percent of the state ceiling for each calendar year, to be used for the issuance of exempt facility bonds for qualified residential rental projects and for the issuance of qualified mortgage bonds, in such relative principal amounts as shall be determined by the Board of Directors of Alabama Housing Finance Authority. The reservation of state ceiling hereby granted to Alabama Housing Finance Authority shall extend until December 24 of each calendar year. Any portion thereof which shall be voluntarily released by Alabama Housing Finance Authority in favor of the authority or which shall remain unused as of 5:00 P.M., Central Standard Time, on December 24, shall revert to the authority and shall be available for reallocation under subdivision (a)(5) below. If, during any calendar year, the provisions of the code as then in effect shall not provide an exclusion from gross income for interest on bonds or other obligations issued by Alabama Housing Finance Authority, the reservation contained in this subdivision (a)(1) shall revert to the authority and shall be subject to allocation by the authority under subdivision (5) below.
(2) There is hereby reserved for Alabama Higher Education Loan Corporation 10 percent of the state ceiling for each calendar year, to be used for the issuance of qualified student loan bonds. The reservation of state ceiling hereby granted to Alabama Higher Education Loan Corporation shall extend until December 24 of each calendar year. Any portion thereof which shall be voluntarily released by Alabama Higher Education Loan Corporation in favor of the authority or which shall remain unused as of 5:00 P.M., Central Standard Time, on December 24 shall revert to the authority and shall be available for reallocation under subdivision (a)(5) below. If, during any calendar year, the provisions of the code as then in effect shall not provide an exclusion from gross income for interest on bonds or other obligations issued by Alabama Higher Education Loan Corporation, the reservation contained in this subdivision (a)(2) shall revert to the authority and shall be subject to allocation by the authority under subdivision (5) below.
(3) Subject to the provisions of subdivision (a)(6) below, 35 percent of the state ceiling for each calendar year is hereby reserved for issuers of qualified small issue bonds which are issued to finance manufacturing facilities.
(4) Subject to the provisions of subdivision (a)(6) below, 15 percent of the state ceiling for each calendar year is hereby reserved for issuers of exempt facility bonds.
(5) Subject to the duty of fairness and impartiality set forth in Section 41-10-40, the remaining 15 percent of the state ceiling for each calendar year not provided for in subdivisions (1), (2), (3), and (4) above, together with any amounts which shall revert to the authority under Section 41-10-37(6) or subdivisions (1) and (2) above, is hereby reserved for the authority, to be allocated to issuers of affected bonds in the discretion of the authority.
(6) Subject to the duty of fairness and impartiality set forth in Section 41-10-40, should the authority determine that inefficient use has been or is being made of the reservations contained in subdivisions (2), (3), and (4) above, or should the authority determine for any other reason that such reservations are inappropriate, the authority may, from time to time, reallocate all or any part of such reservations in accordance with subdivision (5) above.
(b) The Legislature has found and determined that the method for allocating the state ceiling contained in Section 146 of the code, as applicable to the state immediately prior to September 27, 1988, including particularly the provisions therein requiring that one-half of the state ceiling be distributed among local issuers on the basis of population, does not permit the full utilization of the state ceiling. In many instances, the amount of state ceiling available to local issuers under the provisions of the code are inadequate to permit the issuance of affected bonds in the principal amounts needed. In order to promote the complete and efficient utilization of the state ceiling available for use in calendar year 1988 as of September 27, 1988, the following provisions shall be applicable to affected bonds issued on or after September 27, 1988:
(1) The remaining state ceiling for calendar year 1988 is hereby allocated in its entirety to the state, and from and after September 27, 1988, no other governmental unit, issuer, or other entity of any type shall have or utilize any portion of the remaining state ceiling for such year except in accordance with this division. The remaining state ceiling shall be allocated during calendar year 1988, in the discretion of the authority, to issuers of affected bonds upon receipt of completed applications subject to the further provisions of this subsection (b).
(2) The authority shall take all necessary and appropriate steps to determine the amount of the remaining state ceiling as soon as practicable after the passage of this division. In order to assist the authority in such determination, each county, municipality and other local issuer in the state shall be required to report to the authority such information as the authority may request with respect to the principal amount of affected bonds issued by such entities during calendar year 1988 and prior to September 27, 1988. The authority shall also review the records of the Alabama Securities Commission maintained under Article 5 of Chapter 6 of Title 8 as a further means of determining the amount of state ceiling heretofore used by local issuers in calendar year 1988 otherwise than pursuant to the provisions of Executive Order No. 22.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §4.)
Applications for carryforward allocations may be submitted to the authority on or after December 1 of each calendar year. The authority shall grant such carryforward allocations in its sole discretion, giving due regard to the likelihood of the use of the remaining state ceiling prior to December 31 of such year, and shall use its best efforts to assure that any remaining and unallocated state ceiling is used to satisfy applications for carryforward allocations.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §5.)
Anything contained in this division to the contrary notwithstanding, the authority shall have a duty to administer the state ceiling allocation program created in this division fairly and impartially. In making any decision entrusted to its discretion, including particularly the granting of allocations or the reallocation of portions of the state ceiling among categories of affected bonds, or the revocation or waiver of revocation of an allocation, the authority shall give paramount importance to the fair, impartial, and efficient discharge of its powers. Actions of the authority shall be subject to review by a court of competent jurisdiction to assure adherence to such standards of fairness and impartiality, which court may grant such legal and equitable remedies as it may deem necessary in order to assure such adherence; provided, however, that no member or director of the authority shall have any personal liability for the actions of the authority in connection with the allocation program.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §6.)
The authority may do all other things necessary or desirable to carry out the purpose of this division, including the establishment of fees to be paid with each application. The authority is hereby empowered to adopt and promulgate such rules, policies, regulations, and forms as it may deem necessary or desirable to carry out the purposes of this division. The authority is hereby specifically authorized to adopt such rules and regulations, including rules and regulations limiting the principal amount of allocations to be granted to local issuers, as it may determine to be necessary or desirable to promote the fair and efficient distribution of the state ceiling among local issuers. The authority shall have the power to employ attorneys, agents, or independent contractors to assist the authority in the administration of its duties hereunder.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §8.)
The president of the authority is hereby designated as the state official authorized to make certifications required by Section 149(e)(2)(F) of the code.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §9.)
All allocations of state ceiling applicable to the state made prior to September 27, 1988, pursuant to executive orders of the Governor of the state are hereby ratified and confirmed.
(Acts 1988, 1st Ex. Sess., No. 88-870, p. 382, §10.)
The Legislature has found and determined that the economic well-being of the citizens of the State of Alabama will be enhanced by the increased development and growth of industry within the state and that it is in the best interest of the state to induce the location or expansion of industrial and research facilities within the state in order to promote the public purpose of creating new jobs within the state. The Legislature further has found and determined that the inducements herein provided will encourage the creation of jobs which would not otherwise exist and will create new sources of tax revenues for the state and its political subdivisions. The Legislature hereby finds and declares that the powers to be granted to the authority by this article and the purposes to be accomplished hereby are proper governmental and public purposes and that the inducement of the location or expansion of industrial and research facilities within the state is of paramount importance. The Legislature intends that the powers herein granted to the authority shall be in addition to those which it already possesses.
This article shall be liberally construed in conformity with intentions of the Legislature expressed above.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
In addition to the definitions contained in Sections 41-10-20 and 41-10-36, the following terms shall have the following meanings, respectively, when used in this Article 2A unless the context clearly requires otherwise:
(1) APPROVED COMPANY. Any corporation, partnership, trust or other form of business entity approved by the authority pursuant to the provisions hereof.
(2) FINANCING AGREEMENT. Any loan, agreement, financing agreement, credit agreement, security agreement, mortgage, guaranty agreement or other type of agreement entered into by the authority and an approved company in connection with the financing of a project by the authority.
(3) INDUSTRIAL or RESEARCH ENTERPRISE. Any trade or business described in 1987 Standard Industrial Classification Major Group 07, Major Groups 20 through 39, inclusive, 50 and 51, Industrial Group Number 737, and Industry Numbers 8731, 8733 and 8734, as set forth in the Standard Industrial Classification Manual published by the United States Government Office of Management and Budget, and includes such trades and businesses as the same may be hereafter reclassified in any subsequent publication of the Standard Industrial Classification Manual.
(4) JOB DEVELOPMENT FEE. The amount permitted to be withheld by an approved company from the gross wages of the employees at a project pursuant to the provisions of this article.
(5) MAJOR PROJECT. Any project the capital cost of which is expected to equal or exceed $100,000,000.
(6) PROJECT. Any land, building or other improvement, and all real and personal properties deemed necessary or useful in connection therewith, whether or not now in existence, which shall be located in the state and shall be acquired, constructed, expanded or installed for use by an approved company as an industrial or research enterprise.
(7) PROJECT COSTS. All costs and expenses incurred by the authority or an approved company in connection with the acquisition, construction, installation and equipping of a project, including, without limitation, each of the following:
a. The costs of acquiring, constructing, installing and equipping a project, including all obligations incurred for labor and to contractors, subcontractors, builders, and materialmen.
b. The costs of acquiring land or rights in land and any cost incidental thereto, including recording fees.
c. The costs of contract bonds and of insurance of all kinds that may be required or necessary during the acquisition, construction, or installation of a project.
d. The costs of architectural and engineering services, including test borings, surveys, estimates, plans and specifications, preliminary investigations, environmental mitigation and supervision of construction, as well as for the performance of all the duties required by or consequent upon the acquisition, construction and installation of a project.
e. The costs associated with installation of fixtures and equipment; surveys, including archeological and environmental surveys; site tests and inspections; subsurface site work; excavation; removal of structures, roadways, cemeteries, and other surface obstructions; filling, grading, and provisions for drainage, storm water retention, installation of utilities, including water, sewer, sewage treatment, gas, electricity, communications, and similar facilities; off-site construction of utility extensions to the boundaries of the property; and paving.
f. Interest costs prior to and during the acquisition, construction, installation and equipment of the project and for a period of up to two years after completion of the project.
g. All costs, expenses and fees incurred in connection with the issuance of project obligations, including, without limitation, all legal, accounting, financial, printing, recording, filing, and other fees and expenses.
h. The costs for obtaining bond insurance, letters of credit or other forms of credit enhancement or liquidity facilities.
i. All other costs of a nature comparable to those described.
(8) PROJECT OBLIGATION. Any bond, note, debenture, certificate, or other form of indebtedness, including refunding bonds or obligations, issued by the authority pursuant to this Article 2A.
(9) TAX INCREMENT FUND. Any trust fund established pursuant to Section 41-10-44.8.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1; Acts 1995, No. 95-321, p. 683, §1.)
In addition to the powers granted to it in Section 41-10-26 and in Sections 41-10-37 through 41-10-43, the authority shall have the following powers:
(1) To adopt and alter bylaws for the regulation and conduct of its affairs and business;
(2) To borrow money and to issue project obligations, whether or not the interest thereon is excluded from gross income for federal income tax purposes, for the purpose of financing project costs, and to provide for the rights of the purchasers, holders, or owners of its project obligations;
(3) To execute and deliver mortgages, security agreements and trust indentures and other forms of agreements for the purpose of securing its project obligations, and in connection therewith, to mortgage, pledge or assign the revenues, receipts and other property of the authority received, and the financing agreements entered into by the authority in connection with, the financing of projects under this Article 2A;
(4) To purchase promissory notes, mortgages, security interests or participations in promissory notes evidencing loans executed to provide financing for projects and to enter into contracts and agreements in that regard;
(5) To make loans to any approved company for project costs, which loans may be evidenced or secured by loan agreements, promissory notes, mortgages, security agreements, assignments, letters of credit, guaranties, surety bonds, insurance policies, or such other instruments, or upon such terms and conditions as the board of directors shall determine to be reasonable. In entering into any financing agreement, the authority shall have the right and power to require the inclusion therein of such provisions or requirements for guaranties of obligations, insurance, construction, use, operation, maintenance, management, and financing of a project, and such other terms and conditions, as the authority may deem desirable and appropriate;
(6) To arrange for various forms of security or credit enhancement for its project obligations including letters of credit, guaranties, policies of insurance, surety bonds, and the like;
(7) To sell mortgages and security interests at public or private sale, to negotiate modifications or alterations in mortgage and security interests, to foreclose on any mortgage or security interest in default or commence any action to protect or enforce any right conferred upon it by any law, mortgage, security agreement, contract, or other agreement, and to bid for and purchase property which was the subject of such mortgage or security interest at any foreclosure or at any other sale, to acquire or take possession of any such property, and to exercise any and all rights as provided by law for the benefit or protection of the authority or the holders of project obligations;
(8) To collect such fees and charges in connection with its loans, project obligations, and financing agreements, including, but not limited to, reimbursement of costs of financing, as the authority shall determine to be reasonable;
(9) To make and execute contracts for the servicing of loans made by the authority and mortgages acquired by the authority and to pay the reasonable value of services rendered to the authority pursuant to such contracts;
(10) To accept gifts, grants, loans, appropriations, and other forms of aid from the federal government, the state or any state agency, or any political subdivision of the state, or any person or corporation, foundation, or legal entity, and to agree to and comply with any conditions attached to federal and state financial assistance not inconsistent with the provisions of this Article 2A;
(11) To invest moneys of the authority not required for immediate use, including proceeds from the sale of any project obligations, in such manner as the board of directors shall determine;
(12) To establish accounts in one or more depositories;
(13) To appoint, employ, contract with, and provide for the compensation of, such employees and agents, including engineers, attorneys, contractors, consultants, accountants, fiscal advisors, trustees, paying agents, investment bankers, and underwriters as the board of directors shall deem necessary or desirable for the conduct of the business of the authority; provided, however, that when hiring investment bankers and underwriters, the board of directors shall retain the firm(s) requested by an approved company unless there is a compelling reason to the contrary, and provided further that when hiring investment bankers, underwriters, or attorneys, they shall retain a firm(s) whose principal office is located in the state;
(14) To make, enter into and execute financing agreements and such other contracts, agreements or other instruments and to take such other actions as may be necessary or convenient to accomplish any purpose for which the authority was organized or to exercise any power granted to it;
(15) To establish one or more tax increment funds with respect to a project as provided in Section 41-10-44.8;
(16) To exercise any power granted by the laws of the state to public or private corporations which is not in conflict with the public purpose of this article; and
(17) To adopt and promulgate administrative regulations necessary or appropriate to effectuate its purposes and to administer the program authorized herein.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
The authority shall promulgate criteria for the determination and selection of approved companies and the approval of projects proposed by such companies. Such criteria shall give greatest weight to the creditworthiness of the project sponsors, the number, type, and quality of new jobs to be provided by the project to residents of the state, and the economic viability of the proposed project. The authority may include in its criteria requirements relating to the capital costs of, and projected employment to be produced by, projects eligible for financing under this article and requirements relating to the employment of previously unemployed or underemployed persons. The authority shall require as a condition for designation as an approved company either (i) that the average hourly wage for full-time hourly wage paid employees at the project be at least eight dollars ($8) per hour, or (ii) that the average total compensation (including benefits) for full-time paid employees at the project be at least equivalent to ten dollars ($10) per hour. Notwithstanding the foregoing, the State Industrial Development Authority may allow up to a 10 percent variance from the aforementioned wage requirements for employees when determining and selecting an approved company or project producing or processing agricultural products if the authority expects that the company or project will have a significant economic impact on the area in which it will be located. Provided however, such a variance may not be allowed if the effect of the action of the authority will result in a decrease in state employment. With respect to each applicant for financing under this article, and with respect to the project described in its application, the authority shall request such materials and make such inquiries as are necessary to determine whether the applicant and its proposed project satisfy the authority’s announced criteria and to conduct an adequate cost/benefit analysis with respect to the proposed project and the incentives proposed to be granted by the authority with respect thereto. After a diligent review of the relevant materials and completion of its inquiries and analysis, the authority may by resolution of its board of directors designate an applicant as an approved company and authorize the undertaking of its project.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1; Acts 1994, No. 94-370, p. 626, §1.)
The criteria promulgated by the authority for the selection of approved companies shall be subject to prior approval by the Legislative Council. The Legislative Council shall approve or disapprove the general criteria proposed by the authority within 30 days after the submission of said criteria to the Legislative Council. The authority shall report quarterly to the Legislative Council on each project approved pursuant to such criteria, the amount of the financing provided to each approved company, the projected value of the tax incentives granted to each approved company and any other specific information requested by the Legislative Council.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
(a) Issuance of project obligations. The authority is authorized and empowered to issue its project obligations from time to time for the purpose of financing one or more projects in such aggregate principal amount as the board of directors shall determine to be necessary to provide for all or a portion of the project costs of the project or projects being financed and to pay the expenses of issuing the project obligations.
(b) Source of payment. All project obligations issued by the authority shall be limited obligations of the authority payable solely from any combination of the following: (1) The revenues and receipts of the authority derived from the financing agreement or agreements entered into by the authority with respect to the project or projects financed by such project obligations; (2) the income or proceeds realized by the authority under any mortgage or other security granted to the authority; (3) amounts derived from any letter of credit, insurance policy, or other form of credit enhancement applicable to the project obligations or loans made from the proceeds thereof; (4) any reserve or other fund established for such purpose by the authority; (5) any earnings on the proceeds of project obligations invested by the authority pending their disbursement; and (6) any tax increment fund or funds established by the authority. Project obligations shall not be general obligations of the authority, shall not be payable from any portion of the tax receipts pledged and appropriated to the authority for payment of bonds issued under Article 2, and shall not create a debt or obligation of the state.
(c) Pledge of revenues, receipts, and other security. The principal of, premium, if any, and interest on any project obligations issued by the authority shall be secured by a pledge of the revenues, receipts, funds, and other property out of which the same may be payable and may be secured by a mortgage and deed of trust or trust indenture conveying as security for such project obligations all or any part of the property of the authority from which the revenues or receipts so pledged may be derived.
The resolution of the board of directors under which any project obligations are authorized to be issued and any such mortgage and deed of trust or trust indenture may contain any agreements and provisions respecting the collection and disposition of the revenues and receipts subject to such mortgage and deed of trust or trust indenture, the creation and maintenance of special funds from such revenues and receipts, the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit of whom such instrument is made and the rights and remedies available in the event of default, all as the board of directors shall deem advisable. Any pledge made with respect to project obligations shall be valid and binding from the time such pledge is made; the revenues, receipts, funds, and other property so pledged shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act; and the lien of such pledge shall be valid and binding as against all parties having claims of any kind against the authority irrespective of whether such parties have notice thereof. Neither the resolution of the board of directors authorizing the project obligations nor any other instrument by which such pledge is created need be recorded. Nonetheless, the authority may elect to have the provisions of the Alabama Uniform Commercial Code apply to any pledge made by or to the authority to secure its project obligations by filing a financing statement or statements with respect to the security interest created by such pledge, notwithstanding the exclusion of Section 7-9A-109(d)(14). Each pledge, agreement, mortgage and deed of trust or trust indenture made for the benefit or security of any of the project obligations of the authority shall continue effective until the principal of and interest on the project obligations for the benefit of which the same were made shall have been fully paid.
In the event of default in such payment or in any agreements of the authority made as a part of the contract under which the project obligations were issued, whether contained in the proceedings authorizing the project obligations or in any mortgage and deed of trust or trust indenture executed as security therefor, such default may be enforced by mandamus, the appointment of a receiver, or either of said remedies, and foreclosure of such mortgage and deed of trust or trust indenture may, if provided for in said instrument, be had.
(d) Execution. All project obligations issued by the authority shall be signed by the president or the vice president of the authority and attested by its secretary, and the seal of the authority shall be affixed thereto and attested by the secretary. The signatures of the president, the vice president and the secretary may be facsimile signatures and a facsimile of the seal of the authority may be imprinted on project obligations if the board of directors provides for the manual authentication of project obligations by a trustee, or paying agent. Delivery of any project obligations so executed shall be valid notwithstanding any change in the officers of the authority or in the seal of the authority after such delivery.
(e) General provisions respecting form, interest rate, maturities, sale, and negotiability of project obligations. Project obligations may be executed and delivered by the authority at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall contain such provisions not inconsistent with the provisions of this article, and shall bear such rate or rates of interest, payable and evidenced in such manner, or may bear no interest, as may be provided by resolution of the board of directors. Project obligations of the authority may be sold at either public or private sale in such manner and at such price or prices and at such time or times as may be determined by the board of directors to be most advantageous. The authority may pay all fees, expenses, premiums, and commissions incurred in connection with the issuance of any of its project obligations. All project obligations, except those registered as to principal or as to both principal and interest, and any interest coupons applicable thereto issued by the authority, shall be construed to be negotiable instruments although payable solely from a specified source.
(f) Eligibility for investment. Project obligations of the authority are hereby made legal investments for executors, administrators, trustees, and other fiduciaries, unless otherwise directed by the court having jurisdiction of the fiduciary relation or by the document that is the source of the fiduciary’s authority, and for savings banks and insurance companies organized under the laws of the state.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1; Act 2001-481, p. 647, §2.)
(a) After making adequate provision for the payment of the expenses of issuance, the authority is authorized and empowered to use the proceeds of any project obligations, together with any other available funds, (i) to finance project costs as herein authorized; (ii) to fund such reserves as the authority deems necessary and desirable; and (iii) to the extent not needed for the foregoing uses, to pay or redeem such project obligations.
(b) Pending the application of the proceeds of project obligations to the purpose or purposes for which such project obligations were issued, such proceeds may be invested by the authority in such manner, consistent with the resolution pursuant to which such project obligations are issued, as the board of directors may deem advisable.
(c) Any and all revenues, receipts, investment earnings, and other funds paid to, or otherwise coming into the possession of, the authority as a result of financings accomplished from the proceeds of project obligations, shall be held, deposited, administered, invested, and applied as provided in the resolution of the board of directors authorizing the issuance of such project obligations and as provided in any trust indenture or other agreement delivered in connection therewith, or otherwise as the authority may direct, consistent with the provisions of such resolution, trust indenture or other agreement.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
(a) Upon the issuance by the authority of its project obligations for the purpose of financing a project for an approved company with respect to which the authority adopted a resolution accepting the project prior to January 16, 1995, the approved company:
(1) Shall receive a credit against the corporate income tax levied by Section 40-18-31 that otherwise would be owed to the state in any year by the approved company on its income generated by or arising out of the project, such credit not to exceed the lesser of (i) the amount due in tax, or (ii) the amount paid by the approved company pursuant to a financing agreement in the year for which the tax is due, corresponding to debt service on the project obligations; and
(2) May elect to withhold and retain the aggregate job development fees described in paragraph (b) below, but only to the extent that debt service payments under the financing agreement(s) exceed the income tax credit permitted in subdivision (1) above.
The incentives described in (1) and (2) above shall be available to an approved company whose project is financed by the authority’s project obligations for a period commencing on the date of issuance of such project obligations and, subject to the provisions of paragraph (c) below, ending on the first to occur of the following: (i) the termination of the financing agreement(s) entered into with respect to such project obligations; (ii) the maturity or earlier redemption or payment of the project obligations; or (iii) 25 years from the date the project is first placed in service. Immediately upon issuing any project obligations, the authority shall provide to the department the name of the approved company for whose benefit such project obligations were issued and sufficient information to determine the duration of the corporate income tax credit and the job development fees described in (1) and (2) above, respectively.
(b) As provided in subdivision (a) (2) above, an approved company may require, as a condition of employment, that each person employed by the approved company at the project financed by the authority’s project obligations agree to permit the approved company to deduct and withhold a job development fee not to exceed five percent from the gross wages paid to such employee by the approved company. Job development fees shall not be collected from persons employed by an approved company prior to the entry by such approved company into an agreement with the authority for financing of a project. If an approved company elects to collect a job development fee, it shall deduct the fee from the paycheck of each new employee and shall make its payroll books and records available for inspection by the authority or its designee at such reasonable times as the authority may request. Each approved company collecting a job development fee shall be required to file with the authority such information and documentation respecting the imposition and collection of such fee as the authority may require. Each approved company collecting a job development fee shall be permitted a credit against the withholding tax liability provided in Section 40-18-76 otherwise owed to the state, such credit not to exceed the lesser of (i) the amount of such tax, or (ii) the aggregate job development fees withheld.
Each employee who has been assessed a job development fee, as provided above, shall be entitled to a credit against his or her state income taxes in an amount equal to 100 percent of the job development fee withheld from the employee’s wages during the calendar year. Each employee who has been assessed a job development fee as provided above shall be entitled to a credit against his or her withholding tax liability calculated pursuant to Section 40-18-71 in an amount equal to 100 percent of the job development fee withheld from the employee’s wages during the calendar year.
(c) If an approved company fails to achieve the level of capital investment or employment anticipated at the time the authority agreed to finance its project, the department may, after notice and hearing, reduce or suspend all or any part of such incentives until such time as the anticipated capital investment and employment levels are met; provided, however, that such incentives shall not be suspended retroactively. The authority may provide in the financing agreement(s) entered into in connection with a project for the levels of capital investment and employment expected to be achieved and for the time period(s) in which such levels are to be achieved.
(d) The board of directors of the authority may, upon the written request of any local industrial development board, industrial development association, chamber of commerce, or other similar local entity, solicit and request from any person, corporation, foundation, or other legal entity any gift, grant, contribution, loan, or other kind of aid or assistance, whether in the form of property, services, or monies, which the board of directors deems necessary to provide to an approved company in order to induce such company to undertake a major project within the state. Any such solicitation or request by the authority may be made only upon the condition that the person, corporation, foundation, or other legal entity from whom assistance is requested agrees to continue its support for local economic development activities. The authority shall only be permitted to solicit assistance with respect to identified major projects and shall not solicit contributions for any general purpose. Any assistance which is provided to the authority and not used for the major project for which it was requested, shall be returned pro rata to the persons, corporations, foundations or other entities providing such assistance. The decision to provide all or a portion of the assistance requested by the authority shall lie solely within the discretion of the person, corporation, foundation or other legal entity receiving the request. Any assistance provided to the authority pursuant to the provisions of this subsection (d) is hereby deemed to have a valid business purpose and shall be allowed as a deduction against the corporate income tax levied by Section 40-18-31, the personal income tax levied by Section 40-18-2, or the financial institution excise tax levied by Section 40-16-4, whichever is appropriate. If assistance is provided to the authority by any person, corporation, foundation, or other legal entity, whether regulated or non-regulated, the cost of such assistance will be deemed to be a prudent, legal and non-discriminatory expenditure for all purposes of state law and regulation.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1; Acts 1995, No. 95-187, p. 250, §12.)
In order to provide a method of financing project costs other than by the issuance of project obligations payable from the amounts required to be paid by an approved company under a financing agreement, the authority may establish one or more tax increment funds with respect to a project, into which the authority and an approved company may agree that the approved company will deposit either or both of the following: (i) an annual amount equal to the amount of corporate income tax levied by Section 40-18-31 that otherwise would be owed by the approved company on its income generated by or arising from such project, and (ii) the aggregate job development fees withheld by the approved company as provided in Section 41-10-44.7. The authority may also arrange for any gifts, grants, loans, appropriations, or other forms of aid from the federal or state governments or from any other public or private entity to be paid into a tax increment fund. As provided in Section 41-10-44.5, the authority may issue and sell project obligations payable solely or in part from the monies in any such tax increment fund and may use the proceeds of any such project obligations for the payment of project costs. If determined to be necessary or desirable, the authority and an approved company may specify a minimum annual amount to be paid into a tax increment fund with respect to corporate income taxes and job development fees. Any tax increment fund established pursuant to this section shall be held by the authority or by a trustee designated by the authority as a trust fund for the benefit of the owners of the authority’s project obligations, all upon such terms as the board of directors may establish by resolution.
Any payments into a tax increment fund made by an approved company with respect to corporate income taxes as provided in (i) above, shall be permitted as a credit against the corporate income tax levied by Section 40-18-31 that would otherwise be owed to the state in any year by such approved company on its income generated by or arising from the project, such credit not to exceed the lesser of the amount due in tax, or the amount (exclusive of job development fees) paid into the tax increment fund.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
Any project obligations issued by the authority may from time to time be refunded by the issuance, by sale or exchange, of refunding bonds or obligations payable from the same or different sources for the purpose of paying all or any part of the principal of the project obligations to be refunded, any redemption premium required to be paid as a condition to the redemption prior to maturity of any such project obligations that are to be so redeemed in connection with such refunding, any accrued and unpaid interest on the project obligations to be refunded, any interest to accrue on each project obligation to be refunded to the date on which it is to be paid, whether at maturity or by redemption prior to maturity, and the expenses incurred in connection with refunding; provided, that unless duly called for redemption pursuant to provisions contained therein, the holders of any such project obligations then outstanding and proposed to be refunded shall not be compelled without their consent to surrender their outstanding project obligations for such refunding. Any refunding bonds or obligations may be sold by the authority at public or private sale at such price or prices as may be determined by the board of directors to be most advantageous, or may be exchanged for the project obligations to be refunded. Any such refunding bonds or obligations may be executed and delivered by the authority at any time and from time to time, shall be in such form and denominations and have such tenor and maturities, shall contain such provisions not inconsistent with the provisions of this article, and shall bear such rate or rates of interest, payable and evidenced in such manner, as may be provided by resolution of the board of directors.
Any refunding bonds or obligations issued by the authority shall be issued and secured in accordance with the provisions of Section 41-10-44.5; provided, however, that no refunding bonds shall be issued unless the present value of all debt service on the refunding bonds (computed with a discount rate equal to the true interest rate of the refunding bonds and taking into account all underwriting discount and other issuance expenses) shall not be greater than 95 percent of the present value of all debt service on the bonds to be refunded (computed using the same discount rate and taking into account the underwriting discount and other issuance expenses originally applicable to such bonds) determined as if such bonds to be refunded were paid and retired in accordance with the schedule of maturities (considering mandatory redemption as a scheduled maturity) provided at the time of their issuance. Provided further that the average maturity of the refunding bonds, as measured from the date of issuance of such refunding bonds, shall not exceed by more than three years the average maturity of the bonds to be refunded, as also measured from such date of issuance, with the average maturity of any principal amount of bonds to be determined by multiplying the principal of each maturity by the number of years (including any fractional part of a year) intervening between such date of issuance and each such maturity, taking the sum of all such products, and then dividing such sum by the aggregate principal amount of bonds for which the average maturity is to be determined.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
Upon the adoption by the board of directors of the authority of any resolution providing for the issuance of project obligations, the authority may, in its discretion, cause to be published once a week for two consecutive weeks, in newspapers published or having a general circulation in the Cities of Birmingham, Montgomery, Huntsville, and Mobile, a notice in substantially the following form (the blanks being properly filled in) at the end of which shall be printed the name and title of either the president or the secretary of the authority:
“The State Industrial Development Authority, a public corporation under the laws of the State of Alabama, on the ______ day of _____, authorized the issuance of $ principal amount of bonds or other obligations of the said public corporation for purposes authorized in Title 41, Chapter 10, Article 2A. The proceeds from the sale of the said bonds or other obligations are proposed to be used to finance the acquisition, construction, and installation of facilities to be located at _______, for the use and occupancy of _________.
Any action or proceeding questioning the validity of the said bonds or other obligations, the security thereof, the use of the proceeds thereof or the proceedings authorizing the same, must be commenced within 30 days after the first publication of this notice.”
Any action or proceeding in any court to set aside or question the proceedings for the issuance of the project obligations referred to in said notice or to contest the validity of any such project obligations, or the validity of security therefor, or the validity of the proposed use of the proceeds thereof, must be commenced within 30 days after the first publication of such notice. After the expiration of the said period no right of action or defense questioning or attacking any of the foregoing shall be asserted, nor shall the validity of the said proceedings, project obligations, security or use of proceeds be open to question in any court on any ground whatsoever except in an action commenced within such period.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
The authority shall report annually to the Legislature as to its outstanding projects. Such report shall be due on the fifth legislative day of each regular session and shall include a detailed accounting of each project approved that year, the value of each outstanding project, the date each project will be completed, the criteria and cost/benefit analysis used to justify each project, and the amount of tax credits utilized and job development fees retained by approved companies for each approved project in that year. Such report shall also include all bond fees, attorneys fees, commissions paid and all other costs of financing each project. The authority shall include any other information requested by the Legislature by a joint resolution.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
The income and property of the authority, all project obligations issued by the authority and the interest paid on any such project obligations, all conveyances by or to the authority, and all instruments by or to the authority shall be exempt from all taxation in the state. The authority shall also be exempt from all license and excise taxes imposed in respect of the privilege of engaging in any of the activities in which the authority may engage. The authority shall not be obligated to pay or allow any fees, taxes, or costs to the judge of probate of any county in respect of the recording of any document.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
Except as may be expressly provided in this article, no proceeding, notice, or approval shall be required for the issuance of any project obligations, the execution of any mortgage and deed of trust, trust indenture, or other document, or the exercise of any other of the powers of the authority. Neither a public hearing nor the consent of the state Department of Finance shall be prerequisite to the issuance of project obligations by the authority.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
The authority is a nonprofit corporation and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any individual, firm or corporation.
(Acts 1993, 1st Ex. Sess., No. 93-851, p. 79, §1.)
The following words and phrases shall have the following meanings when used in this article:
(a) AUTHORITY. The State Industrial Development Authority, a public corporation of the state, organized and existing under Articles 2, 2A, and 2B of this Chapter.
(b) DEPARTMENT. The Alabama Department of Commerce.
(c) ELIGIBLE BORROWER. A municipality, county, industrial development authority organized under Chapter 92A of Title 11, industrial development board organized under Article 4, Chapter 54 of Title 11, or nonprofit organization organized to foster economic development and described in Section 501(c) of the Internal Revenue Code of 1986, as in effect from time to time.
(d) ELIGIBLE EXPENSES. Expenses relating to land acquisition, site preparation or development, building improvements, building construction, building renovations, infrastructure, and any other real or personal property deemed necessary or useful in connection therewith.
(e) ELIGIBLE PROJECT. A project located in a targeted county that, when completed, will provide employment opportunities within one or more targeted counties. An eligible project shall be the subject of a project agreement, abatement agreement, or similar agreement between the company and the state or an eligible borrower.
(f) FUND. The Accelerate Alabama Fund.
(g) MAXIMUM LOAN AMOUNT. For any project anticipated to create more than 25 new jobs, $2,000,000, and in all other cases, $1,000,000.
(h) PROJECT OBLIGATIONS. The meaning in Section 41-10-44.2(8).
(i) QUALIFYING BORROWER. An eligible borrower selected by the authority to receive a loan.
(j) QUALIFYING EXPENSES. The eligible expenses permitted to be financed by the loan pursuant to the targeted county financing agreement.
(k) QUALIFYING PROJECT. An eligible project selected by the authority to receive a loan from the fund to finance its qualifying expenses.
(l) TARGETED COUNTY. Any Alabama county that is described by Section 40-18-376.1(a).
(m) TARGETED COUNTY FINANCING AGREEMENT. Any agreement entered into between the authority and a qualifying borrower pertaining to a loan from the fund including, without limitation, a loan agreement, trust indenture, security agreement, reimbursement agreement, guarantee agreement, bond or note, ordinance or resolution, or similar instrument. A targeted county financing agreement may contain, in addition to financial terms, provisions relating to the regulation and supervision of the qualifying project and other provisions as the authority may determine.
(Act 2015-41, §4.)
(a) There is created the Accelerate Alabama Fund, which may consist of monies appropriated or otherwise made available by the Legislature in any manner, proceeds of project obligations issued by the authority, and monies from any other source designated for deposit into such fund, but not including monies subject to a constitutional designation for some other purpose. Unexpended amounts remaining in the fund at the end of each fiscal year of the state shall not lapse into the State General Fund. Any investment earnings or interest earned on amounts in the fund and all loan payments of principal and/or interest shall be deposited to the credit of the fund.
(b) In addition to the purposes for which the authority may issue project obligations, the authority is hereby authorized to issue project obligations to provide money for the fund. Project obligations shall be issued as provided in Section 41-10-44.6, subject, however, to the following:
(1) Project obligations may also be payable solely from revenues and receipts of the authority derived from a targeted county financing agreement, from any other source described in Section 41-10-45.4(a), or from any combination thereof; and
(2) Project obligations may be secured by a pledge of, or security interest in, any revenues, collateral, or other security described in Section 41-10-45.4(a), from any other source permitted by law, or from any combination thereof.
(c) In addition to the purposes for which the authority may use the proceeds of project obligations pursuant to Section 41-10-44.7, the proceeds of project obligations issued to provide money for the fund remaining after adequate provision for the payment of the expenses of issuance may be deposited in the fund and used as provided in this article.
(d) In addition to the purposes for which the authority may refund project obligations pursuant to Section 41-10-44.10, the authority may issue project obligations to refund project obligations issued to provide money for the fund. Refunding project obligations shall be issued as provided in Section 41-10-44.10, subject, however, to the following:
(1) Refunding project obligations may also be payable solely from revenues and receipts of the authority derived from a targeted county financing agreement, from any other source described in Section 41-10-45.4(a), or from any combination thereof; and
(2) Refunding project obligations may be secured by a pledge of, or security interest in, any revenues, collateral or other security described in Section 41-10-45.4(a), from any other source permitted by law, or from any combination thereof.
(Act 2015-41, §4.)
(a) The authority may provide loans to an eligible borrower to pay for all or part of the eligible expenses of a qualifying project pursuant to a targeted county financing agreement. A loan may have a maturity or maturities not exceeding 20 years from its date, may bear interest or be interest free, may not exceed the maximum loan amount, and may contain terms not in conflict with the provisions of this article, all as the governing body of the authority may provide in the proceedings pursuant to which the loan is authorized to be issued. The authority may provide, in its discretion, that the loan shall bear interest at a rate or rates fixed at the time of the issuance thereof, or at fixed rates which may be changed from time to time during the term of the loan in accordance with an objective procedure determined by the authority at the time of the issuance of the loan, or at a floating rate or rates, and the authority may also provide, in its discretion, that interest on the loan may be payable in cash or in kind at fixed intervals, through one or more payments which reflect compound interest computed at specified intervals on accrued but unpaid interest, through a discount in the sales price for the loan equivalent to compound interest on the loan for all or part of the term thereof, or through any combination of the foregoing methods. The proceeds derived from the loan shall be used solely for the purpose specified in the targeted county financing agreement.
(b) The authority shall determine the form and content of loan applications, targeted county financing agreements, and loan obligations, including the term and rate or rates of interest. The loan application must include a description of the eligible project, the estimated cost of the project for which assistance is requested, and any other information required by the authority.
(c) The authority may not issue project obligations to provide money for the fund in excess of $20,000,000.
(d) The authority may:
(1) Require a qualifying borrower with an outstanding loan to submit to the authority information relevant to the loan; and
(2) Require a qualifying borrower with an outstanding loan to submit financial reports.
(e) The authority may refinance any loan previously made to a qualifying borrower.
(f) The Treasurer of the state may invest the money in the fund not currently needed to meet the obligations of the fund under this article. The Treasurer of the state may contract with investment management professionals, investment advisors, and legal counsel to assist in the management of the fund and may pay from the fund the state expenses incurred under those contracts.
(Act 2015-41, §4.)
(a) In order to provide for the repayment of a loan by a qualifying borrower for a project, the qualifying borrower is hereby authorized and empowered to do and perform any one or more of the following:
(1) To obligate itself to pay to the authority at periodic intervals a sum sufficient to repay the authority loan according to the terms thereof;
(2) To levy, collect, and pay over to the authority and to obligate itself to continue to levy, collect, and pay over to the authority the proceeds of any fee, charge, license, permit, tax, or other source of revenue;
(3) To undertake and obligate itself to pay its contractual obligation to the authority solely from the proceeds from any one or more of the sources specified in paragraph (2), or to impose upon itself a general obligation pledge to the authority additionally secured by a pledge of any one or more of such sources;
(4) To obligate itself to continue to levy and collect such revenues, fees, and charges in such amounts as shall be required by the authority;
(5) As evidence of its obligation to repay any loan made by the authority, to issue its bonds, warrants, or other obligations;
(6) As security for its obligation to repay any loan made by the authority, to contract for letters of credit in favor of the authority, to execute and deliver mortgages on any of its property in favor of the authority, to obtain and provide guaranties of its obligation to the authority, or to provide any other security as may be requested by the authority; and
(7) To enter into such agreements, to perform such acts, and to delegate such functions and duties as its governing body shall determine to be necessary or desirable to enable the authority to fund a loan to the public body to aid it in the construction or acquisition of a project.
(b) The authority may pledge any of the foregoing as set forth in subsection (a) to repayment of project obligations or refunding project obligations.
(c) In the event of default, the authority may accelerate all principal and interest on any loan and utilize any other available remedies under state law.
(Act 2015-41, §4.)
(a) The authority shall make an annual report to the Legislature as to the loans granted during, or outstanding at the end of, each fiscal year. The report shall be due on the fifth legislative day of each regular session and shall state, for each qualifying project, the county in which it is located, the name of the qualifying borrower, the outstanding principal amount of the loan, and the maturity date of the loan.
(b) Nothing in this article shall be construed to constitute a guarantee or assumption by the state of any debt of any qualifying borrower nor to authorize the credit of the state to be given, pledged, or loaned to any qualifying borrower.
(Act 2015-41, §4.)
(a) The department and the authority may enter into contracts and other agreements in connection with the operation of the fund, including but not limited to agreements appointing the department as the agent of the authority for administration of the fund and the lending program authorized hereby.
(b) The department shall promulgate regulations to implement and administer the provisions of this article and Sections 40-18-376.1 and 40-18-376.2 and to administer the fund in accordance with applicable law.
(Act 2015-41, §4.)
(a) Any qualified fund may invest at least three percent of its corpus in one or more approved opportunity funds.
(b) The following terms shall have the following meanings:
(1) “ADECA” shall mean the Department of Economic and Community Affairs.
(2) “Approved opportunity fund” shall mean any fund approved by ADECA as meeting all of the following:
a. ADECA determines that the fund has the capacity to improve Alabama’s low-income opportunity zone communities by approving an application showing all of the following:
The amount of existing committed capital or potential to raise committed capital.
The investment track record or strength of the applicant’s management team.
The existing project pipeline or strategy for developing new pipeline.
The fund structure and anticipated returns within that fund structure.
The presence of sound legal, accounting, and compliance policies and procedures.
A strategy for measuring, tracking, and annual reporting to ADECA on how the approved opportunity fund is achieving investment outcomes set forth in its applications.
One or more clear and demonstrable partnerships with local or statewide public or nonprofit entities to ensure community engagement.
b. ADECA determines that the fund has committed to deploying a substantial portion of its capital into qualified opportunity zone property in Alabama within one or more of the following asset classes:
Rural areas described in Section 40-18-376.1(a).
Technology companies which meet all the criteria in Section 40-18-376.3(c), or facilities to house such companies.
Companies or projects described in Section 40-18-372(1), or facilities to house such companies or projects.
Workforce training.
Affordable housing, in which case the burden shall be on the fund to demonstrate rent levels charged and why those rents are appropriate for a particular geographic area.
Remediation of blighted or abandoned property, in which case the burden shall be on the fund to demonstrate why targeted properties qualify as blighted or abandoned.
Revitalization of distressed urban neighborhoods, in which case the burden shall be on the fund to demonstrate why a neighborhood is distressed and why its investment strategy will revitalize the neighborhood.
Companies or projects that will have substantial, measurable impact on social, environmental, or economic conditions in low-income areas, or facilities to house such companies or projects, in which case the burden shall be on the fund to demonstrate why such companies or projects will have such substantial effects.
c. In addition, ADECA may determine that a fund meets paragraph b. if it can demonstrate that it will create substantial wealth within and for residents of Alabama’s low-income and rural communities and will directly track the wealth created.
d. The fund commits to investing at least 75 percent of its committed capital in qualified opportunity zone property located in Alabama. ADECA shall adopt rules for determining whether an investment in a corporation or partnership should be considered to be located in Alabama. For purposes of this paragraph, qualified opportunity zone property shall have the meaning given to it in 26 U.S.C. § 1400Z-2(d)(2), and shall also include a property located in a low-income community as defined by 26 U.S.C. § 45(D)(e).
(3) “Qualified funds” are each of the following:
a. The Alabama Trust Fund created by Amendment No. 450 to the Constitution of Alabama of 1901, now appearing as Section 219.02 of the Official Recompilation of the Constitution of Alabama of 1901, as amended.
b. The Alabama Game and Fish Fund created by Section 9-2-20, the Alabama Game and Fish Endowment Fund created by Section 9-2-20.1, and the Alabama Nongame Wildlife Endowment created by Section 9-2-20.2.
c. The Alabama Marine Resources Endowment Fund created by Section 9-11-23 and the Marine Resources Fund referred to in that section.
d. The Alabama Corrections Institution Finance Authority funds referred to in Chapter 2 of Title 14.
e. The Public Health Finance Authority funds described in Chapter 3A of Title 22.
f. The Public Road and Bridge funds described in Chapter 6 of Title 23.
g. The Unemployment Compensation Trust Fund created by Section 25-4-30.
h. The Mental Health Finance Authority funds described in Article 11 of Chapter 10 of Title 41.
i. The Incentives Financing Authority funds described in Division 1 of Article 16 of Chapter 10 of Title 41.
j. The Alabama Senior Services Trust Fund created by Section 41-15C-1.
k. Any fund or funds representing two or more of the funds listed in paragraphs a. through j.
(c) ADECA may charge application fees for the powers and responsibilities delegated to it herein, and it may charge fees for its financial and oversight audits of the funds. ADECA may retain consultants to assist it with the powers and responsibilities delegated to it herein.
(Act 2019-392, §6; Act 2021-455, §5.)
This article shall be known and may be cited as the Site Evaluation Economic Development Strategy.
(Act 2023-35, §1)
As used in this article, the following terms have the following meanings:
(1) AUTHORITY. The public corporation organized pursuant to Article 2.
(2) BOARD. The board of directors of the authority.
(3) COMPANY. Any person that has employees and conducts an activity listed in Section 40-18-372(1).
(4) FUND. The Alabama Site Development Fund created by this article.
(5) LOCAL ECOMONIC DEVELOPMENT ORGANIZATION. Any organization that is determined by the authority to meet both of the following criteria:
a. The organization is an Alabama entity not operating for profit, including, but not limited to, a municipality, county, industrial development board, industrial development authority, chamber of commerce, or some other foundation or nonprofit organization charged with improving a community or region of the state.
b. The organization has a record of supporting or otherwise participating in economic development in some part of the state.
(6) SITE. Any parcel of real property intended for development by a company.
(7) STATEWIDE ECONOMIC DEVELOPMENT ORGANIZATION. An organization that is determined by the authority to be an Alabama entity not operating for profit which is charged with improving the state or a region of the state and has a record of supporting or otherwise participating in economic development in the state.
(8) TARGETED COUNTY. Any Alabama county that is described in Section 40-18-376.1.
(Act 2023-35, §1)
(a) Any local economic development organization may apply to the authority for a site assessment grant.
(b) Before making a site assessment grant, the authority shall make all of the following findings:
(1) The site is owned by a local economic development organization, or a local economic development organization has an option to purchase the site.
(2) The site is at least 50 acres.
(3) The application includes proof that the grant funds that are approved by the authority will be matched by funds on hand with, or contingently committed to, the applicant such that one of the following is true:
a. If the site is located in a targeted county with a population of less than 12,000, for every dollar of grant funds, the applicant will contribute twenty-five cents ($0.25) of additional funds.
b. If the site is located in a targeted county with a population of 12,000 or greater but less than 60,000, for every dollar of grant funds, the applicant will contribute fifty cents ($0.50) of additional funds.
c. If the site is located in a county with a population of 60,000 or greater but less than 150,000, for every dollar of grant funds, the applicant will contribute seventy-five cents ($0.75) of additional funds.
d. If the site is located in a county with a population of 150,000 or greater, for every dollar of grant funds, the applicant will contribute one dollar ($1) of additional funds.
(c) The authority may impose additional requirements with regard to the sites, including, but not limited to, environmental and geotechnical matters, as well as utility related and transportation related issues.
(d) Each applicant must enter into a project agreement with the authority to establish the terms and conditions of the site assessment grant.
(Act 2023-35, §1; Act 2023-512, §4.)
(a) Any local economic development organization may apply to the authority for a site development grant.
(b) Before making a site development grant, the authority shall make both of the following findings:
(1) The site is comprised of at least 75 contiguous acres, provided that in addition to the 75 contiguous acres, other proximate but noncontiguous property may be a part of the site.
(2) The application includes proof that the grant funds that are approved by the authority will be matched by funds on hand with, or contingently committed to, the applicant such that one of the following is true:
a. If the site is located in a targeted county with a population of less than 12,000, for every dollar of grant funds, the applicant will contribute twenty-five cents ($0.25) of additional funds.
b. If the site is located in a targeted county with a population of 12,000 or greater but less than 60,000, for every dollar of grant funds, the applicant will contribute fifty cents ($0.50) of additional funds.
c. If the site is located in a county with a population of 60,000 or greater but less than 150,000, for every dollar of grant funds, the applicant will contribute seventy-five cents ($0.75) of additional funds.
d. If the site is located in a county with a population of 150,000 or greater, for every dollar of grant funds, the applicant will contribute one dollar ($1) of additional funds.
(c) The authority may impose additional requirements with regard to the sites, including, but not limited to, environmental and geotechnical matters, as well as utility related and transportation related issues.
(d) Each applicant must enter into a project agreement with the authority to establish the terms and conditions of the site development grant.
(e) A commercial development authority project as defined in Section 11-54-171(16)b.7. shall not be eligible for a site development grant unless the proposed use of the site is to conduct a predominant activity described in Section 40-18-372(1).
(f) The intent of this section is to allow the authority to provide funds for site development consistent with the authority’s existing powers to finance or pay for “project costs” as that term is defined in Section 41-10-44.2, including, without limitation, site acquisition. This subsection is declaratory of the Legislature’s intent in originally enacting this article and applies retroactively to the original effective date of this article.
(Act 2023-35, §1; Act 2023-512, §4; Act 2024-99, §2)
(a) For the benefit of the state and the residents of the state, there is created an irrevocable fund named the Alabama Site Development Fund, which shall be funded from all of the following sources:
(1) Proceeds of any gifts, grants, or contributions.
(2) Revenue sources as directed by, and at the discretion of, the Legislature.
(3) Appropriations as directed by, and at the discretion of, the Legislature.
(4) Investment income.
(5) Federal grants relating to site-based development initiatives which the authority finds will have the effect of advancing economic development in Alabama.
(6) Any other lawful sources.
(b) The funds shall be administered in accordance with this article. All revenues received by the fund shall be deposited in the fund upon receipt and may be invested by the board and withdrawn and expended by the authority for the purposes of this article in a manner consistent with the powers granted to the authority by this article.
(c) The fund shall be under the management and control of the board, and all powers necessary or appropriate for the management and control of the fund shall be vested solely in the board. The authority may make whatever representations and covenants it finds reasonable or necessary for federal grant applications and agreements, and it may take whatever actions it deems reasonable or necessary to implement such grants.
(Act 2023-35, §1)
(a) The funds shall be held in perpetual trust and shall not be appropriated by the Legislature or expended or disbursed for any purpose other than as provided in this article. The board may expend the fund’s earnings and principal in furtherance of its purposes.
(b)(1) To the extent practicable, the board shall keep all monies at any time held in the fund invested in eligible investments, in its sole judgment, as shall produce the greatest trust income over the term of the investments while preserving capital.
(2) The board may select the eligible investments in which monies held in the fund shall at any time be invested.
(3) The board may invest the fund capital in any eligible investments producing trust income in accordance with the schedule as the board, in its sole judgment, determines to be in the best interests of the state. In determining the schedule, the board may emphasize future benefits in preference to near-term needs. A board member shall not be responsible for the adequacy of the fund to satisfy and discharge any obligation of the corporation.
(Act 2023-35, §1)
The Legislature recognizes that economic conditions may require the consideration of a grant for a site that does not meet one or more requirements of Section 41-10-47.03(b) or 41-10-47.04(b). The board, by majority vote, may cause a grant to be made so long as the board determines that the site is suitable for development for one or more activities listed in Section 40-18-372(1) and is in the best interest of the public.
(Act 2023-35, §1)
The authority may contract with and rely on one or more statewide economic development organizations in implementing this article. The authority may enter into such contracts, leases, agreements, and investments and may otherwise expend monies without compliance with Article 5 of Chapter 4 of Title 41 or Chapter 2 of Title 39. Solely as a result of entering into contracts, leases, agreements, investments, or otherwise, no statewide economic development organization, nor the officers, employees, agents, or directors of any of the foregoing, shall become subject to Chapter 25 or Chapter 25A of Title 36; Article 5 of Chapter 4 of Title 41; Chapter 2 of Title 39; or Section 36-12-40.
(Act 2023-35, §1)
The authority shall report annually to each member of the Legislature on the number, amount, and location of site grants distributed by the authority.
(Act 2023-35, §1)
This article shall be known and may be cited as the Powering Growth Act.
(Act 2025-394, §1.)
(a) The Legislature finds and declares the following:
(1) That Alabama’s new strategic economic growth plan for the next decade identifies 10 target sectors, including metals and advanced materials, chemical manufacturing, and technology, that utilize a significant amount of energy and will require expansions and upgrades of existing utility infrastructure to meet the increased demand for energy.
(2) That Alabama’s peak energy demand is expected to grow by six gigawatts in the next decade, a 33 percent increase from today, according to the State Infrastructure Study.
(3) That significant lead times exist for critical energy infrastructure components, which will be necessary to meet the growing demand for energy and continued economic growth.
(4) That it is in the best interest of the state to accelerate energy infrastructure development necessary to sustain economic growth by:
a. Providing financing and support to the various electric providers in the state through loans and other financial assistance to accelerate the rate of energy infrastructure development; and
b. Procuring energy infrastructure components with long-lead times to make available to the various electric providers in the state for more rapid deployment.
(b) By the passage of this article, it is the intent of the Legislature to:
(1) Prescribe certain additional powers of the State Industrial Development Authority;
(2) Create the Alabama Energy Infrastructure Bank and the Alabama Energy Infrastructure Fund to provide strategic financing for energy infrastructure projects that support economic growth; and
(3) Establish the Strategic Energy Infrastructure Development Fund to address long-lead times for critical energy infrastructure components.
(Act 2025-394, §1.)
For the purposes of this article, the following words shall have the following meanings:
(1) AUTHORITY. The State Industrial Development Authority.
(2) BONDS. Includes bonds, notes, or other evidence of indebtedness except as otherwise provided in this article.
(3) ELECTRIC PROVIDER. The same meaning as provided in Section 37-16-3 and shall also include the Tennessee Valley Authority and an authority as defined in Section 11-50A-1.
(4) ELIGIBLE PROJECT. a. Energy infrastructure projects and associated costs that:
Support a qualifying project approved by the Department of Commerce pursuant to Section 40-18-372;
Provide or enhance the energy infrastructure necessary for development of a site approved by the State Industrial Development Authority for grants pursuant to Article 2D of this chapter; or
Support the construction, enhancement, expansion, or upgrade of energy infrastructure projects in areas where the energy infrastructure is anticipated to facilitate future economic development as determined by the authority, with an emphasis on such development in rural areas.
b. This term shall not include funding for activities associated with the general maintenance, repair, or upkeep of energy infrastructure.
(5) ENERGY BANK. The Alabama Energy Infrastructure Bank.
(6) ENERGY FUND. The Alabama Energy Infrastructure Fund established under Section 41-10-48.04.
(7) ENERGY INFRASTRUCTURE PROJECTS. Generation infrastructure, transmission infrastructure, and projects addressing long-lead items.
(8) FINANCIAL ASSISTANCE. Includes, but is not limited to, contractual guarantees supporting eligible projects, credit enhancement, capital or debt reserves for bonds or debt instrument financing, interest rate subsidies, provision of letters of credit and credit instruments, provision of bond or other debt financing instrument security, reimbursable or other contractual arrangements, and other lawful forms of financing and methods of leveraging funds that are approved by the authority, and in the case of federal funds, as allowed by federal law.
(9) FINANCING AGREEMENT. Any agreement entered into between the authority and an electric provider pertaining to a loan or other financial assistance and other provisions as the authority may determine. The term includes, without limitation, a loan agreement, trust indenture, security agreement, reimbursement agreement, guarantee agreement, bond or note, ordinance or resolution, or similar instrument.
(10) LOAN. An obligation subject to repayment which is provided by the authority to an electric provider for all or a part of the costs of an eligible project. A loan may be disbursed in anticipation of reimbursement for or direct payment of costs of an eligible project or to refinance temporary financing used to pay costs of an eligible project.
(11) LOAN OBLIGATION. A bond, note, or other evidence of an obligation issued by an electric provider.
(12) LONG-LEAD ITEMS. Equipment, components, or materials necessary for energy infrastructure projects that require extended manufacturing, procurement, or delivery times of at least 24 months and with a total cost that exceeds two hundred fifty thousand dollars ($250,000), as may be approved by the authority.
(13) PERMITTED INVESTMENTS. Includes any of the following:
a. Certificates of deposit, savings accounts, deposit accounts, or money market deposits that are any of the following:
Secured as provided in Chapter 14A.
Fully insured by the FDIC.
Made with a bank whose unsecured, long-term obligations are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
b. Direct obligations of, or obligations the full and timely payment of which is guaranteed by, the United States of America, including unit investment trusts and mutual funds that invest solely in such obligations.
c. Bonds, debentures, notes, pass through securities, or other obligations issued or guaranteed by any federal agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States of America as an agency or instrumentality thereof if the obligations are either of the following:
Backed by the full faith and credit of the United States of America.
Rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by the rating agency.
d. Commercial paper that is rated not less than “P-1” by Moody’s Investors Service or “A-1+” by Standard and Poor’s at the time of purchase.
e. Money market funds rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
f. Bonds, warrants, notes, or other obligations issued by any state, county, or municipality which are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
g. Investment agreements, including, without limitation, guaranteed investment contracts, repurchase agreements, and forward purchase agreements, provided that all of the following are satisfied:
Any securities purchased or held pursuant to the agreement are otherwise permitted investments.
The counterparty’s long-term debt obligations are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
The securities, if purchased, are owned by the bank or a trustee for any of the bank’s obligations and are held by the bank, the trustee, or a third-party custodian acceptable to the bank or, if held as collateral, are held by the bank, the trustee, or a third-party custodian acceptable to the bank with a perfected first security interest in such collateral.
h. Investment or cash management agreements with a commercial bank whose senior long-term debt obligations are, at the time of the acquisition of any such investment or cash management agreement for the account of the bank, rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency, or with a commercial bank that is owned or controlled by a bank holding company whose senior long-term debt obligations, at the time of the acquisition of any such investment or cash management agreement for the account of the bank, are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
(14) REVENUES. When used with respect to the authority, any receipts, fees, income, or other payments received or to be received by the authority as a result of the authority’s activities under this article including, without limitation, receipts and other payments deposited with the authority and investment earnings on its funds and accounts.
(15) RURAL AREA. Any county within the state not having a population in excess of 150,000 inhabitants as determined by reference to the last federal decennial census.
(16) STRATEGIC DEVELOPMENT FUND. The Strategic Energy Infrastructure Development Fund established under Section 41-10-48.12.
(17) TRANSMISSION INFRASTRUCTURE. Facilities and systems responsible for transporting electricity from generation sources and for also processing, converting, and delivering such electricity into voltages required for the eligible project, including, but not limited to, high-voltage transmission lines, transformers, breakers, relays, substations, interconnection facilities, and associated equipment.
(Act 2025-394, §1.)
(a) There is created within the authority a division to be known as the Alabama Energy Infrastructure Bank.
(b) In recognition of increasing concerns regarding energy capacity and the resilience of Alabama’s energy infrastructure for current and future needs, the corporate purpose of the energy bank is to support the economic growth of the state by identifying and supporting energy infrastructure projects for eligible projects in Alabama.
(c) The energy bank shall accomplish these goals through the utilization of bond financing and other financial assistance for energy infrastructure projects.
(d) The energy bank shall utilize existing and future revenue sources in order to create the necessary funding streams to secure bond financing and other financial assistance that will allow the state to enhance and expand its energy infrastructure.
(e) Through the energy bank, the authority may act as a state energy financing institution as that term is defined 42 U.S.C. § 16511(7)(A), or any successor statute, for purposes of obtaining federal support for Alabama energy infrastructure projects.
(f) The Alabama Energy Infrastructure Fund is created in the State Treasury. All proceeds from the revenues designated to the energy fund, pursuant to this article and any other provision of law, shall be deposited into the energy fund to be expended only as provided in this article.
(g) In undertaking its responsibilities under this article, the authority may request that the Alabama Growth Alliance review and provide feedback on authority programs and activities which may include, but is not limited to, their alignment with the state’s economic growth priorities.
(Act 2025-394, §1.)
In addition to the powers granted to the authority in Section 41-10-26, Division 2 of Article 2 of this chapter, Article 2A of this chapter, and Article 2D of this chapter, with respect to the energy bank and the energy fund, the authority shall have the following additional powers to:
(1) Make loans or provide other financial assistance to electric providers to finance or reduce the costs of eligible projects, to collect fees and charges related to the loans or other financial assistance, and to acquire, hold, pledge, and sell loan obligations at prices and in a manner as the authority determines advisable.
(2) Enter into contracts, arrangements, and agreements with electric providers and other persons and execute and deliver all financing agreements and other instruments necessary or convenient to the exercise of the powers granted in this article.
(3) Enter into agreements with a department, agency, or instrumentality of the United States of America or of this state or another state for the purpose of planning, securing, and providing for the financing of eligible projects.
(4) Enter into contracts, arrangements, or agreements with external experts for the purpose of providing advice regarding the operations of the bank and viability of the fund, as well as the necessity of project applications from the bank and the strategic development fund.
(5) Procure insurance, guarantees, letters of credit, and other forms of collateral or security or credit support from any public entity, including any department, agency, or instrumentality of the United States of America or this state, for the payment of any bonds issued by the authority, including the power to pay premiums or fees on any insurance, guarantees, letters of credit, and other forms of collateral or security or credit support.
(6) Collect or authorize the trustee under any trust indenture securing any bonds to collect amounts due under any loan obligations owned by the authority, including taking the action required to obtain payment of any sums in default.
(7) Unless restricted under any agreement with holders of bonds, consent to any modification with respect to the rate of interest, time, and payment of any installment of principal or interest, or premium, if any, or any other term of any loan obligations owned by the authority or held by the applicable indenture trustee.
(8) Borrow money through the issuance of bonds and other forms of indebtedness as provided in this article, and to secure the repayment of the same as provided in this article including by pledging or granting of a security interest in the loan obligation.
(9) Expend funds credited to the authority resulting from the authority’s operations of the energy bank as the authority may determine as being necessary or desirable for the costs of administering the operations of the energy bank.
(10) Procure insurance against losses in connection with the authority’s property, assets, or activities including insurance against liability for the authority’s acts or the acts of its employees or agents or to establish cash reserves to enable the authority to act as a self-insurer against any and all such losses.
(11) Apply for, receive, and accept from any source, aid, grants, and contributions of money, property, labor, or other things of value to be used to carry out the purposes of this article subject to the conditions upon which the aid, grants, or contributions are made.
(12) Do all other things necessary or convenient to carry out the purposes and powers conferred by this article.
(Act 2025-394, §1.)
(a) In considering applications for eligible projects, the authority may request additional input from external experts as to the urgency of the energy infrastructure project, the ability of the applicant to execute the project within the stated time frame, and other assistance as determined by the authority.
(b) The total aggregate amount of loans or other financial assistance provided by the bank in any year shall be limited to an amount that would not jeopardize the viability of the fund, as determined by the authority with the advice of external experts.
(c) In selecting eligible projects, the authority shall consider, with assistance from external experts, project feasibility and the degree of financial risk to be assumed by the authority.
(d) The authority shall ensure that no electric provider receives more than 40 percent of the loan or financial assistance funds provided by the bank in each calendar year unless a joint application of electric provider is made; provided, however, in no event (even with a joint application) shall more than 50 percent of the loan or financial assistance funds provided by the bank in each calendar year be received by any single electric provider.
(e) The authority shall reserve at least 40 percent of the aggregate amount available in each calendar year for loans and other financial assistance from the energy bank for use for energy infrastructure projects in rural areas. In the event that applications are not received for energy infrastructure projects in the rural areas by the close of the second quarter of the applicable calendar year, the reservation shall no longer apply and the funds may be used for other energy infrastructure projects; provided, however, that, in failing to apply for an energy infrastructure project by the end of the second calendar quarter of a calendar year, an electric provider is not prohibited from subsequently applying and receiving an allocation of funds for energy infrastructure projects in rural areas later in that calendar year.
(f) Any nonpublic or proprietary information included in an application by an economic development prospect or electric provider shall be subject to the Department of Commerce’s protections for such information, provided in Section 41-29-3.
(Act 2025-394, §1.)
(a)(1) An electric provider (or more than one electric providers in a joint application) may apply to the authority for the purposes of obtaining financial assistance to support an eligible project. An application under this subsection shall include:
a. A detailed summary of the proposed energy infrastructure project, including location, scope, timeline, and total estimated cost;
b. Identification of the energy infrastructure project to be funded;
c. Anticipated job creation, business attraction, or commercial or industrial expansion to be facilitated by the energy infrastructure project as applicable; and
d. Projected load demand and anticipated capacity increases.
(2) An application under this subsection for more than one electric provider shall also include:
a. Identification of all participating electric providers and designation of a lead applicant responsible for administration of funds; and
b. Explanation of how participating electric providers will collaborate on energy infrastructure project implementation.
(3) During the term that the financial assistance is being provided under this subsection, the electric provider shall submit an annual report to the authority detailing the progress of the approved eligible project and the use of the financial assistance provided to the electric provider.
(b)(1) An electric provider (or jointly with one or more other electric providers) and an economic development prospect may submit a joint application for a long-lead item or energy infrastructure project if the provision of financial assistance from the energy bank will facilitate an eligible project for a new or expanding industrial or commercial facility within the state.
(2) A joint application under this subsection shall include:
a. A statement from the electric provider (or joint electric providers in the case of a joint application) detailing the infrastructure improvements necessary to meet the eligible prospect’s energy requirements; and
b. An assessment of economic impact, including projected job creation, capital investment, and state and local sales and property tax revenues generated from the eligible project determined after taking into account any abatements granted.
(3) During the term that the financial assistance is being provided under this subsection, the economic development prospect and the electric provider shall submit an annual report to the authority detailing the progress of the approved eligible project and the use of the financial assistance provided.
(4) The authority may condition the granting of the application upon the provision of performance assurance or security by the economic development prospect.
(5) If the economic development prospect withdraws, fails to commence operations, or materially alters its energy needs, the authority may enforce a contractual obligation against the economic development prospect for the authority’s provision of financial assistance, including draws on any performance assurance or security provided.
(Act 2025-394, §1.)
(a) The authority may use the following sources to capitalize the energy fund and to carry out its purposes of this article:
(1) Tobacco settlement funds from the Alabama 21st Century Fund.
(2) Federal funds made available to the state for the energy bank or for eligible projects.
(3) Contributions and donations from public and private entities and any other source as may become available to the authority, including, but not limited to, appropriations from the Legislature.
(4) All monies paid or credited to the authority, by contract or otherwise, payments of principal and interest on loans or other financial assistance made from the authority, and interest earnings which may accrue from the investment or reinvestment of the authority’s monies.
(5) Proceeds from the issuance of bonds as provided in this article.
(6) Other lawful sources as determined appropriate by the authority.
(b) Any pledge of the revenues and amounts described in subsection (a) to provide funds for payment of debt service on bonds issued by the authority or to pay obligations of the authority with respect to other financial assistance shall continue until the bonds have been fully repaid or the authority’s obligations with respect to the other financial assistance have terminated, unless the trust indenture, financing agreement, or other related instrument providing for the pledge expressly provides that the pledge may be terminated earlier or otherwise limited by the authority.
(Act 2025-394, §1.)
(a) Whenever the authority determines that it is necessary that monies be raised for eligible projects, including monies to be used to refund any bonds then outstanding, the authority may issue bonds as provided in this article.
(b) The authority may pledge any of its revenue or funds to the payment of its bonds, subject to any prior pledges for other outstanding bonds or other financial assistance of the energy bank. Bonds may be secured by a pledge of any loan obligation owned by the authority or held by an indenture trustee, any grant, contribution, or guaranty from the United States of America, the state, or any corporation, association, institution, or person, any other financial assistance provided by the authority, any bond insurance, guarantees, letters of credit, or other forms of credit enhancement purchased or otherwise obtained by the authority from any public or private entity, any other property or assets of the authority, or a pledge of or grant of security interest in any money, income, or revenue of the authority from any source.
(c) Notwithstanding any provision of law to the contrary, the total aggregate principal amount of bonds issued by the authority under this article shall not exceed one billion dollars ($1,000,000,000). This debt limitation shall apply solely to bonds issued for eligible project financing purposes under this article and shall not be construed to limit any other bonding authority granted to the authority under separate provisions of law.
(Act 2025-394, §1.)
Bonds or other financial assistance issued by the authority shall not constitute an obligation or debt of this state, or any of its political subdivisions, but shall be limited obligations of the authority payable solely from the revenue, money, or property of the authority pledged for such purpose as provided in this article. Any bonds issued or other financial assistance of the authority do not constitute an indebtedness of the state or any of its political subdivisions within the meaning of any constitutional or statutory limitation, and neither the full faith and credit nor the taxing power of the state, or any of its political subdivisions, is pledged to the payment thereof. No member of the authority or any person executing bonds, other financial assistance, or other obligations of the authority is liable personally thereon by reason of their issuance or execution. Each bond, other financial assistance, and other obligation issued under this article shall contain on its face a statement to the effect of the following:
(1) The instrument is not a general obligation of the authority but is a limited obligation of the authority payable solely from the revenue, money, or property of the authority pledged.
(2) The instrument is not an obligation or debt of the state, or any of its political subdivisions, and neither the full faith and credit nor the taxing power of the state, or any of its political subdivisions, is pledged to the payment of the instrument.
(3) The authority does not have taxing power.
(Act 2025-394, §1.)
(a)(1) The bonds of the authority must be authorized by a resolution of the authority.
(2) The bonds shall bear the date and mature at the time that the resolution provides, except that no bond may mature more than 40 years from its date of issue.
(3) The bonds may be in the denominations, be executed in the manner, be payable in the medium of payment, be payable at the place and at the time, and be subject to redemption or repurchase and contain other provisions determined by the authority prior to their issuance.
(4) The bonds may bear interest payable at a time and at a rate as determined by the authority.
(5) Bonds may be sold by the authority at public or private sale at the price the authority determines and approves.
(b)(1) Bonds may be secured by a trust indenture between the authority and a corporate trustee, which may be the State Treasurer or any bank having trust powers or any trust company doing business in this state. A trust indenture may contain provisions for protecting and enforcing the rights and remedies of the bondholders which are reasonable and proper, including covenants setting forth the duties of the authority in relation to the exercise of its powers and the custody, safekeeping, and application of its money. The authority may provide by the trust indenture for the payment of the proceeds of the bonds and all or any part of the revenues of the authority to the trustee under the trust indenture or to some other depository, and for the method of its disbursement with safeguards and restrictions prescribed by it. All expenses incurred in performing the obligations of the authority under the trust indenture may be treated as part of its operating expenses.
(2) Any resolution or trust indenture pursuant to which bonds are issued may contain provisions that are part of the contract with the bondholders of the bonds and that include the following:
a. Pledging specific revenues of the authority to secure the payment of the bonds.
b. Pledging specific assets of the authority, including loan obligations owned by the authority to secure the payment of the bonds.
c. The use and disposition of the gross income from, and payment of the principal of, and interest on loan obligations owned by the authority or held by an indenture trustee.
d. The establishment of reserves, sinking funds, and other funds and accounts, and their regulation and disposition.
e. Limitations on the purposes to which the proceeds from the sale of the bonds may be applied and limitations on pledging the proceeds to secure the payment of the bonds.
f. Limitations on the issuance of additional bonds, the terms upon which additional bonds may be issued and secured, and the refunding of outstanding or other bonds.
g. The procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds, if any, the holders of which must consent to, and the manner in which any consent may be given.
h. Limitations on the amount of money to be expended by the authority for its operating expenses.
i. Vesting in a trustee property, rights, powers, and duties as the authority may determine, limiting or abrogating the right of bondholders to appoint a trustee, and limiting the rights, powers, and duties of the trustee.
j. Defining the acts or omissions that constitute a default, the obligations or duties of the authority to the holders of the bonds, and the rights and remedies of the holders of the bonds in the event of default, including as a matter of right the appointment of a receiver, and all other rights generally available to creditors.
k. Requiring the authority or the trustee under the trust indenture to take any and all other action to obtain payment of all sums required to eliminate any default as to any principal of and interest on loan obligations owned by the authority or held by a trustee, which may be authorized by the laws of this state.
l. Any other matter relating to the terms of the bonds or the security or protection of the holders of the bonds which may be considered appropriate.
(c)(1) Any pledge made by the authority to secure its obligations with respect to bonds or other financial assistance is valid and binding from the time the pledge is made. The revenue, money, or property pledged and received by the authority is immediately subject to the lien of the pledge without any physical delivery or further act. The lien of any pledge is valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the authority, irrespective of whether the parties have notice of the pledge.
(2) No recording or filing of the resolution authorizing the issuance of bonds or other financial assistance, the trust indenture or other financing agreement securing the bonds or other financial assistance, or any other instrument including filings under the Uniform Commercial Code is necessary to create or perfect any pledge or security interest granted by the authority to secure any bonds or other financial assistance.
(d) The authority, subject to agreements with bondholders as may then exist, may purchase outstanding bonds of the authority with any available funds, at any reasonable price. If the bonds are then redeemable, the price shall not exceed the redemption price then applicable plus accrued interest to the next interest payment date.
(e) Bonds of the authority shall be in a form and shall be executed in a manner prescribed by the authority.
(f) If any of the directors or officers of the authority cease to be directors or officers before the delivery of any bonds signed by them, their signatures or authorized facsimile signatures are nevertheless valid and sufficient for all purposes as if they had remained in office until the delivery of the bonds.
(g) Subsequent amendments to this article may not limit the rights vested in the authority with respect to any agreements made with, or remedies available to, the holders of bonds issued under this article before the enactment of the amendments until the bonds, with all premiums and interest on them, and all costs and expenses in connection with any proceeding by or on behalf of the holders, are fully satisfied and discharged.
(h) Notwithstanding the exemptions provided in Sections 41-10-28 and 41-10-44.13, any bonds issued by the authority under this article, the transfer of bonds, and the income from them, are free from taxation and assessment of every kind by the state and by the local governments and other political subdivisions of the state.
(i)(1) The bonds issued by the authority are legal investments in which all public officers or public bodies of the state and its political subdivisions; all municipalities and political subdivisions; all insurance companies and associations and other persons carrying on insurance business; all banks, bankers, banking associations, trust companies, savings banks, savings associations, including savings and loan association investment companies, and other persons carrying on a banking business; all administrators, guardians, executors, trustees, and other fiduciaries; and all other persons who are now or may be authorized in the future to invest in bonds or other obligations of the state, may invest funds in their control or belonging to them.
(2) The bonds of the authority are also securities which may be deposited with and received by all public officers and bodies of the state or any agency or political subdivision of the state and all municipalities and public corporations for any purpose for which the deposit of bonds or other obligations of the state is now or may later be required by law.
(j)(1) The granting of other financial assistance by the authority shall be authorized by a resolution of the authority.
(2) The authority may execute instruments and enter into financing agreements, including, without limitation, a trust indenture between the authority and a corporate trustee, which may be the State Treasurer or any bank having trust powers or any trust company doing business in this state, containing the terms and conditions as the authority shall determine in connection with the provision of other financial assistance and securing its obligations with respect to other financial assistance.
(3) The authority may pledge any of its revenues or funds to the payment of other financial assistance provided by the authority, subject to any prior pledges for outstanding bonds or other financial assistance of the authority. Other financial assistance may be secured by a pledge of any loan obligation owned by the authority or held by an indenture trustee, any grant, contribution, or guaranty from the United States of America, the state, or any corporation, association, institution, or person, any other property or assets of the authority, or a pledge or grant of a security interest in or any money, income, or revenue of the authority from any source.
(k) Neither the authority, nor any member, officer, employee, or committee of the authority acting on behalf of it, while acting within the scope of authority granted by this article, is subject to any liability resulting from carrying out any of the powers given in this article, unless the officer or employee acted in an unreasonable or reckless manner.
(Act 2025-394, §1.)
(a) For the benefit of the state and the residents of the state, there is created in the State Treasury an irrevocable fund named the Strategic Energy Infrastructure Development Fund. From June 1, 2025, through the fiscal year ending September 30, 2030, the funding under the strategic development fund shall be utilized for the infrastructure improvements and items permitted under Section 41-10-48.13 and for other energy infrastructure projects, in each case located in rural areas, with any funds remaining in the strategic development fund as of September 30, 2030, carried over and continued to be used for such purposes until fully depleted. Of the funding for the strategic development fund for fiscal years ending after September 30, 2030, excluding any carry-over funds as mentioned in the immediately preceding sentence, 50 percent shall be used for the infrastructure development in rural areas described in Section 41-10-48.13 and 50 percent shall be used for other energy infrastructure projects wherever located in the state. In the event applications are not received for infrastructure development projects in the rural areas in fiscal years after September 30, 2030, by the close of the third quarter of any fiscal year, the funds may revert and be used for energy infrastructure projects wherever located in the state.
(b) The strategic development fund shall be under the management and control of the authority, and all powers necessary or appropriate for the management and control of the strategic development fund shall be vested solely in the authority. The authority may make whatever representations and covenants it finds reasonable or necessary for federal grant applications and agreements and may take whatever actions the authority deems reasonable or necessary to implement such grants.
(c) The strategic development fund shall be funded initially with an appropriation of fifty million dollars ($50,000,000) from the Alabama 21st Century Fund, with additional funding sources including:
(1) Revenue sources as directed by, and at the discretion of, the Legislature;
(2) Appropriations as directed by, and at the discretion of, the Legislature;
(3) Federal grants and other financing which the authority determines will have the effect of advancing economic development in Alabama;
(4) Proceeds of any gifts, grants, or contributions; and
(5) Any other lawful sources.
(d) The strategic development fund shall be administered in accordance with this section. All revenues received by the strategic development fund shall be deposited in the fund upon receipt and may be invested by the authority and withdrawn and expended by the authority in a manner consistent with the powers granted to the authority.
(e) Funding shall be provided to projects in accordance with Section 41-10-48.13 in the form of financial assistance or grants.
(Act 2025-394, §1.)
(a)(1) An electric provider and an economic development prospect or electric providers jointly may submit a joint application for funding from the strategic development fund if the provision of funding from the strategic development fund will facilitate an economic development project for a new or expanding industrial or commercial facility within the state subject to the requirement for uses in rural areas as set forth in Section 41-10-48.12(a).
(2) A joint application under this subsection must include:
a. A statement from the electric provider detailing the infrastructure improvements necessary to meet the prospect’s energy requirements; and
b. An assessment of economic impact, including projected job creation, capital investment, and state and local sales and property tax revenues generated from the strategic development project.
(3) During the term that the funding is being provided under this subsection, the economic development prospect and the electric provider shall submit an annual report to the authority detailing the progress of the approved strategic development project and the use of the financial assistance provided.
(4) If the economic development prospect withdraws, fails to commence operations, or materially alters its energy needs, the authority may enforce a contractual obligation against the economic development prospect for the authority’s provision of funding.
(b) The strategic development fund shall be used for the following purposes only:
(1) For the authority to enter into priority production placement agreements with key manufacturers of long lead-time electrical equipment, including, but not limited to, transformers, substations, switchgear, and specialized circuit breakers for an economic development prospect being recruited to or expanding in the state.
(2) Notwithstanding subsection (c), to provide funding for site-specific infrastructure development, including, but not limited to, the extension of transmission lines and pipelines; enhancements or expansions to substation capacity; the acquisition of rights-of-way for key transmission and pipeline infrastructure located near key industrial or commercial sites, as identified by the authority for development; and transformers, breakers, and other facilities necessary for processing, converting, and delivering such electricity into voltages necessary or useful for the economic development project.
(c) An electric provider shall not be eligible to be a direct recipient of funding from the strategic development fund.
(d) Any nonpublic or proprietary information included in an application by an economic development prospect or electric provider shall be subject to the Department of Commerce’s protections for such information, provided in Section 41-29-3.
(Act 2025-394, §1.)
(a) Following the close of each state fiscal year, the authority shall submit an annual report on the activities of the energy bank and use of the strategic development fund for the preceding year to the Governor and to the Legislature. The authority also shall submit an annual report to the appropriate federal agency in accordance with requirements of any federal program.
(b) The authority shall be subject only to audits as required by state law and applicable federal regulations.
(Act 2025-394, §1.)
The authority may enter into contracts, agreements, and investments and may otherwise expend monies without compliance with Chapter 2 of Title 39, Article 5 of Chapter 4 of this title, or Chapter 16 of this title.
(Act 2025-394, §1.)
(a) This article, being for the welfare of this state and its inhabitants, shall be liberally construed to affect the purposes specified.
(b) In no event does this article authorize any electric provider to provide retail electric service except as permitted under the applicable provisions of Chapter 14 of Title 37. Nothing in this article is intended to amend, repeal, enlarge, or otherwise affect Chapter 14 of Title 37.
(Act 2025-394, §1.)
This article shall be known as and may be cited as the Southern Products Mart Authority Act.
(Acts 1973, No. 1210, p. 2032, §21.)
When used in this article, the following terms shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) STATE. The State of Alabama.
(2) COUNTY. Jefferson County in this state.
(3) AUTHORITY. The Southern Products Mart Authority authorized to be incorporated under the provisions of this article.
(4) BOARD or BOARD OF DIRECTORS. The board of directors of the authority.
(5) DIRECTOR OF FINANCE. The Director of Finance of the state.
(6) SECRETARY OF THE ALABAMA DEPARTMENT OF COMMERCE. The Secretary of the Alabama Department of Commerce of the state.
(7) EXECUTIVE SECRETARY TO THE GOVERNOR. The Executive Secretary to the Governor of the state.
(8) STATE TREASURER. The Treasurer of the state.
(9) STATE TREASURY. The Treasury of the state.
(10) BOND. Any bond authorized to be issued pursuant to the provisions of this article, including a refunding bond as hereinafter authorized.
(11) COUPON. Any interest coupon evidencing an installment of interest payable with respect to a bond.
(12) PERSON. Any individual, firm, partnership, corporation, company, association, joint-stock association, the state or any political subdivision thereof, any agency or board of the state, any municipality or body politic and includes any trustee, receiver, assignee, or other similar representative thereof.
(Acts 1973, No. 1210, p. 2032, §2.)
It is the intention of the Legislature by the passage of this article to authorize the incorporation of the Director of Finance, the Secretary of the Alabama Department of Commerce, the State Treasurer, and the Executive Secretary to the Governor for the purpose of acquiring land for and erecting, constructing, maintaining and operating thereon a products market, exhibition halls, buildings and other related structures and facilities in Jefferson County, Alabama, where products and goods may be displayed to encourage the buying and selling of such products and goods, to encourage the expansion of existing industries in Alabama, to encourage the location of new industries in Alabama and to foster and encourage the growth of the general economy of Alabama, through a corporation to be composed of said officials whose incorporation is hereby authorized and to vest such corporation with all powers, authorities, rights, privileges, and titles that may be necessary to enable it to accomplish such purpose.
This article shall be liberally construed in order to effect the said purpose.
(Acts 1973, No. 1210, p. 2032, §1.)
(a) The Director of Finance, the Secretary of the Alabama Department of Commerce, the State Treasurer and the Executive Secretary to the Governor are hereby authorized to become a corporation, with the powers and authorities provided for in this article, by proceeding according to the provisions hereinafter outlined in this article. To become a corporation, the Director of Finance, the Secretary of the Alabama Department of Commerce, the State Treasurer and the Executive Secretary to the Governor shall present to the Secretary of State of Alabama an application signed by them which shall set forth:
(1) The name, official designation, and official residence of each of the applicants, together with a certified copy of the commission evidencing each applicant’s right to office;
(2) The date on which each applicant was inducted into office and the term of office of each of the applicants;
(3) The name of the proposed corporation, which shall be “Southern Products Mart Authority”;
(4) The location of the principal office of the proposed corporation; and
(5) Any other matter relating to the proposed corporation which the applicants may choose to insert and which shall not be inconsistent with this article or the laws of the state.
The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of the state to take acknowledgments to deeds. The Secretary of State of Alabama shall examine the application; and, if he or she finds it to be in substantial compliance with the provisions of this article, he or she shall receive and file it and record it in an appropriate book of record in his office. The Secretary of State of Alabama shall then make and issue to the applicants a certificate of incorporation, under the Great Seal of the State, reciting the fact of the incorporation of the authority and shall record a counterpart of said certificate of incorporation with the application. There shall be no fees paid to the Secretary of State of Alabama for any work in connection with the incorporation of the authority or in connection with the dissolution of the authority. Upon the issuance of said certificate of incorporation, the authority shall constitute a body corporate having corporate succession under the name proposed in the application.
(b) The applicants named in the application and their respective successors in office shall constitute the members of the authority. The Secretary of the Alabama Department of Commerce shall be the president of the authority, the Executive Secretary to the Governor shall be the vice-president of the authority, the Director of Finance shall be the secretary of the authority, and the State Treasurer shall be the treasurer of the authority and shall act as custodian of its funds. The members of the authority shall constitute all the members of the board of directors of the authority, and any three members of said board of directors shall constitute a quorum for the transaction of business. The concurrence of three members of the board of directors shall be necessary for any action taken by the authority. Should any of said officials of the state die or should his or her term of office (as Director of Finance, Secretary of the Alabama Department of Commerce, State Treasurer or Executive Secretary to the Governor, as the case may be) expire or should he or she resign therefrom, his or her successor in office shall take his or her place as a member, officer and director of the authority. No member, officer, or director of the authority shall draw any salary, in addition to that now authorized by law, for any service he or she may render or any duty he or she may perform in connection with the authority.
(c) All proceedings had and done by the board of directors shall be reduced to writing by the secretary of the authority and recorded in a substantially bound book. Copies of such proceedings, when certified by the secretary of the authority under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1973, No. 1210, p. 2032, §3.)
(a) The authority shall have the following powers:
(1) To have succession by its corporate name until it is dissolved;
(2) To adopt bylaws for the regulation of its affairs and the conduct of its business;
(3) To adopt and use an official seal and alter the same at pleasure;
(4) To maintain a principal office in Jefferson County, Alabama, and suboffices at such places within the state as it may designate;
(5) To sue and be sued and to prosecute and defend civil actions in any court having jurisdiction of the subject matter and of the parties;
(6) To acquire by purchase, gift, condemnation or any other lawful means any real, personal or mixed property necessary or convenient in connection with the purpose for which the authority is formed and to hold title to such property, together with all rights incidental to its estate in such property;
(7) To establish in Jefferson County, Alabama, a products market to be known as the Southern Products Mart Authority and, in connection therewith, to acquire, erect, construct, insure, maintain, manage, operate and lease all real and personal property, facilities, buildings, warehouses, storage facilities, exhibition halls, parking areas and other structures and appurtenances of every kind and character used or useful in promoting the buying and selling of products and goods or used or useful in promoting the expansion of existing industries in the state or used or useful in promoting the location of new industries in the state or used or useful in fostering and encouraging the growth of the general economy of the state, together with all the rights incidental to such acquiring, erecting, constructing, insuring, maintaining, managing, operating and leasing;
(8) To exercise the right of eminent domain to acquire property used or useful for the purpose for which the authority is formed as freely and completely as and in the same manner that the State of Alabama is empowered to exercise such rights;
(9) To lease all or any part of the facilities or property of the authority to any person and to fix, revise from time to time, charge and collect rentals under such leases;
(10) To establish rules and regulations for the use of any of the facilities or property of the authority;
(11) To make and enter into contracts, leases and agreements with any person necessary for or incidental to the execution of the powers of the authority under this article, including contracts and agreements for professional services deemed necessary for such purpose by the authority;
(12) To appoint and employ such managers, employees, agents, fiscal advisors and attorneys as the business of the authority may require for efficient accomplishment of the purpose of this article;
(13) To appoint an advisory committee consisting of any number of persons not in excess of nine to advise the authority on its affairs;
(14) To borrow money for its corporate purposes and, in evidence of such borrowing, to sell and issue bonds of the authority and to refund any thereof by the issuance of refunding bonds, such bonds to be payable as to both principal and interest solely from the revenues of the authority and proceeds from the sale of such bonds as provided in this article and, as security for payment of the principal of and the interest on its bonds, to pledge the revenues and anticipated revenues of the authority as provided in this article. No bonds issued under the provisions of this article shall constitute a debt or liability of the state or any political subdivision thereof other than the authority or a pledge of the faith and credit of the state or of any political subdivision thereof, but such bonds shall be payable solely from the revenues and anticipated revenues pledged or available for that payment as authorized in this article. All such bonds shall contain on the face thereof a statement to the effect that the authority is obligated to pay the principal thereof and interest thereon only from its revenues and the proceeds from the sale of such bonds, that neither the state nor any political subdivision thereof other than the authority is obligated to pay such principal or interest and that neither the faith and credit nor the taxing power of the state or of any political subdivision thereof is pledged to the payment of such principal or interests;
(15) To anticipate by the issuance of its bonds, as limited in this article, the receipt of the revenues from its facilities and, as security for the payment of the principal of and interest on its bonds, to enter into any lawful covenant and to pledge the revenues from its facilities;
(16) To invest as provided in this article the proceeds from the sale of its bonds pending need therefor;
(17) To establish a fiscal year; and
(18) To do all other acts and things necessary or convenient to carry out the powers granted in this article.
(b) Notwithstanding any provision to the contrary, nothing in this article shall be construed to authorize the acquisition by eminent domain of any real property or right owned or held by railroads or utilities, both public and private.
(Acts 1973, No. 1210, p. 2032, §4.)
Bonds of the authority may be sold from time to time as the board of directors may deem advantageous; provided, that the aggregate principal amount of bonds of the authority which may be issued under this article shall be limited to $20,000,000.00, but the said limitation shall not apply to refunding bonds which may be issued under this article and also shall not apply to bonds of the authority which may be issued under any other act which may at any time hereafter be enacted.
The bonds shall be in such forms and denominations and of such tenor and maturities, shall bear such rate or rates of interest payable and evidenced in such manner and may contain other provisions not inconsistent with this article as may be provided in the resolution or resolutions of the board of directors of the authority wherein the bonds are authorized to be issued; provided, that none of the bonds shall have a specified maturity date later than 30 years after its date. Such bonds may be in bearer form with interest coupons or registered as to principal and interest or may be registered as to principal only and, upon surrender and endorsement or assignment, may be exchanged for a like bearer or registered security for a reasonable fee and upon such signature guarantees and other assurances as the authority may prudently require.
The bonds and coupons shall be construed to be negotiable instruments although payable from a specified source as provided in this article, and such bonds and coupons shall have and are hereby declared to have all the qualities and incidents of negotiable instruments under the negotiable instruments law of the state.
The authority may at its election retain in the resolution or resolutions under which any of the bonds are issued an option to redeem all or any thereof and at such redemption price or prices and after such notice or notices and on such terms and conditions as may be set forth in said resolution or resolutions and as may be briefly recited on the face of the bonds with respect to which such option of redemption is retained. With respect to those of the bonds having stated maturities more than 10 years after the date thereof, the authority shall retain in the resolution or resolutions authorizing their issuance an option to redeem at the expiration of the tenth year following the date thereof and on any interest payment date thereafter all or any of the bonds having stated maturities after the expiration of the tenth year following their date, at such redemption price or prices and after such redemption notice or notices and on such terms and conditions as may be set forth in said resolution or resolutions and briefly recited on the face of the bonds.
(Acts 1973, No. 1210, p. 2032, §5.)
(a) Any resolution authorizing any bonds under this article shall contain a recital that they are issued pursuant to the provisions of this article, which recital shall be conclusive evidence that said bonds have been duly authorized pursuant to the provisions of this article, notwithstanding the provisions of any other law now in force or hereafter enacted or amended.
(b) Upon the adoption by the board of directors of any resolution providing for the issuance of bonds under the provisions of this article, the authority may in its discretion cause to be published once a week for two consecutive weeks, in a newspaper published and having general circulation in Jefferson County, Alabama, a notice in substantially the following form (the blanks being properly filled in): “Southern Products Mart Authority, an agency of the State of Alabama, on the ____ day of , adopted a resolution providing for the issuance of $_ principal amount of bonds of the said authority for purposes authorized in the act of the Legislature of Alabama under which the said authority was organized. Any civil action or proceeding questioning the validity of said resolution or said bonds or the pledge and agreements made in said resolution for the benefit thereof or the proceedings authorizing the same must be commenced within 20 days after the first publication of this notice. Southern Products Mart Authority, by: ___________, its president.”
(c) Any civil action or proceeding in any court seeking to set aside or invalidate a resolution providing for the issuance of bonds under the provisions of this article or to contest the validity of any such bonds or the validity of the pledge or agreement made therefor must be commenced within 20 days after the first publication of such notice. After the expiration of the said 20-day period, no right of action or defense founded upon the validity of the resolution or other proceedings, if any, or of the said bonds, or the said pledge or agreement shall be asserted. In the event of such publication, the validity of the said resolution, proceedings, bonds, pledge, or agreement shall not be open to question in any court on any ground whatever, except in a civil action or proceeding commenced within such period. Any such civil action and any civil action to protect or enforce any rights under the provisions of this article shall be brought in the Circuit Court of Jefferson County.
(Acts 1973, No. 1210, p. 2032, §15.)
The bonds shall be signed by the president of the authority and attested by its secretary, and all interest coupons applicable to the bonds shall be signed by the president of the authority; provided, that a facsimile of the signature of one, but not of both, of said officers may be printed or otherwise reproduced on any of the bonds in lieu of their being manually signed, and a facsimile of the president’s signature may be printed or otherwise reproduced on any of the interest coupons in lieu of their being manually signed. The seal of the authority shall be impressed on the bonds; provided, that a facsimile of said seal may be printed or otherwise reproduced on any of the bonds in lieu of being manually impressed thereon. If any officer duly authorized thereunto, after signing any of such bonds or the interest coupons thereunto appertaining, manually or by facsimile, shall for any reason vacate said office, the said bonds and interest coupons may nevertheless be delivered at any time thereafter as the act and deed of the authority.
(Acts 1973, No. 1210, p. 2032, §6.)
(a) Any of the bonds may be sold at any time and from time to time as said board of directors may deem advantageous. The bonds must be sold only at public sale, either on sealed bids or at public auction, to the bidder whose bid reflects the lowest net interest cost to the authority for the bonds being sold, computed from the date of those at the time being sold to their respective maturities; provided, that if no bid acceptable to the authority is received, it may reject all bids. Notice of each such sale must be given by publication in either a financial journal or a financial newspaper published in the City of New York, New York, and also by publication in a newspaper published in this state which is customarily published not less often than six days during each calendar week, each of which notices must be published at least one time not less than 10 days prior to the date fixed for the sale. The board of directors may fix the terms and conditions under which each such sale may be held; provided, that none of the bonds may be sold for a price less than the face value thereof; provided further, that such terms and conditions shall not conflict with any of the requirements of this article.
(b) Neither a public hearing nor consent of the state Department of Finance or any other department or agency shall be a prerequisite to the issuance of any of the bonds.
(Acts 1973, No. 1210, p. 2032, §7.)
Subject to the provisions contained in this article, the authority may from time to time sell and issue refunding bonds for the purpose of refunding any matured or unmatured bonds of the authority issued under this article and then outstanding, together with any premium that may be necessary to be paid in order to redeem or retire the bonds proposed to be refunded. The limitations provided for in Section 41-10-56 on the amount of bonds authorized in this article shall not apply to the said refunding bonds.
(Acts 1973, No. 1210, p. 2032, §8.)
(a) The authority shall pay out of the proceeds from the sale of any of the bonds all expenses, including fees of agents and attorneys and other charges, which said board of directors may deem necessary or advantageous in connection with the issuance of the bonds. The proceeds of the bonds, other than refunding bonds, remaining after paying the expenses of their issuance shall be turned over to the State Treasurer and shall be carried by him or her in a special account to the credit of the authority and shall be subject to be drawn on by the authority solely for the purposes of acquiring real estate suitable for the purpose of the authority in Jefferson County, Alabama, including all expenses reasonably necessary in connection with such acquisition, and erecting, constructing, and equipping on such real estate exhibition halls, buildings, warehouses, storage facilities, parking areas, and other structures and appurtenances of every kind and character used or useful in connection with the purpose for which the authority is created and all reasonable and necessary expenses incidental thereto and to the issuance of said bonds, including payment of principal of those bonds which shall mature during the construction of said facilities and for a period not exceeding six months thereafter and including payment of interest which shall accrue on said bonds during the construction of said facilities and for a period not exceeding six months thereafter.
Any portion of the principal proceeds derived from the sale of the bonds which the board of directors of the authority may determine is not then needed for any of the purposes for which the bonds are authorized to be issued shall, on order of the authority, be invested by the State Treasurer in any securities that are direct general obligations of the United States of America or the principal of and interest on which are unconditionally and irrevocably guaranteed by the United States of America. Any such securities may, at any time and from time to time on order of the authority, be sold or otherwise converted by the State Treasurer into cash. The income derived from any such investments shall be disbursed on order of the authority for any purpose for which it may lawfully expend funds.
Any balance in said account shall, upon completion of the facilities above described and the payment of all costs, be transferred to the reserve fund account of the authority provided for in this article.
(b) The proceeds from the sale of all refunding bonds issued by the authority under this article remaining after paying the expenses of their issuance shall be turned over to the state treasurer and used only for the purpose of refunding the principal of bonds of the authority theretofore issued under this article and then outstanding and paying any premium that may be necessary to be paid in order to redeem or retire the bonds to be refunded.
(Acts 1973, No. 1210, p. 2032, §11.)
(a) The properties of the authority and the income therefrom and all lease agreements made by the authority and income therefrom shall be forever exempt from any and all taxation in the State of Alabama. The bonds of the authority and the income therefrom shall be forever exempt from any and all taxation in the State of Alabama.
(b) Any of the bonds may be used by the holder thereof as security for the deposit of any funds belonging to the state or to any instrumentality or agency of the state in any instance where security for such deposits may be required by law.
(c) Unless otherwise directed by the court having jurisdiction thereof or by the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in any of the bonds.
(Acts 1973, No. 1210, p. 2032, §9.)
All debts assumed or created by the authority and all bonds issued by it shall be solely and exclusively obligations of the authority and shall not be obligations or debts of the State of Alabama. All contracts and agreements made by the authority pursuant to the provisions of this article shall be solely and exclusively obligations of the authority and shall not be obligations of the State of Alabama.
(Acts 1973, No. 1210, p. 2032, §10.)
(a) In the proceedings authorizing the issuance of any of its bonds, the authority is hereby authorized and empowered to pledge for the payment of the principal of and interest on such bonds, as the said principal and interest shall respectively mature, and to agree to use solely for such purpose all the revenues which under the provisions of Section 41-10-65 are provided for the payment of the said principal and interest. All such pledges made by the authority shall take precedence in the order of the resolutions containing such pledge.
(b) In said proceedings the authority may further provide and create a statutory lien upon the facilities and properties of the authority as security for the payment of said principal and interest. Such statutory lien shall not be subject to foreclosure.
(c) Upon the issuance of any bonds pursuant to this article, the authority shall file in the office of the Judge of Probate of Jefferson County, Alabama, an instrument reciting the issuance of such bonds and the pledge of said revenues and the creation of said statutory lien as security therefor, and the filing of such instrument shall constitute constructive notice of said pledge and lien. Such instrument shall be received and recorded by said judge of probate upon payment of the fee for the recording of mortgages, but no tax shall be payable with respect thereto.
(d) If there be any default in the payment of the principal of or interest on any bonds issued under this article, then the holders of any of the bonds and any of the interest coupons applicable thereto or any one or more of them shall be limited to the following remedies:
(1) They may by civil action, mandamus, or other proceeding compel performance of all duties of the officers and directors of the authority and of the State Treasurer with respect to the use of funds for the payment of the bonds and for the performance of the agreements of the authority contained in the proceedings under which they were issued; and
(2) They shall be entitled, regardless of the sufficiency of the security for the bonds in default and as a matter of right, to the appointment of a receiver to administer and operate the facilities and other properties of the authority out of the revenues from which the bonds issued with respect thereto are payable, with power to make leases and fix and collect rents sufficient to provide for the payment of the principal of and interest on the bonds and any other obligations outstanding against the facilities and other properties of the authority or the revenues therefrom and for the payment of the expenses of operating and maintaining such facilities and properties and with power to apply the income therefrom in accordance with the provisions of the proceedings under which the bonds were authorized to be issued; provided, that said receiver shall have no power to sell any of the property or facilities of the authority.
(Acts 1973, No. 1210, p. 2032, §13.)
For the purpose of providing funds for the payment of the costs and expenses necessary to accomplish the purpose of this authority and for the payment of the principal of and interest on any bonds issued by the authority under the provisions of this article, there is hereby created and irrevocably pledged to the payment of such obligations a special and continuing trust fund which shall consist of all revenues, receipts, and income from rents contracted for and received by the authority and all revenues, receipts, and income received by the authority from any other source whatsoever.
There shall be created within said special and continuing trust fund a reserve fund account of said authority in the State Treasury, in which shall be placed as a trust fund and held separate and apart from all other moneys of the state or of the authority, any moneys left over after the completion of the acquisition, erection, and construction of the facilities of the authority and the payment of all costs in connection therewith and in connection with the issuance of the bonds and all excess rentals and other surplus income after the payment of all annual charges and expenses of operation in each fiscal year, including principal and interest. Said reserve fund shall be held by the State Treasurer in trust for the authority and the holders of its bonds and may be invested only in securities which are either direct obligations of the United States of America or fully guaranteed as to principal and interest by the United States of America. Said reserve fund shall be used by the State Treasurer to pay, when due and payable, any installment of principal and interest or both on the outstanding bonds of the authority for which said fund was created which cannot be paid out of current revenues or other moneys of the authority. Said funds shall not be diverted or used for any other purpose.
There shall be created in said special and continuing trust fund an account thereof in which shall be deposited, segregated, and held only the amounts reasonably estimated to be necessary for the maintenance, operation, and upkeep of the facilities of the authority, with all excess moneys at the end of each fiscal year being transferred to the reserve fund, and the authority is authorized and is hereby directed to pay out of such account in the special and continuing trust fund all reasonable expenses of the maintenance, operation, and upkeep of the facilities of the authority.
(Acts 1973, No. 1210, p. 2032, §12.)
Out of the revenues referred to in Section 41-10-64, the State Treasurer is authorized and directed to pay the principal of and interest on the bonds issued by the authority under the provisions of this chapter as such principal and interest shall respectively mature, and he or she is further authorized and directed to set up and maintain appropriate records pertaining thereto.
(Acts 1973, No. 1210, p. 2032, §14.)
At least once every 12 months subsequent to the formation of the authority, the authority shall appoint and employ a certified public accountant who shall make an examination in detail of all books and accounts of the authority since the preceding examination and make a full report thereof in writing to be submitted to the authority and spread upon its minute book at the first meeting of the board after the receipt of said report. A copy of each such report shall be retained in the principal office of the authority and made available at reasonable hours to any holder of any bond of the authority upon request. A copy of each such report shall also be delivered by the authority to the State Treasurer within 30 days after its receipt by the authority.
(Acts 1973, No. 1210, p. 2032, §16.)
All facilities, buildings, and structures constructed by the authority shall be constructed according to plans and specifications of architects or engineers selected by the authority. Such construction shall be done under the supervision and direction of the Division of Construction Management of the Department of Finance or any agency designated by the Legislature as its successor following award for each part of the work to the lowest responsible bidder after advertising for receipt and public opening of sealed bids; provided, that the invitations for bids and the bidding documents shall be so arranged that any alternates from the base bid shall constitute cumulative deductions from the base bid; and, in determining the lowest bidder, if funds are insufficient to construct the facilities, buildings, and structures on the lowest base bid, then the commission may proceed to consider the bids upon the basis of the base bids of all bidders minus the respective reductions stated for the first alternate and, if the lowest bid so determined is not then within the funds available, the commission shall proceed to consider the base bid minus the first and second alternates together to determine the lowest bid and in like manner throughout all alternates, if need be, so that in no event shall there be any discretion as to which alternate or alternates will be used in determining the lowest responsible bidder. All such contracts shall be lump sum contracts. All contracts for the entire work shall be awarded at the same time, but notice to proceed may be withheld until prior work under another contract has progressed to a point where the joint or following work can best be coordinated for the earliest completion of the entire project in a sound and workmanlike manner. The contracts shall be executed by the authority upon the determination of the commission as to the lowest bidders, respectively.
Payments made by the authority under the construction contracts shall be upon the contractor’s written sworn request only if endorsed as approved by the commission or in any lesser amount the commission shall endorse as having been the earned on said contract.
The authority and the commission shall agree to a construction cost estimate including reimbursement to the commission of its reasonable direct cost in having plans, specifications, and contract documents prepared and in supervising and inspecting the work. After the contracts have been awarded, such construction cost estimates shall be revised, and all extras on the contracts may be awarded within the funds available.
(Acts 1973, No. 1210, p. 2032, §17.)
The authority and any person are hereby authorized to enter into a lease or leases for the use and occupancy of any or all property of the authority or for the use and occupancy of any space in or all of any buildings or facilities constructed by the authority under the provisions of this article; provided, that the proposed use by any such lessee or lessees shall be in furtherance of the purpose for which the authority is created; provided further, that an adequate rental is established in said lease or leases. Any executive head of any agency, board, commission, public corporation, bureau, or department of the state is hereby separately authorized to enter into any said lease with the authority.
No free space shall be available to any person on any of the property or in any of the buildings, facilities, and structures of the authority so long as the principal of or interest on any bonds, including refunding bonds, issued by the authority remains unpaid. If at any time there is or is about to be vacant space on the property or in the buildings, facilities, or structures constructed by the authority and there is no person available to rent such space for the purpose for which the authority is created, then, but only in such event, in order to prevent default in its bonds, the authority is hereby authorized to enter into leases with any person for any lawful purposes pursuant to and subject to such rules and regulations as to such occupancy as may be adopted by the authority; provided, that the use of such facilities by such tenants shall not interfere with the use of the premises by other tenants who are occupying same in furtherance of the purpose for which the authority is created; provided further, that any such leases shall be based upon a rental rate, established by the authority, commensurate with the then current commercial rates for similar facilities and space of like character in the City of Birmingham, Jefferson County, Alabama. Any such lease shall not be for the purpose of competing with private enterprise or for lending public credit, but shall be solely for the use and benefit of the holders of the authority’s bonds to avoid default thereon and to insure the prompt payment of the principal thereof and interest thereon when due.
(Acts 1973, No. 1210, p. 2032, §18.)
(a) When all bonds issued by the authority and all obligations assumed by it under the provisions of this article shall have been paid in full, the president of the authority shall thereupon execute and deliver in the name of and in behalf of the authority an appropriate deed or deeds, to which the seal of the authority shall be affixed and attested by the secretary of the authority, whereby there shall be conveyed to the state all the lands, buildings, fixtures, properties, and other assets then owned by the authority.
(b) The then officers and directors of the authority shall at such time file with the Secretary of State a written statement, subscribed and sworn to by each of them, reciting the payment in full of all bonds theretofore issued by the authority and the execution and delivery of such deed or deeds to the state, which statement shall be filed by the Secretary of State and recorded with the certificate of incorporation of the authority, whereupon the authority shall stand dissolved.
(Acts 1973, No. 1210, p. 2032, §19.)
This article shall be known and may be cited as the State Products Mart and Coliseum Authority Act.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §1.)
When used in this article, the following terms shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) CORPORATION. A corporation organized pursuant to the provisions of this article.
(2) BOARD. The board of directors of the corporation.
(3) STATE. The State of Alabama.
(4) COUNTY. That county in the state which authorized the organization of the corporation.
(5) MUNICIPALITY. The incorporated cities or towns located in the county which authorized the organization of the corporation.
(6) PUBLIC CORPORATION. Any public corporation now or hereafter organized or created in the state pursuant to the authorization or determination by the municipality or by the municipality and any one or more other cities and towns in the state or by the county or by the county and any one or more counties in the state.
(7) STATE AGENCY. Any public corporation now or hereafter organized or created in the state pursuant to the authorization or determination of the legislature of the state or any of its boards or agencies which are separate corporate entities from the state and from any of the counties or municipalities in the state and the debts of which are not debts of the state or any county or any municipality within the meaning of Sections 213, 224, or 225 of the constitution of the state.
(8) GOVERNING BODY. The county commission in which jurisdiction over the affairs of the county is vested by law.
(9) PROJECT. Any buildings and other improvements and facilities located or to be located within the municipality or within its police jurisdiction and designed for use as a products market, exhibition hall or coliseum where products and goods may be displayed to encourage the buying or selling thereof or where exhibits, contests and sporting events may be conducted, together with any lands deemed by the board to be desirable in connection therewith.
(10) BOND. Any bond authorized to be issued pursuant to the provisions of this article, including refunding bonds.
(11) COUPON. Any interest coupon evidencing an installment of interest payable with respect to a bond.
(12) INDENTURE. A mortgage, an indenture of mortgage, deed of trust, trust agreement, or trust indenture executed by the corporation as security for any bonds.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §3.)
It is the intention of the Legislature by the passage of this chapter to empower each county in the state to authorize the incorporation of one or more public corporations as political subdivisions of the state for the purpose of providing products markets, exhibition halls, coliseums, and buildings and related structures where products and goods may be displayed and exhibits, contests and sporting events conducted in order to encourage the buying and selling of products and goods, to encourage the expansion of existing industries in Alabama, to encourage the location of new industries in Alabama and to encourage public interest in sports and amusements and thus to promote commerce and goodwill in the State of Alabama and to invest each corporation organized hereunder with such powers as may be necessary or desirable to enable it to accomplish such purposes.
This article shall be liberally construed in conformity with such intent.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §2.)
In the event that any number of natural persons, not less than three, shall file with the governing body an application in writing for authority to incorporate a public corporation under the provisions of this article, and it shall be made to appear to the governing body that each of said persons is a duly qualified elector of and owner of property in the municipality and the governing body shall duly adopt a resolution declaring that it will be wise, expedient, and necessary or advisable that such corporation be formed and that the persons filing such application shall be authorized to proceed to form such corporation, then the said persons shall become the incorporators of and shall proceed to incorporate the corporation in the manner provided in this article. No corporation shall be formed under this article unless the application provided for in this section shall be made and unless the resolution provided for in this section shall be adopted.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §4.)
(a) The certificate of incorporation of the corporation shall state:
(1) The names of the persons forming the corporation, together with the residence of each thereof and a statement that each of them is a duly qualified elector of and owner of property in the municipality;
(2) The name of the corporation (which shall be “the state products mart (coliseum) authority located in _____ County” or some other name of similar import which is available for use);
(3) The location of its principal office, which shall be in the municipality;
(4) The purposes for which the corporation is proposed to be organized;
(5) The number of directors, which shall be not less than three nor more than five, subject, however, to mandatory increase as provided in this article; and
(6) Any other matter relating to the corporation which the incorporators may choose to insert and which is not inconsistent with this chapter or with the laws of the state.
(b) The form and contents of the certificate of incorporation must be submitted to the governing body for its approval. Any approval of such certificate by the governing body shall be evidenced by resolution duly entered upon the minutes of the governing body.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §5.)
(a) The certificate of incorporation shall be signed and acknowledged by the incorporators before an officer authorized by the laws of the state to take acknowledgments of deeds and shall have attached thereto a certified copy of the resolution provided for in Section 41-10-84 and a certificate by the Secretary of State of the state that the name proposed by the corporation is not identical with that of any other corporation in the state or so nearly similar thereto as to lead to confusion or uncertainty.
(b) The certificate of incorporation, together with the documents required by Section 41-10-84 to be attached thereto, shall be filed in the office of the judge of probate of the county, who shall forthwith receive and record the same.
(c) When such certificate of incorporation and attached documents have been so filed, the corporation shall come into existence and shall constitute a body corporate and politic and a political subdivision of the state under the name set forth in such certificate of incorporation, whereupon the corporation shall be vested with the rights and powers granted in this article.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §6.)
The certificate of incorporation may at any time and from time to time be amended so as to make any change therein and add any provision thereto which might have been included in the certificate of incorporation in the first instance.
Any such amendment shall be effected in the following manner: The members of the board of directors of the corporation shall file with the governing body an application in writing seeking permission to amend the certificate of incorporation, specifying in such application the amendment proposed to be made. Such governing body shall consider such application and, if it shall by appropriate resolution duly find and determine that it is wise, expedient, necessary, or advisable that the proposed amendment be made and shall authorize the same to be made and shall approve the form of the proposed amendment, then the persons making such application shall execute an instrument embodying the amendment specified in such application and shall file the same with the judge of probate of the county in which the certificate of incorporation was originally filed. The proposed amendment shall be subscribed and acknowledged by each member of the board before an officer authorized by the laws of Alabama to take acknowledgments to deeds. Such judge of probate shall thereupon examine the proposed amendment and, if he or she finds that the requirements of this section have been complied with and that the proposed amendment is within the scope of what might properly be included in an original certificate of incorporation, he or she shall approve the amendment and record it in an appropriate book in his or her office. When such amendment has been so made, filed, and approved, it shall thereupon become effective, and the certificate of incorporation shall thereupon be amended as provided in the amendment.
No certificate of incorporation shall be amended except in the manner provided in this section.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §7.)
The corporation shall have a board of directors composed of the number of directors provided for in the certificate of incorporation and as otherwise provided in this article. All powers of the corporation shall be exercised by its board or pursuant to its authorization. All directors shall be residents of the county. No director shall be an officer of the state or of the county. If any director resigns, dies, becomes incapable of acting as director, or ceases to reside in the county, the governing body shall elect a director to serve for the unexpired term of any director elected by it, and the Governor shall appoint a successor to serve the unexpired term of any director appointed by him or her. Directors shall be eligible for reelection or reappointment to succeed themselves in office. A majority of the qualified and voting members of the board shall constitute a quorum for the transaction of business. No vacancy in the membership of the board shall impair the right of a quorum to exercise the powers and duties of the corporation. The members of the board and the officers of the corporation shall serve without compensation, except that they may be reimbursed for actual expenses incurred in and about the performance of their duties. All proceedings of the board shall be reduced to writing by the secretary of the corporation and recorded in a well-bound book. Copies of such proceedings, when certified by the secretary of the corporation under its seal, shall be received in all courts as evidence of the matters and things therein certified.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §8.)
The governing body shall elect the number of directors provided in the certificate of incorporation of the corporation for staggered terms of office. At the time of the election of the first board, the governing body shall divide the directors into three groups containing as nearly equal whole numbers as may be possible. The first term of the directors included in the first group shall be two years; the first term of the directors included in the second group shall be four years; the first term of the directors included in the third group shall be six years; and, thereafter, the terms of all directors shall be six years; provided, that if at the expiration of any term of office of any director a successor shall not have been elected, then the director whose term of office shall have expired shall continue to hold office until his or her successor shall be so elected.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §9.)
In the event that there shall be provided to the corporation either by legislative appropriation or by executive allocation from funds of the state either moneys sufficient to pay the cost of necessary preliminary surveys and engineering, architectural or feasibility studies or reports or, in the alternative, one fourth or more of the total cost of constructing the project, then and in either of such events, the number of directors provided for in this article and in the certificate of incorporation of the corporation shall be doubled, and all the additional directors shall be appointed by the Governor for staggered terms of office terminating on the same respective dates as the terms of office of the directors elected by the governing body. The Governor shall likewise appoint the successors to such additional directors.
In all other respects, directors appointed by the Governor and the board, with such directors as members, shall be subject to the other provisions of this chapter respecting the individual directors and the board.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §10.)
The officers of the corporation shall consist of a chair, a vice-chair, a secretary, a treasurer, and such other officers as the board shall deem necessary to accomplish the purposes for which the corporation was organized. The offices of secretary and treasurer may but need not be held by the same person. The chair and vice-chair of the corporation shall be elected by the board from its membership. The secretary, the treasurer and any other officers of the corporation who may but need not be members of the board, shall also be elected by the board. Before he or she shall receive any moneys or securities of the corporation, the treasurer shall make appropriate bond in such amount as the board shall determine.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §11.)
The corporation shall have the following powers, together with all powers incidental thereto or necessary to the discharge thereof in corporate form:
(1) To have succession by its corporate name until dissolved as provided in this article;
(2) To sue and be sued, to prosecute and defend civil actions in any court having jurisdiction of the subject matter and the parties;
(3) To make use of a corporate seal and to alter the same at pleasure;
(4) To adopt and alter bylaws for the regulation and conduct of its affairs and business;
(5) To acquire, whether by purchase, gift, lease, devise, exercise of the power of eminent domain, or otherwise, property of every description which the board may deem necessary to the acquisition, construction, improvement, enlargement, operation, or maintenance of one or more projects and to hold title thereto or a leasehold interest therein;
(6) To borrow money for any of its corporate purposes and to sell and issue, in evidence of such borrowing, its interest-bearing revenue bonds;
(7) To sell and issue refunding revenue bonds;
(8) To secure any of its bonds by indenture as provided in this article;
(9) To appoint, employ and compensate such agents, architects, engineers, and attorneys as the business of the corporation may require;
(10) To provide for such insurance as the board may deem advisable;
(11) To invest in obligations which are direct and general obligations of the United States of America or which are unconditionally guaranteed as to both principal and interest by the United States of America any of its funds that the board may determine are not presently needed for its corporate purposes;
(12) To contract, lease, and make lease agreements respecting its properties or any thereof; and
(13) To sell and convey any of its properties that may have become obsolete or worn out or that may no longer be needed or useful in connection with the operation of any project; provided, that it shall not have the power to sell or convey any project substantially as a whole except as provided in this article.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §12.)
The corporation shall have the same powers of eminent domain as are vested by law in the county, which powers shall be exercised in the same manner and under the same conditions as are provided by law for the exercise of the power of eminent domain by the county.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §14.)
The corporation is authorized at any time and from time to time to issue its interest-bearing revenue bonds for the purpose of acquiring, constructing, improving, enlarging, completing, and equipping one or more projects. The principal of and interest on any such bonds shall be payable solely out of the rent, revenues, and income derived from the project with respect to which such bonds are issued. None of the bonds of the corporation shall ever constitute an obligation or debt of the state, the county or the municipality or a charge against the credit or taxing power of the state, the county or municipality.
The bonds of the corporation may be in such form and denomination, may be of such tenor, may be coupon bonds and may be payable to bearer or be registrable as to principal only or as to both principal and interest, may mature at such time or times, not exceeding 30 years from their date, may be payable at such place or places, whether within or without the state and, may bear interest at such rate or rates, payable and evidenced in such manner as shall not be inconsistent with the provisions of this article and as may be provided in the proceedings of the board wherein the bonds shall be authorized to be issued.
Any bond having a specified maturity of more than 10 years after its date shall be made subject to prior redemption at the option of the corporation at a time not later than the expiration of 10 years from its date and on any interest payment date thereafter, at such price or prices, not exceeding the par value thereof plus accrued interest thereon to the redemption date plus a premium which shall not exceed 12 months interest thereon, computed at the rate which such bond would bear on the redemption date as specified therein, if such option had not been exercised, and after such notice or notices and on such terms and in such manner as may be provided in the indenture or the proceedings of the board wherein such bond is authorized to be issued.
The bonds of the corporation shall be sold at public sale, on sealed bids or at auction, as the board may determine to be most advantageous and on such prior published notice as the board shall determine.
The corporation may pay all expenses, premiums, and commissions which the board may determine to be necessary or advantageous in connection with the authorization, sale and issuance of its bonds.
All bonds shall contain a recital that they are issued pursuant to the provisions of this article, which recital shall be conclusive that they have been duly authorized pursuant to the provisions of this article.
All bonds issued under the provisions of this article shall be and they hereby are declared to be negotiable instruments under the laws of the state, despite the fact that they are payable from a limited source.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §18.)
(a) Upon the adoption by the board of any resolution providing for the issuance of bonds, the corporation may, in its discretion, cause to be published once a week for two consecutive weeks in a newspaper published in the county a notice in substantially the following form (the blanks being properly filled in) at the end of which shall be printed the name and title of either the chairman or secretary of the corporation:
“Notice of proposed issuance of revenue bonds of _____ (name of corporation). The above named public corporation which is a political subdivision of the State of Alabama on the _____ day of , adopted a resolution authorizing the issuance of $ principal amount of the revenue bonds of said corporation for ______, which is a project authorized and permitted by the act of the Legislature of Alabama under which said corporation was organized. Any civil action or proceeding questioning the validity of the said bonds or pledge of any rent, revenues or income to the payment thereof or the indenture under which said bonds will be issued or the proceedings authorizing the same must be commenced within 20 days after the first publication of this notice.”
(b) Any civil action or proceeding in any court to set aside, contest, or question the legality of the bonds referred to in said notice or the proceedings authorizing the issuance of such bonds or the validity of the pledges made therefor or the indenture under which they are to be issued must be commenced within 20 days after the first publication of such notice. After the expiration of said period, no right of action or defense questioning or attacking the validity of said proceedings or the said bonds or the said pledges or indenture shall be asserted nor shall the validity of the said proceedings, bonds, pledges or indenture be open to question in any court on any grounds whatsoever except in a civil action commenced within such period.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §26.)
All bonds shall be signed by the chair or vice-chair of the corporation, and the seal of the corporation shall be affixed thereto and attested by its secretary. A facsimile of the seal of the corporation and of the signature of either of said officers, but not both of them, may be impressed on the bonds in lieu of their manually signing the same.
Coupons shall be signed by the chair or vice-chair of the corporation, but a facsimile of the signature of such chair or such vice-chair may be impressed on any such coupons in lieu of his manually signing the same. Bonds so executed shall be valid and may be delivered, notwithstanding any changes in the officers or the seal of the corporation after the signing and sealing of the bonds.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §19.)
The principal of and interest on the bonds shall be secured by a pledge of the rent, revenues, and income out of which the bonds shall be made payable and by a pledge of any lease agreements covering the project or any part thereof from which the rent, revenues and income so pledged shall be derived and may be secured by an indenture covering such project. The trustee under an indenture may be a trust company or bank having trust powers, whether located within or without the state. The indenture may contain any agreements and provisions customarily contained in instruments securing evidences of indebtedness, including, without limiting the generality of the foregoing, provisions respecting the collection, segregation, and application of the rent, revenues, and income from any project covered by such indenture, the terms to be incorporated in the lease agreements respecting such project or any part thereof, the maintenance and insurance of such project, the creation and maintenance of special funds from the rent, revenues, and income of such project and the rights and remedies available in the event of default to the holders of the bonds or the trustee under the indenture as the board shall deem advisable and as shall not be in conflict with the provisions of this article.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §20.)
The proceeds derived from the sale of any bonds, other than refunding bonds, may be used only to pay the cost of acquiring, constructing, improving, enlarging, and equipping the project with respect to which they were issued, as may be specified in the indenture or the proceedings in which the bonds are authorized to be issued. Such cost shall be deemed to include the following: the cost of acquiring any interest in the land forming a part of the project; the cost of the labor, materials, and supplies used in any such construction, improvement, or enlargement, including architect’s and engineer’s fees and the cost of preparing contract documents and advertising for bids; the purchase price of and the cost of installing equipment for the project, the cost of landscaping the land forming a part of the project and of constructing and installing roads, sidewalks, curbs, gutters, utilities, and parking places in connection therewith; legal fees and recording fees and expenses incurred in connection with the authorization, sale, and issuance of the bonds issued in connection with such project and interest on the said bonds for a reasonable period prior to and during the time required for such construction and equipment and for not more than one year thereafter.
If any of the proceeds derived from the sale of the bonds remains undisbursed upon completion of such work and payment of all the costs and expenses thereof, such balance shall be used for the retirement of the principal of the bonds of the same issue.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §21.)
No part of any of the proceeds of the bonds provided for herein shall be used for the payment of fees, commission, expense, salary, or other remuneration to any fiscal agent, person, firm, or corporation for services in the sale, issuance, execution or refunding of the bonds provided for in this article, and the total attorneys’ fees which may be paid for services rendered to the authority shall not exceed one half of one percent of the face amount of the bonds issued under the provisions of this article.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §29.)
The corporation may at any time and from time to time issue refunding bonds for the purpose of refunding the principal of and interest on any bonds of the corporation theretofore issued under this article and then outstanding, whether or not such principal and interest shall have matured at the time of such refunding, and for the payment of any expenses incurred in connection with such refunding and such premium as is necessary to be paid in order to redeem or retire the bonds to be refunded. The proceeds derived from the sale of any refunding bonds shall be used only for the purposes for which the refunding bonds were authorized to be issued. Any such refunding may be effected either by sale of the refunding bonds, in the manner provided for in this article with respect to bonds, the application of the proceeds thereof or by exchange of the refunding bonds for the bonds or interest coupons to be refunded thereby; provided, that the holders of any bonds or coupons so to be refunded shall not be compelled without their consent to surrender their bonds or coupons for payment or exchange prior to the date on which they may be paid or redeemed by the corporation under their respective provisions. Any refunding bonds of the corporation shall be payable solely from the revenues out of which the bonds or coupons to be refunded thereby were payable. All provisions of this article pertaining to bonds of the corporation that are not inconsistent with the provisions of this section shall also apply to refunding bonds issued by the corporation.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §22.)
The governing body is authorized in its discretion to invest in bonds of the corporation any idle or surplus money held in the treasury of the county which is not otherwise earmarked or pledged.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §24.)
Bonds issued under the provisions of this article are hereby made legal investments for executors, administrators, trustees, and other fiduciaries and for savings banks and insurance companies organized under the laws of the state.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §25.)
(a) Remedies upon default on bonds or indenture. If there shall be any default in the payment of the principal of or interest on any of the bonds issued under this article, or in the performance of any provisions of the indenture or proceedings authorizing the issuance of such bonds, then the holder of any of the bonds and the interest coupons applicable thereto and the trustee under such indenture or any one or more of them shall have and may exercise any one or more of the following remedies:
(1) They may by civil action, mandamus, injunction, or other proceeding compel the performance of all duties of the officers and directors of the corporation with respect to the use of funds for the payment of the bonds and for the performance of the bonds and the agreements of the corporation contained in the bonds, the indenture or in the proceedings under which they were issued;
(2) They may institute a civil action and shall be entitled to a judgment against the corporation for the principal of and interest on the bonds so in default;
(3) They shall be entitled, regardless of the sufficiency of the security for the bonds in default and as a matter of right, to the appointment of a receiver to operate, administer and maintain the project out of the rent, revenues, and income from which the bonds so in default are payable, with power to lease the project and the various parts thereof and to fix and collect rents therefor and to fix and collect charges and fees for exhibitions and contests conducted therein sufficient to provide for the payment of the principal of and interest on the bonds and any other obligations outstanding against the project or the revenues therefrom and for the payment of the expense of operating and maintaining the project and to apply the rent, revenues, and income so collected to the court costs and expenses of the receivership and as provided in the indenture;
(4) They may foreclose any mortgage, conditional sale or lien upon the project or any part thereof provided in the indenture under which such bonds were issued and cause the project to be sold, either with or without court proceedings, either by the trustee or by the creditors or by their attorneys, or, if foreclosure is by court proceedings, by such official as the court may designate. The trustee or any holder of any of the bonds or coupons or any creditor may become a purchaser at any such foreclosure sale; and
(5) They may exercise any right or remedy, including the possession, operation and leasing of the project by the trustee under the indenture, as may be provided in the indenture.
(b) Remedies upon default in lease agreement. If there be any default by the municipality, county, state, or any public corporation or state agency in the payment of any installment of rent or the performance of any agreement required to be made or performed by them under the provisions of any lease agreement, the corporation and the trustee under any indenture or either of them shall have and may exercise any one or more of the following remedies:
(1) They may by mandamus, injunction, or other proceedings, compel performance by the officials of such lessee of their duties respecting payment of the rentals required to be paid and the performance of the agreements on the part of such lessee required to be performed under any such lease agreement;
(2) They shall be entitled to a judgment against such lessee for all monetary payments required to be made by such lessee under the provisions of such lease agreement with respect to which the lessee is then in default;
(3) They may terminate the lease and take possession of the project or part thereof leased to such lessee; and
(4) They may exercise any other remedy provided for in such lease.
(c) Remedies provided by section cumulative. The remedies specified in this section shall be cumulative to all other remedies which may otherwise be available to or for the benefit of the holders of the bonds and the coupons applicable thereto or the corporation as lessor of a project or any part thereof.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §23.)
(a) Leases to municipality, county, or state. The corporation, the municipality, the county, and the state are hereby respectively authorized to enter into with each other one or more lease agreements whereunder a project or any part thereof shall be leased by the corporation to such other party for a term not longer than the then current fiscal year of such lessee, but any such lease agreement may contain a grant to such lessee of successive options of renewing said lease agreement on the term specified therein for any subsequent fiscal year or years of such lessee. The rental for each fiscal year during which said lease agreement shall be in effect shall be due in advance on the first day of the fiscal year, and the said rental for said fiscal year shall be payable and any such covenant to pay rent on the part of such municipality or county or the state shall be performed solely out of its current revenues for such fiscal year. The rental payable and the covenants to be performed by the municipality or the county or the state under the provisions of said lease agreement shall not be such as to create an indebtedness within the meaning of Sections 213, 224, or 225 of the constitution.
(b) Leases to public corporations or state agencies. The corporation and any public corporation or state agency are hereby respectively authorized to enter into with each other one or more lease agreements whereunder a project or any part thereof shall be leased by the corporation to said public corporation or state agency for a term not longer than 30 years. Neither the state, the county nor any municipality in the county shall in any manner be liable for the performance of any obligation or agreement contained in any lease agreement between the corporation and a public corporation or state agency. The rental payable and the covenants to be performed by a public corporation or state agency under the provisions of any such lease agreement shall never create a debt of the state, the county, or any municipality therein within the meaning of Sections 213, 224, or 225 of the constitution.
(c) Leases to others. The corporation is hereby authorized to lease a project or any part thereof to any person, firm, or corporation for such period of time and on such terms and conditions as may be mutually agreed on by the parties to the agreement under which such lease shall be made.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §16.)
The corporation or any lessee of the project or a part thereof shall have the right to conduct such exhibits, contests, and sporting events in a project or any part thereof as in the judgment of the board may be in the public interest or as may tend to promote and develop trade, industry, or commerce in the state or to provide public recreation and enjoyment or to create goodwill for the state, with or without fees or charges for admission thereto.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §17.)
The municipality, the county, and the state are hereby respectively authorized to convey to the corporation, with or without the payment of monetary or other consideration therefor, any property that may be owned by the municipality, the county or the state, whether or not such property is necessary to the conduct of the governmental or other public functions of the municipality, the county or the state.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §13.)
The municipality and the county are hereby each respectively authorized to appropriate and pay over to or for the use of the corporation such sums as they consider desirable either to provide funds to pay for preliminary surveys, engineering and architectural studies to determine the feasibility of a project and reports of such studies or to pay all or any part of the cost of any project. Neither the municipality nor the county shall be obligated to make any such appropriation nor shall they do so in such manner as to constitute the revenue bonds of the corporation an indebtedness of the municipality or the county within the meaning of Section 224 or 225 of the constitution of the state or bonds within the meaning of Section 222 thereof.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §15.)
Each project and the income from all leases made with respect thereto, the bonds issued by the corporation and the income therefrom, and all lease agreements and indentures made pursuant to the provisions of this article shall be exempt from all taxation in the state.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §27.)
(a) At any time when the corporation does not have any bonds outstanding, the board may adopt a resolution, which shall be duly entered upon its minutes, declaring that the corporation shall be dissolved. Upon the filing for record of a certified copy of said resolution in the office of the judge of probate of the county, the corporation shall thereupon stand dissolved and, in the event that it owns any property at the time of its dissolution, the title to all its property shall thereupon vest in the county.
(b) In the event that the corporation shall at any time have outstanding bonds issued under this article payable out of the revenues from different projects, then as and when the principal of and interest on all bonds payable, in whole or in part, from the revenues derived from any project shall have been paid in full, title to the project with respect to which the bonds so paid in full have been paid shall thereupon vest in the county, but such vesting of title in the county shall not affect the title of the corporation to any other project the rent, revenues or income from which are pledged to the payment of any other bonds then outstanding.
(c) The formation of one or more corporations under the provisions of this article shall not prevent the subsequent formation under this article of other corporations pursuant to the authorization by the same county.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §28.)
This article shall not be construed as a restriction or limitation upon any power, right, or remedy which any county or any corporation now in existence or hereafter formed may have in the absence thereof and shall be construed as cumulative and independent thereof.
(Acts 1965, 1st Ex. Sess., No. 174, p. 224, §30.)
This article shall be known and cited as the Historical Preservation Authorities Act of 1979.
(Acts 1979, No. 79-441, p. 710, §1.)
The following words and phrases used in this article and others evidently intended as the equivalent thereof shall, in the absence of clear implication in this article otherwise, be given the following respective interpretations:
(1) APPLICANT. A natural person who files a written application with the Governor in accordance with the provisions of Section 41-10-138.
(2) AREA OF OPERATION. The area specified in the certificate of incorporation of an authority, within which the authority is empowered to carry on its business and activities under this article.
(3) AUTHORITY. A public corporation organized pursuant to the provisions of this article.
(4) BOARD. The board of directors of an authority.
(5) BONDS. Includes bonds, notes, debentures, and certificates representing an obligation to pay money.
(6) COMMISSION. The Alabama Historical Commission, an agency of the state established under Section 41-9-240.
(7) COUNTY. Any county in this state.
(8) DIRECTOR. A member of the board of directors of an authority.
(9) INCORPORATORS. The persons who form an authority pursuant to this article.
(10) MUNICIPALITY. Any incorporated city or town in this state.
(11) NATIONAL REGISTER OF HISTORIC PLACES. The national register of districts, sites, buildings, structures and objects significant in American history, architecture, archaeology, and culture maintained by the Secretary of the Interior pursuant to the laws of the United States of America, including particularly the National Historic Preservation Act of 1966, as amended.
(12) PERSON. Unless limited to a natural person by the context in which it is used, such term includes a public or private corporation, a partnership, an association, a municipality, a county, or an agency, department or instrumentality of this state or of a county or municipality.
(13) PROPERTY. Includes real, personal, and mixed property and interests therein.
(14) STATE. The State of Alabama.
(15) VICINITY IMPROVEMENTS. Buildings, facilities and improvements for the accommodation of visitors to any facility owned by an authority which is registered in the National Register of Historic Places including, without limitation, motels, restaurants, coffee shops, stores to provide gifts and souvenir items, picnic areas, camp sites, trailer sites, cabins, lodges, parking lots, museums, exhibition and lecture rooms and areas, comfort stations, meeting halls, pavilions, centers for cultural entertainment, exhibitions and exhibits, and administrative or office buildings; provided that nothing contained in this article is intended to authorize any authority itself to operate as a commercial enterprise any such motel, restaurant, shop, or store; and provided further that all such buildings, facilities, and improvements are located within one-fourth of one mile of the facility registered in the National Register of Historic Places which is owned or operated or controlled by an authority, and within the area of operation of such authority.
(Acts 1979, No. 79-441, p. 710, §2.)
Public corporations may be formed under the provisions of this article as agencies or instrumentalities of this state for any one or more or all of the following purposes:
(1) To undertake and to make or cause to be made engineering, architectural, technical, financial, legal, and other appropriate studies and surveys with respect to restoring, renovating, preserving, improving, protecting, or maintaining any public or private property within the state that has been listed in the National Register of Historic Places, or providing vicinity improvements.
(2) To restore, construct, acquire, own, and operate, singly or in conjunction with others, lease, sell, and otherwise dispose of land, buildings, houses, or other structures, facilities, or property within the state that have been listed in the National Register of Historic Places, and any vicinity improvements.
(3) To cooperate with and lend financial assistance and other aid to persons in any matters and undertakings having to do with or the end purpose of which is to restore, renovate, preserve, improve, protect, or maintain any public or private property that has been listed in the National Register of Historic Places, or to provide vicinity improvements.
(Acts 1979, No. 79-441, p. 710, §3.)
(a) In order to form a public corporation under the provisions of this article, any number of natural persons, not less than three, shall first file a written application with the Governor. Such application shall:
(1) Contain a statement that such public corporation proposes to undertake and carry out one or more or all of the purposes defined in Section 41-10-137 with respect to public corporations formed under this article;
(2) Contain a description by county name or otherwise of the area of operation in which the public corporation proposes to carry on its activities;
(3) State that land, buildings, houses, or other structures, facilities, or property located in the area of operation of the public corporation and listed in the National Register of Historic Places are in need of restoration, renovation, preservation, improvement, protection, or maintenance;
(4) State that the proposed activities of the public corporation within the area of operation will promote the preservation of and interest in property listed in the National Register of Historic Places;
(5) State that each of the applicants is a person of good moral character and is a duly qualified elector of the state who resides in the proposed area of operation; and
(6) Request that the Governor issue an executive order declaring that he or she has reviewed the contents of the application and has found the statements of fact contained therein to be true and authorizing the persons filing the application to proceed to form such public corporation. Every such application shall be accompanied by such supporting documents or evidence as the applicants may deem appropriate.
(b) As promptly as is practicable after the application is filed as provided in this section, the Governor shall review the contents of the application and shall find and determine whether the statements of fact contained in the application are true. If the Governor finds and determines that any of the statements of fact contained in the application are not true, the Governor shall forthwith issue an executive order denying the application; but, if the Governor finds and determines that the statements of fact contained in the application are true, the Governor shall forthwith issue an executive order declaring that he or she has reviewed the contents of the application and has found and determined that the statements of fact contained in the application are true, declaring that the proposed activities of such public corporation in the area of operation described will promote the restoration, renovation, preservation, improvement, protection or maintenance of, and public interest in, land, buildings, houses, or other structures, facilities, or property listed in the National Register of Historic Places and that, for such reason, it is wise, expedient and necessary that such public corporation be formed and authorizing the persons filing the application to proceed to form such public corporation.
In finding and determining whether the statements of fact contained in the application are true, the Governor may, without investigation or further consideration, assume that the statements made pursuant to subdivisions (1) and (2) of subsection (a) of this section are true and, upon such assumption, so find and determine. It shall be sufficient to establish the truth of the statement made pursuant to subdivision (3) of subsection (a) of this section if there accompanies the application a resolution by the commission that land, buildings, houses, or other structures, facilities, or property located in the proposed area of operation of the public corporation and listed in the National Register of Historic Places are in need of restoration, renovation, preservation, improvement, protection, or maintenance; provided, however, that such means of establishing the truth of said statements are not to be taken as being exclusive. If the statement of fact made pursuant to subdivision (3) of subsection (a) of this section is found and determined to be true, then the Governor may without investigation or further consideration assume that the statement of fact made pursuant to subdivision (4) of subsection (a) of this section is true and, upon such assumption, so find and determine.
Notwithstanding the preceding provisions of this subsection, the Governor shall notify the respective county governing bodies of any requests to form an authority in an area comprising two or more counties. Such notice must precede any executive order relating to the request by 20 days.
(Acts 1979, No. 79-441, p. 710, §4; Acts 1980, No. 80-366, p. 485.)
(a) After the date of issuance by the Governor of his or her executive order authorizing the applicants to proceed to form a public corporation, as provided in Section 41-10-138, the applicants or not less than three of the applicants shall proceed to incorporate a public corporation by filing of record in the Office of the Secretary of State a certificate of incorporation which shall comply in form and substance with the requirements of this section and be executed in the manner provided in this section.
(b) The certificate of incorporation of the authority shall state:
(1) The names of the persons incorporating the authority, together with their post office addresses and a statement that each of them is a qualified elector of the state;
(2) The name of the authority (which shall include the words “historical preservation authority”);
(3) The location of the principal office of the authority, which shall be within the area of operation;
(4) A description, by county name or otherwise, of the area of operation;
(5) The objects for which the authority is incorporated;
(6) The period for the duration of the authority (which may be perpetual if so stated); and
(7) Any other matters relating to the authority not contrary to law which the incorporators choose to insert.
(c) The certificate of incorporation shall be signed by each of the incorporators and shall be acknowledged before an officer authorized by the laws of this state to take acknowledgments to deeds. When the certificate of incorporation is filed for record there shall be attached to it a copy of the executive order of the Governor authorizing the incorporation of the authority. When the certificate of incorporation is filed in his or her office, the Secretary of State shall forthwith receive and record the same, and thereupon the authority shall be in existence under the name stated in the certificate of incorporation and shall constitute and be a public corporation and instrumentality of the state.
(Acts 1979, No. 79-441, p. 710, §5.)
Each authority shall be governed by a board of directors consisting of three directors, all of whom shall be persons of good moral character, duly qualified electors of the state, and residents of the area of operation of the authority. All powers of an authority shall be exercised by the board or pursuant to its authorization. If the area of operation of an authority shall be wholly within the corporate limits of any municipality, the directors of that authority shall be appointed by the governing body of that municipality. If the area of operation of an authority shall be wholly within a single county, the directors of that authority shall be appointed by the governing body of that county. If the area of operation of an authority shall be larger than any single county, the directors of that authority shall be appointed by the Governor. Whenever the appointment of directors of such an authority is required, the Governor shall notify the respective county governing bodies in writing of the authority and the number of directors to be appointed. The Governor may appoint as a director of the authority any person qualified to serve as such under the provisions of this article; provided, however, that the Governor shall notify the respective county governing bodies, in writing, 20 days prior to the appointment. The terms of the directors shall be staggered, the first term of one director being for two years from and after the date of his or her appointment, the first term of another director being for four years from and after the date of his or her appointment, and the first term of the remaining director being for six years from and after the date of his or her appointment; thereafter, the term of office of each director shall be for six years. Each director shall serve during his or her term of office, and until his or her successor is appointed and qualified. Vacancies on the board shall be filled by appointment by the governing body or the Governor having the power to make the appointment for the full term. Appointments to fill vacancies which occur during a regular term shall be for the unexpired term. Directors shall be eligible for reappointment. If the certificate of incorporation shall so provide, each director may be reimbursed by the authority for actual expenses incurred by him or her in and about the performance of his or her duties. Any director of an authority may be impeached and removed from office in the same manner and on the same grounds provided by Section 175 of the Constitution of Alabama and the general laws of the state for impeachment and removal from office of the officers mentioned in said Section 175.
(Acts 1979, No. 79-441, p. 710, §6; Acts 1980, No. 80-366, p. 485.)
An authority shall have the following powers, together with all powers incidental thereto or necessary to the discharge thereof in corporate form:
(1) To have succession by its corporate name for the duration of time (which may be in perpetuity) specified in its certificate of incorporation;
(2) To maintain civil actions and have civil actions maintained against it in its corporate name, except as otherwise provided in this article, and to defend civil actions against it;
(3) To adopt and make use of a corporate seal and to alter the same at pleasure;
(4) To amend its certificate of incorporation by filing in the office of the Secretary of State a certificate signed by all of the directors of the authority setting forth the details of the amendment, such certificate to be acknowledged in the same manner as the certificate of incorporation;
(5) To adopt and alter bylaws for the regulation and conduct of its affairs and business;
(6) To acquire, receive, and take title to, by purchase, gift, lease, devise, or otherwise, to hold, keep and develop and to transfer, convey, lease, assign or otherwise dispose of property of every kind and character, real, personal and mixed, and any and every interest therein, located within the area of operation of the authority, to any person;
(7) To undertake and to make or cause to be made, either singly or in conjunction and cooperation with others, appropriate studies, surveys, arrangements, undertakings and construction designs and plans and supervision having to do, directly or indirectly, with the restoration, renovation, preservation, improvement, protection or maintenance of, or interest in, any public or private property that has been listed in the National Register of Historic Places or acquisition or construction of any vicinity improvements; provided, however, that the authority shall not pay out any of its funds by way of any form of remuneration or compensation to any persons engaged in the making of any such studies, surveys, arrangements, undertakings, and construction designs, plans, and supervision other than to persons who are directly employed in that connection by the authority;
(8) To make available and give, subject to the provisions of subdivision (7) of this section, to any person, financial and technical assistance and aid of every kind and character which will directly or indirectly promote, encourage or effect the restoration, renovation, preservation, improvement, protection or maintenance of, or interest in, any public or private property that has been listed in the National Register of Historic Places or acquisition or construction of any vicinity improvements;
(9) To make, enter into and execute such contracts, agreements, leases, and other legal arrangements and to take such other steps and actions as may be necessary or convenient in the furtherance of any purpose or the exercise of any power provided or granted to it by law;
(10) To borrow money for any corporate purpose, function, or use and to issue in evidence of the borrowing, interest-bearing bonds payable solely from the revenues derived from the operation or leasing or sale of any of its property;
(11) To pledge for the payment of any bonds issued or obligations assumed by the authority any revenues from which those bonds or obligations are made payable and to execute and deliver, as security for such bonds and obligations, mortgages, deeds of trust, trust indentures, and pledge indentures as provided for hereinafter;
(12) To carry out all of its functions, exercise all of its powers, and conduct all of its business and affairs without regard to the provisions of Sections 41-16-50 through 41-16-63, or any similar law respecting competitive bidding, that might otherwise be applicable;
(13) To provide for such insurance as the authority may deem advisable;
(14) To invest any of its funds deemed by the authority to be not presently needed in the operation of its properties and undertakings in bonds, bills, or notes of the United States of America, bonds of the state, bonds of any county or municipality within the state, and interest-bearing deposits in banks and savings and loan institutions or any thereof; and
(15) To cooperate with the United States of America and any agency or instrumentality thereof, any state and its agencies and instrumentalities, any county or municipality or other political subdivision of a state, and any other person, and to make and enter into contracts and all manner of legal arrangements with them or any of them and to obtain money by way of loans, grants, or payments from them or any of them or property or other forms of assistance as the authority may deem advisable to accomplish the purposes for which the authority was created.
(Acts 1979, No. 79-441, p. 710, §7.)
All bonds issued by an authority may be executed by such officers of the authority and in such manner as shall be provided in the proceedings of the board whereunder the bonds shall be authorized to be issued. Any such bonds may be executed and delivered by an authority at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall contain such provisions not inconsistent with the provisions of this article and shall bear such rate or rates of interest, payable and evidenced in such manner as may be provided by resolution of its board. Bonds of an authority may be sold at either public or private sale in such manner and at such price or prices and at such time or times as may be determined by the board to be most advantageous. The principal of or interest on any bonds issued or obligations assumed by an authority may thereafter at any time (whether before, at or after maturity of any such principal and whether at, after or not exceeding six months prior to the maturity of any such interest) and from time to time be refunded by the issuance of refunding bonds of the authority, which may be sold by the authority at public or private sale at such price or prices as may be determined by its board to be most advantageous or which may be exchanged for the bonds or other obligations to be refunded. An authority may pay all expenses, premiums, and commissions which its board may deem necessary and advantageous in connection with any financing done by it. All bonds issued by an authority, unless registered as to principal, shall be construed to be negotiable instruments though payable from a specified source. All obligations created or assumed by an authority shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of any county or municipality or of the state; provided, that this sentence shall not be construed to release the original obligor from liability on any bond or other obligation assumed by an authority. Any bonds issued by an authority shall be limited or special obligations of the authority payable solely out of the revenues of the authority specified in the proceedings authorizing those bonds. Any such proceedings may provide that the bonds therein authorized shall be payable solely out of the revenues derived from the operation or leasing or sale of all property and facilities owned or operated by the authority or solely out of the revenues from the operation or leasing or sale of any one or more of such property and facilities, or parts thereof, regardless of the fact that those bonds may have been issued with respect to or for the benefit of only certain property and facilities of the authority. An authority may pledge for the payment of any of its bonds issued or obligations assumed the revenues from which such bonds or obligations are payable and may execute and deliver a trust indenture evidencing any such pledge or a mortgage and deed of trust conveying as security for such bonds or obligations the property and facilities, or any part of any thereof, the revenues or any part of the revenues from which are so pledged. Any mortgage and deed of trust or trust indenture made by an authority may contain such agreements as the board may deem advisable respecting the operation, leasing, and maintenance of the property and the use of the revenues subject to such mortgage and deed of trust or affected by such trust indenture and respecting the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit of whom such instrument is made; provided, that no such instrument shall be subject to foreclosure unless the person to whom the property or facilities are leased by the authority operates for profit, in which event any such mortgage may be subject to foreclosure.
(Acts 1979, No. 79-441, p. 710, §8.)
As security for payment of the principal and interest on bonds issued or obligations assumed by it, an authority may enter into a contract or contracts binding itself for the proper application of the proceeds of bonds and other funds, for the continued operation, leasing, and maintenance of any property and facilities owned or controlled and operated by it or under its authority or any part or parts thereof, for the imposition and collection of reasonable rates and rentals for and the promulgation of reasonable regulations respecting the use of property and facilities of the authority and any service furnished therefrom, for the disposition and application of its gross revenues or any part thereof and for any other act or series of acts not inconsistent with the provisions of this article for the protection of the bonds and other obligations being secured and the assurance that revenues from such property and facilities will be sufficient to cover the cost of all direct operation of such property and facilities by the authority and the maintenance in good condition of such property and facilities owned and controlled by the authority, the payment of the principal of and interest on any bonds payable from such revenues and the maintenance of such reserves as may be deemed appropriate for the protection of the bonds, the efficient operation of such property and facilities, and the making of replacements thereof and capital improvements thereto. Any contract pursuant to the provisions of this section may be set forth in any resolution of the board authorizing the issuance of bonds or the assumption of obligations or in any mortgage and deed of trust and trust indenture made by an authority under this article.
(Acts 1979, No. 79-441, p. 710, §9.)
Any resolution of the board or trust indenture under which bonds may be issued pursuant to the provisions of this article may contain provisions creating a statutory mortgage lien in favor of the holders of such bonds and of the interest coupons applicable thereto on the property and facilities, or any part thereof (including any after-acquired property) out of the revenues from which such bonds are made payable. The said resolution of the board or the said trust indenture may provide for the filing for record in the office of the judge of probate of each county in which any property and facilities, or any part thereof, may be located of a notice containing a brief description of such bonds and a declaration that the said statutory mortgage lien has been created for the benefit of the holders of such bonds and the interest coupons applicable thereto upon such property and facilities, or any thereof, including additions thereto and extensions thereof. Each judge of probate shall receive and record and index under the name of the authority any such notice filed for record in his office. The recording of such notice, as provided in this section, shall operate as constructive notice of the contents thereof.
(Acts 1979, No. 79-441, p. 710, §10.)
All moneys derived from the sale of any bonds issued by an authority shall be used solely for the purpose or purposes for which the same are authorized and any costs and expenses incidental thereto. Such costs and expenses may include, but shall not be limited to:
(1) The fiscal, engineering, architectural, legal, and other expenses incurred in connection with the issuance and sale of the bonds;
(2) In the case of bonds issued to pay costs of construction, building, acquisition, restoration, renovation, or improvement of property of the authority, interest on such bonds (or, if a part only of bonds of any series is issued for such purposes, interest on that portion of the bonds of that series that is issued to pay such costs) prior to and during such construction, building, acquisition, restoration, renovation, or improvement of property of the authority; and
(3) In the case of bonds issued for the purpose of refunding principal and interest or either with respect to bonds issued or obligations assumed by the authority, any premium that it may be necessary to pay in order to redeem or retire the bonds or other obligations to be refunded.
(Acts 1979, No. 79-441, p. 710, §11.)
For the purpose of effecting the restoration, renovation, preservation, improvement, protection, or maintenance of, or interest in, any public or private property that has been listed in the National Register of Historic Places, any county, municipality, or other political subdivision, public corporation, agency, or instrumentality of this state may, upon such terms and with or without consideration, as it may determine:
(1) Lend or donate money to or perform services for the benefit of an authority;
(2) Donate, sell, convey, transfer, lease, or grant to an authority, without the necessity of authorization at any election of qualified voters, any property of any kind, any interest therein and any franchise; and
(3) Do any and all things, whether or not specifically authorized in this article and not otherwise prohibited by law, that are necessary or convenient in connection with aiding and cooperating with an authority in its efforts to restore, renovate, preserve, improve, protect, maintain, or promote interest in any public or private property that has been listed in the National Register of Historic Places.
(Acts 1979, No. 79-441, p. 710, §12.)
Each authority formed under this article, the property and income of the authority, all bonds issued by the authority, the income from such bonds or from any other sources, the interest and other profits from such bonds enuring to and received by the holders thereof, conveyances by and to the authority and leases, mortgages, and deeds of trust by and to the authority shall be exempt from all taxation in the state. An authority shall not be obligated to pay or allow the payment of any fees, taxes, or costs to the Secretary of State in connection with its incorporation or with any amendment to its certificate of incorporation or otherwise or to any judge of probate of any county in connection with the recording by it of any document or otherwise, each authority being hereby exempted from the payment of any such fees, taxes, and costs. No license or excise tax may be imposed by any authority with respect to the privilege of engaging in any of the activities authorized by this article.
(Acts 1979, No. 79-441, p. 710, §13.)
Each authority shall submit to the Governor a detailed report of its activities during the previous year and of its financial condition. Such annual report shall be submitted as of October 1 of each year. The Governor may also require special interim reports by an authority of its activities and its financial condition; provided, that such interim reports may not be required more often than once each calendar quarter year.
(Acts 1979, No. 79-441, p. 710, §14.)
This article is intended to aid the state in the execution of its duties by providing appropriate and independent instrumentalities of the state with full and adequate powers to fulfill their functions. The foregoing sections of this article shall be deemed to provide additional and alternative methods for the doing of the things authorized thereby and shall be regarded as supplemental and additional to and not in derogation of any powers conferred upon corporations created by municipalities within this state or upon any other agencies of the state or the municipalities thereof which are concerned with the restoration, renovation, preservation, improvement, protection, or maintenance of or interest in any public or private property that has been listed in the National Register of Historic Places.
Neither this article nor any provision contained in this article shall be construed as a restriction or limitation upon any power, right, or remedy which any corporation organized under this article may have in the absence thereof, but shall be construed as cumulative and independent of any such power, right, or remedy. No proceedings, notice, or approval shall be required for the incorporation of such corporation or the amendment of its certificate of incorporation, the acquisition of any property or facilities, the making of any loans or the borrowing of money or assumption of obligations or the issuance of bonds or other instruments in evidence thereof or as security therefor except as prescribed in this article, any other law to the contrary notwithstanding.
(Acts 1979, No. 79-441, p. 710, §15.)
At any time when no bonds or obligations assumed by an authority are outstanding, the board of directors of an authority may adopt a resolution, which shall be entered upon its minutes, declaring that the authority shall be dissolved. Upon the filing for record of a certified copy of the said resolution in the office of the Secretary of State, the authority shall thereupon stand dissolved and, in the event it owned any property at the time of its dissolution, the title to all of its properties shall thereupon pass to and vest in the state.
(Acts 1979, No. 79-441, p. 710, §16.)
Any authority organized under Acts 1978, No. 822, p. 1213 prior to July 19, 1979 shall continue to be valid and shall be governed by said act, and any authority organized under said act may reincorporate under Sections 41-10-135 through 41-10-150 by action of its board of directors and by the filing of documents required to be filed in forming a new authority under Sections 41-10-135 through 41-10-150.
(Acts 1979, No. 79-441, p. 710, §18.)
Each authority heretofore or hereafter organized pursuant to Sections 41-10-135 through 41-10-151, shall be a nonprofit corporation, and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any private individual, firm or corporation; except that in the event the governing body of any such authority shall determine that sufficient provision has been made for the full payment of the expenses, bonds, and other obligations of such authority, then any net earnings thereafter accruing to such authority may be paid to the State of Alabama.
(Acts 1980, No. 80-659, p. 1337, §1.)
Each such authority is and shall be exempt from the laws of the State of Alabama governing usury or prescribing or limiting interest rates, including, without limitation, the provisions of Chapter 8 of Title 8.
(Acts 1980, No. 80-659, p. 1337, §2.)
The provisions of Sections 41-10-152 through 41-10-154 shall apply both prospectively and retrospectively, except that Sections 41-10-152 through 41-10-154 shall not apply retrospectively so as to validate, cure, or remedy any act taken by an authority where such action has, prior to May 28, 1980, been held invalid by a court of competent jurisdiction and the period for appeal therefrom has expired or where such action is alleged to be invalid in an appropriate suit or proceeding pending in any court of competent jurisdiction on May 28, 1980.
(Acts 1980, No. 80-659, p. 1337, §3.)
There is hereby created the Historic Blakeley Authority:
(1) To establish, develop, operate, promote, protect, preserve, and maintain as a state historic park the lands in Baldwin County, Alabama listed on the National Register of Historic Places as the Blakeley site along with reconstructed buildings and all other present and future improvements within said sites, including, but not limited to:
a. The specific sites of Old Town Blakeley, Civil War battlegrounds, breastworks, batteries, and encampments;
b. Early American military encampments;
c. Sites of Indian villages and encampments;
d. Period French plantations;
e. Early American residences, farms, homes, businesses and commercial sites and buildings;
f. Civilian and military roads and turnpikes; and
g. Significant natural plant and animal life and its habitat and specifically threatened or endangered plant and animal species;
(2) To protect and preserve bays, bayous, streams, marshlands, swamps, and shorelines of rivers, bays, and streams within the national register site, including bottomlands of all rivers and streams within or along the Blakeley site;
(3) To preserve and protect archaeological sites;
(4) To establish, develop, promote, and maintain educational and cultural programs and facilities consistent with the role and influence of Blakeley in Alabama history;
(5) To develop, build, manage, operate, promote, and maintain any and all types of public and private facilities consistent with the reconstruction of historic Old Town Blakeley and the development of an historic and recreational park and cultural center.
(Acts 1981, No. 81-792, p. 1390, §1.)
(a) The authority shall be composed of 21 members as follows:
(1) Two representatives of education, one to be appointed by the President of the University of South Alabama for a two-year term and one to be appointed by the Baldwin County Board of Education from among school board members, who are residents of the geographic area that is now Baldwin County Commission District No. 2 for a two-year term.
(2) Four elected public officials, or their representatives, who shall be:
a. The Chair of the Baldwin County Commission or a member of the Baldwin County Commission to be chosen by the commission to serve during that commissioner’s term of office.
b. The Sheriff of Baldwin County during his or her term of office.
c. The Alabama House of Representatives member who represents the district where the Blakeley site is situated, during his or her term of office.
d. The Governor a representative appointed by him or her to serve during the Governor’s term of office.
(3) Three representatives of historic organizations as follows:
a. The President of the Baldwin County Historic Society or a person designated by the president for a two-year term.
b. A representative of the Fort Bowyer Chapter, Daughters of the American Revolution to be chosen by the chapter for a two-year term.
c. The President of Descendants of Blakeley Residents or a person designated by the president for a six-year term.
(4) Three representatives of public service and civic organizations as follows:
a. A representative of the Eastern Shore Chamber of Commerce to be selected by the organization for a two-year term.
b. The Chair of the Board of Directors of the Tallulah Bankhead Center for the Performing Arts for a four-year term.
c. The Chair of the Blakeley Courthouse Museum Board for a four-year term.
(5)a. Nine at-large members to be appointed by the Governor from nominations submitted by the Historic Blakeley Foundation according to the following:
Places 1-4 for six-year terms commencing with their appointment by the Governor.
Places 5-7 for four-year terms commencing with their appointment by the Governor.
Places 8-9 for two-year terms commencing with their appointment by the Governor.
b. Upon completion of the initial staggered terms all subsequent appointments of authority members appointed pursuant to paragraph a. shall be by the same method, except they shall be for terms of four years.
(b) Vacancies on the authority during a term shall be filled for the unexpired portion of the term in the same manner and by the same appointing authority as the member whose place is being filled.
(Acts 1981, No. 81-792, p. 1390, §2; Act 2023-305, §1.)
No member of the authority shall receive any pay or emolument other than his or her expenses incurred in the discharge of his duties as a member of the authority, which expenses shall be paid in the amounts provided for by the Code of Alabama 1975. All such expenses shall be paid from the funds of the authority.
(Acts 1981, No. 81-792, p. 1390, §3.)
It shall be unlawful for any member of the authority or any employee thereof to charge, receive, or obtain, either directly or indirectly, any fee, commission, retainer, or brokerage out of the funds of the authority, and no member of the authority or officer or employee thereof shall have any interest in any land, materials, or contracts sold to or made or negotiated with the authority or with any member or employee thereof acting in his or her capacity as a member or employee of such authority. Violation of any provision of this section shall be a misdemeanor and, upon conviction, shall be punishable by removal from membership or employment and by a fine of not less than $100.00 or by imprisonment not to exceed six months, or both.
(Acts 1981, No. 81-792, p. 1390, §4.)
(a) The authority shall hold an annual meeting at Blakeley each September on a day designated by the chair. Eleven members shall constitute a quorum for the transaction of business. Additional meetings may be held at such times and places within the state as may be necessary, desirable, or convenient, upon call of the chair or, in the case of his or her absence or incapacity, of the vice-chair or on the call of any 12 members of the authority.
(b) The authority shall determine and establish its own organization and procedure in accordance with the provisions of this article, and shall have an official seal.
(c) The authority shall elect its chair, its vice-chair, its secretary, and its treasurer, and such officers shall hold office for a period of two years or until a successor is elected. Neither the secretary nor the treasurer need be members of the authority. The authority may require that the treasurer thereof be bonded in an amount to be determined by the authority.
(Acts 1981, No. 81-792, p. 1390, §5.)
The authority shall constitute a body corporate and shall have, in addition to those set forth specifically in this article, all powers necessary or convenient to effect the purposes for which it has been established under and by the terms of this article, together with all powers incidental thereto or necessary to the discharge of its said powers and duties, together with all powers and duties set forth in Sections 41-10-141 through 41-10-147.
(Acts 1981, No. 81-792, p. 1390, §6.)
(a) The authority is authorized to take possession under a lease or a deed or other instrument granting use or easement property in Baldwin County, Alabama within the Blakeley national register site which is now owned by the Historic Blakeley Foundation or others. The authority is further authorized to lease, purchase, accept as a gift or loan, or otherwise acquire any other property, real or personal, including gifts or bequests of money or other things of value to be used in fulfilling the purpose for which it is established or for any auxiliary purpose incidental or appropriate thereto.
(b) The authority is also authorized to borrow money and issue revenue bonds in evidence thereof, but no such bonds shall be general obligations of the State of Alabama or any agency or any political subdivision thereof nor shall such authority pledge to the payment of any such loans the land. It may, however, pledge to the repayment thereof buildings, exhibits, utilities, docks, roads, walks, or other appurtenances; or improvements made by the authority and it may pledge to the repayment thereof the proceeds derived from admission fees or charges or other fees or charges made in connection with such park or historical site.
(Acts 1981, No. 81-792, p. 1390, §7.)
(a) The authority shall operate or provide for the operation of the park or historic site hereby provided for and any appurtenances thereto in such manner as to facilitate its exhibition to the public, either with or without a charge. If the authority, in its discretion, decides that a charge is appropriate, then the authority shall fix and provide for the collection of such charge or charges as it deems appropriate for admission to the park and for the use, viewing of or other enjoyment of exhibits and other facilities appurtenant to the park.
(b) The authority may enter into agreements with any civic organization, lay group or industrial, professional, educational, or governmental organization relative to the general management of the park or historic site.
(c) The authority is also specifically authorized to accept gratuitous services from individuals and organizations and to employ such rangers, guides, maintenance people, guards, superintendents and professional staff, and other employees as, in its opinion, are needed for the operation and exhibition of such park or historic site.
(Acts 1981, No. 81-792, p. 1390, §8.)
The county commission of any county or governing body of any municipality in this state shall be authorized, by resolution duly adopted and recorded, to appropriate any available public funds not otherwise pledged to the use of the authority and shall be authorized to construct and maintain roads and bridges and other public facilities and improvements on authority owned or controlled land.
(Acts 1981, No. 81-792, p. 1390, §9.)
The authority shall have a tax-exempt status, and the properties of the authority and the income therefrom, all lease agreements and contracts made by it, all bonds issued by it and the coupons applicable thereto and the income therefrom and all indentures executed with respect thereto shall be forever exempt from any and all taxation by the State of Alabama and any political subdivision thereof, including, but not limited to, income, admission, amusement, excise, and ad valorem taxes.
(Acts 1981, No. 81-792, p. 1390, §10.)
(a) All full-time employees of the authority shall be treated as state employees for the purpose of participating in any insurance programs provided for state employees.
(b) The authority is hereby authorized and empowered to pay the employer’s contributions to any such programs out of any funds appropriated them or available to them for any purpose whatsoever, and it may deduct the employees’ contributions for such programs by means of payroll deductions or otherwise from any salary or compensation paid said employees.
(Acts 1981, No. 81-792, p. 1390, §11.)
(a) The authority shall be a state agency, and shall have exclusive control over the Blakeley site, the historic park, recreational areas, all improvements and exhibits located thereon, and any additions constructed, created, leased, acquired, or erected in connection therewith.
(b) The authority shall have the power and authority to establish and promulgate and from time to time alter, amend, or repeal rules and regulations concerning the preservation, protection, and use of the Blakeley historic site and to preserve the peace therein. Any person who violates any rule or regulation so established and promulgated shall be guilty of a misdemeanor and shall be punished by a fine of not more than $1,000.00 or imprisonment for not more than one year, or both, and may be adjudged to pay all costs of the proceedings.
(c) The authority members shall have and are hereby vested with full police power to prefer charges against and to make arrests of any person or persons violating any such rule or regulation. The authority shall have full authority to designate any employee or employees of the authority as deputy police officers, who shall have full authority to prefer charges against or to make arrests of any person or persons violating any rule or regulation established and promulgated by the authority, as provided in this section.
(Acts 1981, No. 81-792, p. 1390, §12.)
The original charter of the Town of Blakeley by act of the Alabama Legislature in 1818 strengthened by an act of the Alabama state Legislature in 1820 and never revoked following demise of the town is hereby reaffirmed, and the Town of Blakeley is recognized as a municipality of the State of Alabama whose boundaries are hereby established as those of the national register site. Members of the authority and any other persons over the age of 21 whom the authority may designate, their place or places of residence in Alabama notwithstanding, shall be recognized as citizens of the Town of Blakeley for the purpose of conducting elections of town officials and other town business decided by referendum, until such time as citizens shall elect to come within the general provisions of the Code of Alabama 1975 as to government of municipalities. Until such time as the Town of Blakeley citizens decide on an alternative form of government, the authority shall be recognized as the governing body of the Town of Blakeley and is hereby empowered to elect from Blakeley citizens a mayor and members of town council to serve according to terms of office to be set by the authority.
(Acts 1981, No. 81-792, p. 1390, §13.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §3.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §5.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §6.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §7.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §8.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §9.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §10.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §11.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §12.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §13.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §14.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §15.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1983, No. 83-408, p. 580, §16.)
This article shall be known and cited as “The Africatown, U.S.A. Act of 1985.”
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §1.)
The word “authority” as used throughout this article shall mean “The Africatown, U.S.A. Historic Preservation Authority” unless the context clearly intends a different meaning.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §2.)
In order to preserve and interpret to the public the historic and cultural properties at and near Africatown, U.S.A. in Mobile County, the Commissioner of the state Department of Conservation and Natural Resources shall include the descriptions of lands and boundaries contained in Section 41-10-233 on any registry or listings of state parks. The Africatown, U.S.A. State Park shall be comprised of those facilities authorized in Section 41-10-234 and shall be utilized as a park for recreational use by the general public and for no other and different purpose, as stated in the deed conveying said property to the City of Prichard.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §3.)
There is hereby established in the City of Prichard, Alabama, the Africatown, U.S.A. State Park to recognize the significance of Africatown, U.S.A. in American history and culture and to commemorate African heritage in the United States of America, with boundaries described as follows: All that portion of the southeast quarter and the southwest quarter of the northeast quarter of section 18, township 3 south, range 2 west, located south of Chickasawbogue Creek, excepting that part of the southeast quarter located east of the west line of the Basil Chastang claim.
Beginning at the southeast corner of section 18, township 3 south, range 2 west, thence run westerly a distance of 350 feet along the south line of said section 18 to a point; thence run north 12 deg 09′ east, a distance of 1,663 feet to the point of beginning of the parcel of land herein conveyed; thence run south 45 deg 00′ east along the south line of lot 1 in the Basil Chastang claim a distance of approximately 1,050 feet to the point of intersection with the east line of the right of way of the Alabama Power Company; thence run northeasterly along the east line of this right of way to its intersection with the south edge of Chickasawbogue Creek; thence run westerly along the south edge of Chickasawbogue Creek to a point where the south edge of Chickasawbogue Creek intersects the east line of section 18, township 3 south, range 2 west; thence run south along the said east line of section 18 a distance of approximately 700 feet to a point; thence run north 12 deg 09′ east a distance of approximately 50 feet to the point of beginning. All of the aforesaid being a portion of lot 1 in the Basil Chastang claim as recorded in the office of the Judge of Probate of Mobile County, Alabama, in Deed Book 128 N.S., Page 3, and all of fractional southwest quarter of section 18, township 3 south, range 1 west. The aforesaid parcels of land contain 150 acres, more or less.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §4.)
The Governor is authorized to enter into agreements with the City of Prichard for supervision and maintenance of the park and for construction on a portion of the land as authorized, certain administrative facilities including the Institute of Ethnic Science and Technology, a visitor’s center, museum, theatre, library, and other facilities including a zoo for the interpretation of the historical-cultural features of the park and area and the cultural technology employed.
Such park shall be developed, administered, and maintained by the City of Prichard through agreement with the State of Alabama and by standards of interpretation and scientific management for state parks. Nothing in this section precludes the City of Prichard from entering into contracts with private sector and public sector agencies to carry out the provisions of this section. The mayor of the City of Prichard is hereby authorized to implement the terms and conditions of this section.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §5.)
The State of Alabama, in recognition of the Africatown, U.S.A. settlement, to American history and culture, hereby authorizes and empowers the City of Prichard to enter into negotiations for the acquisition of, and to acquire, by conveyance, gift, or bequest, rights to place commemorative markers and plaques to commemorate historical and cultural sites and landscapes, including natural wetlands, which bear significance to the cultural history of Africatown, U.S.A. as associated with the historical events relating to the Clotilde as recognized by the Alabama Historical Commission in Montgomery.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §6.)
There is hereby established a state advisory committee to the Africatown, U.S.A. State Park which shall include the Director of the state Historical Commission, the Director of the Department of Conservation and Natural Resources, the Director of the state Department of Tourism, the Mayor of the City of Prichard, Alabama, a member selected by the Black Heritage Council, the state representative and state senator representing the legislative districts in which the Africatown, U.S.A. State Park is located, and the senators and representatives representing the legislative districts in which the commemorative sites are located, a member of the Africatown, U.S.A. Historic Preservation Authority, and five other persons to be appointed by the Governor, at least one of whom shall be a descendent of the Africans brought over on the Clotilde and at least one of whom shall be a representative of the corporate community of Mobile County to be selected by the Mobile Area Chamber of Commerce and three persons appointed from the State of Alabama at large who shall have a demonstrated concern for protecting the historical and cultural resources of this state.
The duties of the advisory committee shall include coordination with the state Historical Commission, the state Department of Conservation and Natural Resources, and the City of Prichard to assure the most advantageous development and interpretation of Alabama’s cultural resources and the most efficient management of the park.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §7.)
The Institute of Ethnic Science and Technology shall serve as a state resource for reviews, research and informational update on planning, design, and management of the park as an African-American state heritage resource and for support to the State Department of Tourism in the development of a black heritage program. Such institute shall also work with state universities for teaching, research, and public service programs on Alabama black settlements and heritage resources.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §8.)
In accordance with “The Historical Preservation Authorities Act of 1979,” excluding any sections relating to the National Register of Historic Places as a qualifying element to establish a public corporation and exempting any corporation formed under the authority of said act from any listing on the National Register of Historic Places, a public corporation may be formed under the provisions of this section and said act for purposes of establishing the Africatown, U.S.A. Historic Preservation Authority. It shall be the duty of the authority to study, consider, accumulate, compile, assemble, and disseminate information on any aspect of Africatown, U.S.A. State Park; to confer with appropriate officials of local, state, and federal governments and agencies on matters related to any national and international recognition for Africatown, U.S.A. State Park; to cooperate with and secure assistance of local, state, federal, and international governments or any agencies thereof in formulating related programs; and, to coordinate such programs with any program relating to Africatown, U.S.A. State Park that is adopted or planned by the federal government to the end that the authority may secure the full benefit of such program; provided, however, that such authority is hereby authorized to directly seek and receive from the federal government any grants, funds, or other benefits which may be available for the Africatown, U.S.A. State Park.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §9.)
It is the intent of this article that it shall not restrict or impair the real, personal, or mixed property in which any individual person, industry, business, utility, industrial development board or similar board or authority, public or private corporation, or the Alabama State Port Authority has any legal, equitable, absolute, or conditional right, title, or interest, whether by fee simple, leasehold, easement, possession, contract, license, permit, or any other form of ownership or other rights thereto whatsoever or any existing or future rights of way required by the State of Alabama Department of Transportation for the construction of Interstate Route I-210 and the construction of the new Cochrane Bridge and its roadway approaches and any future connections to or between these two highway facilities. In the event that any individual person, industry, business, utility, industrial development board or similar board or authority, public or private corporation, or the Alabama State Port Authority or the State of Alabama Department of Transportation shall at any time be required to obtain any license, permit or other certificate, or be made subject to any tax, assessment, fine, penalty, law, rule, regulation, ruling, ordinance, or order of any city, county, state, federal, or other governmental, quasi-governmental or public entity or any agency of any of them, to which such individual person, industry, business, utility, industrial development board or similar board or authority, public or private corporation, or the Alabama State Port Authority or the State of Alabama Department of Transportation would not have been subject in the absence of this article, then, notwithstanding any severability provision herein to the contrary, any section or sections of this article causing that effect shall immediately become null and void without any further legislative or judicial action.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §10.)
Any person who has any interest in real, personal, or mixed property as described in Section 41-10-239 herein may enjoin the violation of, or enforce compliance with, this article or any program adopted hereunder.
(Acts 1985, 2nd Ex. Sess., No. 85-950, p. 292, §11.)
The following terms, wherever used in this article, shall have the following respective meanings unless the context clearly indicates otherwise:
(1) AUTHORITY. The public corporation organized pursuant to the provisions of this article.
(2) BOARD OF DIRECTORS. The board of directors of the authority.
(3) BONDS. When used with reference to debt instruments issued by the authority, means bonds, notes, and other forms of indebtedness.
(4) DIVISION OF CONSTRUCTION MANAGEMENT OF THE DEPARTMENT OF FINANCE. The Building Commission created by Act No. 128 adopted at the 1945 Regular Session of the Legislature of the state, and any successor agency thereto.
(5) CHIEF JUSTICE. The Chief Justice of the Supreme Court of the State of Alabama.
(6) GOVERNMENT SECURITIES. Any bonds or other obligations which as to principal and interest constitute direct obligations of, or are unconditionally guaranteed by, the United States of America, including obligations of any federal agency to the extent such obligations are unconditionally guaranteed by the United States of America and any certificates or any other evidences of an ownership interest in such obligations of, or unconditionally guaranteed by, the United States of America or in specified portions thereof (which may consist of the principal thereof or the interest thereon).
(7) JUDICIAL FACILITIES. One or more buildings, and the site or sites therefor, to be constructed and acquired in the City of Montgomery, Alabama and designed primarily for the use by the Unified Judicial System, including the Supreme Court of the State of Alabama, the Court of Criminal Appeals, the Court of Civil Appeals, the State Law Library, and the Administrative Office of Courts, and any equipment and other facilities necessary or useful in connection with such building(s), including courtrooms, conference rooms, library facilities, educational facilities, furnishings, offices, file rooms, parking facilities, and the like.
(8) PERMITTED INVESTMENTS.
a. Government securities;
b. Bonds, debentures, notes, or other evidences of indebtedness issued by any of the following agencies, to the extent that such obligations are secured by the full faith and credit of the United States of America: Bank for Cooperatives; federal intermediate credit banks; Federal Financing Bank; federal home loan banks; Federal Farm Credit Bank; Export-Import Bank of the United States; federal land banks; or Farmers Home Administration, or any other agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof, the bonds, debentures, participation certificates or notes of which are unconditionally guaranteed by the United States of America;
c. Bonds, notes, pass through securities or other evidences of indebtedness of the Government National Mortgage Association and participation certificates of the Federal Home Loan Mortgage Corporation;
d. Full faith and credit obligations of any state, provided that at the time of purchase such obligations are rated at least “AA” by Standard & Poor’s Corporation and at least “Aa” by Moody’s Investors Service;
e. Public housing bonds issued by public agencies or municipalities and fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by a requisition or payment agreement with the United States of America;
f. Time deposits evidenced by certificates of deposit issued by banks or savings and loan associations which are members of the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation, provided that, to the extent such time deposits exceed available federal deposit insurance, such time deposits are fully secured by obligations described in paragraphs a., b., c. and e. above, which at all times have a market value (exclusive of accrued interest) at least equal to such bank time deposits so secured, including interest, and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Corporation for structured financings;
g. Repurchase agreements for obligations of the type specified in paragraphs a, b, c, and e above, provided such repurchase agreements are fully collateralized and secured by such obligations which have a market value (exclusive of accrued interest) at least equal to the purchase price of such repurchase agreements and which are held by a depository satisfactory to the State Treasurer in such manner as may be required to provide a perfected security interest in such obligations, and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Corporation for structured financings; and
h. Uncollateralized investment agreements with, or certificates of deposit issued by, banks or bank holding companies, the senior long-term securities of which are rated at least “AA” by Standard & Poor’s Corporation and at least “Aa” by Moody’s Investors Service.
(9) STATE. The State of Alabama.
(10) UNIFIED JUDICIAL SYSTEM. The Unified Judicial System of the state as constituted at the time of the adoption of this article or at any time subsequent thereto.
(11) Pronouns when used in this article shall include all applicable genders.
(Acts 1986, No. 86-420, p. 627, §1.)
It is the intent of the Legislature by the passage of this article to authorize the incorporation by the Governor, the Director of Finance, and the Chief Justice of a public corporation for the purpose of acquiring, constructing, installing, equipping, operating, and maintaining judicial facilities, and to vest such corporation with all powers, authority, rights, privileges, and titles that may be necessary to enable it to accomplish such purpose. This article shall be liberally construed in conformity with the purpose expressed.
(Acts 1986, No. 86-420, p. 627, §2.)
The Governor, the Director of Finance, the Lieutenant Governor, the Speaker of the House, and the Chief Justice may become a public corporation with the powers and authorities hereinafter provided, by proceeding according to the provisions of this article.
(Acts 1986, No. 86-420, p. 627, §3.)
To become a corporation, the Governor, the Director of Finance, the Lieutenant Governor, the Speaker of the House, and the Chief Justice shall present to the Secretary of State an application signed by each of them which shall set forth:
(1) The name, official designation, and official residence of each of the applicants, together with a certified copy of the document evidencing each applicant’s right to office;
(2) The date on which each applicant was inducted into office and the term of office of each of the applicants;
(3) The name of the proposed corporation, which shall be “Alabama Judicial Building Authority”;
(4) The location of the principal office of the proposed corporation, which shall be Montgomery, Alabama; and
(5) Any other matter relating to the incorporation which the applicants may choose to insert and which is not inconsistent with this article or the laws of the state. The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of the state to take acknowledgments to deeds.
The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section and that the name proposed in the application is not identical with that of a person or other corporation in the state or so nearly similar thereto as to lead to confusion and uncertainty, he or she shall receive and file it and record it in an appropriate book of records in his office.
(Acts 1986, No. 86-420, p. 627, §4.)
When the application has been made, filed, and recorded as provided in Section 41-10-263, the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application, whereupon the applicants shall constitute a public corporation of the state under the name proposed in the application. There shall be no fees paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Acts 1986, No. 86-420, p. 627, §5.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The Governor shall be the chair of the authority, the Chief Justice shall be the vice chair of the authority, and the Director of Finance shall be the secretary of the authority. The State Treasurer shall be the treasurer of the authority but shall not be a member of the authority. The authority, at its option, may appoint an assistant secretary who shall not be a member of the authority. The members of the authority shall constitute all the members of the board of directors of the authority, which shall be the governing body of the authority. The presence of any three members of the said board of directors shall constitute a quorum for the transaction of business. No vacancy in the membership of the board of directors or the voluntary disqualification or abstention of any member thereof shall impair the right of a quorum of the board of directors to act. Should any person holding any state office named in this section cease to hold such office by reason of death, resignation, expiration of his or her term of office, or for any other reason, then his or her successor in office shall take his or her place as a member, officer, or director, as the case may be, of the authority. No member, officer, or director of the authority shall draw any salary in addition to that now authorized by law for any service he or she may render or for any duty he or she may perform in connection with the authority. All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary or assistant secretary of the authority and shall be recorded in a substantially bound book and filed in the office of the Director of Finance. Copies of such proceedings, when certified by the secretary of the authority under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
There shall be established a legislative oversight committee to provide consultation and advice to the board of directors concerning the efficient operation of the authority. The oversight committee shall consist of three members of the House of Representatives appointed by the Speaker of the House, at least one of which shall be a member of the Ways and Means Committee and one of which shall be a member of the House Judiciary Committee, and three members of the Senate appointed by the Lieutenant Governor, at least one of which shall be a member of the Committee on Finance and Taxation and one of which shall be a member of the Senate Judiciary Committee. After their initial appointment, the members of the oversight committee shall be named at each organizational session of the Legislature, and all members shall serve until their successors are properly qualified. All members of the oversight committee shall be entitled to their actual expenses incurred in the performance of their duties as members of the committee.
(Acts 1986, No. 86-420, p. 627, §6.)
The board of directors of the authority shall meet at such times upon such notice as it shall determine.
(Acts 1986, No. 86-420, p. 627, §7.)
The authority shall have the following powers among others specified in this article:
(1) To have succession by its corporate name until dissolved as provided in this article;
(2) To sue and be sued and to prosecute and defend, at law or in equity, in any court having jurisdiction of the subject matter and of the parties thereto;
(3) To have and to use a corporate seal and to alter the same at pleasure;
(4) To make and alter all needful bylaws, rules, and regulations for the transaction of the authority’s business and the control of its property and affairs;
(5) To provide for the acquisition, construction, installation, equipping, operation, and maintenance of judicial facilities;
(6) To receive, take, and hold by sale, gift, lease, devise, or otherwise, real and personal property of every description, and to manage the same;
(7) To acquire by purchase, gift, or the exercise of the power of eminent domain, or any other lawful means, and to transfer, convey, or cause to be conveyed to the state, any real, personal, or mixed property;
(8) To exercise the right of eminent domain as freely and completely as, and in the same manner as, the state is empowered to exercise such right;
(9) To borrow money and issue its bonds in evidence thereof subject to the provisions of this article;
(10) As security for payment of the principal of and the interest on its bonds, to pledge any funds or revenues from which its bonds may be made payable and to arrange for and provide such additional security for its bonds, including letters of credit, bond insurance policies, surety bonds, and the like, as the board of directors shall determine to be necessary or desirable;
(11) To make and enter into such contracts, leases, agreements, and other actions as may be necessary or desirable to accomplish any corporate purpose and to exercise any power necessary for the accomplishment of the purposes of the authority or incidental to the powers expressly set out herein; and
(12) To appoint and employ such attorneys, accountants, financial advisors, underwriters, trustees, depositories, registrars, fiscal agents, and other advisors, agents, and independent contractors as may, in the judgment of the board of directors, be necessary or desirable.
(Acts 1986, No. 86-420, p. 627, §8.)
The authority is hereby authorized from time to time to sell and issue its interest-bearing or noninterest-bearing bonds, in one or more series, not to exceed an aggregate principal amount of $40,000,000.00, excluding refunding bonds described in Section 41-10-277, for the purpose of providing funds for the acquisition, construction, installation, and equipping of judicial facilities, and for payment of obligations incurred for any of said purposes.
Bonds of the authority may be in such form and denominations, may be of such tenor, may be payable in such installments and at such time or times not exceeding 30 years from their date, may be payable at such place or places, may be redeemable at such times and under such conditions, may bear interest at such rate or rates payable and evidenced in such manner or may be structured to bear no interest or to reflect compound interest and may be secured in such manner, all as shall not be inconsistent with the provisions of this article and as may be provided in the proceedings of the board of directors whereunder said bonds shall be authorized to be issued. Bonds of the authority may be sold at such price or prices and at such time or times as the board of directors may consider advantageous, either at public or private sale and by negotiation or by competitive bid. Bonds of the authority sold by competitive bid must be sold, whether on sealed bids or at public auction to the bidder whose bid reflects the lowest net interest cost to the authority for the bonds being sold, computed from their date to their respective maturities; provided, that if no bid acceptable to the authority is received, it may reject all bids. The authority may fix the terms and conditions under which each sale of bonds may be held; provided, that such terms and conditions shall not conflict with any of the requirements of this article. The authority may allow or pay, from the proceeds of sale of its bonds, all expenses, fees, premiums, discounts, insurance premiums, and commissions as the board of directors may deem necessary or advantageous in connection with the authorization, sale and issuance of its bonds. Neither a public hearing nor consent of the state Department of Finance of any other department or agency of the state shall be a prerequisite to the issuance of bonds by the authority. All bonds issued by the authority shall contain a recital that they are issued pursuant to the provisions of this article, which recital shall be conclusive evidence that the said bonds have been duly authorized pursuant to the provisions of this article.
(Acts 1986, No. 86-420, p. 627, §9.)
(a) As used in this section, the following terms shall have the following respective meanings:
(1) “Authority” means the Alabama Judicial Building Authority organized pursuant to the 1986 Act.
(2) “1986 Act” means Act No. 86-420, enacted at the 1986 Regular Session of the Legislature of Alabama and codified in this chapter
(3) “Series 1996 Bonds” means the Alabama Judicial Building Authority Revenue Refunding Bonds, Series 1996.
(b) In addition to those bonds authorized to be issued or refunded by the authority pursuant to the 1986 Act, the authority is hereby authorized to sell and issue additional revenue bonds not to exceed an aggregate principal amount of $10,000,000 for the purposes of providing funds for capital expenditures and for the repair of the roof and other structural damage to the judicial building; provided, however, that the additional bonds may only be issued if the authority refunds its Series 1996 Bonds and the total annual debt service payable in any fiscal year on the refunding bonds plus the total annual debt service payable in the same fiscal year on the additional bonds is not greater than $3,975,000.
(c) Relative to issuance expenses, contracts, and appointments incurred in connection with the issuance of bonds, the authority shall contract with businesses or individuals which reflect the racial and ethnic diversity of the state.
(Act 2007-455, p. 940, §§1-3.)
All bonds of the authority shall be signed by its chair or vice chair, and the seal of the authority shall be affixed thereto and attested by its secretary or assistant secretary. The signatures of the chair, vice chair, secretary, and assistant secretary may be facsimile signatures and a facsimile of the seal of the authority may be imprinted on the bonds if the board of directors, in its proceedings with respect to issuance of such bonds, provides for manual authentication of such bonds by a trustee or paying agent or by named individuals who are employees of the state and who are assigned to the Department of Finance or Office of the State Treasurer. Delivery of bonds so executed shall be valid notwithstanding any changes in officers or in the seal of the authority after the signing and sealing of such bonds.
(Acts 1986, No. 86-420, p. 627, §10.)
All proceeds derived from the sale of any bonds (except refunding bonds) by the authority remaining after payment of the expenses of issuance thereof shall be turned over to the State Treasurer, shall be carried in a special account of the State Treasury to the credit of the authority, and shall be subject to be drawn on by the authority solely for the purposes of funding any required reserve fund, acquiring, constructing, installing and equipping judicial facilities, and paying all reasonable and necessary expenses incidental thereto, including interest which shall accrue on said bonds during the construction of said judicial facilities. Any balance of said proceeds thereafter remaining shall, upon completion of said judicial facilities and the payment of all costs in connection therewith, be used for the redemption of bonds of the authority at the earliest permissible date.
(Acts 1986, No. 86-420, p. 627, §11.)
The authority shall proceed with the acquisition, construction, installation, and equipping of the judicial facilities as soon as may be practicable following the sale of the authority’s bonds. Such acquisition, construction, installation, and equipping shall be done by the authority under the supervision of the Division of Construction Management of the Department of Finance upon the award of a contract or contracts for each part of the work to the lowest responsible bidder after advertisement for and public opening of sealed bids; provided, that for the purpose of determining the lowest responsible bidder, the invitation for bids and the bidding documents shall be so arranged that alternates from the base bid shall constitute cumulative deductions from the base bid in the event such alternates should be selected. All such contracts shall be lump sum contracts and shall be awarded and executed by the authority to the respective lowest responsible bidders following determination by the Division of Construction Management of the Department of Finance of the lowest responsible bidder. Payments made under any such contracts shall be only upon the contractor’s written, verified statements when approved by the Division of Construction Management of the Department of Finance or its agent, in such amounts as the Division of Construction Management of the Department of Finance may approve as having been then earned under such contracts. The Division of Construction Management of the Department of Finance shall be reimbursed for all reasonable direct costs incurred by it in connection with such acquisition, construction, installation, and equipping, including expenses and fees for the preparation of plans, specifications and contract documents and supervision and inspection of the work. Such plans and specifications may be revised and extras may be added to the contracts only when approved by the Division of Construction Management of the Department of Finance and only to the extent that funds are available therefor.
(Acts 1986, No. 86-420, p. 627, §12.)
For the purpose of providing funds for the payment of the principal of, premium, if any, and interest on the bonds issued by the authority under the provisions of this article, there is hereby created and irrevocably pledged to the payment of such obligations a special and continuing fund which shall consist of all receipts and income from rents contracted for and received by the authority under leases of the judicial facilities constructed with the proceeds from the sale of bonds. Moneys on deposit in said fund shall not be diverted or used for any other purpose if needed for the payment of the principal of, premium, if any, or interest on the bonds of the authority.
(Acts 1986, No. 86-420, p. 627, §13.)
Any resolution of the board of directors authorizing the issuance of bonds may contain any provision or agreement customarily contained in instruments securing evidences of indebtedness, including, without limiting the generality of the foregoing, a pledge, transfer or assignment of any leases of any judicial facilities out of the revenues from which such bonds are payable and a pledge of such revenues. Any such resolution may also contain provisions respecting the collection and application of any revenues pledged to the payment of the authority’s bonds, the terms to be incorporated in lease agreements respecting judicial facilities out of the revenues from which such bonds are payable, the maintenance of and insurance on such judicial facilities, the creation and maintenance of reserve and other special funds from such revenues or from the proceeds of the authority’s bonds, and the rights and remedies available in the event of default to the holders of the bonds, all as the authority may deem advisable and as shall not be in conflict with the provisions of this article. If there be any default by the authority in the payment of the principal of or interest on the bonds or in any of the agreements on the part of the authority which may properly be included in any resolution in which any of the bonds are authorized to be issued, any holder of any of the bonds may either at law or in equity, by suit, action, mandamus, or other proceeding, enforce payment and compel performance of all duties of the board of directors and officers of the authority, and shall be entitled, as a matter of right and regardless of the sufficiency of any such security or the availability of any other remedy, to the appointment of a receiver in equity with all the power of such receiver for the maintenance, insurance, and leasing of the judicial facilities covered by such resolution and the collection and application of such revenues; provided, however, that no such resolution shall grant any lien subject to foreclosure, nor shall such resolution be construed so as to compel the sale of any of the judicial facilities of the authority in satisfaction of the bonds secured thereby. Any such resolution may contain provisions regarding the rights and remedies of the holders of the bonds and may contain provisions restricting the individual rights of action of the holders of the bonds.
(Acts 1986, No. 86-420, p. 627, §14.)
From the fund to be pledged pursuant to Section 41-10-272 hereof, the State Treasurer is authorized and directed to pay the principal of, premium, if any, and interest on the bonds as such principal and interest shall respectively mature, and is further authorized and directed to set up and maintain appropriate records pertaining thereto.
(Acts 1986, No. 86-420, p. 627, §15.)
The authority, as lessor, and the Unified Judicial System, as lessee (acting by and through the Chief Justice or his or her designee) are hereby authorized to enter into a lease or leases for the use and occupancy of the judicial facilities constructed by the authority under the provisions of this article by the Unified Judicial System, including the Supreme Court, the Court of Criminal Appeals, the Court of Civil Appeals, the State Law Library, and the Administrative Office of Courts. Such lease or leases may commence, at the discretion of the authority and the lessee, at such time as the judicial facilities are completed and available for occupancy or at such time as the site for such judicial facilities is made available for construction of the judicial facilities. The responsibilities for control, management and maintenance of the judicial facilities shall be, and any lease entered by the authority, as lessor, shall provide that the control, management and maintenance of such facilities are, vested in the lessee.
Should any space become vacant in the judicial facilities constructed by the authority, the authority may enter into a lease or leases with any public entity. If any space remains vacant after an attempt to lease to public entities, the authority may enter into a lease with private entities but only in order to prevent default in the bonds of the authority. Any such lease with a private entity shall not be for the purpose of competing with private enterprise or for lending public credit but shall be solely for the use and benefit of the holders of the authority’s bonds to avoid default thereon and to insure the prompt payment of the principal thereof and interest thereon when due. No free space shall be available in the said judicial facilities so long as the principal of or interest on any bonds, including refunding bonds, issued by the authority remains unpaid. The authority may also enter into leases with respect to concession space such as space for a cafeteria, lunch room, or vending machines, if it shall determine that such concession will not interfere with, but will better serve, the occupants of the said judicial facilities and that the use of a portion of the judicial facilities by concessionaires will not adversely affect the holders of the authority’s bonds.
Leases by the authority of the judicial facilities financed from the proceeds of the authority’s bonds shall provide for rental payments sufficient to pay debt service on the bonds of the authority due and payable during the term of such leases. Rental payments shall be due in advance on the first day of the fiscal year and shall, upon being so paid, entitle the lessee to quiet possession and maintenance, repairs, utilities, and other customary office building services, as agreed upon in the lease for the remainder of said fiscal year. The rental payment for the first year or part of a year shall be due and payable when the authority notifies the lessee that the space is tenantable, and the rent for the remainder of the then current fiscal year shall be prorated in the same proportion as the number of days then remaining in the then current fiscal year bears to the total number of days in such fiscal year. Notwithstanding the foregoing, leases of the judicial facilities may provide for monthly rental payments so long as the obligation of the lessee to make such rental payments during the term of the lease is absolute and unconditional.
Leases by the authority may contain and grant to the lessee successive options of renewing the said lease on the terms specified therein for any subsequent fiscal year, provided that no lease to the state or any agency or department thereof, nor liability for the payment of rent, shall ever be for a term longer than one fiscal year. So long as the state or any department or agency thereof is the lessee of the judicial facilities, the obligation to pay rent and each covenant on the part of the state or such department or agency, shall be paid and performed solely out of the current revenues of the state for the fiscal year for which the lease is effective. Any such lease may contain appropriate provisions as to the method by which the lessee may, at its election, exercise any of the said options of renewal.
In the event that the judicial facilities of the authority or any portion thereof should become vacant or not be used by the Unified Judicial System, including the Supreme Court, the Court of Criminal Appeals, the Court of Civil Appeals, the State Law Library, and the Administrative Office of Courts, then such entities shall not rent, purchase, acquire, construct, or lease any office, courtroom, library, or similar facility so long as the judicial facilities of the authority or any portion thereof shall remain vacant or unused and so long as any of the bonds of the authority shall remain outstanding and unpaid.
(Acts 1986, No. 86-420, p. 627, §16.)
Any portion of the principal proceeds derived from the sale of the bonds which the board of directors may determine is not then needed for any of the purposes for which the bonds are authorized to be issued shall, on order of the authority, be invested by the State Treasurer in permitted investments which mature at such time or times as the authority shall direct. Any such investments may, at any time and from time to time on order of the authority, be sold or otherwise converted by the State Treasurer into cash. The income derived from any such investments shall be disbursed on order of the authority for any purpose for which it may lawfully expend funds.
(Acts 1986, No. 86-420, p. 627, §17.)
Any bonds issued by the authority may from time to time thereafter be refunded by the issuance of refunding bonds of the authority. Any such refunding bonds may be issued regardless of whether the bonds to be refunded shall have then matured or shall thereafter mature, and such refunding may be effected either by sale of the refunding bonds and the application of the proceeds thereof to the payment or redemption of the bonds so refunded or by exchange of the refunding bonds for those to be refunded thereby; provided, that the holders of any bonds so to be refunded shall not be compelled without their consent to surrender their bonds for payment or exchange prior to the date on which they are payable or, if they are called for redemption, prior to the date on which they may be redeemed by the authority according to their terms. Any refunding bonds of the authority shall be payable solely from and secured by the revenues out of which the bonds to be refunded thereby were payable. The proceeds derived from any sale of refunding bonds remaining after paying the expenses of their issuance shall be applied to the purchase, redemption or payment of the principal of, premium, if any, and accrued but unpaid interest on the bonds refunded thereby. Pending the application of said proceeds to the purchase, redemption, or payment of such outstanding bonds, the said proceeds may be invested in permitted investments pursuant to an escrow or trust agreement providing for the future application of such proceeds to the purchase, redemption, or payment of such outstanding bonds. Bonds refunded prior to their maturity with the proceeds of refunding bonds shall be defeased if the authority, in its proceedings regarding issuance of the refunding bonds, provides for and establishes a trust or escrow fund comprised of moneys or government securities, or both, sufficient to pay, when due, the entire principal of, premium, if any, and interest on the refunded bonds; provided, that such government securities shall not be subject to redemption prior to their maturities other than at the option of the holder thereof. Upon the establishment of such a trust or escrow fund, the refunded bonds shall no longer be deemed to be outstanding, shall no longer be secured by the funds pledged therefor in Section 41-10-272, shall no longer be obligations of the authority and shall be secured solely by and payable from the moneys and government securities deposited in such trust or escrow fund.
(Acts 1986, No. 86-420, p. 627, §18.)
Any resolution authorizing any bonds hereunder shall contain a recital that they are issued pursuant to the provisions of this article, which recital shall be conclusive evidence that said bonds have been duly authorized pursuant to the provisions of this article, notwithstanding the provisions of any other law now in force or hereafter enacted or amended. Upon the passage of any resolution providing for the issuance of bonds under the provisions of this article, the authority may, in its discretion, cause to be published once in each of two consecutive weeks in a newspaper published and having general circulation in the City of Montgomery a notice in substantially the following form (the blanks being first properly filled in):
Alabama Judicial Building Authority, a public corporation in the State of Alabama, on the _____ day of ___, 20, adopted a resolution providing for the issuance of _____ dollars principal amount of bonds of said authority. Any action or proceeding questioning the validity of said resolution or said bonds or the pledge and agreements made in said resolution for the benefit thereof, or the proceedings under which said bonds, pledge and agreements were authorized, must be commenced within twenty days after the first publication of this notice.
Alabama Judicial Building Authority By _______________________________ Its chair
Any civil action or proceeding in any court seeking to set aside or invalidate a resolution providing for the issuance of bonds under the provisions of this article or to contest the validity of any such bonds, or the validity of any pledge or agreement made therefor, must be commenced within 20 days after the first publication of said notice. After the expiration of 20 days following such first publication, no right of action or defense founded upon the validity of the resolution or other proceedings, if any, or of the bonds, or of the pledge or agreements, shall be asserted. In the event of such publication the validity of such resolution, proceedings, bonds, pledge, or agreements shall not be open to question in any court upon any ground whatever, except in a civil action or proceeding commenced within such period. Any such action and any action to protect or enforce any rights under the provisions of this article shall be brought in the Circuit Court of Montgomery County.
(Acts 1986, No. 86-420, p. 627, §19.)
The properties of the authority and the income therefrom, all lease agreements made by the authority, all bonds issued by the authority and the income therefrom and all lien notices, mortgages, assignments, and financing statements filed with respect thereto shall be forever exempt from any and all taxation in the state.
(Acts 1986, No. 86-420, p. 627, §20.)
All bonds (and income therefrom) issued by the authority shall be construed to be negotiable instruments subject to the registration provisions pertaining to transfers, even though they are payable from a limited source.
(Acts 1986, No. 86-420, p. 627, §21.)
All contracts made, obligations incurred and bonds issued by the authority shall be solely and exclusively obligations of the authority and shall not create obligations or debts of the state.
(Acts 1986, No. 86-420, p. 627, §22.)
Any bonds issued by the authority may be used by the holders thereof as security for deposits of any funds belonging to the state or to any instrumentality, agency, or political subdivision of the state in any instance where security for such deposits may be required or permitted by law. Any surplus in any state fund and any retirement or trust fund, where the investment thereof is permitted or required by law, may be invested in bonds issued by the authority. Unless otherwise directed by the court having jurisdiction thereof, or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in the bonds of the authority.
(Acts 1986, No. 86-420, p. 627, §23.)
The authority shall be a nonprofit corporation, and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any private entity.
(Acts 1986, No. 86-420, p. 627, §24.)
At any time when the bonds and other obligations of the authority have been paid in full, the authority may be dissolved upon the filing with the Secretary of State of a written statement for dissolution, reciting payment in full of all bonds and other obligations of the authority, which statement shall be subscribed by each of the members of the authority and which shall be sworn to by each such member before an officer authorized to take acknowledgments to deeds. Upon the filing of said written statement for dissolution, the authority shall cease and any property owned by it at the time of its dissolution shall pass to the state. The Secretary of State shall file and record the written statement for dissolution in an appropriate book of record in his or her office, and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the said certificate with the written statement for dissolution.
(Acts 1986, No. 86-420, p. 627, §25.)
For the purposes of this article, the following terms shall have the meanings respectively ascribed to them by this section:
(1) AUTHORITY. The public corporation organized pursuant to the provisions of this article.
(2) COMMISSION. The Alabama Space Science Exhibit Commission established pursuant to and under the provisions of Article 15 of Chapter 9 of this title, and its successors as the state agency established for the purposes set out in said Article 15.
(3) CODE. The Code of Alabama, 1975, as amended.
(4) REFUNDING BONDS. Those refunding bonds issued under the provisions of Section 41-10-312.
(5) STATE. The State of Alabama.
(6) BONDS. Those bonds, including without limitation refunding bonds, issued under the provisions of this article.
(7) FACILITIES. Includes exhibit facilities, educational facilities, and any other facilities or lands necessary or useful in connection with exhibit facilities or educational facilities, including, without limiting the generality of the foregoing, offices, camp counselors’ quarters, warehouses, garages, storage facilities, food services facilities, and hotel and motel facilities used in connection with the commission’s exhibit facilities or educational facilities.
(8) EXHIBIT FACILITIES. Facilities of the types provided for in the aforesaid Article 15, together with the land on which such facilities are located.
(9) EDUCATIONAL FACILITIES. Without limiting the generality of the foregoing, a building or buildings containing classrooms, offices, support facilities and teaching and exhibit facilities related to the exhibits of the commission, dormitories and dining facilities for the accommodation of students located adjacent to or on the site of the commission’s exhibits, and the land on which such facilities are located.
(Acts 1986, No. 86-546, p. 1093, §1.)
It is the intent of the Legislature, by the passage of this article, to authorize the incorporation of a public corporation for the purposes of acquiring land, constructing and equipping facilities, leasing such facilities to the commission (or others, to the extent provided for herein), and providing financing therefor, and to vest such corporation with all powers, authority, rights, privileges, and titles that may be necessary to enable it to accomplish such purposes. This article shall be liberally construed in conformity with the purpose herein stated.
(Acts 1986, No. 86-546, p. 1093, §2.)
Any three individual citizens of the state selected for such purpose by the commission and approved by the Governor of the state may become a public corporation with the power and authority provided in this article by proceeding according to the provisions hereof.
(Acts 1986, No. 86-546, p. 1093, §3.)
(a) To become a corporation, the three individuals selected pursuant to Section 41-10-302 shall present to the Secretary of State of Alabama an application signed by them which shall set forth:
(1) The name and residence of each of the applicants, together with a certified copy of all documents evidencing each applicant’s selection by the commission and approval by the Governor;
(2) The name of the proposed corporation, which shall initially be the “Alabama Space Science Exhibit Finance Authority” and, upon proper application filed by the commission with the Secretary of State, shall be renamed the “U.S. Space and Rocket Center Finance Authority”;
(3) The location of the principal office of the proposed corporation; and
(4) Any other matter relating to the incorporation of the proposed corporation which the applicants may choose to insert and which is not inconsistent with this article.
(b) The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of this state to take acknowledgements to deeds. The Secretary of State shall examine the application, and if he or she finds that the application substantially complies with the requirements of this section, he or she shall receive and file the application and record it in an appropriate book of records in his or her office.
(Acts 1986, No. 86-546, p. 1093, §4; Act 2025-70, §2.)
When the application has been made, filed and recorded as provided in Section 41-10-303 hereof, the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application, whereupon the applicants shall constitute a public corporation of the state under the name proposed in the application.
(Acts 1986, No. 86-546, p. 1093, §5.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. At the time of initial selection by the commission of the individual citizens to incorporate the authority pursuant to Section 41-10-302, the commission shall designate one of such persons to serve an initial term of two years, one to serve an initial term of four years, and one to serve an initial term of six years. Each succeeding appointment of a member of the authority thereafter shall be for a term of six years. The members shall be eligible to succeed themselves. The members shall select from among themselves a president of the authority, a secretary of the authority, and a treasurer of the authority. The members of the authority shall constitute all the members of the board of directors of the authority, which shall be the governing body of the authority. A majority of the members of the said board of directors shall constitute a quorum for the transaction of business. Upon the expiration of the term of office of any member of the authority or in the event any member of the authority ceases to be a member of the authority, by reason of death, resignation, removal of his or her residence from the State of Alabama, or for any other reason, then the commission shall, with the concurrence of the Governor, select a successor in office to take his or her place as a member of the authority. No member, officer or director of the authority shall draw any salary for any service he or she may render or for any duty he or she may perform in connection with the authority, but may be reimbursed by the authority for reasonable expenses incurred in carrying out the business of the authority. No member, officer, director, or employee of the authority shall be personally liable for any debt, obligation, or liability of the authority.
(Acts 1986, No. 86-546, p. 1093, §6.)
All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary of the authority, shall be signed by the members of the authority, and shall be recorded in a substantially bound book and filed in the office of the Secretary of State. Copies of such proceedings, when certified by the secretary of the authority under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1986, No. 86-546, p. 1093, §7.)
The authority shall have the following powers among others specified in this article:
(1) To have succession in its corporate name until the principal of and interest on all bonds issued by it shall have been fully paid and until it shall have been dissolved as provided herein;
(2) To maintain actions and have actions maintained against it and to prosecute and defend in any court having jurisdiction of the subject matter and of the parties thereof;
(3) To have and to use a corporate seal and to alter such seal at pleasure;
(4) To establish a fiscal year;
(5) To acquire and hold title to real and personal property and to sell, convey, mortgage, or lease the same as provided in this article;
(6) To provide for the construction, reconstruction, alteration, and improvement of facilities and for the procurement of sites and equipment for such facilities and for the lease thereof;
(7) To lease facilities to the state, the commission, or any other agency or instrumentality of the state designated to perform the activities of the commission;
(8) To anticipate by the issuance of its bonds, subject to the provisions of this article, the receipt of the rent and revenues from such facilities;
(9) As security for the payment of the principal of and interest on its bonds, to enter into any lawful covenant, to grant mortgages upon or security interests in its facilities, and to pledge the rents and revenues from such facilities;
(10) To appoint a bank or savings and loan association as a depositary for funds of the authority;
(11) To invest as provided in this article the proceeds from the sale of its bonds pending need therefor; and
(12) To appoint and employ such attorneys, agents, and employees as the business of the authority may require, subject to the Merit System where applicable.
(Acts 1986, No. 86-546, p. 1093, §8.)
In anticipation of issuance of bonds under this article, the authority may, from time to time, borrow such sums as may be needed for any of the purposes for which bonds are authorized to be issued under this article, and in evidence of the moneys so borrowed may issue its promissory notes. The principal of and the interest on notes so issued may, from time to time, be refunded by refunding notes or by bonds in anticipation of the issuance of which such notes were issued. All such notes, whether initial issues or refunding issues, may bear interest from their dates until their maturities at such rate or rates as may be deemed acceptable by the board of directors, not to exceed 15 percent per annum, shall mature within three years from their date, and the principal thereof, premium, if any, and interest thereon shall be payable solely from the proceeds of the refunding notes issued to refund any such notes outstanding, the proceeds from the sale of bonds in anticipation of the issuance of which any such notes were issued and the sources from which bonds may be made payable pursuant to Section 41-10-319, all as may be provided in the resolution of the board of directors under which such notes may be issued.
(Acts 1986, No. 86-546, p. 1093, §9.)
The bonds and notes of the authority shall be executed by the manual or facsimile signature of either its president or its treasurer, as shall be provided in the resolution under which such securities shall be issued, and the seal of the authority or a facsimile thereof shall be affixed to any bonds so issued and attested by the manual or facsimile signature of its secretary; provided, that if bonds are executed entirely by facsimile, such bonds shall be authenticated by the manual signature of the bond trustee, registrar, or paying agent. If, after any of the bonds shall be so signed, whether manually or by facsimile, any such officer shall for any reason vacate his or her said office, the bonds so signed may nevertheless be delivered at any time thereafter as the act and deed of the authority.
(Acts 1986, No. 86-546, p. 1093, §10.)
For the purpose of providing funds for the acquisition of sites, for the construction, reconstruction, alteration, and improvement of facilities, for the procurement and installation of equipment therefor, and for payment of obligations incurred and the principal of and interest on any temporary loans made for any of the said purposes, the authority is hereby authorized, from time to time, to sell and issue its bonds (other than refunding bonds) in such aggregate principal amounts as may be determined by the board of directors of the authority to be necessary for the said purposes.
(Acts 1986, No. 86-546, p. 1093, §11.)
The authority may, from time to time, sell and issue its refunding bonds for the purpose of refunding any matured or unmatured bonds of the authority at the time outstanding and paying any premiums necessary to be paid to redeem any such bonds so to be refunded and all expenses incurred in connection therewith. Such refunding bonds shall be subrogated and entitled to all priorities, rights, and pledges to which the bonds refunded thereby were entitled.
(Acts 1986, No. 86-546, p. 1093, §12.)
Any bonds of the authority may be executed and delivered by it at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, fixed or floating, payable and evidenced in such manner, may contain provisions for redemption prior to maturity and may contain other provisions not inconsistent with this section, all as may be provided by the resolution of the board of directors whereunder such bonds are authorized to be issued; provided that no bond of the authority shall have a specified maturity date later than 30 years after its date. In the event that the authority shall make more than one pledge of the same revenues, such pledges shall, unless otherwise provided in the resolution or resolutions authorizing the earlier issued bonds, take precedence in the order of the adoption of the resolutions in which the pledges are made; provided, that each pledge for the benefit of refunding bonds shall have the same priority as the pledge for the benefit of the bonds refunded thereby.
(Acts 1986, No. 86-546, p.1093, §13.)
Bonds of the authority may be sold at such price or prices and at such time or times as the board of directors of the authority may consider advantageous, at public or private sale. If bonds are to be sold by competitive bid on sealed bids or at public auction, the bonds may be sold only to the bidder whose bid reflects the lowest effective borrowing cost to the authority for the bonds being sold; provided, that if no bid acceptable to the authority is received, it may reject all bids. Notice of each such sale by competitive bids shall be given by publication in either a financial journal or a financial newspaper published in the City of New York, New York, and also by publication in a newspaper published in the State of Alabama, each of which notices must be published at least one time not less than 10 days before the date fixed for such sale. The board of directors may fix the terms and conditions under which such sale by competitive bids may be held; provided that such terms and conditions shall not conflict with any of the requirements of this article. The authority may pay out of the proceeds of the sale of its bonds all expenses, including publication and printing charges, fiscal agents’ fees, attorneys’ fees, and other expenses which said board of directors may deem necessary and advantageous in connection with the authorization, advertisement, sale, execution, and issuance of such bonds. Neither a public hearing nor consent of the state shall be a prerequisite to the issuance or sale of bonds by the authority.
(Acts 1986, No. 86-546, p. 1093, §14.)
Any trust fund, where the investment thereof is permitted or required by law, may be invested in bonds issued by the authority. Unless otherwise directed by the court having jurisdiction thereof or the document which is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in the bonds of the authority.
(Acts 1986, No. 86-546, p. 1093, §15.)
Any bonds issued by the authority may be used by the holders thereof as security for deposits of any funds belonging to the state or to any instrumentality, agency, or political subdivision of the state in any instance where security for such deposits may be required or permitted by law.
(Acts 1986, No. 86-546, p. 1093, §16.)
(a) All proceeds derived from the sale of any bonds, except refunding bonds, sold by the authority, remaining after payment of the expenses of issuance thereof, shall be held by the authority and used solely for the purposes of:
(1) Acquiring land for and constructing, reconstructing, and equipping thereon one or more facilities;
(2) Paying all reasonable and necessary expenses incidental thereto, including filing, recording, surveying, legal and engineering fees and expenses;
(3) Paying the interest which will accrue on the said bonds during the period required for the construction and equipment of the said facilities and for a period not exceeding six months after the completion thereof; and
(4) Paying the principal of and interest on all then outstanding notes theretofore issued by the authority pursuant to the provisions hereof.
The balance of the said proceeds thereafter remaining shall be set aside as additional security for the bonds or shall be used to pay, purchase, or redeem bonds as may be provided in the proceedings authorizing their issuance.
(b) All proceeds from the sale of refunding bonds issued by the authority that remain after paying the expenses of their issuance may be used only for the purpose of refunding the principal of and any unpaid and accrued interest on the outstanding bonds of the authority for the refunding of which the refunding bonds are authorized to be issued, together with any premium that may be necessary to be paid in order to redeem or retire such outstanding bonds.
(Acts 1986, No. 86-546, p. 1093, §17.)
Any portion of the principal proceeds derived from the sale of the bonds which the board of directors of the authority may determine is not then needed for any of the purposes for which the bonds are authorized to be issued shall, on order of the authority, be invested in such manner as the board of directors of the authority shall direct in any securities which are direct and general obligations of the United States of America or the principal of and interest on which are unconditionally and irrevocably guaranteed by the United States of America, or in certificates of deposit insured by an agency of the United States. Any such securities may, at anytime and from time to time on order of the authority, be sold or otherwise converted into cash. The income derived from any such investments shall be disbursed on order of the authority for any purpose for which it may lawfully expend funds.
(Acts 1986, No. 86-546, p. 1093, §18.)
The principal of, premium, if any, and interest on the bonds of the authority shall be secured by any or all of the following, as the authority may determine:
(1) The rent and revenues from the lease or use of one or more facilities of the authority;
(2) The proceeds from any sale of any facilities of the authority;
(3) Any bond proceeds remaining unexpended upon completion of all facilities to be constructed with such bond proceeds and the payment of the cost thereof;
(4) Any insurance proceeds which the authority may receive by reason of its ownership of any of the facilities; and
(5) Any mortgage upon or security interest in one or more facilities of the authority, granted in connection with the issuance of such bonds.
The authority shall have authority to transfer and assign any lease or mortgage of any of its facilities as security for the payment of such principal, premium, if any, and interest. The bonds may be issued under, and secured by, a resolution which may, but need not, provide for an indenture of trust covering one or more facilities of the authority. Such resolution or such indenture of trust may contain any provision or agreement customarily contained in instruments securing evidences of indebtedness, including, without limiting the generality of the foregoing, provisions respecting the collection and application of any receipts pledged to the payment of bonds, the terms to be incorporated in lease agreements respecting the facilities, the maintenance and insurance thereof, the creation and maintenance of reserve and other special funds from such receipts and the rights and remedies available in the event of default to the holders of the bonds or to the trustee for the holders of the bonds or under any indenture of trust, all as the authority may deem advisable and as shall not be in conflict with the provisions of this article; provided, however, that in making such agreements or provisions the authority shall not have the power to obligate itself except with respect to its facilities, and the application of the rents, revenues, and other moneys and assets which it is authorized in this article to pledge.
(Acts 1986, No. 86-546, p. 1093, §19.)
If there be any default by the authority in the payment of the principal of or interest on the bonds or in any of the agreements on the part of the authority which may properly be included in any resolution or indenture of trust securing such bonds, any holder of any of the bonds or the trustee for the bondholders under any resolution or indenture of trust, if so authorized therein, may, by an action, mandamus, or other proceedings, enforce payment of such items and foreclosure upon any mortgage or security interest granted as security for such bonds and compel performance of all duties of the directors and officers of the authority and shall be entitled, as a matter of right and regardless of the sufficiency of any such security or the availability of any other remedy, to the appointment of a receiver with all the power of such receiver for the maintenance, insurance, and leasing of the facilities and property covered by such resolution or such indenture of trust and the collection and application of the receipts therefrom. Any such resolution or indenture of trust may contain provisions regarding the rights and remedies of any trustee thereunder and the holders of the bonds and may contain provisions restricting the individual rights of action of the holders of the bonds.
(Acts 1986, No. 86-546, p. 1093, §20.)
All bonds issued by the authority, while not registered, shall be construed to be negotiable instruments even though they are payable from a limited source. All coupons applicable to any bonds issued by the authority, while the applicable bonds are not registered as to both principal and interest, shall likewise be construed to be negotiable instruments although payable from a limited source
(Acts 1986, No. 86-546, p. 1093, §21.)
All obligations incurred by the authority and all bonds and notes issued by it shall be solely and exclusively an obligation of the authority, payable solely from the sources which may under the provisions of this article be pledged to the payment thereof. No obligation incurred by the authority and no bond or note issued by it shall create an obligation or debt of the state or of the commission.
(Acts 1986, No. 86-546, p. 1093, §22.)
The chair of the commission is authorized upon direction and authorization of the commission to execute and deliver, at any time and from time to time, an appropriate deed or deeds conveying to the authority:
(1) Any facilities belonging to the commission,
(2) Any unimproved real property belonging to the commission which the commission determines to be needed by the authority for the construction of facilities, and
(3) Any improved real property and any personal property associated therewith belonging to the commission which the commission determines to be needed by the authority for the construction, reconstruction, or improvement of facilities, for such consideration as the commission shall determine to be appropriate. No concurrence in the conveyance evidenced by any such deed by any state official or any other person or persons shall be necessary or prerequisite to the validity of any such conveyance.
Upon delivery of any such deed to the authority, it thereby shall be invested with all right and title that the commission had in the property conveyed thereby, subject to the right of reverter to the commission of all such property upon the dissolution of the authority provided for in Section 41-10-330 hereof. The authority shall be entitled to immediate possession of all such property upon execution of the deed thereto.
(Acts 1986, No. 86-546, p. 1093, §23.)
All facilities constructed by the authority shall be constructed according to plans and specifications of architects or engineers, or both, selected by the commission. Such plans and specifications shall be approved by the authority.
(Acts 1986, No. 86-546, p. 1093, §24.)
(a) The authority is hereby authorized to enter into a lease or leases of any one or more facilities constructed, acquired, reconstructed, renovated, or improved by the authority under the provisions of this article, to and with the commission or any other agency of the state which may be charged with the responsibility for the operation of the commission’s facilities. The commission and any such other agency of the state and each of them are hereby authorized to lease any such facilities from the authority. No such lease shall, however, be for a term longer than the then current fiscal year of the state, but any such lease may contain a grant to the commission or any state agency of successive options of renewing said lease on the terms specified therein for any subsequent fiscal year or years of the state; provided, that liability for the payment of rent shall never be for a term longer than one fiscal year.
(b) Rent payments by the commission, the state, or any of its agencies shall be due and payable not less often than once each fiscal year at such time or times as shall be specified in the lease respecting the facilities leased and shall, upon being so paid, entitle the commission, the state, or such agency to quiet possession of the facilities leased for such fiscal year. Said rent for such fiscal year shall be payable, and any such covenent with respect thereto on the part of the commission, the state or any of its agencies (as the case may be) shall be performed, solely out of the current revenues of the commission, the state or such agency for such fiscal year. The rent payable and the covenants to be performed by the commission, the state or any of its agencies under the provisions of said lease shall never be deemed to create a debt of the state within the meaning of the constitution.
(c) In the event that there shall be any default in the payment of any rent required to be paid or in the performance of any covenant required to be performed by the commission, the state or any of its agencies under the provisions of any such lease, while such lease is in effect, the authority and any pledgee of such lease may, by any appropriate proceedings instituted within the time permitted by law, enforce and compel the payment of such rent and the performance of such covenants. No free use shall be made of any facilities of the authority so long as the principal of or interest on any bonds, including refunding bonds, issued by the authority remains unpaid.
(d) In the event that any facility of the authority should become vacant or not be used by the commission or one of the state agencies, then neither the commission, the state nor any agency, board, bureau, commission, public corporation, or department of the state shall rent, purchase, acquire, construct, or lease any facilities or renew any lease of any facilities, nor shall it use any such facilities other than those of the authority, so long as any facility of the authority shall remain vacant or unused.
(Acts 1986, No. 86-546, p. 1093, §25.)
If at any time any facility constructed or acquired by the authority is, or is about to be, vacant or unused as a result of there being no lease for such facility in effect for the current fiscal year, then, but only in such event, in order to prevent default on its bonds, the authority is hereby authorized to lease such facility to any other agency, department, bureau, or commission of the state, any municipal corporation, public corporation, county, or other public body in the state, or any agency of the federal government. Any such lease shall not be for the purpose of lending public credit but shall be solely to avoid default on the authority’s bonds and to insure the prompt payment of the principal thereof and interest thereon when due.
(Acts 1986, No. 86-546, p. 1093, §26.)
In the resolution or proceedings authorizing the issuance of any bonds or any temporary loan or in any indenture of trust, the authority may provide for the establishment of one or more special funds for the payment of the principal of, or interest on, the bonds or notes, one or more reserve funds therefor and a fund, or funds, for the payment of insurance premiums or other expenses with respect to the ownership and leasing of the facilities. Any such special funds shall be held as trust funds pursuant to agreement with such trustee bank or banks as may be designated by the commission. The authority shall establish and maintain appropriate records pertaining to such funds. Such records shall be available at all reasonable times to public inspection.
(Acts 1986, No.86-546, p. 1093, §27.)
The properties of the authority and the income therefrom, all lease agreements made by the authority and all bonds and promissory notes issued by the authority, the interest thereon, the coupons, if any, applicable thereto, the income therefrom and all lien notices with respect thereto, and all purchases and uses of property by the authority shall be forever exempt from any and all taxation in the state or in any county, municipality, or political subdivision thereof.
(Acts 1986, No. 86-546, p. 1093, §28.)
Any action to protect or enforce any rights under the provisions of this article shall be brought in the Circuit Court of Madison County, Alabama.
(Acts 1986, No. 86-546, p. 1093, §29.)
There shall be no fees paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Acts 1986, No. 86-546, p. 1093, §30.)
When all bonds and securities issued by the authority and all obligations assumed by it under the provisions of this article shall have been paid in full, the then president of the authority may thereupon execute and deliver in the name of, and in behalf of, the authority an appropriate deed or deeds, to which the seal of the authority shall be affixed and attested by the secretary of the authority, conveying all facilities, properties, and other assets then owned by the authority to the commission, or such agency of the state as shall at the time have succeeded to the rights and duties of the commission. The then directors of the authority may at such time file with the Secretary of State a written statement, subscribed and sworn to by each of them, reciting the payment in full of all bonds theretofore issued by the authority and the execution and delivery of such deed or deeds, which statement shall be filed by the Secretary of State and recorded with the certificate of incorporation of the authority, and thereupon the authority shall stand dissolved.
(Acts 1986, No. 86-546, p. 1093, §31.)
All leases of facilities made by the authority shall be exempt from the provisions and requirements of Chapter 16 of this title of the code.
(Acts 1986, No. 86-546, p. 1093, §32.)
The authority shall not be governed by the provisions of Chapter 20 of this title of the code (originally enacted as Act No. 512 of the 1976 Regular Session of the Legislature of Alabama).
(Acts 1986, No. 86-546, p. 1093, §33.)
The Legislature hereby finds and declares that it is necessary, desirable and in the public interest that additional facilities be made available in this state for mental health purposes. It is the intention of the Legislature by the passage of this article to authorize the formation of a public corporation for the purpose of providing for the acquisition, construction, improvement, and equipment of the mental health facilities (including improvements to existing facilities), and to authorize the said corporation, in order to provide for payment of the costs of the said facilities, to anticipate the proceeds of that portion of a special state tax (originally levied by Act No. 275, adopted at the 1967 Regular Session of the Legislature of Alabama), that was levied for mental health purposes by the issuance of the bonds of the said corporation payable solely from the proceeds of the said tax.
(Acts 1988, No. 88-475, p. 739, §1.)
The following terms hereafter used in this article shall have the following respective meanings:
(1) AUTHORITY. The public corporation organized pursuant to the provisions of this article.
(2) BONDS. The bonds issued under the provisions of this article.
(3) COMMISSIONER. The Commissioner of Mental Health.
(4) DEPARTMENT. The Department of Mental Health provided for in Chapter 50 of Subtitle 2 of Title 22.
(5) DIRECTORS. The board of directors of the authority.
(6) MENTAL HEALTH FACILITIES. Any one or more of the following: hospitals and other facilities of any kind for treatment and care of the mentally ill and individuals with an intellectual disability; regional or community-based mental health centers; regional or community-based facilities for treatment and care of the mentally ill or individuals with an intellectual disability; regional or community-based centers for the treatment of alcoholism or drug addiction; and improvements to existing state hospitals or other facilities for the treatment and care of the mentally ill and individuals with an intellectual disability.
(7) COMMUNITY FACILITIES. Facilities operated by regional community mental health boards established pursuant to Section 22-51-2, community mental health centers, associations for retarded citizens, and community substance abuse programs certified by the Alabama Department of Mental Health that provide services for the treatment and care of individuals with mental or emotional illnesses, intellectual disability, alcoholism, or drug addiction.
(8) OVERSIGHT COMMITTEE. The Mental Health Capital Outlay Oversight Committee created in Section 22-50-25.
(9) PERMITTED INVESTMENTS. United States securities, certificates of deposit fully secured by United States securities and shall include investments in such obligations of the United States of America or its agencies under a repurchase agreement.
(10) UNITED STATES SECURITIES. Direct general obligations of the United States of America (including obligations of the state and local government series) and the obligations of any other agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof, the bonds, debentures, participation certificates, or notes of which are unconditionally guaranteed by the United States of America.
(11) RETIREMENT SYSTEMS OF ALABAMA. The State Employees’ Retirement System created pursuant to Chapter 27 of Title 36, and the Teachers’ Retirement System created pursuant to Chapter 25 of Title 16.
The definitions hereinabove set forth shall be deemed applicable whether the words defined are used in the singular or the plural. Any pronoun or pronouns used herein shall be deemed to include both the singular and the plural and to cover all genders.
(Acts 1988, No. 88-475, p. 739, §2; Acts 1988, 1st Ex. Sess., No. 88-862, p. 359, §1.)
The Governor, the commissioner, the Director of Finance, the chair of the oversight committee, and the vice-chair of the oversight committee may become a public corporation with the powers hereinafter provided, by proceeding according to the provisions of Section 41-10-353 of this article.
(Acts 1988, No. 88-475, p. 739, §3.)
To become a corporation, the Governor, the commissioner, the Director of Finance, the chair of the oversight committee, and the vice-chair of the oversight committee shall present to the Secretary of State of Alabama an application signed by them which shall set forth: (1) the name, official designation, and official residence of each of the applicants; (2) the date on which each applicant was inducted or elected into office and the term of office of each applicant; (3) the name of the proposed corporation, which shall be the Alabama Mental Health Finance Authority; (4) the location of the principal office of the proposed corporation; and (5) any other matter relating to the incorporation which the applicants may choose to insert and which is not inconsistent with this article or the laws of the State of Alabama. The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of this state to take acknowledgments to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, he or she shall receive and file it and record it in an appropriate book of records in his or her office.
(Acts 1988, No. 88-475, p. 739, §4.)
When the application has been made, filed, and recorded as herein provided, the applicants shall constitute a public corporation under the name proposed in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation under the Great Seal of the State and shall record the certificate with the application. No fees or compensation shall be paid to the Secretary of State for any service rendered or work performed in connection with the authority, its incorporation, dissolution, or records.
(Acts 1988, No. 88-475, p. 739, §5.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The Governor shall be the president of the authority, the commissioner shall be the vice-president thereof, and the Director of Finance shall be the secretary thereof. The State Treasurer shall be treasurer of the authority, shall act as custodian of the funds of the authority, and shall pay the principal of and interest on the bonds of the authority out of the funds hereinafter provided for; provided, that the State Treasurer may designate one or more banks either within or without the state as the paying agent with respect to any series of bonds issued under this article. The members of the authority shall constitute all the members of the board of directors of the authority, and the presence of any three members of the directors shall constitute a quorum for the transaction of business. Should any person holding any office named in this section cease to hold office by reason of death, resignation, expiration of his or her term of office, or for any other reason, then his or her successor in office shall take his or her place as a member and officer of the authority. No member, officer, or director of the authority shall draw any salary in addition to that now authorized by law for any service he or she may render or for any duty he or she may perform in connection with the authority. All proceedings had and done by the directors shall be reduced to writing by the secretary of the authority, shall be signed by each of the directors, and shall then be recorded in a substantially bound book, which shall be kept in the office of the Director of Finance. Copies of such proceedings, when certified by the secretary of the authority, under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified. The board of directors of the authority shall meet at such times and upon such notice as it shall determine.
(Acts 1988, No. 88-475, p. 739, §6.)
The authority shall have the following powers among others specified in this article:
(1) To have succession by its corporate name until dissolved as provided in this article;
(2) To sue and be sued and to prosecute and defend, at law or in equity, in any court having jurisdiction of the subject matter and of the parties thereto;
(3) To have and to use a corporate seal and to alter the same at pleasure;
(4) To make and alter all needful bylaws, rules, and regulations for the transaction of the authority’s business and the control of its property and affairs;
(5) To provide for the acquisition, construction, installation, equipping, operation, and maintenance of mental health facilities, including the equipping and improvement of existing mental health facilities;
(6) To receive, take and hold by sale, gift, lease, devise, or otherwise, real and personal property of every description, and to manage the same;
(7) To acquire by purchase, gift, or any other lawful means, and to transfer, convey, or cause to be conveyed to the state, any real, personal, or mixed property;
(8) To borrow money and issue its bonds in evidence thereof subject to the provisions of this article;
(9) To anticipate by the issuance of its bonds the receipt of the revenues herein appropriated and pledged, all in the manner hereinafter provided;
(10) As security for payment of the principal of and the interest on its bonds, to pledge the proceeds of the appropriation and pledge herein provided for and any funds or revenues from which its bonds may be made payable and to arrange for and provide such additional security for its bonds, including letters of credit, bond insurance policies, surety bonds, all as the board of directors shall determine to be necessary or desirable;
(11) To make and enter into such contracts, leases, agreements, and other actions as may be necessary or desirable to accomplish any corporate purpose and to exercise any power necessary for the accomplishment of the purposes of the authority or incidental to the powers expressly set out herein;
(12) To appoint and employ such attorneys, accountants, financial advisors, underwriters, trustees, depositories, registrars, fiscal agents, and other advisors, agents, and independent contractors as may, in the judgment of the directors, be necessary or desirable; provided that in selecting and engaging the services of such attorneys (including, without limitation, bond counsel and counsel to the authority), accountants, financial advisors, underwriters, and other advisors, agents, or contractors, whether in connection with an issue or series of bonds or any ongoing matters of the authority, the authority shall in every case request proposals from qualified parties offering such services by publishing a request for proposals once a week for two consecutive weeks in newspapers published or having a general circulation in the Cities of Birmingham, Montgomery, Huntsville, and Mobile, shall fully and fairly review all of such proposals, and shall award such engagement to the proposing party in each case whose proposal is most advantageous to the state; and
(13) To enter into any necessary financial instruments, or obligations, or both, of the Retirement Systems of Alabama in order to provide financing for projects of the authority; provided further that principal and interest payments on any such instrument or obligation shall be payable solely from such funds as may from time to time be appropriated for the use and support of the Department of Mental Health, including the taxes appropriated and pledged in Section 41-10-365; provided further that any short-term securities developed between said authority and the Retirement Systems of Alabama for construction purposes shall bear an interest rate equal to other commercial paper purchases of the retirement system and further any intermediate or long-term securities shall bear an interest rate equal to or greater than the actuarial interest rate assumption and not less than 50 basis points above comparable U.S. Treasury Bonds. Fifty percent of all funds expended for facilities provided for by the Alabama Mental Health Finance Authority, under the provisions of this article, inclusive of any and all amendments to such article, shall be designated for community facilities as defined within the article.
(Acts 1988, No. 88-475, p. 739, §7; Acts 1988, 1st Ex. Sess., No. 88-862, p. 359, §1.)
For the purpose of acquiring, constructing, installing, and equipping mental health facilities, the authority is hereby authorized to issue and sell from time to time its bonds, which bonds may be in the form of interest-bearing bonds or noninterest-bearing bonds. The aggregate principal amount of bonds issued under this article shall (other than refunding bonds) not exceed $100,000,000.00. Provided, however, that the proceeds from the bonds issued under the provisions of this article shall not be utilized for the construction, installing, or equipping of community crisis stabilization units unless there is no available existing hospital beds that can be leased for said purposes within the community where such facility is to be operated.
(Acts 1988, No. 88-475, p. 739, §8.)
The bonds, which may be issued in one or more series, shall be in such forms and denominations and of such tenor and maturities, shall, if issued as interest-bearing bonds, bear such rate or rates of interest payable and evidenced in such manner, shall be payable in such installments, at such time or times and at such place or places, and may contain other provisions not inconsistent with this article, all as may be provided in the resolution or resolutions of the directors wherein the bonds are authorized to be issued; provided, that none of the bonds shall have a specified maturity date later than 30 years after its date. The authority may at its election retain in the resolution or resolutions under which any of the bonds are issued an option to redeem all or any thereof and at such redemption price or prices and after such notice or notices and on such dates and on such terms and conditions as may be set forth in said resolution or resolutions and as may be briefly recited in the bonds with respect to which such option of redemption is retained.
(Acts 1988, No. 88-475, p. 739, §9.)
The bonds shall be signed by the president of the authority and attested by its secretary; provided, that a facsimile of the signatures of both of said officers may be printed or otherwise reproduced on any of the bonds in lieu of their being manually signed if the proceedings under which the bonds are issued provide for the manual authentication of such bonds by officers or employees of the state designated by the authority. The seal of the authority shall be impressed on the bonds; provided, that a facsimile of said seal may be printed or otherwise reproduced on any of the bonds in lieu of being manually impressed thereon. Delivery of bonds so executed shall be valid notwithstanding any changes in officers subsequent to the signing of such bonds.
Fifty percent of the bonds issued under the provisions of this article shall be designated for community mental illness, mental retardation, and substance abuse facilities operated by regional community mental health boards established under Section 22-51-2, community mental health centers, associations for retarded citizens, and/or community substance abuse programs, all of which must be certified by the Alabama Department of Mental Health. Such community facilities may include, but shall not be limited to, those community facilities identified in the Department of Mental Health’s capital construction plan.
(Acts 1988, No. 88-475, p. 739, §10.)
Each series of the bonds shall be sold at such time or times as the directors may determine at public sale pursuant to competitive bidding, either on sealed bids or at public auction, to the bidder whose bid reflects the lowest total net interest cost to the authority for the bonds being sold, computed from the date of those at the time being sold to their respective maturities; provided, that if no bid acceptable to the authority is received it may reject all bids. Notice of the sale of any bonds at public sale shall be given either (1) by publication in either a financial journal or a financial newspaper published in the City of New York, New York, or (2) by publication in a newspaper published in the state which is customarily published not less often than six days during each calendar week, which notice must be published at least one time not less than 10 days prior to the date fixed for the sale. The authority may fix the terms and conditions under which each sale of bonds may be held. The authority may pay out of the proceeds from the sale of the bonds all expenses, fees, premiums, discounts, insurance premiums and commissions and letters of credit or other credit enhancement fees as the directors may deem necessary or advantageous. Neither a public hearing nor consent by the state Department of Finance or any other department or agency shall be a prerequisite to the issuance of any of the bonds. All bonds issued by the authority shall contain a recital that they are issued pursuant to the provisions of this article, which recital shall be conclusive evidence that the said bonds have been duly authorized pursuant to the provisions of this article.
(Acts 1988, No. 88-475, p. 739, §11.)
The bonds shall not be general obligations of the authority but shall be payable solely out of the funds appropriated and pledged therefor in Section 41-10-365 of this article. As security for the payment of the principal of and interest on the bonds issued by it under this article, the authority is hereby authorized and empowered to pledge for payment of the said principal and interest the funds that are appropriated and pledged in Section 41-10-365 of this article for payment of the said principal and interest. All such pledges made by the authority shall take precedence in the order of the adoption of the resolutions containing such pledges. All bonds issued by the authority pursuant to the provisions of this article shall be solely and exclusively obligations of the authority and shall not be an obligation or debt of the state. The bonds shall be construed to be negotiable instruments although payable solely from a specified source as herein provided.
(Acts 1988, No. 88-475, p. 739, §12.)
The bonds and the income therefrom shall be exempt from all taxation in the state. Any of the bonds may be used by the holder thereof as security for the deposit of any funds belonging to the state or to any instrumentality or agency of the state in any instance where security for such deposits may be required by law. Unless otherwise directed by the court having jurisdiction thereof, or by the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in any of the bonds.
(Acts 1988, No. 88-475, p. 739, §13.)
Any bonds issued by the authority under this article may from time to time thereafter be refunded by the issuance of refunding bonds of the authority. Any such refunding bonds may be issued whether the bonds to be refunded shall have then matured or shall thereafter mature, and such refunding may be effected either by sale of the refunding bonds and the applications of the proceeds thereof to the payment or redemption of the bonds so refunded or by exchange of the refunding bonds for those to be refunded thereby; provided, that the holders of any bonds so to be refunded shall not be compelled without their consent to surrender their bonds for payment or exchange prior to the date on which they are payable or, if they are called for redemption, prior to the date on which they may be redeemed by the authority according to their terms. Any refunding bonds may be issued in such aggregate principal amount as the authority shall deem necessary to effect such refunding. The proceeds derived from any sale of refunding bonds remaining after payment of the expenses of their issuance shall be applied in accordance with the proceedings of the authority under which such refunding bonds are issued. Pending the application of said proceeds to the purchase, redemption, or payment of such outstanding bonds, the said proceeds may be invested in permitted investments pursuant to a trust agreement providing for the future application of such proceeds to the purchase, redemption, or payment of such outstanding bonds. Bonds refunded prior to their maturity with the proceeds of refunding bonds shall be deemed not outstanding if the authority, in the proceedings under which such refunding bonds are issued, establishes a trust fund comprised of cash or permitted investments, or both, sufficient to pay in accordance with the provisions of such trust fund, when due, the entire principal of, premium, if any, and interest on the refunded bonds; provided, that such government securities shall not be subject to redemption prior to their maturities other than at the option of the holder thereof. Upon the establishment of such a trust fund, the refunded bonds shall no longer be deemed to be outstanding, shall no longer be secured by the funds pledged therefor in Section 41-10-365 hereof, shall no longer be obligations of the authority and shall be secured solely by and payable from the moneys and investments deposited in such trust fund.
(Acts 1988, No. 88-475, p. 739, §14.)
The proceeds of the bonds, other than refunding bonds, remaining after paying the expenses of their sale and issuance shall be turned into the State Treasury, shall be carried in a special fund to be designated the Mental Health Facilities Building Fund, and shall be subject to be drawn on by the authority for the purpose of paying costs of acquisition, construction, improvement, and equipping of mental health facilities in the state.
For the purposes of this article, the improvement of a facility shall be deemed to include the renovation, modernization, remodeling, and equipment thereof and the construction of additions thereof, and the construction of a facility shall be deemed to include the acquisition of real estate sites and equipment therefor. For purposes of this article, equipment shall mean any item of personal property having an estimated useful life of at least 10 years.
The preparation of all plans and specifications for any building, or capital improvements to a building, constructed wholly or in part with any of the proceeds from the sale of the bonds and all work done hereunder in constructing buildings and capital improvements thereto shall be supervised by Division of Construction Management of the Department of Finance, or any agency that may be designated by the Legislature as its successor. All work done in the construction of buildings and all purchases of equipment shall be made on the basis of competitive bidding in the manner provided by law. Any moneys remaining on deposit in the Mental Health Facilities Building Fund shall, upon completion of the acquisition and construction of mental health facilities and the payment of all costs in connection therewith, be applied either to redemption of bonds on the earliest date on which they are by their terms subject to redemption or otherwise utilized by the authority in connection with the refunding of bonds.
(Acts 1988, No. 88-475, p. 739, §15.)
For the purpose of providing funds to enable the authority to pay at their respective maturities the principal of and interest on any bonds issued by it under the provisions of this article and to accomplish the objects of this article, there are hereby irrevocably pledged to such purpose and there are hereby appropriated so much as may be necessary for such purpose of (a) the receipts from the tax levied by Sections 40-25-2 and 40-25-41 and required to be distributed to the authority in accordance with the provisions of Section 40-25-23 and, (b) to the extent that the receipts from said tax shall be insufficient for such purpose, the receipts from the tax levied by Acts 1988, 1st Ex. Sess., No. 88-869, that are required to be distributed to the authority pursuant to the provisions of Acts 1988, 1st Ex. Sess., No. 88-869. All moneys hereby appropriated and pledged shall constitute a sinking fund for the purpose of paying the principal of (premium, if any) and the interest on the bonds herein authorized.
(Acts 1988, No. 88-475, p. 739, §16; Acts 1988, 1st Ex. Sess., No. 88-862, p. 359, §1.)
All contracts made, obligations incurred, and bonds issued by the authority shall be solely and exclusively obligations of the authority and shall not create obligations or debts of the state.
(Acts 1988, No. 88-475, p. 739, §17.)
Any portion of the principal proceeds derived from the sale of the bonds which the board of directors may determine is not then needed for any of the purposes for which the bonds are authorized to be issued shall, on order of the authority, be invested by the State Treasurer in permitted investments which mature at such time or times as the authority shall direct. Any such investments may, at any time and from time to time on order of the authority, be sold or otherwise converted by the State Treasurer into cash. The income derived from any such investments shall be disbursed on order of the authority for any purpose for which it may lawfully expend funds.
(Acts 1988, No. 88-475, p. 739, §18.)
The authority shall be a nonprofit corporation, and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any private entity.
(Acts 1988, No. 88-475, p. 739, §19.)
At any time when the bonds and other obligations of the authority have been paid in full, the authority may be dissolved upon the filing with the Secretary of State of a written statement for dissolution, reciting payment in full of all bonds and other obligations of the authority and which shall be sworn to by each such member before an officer authorized to take acknowledgments to deeds. Upon the filing of said written statement for dissolution, the authority shall cease and any property owned by it at the time of its dissolution shall pass to the state. The Secretary of State shall file and record the written statement for dissolution in an appropriate book of record in his or her office, and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the said certificate with the written statement for dissolution.
(Acts 1988, No. 88-475, p. 739, §20.)
Out of the revenues appropriated and pledged in Section 41-10-365 of this article, the State Treasurer is authorized and directed to pay the principal of and interest on the bonds at the respective maturities of the said principal and interest, and he or she is further authorized and directed to set up and maintain appropriate records pertaining thereto. In the event that the State Treasurer designates any bank as the paying agent with respect to any bonds, the State Treasurer shall make available to such bank, not later than one business day prior to the date on which any principal of or interest on such bonds is due and payable, funds sufficient to pay such principal and interest due on such date.
(Acts 1988, No. 88-475, p. 739, §21.)
The authority shall have the power to make such payments to the United States as the directors deem necessary to cause the interest on any bonds of the authority to be and remain exempt from federal income taxation. The authority shall have the power to make agreements respecting the investment of funds of the authority necessary in order that the interest income on bonds of the authority be and remain exempt from federal income taxation.
(Acts 1988, No. 88-475, p. 739, §22.)
This article shall be known as the Alabama Supercomputer Authority Act.
(Acts 1989, No. 89-704, p. 1402, §1.)
The Legislature hereby makes the following findings of fact and declares its intent to be: Supercomputer technology is expected to have a significant impact on the research capabilities of research institutions, governmental agencies, and private industries. The police power of the state authorizes the state to promote the prosperity and general welfare of its citizens. The development of supercomputer technology will greatly enhance research capabilities of the state’s major research institutions and governmental agencies, and will attract industry to the state. For these reasons, it is the intent of the Legislature by the passage of this article to exercise its police power to authorize the incorporation by the Governor, the Director of Finance, the Secretary of the Alabama Department of Commerce, the Lieutenant Governor, and the Speaker of the House, of a public corporation for the purpose of planning, acquiring, developing, administering, and operating a statewide supercomputer and related telecommunications system, and to vest such corporation with all powers, authorities, rights, privileges, and titles that may be necessary to enable it to accomplish such purpose. This article shall be liberally construed in conformity with the purpose expressed.
It shall be the duty of the authority to establish, administer, and operate such supercomputer system for the primary purpose of providing state-of-the-art technology in supercomputer processing for scientific research and development to governmental agencies, educational institutions, private-sector businesses, and industries.
(Acts 1989, No. 89-704, p. 1402, §2.)
The Governor, the Director of Finance, the Secretary of the Alabama Department of Commerce, the Lieutenant Governor, and the Speaker of the House may become a public corporation with the powers and authorities hereinafter provided, by proceeding according to the provisions of this article.
(Acts 1989, No. 89-704, p. 1402, §3.)
To become a public corporation, the Governor, the Director of Finance, the Secretary of the Alabama Department of Commerce, the Lieutenant Governor, and the Speaker of the House, shall present to the Secretary of State an application signed by each of them which shall set forth (1) the name, official designation, and official residence of each of the applicants together with a certified copy of the document evidencing each applicant’s right to office; (2) the date on which each applicant was inducted into office and the term of office of each of the applicants; (3) the name of the proposed public corporation, which shall be “Alabama Supercomputer Authority”; (4) the location of the principal office of the proposed public corporation, which shall be Montgomery, Alabama; and (5) any other matters relating to the incorporation which the applicants may choose to insert and which is not inconsistent with this article or the laws of the state, including any provisions necessary or appropriate to secure qualification as a nonprofit corporation exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code. The application shall be sworn and subscribed to by each of the applicants before an officer authorized by the laws of the state to take acknowledgements to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section and that the name proposed in the application is not identical with that of a person or other corporation in the state or so nearly similar thereto as to lead to confusion and uncertainty, he or she shall receive and file it and record it in an appropriate book of records in his or her office.
(Acts 1989, No. 89-704, p. 1402, §4.)
When the application has been made, filed and recorded as provided in the preceding section, the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application, whereupon the applicants shall constitute a public corporation of the state under the name proposed in the application. No fee shall be paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Acts 1989, No. 89-704, p. 1402, §5.)
(a) The authority shall be governed by a board of directors, constituted as provided for in this section. All powers of the authority shall be exercised by the board or pursuant to its authorization. The directors shall elect officers of the board. The presence of a majority of the members of the board of directors, or their designees, shall constitute a quorum for the transaction of business. No vacancy on the board of directors or the voluntary disqualification or abstention of any director thereof shall impair the right of a quorum of the board of directors to act. Any action which may be taken at a meeting of the directors or committee of directors may be taken without a meeting if a consent in writing, setting forth the action so taken, is signed by all the directors or all the members of the committee of directors, as the case may be. Such consent shall have the same force and effect as a unanimous vote and may be stated as such in any articles or documents filed with either the probate judge or the Secretary of State.
(b) The number of directors of the authority shall be selected as follows: The Director of Finance, the Secretary of the Alabama Department of Commerce, the Chancellor of the Postsecondary Education Department, and the State Superintendent of Education, each shall be a director, ex-officio. The Speaker of the House shall appoint a member of the House and the Lieutenant Governor shall appoint a member of the Senate. The Governor shall appoint as directors one representative of each of the doctoral-degree-granting public institutions of higher education in the State of Alabama as nominated by the president of each such institution. The Council of Presidents shall select a representative of the remaining four-year universities of this state to serve a four-year term. The Governor shall appoint four representatives from the business sector and two additional members of the board of directors as shall, in his or her judgment, be necessary for the proper and efficient functioning of the authority, so that the representation on the board of directors shall encompass the university, state government, and business sectors of the state.
(c) Directors other than those appointed at the time the authority is initially established, and except for ex-officio directors, shall be selected for four-year terms expiring on August 31 of the respective year. The Governor shall, at his or her discretion, indicate a length of initial term for initial appointees of from one to four years, so that each year the term of one-quarter of the members of the board of directors other than ex-officio directors shall expire. Any vacancy on the board of any director, other than an ex-officio director, shall be filled by appointment by the Governor, Speaker of the House, or Lieutenant Governor, as appropriate, for the remainder of that term. Directors may be reappointed for successive terms. Should any ex-officio director cease to hold such office by reason of death, resignation, expiration of his or her term of office, or for any other reason, then his or her successor in office shall take his or her place as an officer or director of the authority. No officer or director shall draw any salary in addition to that now authorized by law for any service he or she may render or for any duty he or she may perform in connection with the authority.
(d) All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary and shall be recorded in a substantially bound book and filed in the office of the Director of Finance. Copies of such proceedings, when certified by the secretary under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified. The board of directors of the authority shall meet at such times upon such notice as it shall determine or upon call of the chairperson.
(Acts 1989, No. 89-704, p. 1402, §6; Act 2006-184, p. 258, §1.)
The authority shall have the following powers among others specified in this article:
(1) To have succession by its corporate names until dissolved as provided in this article;
(2) To institute legal proceedings in any court of competent jurisdiction to enforce its contractual, statutory, and other rights; provided that the authority shall be considered an instrumentality of the State of Alabama and entitled to the sovereign immunity of the state; provided further, that any claim, demand or action against the authority, or any of its directors, officers, employees, or agents arising out of their official capacities, shall be presented to the Board of Adjustment, which shall have exclusive jurisdiction of any such claim, demand or action;
(3) To have and to use a corporate seal and to alter the same at pleasure;
(4) To make and alter all needful bylaws, rules, and regulations for the transaction of the authority’s business and the control of its property and affairs;
(5) To acquire, improve, maintain, equip, repair, furnish, and administer supercomputer and related communications equipment and facilities which the authority may determine to be necessary and not inconsistent with the provisions of this article;
(6) To make the time and resources of the supercomputer system and the other facilities and equipment of the authority available to federal, state, and local governmental agencies, divisions, boards, and public corporations, including universities and other educational and research institutions and organizations; and to the businesses, industries, and others for such fees or charges as the authority shall determine to best support, promote, and encourage research; and to the businesses and industries under such preferences, priorities, procedures, and policies as the board shall deem appropriate;
(7) To receive and accept from any source aid or contributions of money, property, labor, or other items of value for furtherance of any of its purposes, subject to any limitations not inconsistent herewith or with the laws of this state pertaining to such contributions, including, but without limitation to, gifts or grants from any department, agency, or entity of the federal, state, or local government or business and industry;
(8) To procure such insurance and guarantees as the authority may deem advisable, including, but without limitation to, insurance and guarantees against any loss in connection with any of its property or assets, tangible or intangible, in such amounts and from such public or private entities as it may deem appropriate, and to pay premiums or other charges for such insurance or guarantees;
(9) To acquire by purchase, gift, or any other lawful means, and to transfer, convey or cause to be conveyed to the State of Alabama, any real, personal, or mixed property;
(10) To make and enter into such contracts, leases, agreements, and other actions as may be necessary or desirable to accomplish any corporate purpose and to exercise any power necessary for the accomplishment of the purposes of the authority or incidental to the powers expressly set out herein;
(11) To appoint and employ such attorneys, accountants, technical consultants and other advisors, agents, and independent contractors as may, in the judgment of the authority, be necessary or desirable; and
(12) To make and enter into such contracts and agreements as may be necessary to provide technical personnel and services required for the development, maintenance, and operation of the supercomputer telecommunications system, and associated functions.
(Acts 1989, No. 89-704, p. 1402, §7.)
The authority may employ a chief executive officer who shall serve at the pleasure of the board of directors of the authority. The chief executive officer shall perform such duties as may be assigned to him or her by the authority and such duties as are required of him or her by law. He or she shall receive such compensation as may properly be fixed by the authority. In addition, he or she shall be entitled to remuneration for his or her necessary traveling expenses consistent with the general law.
The qualifications of the chief executive officer shall be determined by the authority.
The chief executive officer may employ, with the approval of the authority, such professional, technical, and clerical persons as may be authorized by the authority; and the authority, upon the recommendation of the chief executive officer, shall define the duties and fix the compensation of such employees. Said employees shall serve at the pleasure of the authority. The authority shall comply with the required procedures so that said employees shall be eligible to participate in the State Employees’ Retirement System.
(Acts 1989, No. 89-704, p. 1402, §8.)
The authority and its employees shall have no proprietary interest or property right in any product, process, idea, concept, or procedure subject to protection under a copyright, patent, or trade secret law, which was developed, invented or discovered through the utilization of its supercomputer and associated resources.
(Acts 1989, No. 89-704, p. 1402, §9.)
(a) The privacy, security, and confidentiality of data collected, stored, processed, or disseminated by the supercomputer system under the provisions of this article are the responsibility of the person, organization, or entity collecting, storing, processing, or disseminating such data.
(b) Data collected, stored, processed, or disseminated through utilization of the supercomputer system under the provisions of this article are not subject to the requirements of the public record laws of the State of Alabama, and are therefore not subject to public disclosure by the authority.
(c) The authority shall not access, use, or disseminate any data collected, stored, processed, or disseminated by the supercomputer system under the provisions of this article without the prior written approval of the owner of such data. For the purposes of this article, the person, governmental entity, educational institution, business, or industry contracting for supercomputer services with the authority shall be the owner of all data collected, stored, processed, or disseminated under the terms of said contract.
(d) The authority shall require that each person, governmental entity, educational institution, business, or industry receiving supercomputer services from the authority enter into a contractual agreement setting forth the following:
(1) All fees and charges for use of the supercomputer system;
(2) Each party’s responsibility for the privacy, security, and confidentiality of data, as well as any privacy, security, and confidentiality requirements the user shall require in its use of the supercomputer system;
(3) That the authority, its directors, officers, employees, and agents shall not be liable for damages caused by system malfunctions, hardware or software malfunctions, or other errors or omissions associated with the development, maintenance, use, and operations of the supercomputer system, or the collection, storage, processing, or dissemination of data through the supercomputer system;
(4) That the user will remove any program or data which the authority determines, in its sole discretion, may cause harm or damage to the authority’s equipment, or to the data or programs of other users of the supercomputer;
(5) That the supercomputer system user shall comply in all respects with rules and regulations promulgated by the authority under the provisions of this article;
(6) That all statutory and/or governmental regulatory restrictions for the maintenance, storage, use, or dissemination of data entered into the supercomputer system by the user shall be brought to the attention of the authority;
(7) Any other requirements or procedures deemed necessary by the authority for the administration and operation of the supercomputer system.
(Acts 1989, No. 89-704, p. 1402, §10.)
There is hereby established in the State Treasury a special fund to be known as the “Supercomputer System Fund”, which shall be used exclusively for the operation of the authority. All fees, charges, grants, gifts, appropriations, or other moneys received by the authority from any source whatsoever shall be deposited in said fund. All funds contained in this special fund at the end of any fiscal year of the State of Alabama are hereby reappropriated to the authority for the purposes specified in this article.
(Acts 1989, No. 89-704, p. 1402, §11.)
The properties of the authority and the income therefrom, all lease agreements made by the authority and all lien notices, mortgages, assignments, and financing statements filed with respect thereto shall be forever exempt from any and all taxation of the State of Alabama.
(Acts 1989, No. 89-704, p. 1402, §12.)
All contracts made and obligations incurred by the authority shall be solely and exclusively obligations of the authority and shall not create debts of the State of Alabama.
(Acts 1989, No. 89-704, p. 1402, §13.)
The authority shall be a nonprofit corporation, and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any private person or entity.
(Acts 1989, No. 89-704, p. 1402, §14.)
Upon issuance of the certificate of incorporation, any unencumbered funds appropriated to the Department of Finance, Division of Data Systems Management, for capital outlay and operation and maintenance of the supercomputer system, are hereby transferred to the Supercomputer System Fund to be expended in accordance with the provisions of this article.
Upon issuance of the certificate of incorporation and pursuant to a written transfer, assignment or conveyance by the State of Alabama to the authority, all contracts, leases, management agreements, real, or personal property acquired by the State of Alabama and utilized in the operation of a supercomputer center and system by the Alabama Department of Finance, shall be transferred, assigned, or conveyed to the authority without payment or other consideration. Upon such assignment, transfer or conveyance, the State of Alabama shall have no further obligations or rights to or under the items or subject matters so assigned, transferred, or conveyed.
(Acts 1989, No. 89-704, p. 1402, §15.)
The authority shall not duplicate the services provided to agencies, departments, boards, bureaus, commissions, and institutions of the State of Alabama by the Alabama Department of Finance. All telecommunications services used by the authority must have prior approval of the Data Systems Management Division, Department of Finance, State of Alabama.
(Acts 1989, No. 89-704, p. 1402, §16.)
At any time when the incorporators named in Section 41-10-393 determine that the services provided by the authority are no longer of benefit to the entities served by the authority and that all obligations of the authority have been paid in full, the authority may be dissolved upon the filing with the Secretary of State of a written statement for dissolution, which shall be subscribed by each of the incorporators of the authority and which shall be sworn to by each such incorporator before an officer authorized to take acknowledgements to deeds. Upon the filing of said written statement for dissolution, the authority shall cease and any property or other asset owned by it at the time of dissolution shall pass to the State of Alabama exclusively for purposes of Section 501(c)(3) of the Internal Revenue Code. The Secretary of State shall file and record the written statement for dissolution in an appropriate book of record in his or her office and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the said certificate with the written statement for dissolution.
(Acts 1989, No. 89-704, p. 1402, §17.)
The Legislature finds that the Real Estate Commission has acquired certain real property in Montgomery, Alabama, title to which is in the name of the State of Alabama, for the purpose of erecting a building to house the offices of the Real Estate Commission. The Real Estate Commission has also received authority from the Legislature to expend certain of its funds in the construction of such a facility. The Legislature further finds that the Real Estate Commission is unable to complete this building project without additional funding provided through temporary financing arrangements. Therefore, it is in the best interest of the State of Alabama and Real Estate Commission to establish a public corporation with the powers and authority necessary to construct and lease to the commission a facility adequate to serve the needs of the commission.
(Acts 1990, No. 90-293, p. 396, §1.)
There is hereby established the Real Estate Commission Building Authority composed of the Governor, the Chair of the Real Estate Commission, the Director of the Division of Construction Management of the Department of Finance, the Lieutenant Governor, and the Speaker of the House who together with the Board of Directors of the Real Estate Commission shall be a public corporation for the purposes herein stated. Such corporation shall have all the powers, authorities, rights, privileges, and title that may be necessary to enable it to implement the purposes of this article. The provisions of this article shall be liberally construed.
(Acts 1990, No. 90-293, p. 396, §2.)
To become a public corporation, the Governor, the Chair of the Real Estate Commission, the Director of the Division of Construction Management of the Department of Finance, the Lieutenant Governor, and the Speaker of the House, shall present to the Secretary of State an application signed by each of them which shall set forth (1) the name, official designation, and official residence of each of the applicants together with a certified copy of the document evidencing each applicant’s right to office; (2) the date on which each applicant was inducted into office and the term of office of each of the applicants; (3) the name of the proposed public corporation, which shall be “Real Estate Commission Building Authority”; (4) the location of the principal office of the proposed public corporation, which shall be Montgomery, Alabama; and (5) any other matters relating to the incorporation which the applicants may choose to insert and which is not inconsistent with this article or the laws of the state, including any provisions necessary or appropriate to secure qualification as a nonprofit corporation exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code. The application shall be sworn and subscribed to by each of the applicants before an officer authorized by the laws of the state to take acknowledgements to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section and that the name proposed in the application is not identical with that of a person or other corporation in the state or so nearly similar thereto as to lead to confusion and uncertainty he or she shall receive and file it and record it in an appropriate book of records in the office of the Secretary of State.
(Acts 1990, No. 90-293, p. 396, §3.)
When the application has been made, filed, and recorded as provided in Section 41-10-422, the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application, whereupon the applicants shall constitute a public corporation of the state under the name proposed in the application. No fee shall be paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Acts 1990, No. 90-293, p. 396, §4.)
(a) The authority shall be governed by a board of directors, constituted as provided for in this section. All powers of the authority shall be exercised by said board or pursuant to its authorization. The directors shall elect officers of the board. The presence of a majority of the members of the board of directors, or their designees, shall constitute a quorum for the transaction of business. No vacancy on the board of directors or the voluntary disqualification or abstention of any director thereof shall impair the right of a quorum of the board of directors to act. Any action which may be taken at a meeting of the directors or committee of directors may be taken without a meeting if a consent in writing, setting forth the action so taken, is signed by all the directors or all the members of the committee of directors, as the case may be. Such consent shall have the same force and effect as a unanimous vote and may be stated as such in any articles or documents filed with either the probate judge or the Secretary of State.
(b) The number of directors of the authority shall be selected as follows: The Director of the Division of Construction Management of the Department of Finance, the Chair of the Real Estate Commission each shall be a director, ex-officio. The Speaker of the House shall appoint a member of the House and the Lieutenant Governor shall appoint a member of the Senate. The Governor shall appoint as director one designee for himself or herself. The members of the Real Estate Commission as constituted by Section 34-27-7, shall also serve ex-officio and all shall be entitled the same privileges.
(c) Directors other than those appointed at the time the authority is initially established, and except for ex-officio directors, shall be selected for four-year terms expiring on August 31 of the respective year. Any vacancy on the board of any director, other than an ex-officio director, shall be filled by appointment by the Governor, Speaker of the House, or Lieutenant Governor, as appropriate, for the remainder of that term. Directors may be reappointed for successive terms. Should any ex-officio director cease to hold such office by reason of death, resignation, expiration of his or her term of office, or for any other reason, then his or her successor in office shall take his or her place as an officer or director of the authority. No officer or director shall draw any salary in addition to that now authorized by law for any service he or she may render or for any duty he or she may perform in connection with the authority.
(d) All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary and shall be recorded in a substantially bound book and filed in the office of the Real Estate Commission. Copies of such proceedings, when certified by the secretary under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified. The board of directors of the authority shall meet at such times upon such notice as it shall determine or upon call of the chairperson.
(Acts 1990, No. 90-293, p. 396, §5.)
The authority shall have the following powers among others specified in this article:
(1) To have succession by its corporate names until dissolved as provided in this article;
(2) To institute or maintain legal proceedings in any court of competent jurisdiction to enforce its contractual, statutory and other rights;
(3) To have and to use a corporate seal and to alter the same at pleasure;
(4) To make and alter all needful bylaws, rules, and regulations for transaction of the authority’s business and the control of its property affairs;
(5) The authority may, from time to time, borrow an amount not to exceed $400,000.00, as may be needed, to acquire, hold title to real property, to prepare and construct facilities and to sell, convey, lease, leaseback, or rent and maintain that certain property located in the City of Montgomery, Montgomery County, Alabama, which is owned by and in the name and interest of the State of Alabama and the Real Estate Commission, and in evidence of the moneys so borrowed may issue its promissory notes or other acceptable security as required;
The principal and interest on its debt shall be paid by the authority solely from its revenues from any source whatsoever, when due as deemed by the authority to be in its best interests and upon terms of written agreement and as recorded in its minutes. It is specifically provided that the authority shall not issue its revenue bonds;
(6) To receive and accept from any source aid or contributions of money, property, labor, or other items of value for furtherance of any of its purposes subject to any limitations not inconsistent herewith or with the laws of this state pertaining to such contributions, including, but without limitation to, gifts or grants from any department, agency, or entity of the federal, state, or local government or business and industry;
(7) To procure such insurance and guarantees as the authority may deem advisable, including, but without limitation to, insurance and guarantees against any loss in connection with any of its property or assets, tangible or intangible, in such amounts and from such public or private entities as it may deem appropriate, and to pay premiums or other charges for such insurance or guarantees;
(8) To acquire by purchase, gift, or any other lawful means, and transfer, convey, or cause to be conveyed to the State of Alabama, any real, personal, or mixed property;
(9) To make and enter into such contracts, leases, agreements, and other actions as may be necessary or desirable to accomplish any corporate purpose and to exercise any power necessary for the accomplishment of the purposes of the authority or incidental to the powers expressly set out herein;
(10) To appoint and employ such attorneys, accountants, technical consultants, and other advisors, agents, and independent contractors as may in the judgment of the authority, be necessary or desirable; however, administrative support may be provided to the authority by the real estate commission;
(11) To make and enter into such contracts and agreements as may be necessary to provide technical personnel and services required for the implementation of this article; and
(12) To lease facilities to the state, the commission, or any other agency or instrumentality of the state designated to perform the activities of the commission.
(Acts 1990, No. 90-293, p. 396, §6.)
The notes of the authority shall be executed by the manual or facsimile signature of either its president or its treasurer, as shall be provided in the resolution under which such securities shall be issued, and the seal of the authority or a facsimile thereof shall be affixed to any instruments so issued and attested by the manual or facsimile signature of its secretary; provided, that if such are executed entirely by facsimile, the notes shall be authenticated by the manual signature of the trustee, registrar, or paying agent if any. If, after any of the notes shall be so signed, whether manually or by facsimile, any such officer shall for any reason vacate his or her said office, the notes so signed may nevertheless be redeemed at any time thereafter as the act and deed of the authority.
(Acts 1990, No. 90-293, p. 396, §7.)
For the purpose of providing funds for the acquisition and preparation of sites, for the construction, reconstruction, alteration, and improvement of facilities, for the procurement and installation of equipment therefor, and for payment of obligations incurred and the principal of and interest on any temporary loans made for any of the said purposes, the authority is hereby authorized, from time to time, to sell, rent, lease, leaseback, set charges or rents, and to make rent adjustments necessary to meet such obligations and to use other revenues from any sources or income from said property. At no time shall any indebtedness or obligations or liabilities be that of the State of Alabama.
(Acts 1990, No. 90-293, p. 396, §8.)
All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary of the authority, which shall be signed by the members of the authority and shall be recorded in a substantially bound book and filed in the office of the Secretary of State. Copies of such proceedings, when certified by the secretary of the authority under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1990, No. 90-293, p. 396, §9.)
The properties of the authority and the income therefrom, all lease agreements made by the authority, and all lien notices, mortgages, assignments, and financing statements filed with respect thereto shall be forever exempt from any and all taxation of the State of Alabama and its political subdivisions.
(Acts 1990, No. 90-293, p. 396, §10.)
All contracts made and obligations incurred by the authority shall be solely and exclusively obligations of the authority and shall not create debts of the State of Alabama.
(Acts 1990, No. 90-293, p. 396, §11.)
The authority shall be a nonprofit corporation, and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any private person or entity.
(Acts 1990, No. 90-293, p. 396, §12.)
Upon issuance of the certificate of incorporation, all funds appropriated from the Real Estate Commission Fund for purposes of capital outlay by Acts of Alabama 88-777 and 88-953, which remain unspent or unencumbered, are hereby transferred to a fund in the State Treasury to be known as the Alabama Real Estate Commission Building Authority Fund. All funds received by the authority from any source whatsoever shall be deposited into such fund. Moneys contained therein are hereby appropriated for the purposes set forth in this article; said funds shall not revert to any other fund at the end of a fiscal year but are hereby reappropriated to the authority to be expended for any lawful purpose.
Upon issuance of the certificate of incorporation and pursuant to a written transfer, assignment, or conveyance by the State of Alabama to the authority, all contracts, leases, management agreements, real, or personal property acquired by the State of Alabama for the purpose of erecting a facility for the Real Estate Commission, shall be transferred, assigned, or conveyed to the authority without payment or other consideration. Upon such assignment, transfer, or conveyance, the State of Alabama shall have no further obligations or rights to or under the items or subject matters so assigned, transferred, or conveyed.
(Acts 1990, No. 90-293, p. 396, §13.)
At any time when the incorporators named in this article determine that the services provided by the authority are no longer of benefit to the entities served by the authority and that all obligations of the authority have been paid in full, the authority may be dissolved upon the filing with the Secretary of State of a written statement for dissolution, which shall be subscribed by each of the incorporators of the authority and which shall be sworn to by each such incorporator before an officer authorized to take acknowledgements to deeds. Upon the filing of said written statement for dissolution, the authority shall cease and any property or other asset owned by it at the time of dissolution shall pass to the State of Alabama exclusively for purposes of Section 501(c)(3) of the Internal Revenue Code. The Secretary of State shall file and record the written statement for dissolution in an appropriate book of record in his or her office and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the said certificate with the written statement for dissolution.
(Acts 1990, No. 90-293, p. 396, §14.)
It is the intent of the Legislature by the passage of this article to authorize the incorporation of the Governor, the Director of Finance, and the State Treasurer as a public corporation for the sole purpose of constructing, renovating, reconstructing, improving, altering, adding to, demolishing, equipping, operating and maintaining or contracting for the constructing, renovation, reconstruction, improvement, alteration, addition, demolition, equipment, operation and maintenance of public office buildings (including the State Capitol), and surfacing and resurfacing of land for parking and other uses to produce revenue and to vest such corporation with all powers, authority, rights, privileges, and titles that may be necessary to enable it to accomplish such purpose. This article shall be liberally construed in conformity with the purpose expressed.
(Acts 1990, No. 90-602, p. 1079, §1; Act 98-245, p. 404, §2; Act 2006-618, p. 1690, §2.)
(1) AUTHORITY. The public corporation organized pursuant to the provisions of this article.
(2) BONDS. Those bonds, including refunding bonds, authorized to be issued by the authority pursuant to act of the Legislature.
(3) GOVERNMENT SECURITIES. Any bonds or other obligations which as to principal and interest constitute direct obligations of, or are unconditionally guaranteed by, the United States of America, including obligations of any federal agency to the extent such obligations are unconditionally guaranteed by the United States of America and any certificates or any other evidences of an ownership interest in such obligations of, or unconditionally guaranteed by, the United States of America or in specified portions thereof (which may consist of the principal thereof or the interest thereon).
(4) PERMITTED INVESTMENTS. (i) Government securities; (ii) bonds, debentures, notes or other evidences of indebtedness issued by any of the following agencies: bank for cooperatives; federal intermediate credit banks; Federal Financing Bank; federal home loan banks; Federal Farm Credit Bank; Export-Import Bank of the United States; federal land banks, or Farmers Home Administration or any other agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof; (iii) bonds, notes, pass through securities or other evidences of indebtedness of Government National Mortgage Association and participation certificates of Federal Home Loan Mortgage Corporation; (iv) full faith and credit obligations of any state, provided that at the time of purchase such obligations are rated at least “AA” by Standard & Poor’s Corporation and at least “Aa” by Moody’s Investors Service; (v) public housing bonds issued by public agencies or municipalities and fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by a requisition or payment agreement with the United States of America; (vi) time deposits evidenced by certificates of deposit issued by banks or savings and loan associations which are members of the Federal Deposit Insurance Corporation, provided that, to the extent such time deposits exceed available federal deposit insurance, such time deposits are fully secured by obligations described in clauses (i), (ii), (iii), and (v) above, which at all times have a market value (exclusive of accrued interest) at least equal to such bank time deposits so secured, including interest and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Corporation for structured financings, (vii) repurchase agreements for obligations of the type specified in clauses (i), (ii), (iii), and (v) above, provided such repurchase agreements are fully collateralized and secured by such obligations which have a market value (exclusive of accrued interest) at least equal to the purchase price of such repurchase agreements and which are held by a depository satisfactory to the State Treasurer in such manner as may be required to provide a perfected security interest in such obligations, and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Corporation for structured financings; and (viii) uncollateralized investment agreements with, or certificates of deposit issued by, banks or bank holding companies, the senior long-term securities of which are rated at least “AA” by Standard & Poor’s Corporation and at least “Aa” by Moody’s Investors Service.
(5) REFUNDING BONDS. Those bonds authorized to be issued by the authority pursuant to act of the Legislature for the purpose of refunding or paying bonds of the authority and purposes ancillary thereto.
(6) STATE. The State of Alabama.
(7) Pronouns when used in this article shall include all applicable genders.
(Acts 1990, No. 90-602, p. 1079, §2; Act 98-245, p. 404, §3.)
The Governor, the Director of Finance, and the State Treasurer may become a public corporation with the power and authority hereinafter provided, by proceeding according to the provisions of this article.
(Acts 1990, No. 90-602, p. 1079, §3.)
To become a corporation, the Governor, the Director of Finance, and the State Treasurer shall present to the Secretary of State of Alabama an application signed by them which shall set forth: (1) the name, official designation, and official residence of each of the applicants, together with a certified copy of the document evidencing each applicant’s right to office; (2) the date on which each applicant was inducted into office and the term of office of each of the applicants; (3) the name of the proposed corporation, which shall be the Alabama Building Renovation Finance Authority; (4) the location of the principal office of the proposed corporation; and (5) any other matter relating to the incorporation which the applicants may choose to insert and which is not inconsistent with this article or the laws of the state. The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of this state to take acknowledgements to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, he or she shall receive and file it and record it in an appropriate book of records in his or her office.
(Acts 1990, No. 90-602, p. 1079, §4.)
When the application has been made, filed, and recorded as provided in Section 41-10-453, the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application, whereupon the applicants shall constitute a public corporation and agency of the state under the name proposed in the application. There shall be no fees paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Acts 1990, No. 90-602, p. 1079, §5.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The Governor shall be the president of the authority, the Director of Finance shall be the secretary of the authority, and the State Treasurer shall be treasurer of the authority. The members of the authority shall constitute all the members of the board of directors of the authority, which shall be the governing body of the authority. A majority of the members of the said board of directors shall constitute a quorum for the transaction of business. Should any person holding any state office named in this section cease to hold such office by reason of death, resignation, expiration of his or her term of office, or for any other reason, then his or her successor in office shall take his or her place as a member, officer, or director, as the case may be, of the authority. No member, officer, or director of the authority shall draw any salary in addition to that now authorized by law for any service he may render or for any duty he may perform in connection with the authority. All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary of the authority, shall be signed by the members of the authority, and shall be recorded in a substantially bound book and maintained in the office of the Director of Finance. Copies of such proceedings, when certified by the secretary of the authority, under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1990, No. 90-602, p. 1079, §6.)
The authority shall have the following powers among others specified in this article: (1) to have succession by its corporate name until dissolved as provided in this article; (2) to sue and be sued and to prosecute and defend, at law or in equity, in any court having jurisdiction of the subject matter and of the parties thereto; (3) to have and to use a corporate seal and to alter the same at pleasure; (4) to make and alter all needful bylaws, rules, and regulations for the transaction of the authority’s business and the control of its property and affairs; (5) to establish a fiscal year; (6) to provide for the construction, renovation, reconstruction, improvement, alteration, addition, demolition, equipment, operation and maintenance of public office building facilities (including the State Capitol), surfacing and resurfacing of land for parking and other uses to produce revenue and for the procurement of sites and equipment for such facilities; (7) to receive, take, and hold by sale, gift, lease, devise or otherwise, real and personal property of every description, and to manage the same; (8) to acquire by purchase, gift, or any other lawful means, and to transfer, convey, or cause to be conveyed to the state, any real, personal, or mixed property; (9) to borrow money and issue its bonds in evidence thereof subject to the provisions of this article; (10) to anticipate by the issuance of its bonds as hereinafter limited the receipt of the revenues from such public office buildings; (11) as security for the payment of the principal of and interest on its bonds, to enter into any lawful covenant and to pledge the revenues from such public office buildings; (12) to invest as hereinafter provided the proceeds from the sale of its bonds pending need therefor; (13) to make and enter into such contracts, leases, agreements, and other actions as may be necessary or desirable to accomplish any corporate purpose and to exercise any power necessary for the accomplishment of the purposes of the authority or incidental to the powers expressly set out herein; (14) to appoint and employ such attorneys, agents, advisors, independent contractors, and employees as may, in the judgment of the board of directors, be necessary or desirable; and (15) to contract, lease, and make lease arrangements as hereinafter provided for the use and occupation of all or any part of the public office buildings renovated, reconstructed, altered, added to, maintained, or improved by it, other than the State Capitol.
(Acts 1990, No. 90-602, p. 1079, §7; Act 98-245, p. 404, §4; Act 2006-618, p. 1690, §3.)
The authority shall have the same powers of eminent domain which shall be exercised in the same manner and under the same conditions as are provided by law for the exercise of the powers of eminent domain by the State of Alabama.
(Acts 1990, No. 90-602, p. 1079, §8.)
The authority is hereby authorized from time to time to sell and issue its bonds, not exceeding $29,500,000.00, exclusive of refunding bonds, in aggregate principal amount, and in such additional aggregate principal amounts as shall be authorized by act of the Legislature, for the purpose of providing funds for the construction, renovation, reconstruction, improvement, addition to, demolition, and alteration of public office building facilities including the State Capitol, for the procurement of equipment therefor, and for payment of obligations incurred for any of said purposes.
(Acts 1990, No. 90-602, p. 1079, §9; Act 98-245, p. 404, §5.)
(a) Definitions. The following terms, whenever used in Act 98-245, shall have the following respective meanings unless the context clearly indicates otherwise:
(1) “Authority” means Alabama Building Renovation Finance Authority established pursuant to the 1990 Act.
(2) “Bonds” (except where that word is used with reference to bonds issued under another act) means those bonds authorized to be issued pursuant to the authorization contained in Act 98-245.
(3) “1990 Act” means Act No. 90-602 enacted at the 1990 Regular Session of the Legislature of Alabama, codified as Article 14 of Chapter 10 of Title 41.
(b) In addition to those bonds authorized to be issued by the authority pursuant to the 1990 Act, the authority is hereby authorized to sell and issue its bonds in the aggregate principal amount of twelve million dollars ($12,000,000) for the purpose of constructing and equipping a new west wing for the Alabama Memorial Building, commonly known as the Archives Building, for lease by the authority pursuant to the 1990 Act, paying the costs of such renovation and reconstruction of the existing said building as shall be necessary or convenient in connection with the construction and equipment of said wing, and paying the costs of issuance of the bonds. The bonds shall be solely and exclusively obligations of the authority, shall not create an obligation or debt of the State of Alabama, shall have the qualities and incidents of negotiable instruments subject to registration provisions pertaining to transfers, and shall be secured, approved, executed, sealed, attested, sold, and delivered as and in the manner provided in the 1990 Act for the bonds described therein, with such changes in detail as shall be necessary in connection with the bonds. Income from the bonds shall be forever exempt from any and all taxation in the State of Alabama. The proceeds of the bonds shall be temporarily invested prior to use for the purpose hereinabove provided, as provided for in the 1990 Act in respect of the proceeds of bonds as described therein. In respect of the bonds, the authority shall have all powers necessary to make such payments to the United States of America as the authority deems necessary to cause the interest on any bonds of the authority to be and remain exempt from federal income taxation. The authority shall have the power to make agreements respecting the investment of funds of the authority necessary in order that the interest income on the bonds shall be and remain exempt from federal income taxation.
(Act 98-245, p. 404, §§1, 11.)
(a) Definitions. The following terms, whenever used in Act 2006-618, shall have the following respective meanings unless the context clearly indicates otherwise:
(1) “Authority” means Alabama Building Renovation Finance Authority established pursuant to the 1990 Act.
(2) “Bonds” (except where that word is used with reference to bonds issued under another act) means those bonds authorized to be issued pursuant to the authorization contained in Act 2006-618.
(3) “1990 Act” means Act No. 90-602 enacted at the 1990 Regular Session of the Legislature of Alabama, codified as Article 14 of Chapter 10 of Title 41.
(4) “1998 Act” means Act No. 98-245 enacted at the 1998 Regular Session of the Legislature of Alabama.
(b) In addition to those bonds authorized to be issued or refunded by the authority pursuant to the 1990 and 1998 Acts, the authority, acting pursuant to and exercising the powers granted to it by this article is hereby authorized to sell and issue its bonds in an aggregate principal amount not to exceed thirty million dollars ($30,000,000) for the purpose of the construction, renovation, reconstruction, improvement, alteration, addition, demolition, surfacing and resurfacing of land for parking and other uses to produce revenue, equipment, operation and maintenance of public office building facilities (including the State Capitol) and any other public office facility or improvement related thereto, paying the costs of such projects as shall be necessary or convenient, and paying the costs of issuance of the bonds.
(Act 2006-618, p. 1690, §§1, 6.)
(a) Definitions. The following terms, whenever used in this section, have the following respective meanings unless the context clearly indicates otherwise:
(1) “Authority” means the Alabama Building Renovation Finance Authority established pursuant to the 1990 Act.
(2) “Bonds” (except where that word is used with reference to bonds issued under another act) means those bonds authorized to be issued pursuant to the authorization contained in Act 2025-298.
(3) “1990 Act” means Act No. 90-602 enacted at the 1990 Regular Session of the Legislature of Alabama, codified as Article 14 of Chapter 10 of Title 41.
(4) “1998 Act” means Act No. 98-245 enacted at the 1998 Regular Session of the Legislature of Alabama, now appearing as Section 41-10-458.1.
(5) “2006 Act” means Act No. 2006-618 enacted at the 2006 Regular Session of the Legislature of Alabama, now appearing as Section 41-10-458.2.
(b) In addition to those bonds authorized to be issued or refunded by the authority pursuant to the 1990, 1998, and 2006 acts, the authority, acting pursuant to and exercising the powers granted to it by this article, is hereby authorized to sell and issue its bonds in an aggregate principal amount not to exceed fifty million dollars ($50,000,000) for the purpose of the construction, renovation, reconstruction, improvement, alteration, addition, demolition, surfacing and resurfacing of land for parking and other uses to produce revenue, equipment, operation and maintenance of public office building facilities (including the State Capitol) and any other public office facility or improvement related thereto, paying the costs of such projects as shall be necessary or convenient, and paying the costs of issuance of the bonds.
(Act 2025-298, §§1,2.)
The authority may from time to time sell and issue its refunding bonds without limit as to principal amount for the purpose of refunding any bonds of the authority at the time outstanding, paying the expenses of issuance thereof and paying any premiums necessary to be paid to redeem any bonds so to be refunded; provided, however, that no refunding bonds (other than refunding bonds issued to refund those bonds of the authority designated Building Renovation Revenue Bonds, Series 1990, originally issued in the aggregate principal amount of $29,500,000) shall be issued unless the present value of all debt service on the refunding bonds (computed with a discount rate equal to the true interest rate of the refunding bonds and taking into account all underwriting discount and other issuance expenses) shall not be greater than 99 percent of the present value of all debt service on the bonds to be refunded (computed using the same discount rate and taking into account the underwriting discount and other issuance expenses originally applicable to such bonds) determined as if such bonds to be refunded were paid and retired in accordance with the schedule of maturities (considering mandatory redemption as a scheduled maturity) provided at the time of their issuance. Provided further that the average maturity of the refunding bonds, as measured from the date of issuance of such refunding bonds (other than refunding bonds issued to refund those bonds of the authority designated Building Renovation Revenue Bonds, Series 1990, originally issued in the aggregate principal amount of $29,500,000), shall not exceed by more than five years the average maturity of the bonds to be refunded, as also measured from such date of issuance, with the average maturity of any principal amount of bonds to be determined by multiplying the principal of each maturity by the number of years (including any fractional part of a year) intervening between such date of issuance and each such maturity, taking the sum of all such products, and then dividing such sum by the aggregate principal amount of bonds for which the average maturity is to be determined. All refunding bonds shall be subrogated to the bonds which are refunded thereby.
(Acts 1990, No. 90-602, p. 1079, §10; Act 98-245, p. 404, §6; Act 2006-618, p. 1690, §4.)
All bonds of the authority shall be signed by its president, and the seal of the authority shall be affixed thereto and attested by its secretary. The signatures of the president and secretary may be facsimile signatures and a facsimile of the seal of the authority may be imprinted on the bonds if the board of directors, in its proceedings with respect to issuance of such bonds, provides for manual authentication of such bonds by a trustee or paying agent or by named individuals who are employees of the state and who are assigned to the Department of Finance or office of the State Treasurer. Delivery of bonds so executed shall be valid notwithstanding any changes in officers or in the seal of the authority after the signing and sealing of such bonds.
(Acts 1990, No. 90-602, p. 1079, §11.)
Bonds may be sold by the authority from time to time in series, and if sold in more than one series may all be authorized in one initial resolution of the board of directors with the pledges therefor made in such initial resolution although some of the details applicable to each series may be specified in the respective resolutions under which the different series are issued; provided, however, that no bonds of the authority that are authorized under Act 98-245 shall be sold or counsel hired prior to February 1, 1999. Each series of the bonds may be sold at public or private sale, or via negotiation, as determined by the authority, at such price or prices as the authority shall determine, and, if sold at public sale either on sealed bids or at public auction, on a basis determined by the authority to enable it to effect the sale of the bonds being sold at the lowest true interest cost to the authority; provided, that if in the event of public sale of the bonds no bid acceptable to the authority is received it may reject all bids. The authority may fix the terms and conditions under which each such sale may be held; provided, that such terms and conditions shall not conflict with any of the requirements of this article. Approval by the Governor of the terms and conditions under which any of the bonds may be issued shall be requisite to their validity, which approval signed by the Governor shall be entered on the minutes of the respective meetings of the board of directors at which the series of the bonds proposed to be issued are authorized or sold.
(Acts 1990, No. 90-602, p. 1079, §12; Act 98-245, p. 404, §7; Act 2025-298, §3.)
Any bonds of the authority may be executed and delivered by it at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, payable and evidenced in such manner, may contain provisions for redemption prior to maturity, and may contain other provisions not inconsistent herewith, all as may be provided by the resolution of the board of directors whereunder such bonds are authorized to be issued; provided, that no bond of the authority shall have a specified maturity date later than 30 years after its date. Each bond of the authority having a specified maturity date more than 10 years after its date shall be made subject to redemption at the option of the authority at the end of the 10th year after its date, and on any interest payment date thereafter, under such terms and conditions and at such premiums, if any, as may be provided in the resolution under which such bond is authorized to be issued. The authority may pay out of the proceeds of the sale of its bonds all expenses, including fees and disbursements of attorneys, accountants, fiscal agents, financial advisors and other consultants, fees and disbursements of trustees, escrow agents, registrars, paying agents, transfer agents, depositories for safekeeping, authenticating agents, agents for the delivery and payment of bonds, fees and commissions of bond insurers and credit enhancers, printing costs and other customary bond issuance expenses. Bonds issued by the authority shall not be general obligations of the authority but shall be payable solely out of the funds referred to in Section 41-10-471. In the event the authority shall make more than one pledge of the same revenues, such pledges shall take precedence in the order of the adoption of the resolutions in which the pledges are made; provided, that each pledge for the benefit of refunding bonds shall have the same priority as the pledge for the benefit of the bonds refunded thereby. Neither a public hearing nor consent of the state Department of Finance or any other department or agency of the state shall be a prerequisite to the issuance of bonds by the authority.
(Acts 1990, No. 90-602, p. 1079, §13.)
Any portion of the principal proceeds derived from the sale of the bonds which the board of directors of the authority may determine is not then needed for any of the purposes for which the bonds are authorized to be issued shall, on order of the authority, be invested by the State Treasurer in permitted investments. Any such securities may, at any time and from time to time on order of the authority, be sold or otherwise converted by the State Treasurer into cash. The income derived from any such investments shall be disbursed on order of the authority for any purpose for which the authority may lawfully expend funds.
(Acts 1990, No. 90-602, p. 1079, §14.)
The properties of the authority and the income therefrom, all lease agreements made by the authority, and all bonds issued by the authority and the income therefrom and all lien notices filed with respect thereto shall be forever exempt from any and all taxation in the State of Alabama.
(Acts 1990, No. 90-602, p. 1079, §15.)
All bonds issued by the authority shall be construed to have all the qualities and incidents of negotiable instruments subject to the registration provisions pertaining to transfers.
(Acts 1990, No. 90-602, p. 1079, §16.)
All obligations incurred by the authority and all bonds issued by it shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of the State of Alabama.
(Acts 1990, No. 90-602, p. 1079, §17.)
The state and all public officers, municipal corporations, political subdivisions, and public bodies, all banks, bankers, trust companies, savings banks and institutions, building and loan associations, savings and loan associations, investment companies, and other persons carrying on a banking business, all insurance companies, insurance associations and other persons carrying on an insurance business and all executors, administrators, guardians, trustees and other fiduciaries may legally invest any sinking funds, moneys or other funds belonging to them or within their control in any bonds of the authority, and such bonds shall be authorized security for all public deposits, it being the purpose of this article to authorize any persons, firms, corporations, associations, political subdivisions, bodies, and officers, public or private, to use any funds owned or controlled by them, including, but not limited to, sinking, insurance, investment, retirement, compensation, pension and trust funds, and funds held on deposit, for the purchase of any such bonds, and that any such bonds shall be authorized security for all public deposits. However, nothing contained in this article with regard to legal investments shall be construed as relieving any person, firm or corporation from any duty of exercising reasonable care in selecting securities.
(Acts 1990, No. 90-602, p. 1079, §18.)
All proceeds derived from the sale of any bonds (except refunding bonds) sold by the authority remaining after payment of the expenses of issuance thereof and the funding of any required reserve or replacement fund shall be turned over to the State Treasurer, shall be carried by the State Treasurer in a special account to the credit of the authority, and shall be subject to be drawn on by the authority solely for the purposes of constructing, renovating, reconstructing, improving, altering, adding to, demolishing, and equipping one or more public office buildings (including the State Capitol), surfacing and resurfacing of land for parking and other uses to produce revenue, and all reasonable and necessary expenses incidental thereto, including interest which shall accrue on said bonds during the construction, renovation, reconstruction, improvement, alteration, addition, demolition, and equipping of said buildings, surfacing and resurfacing of land for parking and other uses to produce revenue, and for a period not exceeding two years thereafter. The authority is specifically authorized and empowered to expend bond proceeds to pay a portion of the cost of renovation and equipping of the State Capitol even though the said State Capitol shall not be owned by the authority. Any balance of said proceeds thereafter remaining shall, upon completion of construction, renovation, reconstruction, improvement, alteration, addition, demolition, and equipping of the building or buildings for which the bonds were issued and the payment of all costs in connection therewith, be transferred to the reserve fund account of the authority or used to redeem bonds issued by the authority as may be determined by the board of directors of the authority.
(Acts 1990, No. 90-602, p. 1079, §19; Act 98-245, p. 404, §8; Act 2006-618, p. 1690, §5.)
The proceeds of refunding bonds shall be applied, together with any other moneys legally available therefor, to the payment of the expenses authorized by this article and to the payment of the principal of, premium, if any, and interest due and to become due on any outstanding bonds to be refunded thereby and, if so required by resolution of the authority, shall be deposited in the State Treasury in an interest account to pay interest on refunding bonds, and in the State Treasury in a reserve account to further secure the payment of the principal of, premium, if any, and interest on any refunding bonds. The expenses authorized by this article shall include, in addition to expenses authorized by other sections hereof, all expenses that the board of directors may deem necessary or advantageous in connection with the sale and issuance of such refunding bonds, including without limitation, the expenses of selling and issuing such refunding bonds (including any discount reflected in the purchase price thereof paid to the authority), fees and disbursements of attorneys, accountants, fiscal agents, financial advisors and other consultants, fees and disbursements of trustees, escrow agents, registrars, paying agents, transfer agents, depositories for safekeeping, authenticating agents, agents for the delivery and payment of bonds, fees and commissions of bond insurers and credit enhancers, printing costs and other customary bond issuance expenses. To the extent not required for the immediate payment of outstanding bonds or for deposit into an interest account or a reserve account, proceeds of refunding bonds together with any other moneys legally available therefor, shall be deposited with the State Treasurer, in trust, to be held separate and apart from all other funds of the state, or, with the approval of the State Treasurer, shall be deposited in trust, on such terms as the State Treasurer shall approve, with one or more trustees or escrow agents, which trustees or escrow agents shall be trust companies or national or state banks, located either within or without the state, having powers of a trust company. Any such proceeds or moneys deposited in trust with the State Treasurer or with one or more trustees or escrow agents shall be applied solely to the payment when due of the principal of, premium, if any, and interest due and to become due on the outstanding bonds on or prior to the redemption date or maturity date thereof, as the case may be. Any such proceeds or moneys so held by the State Treasurer or deposited with one or more trustees or escrow agents, may be invested in government securities; provided, such government securities shall not be subject to redemption prior to their maturity other than at the option of the holder thereof. Except as provided in the immediately succeeding sentence, neither the government securities nor moneys so deposited with the State Treasurer, or with one or more trustees or escrow agents, shall be withdrawn or used for any purpose other than, and shall be held in trust for, the payment of the principal of, redemption premium, if any, and interest on such outstanding bonds to be refunded thereby; provided that any cash received from such principal or interest payments on such government securities deposited with the State Treasurer, or with one or more trustees or escrow agents, (a) to the extent such cash will not be required at any time for such purpose, shall be retained by, or paid over to the State Treasurer, as the case may be, for deposit to the account of the authority, and (b) to the extent such cash will be required for such purpose at a later date, shall, to the extent practicable and legally permissible, be reinvested in government securities maturing at times and in amounts sufficient to pay when due the principal of, premium, if any, and interest on such outstanding bonds on and prior to such redemption date or maturity date thereof, as the case may be, and interest earned from such reinvestments to the extent not required for the payment of such outstanding bonds shall be retained by, or paid over to the State Treasurer, as the case may be, for deposit to the account of the authority. Notwithstanding anything to the contrary contained herein: (a) moneys on deposit pursuant to the provisions of this section may be applied and government securities so deposited may be redeemed and sold and the proceeds thereof applied to (i) the purchase of the outstanding bonds which were refunded by the deposit with the State Treasurer or with one or more trustees or escrow agents of such moneys and government securities and immediately thereafter all outstanding bonds so purchased shall be cancelled, or (ii) the purchase of different government securities; provided, however, that the moneys and government securities on deposit with the State Treasurer or with one or more trustees or escrow agents after such purchase and cancellation of such outstanding bonds or such purchase of different government securities shall be sufficient to pay when due the principal of, premium, if any, and interest on all other outstanding bonds in respect of which such moneys and government securities were deposited on or prior to the redemption date or maturity date thereof, as the case may be; and (b) in the event that on any date, as a result of any purchases and cancellations of outstanding bonds or any purchases of different government securities as provided in this sentence, the total amount of moneys and government securities remaining on deposit with the State Treasurer or with one or more trustees or escrow agents, is in excess of the total amount which would have been required to be deposited with the State Treasurer or trustee or escrow agent on such date in respect of the remaining outstanding bonds for which such deposit was made in order to pay when due the principal of, premium, if any, and interest on such remaining outstanding bonds, the State Treasurer shall deposit the amount of such excess in the account of the authority, or the trustee or escrow agent shall, upon the direction of the State Treasurer, pay the amount of such excess to the State Treasurer for deposit to the account of the authority.
The State Treasurer, acting in the capacity of trustee, may name one or more trust companies, national banks, or state banks, located either within or without the state, to act as the State Treasurer’s depository for any funds escrowed pursuant to the provisions of this section.
All applications of proceeds of refunding bonds or other moneys deposited in trust for the payment of outstanding bonds as provided in this section, including without limitation the investment thereof and the sale of any related government securities, shall be at the direction of the authority, but subject to the prior approval of the State Treasurer. Any such approval of the State Treasurer may be given at any time, including without limitation at the time of the adoption by the board of directors of any resolution relating to any bonds and, once given, such approval shall be irrevocable.
Moneys on deposit in any reserve account created pursuant to the provisions of this section shall be invested by the State Treasurer at the direction of the authority in permitted investments which mature at such time or times as the authority shall direct. Interest income earned from such investments shall be deposited as received by the State Treasurer in the account of the authority.
(Acts 1990, No. 90-602, p. 1079, §20.)
The Governor of Alabama is authorized to execute and deliver immediately before or simultaneously with the issuance of the first bonds of the authority an appropriate deed or deeds conveying to the authority any land belonging to the state situated in the City and County of Montgomery upon which the following buildings are located, such buildings being referred to herein by their commonly known names:
(1) Alabama State House
(2) Folsom Administrative Building
(3) Public Health Building
(4) Judicial Building
(5) Public Safety Building
(6) Archives and History Building
(7) State Office Building.
Upon delivery of such deed or deeds to the authority it thereby shall be invested with all rights and title that the State of Alabama had in the property conveyed thereby, subject to the right of reverter to the state upon the dissolution of the authority. The consideration for said conveyance shall be the authority’s agreement to reconvey said land to the state, with all improvements thereon free of charge, immediately before the dissolution of the authority. Said consideration is hereby conclusively determined to be valuable, adequate and fair. Immediately prior to its dissolution the authority shall also convey to the state all other assets acquired by the authority, whether by purchase, gift, grant, or otherwise, provided the terms of the grant are not violated thereby.
(Acts 1990, No. 90-602, p. 1079, §21.)
For the purpose of providing funds for the payment of the principal of and interest on the bonds issued by the authority under the provisions of this article, there is hereby created and irrevocably pledged to the payment of such obligations a special and continuing trust fund which shall consist of all receipts and income from rents contracted for and received by the authority under leases of the building or buildings constructed or renovated with the proceeds from sale of the bonds and any other income of the authority.
(Acts 1990, No. 90-602, p. 1079, §22.)
In the proceedings authorizing the issuance of any of its bonds, the authority is authorized and empowered to pledge for the payment of the principal of and interest on such bonds at the respective maturities of said principal and interest, and to agree to use solely for such purpose, all the revenues which under the provisions of Section 41-10-471 are provided for the payment of the said principal and interest, subject to prior pledges thereof as and to the extent the authority may provide. In said proceedings the authority may further provide and create, as security for the payment of said principal and interest, a statutory lien upon the buildings and properties, other than the State Capitol, for the acquisition and construction or renovation of which the bonds are issued. Such statutory lien shall not be subject to foreclosure and, in the event of default in the payment of any such principal or interest, the remedies thereunder shall be limited to a remedy by way of mandamus and to the appointment, as a matter of right, by any court having equity powers and having jurisdiction over the authority, of a receiver in equity with all the powers of such a receiver, except the power to sell the said buildings and properties. Upon the issuance of any bonds pursuant to this article the authority may file in the office of the Judge of Probate of Montgomery County, Alabama, an instrument reciting the issuance of such bonds and the pledge of said revenues and the creation of said statutory lien, if any, as security therefor, and the filing of such instrument shall constitute constructive notice of said pledge and lien, if any. Such instrument shall be received and recorded by said judge of probate upon the payment of the fee for the recording of mortgages but no tax shall be payable with respect thereto.
(Acts 1990, No. 90-602, p. 1079, §23; Act 98-245, p. 404, §9.)
Out of the revenues referred to in Section 41-10-471, the State Treasurer is authorized and directed to pay the principal of and interest on the bonds as such principal and interest shall respectively mature, and he or she is further authorized and directed to set up and maintain appropriate records pertaining thereto.
(Acts 1990, No. 90-602, p. 1079, §24.)
The authority and the executive head of any agency, board, commission, public corporation, bureau, or department of the State of Alabama, or the successor in office and duties of such executive head, are hereby authorized to enter into a lease or leases for the use and occupancy of offices and storage space in the public office buildings or buildings constructed, renovated, reconstructed, improved, altered, added to or equipped and owned by the authority under the provisions of this article. Such executive heads are hereby separately authorized to enter into lease agreements for the use and occupancy of any space in the said buildings. The authority and the Director of Finance on behalf of the Finance Department are hereby authorized to enter into a lease or leases for the use and occupancy of any or all of said buildings. In such event, the Finance Department may sublease space in said buildings upon such terms and conditions as may be determined by the Director of Finance. Upon a determination by the authority that a lessee has failed or refused to pay the lease payment charged to it under its lease agreement with the authority and that said lease payments are at least 90 days in arrears, the authority may request that the Director of Finance direct the state Comptroller to issue a state warrant to the authority in the amount of the delinquent lease payments. If the Director of Finance finds that the lessee has funds appropriated, budgeted, and allotted for such payments, he or she may direct the state Comptroller to issue a state warrant to the authority in the amount owed. The state Comptroller is authorized to pay to the authority the amount of the delinquent lease payments that he finds to be appropriated, budgeted and allotted for that purpose if sufficient funds are then available in the fund from which such payments are to be made.
(Acts 1990, No. 90-602, p. 1079, §25; Act 98-245, p. 404, §10.)
Any resolution authorizing any bonds hereunder shall contain a recital that they are issued pursuant to the provisions of this article, which recital shall be conclusive evidence that said bonds have been duly authorized pursuant to the provisions of this article, notwithstanding the provisions of any other law now in force or hereafter enacted or amended. Upon the passage of any resolution providing for the issuance of bonds under the provisions of this article, the authority may, in its discretion, cause to be published once in each of two consecutive weeks in a newspaper published and having general circulation in the City of Montgomery a notice in substantially the following form (the blanks being first properly filled in):
“Alabama Building Renovation Finance Authority, a public corporation and agency of the State of Alabama, on the _____ day of _____, _____, adopted a resolution providing for the issuance of ________ dollars principal amount of bonds of said authority. Any action or proceeding questioning the validity of said resolution or said bonds or the pledge and agreements made in said resolution for the benefit thereof, or the proceedings under which said bonds, pledge, and agreements were authorized, must be commenced within 20 days after the first publication of this notice.
Alabama Building Renovation Finance Authority
By ________________________________________________ Its President”
Any action or proceeding in any court seeking to set aside or invalidate a resolution providing for the issuance of bonds under the provisions of this article or to contest the validity of any such bonds, or the validity of any pledge or agreement made therefor, must be commenced within 20 days after the first publication of said notice. After the expiration of 20 days following such first publication, no right of action founded upon questioning or challenging in any way the validity of the resolution or other proceedings, if any, or of the bonds, or of the pledge and agreements, shall be asserted. In the event of such publication the validity of such resolution, proceedings, bonds, pledge, and agreements shall not be open to question in any court upon any ground whatever, except in an action or proceeding commenced within such period. Any such action and any action to protect or enforce any rights under the provisions of this article shall be brought in the Circuit Court of Montgomery County.
(Acts 1990, No. 90-602, p. 1079, §26.)
The authority shall have the power to make such payments to the United States of America as the directors deem necessary to cause the interest on any bonds of the authority to be and remain exempt from federal income taxation. The authority shall have the power to make agreements respecting the investment of funds of the authority necessary in order that the interest income on bonds of the authority be and remain exempt from federal income taxation.
(Acts 1990, No. 90-602, p. 1079, §27.)
When all securities issued by the authority and all obligations assumed by it under the provisions of this article shall have been paid in full, the then president of the authority shall thereupon execute and deliver in the name of and in behalf of the authority an appropriate deed, or deeds, to which the seal of the authority shall be affixed and attested by the secretary of the authority, whereby there shall be conveyed to the state all the buildings, properties, and other assets then owned by the authority. The then officers and directors of the authority shall at such time file with the Secretary of State a written statement, subscribed and sworn to by each of them, reciting the payment in full of all bonds therefore issued by the authority and the execution and delivery of such deed or deeds to the state, which statement shall be filed by the Secretary of State and recorded with the certificate of incorporation of the authority, whereupon the authority shall stand dissolved.
(Acts 1990, No. 90-602, p. 1079, §28.)
For the purposes of this article, the following terms shall have the meanings respectively ascribed to them by this section:
(1) AUTHORITY. The public corporation organized pursuant to the provisions of this article.
(2) CODE. The Code of Alabama 1975, as amended.
(3) REFUNDING BONDS. Those refunding bonds issued under the provisions of Section 41-10-502.
(4) STATE. The State of Alabama.
(5) BONDS. Those bonds, including without limitation refunding bonds, issued under the provisions of this article.
(6) FACILITIES. A multi-storied vehicle parking and storage facility and appurtenanaces necessary or incidental to the operation of such facility, to be constructed and erected on, or attached to, that block of land bounded by the following streets: Pelham, Jackson, Washington, and South Ripley in the Capitol complex in the City of Montgomery, Alabama.
(7) PERMITTED INVESTMENTS. United States Securities, certificates of deposit fully secured by United States Securities and shall include investments in such obligations of the United States of America or its agencies under a repurchase agreement.
(8) UNITED STATES SECURITIES. Direct general obligations of the United States of America (including obligations of the state and local government series) and the obligations of any other agency corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof, the bonds, debentures, participation certificates, or notes of which are unconditionally guaranteed by the United States of America.
(Acts 1990, No. 90-603, p. 1094, §1.)
It is the intent of the Legislature, by the passage of this article, to authorize the incorporation of a public corporation for the purposes of acquiring land, constructing and equipping facilities, leasing such facilities to state agencies (or others, to the extent provided for herein), and providing financing therefor, and to vest such corporation with all powers, authority, rights, privileges, and titles that may be necessary to enable it to accomplish such purposes. This article shall be liberally construed in conformity with the purpose herein stated.
(Acts 1990, No. 90-603, p. 1094, §2.)
The state Finance Director, the state Budget Officer and one person appointed by the Governor, one person appointed by the Speaker of the House, and one person appointed by the Lieutenant Governor, may become a public corporation with the power and authority provided in this article by proceeding according to the provisions hereof. Those persons appointed by the Governor, Lieutenant Governor, and Speaker of the House shall serve at the pleasure of the official appointing them and until their replacements have been appointed. The State Treasurer shall be treasurer of the authority, shall act as custodian of the funds of the authority, and shall pay the principal of and interest on the bonds of the authority out of the funds hereinafter provided for; provided, that the State Treasurer may designate one or more banks either within or without the state as the paying agent with respect to any series of bonds issued under this article.
(Acts 1990, No. 90-603, p. 1094, §3.)
To become a corporation, the individuals selected pursuant to Section 41-10-492 shall present to the Secretary of State of Alabama an application signed by them which shall set forth:
(1) The name and residence of each of the applicants, together with a certified copy of all documents evidencing each applicant’s selection or the office he or she holds;
(2) The name of the proposed corporation, which shall be the “Alabama State Parking Deck Authority”;
(3) The location of the principal office of the proposed corporation, which shall be in the office of the Director of Finance in Montgomery, Alabama; and
(4) Any other matter relating to the incorporation of the proposed corporation which the applicants may choose to insert and which is not inconsistent with this article.
The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of this state to take acknowledgements to deeds. The Secretary of State shall examine the application, and if he or she finds that it substantially complies with the requirements of this section, he or she shall receive and file it and record it in an appropriate book of records in his or her office.
(Acts 1990, No. 90-603, p. 1094, §4.)
When the application has been made, filed, and recorded as provided in Section 41-10-493, the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application, whereupon the applicants shall constitute a public corporation of the state under the name proposed in the application.
(Acts 1990, No. 90-603, p. 1094, §5.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The members shall be eligible to succeed themselves. The members of the authority shall constitute all the members of the board of directors of the authority, which shall be the governing body of the authority. A majority of the members of the said board of directors shall constitute a quorum for the transaction of business. No member, officer, or director of the authority shall draw any salary for any service he or she may render or for any duty he or she may perform in connection with the authority, but may be reimbursed by the authority for reasonable expenses incurred in carrying out the business of the authority. No member, officer, director, or employee of the authority shall be personally liable for any debt, obligation, or liability of the authority. The Finance Director shall serve as president of the authority, the state Budget Officer shall serve as secretary of the authority. The Treasurer of the State of Alabama shall be the treasurer of the authority.
(Acts 1990, No. 90-603, p. 1094, §6.)
All resolutions adopted by the board of directors shall constitute actions of the authority, and all proceedings of the board of directors shall be reduced to writing by the secretary of the authority, shall be signed by the members of the authority and shall be recorded in a substantially bound book and filed in the office of the state Finance Director. Copies of such proceedings, when certified by the secretary of the authority under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1990, No. 90-603, p. 1094, §7.)
The authority shall have the following powers among others specified in this article:
(1) To have succession in its corporate name until the principal of and interest on all bonds issued by it shall have been fully paid and until it shall have been dissolved as provided herein;
(2) To maintain actions and have actions maintained against it and to prosecute and defend in any court having jurisdiction of the subject matter and of the parties thereof;
(3) To have and to use a corporate seal and to alter such seal at pleasure;
(4) To establish a fiscal year;
(5) To acquire and hold title to real and personal property and to sell, convey, mortgage, or lease the same as provided in this article;
(6) To provide for the construction, reconstruction, alteration, and improvement of facilities and for the procurement of sites and equipment for such facilities and for the lease thereof;
(7) To lease facilities to the state, or any agency or instrumentality of the state;
(8) To anticipate by the issuance of its bonds, subject to the provisions of this article, the receipt of the rent and revenues from such facilities;
(9) As security for the payment of the principal of and interest on its bonds, to enter into any lawful covenant, to grant mortgages upon or security interests in its facilities and to pledge the rents and revenues from such facilities;
(10) To invest as provided in this act the proceeds from the sale of its bonds pending need therefor;
(11) To appoint and employ such attorneys, agents, and employees as the business of the authority may require, subject to the Merit System where applicable; and
(12) To perform such other acts and duties as are necessary to carry out the provisions of this article.
(Acts 1990, No. 90-603, p. 1094, §8.)
In anticipation of issuance of bonds under this article, the authority may, from time to time, borrow such sums as may be needed for any of the purposes for which bonds are authorized to be issued under this article, and in evidence of the moneys so borrowed by issue of its promissory notes. The principal of and the interest on notes so issued may, from time to time, be refunded by refunding notes or by bonds in anticipation of the issuance of which such notes were issued. All such notes, whether initial issues or refunding issues, may bear interest from their dates until their maturities at such rate or rates as may be deemed acceptable by the board of directors, not to exceed 15 percent per annum, shall mature within three years from their date, and the principal thereof, premium, if any, and interest thereon shall be payable solely from the proceeds of the refunding notes issued to refund any such notes outstanding, the proceeds from the sale of bonds in anticipation of the issuance of which any such notes were issued and the sources from which bonds may be made payable pursuant to Section 41-10-509 of this article, all as may be provided in the resolution of the board of directors under which such notes may be issued.
(Acts 1990, No. 90-603, p. 1094, §9.)
The bonds and notes of the authority shall be executed by the manual or facsimile signature of either its president or its secretary, as shall be provided in the resolution under which such securities shall be issued, and the seal of the authority or a facsimile thereof shall be affixed to any bonds so issued and attested by the manuals or facsimile signature of its secretary; provided, that if bonds are executed entirely by facsimile, such bonds shall be authenticated by the manual signature of the bond trustee, registrar, or paying agent or by named individuals who are employees of the state and who are assigned to the Department of Finance or office of the State Treasurer. The seal of the authority shall be impressed on the bonds, and a facsimile of said seal may be printed or otherwise reproduced on any of the bonds in lieu of being manually impressed thereon. If, after any of the bonds shall be so signed, whether manually or by facsimile, any such officer shall for any reason vacate his or her said office, the bonds so signed may nevertheless be delivered at any time thereafter as the act and deed of the authority.
(Acts 1990, No. 90-603, p. 1094, §10.)
For the purpose of providing funds for the acquisition of sites, for the construction, reconstruction, alteration, and improvement of facilities, for the procurement and installation of equipment therefor and for payment of obligations incurred and the principal of and interest on any temporary loans made for any of the said purposes, the authority is hereby authorized, from time to time, to sell and issue its bonds (other than refunding bonds) in an aggregate principal amount not to exceed $13,000,000.00.
(Acts 1990, No. 90-603, p. 1094, §11.)
The authority may, from time to time, sell and issue its refunding bonds, without limitation as to principal amount, for the purpose of refunding any matured or unmatured bonds of the authority at the time outstanding and paying any premiums necessary to be paid to redeem any such bonds so to be refunded and all expenses incurred in connection therewith. Such refunding bonds shall be subrogated and entitled to all priorities, rights, and pledges to which the bonds refunded thereby were entitled.
(Acts 1990, No. 90-603, p.1094, §12.)
Any bonds of the authority may be executed and delivered by it at any time and from time to time, shall be in such form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, fixed or floating, payable and evidenced in such manner, may contain provisions for redemption prior to maturity and may contain other provisions not inconsistent with this section, all as may be provided by the resolution of the board of directors whereunder such bonds are authorized to be issued; provided that no bond of the authority shall have a specified maturity date later than 20 years after its date. At its election, the authority may retain in the resolution(s) under which any of the bonds are issued an option to redeem all or any thereof and at such redemption price(s) and after such notice(s) and on such dates and on such terms and conditions as may be set forth in said resolution(s) and as may be briefly recited in the bonds with respect to which such option of redemption is retained. In the event that the authority shall make more than one pledge of the same revenues, such pledges shall, unless otherwise provided in the resolution or resolutions authorizing the earlier issued bonds, take precedence in the order of the adoption of the resolutions in which the pledges are made; provided, that each pledge for the benefit of refunding bonds shall have the same priority as the pledge for the benefit of the bonds refunded thereby.
(Acts 1990, No. 90-603, p. 1094, §13.)
Bonds of the authority may be sold at such price or prices and at such time or times as the board of directors of the authority may consider advantageous, at public or private sale. If bonds are to be sold by competitive bid on sealed bids or at public auction, the bonds may be sold only to the bidder whose bid reflects the lowest effective borrowing cost to the authority for the bonds being sold; provided, that if no bid acceptable to the authority is received, it may reject all bids. Notice of each such sale by competitive bids shall be given by publication in either a financial journal or a financial newspaper published in the City of New York, New York, and also by publication in a newspaper published in the State of Alabama, each of which notices must be published at least one time not less than 10 days before the date fixed for such sale. The board of directors may fix the terms and conditions under which such sale by competitive bids may be held; provided that such terms and conditions shall not conflict with any of the requirements of this article. The authority may pay out of the proceeds of the sale of its bonds all expenses, including publication and printing charges, fiscal agents’ fees, attorneys’ fees, and other expenses which said board of directors may deem necessary and advantageous in connection with the authorization, advertisement, sale, execution, and issuance of such bonds. Neither a public hearing nor consent of the state shall be a prerequisite to the issuance or sale of bonds by the authority.
(Acts 1990, No. 90-603, p. 1094, §14.)
Any trust fund, where the investment thereof is permitted or required by law, may be invested in bonds issued by the authority. Unless otherwise directed by the court having jurisdiction thereof or the document which is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in the bonds of the authority.
(Acts 1990, No. 90-603, p. 1094, §15.)
Any bonds issued by the authority may be used by the holders thereof as security for deposits of any funds belonging to the state or to any instrumentality, agency, or political subdivision of the state in any instance where security for such deposits may be required or permitted by law.
(Acts 1990, No. 90-603, p. 1094, §16.)
(a) All proceeds derived from the sale of any bonds, except refunding bonds, sold by the authority, remaining after payment of the expenses of issuance thereof, shall be turned over to the State Treasurer, shall be carried by him or her in a special account to the credit of the authority, and shall be subject to be drawn on by the authority solely for the purposes of:
(1) Acquiring land for and constructing, reconstructing, and equipping thereon one or more facilities;
(2) Paying all reasonable and necessary expenses incidental thereto, including filing, recording, surveying, legal and engineering fees and expenses;
(3) Paying the interest which will accrue on the said bonds during the period required for the construction and equipment of the said facilities and for a period not exceeding six months after the completion thereof; and
(4) Paying the principal of and interest on all then outstanding notes theretofore issued by the authority pursuant to the provisions hereof.
The balance of the said proceeds thereafter remaining shall be set aside as additional security for the bonds or shall be used to pay, purchase, or redeem bonds as may be provided in the proceedings authorizing their issuance.
(b) All proceeds from the sale of refunding bonds issued by the authority that remain after paying the expenses of their issuance may be used only for the purpose of refunding the principal of and any unpaid and accrued interest on the outstanding bonds of the authority for the refunding of which the refunding bonds are authorized to be issued, together with any premium that may be necessary to be paid in order to redeem or retire such outstanding bonds.
(Acts 1990, No. 90-603, p. 1094, §17.)
Any portion of the principal proceeds derived from the sale of the bonds which the board of directors of the authority may determine is not then needed for any of the purposes for which the bonds are authorized to be issued shall, on order of the authority, be invested by the State Treasurer in permitted investments which mature at such time or times as the authority shall direct. Any such investments may, at any time and from time to time on order of the authority, be sold or otherwise converted by the State Treasurer into cash. The income derived from any such investments shall be disbursed on order of the authority for any purpose for which it may lawfully expend funds.
(Acts 1990, No. 90-603, p. 1094, §18.)
The principal of, premium, if any, and interest on the bonds of the authority shall be secured by any or all of the following, as the authority may determine:
(1) The rent and revenues from the lease or use of one or more facilities of the authority;
(2) The proceeds from any sale of any facilities of the authority;
(3) Any bond proceeds remaining unexpended upon completion of all facilities to be constructed with such bond proceeds and the payment of the cost thereof;
(4) Any insurance proceeds which the authority may receive by reason of its ownership of any of the facilities; and
(5) Any mortgage upon or security interest in one or more facilities of the authority, granted in connection with the issuance of such bonds.
The authority shall have authority to transfer and assign any lease or mortgage of any of its facilities as security for the payment of such principal, premium, if any, and interest. The bonds may be issued under, and secured by, a resolution which may, but need not, provide for an indenture of trust covering one or more facilities of the authority. Such resolution or such indenture of trust may contain any provision or agreement customarily contained in instruments securing evidences of indebtedness, including, without limiting the generality of the foregoing, provisions respecting the collection and application of any receipts pledged to the payment of bonds, the terms to be incorporated in lease agreements respecting the facilities, the maintenance and insurance thereof, the creation and maintenance of reserve and other special funds from such receipts, and the rights and remedies available in the event of default to the holders of the bonds or to the trustee for the holders of the bonds or under any indenture of trust, all as the authority may deem advisable and as shall not be in conflict with the provisions of this article; provided, however, that in making such agreements or provisions the authority shall not have the power to obligate itself except with respect to its facilities, and the application of the rents, revenues, and other moneys and assets which it is authorized in this article to pledge.
(Acts 1990, No. 90-603, p. 1094, §19.)
If there be any default by the authority in the payment of the principal of or interest on the bonds or in any of the agreements on the part of the authority which may properly be included in any resolution or indenture of trust securing such bonds, any holder of any of the bonds or the trustee for the bondholders under any resolution or indenture of trust, if so authorized therein, may, by an action, mandamus, or other proceedings, enforce payment of such items and foreclosure upon any mortgage or security interest granted as security for such bonds and compel performance of all duties of the directors and officers of the authority and shall be entitled, as a matter of right and regardless of the sufficiency of any such security or the availability of any other remedy, to the appointment of a receiver with all the power of such receiver for the maintenance, insurance, and leasing of the facilities and property covered by such resolution or such indenture of trust and the collection and application of the receipts therefrom. Any such resolution or indenture of trust may contain provisions regarding the rights and remedies of any trustee thereunder and the holders of the bonds and may contain provisions restricting the individual rights of action of the holders of the bonds.
(Acts 1990, No. 90-603, p. 1094, §20.)
All bonds issued by the authority shall be construed to be negotiable instruments even though they are payable from a limited source. All coupons applicable to any bonds issued by the authority shall likewise be construed to be negotiable instruments although payable from a limited source.
(Acts 1990, No. 90-603, p. 1094, §21.)
All obligations incurred by the authority and all bonds and notes issued by it shall be solely and exclusively an obligation of the authority, payable solely from the sources which may under the provisions of this article be pledged to the payment thereof. No obligation incurred by the authority and no bond or note issued by it shall create an obligation or debt of the state.
(Acts 1990, No. 90-603, p. 1094, §22.)
The Governor of Alabama or the officers of any public corporation, as appropriate, are authorized and directed to execute and deliver immediately before or simultaneously with the issuance of the first series of the bonds of the corporation contemplated by this article appropriate deeds conveying to the corporation the title to that block of land bounded by the following streets: Pelham, Jackson, Washington, and South Ripley in the Capitol complex in the City of Montgomery, Alabama. The consideration for said conveyances shall be the corporation’s undertaking to reconvey said land with improvements free of charge to the state immediately before the dissolution of the corporation. Since the land would otherwise remain unimproved, said consideration is hereby conclusively determined to be valuable, adequate and fair. Immediately prior to its dissolution the corporation shall also convey to the state the title to that block of land bounded by the following streets: Pelham, Jackson, Washington, and South Ripley in the Capitol complex in the City of Montgomery, Alabama acquired for construction of buildings thereon whether by purchase, gift, grant, or otherwise provided the terms of the grant are not violated thereby.
(Acts 1990, No. 90-603, p. 1094, §23.)
All facilities constructed by the authority shall be constructed according to plans and specifications of architects or engineers, or both, selected by the authority. The parking deck shall be planned and constructed in such a manner as to accommodate the construction of a mirror image of the Persons Office Building. All such plans and specifications shall be approved by the authority and by the Division of Construction Management of the Department of Finance.
(Acts 1990, No. 90-603, p. 1094, §24.)
(a) The authority is hereby authorized to enter into one or more leases of all or any part or portion of the facilities constructed, acquired, reconstructed, renovated, or improved by the authority under the provisions of this article, to any agency of the state. Any agency of the state and each of them is hereby authorized to lease any such facilities from the authority. No such lease shall, however, be for a term longer than the then current fiscal year of the state, but any such lease may contain a grant to any state agency of successive options of renewing said lease on the terms specified therein for any subsequent fiscal year or years of the state; provided, that liability for the payment of rent shall never be for a term longer than one fiscal year.
(b) Rent payments by the state, or any of its agencies shall be due and payable at such time or times as shall be specified in the lease respecting the facilities leased and shall, upon being so paid, entitle the state or such agency to quiet possession of the facilities leased for such fiscal year. Said rent shall be payable, and any such covenant with respect thereto on the part of the state or any of its agencies (as the case may be) shall be performed, solely out of the current revenues of the state or such agency for such fiscal year. The rent payable and the covenants to be performed by the state or any of its agencies under the provisions of said lease shall never be deemed to create a debt of the state within the meaning of the constitution.
(c) In the event that there shall be any default in the payment of any rent required to be paid or in the performance of any covenant required to be performed by the state or any of its agencies under the provisions of any such lease, while such lease is in effect, the authority and any pledgee of such lease may, by any appropriate proceedings instituted within the time permitted by law, enforce and compel the payment of such rent and the performance of such covenants. No free use shall be made of any facilities of the authority so long as the principal of or interest on any bonds, including refunding bonds, issued by the authority remains unpaid.
(d) In the event that any facility owned by the authority should become vacant or not be used by one of the state agencies, then neither the state nor any agency, board, bureau, commission, public corporation, or department of the state shall rent, purchase, acquire, construct, or lease any facilities or renew any lease of any facilities, nor shall it use any such facilities other than those owned by the authority, so long as any facility owned by the authority shall remain vacant or unused.
(Acts 1990, No. 90-603, p. 1094, §25.)
If at any time any facility constructed or acquired by the authority is, or is about to be, vacant or unused as a result of there being no lease for such facility in effect for the current fiscal year, then, but only in such event, in order to prevent default on its bonds, the authority is hereby authorized to lease such facility to any other agency, department, bureau, or commission of the state, any municipal corporation, public corporation, county, or other public body in the state, or any agency of the federal government, and lastly, and in no other order of priority, to a private person, firm, or corporation. Any such lease shall not be for the purpose of lending public credit but shall be solely to avoid default on the authority’s bonds and to insure the prompt payment of the principal thereof and interest thereon when due.
(Acts 1990, No. 90-603, p. 1094, §26.)
For the purpose of providing funds for the payment of the principal of and interest on the bonds issued by the authority under the provisions of this article, there is hereby created and irrevocably pledged to the payment of such obligations a special and continuing trust fund which shall consist of all receipts and income from rents contracted for and received by the authority under leases of the facility or facilities constructed with the proceeds from the sale of the bonds. There shall be created within said special and continuing trust fund a reserve fund account of said authority in the State Treasury in which shall be placed as trust fund and held separate and apart from all other moneys of the state or of the authority, (1) any moneys left after the completion of the facility and the payment of all costs in connection therewith and in connection with the issuance of the bonds, and, (2) all excess rentals and other surplus income from the facility or facilities constructed with the proceeds from the sale of the bonds remaining each fiscal year after payment of all charges and expenses of operating and maintaining such facility or facilities during such fiscal year, including all payments required to be made during such fiscal year with respect to the bonds issued for such facility or facilities. Said reserve fund shall be held by the State Treasurer in trust for the authority and the holders of its bonds and may be invested at the direction of the authority. Said reserve fund shall be used to pay, when due and payable, any installment of principal or interest or both on the bonds for which said fund was created which cannot be paid out of current revenues or other moneys of the authority. Said funds shall not be diverted or used for any other purpose. There shall also be created in said special and continuing trust fund an account thereof in which shall be deposited, segregated, and held only the amounts reasonably estimated to be necessary for the maintenance, operation, and upkeep of said facilities with all excess moneys at the end of each fiscal year being transferred to the reserve fund.
(Acts 1990, No. 90-603, p. 1094, §27.)
The properties of the authority and the income therefrom, all lease agreements made by the authority and all bonds and promissory notes issued by the authority, the interest thereon, the coupons, if any, applicable thereto, the income therefrom and all lien notices with respect thereto, and all purchases and use of property by the authority shall be forever exempt from any and all taxation in the state or in any county, municipality, or political subdivision thereof.
(Acts 1990, No. 90-603, p. 1094, §28.)
Any action to protect or enforce any rights under the provisions of this article shall be brought in the Circuit Court of Montgomery County, Alabama.
(Acts 1990, No. 90-603, p. 1094, §29.)
There shall be no fees paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Acts 1990, No. 90-603, p. 1094, §30.)
The authority shall have the power to make such payments to the United States of America as the directors deem necessary to cause the interest on any bonds of the authority to be and remain exempt from federal income taxation. The authority shall have the power to make agreements respecting the investment of funds of the authority necessary in order that the interest income on bonds of the authority be and remain exempt from federal income taxation.
(Acts 1990, No. 90-603, p. 1094, §31.)
When all bonds and securities issued by the authority and all obligations assumed by it under the provisions of this article shall have been paid in full, the then president of the authority may thereupon execute and deliver in the name of, and in behalf of, the authority an appropriate deed or deeds, to which the seal of the authority shall be affixed and attested by the secretary of the authority, conveying all facilities, properties, and other assets then owned by the authority to such agency of the state as shall be designated by the Governor. The then directors of the authority may at such time file with the Secretary of State a written statement, subscribed and sworn to by each of them, reciting the payment in full of all bonds theretofore issued by the authority and the execution and delivery of such deed or deeds, which statement shall be filed by the Secretary of State and recorded with the certificate of incorporation of the authority, and thereupon the authority shall stand dissolved.
(Acts 1990, No. 90-603, p. 1094, §32.)
All leases of facilities made by the authority shall be exempt from the provisions and requirements of Chapter 16 of this title of the code.
(Acts 1990, No. 90-603, p. 1094, §32.)
The authority shall not be governed by the provisions of Chapter 20 of this title of the code (originally enacted as Act No. 512 of the 1976 Regular Session of the Legislature of Alabama).
(Acts 1990, No. 90-603, p. 1094, §33.)
The Legislature finds and declares the following: That the State of Alabama, acting in its own name and through various public corporations, has made substantial financial contractual commitments for incentives to industries agreeing to locate or expand their operations in Alabama; that the creation of a state-level agency with power to fund the commitments is desirable and in the public interest; that by the passage of this division it is the intention to provide for the creation of Alabama Incentives Financing Authority with broad powers to meet existing commitments made by the state to industries committing to locate or expand in the state; and that it is necessary and in the public interest that the authority pledge for payment of its obligations the funds appropriated to the authority in order to enable it to fund existing commitments and to carry out functions that are essential to the public welfare. This division shall be liberally construed in accordance with its remedial purposes.
(Acts 1995, No. 95-373, p. 747, §1.)
(a) The following words and phrases used in this division, and others evidently intended as the equivalent thereof, shall, in the absence of clear implication herein otherwise, be given the following respective interpretations herein:
(1) APPROPRIATED FUNDS. Net TVA payments to the extent such payments are pledged and appropriated to the authority pursuant to Section 41-10-550.
(2) AUTHORITY. The public corporation organized pursuant to this division.
(3) AUTHORITY GUARANTY. An agreement of the authority pursuant to which the payment of debt service referable to bonds, notes, or other evidences of indebtedness of a development agency is guaranteed by the authority.
(4) AUTHORITY OBLIGATIONS. Bonds of the authority and authority guaranties.
(5) AUTHORITY-GUARANTEED OBLIGATIONS. Bonds, notes, or other evidences of indebtedness of a development agency that are issued solely for the purpose in financing a project and that are guaranteed, in whole or in part, by an authority guaranty.
(6) BONDS. Bonds of the authority issued for any authorized purpose.
(7) DEBT SERVICE. The principal of and interest (and premium, if any) on an obligation (including, without limitation, any principal required to be paid prior to its stated maturity) and any ongoing trustee or paying agent fees or fees of providers of credit enhancement or liquidity facilities.
(8) DEVELOPMENT AGENCY. A county, municipality, or industrial development authority organized under Chapter 92A of Title 11; an industrial development board organized under Article 4, Chapter 54 of Title 11, or the State Industrial Development Authority.
(9) DIRECTORS. The Board of Directors of the Alabama Incentives Financing Authority.
(10) ELIGIBLE INVESTMENTS. a. Bonds or other obligations which as to principal and interest constitute direct obligations of, or are unconditionally guaranteed by, the United States of America, including obligations of any federal agency to the extent such obligations are unconditionally guaranteed by the United States of America and any certificates or any other evidences of an ownership interest in such obligations of, or unconditionally guaranteed by, the United States of America or in specified portions thereof (which may consist of the principal thereof or the interest thereon); b. Bonds, debentures, notes, or other evidences of indebtedness issued by any of the following agencies: Bank of Cooperatives; federal intermediate credit banks; Federal Financing Bank; federal home loan banks; Federal Farm Credit Bank; Export-Import Bank of the United States; federal land banks; Farmers Home Administration or any other agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof; c. Bonds, notes, pass through securities, or other evidences of indebtedness of Government National Mortgage Association and participation certificates of Federal Home Loan Mortgage Corporation; d. Full faith and credit obligations of any state, provided that at the time of purchase such obligations are rated as least “AA” by Standard & Poor’s Ratings Group and at least “Aa” by Moody’s Investor Service; e. Public housing bonds issued by public agencies or municipalities and fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by a requisition or payment agreement with the United States of America; f. Time deposits evidenced by certificates of deposit issued by banks or savings and loan associations which are members of the Federal Deposit Insurance Corporation, provided that, to the extent such time deposits are not covered by federal deposit insurance, such time deposits (including interest thereon) are fully secured by a pledge of obligations described in paragraphs a., b., c., and e. above, which at all times have a market value not less than the amount of such bank time deposits required to be so secured and which meet the greater of 100% collateralization or the “AA” collateral levels established by Standard & Poor’s Ratings Group for structured financing; g. Repurchase agreements for obligations of the type specified in paragraphs a., b., c., and e. above, provided such repurchase agreements are fully collateralized and secured by such obligations which have a market value at least equal to the purchase price of such repurchase agreements which are held by a depository satisfactory to the State Treasurer in such manner as may be required to provide a perfected security interest in such obligations, and which meet the greater of 100% collateralization or the “AA” collateral levels established by Standard & Poor’s Rating Group for structured financings; and h. Uncollateralized investment agreements with, or certificates of deposit issued by banks or bank holding companies, the senior long-term securities of which are rated at least “AA” by Standard & Poor’s Rating Group and at least “Aa” by Moody’s Investors Service.
(11) FINANCED PROPERTY. All property whether real, personal, or mixed, the costs of which were or are to be paid or reimbursed in whole or in part with the proceeds of bonds of the authority or the proceeds of authority-guaranteed obligations.
(12) FINANCING AGREEMENT. Any loan, lease, agreement, grant agreement, financing agreement, credit agreement, security agreement, mortgage, indenture, guaranty agreement, or other type of agreement entered into by the authority in connection with the incurring of authority obligations.
(13) FUNDING AGREEMENT. An agreement between the state and the authority under which the state shall agree to make funds available to the authority to be used for the payment, or to enhance the payment, of debt service on bonds issued by the authority; provided (i) such agreement shall have an initial term from the date of execution thereof through the September 30 immediately succeeding the date of execution, and shall be subject to renewal, at the sole option of the state, for successive terms of twelve (12) months each, each such term to coincide with the fiscal year of the state beginning on October 1 and continuing until and including the next succeeding September 30, and (ii) any obligation on the part of the state to pay amounts required to be paid during any fiscal year of the state under such agreement shall constitute a limited obligation of the state payable solely out of the revenues and receipts appropriated to and received by the state during the fiscal year of the state during which any such amount is to be payable.
(14) HEREIN, HEREBY, HEREUNDER, HEREOF, and OTHER EQUIVALENT WORDS. Refer to this division as an entirety and not solely to the particular section or portion thereof in which any such word is used.
(15) INDUSTRIAL OR RESEARCH ENTERPRISE. Any trade or business described in 1987 Standard Industrial Classification Major Groups 20 to 39, inclusive, 50 and 51, Industrial Group Number 737, and Industry Numbers 8731, 8733, and 8734, as set forth in the Standard Industrial Classification Manual published by the United States Government Office of Management and Budget, and includes such trades and businesses as may be hereafter reclassified in any subsequent publication of the Standard Industrial Classification Manual.
(16) MAINTENANCE FUND. A fund established by resolution of the directors for the purpose of holding amounts directed by resolution of the authority to be maintained and used to pay the costs and expenses of acquiring, operating, and maintaining any project or other property owned, acquired or operated by the authority and to pay any other costs, expenses or obligations of the authority.
(17) NET TVA PAYMENTS. With respect to any fiscal year of the state, the in-lieu-of-taxes payments made by the Tennessee Valley Authority to and retained by the state during such fiscal year after distributions made pursuant to Section 40-28-2 and after compliance with Section 41-9-783.
(18) PERSON. Unless limited to a natural person by the context in which it is used, includes a private firm, a private association, a public or private corporation, a municipality, a county, or an agency, department, or instrumentality of the state or of a county or municipality.
(19) PROJECT. Any land, building, or other improvement, and all real and personal properties deemed necessary or useful in connection therewith, whether or not now in existence, that are or are to be located in the state and that have been or are to be acquired, constructed, expanded, or installed for use (i) by an industrial or research enterprise, (ii) by a manufacturing, aviation or transportation enterprise, (iii) by any enterprise engaged in manufacturing, processing, cultivating or assembling any agricultural or manufactured product, (iv) as a training facility, or (v) by any entity in promoting economic development or the recruitment of industrial, research, manufacturing, aviation or transportation prospects to the state.
(20) PROJECT COSTS. All costs and expenses incurred by the authority or any person in connection with the acquisition, construction, installation, and equipping of a project, including, without limitation, any of the following:
a. The costs of acquiring, constructing, installing, and equipping a project, including all obligations incurred for labor and to contractors, subcontractors, builders, and materialmen.
b. The costs of acquiring land or rights in land and any cost incidental thereto, including recording fees.
c. The costs of contract bonds and of insurance of all kinds that may be required or necessary during the acquisition, construction, or installation of a project.
d. The costs of architectural and engineering services, including test borings, surveys, estimates, plans and specifications, preliminary investigations, environmental mitigation, and supervision of construction, as well as for the performance of all the duties required by or consequent upon the acquisition, construction, and installation of a project.
e. The costs associated with installation of fixtures and equipment, surveys, including archeological and environmental surveys, site tests and inspections, subsurface site work, excavation, removal of structures, roadways, cemeteries, and other surface obstructions, filling, grading, and provisions for drainage, storm water retention, installation of utilities, including water, sewer, sewage treatment, gas, electricity, communications, and similar facilities, off-site construction of utility extensions to the boundaries of the property, and paving.
f. Interest accruing with respect to bonds of the authority or authority-guaranteed obligations for a period of up to two years after the issuance of such bonds.
g. All costs, expenses, and fees incurred in connection with the issuance of authority obligations and authority-guaranteed obligations, including, without limitation, all legal, accounting, financial, printing, recording, filing, and other fees and expenses.
h. The costs for obtaining bond insurance, letters of credit, or other forms of credit enhancement or liquidity facilities.
i. Amounts to be deposited in any reserve fund established with respect to such authority obligations or authority-guaranteed obligations.
j. All other costs of a nature comparable to or required in connection with those described.
k. Reimbursement to any person of any of the foregoing costs incurred by the person either for its own account, or for the account of the authority and without regard to when incurred.
(21) RESERVE FUND. Any fund or account established by the authority in which moneys are placed in reserve to be used to pay the principal of or interest on bonds issued by the authority in the event funds pledged for the payment of debt service on such bonds are insufficient to timely satisfy the payment requirements.
(22) STATE INDUSTRIAL DEVELOPMENT AUTHORITY. The public corporation created pursuant to Article 2, Chapter 10 of this title, as amended.
(23) TRAINING FACILITY. Any facility to be used for the purpose of providing vocational, technical, or other training for employees or prospective employees of any industry for the manufacturing, processing, cultivating, or assembling of any agricultural or manufactured product.
(24) TRAINING FACILITY MANAGEMENT FEES. Fees payable to any person as compensation for managing a training facility under a management agreement entered into pursuant to Section 41-10-551, including payments to be made to reimburse such person for the costs of operating and maintaining a training facility.
(b) The definitions set forth in this section shall be deemed applicable whether the words defined are used in the singular or plural. Whenever used herein any pronoun or pronouns shall be deemed to include both singular and plural and to cover all genders.
(Acts 1995, No. 95-373, p. 747, §2; Act 99-198, p. 237, §2; Act 2010-715, p. 1763, §1.)
The Governor, the State Treasurer, and the Director of Finance may become a public corporation and public instrumentality of the state with the powers herein provided, by proceeding according to Section 41-10-543 hereof.
(Acts 1995, No. 95-373, p. 747, §3.)
(a) To become the public corporation herein authorized, the Governor, the State Treasurer, and the Director of Finance shall present to the Secretary of State of Alabama an application signed by them which shall set forth all of the following:
(1) The name, official designation, and official residence of each of the applicants, together with a certified copy of the commission evidencing each applicant’s right to office.
(2) The date on which each applicant was inducted into office and the term of office of each applicant.
(3) The name of the proposed public corporation, which shall be “Alabama Incentives Financing Authority.”
(4) The location of the principal office of the proposed corporation, which shall be in the City of Montgomery.
(b) The applicants may also include in the application any other matters which are not inconsistent with this division or with any of the other laws of the state. The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of the state to take acknowledgments to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, it shall be filed and recorded in an appropriate book of records in the office of the Secretary of State.
(Acts 1995, No. 95-373, p. 747, §4.)
When the application has been made, filed, and recorded, the applicants shall constitute a public corporation and public instrumentality of the state under the name set forth in the application and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this division, under the Great Seal of the State, and shall record the certificate with the application. There shall be no fees paid to the Secretary of State for any service rendered or work performed in connection with the authority, its incorporation, dissolution, or records.
(Acts 1995, No. 95-373, p. 747, §5.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The Governor shall be the president of the authority, the State Treasurer shall be the vice president, and the Director of Finance shall be the secretary. The State Treasurer shall be treasurer of the authority, shall act as custodian of its funds, and shall pay, out of the funds appropriated to the authority and other funds available to the authority, debt service referable to bonds of the authority and any authority-guaranteed obligations and amounts due with respect to any other obligations of the authority incurred pursuant to this division. The members of the authority shall constitute all the members of the directors of the authority, and any two members of the directors shall constitute a quorum for the transaction of business. Should any person holding any state office named in this section cease to hold the office by reason of death, resignation, expiration of the term of office, or for any other reason, then his or her successor in office shall take the place as an officer and member of the directors of the authority. No officer or member of the directors of the authority shall receive any salary in addition to that now authorized by law for any service rendered or for any duty performed in connection with the authority. All proceedings had and done by the directors shall be reduced to writing by the secretary of the authority, shall be signed by at least two members of the authority present at the proceedings, and shall be recorded in a substantially bound book, and filed in the office of the Secretary of State. Copies of the proceedings, when certified by the secretary of the authority, under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Acts 1995, No. 95-373, p. 747, §6.)
The authority shall have, in addition to all other powers granted to it in this division, all of the following powers:
(1) To have succession by its corporate name until dissolved as herein provided.
(2) To institute and defend legal proceedings in any court of competent jurisdiction and proper venue; provided, however, that the authority may not be sued in any nisi prius court other than the courts of the county in which is located the principal office of the authority, and provided further that the officers, directors, agents, and employees of the authority may not be sued for actions in behalf of the authority in any nisi prius court other than the courts of the county in which is located the principal office of the authority.
(3) To have and to use a corporate seal and to alter the seal at pleasure.
(4) To establish a fiscal year.
(5) To acquire, purchase, lease, receive, hold, transmit, and convey the title to real and personal property to or from any person.
(6) To issue and incur authority obligations, whether or not the interest thereon (or, in the case of authority guaranties, on the authority-guaranteed obligations to which such authority guaranties relate) is excluded from gross income for federal income tax purposes, for the purpose of financing project costs and providing for the payment of training facility management fees and to provide for the rights of the purchasers, holders, or owners of authority obligations.
(7) To execute and deliver mortgages, security agreements, and trust indentures, and other forms of agreements for the purpose of securing authority obligations, and in connection therewith, to mortgage, pledge, or assign the revenues, receipts, and other property of the authority received, and the financing agreements entered into by the authority in connection with, the financing of projects under this division.
(8) To anticipate by the incurrence of authority obligations the receipt of the revenues appropriated and pledged to the authority and any other revenues available to the authority.
(9) As security for the payment of authority obligations, to pledge the proceeds of the appropriations and pledges herein provided for and any other funds available to the authority.
(10) To arrange for various forms of security or credit enhancement for authority obligations, including letter of credit, guaranties, policies of insurance, surety bonds, and the like.
(11) To collect such fees and charges in connection with authority obligations and financing agreements, including, but not limited to, reimbursement of costs of financing, as the authority shall determine to be reasonable.
(12) To accept gifts, grants, loans, appropriations, and other forms of aid from the federal government, the state or any state agency, or any political subdivision of the state, or any person or corporation, foundation, or legal entity, and to agree to and comply with any conditions attached to federal and state financial assistance not inconsistent with this division.
(13) To establish accounts in one or more depositories.
(14) To appoint, employ, contract with, and provide for the compensation of such employees and agents, including engineers, attorneys, contractors, consultants, accountants, fiscal advisors, trustees, paying agents, investment bankers, and underwriters as the directors deem necessary or desirable for the conduct of the business of the authority.
(15) To make, enter into, and execute financing agreements and such other contracts, agreements, or other instruments, and to take such other actions as may be necessary or convenient to accomplish any purpose for which the authority was organized or to exercise any power granted to it.
(16) To exercise any power granted by the laws of the state to public or private corporations which is not in conflict with the public purpose of this division.
(17) To adopt and promulgate administrative regulations necessary or appropriate to effectuate its purposes and to administer the programs authorized herein.
(Acts 1995, No. 95-373, p. 747, §7; Act 99-198, p. 237, §;2.)
(a) The authority is authorized from time to time to sell and issue its bonds for the purpose of financing project costs pertaining to one or more projects or for the purpose of providing funds to pay training facility management fees, or any combination of the foregoing including, without limitation, in the case of authority obligations issued for the purpose of providing funds to pay training facility management fees, costs, expenses, and other items of the type described in paragraphs g., h., i., and j. of the definition of project costs in Section 41-10-541 or to enter into guaranty agreements wherein the authority guarantees payment, in whole or in part, of debt service referable to obligations issued by development agencies for the purpose of financing project costs pertaining to one or more projects; provided, however, that the principal amount of authority obligations shall not exceed three hundred million dollars ($300,000,000). For purposes of determining compliance with this section and Section 41-10-550, (i) the principal amount of authority guaranties outstanding shall be determined on the basis of the outstanding principal of the authority-guaranteed obligations to which such authority guaranties relate, (ii) bonds of the authority (or, in the case of authority guaranties, the authority-guaranteed obligations to which such authority guaranties relate), the payment of debt service referable to which at and prior to their respective stated maturities is fully provided for by an irrevocable escrow consisting solely of cash and direct obligations of the United States, shall not be deemed to be outstanding, and (iii) in the case of bonds of the authority or authority-guaranteed obligations with respect to which interest is not payable on a current basis (generally referred to as “capital appreciation bonds”), the principal amount outstanding shall be computed on the basis of their original principal amount and not on the basis of their accreted value. The authorization granted in the first sentence of this section shall include, but shall not be limited to, (1) the power to issue authority obligations related to financing project costs with respect to projects that are under construction on the date of issuance of such obligations and (2) the power to fund training facility management fees in advance of their incurrence and for such period as the directors deem appropriate based upon estimates furnished to the authority.
(b) The bonds of the authority shall be signed by its president and attested by its secretary and the seal of the authority shall be affixed. A facsimile of the signature of one or both of the officers may be printed or otherwise reproduced on any such bonds in lieu of being manually subscribed thereon and a facsimile of the seal of the authority may be printed or otherwise reproduced on any of the bonds in lieu of being manually affixed thereto. Any bonds of the authority may be executed and delivered by it at any time and from time to time, and shall be in the form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, shall be payable at such times and evidenced in such manner, may be made subject to redemption at the option of the authority at such times and after such notice and on such conditions and at such redemption price or prices, and may contain such other provisions not inconsistent herewith, all as may be provided by the resolution of the directors of the authority under which the bonds are authorized to be issued. Bonds of the authority may be sold at public or private sale from time to time as the directors may consider advantageous.
(c) Subject to the provisions and limitations contained in this division, the authority may from time to time sell and issue refunding bonds for the purpose of refunding any matured or unmatured bonds of the authority or authority-guaranteed obligations then outstanding. The authority may pay out of the proceeds of the sale of refunding bonds such fees and the expenses of issuance which the said directors may deem necessary and advantageous in connection with the issuance of the refunding bonds; provided, however, that no refunding bonds shall be issued unless the present value of all debt service on the refunding bonds (computed with a discount rate equal to the true interest rate of the refunding bonds and taking into account all underwriting discount and other issuance expenses) shall not be greater than 95% of the present value of all debt service on the bonds to be refunded (computed using the same discount rate and taking into account the underwriting discount and other issuance expenses originally applicable to such bonds) determined as if such bonds to be refunded were paid and retired in accordance with the schedule of maturities (considering mandatory redemption as a scheduled maturity) provided at the time of their issuance.
(d) Authority obligations shall not be general obligations of the authority but shall be payable solely from one or more of the following sources: (1) appropriated funds; (2) the revenues and receipts of the authority derived from any financing agreement entered into by the authority with respect to the project or projects financed by such authority obligations; (3) the income or proceeds realized by the authority under any mortgage or other security granted to the authority; (4) amounts derived from any letter of credit, insurance policy or other form of credit enhancement applicable to the authority obligations; (5) any reserve or other fund established for such purpose by the authority; (6) any earnings on the proceeds of authority obligations invested by the authority pending their disbursement; and (7) any other amounts that may hereafter be appropriated to the authority. As security for the payment of the debt service referable to bonds issued by it and of its obligations under authority guaranties, the authority is authorized and empowered to pledge for payment of such debt service and such obligations appropriated funds and other moneys and funds from which such authority obligations are made payable. All contracts made and all authority obligations issued or incurred by the authority pursuant to this division shall be solely and exclusively obligations of the authority and shall not constitute or create an obligation or debt of the state. Bonds issued by the authority shall be construed to be negotiable instruments, although payable solely from a specified source, as provided herein. The proceedings of the directors under which any authority obligations are authorized to be issued and any such mortgage and deed of trust or trust indenture may contain any agreements and provisions respecting the collection and disposition of appropriated funds, revenues, and receipts subject to such mortgage and deed of trust or trust indenture, the creation and maintenance of special funds from such appropriated funds, revenues, and receipts, the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit of whom the instrument is made and the rights and remedies available in the event of default, all as the directors shall deem advisable. Any pledge made with respect to authority obligations shall be valid and binding from the time such pledge is made; the appropriated funds, revenues, receipts, funds, and other property so pledged shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act; and the lien of pledge shall be valid and binding as against all parties having claims of any kind against the authority irrespective of whether the parties have notice thereof. Neither the proceedings of the directors authorizing the authority obligations nor any other instrument by which a pledge is created need be recorded. Each pledge, agreement, mortgage, and deed of trust or trust indenture made for the benefit or security of any of the authority obligations of the authority shall continue effective until the authority obligations have been fully paid or satisfied.
(e) Any bonds of the authority and any authority guaranteed obligations may be used by the holder as security for any funds belonging to the state, or to any political subdivision, instrumentality, or agency of the state, in any instance where security for the deposits may be required by law. Unless otherwise directed by the court having jurisdiction, or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in bonds of the authority and authority-guaranteed obligations. Neither a public hearing nor consent of the Department of Finance or any other department or agency shall be a prerequisite to the issuance of bonds by the authority. Bonds of the authority and authority-guaranteed obligations shall be legal investments for funds of the Teachers’ Retirement System of Alabama, the Employees’ Retirement System of Alabama, and the State Insurance Fund.
(f) The State Treasurer shall be registrar, transfer agent, and paying agent for the bonds. The State Treasurer may designate named individuals who are employees of the state and who are assigned to the State Treasurer’s office to authenticate the bonds.
(Acts 1995, No. 95-373, p. 747, §8; Act 99-198, p. 237, §2; Act 2010-715, p. 1763, §2.)
The authority is authorized and empowered to apply the proceeds of any bonds of the authority, together with any other available funds, (i) for the purposes for which the bonds were issued; (ii) to fund the reserves as the authority deems necessary and desirable; and (iii) to the extent not needed for the foregoing uses, to pay or redeem the authority obligations. Pending the application of the proceeds of bonds of the authority to the purpose or purposes for which the bonds were issued, the proceeds and any moneys held in special funds created as security for the bonds may be invested by the authority in eligible investments, as the directors deem advisable. Any and all revenues, receipts, investment earnings, and other funds paid to, or otherwise coming into the possession of, the authority as a result of financings accomplished from the proceeds of bonds of the authority, shall be held, deposited, administered, invested, and applied as provided in the resolution of the directors authorizing the issuance of the authority obligations and as provided in any trust indenture or other agreement delivered in connection therewith, or otherwise as the authority may direct, consistent with the resolution, trust indenture, or other agreement and this division.
(Acts 1995, No. 95-373, p. 747, §9.)
In addition to the power to finance training facility management fees through the issuance of bonds of the authority, the authority may, subject to this division, pay or reimburse such fees from any funds available to it, including, without limitation, appropriated funds.
(Acts 1995, No. 95-373, p. 747, §10.)
(a) For the purpose of providing funds to enable the authority to pay debt service referable to any bonds issued by it, amounts due on any authority guaranties entered into by it under this division and other obligations incurred by the authority pursuant to this division, and to pay the costs of acquiring, operating, and maintaining any project or other property the authority may own, acquire, or operate and to pay any other costs, expenses, or obligations of the authority, there is irrevocably pledged to such purpose and is appropriated to the authority so much as may be necessary therefor of the appropriated funds. All moneys hereby appropriated and pledged shall be deposited in a special fund maintained by the State Treasurer separate and apart from all other funds under his or her supervision, and the State Treasurer is hereby directed to cause moneys in the special fund to be disbursed solely for the following purposes:
(1) Prior to dissolution of the authority, moneys on deposit in the special fund shall be disbursed by the State Treasurer in payment of debt service referable to authority obligations and in payment of other obligations of the authority incurred pursuant to this division; provided, however, that if directed so to do by a resolution of the directors, the State Treasurer shall transfer from the special fund to the General Fund of the state or to such Maintenance Fund established by the authority for payment of the costs of acquiring, operating, and maintaining any project or other facilities the authority may at any time own, acquire, or operate and to pay any other costs, expenses, or obligations of the authority, moneys and securities the directors determine are not needed to meet the aforesaid obligations of the authority; provided, however, that no such transfer to the General Fund or Maintenance Fund shall be made during any year in which any authority obligations are outstanding unless, with respect to each of the two fiscal years immediately preceding the fiscal year in which such transfer is proposed to be made, the amount of money that had been deposited from time to time into the special fund was not less than 1.3 times the maximum annual debt service payable on all authority obligations outstanding during such fiscal year.
(2) Promptly upon dissolution of the authority, the State Treasurer shall transfer all cash and securities on deposit in the special fund to the General Fund of the state.
(b) Pending disbursement for the above purposes, moneys on deposit in the special fund shall be invested by the State Treasurer in eligible investments as specified by the directors.
(c) The Governor, on behalf of the state, and the authority are hereby authorized to enter into a funding agreement pursuant to which the state may agree, in the event that moneys are withdrawn during any fiscal year of the state from any reserve fund established by the authority for any of its bonds owing to the inadequacy of pledged revenues to pay when due debt service thereon as herein provided for, to provide funds to the authority not in excess of the amount so withdrawn from whatever source lawfully available to the state for that purpose in order to fully fund such reserve fund in accordance with the proceedings of the authority pursuant to which the authority issued the bonds for which such reserve fund was established. Any funding agreement entered into pursuant hereto shall be executed by the Governor and countersigned by the Finance Director of the state and by the president of the authority and countersigned by the secretary of the authority.
(Acts 1995, No. 95-373, p. 747, §11; Act 99-198, p. 237, §2; Act 2010-715, p. 1763, §3.)
No authority obligations shall be incurred with respect to any training facility and no funds of the authority shall be applied to payment of training facility management fees pursuant to Section 41-10-550 unless the following conditions are met:
(1) Subject to subdivisions (3), (4), and (5) of this subsection, in the case of any training facility financed in whole or in part through the issuance of bonds of the authority, title to the financed property shall be acquired in the name of, or transferred promptly after acquisition to, the authority and the title shall remain in the authority.
(2) Subject to subdivisions (3), (4), and (5) of this subsection, in the case of any training facility financed in whole or in part through the issuance of authority-guaranteed obligations, title to the financed property shall be acquired in the name of, or transferred promptly after acquisition to, the development agency issuing such authority-guaranteed obligations and the title shall remain in the development agency.
(3) In the case of any training facility constituting an industrial or research facility and financed in whole or in part through the issuance of bonds of the authority or authority-guaranteed obligations, the financed property may be leased to any person under an agreement containing such provisions as the authority may require, including without limitation, provisions for the payment of nominal rental by the lessee.
(4) In the case of any training facility constituting an industrial or research facility and financed in whole or in part through the issuance of bonds of the authority or authority-guaranteed obligations, the financed property may be acquired and held in the name of any person, provided that the authority may require such person to enter into an agreement containing, among other things, an option by the authority to purchase or otherwise acquire such training facility if the operation of the training facility by such person ceases.
(5) In the case of the issuance of bonds of the authority to provide funds for payment of project costs referable to a training facility or training facility management fees or in the case of direct funding of training facility management fees pursuant to the provisions of Section 41-10-549 without the issuance of bonds of the authority, the authority may enter into an agreement with any person to provide for operation and management of such training facility by such person and to prescribe the terms and conditions upon which training facility management fees are to be paid or reimbursed by the authority from the proceeds of the bonds. Such agreement shall contain such other provisions as the authority may require. Without limiting the generality of the foregoing, the authority shall have the power to lease or convey title to any training facility to the Alabama Public School and College Authority or to the State Board of Education, acting by and through the Alabama Industrial Development Training Institute, and such agencies shall have the power to acquire title to or a leasehold interest in any such training facility.
Acts 1995, No. 95-373, p. 747, §12; Act 99-198, p. 237, §2; Act 2010-715, p. 1763, §4.)
Upon the adoption by the directors of any resolution providing for the issuance of authority obligations, the authority may, in its discretion, cause to be published once a week for two consecutive weeks, in newspapers published or having a general circulation in the Cities of Birmingham, Montgomery, Huntsville, and Mobile, a notice in substantially the following form (the blanks being properly filled in) at the end of which shall be printed the name and title of either the president or the secretary of the authority:
“Alabama Incentives Financing Authority, a public corporation under the laws of the State of Alabama, on the _______ day of _____, authorized the issuance of $ ______ principal amount of bonds (a guaranty agreement securing $ _____ principal amount of bonds of ) for purposes authorized in Title 41, Chapter 10, Article 16, Division 1 of the Code of Alabama 1975. The proceeds from the sale of the bonds are proposed to be used to finance the acquisition, construction, and installation of facilities to be located at _______ (to provide funds for payment of management fees associated with a training facility located at ). Any action or proceeding questioning the validity of the bonds (guaranty agreement), the security thereof, the use of the proceeds thereof (the obligations so guaranteed) or the proceedings authorizing the bonds, shall be commenced within 30 days after the first publication of this notice.”
Any action or proceeding in any court to set aside or question the proceedings for the incurrence of the authority obligations referred to in the notice or to contest the validity of any authority obligations, or the validity of security therefor, or the validity of the proposed use of the proceeds thereof or (in the case of an authority guaranty) the proceeds (of the obligations so guaranteed), must be commenced within 30 days after the first publication of the notice. After the expiration of the period, no right of action or defense questioning or attacking any of the foregoing shall be asserted, nor shall the validity of the said proceedings, authority obligations, security or use of proceeds be open to question in any court on any ground whatsoever except in an action commenced within the period.
(Acts 1995, No. 95-373, p. 747, §13.)
The income and property of the authority, all authority obligations and the interest paid on any such authority obligations, all conveyances by or to the authority, and all instruments by or to the authority shall be exempt from all taxation in the state. The authority shall also be exempt from all license and excise taxes imposed in respect of the privilege of engaging in any of the activities in which the authority may engage. The authority shall not be obligated to pay or allow any fees, taxes, or costs in the recording of any document to the judge of probate of any county.
(Acts 1995, No. 95-373, p. 747, §14.)
Except as may be expressly provided in this division, no proceeding, notice, or approval shall be required for the issuance of any authority obligations, the execution of any mortgage and deed of trust, trust indenture, or other document, or the exercise of any other of the powers of the authority. Neither a public hearing nor the consent of the Department of Finance shall be prerequisite to the issuance of authority obligations by the authority.
(Acts 1995, No. 95-373, p. 747, §15.)
Articles 2 and 3 of Chapter 16 of this title or other similar laws, shall not apply to the authority, its directors, or any of its officers, agents, or employees in their capacities as such.
(Acts 1995, No. 95-373, p. 747, §16.)
At any time when no authority obligations are outstanding and the authority has no outstanding obligation with respect to payment of training facility management fees, the authority may be dissolved upon the filing with the Secretary of State of an application for dissolution, which shall be subscribed by each of the directors of the authority and sworn to by each director before an officer authorized to take acknowledgments to deeds. Upon the filing of the application for dissolution, the authority shall cease to exist. The Secretary of State shall file and record the application for dissolution in an appropriate book of record in his or her office, and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the certificate with the application for dissolution. Title to all property held in the name of the authority shall be vested in the state upon dissolution of the authority.
(Acts 1995, No. 95-373, p. 747, §18.)
There is hereby irrevocably pledged and appropriated such amounts as may be necessary to pay and to redeem prior to their respective maturities the principal of and the interest on any issue of bonds or to pay the principal of and the interest on any refunding bonds issued to refund any revenue bonds that shall be issued by the Alabama Incentives Finance Authority from the revenues retained by the State of Alabama from the in-lieu-of-taxes payments made by the Tennessee Valley Authority (which are herein called the “TVA payments”) following the distribution of a portion of such TVA payments to certain counties in the State of Alabama as provided in Section 40-28-2, and following the pledge and appropriation of TVA payments pursuant to Section 41-9-783, for the Tennessee Valley Exhibit Commission Bonds outstanding on July 20, 1995.
(Acts 1995, No. 95-372, p. 746, §1.)
The Legislature finds and declares the following: That the State of Alabama places a high priority on the recruitment of industries to locate or expand their operations in Alabama; that it is a vital economic development tool for the state to be able to offer strategic incentives to such industries in the form of limited financial commitments; that the Alabama Incentives Financing Authority has heretofore been created for the purpose of funding such financial commitments made prior to July 20, 1995; and that by the passage of Act 99-198 of the 1999 Regular Session it is the intention of the Legislature to enable the authority to meet commitments made by the state to industries committing to locate or expand in the state after such date and, further, to enable the authority to lease or convey title to worker training facilities to the Alabama Public School and College Authority and to the Alabama Industrial Development Training Institute.
The Legislature further finds and declares that the State of Alabama has a critical need (i) to test the state’s computer hardware, firmware, and software systems to determine whether such systems are Y2K compliant and (ii) to implement modifications to or replacement of all or part of such systems so as to cause them to become Y2K compliant without creating new errors or side effects; that the cost to the state of making such systems Y2K compliant is more than it is desirable for the state to pay out of current General Fund revenues; that it is necessary and in the public interest for the Alabama Incentives Financing Authority to be given the power to issue bonds in order to fund such expenditures and to pledge for payment of such bonds the funds appropriated to the authority pursuant to Section 41-10-550 and Section 41-10-570.
Therefore, the Legislature finds that it is desirable and appropriate to grant to the Alabama Incentives Financing Authority sufficient powers to accomplish the goals and objectives set forth herein. Act 99-198 of the 1999 Regular Session shall be liberally construed in accordance with its remedial purposes.
(Act 99-198, p. 237, §1.)
(a) Except as otherwise expressly provided herein, words and phrases used in this division that are defined in Section 41-10-541, shall have the meanings assigned in such section.
(b) The following words and phrases used in this division, and others evidently intended as the equivalent thereof, shall, in the absence of clear implication herein otherwise, be given the following respective meanings:
(1) COMPUTER SYSTEMS. Any and all computer hardware, firmware, and software owned by or useful in the performance of any function for any state entity.
(2) STATE ENTITY. The State of Alabama and any agency, authority, board, commission, department, or instrumentality thereof.
(3) Y2K COMPLIANT. When used to describe the state’s computer systems, such computer systems are, or will be, capable of accurately processing, storing, providing and/or receiving date data from, into, and between the twentieth and twenty-first centuries, including the years 1999 and 2000, and leap year calculations, when used on a stand-alone basis or in combination with other hardware, firmware, or software, without creating new errors or side effects.
(4) Y2K EXPENDITURE. All costs and expenses incurred by a state entity to obtain the services, hardware, firmware, software, work product, materials, and equipment required (i) to test the computer systems to determine whether such systems are Y2K compliant or (ii) to implement modifications to or replacement of all or parts of such computer systems so as to cause them to become Y2K compliant; (iii) to develop and implement Y2K contingency plans; or (iv) to purchase any Y2K related equipment or services.
(5) CAPITAL IMPROVEMENT. As may in the circumstances be appropriate for the Department of Mental Health, Department of Corrections, Department of Public Safety, Department of Revenue, Department of Human Resources, Office of Voter Registration, and economic development, including, but not limited to, economic development of a county, (i) the acquisition of land to serve as a site for any new building, structure, or other facility, (ii) the acquisition by purchase of any new building, structure, or other facility, (iii) the construction of any new building, structure, or other facility, and (iv) the renovation, expansion, modernization, alteration, or other improvement of any existing building, structure, or facility; provided that to qualify as a capital improvement any building, structure, or other facility, whether previously existing for any period of time or newly constructed, or any renovation, expansion, modernization, alteration, or other improvement of any building, structure, or other facility, shall have an anticipated useful life of not less than 25 years as of the date that such shall be acquired, constructed, or made by any entity using any money provided pursuant to this division to pay all or any portion of the costs thereof. The term capital improvement shall be deemed to include all items of machinery, equipment, hardware, appliances, fixtures, and other property that are permanently installed as part of any building, structure, or other facility regardless of the fact that the anticipated useful lives of such items may be less than 25 years as of the date of acquisition or construction of the building, structure, or other facility in which they may be installed. Any language to the contrary notwithstanding, no provision of this division shall authorize recreational facilities.
(6) CAPITAL EQUIPMENT. Any items of movable machinery, equipment, furniture, or other personal property to efficiently carry out the functions of state government provided that each item has an anticipated useful life of not less than 10 years.
(7) IMPLEMENTATION PROGRAMS. Any new programs, procedures, or administrative costs, which state agencies are required to implement and maintain under the laws of the State of Alabama.
(8) AGING PROGRAMS. Any program for the operation of the the Department of Senior Services.
(Act 99-198, p. 237, §3; Act 99-674, 2nd Sp. Sess., p. 176, §1; Act 2000-751, p. 1701, §1.)
(a) The authority shall have, in addition to all other powers granted to it in Section 41-10-546, the power to issue bonds for the purpose of financing Y2K expenditures and, as security for the payment thereof, to pledge appropriated funds on a parity with the pledge thereof for the benefit of any or all other bonds of the authority secured or to be secured thereby; provided, however, that the principal amount of bonds that may be issued by the authority for such purposes shall not exceed fifty-five million dollars ($55,000,000).
(b) All bonds issued pursuant to this division (i) shall be issued and sold in the manner required by Section 41-10-547, as amended, and (ii) shall not be general obligations of the authority but shall be payable solely from one or more of the sources described in subdivisions (1) and (4) to (7), inclusive, of subsection (d) of Section 41-10-547.
(Act 99-198, p. 237, §4.)
The proceeds derived from the sale of bonds issued by the authority to finance Y2K expenditures shall be deposited in the State Treasury and shall be carried in a separate fund therein for the account of the authority, which shall pay therefrom the expenses of issuance thereof. The proceeds from the sale of bonds remaining after payment of the expenses of issuance thereof shall be retained in the fund and, until they are paid out, shall be invested by the State Treasurer at the direction of the authority in eligible investments which mature at such time or times as the state Finance Director shall direct. Monies in the fund, whether original proceeds from the sale of bonds or the proceeds of or earnings on the eligible investments, shall be paid out from time to time for the purposes of this division in orders or warrants issued by or on the direction of the state Finance Director. After the Finance Director has certified to the State Treasurer that there are no Y2K expenditures remaining to be paid, monies remaining in such special fund may be applied to the payment of any capital improvements, capital equipment, implementation programs, and aging programs as defined herein. If all capital improvements, capital equipment, implementation programs, and aging programs costs are expended as certified by the Finance Director, then any monies remaining in such special fund may be applied to the payment of any other costs or expenses for which the authority shall be authorized to insure authority obligations.
(Act 99-198, p. 237, §5; Act 2000-751, p. 1701, §2.)
The state Finance Director shall report to the Lieutenant Governor, the President Pro Tempore of the Senate, and the Speaker of the House any purchase of Y2K related equipment or services by the Alabama Incentives Finance Authority within 30 working days after the purchase. Any contract expending Y2K funds by the authority shall at least reflect the racial, social, and economic diversity of the state.
(Act 99-674, 2nd Sp. Sess., §2.)
This division shall be known and may be cited as the “Alabama 21st Century Fund Act.”
(Act 99-353, p. 538, §2.)
(a) The Legislature finds and declares the following:
(1) The State of Alabama has a great need from time to time to have access to financing for economic development and industrial recruitment that does not involve improvements to revenue-producing facilities.
(2) It is desirable and in the public interest to establish a state-level authority with the power to issue bonds for such general purposes.
(3) The Alabama Supreme Court has held, in effect, that only when the debt of a public corporation is payable out of a new revenue source will such debt not be considered a debt of the state in contravention of Section 213 of the Constitution of Alabama of 2022; the State of Alabama expects to receive in the near future new revenues from the settlement of certain litigation between the state and the tobacco industry.
(4) By the passage of this division, it is the intention of the Legislature to:
a. Provide for the creation of a special fund known as the Alabama 21st Century Fund into which tobacco revenues will be deposited.
b. Authorize the incorporation of the Alabama 21st Century Authority, which will have the power to issue bonds in limited amounts as provided in this division and for the purpose of promoting economic development and industrial recruitment, subject to legislative approval by separate act, which bonds may be payable out of specified monies held in the Alabama 21st Century Fund and other monies and property available to the authority.
c. Appropriate annually for the payment of such bonds a portion of the revenues held in the Alabama 21st Century Fund.
(b) The Legislature further finds and declares that it is desirable and in the public interest that tobacco revenues in an amount of up to $60,000,000 in the fiscal year ending September 30, 2000, up to $65,000,000 in the fiscal year ending September 30, 2001, and up to $70,000,000 in the fiscal year ending September 30, 2002, and in each fiscal year thereafter be transferred to the Children First Trust Fund to be appropriated by the Legislature, upon the recommendation of the Governor, for programs authorized by the Children First Act, Section 41-15B-1.
(c) The Legislature further finds and declares that it is desirable and in the public interest that tobacco revenues remaining each fiscal year after the distributions in subsection (a)(4)c. and subsection (b) be distributed to the Alabama Senior Services Trust Fund and the State General Fund for Medicaid purposes.
(Act 99-353, p. 538, §1; Act 2009-563, p. 1634, §1; Act 2010-220, p. 365, §1.)
When used in this division, the following terms shall have the following meanings, unless the context clearly indicates otherwise:
(1) APPROPRIATED FUNDS. The tobacco revenues deposited in the special fund to the extent such revenues are appropriated to the authority pursuant to Section 41-10-630.
(2) AUTHORITY. The Alabama 21st Century Authority authorized to be established pursuant to Section 41-10-623.
(3) BONDS. Those bonds, including refunding bonds, issued pursuant to this division.
(4) GOVERNMENT SECURITIES. Any bonds or other obligations which as the principal and interest constitute direct obligations of, or are unconditionally guaranteed by, the United States of America, including obligations of any federal agency to the extent such obligations are unconditionally guaranteed by the United States of America and any certificates or any other evidences of an ownership interest in such obligations of, or unconditionally guaranteed by, the United States of America or in specified portions thereof, which may consist of the principal thereof or the interest thereon.
(5) PERMITTED INVESTMENTS. (i) Government Securities; (ii) bonds, debentures, notes, or other evidences of indebtedness issued by any of the following agencies: Bank for Cooperatives; federal intermediate credit banks; Federal Financing Bank; federal home loan banks; Federal Farm Credit Bank; Export-Import Bank of the United States; federal land banks; or Farmers Home Administration or any other agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof; (iii) bonds, notes, pass through securities or other evidences of indebtedness of the Government National Mortgage Association and participation certificates of the Federal Home Loan Mortgage Corporation; (iv) full faith and credit obligations of any state, provided that at the time of purchase such obligations are rated at least “AA” by Standard & Poor’s Ratings Group and at least “Aa” by Moody’s Investors Service; (v) public housing bonds issued by public agencies or municipalities and fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes, or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by a requisition or payment agreement with the United States of America; (vi) time deposits evidenced by certificates of deposit issued by banks or savings and loan associations which are members of the Federal Deposit Insurance Corporation, provided that, to the extent such time deposits are not covered by federal deposit insurance, such time deposits (including interest thereon) are fully secured by a pledge of obligations described in items (i), (ii), (iii), and (v) above, which at all times have a market value not less than the amount of such bank time deposits required to be so secured and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Ratings Group for structured financings; (vii) repurchase agreements for obligations of the type specified in items (i), (ii), (iii), and (v) above, provided such repurchase agreements are fully collateralized and secured by such obligations which have a market value at least equal to the purchase price of such repurchase agreements which are held by a depository satisfactory to the State Treasurer in such manner as may be required to provide a perfected security interest in such obligations, and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Ratings Group for structured financings; and (viii) uncollateralized investment agreements with, or certificates of deposit issued by, banks or bank holding companies, the senior long-term securities of which are rated at least “AA” by Standard & Poor’s Ratings Group and at least “Aa” by Moody’s Investors Service.
(6) REFUNDING BONDS. Those refunding bonds issued pursuant to this division.
(7) SPECIAL FUND. The Alabama 21st Century Fund established pursuant to Section 41-10-629.
(8) STATE. The State of Alabama.
(9) TOBACCO REVENUES. Revenues received by the state pursuant to any federal tobacco-related settlement, any tobacco-related appropriations made by the United States Congress to the State of Alabama, or any revenues received by the state from litigation against any tobacco-related industry.
(Act 99-353, p. 538, §3; Act 2009-563, p. 1634, §1; Act 2010-220, p. 365, §1.)
(a) To become a public corporation and instrumentality of the state with the powers herein provided, the Governor, the state Commissioner of Revenue, and the Director of Finance shall present to the Secretary of State of Alabama an application signed by them which shall set forth all of the following:
(1) The name, official designation, and official residence of each of the applicants, together with a certified copy of the commission evidencing each applicant’s right to office.
(2) The date on which each applicant was inducted into office and the term of office of each applicant.
(3) The name of the proposed public corporation, which shall be “Alabama 21st Century Authority.”
(4) The location of the principal office of the proposed corporation, which shall be in the City of Montgomery.
(5) Any other matter relating to the authority which the applicants may choose to insert and which is not inconsistent with this division or the laws of the state.
(b) The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of the state to take acknowledgments to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, it shall be filed and recorded in an appropriate book of records in the office of the Secretary of State.
(c) When the application has been made, filed, and recorded as provided in subsection (b), the applicants shall constitute a corporation under the name stated in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this division, under the Great Seal of the State and shall record the certificate with the application. There shall be no fees paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the authority.
(Act 99-353, p. 538, §4.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The Governor shall be the president of the authority, the state Commissioner of Revenue shall be the vice president, and the Director of Finance shall be the secretary. The State Treasurer shall act as custodian of the authority’s funds, and shall pay, out of appropriated funds and any other monies and property available to the authority, debt service referable to bonds of the authority issued pursuant to this division. The members of the authority shall constitute all of the directors of the authority, and any two directors shall constitute a quorum for the transaction of business. Should any person holding any state office named in this section cease to hold the office by reason of death, resignation, expiration of the term of office, or for any other reason, then his or her successor in office shall take the place as an officer and member of the directors of the authority. No officer or director of the authority shall receive any salary in addition to that now authorized by law for any service rendered or for any duty performed in connection with the authority. All proceedings had and done by the directors shall be reduced to writing by the secretary of the authority, shall be signed by at least two directors present at the proceedings, and shall be recorded in a substantially bound book and filed in the office of the Secretary of State. Copies of the proceedings, when certified by the secretary of the authority, under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Act 99-353, p. 538, §5.)
The authority shall have, in addition to all other powers granted to it in this division, all of the following powers:
(1) To have succession by its corporate name until dissolved as herein provided.
(2) To institute and defend legal proceedings in any court of competent jurisdiction and proper venue; provided, however, that the authority may not be sued in any nisi prius court other than the courts of the county in which is located the principal office of the authority; and provided further that the officers, directors, agents, and employees of the authority may not be sued for actions in behalf of the authority in any nisi prius court other than the courts of the county in which is located the principal office of the authority.
(3) To have and to use a corporate seal and to alter the seal at pleasure.
(4) To establish a fiscal year.
(5) To adopt, and from time to time amend and repeal, bylaws, rules, and regulations not inconsistent with this division, to carry out and to effect the powers and purposes of the authority in the conduct of its business.
(6) To sell and issue bonds in limited amounts as provided in this division and for the purpose of promoting economic development and industrial recruitment as specified by the Legislature by separate act thereof.
(7) To sell and issue refunding bonds, subject to the terms and conditions of this division.
(8) To receive and deposit the tobacco revenues into the special fund to invest such tobacco revenues in the manner provided in this division, to apply such tobacco revenues to payment of bonds issued by the authority in the manner provided in this division, and to transfer funds from the special fund to fund accounts in the State Treasury, including the Children First Trust Fund, Alabama Senior Services Trust Fund, and the State General Fund, as required by law.
(9) To execute and deliver mortgages, security agreements and trust indentures, and other forms of agreements for the purpose of securing the authority’s bonds and in connection therewith, to mortgage, pledge, or assign the appropriated funds and other monies and property available to the authority.
(10) As security for the payment of the authority’s bonds, to pledge the appropriated funds and any other monies and property available to the authority.
(11) To arrange for various forms of security or credit enhancement for the authority’s bonds, including letters of credit, guaranties, policies of insurance, surety bonds, and similar instruments.
(12) To accept gifts, grants, loans, appropriations, and other forms of aid from the federal government, the state or any state agency, or any political subdivision of the state, or any person, corporation, foundation, or legal entity, and to agree to and comply with any conditions attached to federal and state financial assistance not inconsistent with this division.
(13) To establish accounts in one or more depositories.
(14) To appoint, employ, contract with, and provide for the compensation of employees and agents, including engineers, attorneys, contractors, consultants, accountants, fiscal advisors, trustees, paying agents, investment bankers, and underwriters as the directors deem necessary or desirable for the conduct of the business of the authority.
(15) To make, enter into, and execute financing agreements and other contracts, agreements, or other instruments, and to take other actions as may be necessary or convenient to accomplish any purpose for which the authority was organized or to exercise any power granted to it.
(16) To sell, exchange, and convey any or all real or personal property belonging to the authority whenever its directors shall find any such action to be in furtherance of the purposes for which the authority was organized.
(17) To acquire, hold, and dispose of real and personal property.
(18) To exercise any power granted by the laws of the state to public or private corporations which is not in conflict with the public purpose of this division.
(19) To adopt and promulgate administrative regulations necessary or appropriate to effectuate its purposes and to administer the programs herein authorized.
(Act 99-353, p. 538, §6.)
(a) General. The authority is authorized from time to time to sell and issue its bonds in limited amounts and for the purpose of promoting economic development and industrial recruitment as specified by the Legislature from time to time by separate act, provided that refunding bonds may be issued by the authority pursuant to Section 41-10-627 without first obtaining separate authorization from the Legislature.
(b) Sources of payment. Bonds issued by the authority shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of the state. Such bonds shall not be general obligations of the authority but shall be payable solely from one or more of the following sources:
(1) Appropriated funds.
(2) The income or proceeds realized by the authority under any mortgage or security granted to the authority.
(3) Amounts derived from any letter of credit, insurance policy, or other form of credit enhancement applicable to the bonds.
(4) Any reserve or other fund established for such purpose by the authority.
(5) Any earnings on the proceeds of bonds invested by the authority pending their disbursement.
(6) Any other revenues that may hereafter be available to the authority.
All pledges of appropriated funds made by the authority shall be on a parity unless otherwise provided by the Legislature, it being the intention hereof that all bonds of the authority secured by a pledge of appropriated funds shall be equally and ratably so secured without regard to time of issuance. Bonds issued by the authority shall be construed to be negotiable instruments, although payable solely from a specified source, as provided herein.
(c) Security for the bonds. The principal of and interest on any bonds issued by the authority shall be secured by a pledge of the appropriated funds or other monies and property available to the authority and may be secured by a trust indenture evidencing such pledge or by a foreclosable mortgage and deed of trust conveying as security for such bonds all, or any part, of the authority’s property. The resolution under which the bonds are authorized to be issued or any such trust indenture or mortgage may contain any agreements and provisions respecting the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit for whom such instrument is made and the rights and remedies available in the event of default as the authority shall deem advisable and which are not in conflict with the provisions of this division.
(d) General provisions respecting form, sale, and execution of the bonds. All bonds issued by the authority shall be signed by its president and attested by its secretary and the seal of the authority shall be affixed. A facsimile of the signature of one or both of the officers may be printed or otherwise reproduced on any such bonds in lieu of being manually subscribed thereon and a facsimile of the seal of the authority may be printed or otherwise reproduced on any of the bonds in lieu of being manually affixed thereto. Any bonds of the authority may be executed and delivered by it at any time and from time to time, and shall be in the form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, shall be payable at such times and evidenced in such manner, may be made subject to redemption at the option of the authority at such times and after such notice and on such conditions and at such redemption price or prices, and may contain such other provisions not inconsistent herewith, all as may be provided by the resolution of the directors of the authority under which the bonds are authorized to be issued. Bonds of the authority may be sold at a public or private sale from time to time as the directors may consider advantageous. Such bonds may be issued in the form of current interest bonds or capital appreciation bonds and may be issued as serial bonds or term bonds, all as may be directed by the authority.
(e) Other matters. Any bonds of the authority may be used by the holder as security for any funds belonging to the state, or to any political subdivision, instrumentality, or agency of the state, in any instance where security for the deposits may be required by law. Unless otherwise directed by the court having jurisdiction, or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds and bonds of the authority. Neither a public hearing nor consent of the Department of Finance or any other department or agency shall be a prerequisite to the issuance of bonds by the authority. Bonds of the authority shall be legal investments for funds of the Teachers’ Retirement System of Alabama, the Employees’ Retirement System of Alabama, and the State Insurance Fund.
(Act 99-353, p. 538, §7; Act 2009-563, p. 1634, §1; Act 2010-220, p. 365, §1.)
(a) Any bonds issued by the authority may from time to time be refunded by the issuance, sale, or exchange of refunding bonds for the purpose of paying the following items:
(1) All or any part of the principal of the bonds to be refunded.
(2) Any redemption premium required to be paid as a condition to the redemption prior to maturity of any such bonds that are to be so redeemed in connection with such refunding.
(3) Any accrued and unpaid interest on the bonds to be refunded.
(4) Any interest to accrue on each bond to be refunded to the date on which it is to be paid, whether at maturity or by redemption prior to maturity.
(5) The expenses incurred in connection with the refunding.
(b) Any refunding bonds may be sold by the authority at public or private sale at such price or prices as may be determined by the authority to be most advantageous, or may be exchanged for the bonds to be refunded. Any such refunding bonds may be executed and delivered by the authority at any time and, from time to time, shall be in such form and denomination or denominations and of such tenor and maturity or maturities, shall contain such provisions not inconsistent with the provisions of this division, and shall bear such rate or rates of interest, payable at such place or places, either within or without the state, and evidenced in such manner, as may be provided by resolution of the authority; provided, however, that no refunding bonds shall be issued unless the present value of all debt service on the refunding bonds (computed with a discount rate equal to the true interest rate of the refunding bonds and taking into account all underwriting discount and other issuance expenses) shall be less than the present value of all debt service on the bonds to be refunded (computed using the same discount rate and taking into account the underwriting discount and other issuance expenses originally applicable to such bonds) determined as if such bonds to be refunded were paid and retired in accordance with the schedule of maturities (considering mandatory redemption as a scheduled maturity) provided at the time of their issuance.
(c) Any refunding bonds issued by the authority may be issued at the discretion of the authority, subject to this division, without any separate authorization by the Legislature.
(Act 99-353, p. 538, §8.)
(a) The authority is authorized and empowered to apply the proceeds of any bonds for any of the following purposes or uses:
(1) For the purposes for which the bonds were authorized to be issued.
(2) To fund any reserve fund established in connection with an authorized issue if the authority deems the establishment of such reserve fund to be necessary and desirable.
(3) To pay for the cost of obtaining credit enhancement for the bonds.
(4) To pay capitalized interest on the bonds.
(5) To pay the costs of issuing the bonds.
(6) If refunding bonds are issued pursuant to this division, to pay debt service on and the redemption price of any bonds to be refunded.
(b) Pending the application of the proceeds of bonds of the authority to the purpose or purposes for which the bonds were issued, the proceeds and any monies held in funds created as security for the bonds may be invested by the authority in permitted investments, as the authority shall deem advisable.
(c) Any and all revenues, receipts, investment earnings, and other funds paid to, or otherwise coming into the possession of the authority shall be held, deposited, administered, invested, and applied as provided in the resolution of the directors authorizing the issuance of the bonds and as provided in any trust indenture or other agreement delivered in connection therewith, or otherwise as the authority may direct, consistent with the resolution, trust indenture, or other agreement and this division.
(Act 99-353, p. 538, §9.)
(a) For the benefit of the State of Alabama and the residents thereof, there is hereby created a special fund named the “Alabama 21st Century Fund” which shall be funded with tobacco revenues and administered in accordance with this division. The following amounts shall be retained in the special fund in the following fiscal years and shall be used to pay principal, interest, and premium, if any, due on bonds issued by the authority:
| Fiscal Year | Amount to be Retained | | --- | --- | | | | | | | | | | | | | | 2018 and thereafter | $16,000,000 |
(b) Pending the use of revenues in the special fund for the payment of debt service on the bonds, such revenues shall be invested by the State Treasurer in permitted investments until such revenues are needed for such purposes. Earnings on such permitted investments shall remain a part of the special fund. If amounts in the special fund are no longer needed to pay obligations of the Alabama 21st Century Authority, the authority must maintain no less than 1.3 times the maximum annual debt service payable on all authority obligations. Amounts in the fund in excess thereof shall be used by the State Industrial Development Authority for any of the Alabama Energy Infrastructure Bank’s authorized purposes.
(c) For the fiscal year ending September 30, 2025, fifty million dollars ($50,000,000) shall be transferred from the Alabama 21st Century Fund to the Alabama Energy Infrastructure Bank, which shall prioritize support for the Strategic Energy Infrastructure Development Fund, and may also use the funds for any of its authorized purposes.
(d) For the fiscal year ending September 30, 2025, ten million dollars ($10,000,000) shall be transferred from the Alabama 21st Century Fund to the Alabama Incentives Financing Authority to pay for project and project costs as defined in Section 41-10-541.
(e) For the fiscal year ending September 30, 2025, five million dollars ($5,000,000) shall be transferred from the Alabama 21st Century Fund to the Alabama Department of Commerce for the establishment of international offices, enhancement of rural development strategies, and to cover operational and personnel costs.
(Act 99-353, p. 538, §10; Act 2009-563, p. 1634, §1; Act 2010-220, p. 365, §1; Act 2014-319, p. 1142, §1; Act 2025-391, §1.)
There is hereby irrevocably pledged and appropriated such amounts of tobacco revenues retained in the special fund, and earnings thereon, as shall be necessary to pay and to redeem prior to their respective maturities the principal, interest, and premium, if any, on the authority’s bonds and to pay the principal of and the interest on any refunding bonds issued to refund such bonds.
(Act 99-353, p. 538, §11.)
(a) Upon the adoption by the directors of any resolution providing for the issuance of bonds, the authority may cause to be published once a week for two consecutive weeks, in newspapers published or having a general circulation in the Cities of Birmingham, Montgomery, Huntsville, and Mobile, a notice in substantially the following form, the blanks being properly filled in, at the end of which shall be printed the name and title of either the president or the secretary of the authority:
“Alabama 21st Century Authority, a public corporation under the laws of the State of Alabama, on the __ day of , authorized the issuance of $__ principal amount of bonds for purposes authorized in Division 1 of Article 17 of Chapter 10 of Title 41, Code of Alabama 1975. The proceeds from the sale of the bonds are proposed to be issued to finance ___. Any action or proceeding questioning the validity of the bonds, the security thereof, the use of the proceeds thereof, or the proceedings authorizing the bonds, shall be commenced within 30 days after the first publication of this notice.”
(b) Any action or proceeding in any court to set aside or question the proceedings for the issuance of the bonds referred to in the notice or to contest the validity of any bonds or the validity of security therefor, or the validity of the proposed use of the proceeds thereof must be commenced within 30 days after the first publication of the notice. After the expiration of the period, no right of action or defense questioning or attacking the foregoing shall be asserted, nor shall the validity of the proceeding, bonds, security, or use of proceeds be open to question in any court on any ground whatsoever except in an action commenced within the period.
(Act 99-353, p. 538, §12.)
The income and property of the authority, all bonds of the authority and the interest paid on any such bonds, all conveyances by or to the authority, and all instruments by and to the authority shall be exempt from all taxation in the state. The authority shall also be exempt from all license and excise taxes imposed in respect of the privilege of engaging in any of the activities in which the authority may engage. The authority shall not be obligated to pay or allow any fees, taxes, or costs in the recording of any document to the judge of probate of any county.
(Act 99-353, p. 538, §13.)
Except as may be expressly provided in this division, no proceeding, notice, or approval shall be required for the issuance of any bonds by the authority, the execution of any mortgage and deed of trust, trust indenture, or other document, or the exercise of any other of the powers of the authority. Neither a public hearing nor the consent of the Department of Finance shall be prerequisite to the issuance of bonds by the authority.
(Act 99-353, p. 538, §14.)
Articles 2 and 3 of Chapter 16 of this title, and other similar laws shall not apply to the authority, its directors, or any of its officers, agents, or employees in their capacities as such.
(Acts 99-353, p. 538, §15.)
At any time when no bonds of the authority are outstanding, the authority may be dissolved upon the filing with the Secretary of State of an application for dissolution, which shall be subscribed by each of the directors of the authority and sworn to by each director before an officer authorized to take acknowledgments to deeds. Upon the filing of the application for dissolution, the authority shall cease to exist. The Secretary of State shall file and record the application for dissolution in an appropriate book of record in his or her office, and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the certificate with the application for dissolution. Title to all property held in the name of the authority shall be vested in the state upon dissolution of the authority.
(Act 99-353, p. 538, §16.)
The Alabama 21st Century Authority shall, to the extent practical, utilize businesses and companies in all aspects of the bond and construction sections of this division that reflect the racial and ethnic diversity of the state.
(Act 99-353, p. 538, §17.)
The authority shall utilize all administrative services which may be provided by the state Department of Finance.
(Act 99-353, p. 538, §18.)
(a) All monies in the special fund in excess of the monies to be retained therein as provided in Section 41-10-629 shall be immediately transferred by the authority as follows:
(1) Anything in Act 98-382, now appearing in Sections 41-15B-1 to 41-15B-4, inclusive, to the contrary notwithstanding, tobacco revenues in the following amounts received in each of the following fiscal years by the State of Alabama, beginning in the fiscal year ending September 30, 2000, shall be transferred from the special fund to the Children First Trust Fund to be appropriated by the Legislature, upon the recommendation of the Governor, for programs authorized by the Children First Act:
AmountFiscal Yearup to $60,000,0002000up to $65,000,0002001up to $70,000,0002002 and each fiscal year thereafter
(2) An amount up to $2,000,000 shall be transferred beginning in the fiscal year ending September 30, 2000, and each fiscal year thereafter to the Alabama Senior Services Trust Fund to be appropriated by the Legislature in the manner prescribed in Chapter 15C of this title.
(3) The remainder of tobacco revenues shall be annually transferred to the State General Fund. In fiscal years 2000 and 2001 an amount up to $40,000,000 transferred to the State General Fund shall be appropriated by the Legislature to the Alabama Medicaid Agency, of which up to $3,000,000 shall be appropriated to fund the Medicaid Waiver Program at the Alabama Department of Senior Services. In fiscal year 2002 and each fiscal year thereafter an amount up to $45,000,000 shall be transferred to the State General Fund and shall be appropriated by the Legislature to the Alabama Medicaid Agency, of which up to $3,000,000 shall be appropriated to fund the Medicaid Waiver Program at the Alabama Department of Senior Services. Sufficient safeguards shall be implemented to ensure that these new monies will increase and not supplant or decrease existing state support.
(4) After the funding required in Section 41-10-629, the first $38,800,000 of tobacco revenues received by the State of Alabama shall be distributed and is hereby appropriated as follows: a. fifty percent to the Alabama Medicaid Agency and b. fifty percent to the State General Fund.
(b) In any fiscal year in which the distribution of tobacco revenues, after retaining in the special fund the sums set forth in Section 41-10-629, is insufficient to fund the allocations provided for in subdivisions (1) to (3), inclusive, of subsection (a), the distribution to the funds and programs in subdivisions (1) to (3), inclusive, of subsection (a) shall be prorated accordingly. In any fiscal year in which tobacco revenues, after retaining in the special fund the sums set forth in Section 41-10-629, exceed the total authorized to fund the allocations provided for in subdivisions (1) to (3), inclusive, of subsection (a), the Medicaid Legislative Oversight Committee shall determine the amount of any excess funds necessary to meet the needs of the Alabama Medicaid Agency. Any additional excess funds shall be distributed to the Children First Trust Fund.
(Act 99-353, p. 538, §19.)
This division being remedial in nature, it shall be liberally construed to effect its purpose.
(Act 99-353, p. 538, §20.)
Transferred to §41-10-723 by Act 2010-220, p. 365, §3, effective March 22, 2010.
(Act 2009-563, §2.)
Transferred to §41-10-724 by Act 2010-220, p. 365, §3, effective March 22, 2010.
(Act 2009-563, §2.)
Transferred to §41-10-725 by Act 2010-220, p. 365, §3, effective March 22, 2010.
(Act 2009-563, §2.)
Transferred to §41-10-726 by Act 2010-220, p. 365, §3, effective March 22, 2010.
(Act 2009-563, §2.)
Nothing in Act 2009-563 shall apply to anyone licensed by the Home Builders Licensure Board or any subcontractor working on any residential project falling under the jurisdiction of the Alabama Home Builders Licensure Board or those specifically exempted under the provisions of Title 34, Chapter 14A. Notwithstanding the foregoing, anyone licensed by the Alabama Home Builders Licensure Board or subcontractors working on any commercial or industrial project shall be subject to Act 2009-563.
(Act 2009-563, §3.)
This division shall be known and may be cited as the “Job Development Act of 1999.”
(Act 99-391, p. 641, §2.)
(a) The Legislature finds and declares the following:
(1) That it is appropriate and necessary that measures be taken to secure to the citizens of the state the benefits of a strengthening economy resulting from increased industrial development. That among these benefits are diversification of available job opportunities, higher salaries, better working conditions, lower consumer prices for industrial products, conservation and efficient use of natural resources, and maximum utilization of technical skills possessed by the citizens of the state.
(2) That the police power of the state places upon the Legislature the duties of ascertaining and determining when the welfare of the people requires the exercise of such power.
(3) That the public interest lies in the promotion of industry, and the welfare of the people is so inextricably intertwined with industry and industrial development as to make its well-being a matter of governmental concern.
(4) That the recruitment of industries to the state, which produces additional jobs and strengthens the state’s economy, has become increasingly competitive, with the state being required to compete not only with other states, but also foreign nations.
(5) That in an effort to secure for its citizens the benefits of a sound and diversified economy and a higher quality of life, the State of Alabama, acting in its own name and through various entities, has made substantial financial commitments for incentives to induce an internationally renowned company to locate a state-of-the-art manufacturing facility in Alabama.
(6) That it is necessary and in the public interest to honor the commitments heretofore made by the State of Alabama to such company.
(b) By the passage of this division, it is the intention of the Legislature to:
(1) Authorize the authority to sell and issue from time to time its bonds not exceeding fifty million dollars ($50,000,000) in aggregate principal amount for the purpose of providing the State of Alabama with the funds necessary to honor its commitments to such company;
(2) Prescribe certain additional powers and duties of the authority which are necessary to enable the State of Alabama to honor its commitments to the company;
(3) Provide that the bonds authorized hereby will be payable solely out of and secured by a pledge and assignment of tobacco revenues held in the Alabama 21st Century Fund.
(Act 99-391, p. 641, §1.)
When used in this division, the following terms shall have the following meanings unless the context clearly indicates otherwise:
(1) ANCILLARY COSTS shall mean the costs incurred in acquiring and constructing public improvements that benefit all or any part of the project including, without limitation, (i) improvements to streets, roads and bridges, (ii) improvements to water and sewer systems, gas and electric systems, and other utilities providing services to any part of the project, (iii) improvements to the police, fire, and emergency rescue services provided to the company by local governmental entities, and (iv) improvements to transportation systems benefiting the company, such as railroad spur and switching facilities.
(2) AUTHORITY shall mean the Alabama 21st Century Authority, which is provided for pursuant to Division 1.
(3) BONDS shall mean the bonds that are authorized herein to be issued by the authority.
(4) COMPANY shall mean an internationally renowned company that commits to locate a state-of-the-art manufacturing facility in Alabama during calendar year 1999.
(5) LOCAL GOVERNMENTAL ENTITY means any county or municipality or any public corporation or instrumentality thereof that provides incentives to the company to locate the project in the State of Alabama.
(6) MANUFACTURING FACILITY shall mean the manufacturing plant that will be constructed for use by the company in the State of Alabama.
(7) PERSON, unless limited to a natural person by the context in which it is used, shall mean a private firm, a private association, a public or private corporation, a municipality, a county, or an agency, department, or instrumentality of the state or of a county or municipality.
(8) PLEDGED REVENUES shall mean all revenues received by the state pursuant to any federal tobacco-related settlement, any tobacco-related appropriations made by the United States Congress to the State of Alabama, and any revenues received by the state as a result of litigation against any tobacco-related industry, which revenues will be deposited in the special fund pursuant to Division 1.
(9) PROJECT shall mean all land, buildings, equipment, and other improvements constituting the manufacturing facility and the training facility, and all real and personal properties being necessary or useful in connection therewith.
(10) PROJECT COSTS shall mean all costs and expenses incurred by the authority or any person in connection with the acquisition, construction, installation and equipping of any part of the project, including without limitation, any of the following:
a. The direct costs of acquiring, constructing, installing, and equipping any part of the project, including building materials, equipment, labor costs, and payments to contractors, subcontractors, builders, and materialmen;
b. The costs of acquiring land or rights in land for use in the project, and any costs incidental thereto, including recording fees;
c. The costs of site preparation for any part of the project;
d. The costs of contract bonds and of insurance of all kinds that may be required or necessary during the acquisition, construction, or installation of any part of the project;
e. The costs of architectural and engineering services, including without limitation, test borings, surveys, estimates, plans and specifications, preliminary investigations, environmental mitigation, and supervision of construction, as well as for the performance of all the duties acquired by or consequent upon the acquisition, construction, and installation of any part of the project;
f. The costs incurred in connection with installation of fixtures and equipment, surveys, including archeological and environmental surveys, site tests and inspections, subsurface site work, excavation, removal of structures, roadways, cemeteries, and other surface obstructions, filling, grading and provisions for drainage, storm water retention, installation of utilities, including water, sewer, sewage treatment, gas, electricity, communications, and other similar facilities, off-site construction of utility extensions to the boundaries of the project, and paving;
g. Interest accruing with respect to the bonds for a period of up to two years after the issuance of the bonds;
h. All costs, expenses, and fees incurred in connection with actions taken to induce the company to locate the manufacturing facility in the state and with the issuance of the bonds, including without limitation, all legal, accounting, financial, printing, recording, filing, and other fees and expenses;
i. The costs of obtaining bond insurance, letters of credit, or other forms of credit enhancement for liquidity facilities;
j. Amounts to be deposited in any reserve fund established with respect to the bonds;
k. All other costs of a nature comparable to or required in connection with those described;
l. Reimbursement to any person of any of the foregoing costs incurred by the person either for its own account or for the account of the authority and without regard to when incurred.
(11) SPECIAL FUND shall mean the Alabama 21st Century Fund established pursuant to Division 1.
(12) TRAINING COSTS shall mean all reasonable and necessary expenses of (i) performing pre-employment screening and training of employees and prospective employees of the company, regardless of whether or not such prospective employees are ultimately hired by the company, (ii) operating and maintaining any training facility, and (iii) performing basic training as well as actual on-line training in operation, production control, trouble-shooting, and management.
(13) TRAINING FACILITY shall mean any facility to be used for the purpose of providing vocational, technical, or other training for employees or prospective employees of the company, regardless of whether or not such training facility is owned or operated by the company or is within close proximity of the manufacturing facility.
(Act 99-391, p. 641, §3.)
The authority shall have, in addition to all powers heretofore granted to the authority pursuant to Division 1, the following powers:
(1) To sell and issue the bonds authorized herein for the purposes specified herein.
(2) To pledge the pledged revenues as security for the payment of the bonds.
(3) To acquire any real or personal property and to convey the same to the company or to any local governmental entity with or without consideration.
(4) To lease any real or personal property to the company or to any local governmental entity for use in any part of the project.
(5) To mortgage any part of the project as security for the bonds.
(6) To make, enter into, and execute contracts, agreements, or other instruments necessary to acquire or construct capital improvements to any part of the project.
(7) To incur ancillary costs, project costs and training costs and to pay for the same out of proceeds of the bonds, subject to the provisions of Section 41-10-657.
(8) To cooperate with and provide financial assistance to local governmental entities in order to facilitate the construction of public improvements that benefit the company.
(9) To guarantee the performance by any local governmental entity of any obligations or commitments undertaken by such local governmental entity as an incentive to induce the company to locate the manufacturing facility in the state, and to provide indemnification to the company with respect to such obligations and commitments.
(Act 99-391, p. 641, §4.)
(a) General authorization to issue bonds. The authority is authorized from time to time to sell and issue the bonds in one or more series in an aggregate principal amount of up to fifty million dollars ($50,000,000) in order to provide the funds to pay project costs, ancillary costs, and training costs.
(b) Source of payment. The bonds authorized herein shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of the state. Such bonds shall not be general obligations of the authority but shall be payable solely from the pledged revenues.
(c) Security for the bonds. The principal of and interest on the bonds shall be secured by a pledge of the pledged revenues and, if necessary and desirable in the authority’s sole discretion, a mortgage on any part of the project. The resolution under which the bonds are authorized by the authority to be issued and any trust indenture or mortgage may contain any agreements and provisions respecting the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit for whom any such instrument is made and the rights and remedies available in the event of default as the authority shall deem advisable.
(d) General provisions respecting form, sale, and execution of the bonds. All bonds shall be issued, executed and sold in the form and in the manner set forth in Division 1. The bonds may be sold at public or private sale as the authority shall deem advisable.
(e) State Treasurer as registrar, transfer agent, and paying agent. The State Treasurer shall be registrar, transfer agent, and paying agent for the bonds. The State Treasurer may designate named individuals who are employees of the state and who are assigned to the State Treasurer’s office to authenticate the bonds.
(Act 99-391, p. 641, §5.)
There is hereby irrevocably pledged and appropriated such amount of pledged revenues deposited in the special fund, and earnings thereon, as may be necessary to pay and to redeem prior to their respective maturities the principal, interest and premium, if any, on the bonds; provided, however that the bonds may not be issued in principal amounts and maturities such that the debt service payable on such bonds may ever be greater than the amounts permitted by Division 1.
(Act 99-391, p. 641, §6.)
(a) The proceeds derived from the sale of the bonds shall be deposited in the State Treasury and shall be carried in a separate fund therein for the account of the authority. The proceeds from the sale of the bonds remaining after payment of the expenses of issuance thereof shall be retained in such fund and, until they are paid out, shall be invested by the State Treasurer at the direction of the authority, in investments that constitute permitted investments, as defined in Division 1. Monies in such fund, whether original proceeds from the sale of the bonds or principal proceeds of matured investments, shall be paid out from time to time in orders or warrants issued by or on the direction of the authority for any one or more of the purposes specified in Section 41-10-654 that may be deemed by the authority to be necessary to comply with any and all commitments made by the state to the company.
(b) Notwithstanding subsection (a), the authority may use proceeds of the bonds to fund any reserve fund or capitalized interest fund deemed by the authority to be necessary and desirable.
(Act 99-391, p. 641, §7.)
In addition to the power to finance the payment of training costs through the issuance of the bonds, the authority may, if it determines that it is in the best interests of the state to do so, pay such training costs directly out of pledged revenues in the special fund, provided that any such payment in any fiscal year, together with debt service payable on outstanding bonds in such fiscal year, shall not exceed the total amount of pledged revenues permitted to be used by Division 1 to pay debt service on the authority’s outstanding bonds in such fiscal year.
(Act 99-391, p. 641, §8.)
This division being remedial in nature, it shall be liberally construed to effect its purpose.
(Act 99-391, p. 641, §10.)
This division shall be known and may be cited as the “Job Development Act of 2001.”
(Act 2001-691, p. 1430, §2.)
(a) The Legislature finds and declares the following:
(1) That it is appropriate and necessary that measures be taken to secure to the citizens of the state the benefits of a strengthening economy resulting from increased industrial development. That among these benefits are diversification of available job opportunities, higher salaries, better working conditions, lower consumer prices for industrial products, conservation and efficient use of natural resources, and maximum utilization of technical skills possessed by the citizens of the state.
(2) That the police power of the state places upon the Legislature the duties of ascertaining and determining when the welfare of the people requires the exercise of such power.
(3) That the public interest lies in the promotion of industry, and the welfare of the people is so inextricably intertwined with industry and industrial development as to make its well being a matter of governmental concern.
(4) That the recruitment of industries to the state, and the support of those industries, which produces additional jobs and strengthens the state’s economy, has become increasingly competitive, with the state being required to compete not only with other states, but also foreign nations.
(5) That in an effort to secure for its citizens the benefits of a sound and diversified economy and a higher quality of life, the State of Alabama, acting in its own name and through various entities, has made substantial financial commitments for incentives to induce certain companies to locate state-of-the-art manufacturing and other facilities in Alabama.
(6) That it is necessary and in the public interest to honor the commitments heretofore made by the State of Alabama to such companies.
(b) By the passage of this division, it is the intention of the Legislature to:
(1) Authorize the authority to sell and issue, in addition to all other bonds previously issued by the authority, its bonds not exceeding one hundred three million seven hundred sixty thousand dollars ($103,760,000) in aggregate principal amount for the purpose of providing the State of Alabama with the funds necessary to honor its commitments to the companies described herein;
(2) Prescribe certain additional powers and duties of the authority, which are necessary to enable the State of Alabama to honor its commitments to such companies;
(3) Provide that the bonds authorized hereby will be payable solely out of and secured by a pledge and assignment of tobacco revenues held in the Alabama 21st Century Fund.
(Act 2001-691, p. 1430, §1.)
When used in this division, the following terms shall have the following meanings unless the context clearly indicates otherwise:
(1) ANCILLARY COSTS shall mean the costs incurred in acquiring and constructing public improvements that benefit all or any part of the projects including, without limitation, (i) improvements to streets, roads, and bridges, (ii) improvements to water and sewer systems, gas and electric systems, and other utilities providing services to any part of the projects, (iii) improvements to the police, fire, and emergency rescue services provided to the companies by local governmental entities, and (iv) improvements to transportation systems benefiting the companies, such as railroad spur and switching facilities.
(2) AUTHORITY shall mean the Alabama 21st Century Authority, which is provided for pursuant to the Enabling Act.
(3) BOEING shall mean the Boeing Company, a corporation, or any affiliate thereof.
(4) BONDS shall mean the bonds that are authorized herein to be issued by the authority.
(5) BUNKHOUSE shall mean Bunkhouse Conversions, Inc., a corporation, or any affiliate thereof.
(6) COMPANIES shall mean, collectively, Diamond Homes, L.L.C., Honda, Mercedes, Toyota, Teksid, CRH, Lockheed-Martin, Service Zone, Bunkhouse, Sykes, and Boeing.
(7) CRH shall mean CRH North America, Inc., a corporation, or any affiliate thereof.
(8) DIAMOND HOMES L.L.C. shall mean Diamond Homes L.L.C., a limited liability company, or any affiliate thereof.
(9) ENABLING ACT shall mean Section 41-10-620 et seq.
(10) FACILITIES shall mean the manufacturing and other facilities that have been or will be constructed for use by the companies in the State of Alabama.
(11) HONDA shall mean American Honda Motor Co., Inc., a corporation, or any affiliate thereof.
(12) LOCAL GOVERNMENTAL ENTITY shall mean any county or municipality or any public corporation or instrumentality thereof.
(13) LOCKHEED-MARTIN shall mean Lockheed-Martin Corporation, a corporation, or any affiliate thereof.
(14) MERCEDES shall mean Mercedes-Benz U. S. International, Inc., a corporation, or any affiliate thereof.
(15) PERSON, unless limited to a natural person by the context in which it is used, shall mean a private firm, a private association, a public or private corporation, a municipality, a county, or an agency, department, or instrumentality of the state or of a county or municipality.
(16) PLEDGED REVENUES shall mean those tobacco revenues which are required by the Enabling Act to be retained in the special fund and have been irrevocably pledged and appropriated for the payment of the bonds.
(17) PROJECTS shall mean all land, buildings, equipment, and other improvements constituting the facilities and the training facilities, and all real and personal properties being necessary or useful in connection therewith.
(18) PROJECT COSTS shall mean all costs and expenses incurred by the authority or any person in connection with the acquisition, construction, installation, and equipping of any part of the projects, including without limitation, any of the following:
a. The direct costs of acquiring, constructing, installing, and equipping any part of the projects, including building materials, equipment, labor costs, and payments to contractors, subcontractors, builders, and materialmen;
b. The costs of acquiring land or rights in land for use in the projects, and any costs incidental thereto, including recording fees;
c. The costs of site preparation for any part of the projects;
d. The costs of contract bonds and of insurance of all kinds that may be required or necessary during the acquisition, construction, or installation of any part of the projects;
e. The costs of architectural and engineering services, including without limitation, test borings, surveys, estimates, plans and specifications, preliminary investigations, environmental mitigation, and supervision of construction, as well as for the performance of all the duties acquired by or consequent upon the acquisition, construction, and installation of any part of the projects;
f. The costs incurred in connection with installation of fixtures and equipment, surveys, including archeological and environmental surveys, site tests and inspections, subsurface site work, excavation, removal of structures, roadways, cemeteries, and other surface obstructions, filling, grading and provisions for drainage, storm water retention, installation of utilities, including water, sewer, sewage treatment, gas, electricity, communications, and other similar facilities, off-site construction of utility extensions to the boundaries of the projects, and paving;
g. Interest accruing with respect to the bonds for a period of up to two years after the issuance of the bonds;
h. All costs, expenses, and fees incurred in connection with actions taken to induce the companies to locate the facilities in the state and the issuance of the bonds, including without limitation, all administrative, legal, accounting, financial, printing, recording, filing, and other fees and expenses;
i. The costs of obtaining bond insurance, letters of credit, or other forms of credit enhancement for liquidity facilities;
j. Amounts to be deposited in any reserve fund established with respect to the bonds;
k. All other costs of a nature comparable to or required in connection with those described;
l. Reimbursement of the Alabama Incentives Authority for any of the foregoing costs paid by said Alabama Incentives Financing Authority at the request of the authority.
(19) SERVICE ZONE shall mean Service Zone, Inc., a corporation, or any affiliate thereof.
(20) SPECIAL FUND shall mean the Alabama 21st Century Fund established pursuant to the Enabling Act.
(21) STATE shall mean the State of Alabama or any of its agencies, instrumentalities, or bureaus.
(22) SYKES shall mean Sykes, Inc., a corporation, or any affiliate thereof, at locations in Greenville and Enterprise.
(23) TEKSID shall mean Teksid Aluminum Foundry, Inc., a corporation, or any affiliate thereof.
(24) TOBACCO REVENUES shall mean all revenues received by the state pursuant to any federal tobacco-related settlement, any tobacco-related appropriations made by the United States Congress to the State of Alabama, and any revenues received by the state as a result of litigation against any tobacco-related industry, which revenues will be deposited in the Special Fund pursuant to the Enabling Act.
(25) TOYOTA shall mean Toyota Motor Manufacturing North America, Inc., a corporation, or any affiliate thereof.
(26) TRAINING COSTS shall mean all reasonable and necessary expenses of (i) performing pre-employment screening and training of employees and potential employees of the companies for employment in Alabama, (ii) operating and maintaining any training facilities located in Alabama, and (iii) performing basic training as well as actual on-line training in operation, production control, trouble shooting, and management for the companies’ facilities in Alabama.
(27) TRAINING FACILITIES shall mean any facilities located in Alabama to be used for the purpose of providing vocational, technical, or other training for employees or prospective employees of the companies, regardless of whether or not such training facilities are owned or operated by the companies.
(Act 2001-691, p. 1430, §3.)
The authority shall have, in addition to all powers heretofore granted to the authority pursuant to the enabling act, the following powers:
(1) To sell and issue the bonds authorized herein for the purposes specified herein.
(2) To pledge the pledged revenues as security for the payment of the bonds.
(3) To acquire any real or personal property and to convey the same to the companies or to any local governmental entity with or without consideration.
(4) To lease any real or personal property to the companies or to any local governmental entity for use in any part of the projects.
(5) To mortgage any part of the projects as security for the bonds.
(6) To make, enter into, and execute contracts, agreements, or other instruments necessary to acquire or construct capital improvements to any part of the projects.
(7) To incur ancillary costs, projects costs, and training costs and to pay for the same out of proceeds of the bonds, subject to the provisions of Section 41-10-677.
(8) To cooperate with and provide financial assistance to local governmental entities in order to effectuate the reconstruction and improvement of the flood levees identified in subsection (a) of Section 41-10-674.
(9) To reimburse any company for the payment of training costs incurred by such company pursuant to an agreement with the authority.
(Act 2001-691, p. 1430, §4; Act 2009-563, p. 1634, §1; Act 2010-220, p. 365, §1.)
(a) General. The authority is authorized from time to time to sell and issue the bonds in one or more series in an aggregate principal amount of up to one hundred three million seven hundred sixty thousand dollars ($103,760,000) in order to provide the funds to pay project costs, ancillary costs and training costs. In addition, proceeds of the bonds in an amount up to four million six hundred fifty-five thousand dollars ($4,655,000) shall be used to pay the cost of reconstructing and improving the flood levee located in Elba, Alabama and proceeds in an amount up to five million eight hundred ten thousand dollars ($5,810,000) shall be used to pay the cost of reconstructing and improving the flood levee located in Geneva, Alabama. Of the proceeds of the bonds an amount up to seven hundred sixty thousand dollars ($760,000) shall be allocated for the acquisition of high technology and audio-visual equipment for an advanced aerospace training facility for Boeing.
(b) Source of payment. The bonds authorized herein shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of the state. Such bonds shall not be general obligations of the authority but shall be payable solely from the pledged revenues.
(c) Security for the bonds. The principal of and interest on the bonds shall be secured by a pledge of the pledged revenues on a parity of lien with the pledge thereof in favor of all other bonds previously issued by the authority. The resolution under which the bonds are authorized by the authority to be issued and any trust indenture may contain any agreements and provisions respecting the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit for whom any such instrument is made and the rights and remedies available in the event of default as the authority shall deem advisable.
(d) General provisions respecting form, sale, and execution of the bonds. All bonds shall be issued and executed in the form and in the manner set forth in the Enabling Act. The bonds shall be sold only at public sale or sales, based on sealed bids received either electronically or on paper, after such advertisement as may be prescribed by the authority, to the bidder whose bid reflects the lowest true interest cost to the state computed to the respective maturities of the bonds sold; provided, however, that if no bid deemed acceptable by the authority is received, all bids may be rejected and the authority subsequently may re-offer the bonds for competitive sale.
(e) State Treasurer as registrar, transfer agent, and paying agent. The State Treasurer shall be registrar, transfer agent, and paying agent for the bonds and shall have the power to appoint any financial institution as depository for such proceeds. The State Treasurer may designate named individuals who are employees of the state and who are assigned to the State Treasurer’s office to authenticate the bonds.
(f) Trustee for the pledged revenues. The authority shall appoint a financial institution having general trust powers to serve as trustee for the bondholders with authority to hold the pledged revenues and to administer any indenture funds including, without limitation, any debt service reserve fund that may be necessary for the issuance of the bonds. Any such trustee shall at all times be the same as the trustee for all other outstanding bonds issued by the authority.
(Act 2001-691, p. 1430, §5.)
There is hereby irrevocably pledged and appropriated such amount of pledged revenues deposited in the special fund, and earnings thereon, as may be necessary to pay and to redeem prior to their respective maturities the principal, interest, and premium, if any, on the bonds; provided, however that the bonds may not be issued in principal amounts and maturities such that the debt service payable on such bonds may ever be greater than the amounts permitted by the Enabling Act.
(Act 2001-691, p. 1430, §6.)
(a) The proceeds derived from the sale of the bonds shall be deposited in the State Treasury and shall be carried in a separate fund therein for the account of the authority. The proceeds from the sale of the bonds remaining after payment of the expenses of issuance thereof shall be retained in such fund and, until they are paid out, shall be invested by the State Treasurer at the direction of the authority, in investments that constitute permitted investments, as defined in the Enabling Act. Monies in such fund, whether original proceeds from the sale of the bonds or earnings on such proceeds, shall be paid out from time to time in orders or warrants issued by or on the direction of the authority for any one or more of the purposes specified in Section 41-10-674 that may be deemed by the authority to be necessary to comply with any and all commitments made by the state to any company.
(b) Notwithstanding subsection (a), the authority may use proceeds of the bonds to fund any reserve fund or capitalized interest fund deemed by the authority to be necessary and desirable.
(c) The authority shall have the power to make such payments to the United States of America as the authority deems necessary to cause interest on the bonds to be and remain exempt from federal income taxation. The authority shall have the power to make agreements respecting the investment of funds as necessary to comply with applicable federal tax regulations.
(Act 2001-691, p. 1430, §7.)
In addition to the power to finance the payment of training costs through the issuance of the bonds, the authority may, if it determines that it is in the best interests of the state to do so, pay such training costs directly out of pledged revenues in the special fund, provided that any such payment in any fiscal year, together with debt service payable on outstanding bonds in such fiscal year, shall not exceed the total amount of pledged revenues permitted to be used by the Enabling Act to pay debt service on the authority’s outstanding bonds in such fiscal year.
(Act 2001-691, p. 1430, §8.)
The authority shall attempt to hire or contract with businesses or individuals which reflect the racial and ethnic diversity of the state.
(Act 2001-691, p. 1430, §9.)
Notwithstanding any contrary provision set forth in the Enabling Act, the contracts awarded by the authority with respect to the acquisition, construction, and equipping of any project shall be subject to all applicable competitive bid provisions of Alabama law pertaining to state contracts, including without limitation, those contained in Chapter 16 of this title and Chapter 2 of Title 39.
(Act 2001-691, p. 1430, §11.)
This division being remedial in nature, it shall be liberally construed to effect its purpose.
(Act 2001-691, p. 1430, §12.)
Transferred to §41-10-727 by Act 2010-220, p. 365, §4, effective March 22, 2010.
(Act 2009-561, p. 1629, §1.)
Transferred to §41-10-728 by Act 2010-220, p. 365, §4, effective March 22, 2010.
(Act 2009-561, p. 1629, §2.)
Transferred to §41-10-729 by Act 2010-220, p. 365, §4, effective March 22, 2010.
(Act 2009-561, p. 1629, §3.)
Transferred to §41-10-730 by Act 2010-220, p. 365, §4, effective March 22, 2010.
(Act 2009-561, p. 1629, §4.)
Transferred to §41-10-731 by Act 2010-220, p. 365, §4, effective March 22, 2010.
(Act 2009-561, p. 1629, §5.)
Transferred to §41-10-732 by Act 2010-220, p. 365, §4, effective March 22, 2010.
(Act 2009-561, p. 1629, §6.)
The Legislature makes the following findings:
(1) At any given time, the level of activity in our construction industry is a primary yardstick for measuring the overall economic health of this country and this state, and that the success and stability of the building, manufacturing, and commercial businesses are dependent upon a sufficient supply of skilled artisans and craft persons who can produce quality products that inspire public confidence. The State of Alabama and the nation has a great need for a program that provides for the recruitment of, and training programs and opportunities for, new construction craft trade workers. It is desirable and in the public interest to establish a public authority at the state level to create and implement such a program.
(2) The passage of a federal economic stimulus package provides substantial funding for significant new highway, road, bridge, and public infrastructure projects, and the Legislature recognizes that these projects will place additional demands for skilled artisans and craft persons which the existing construction workforce may not support.
(3) It is desirable and in the public interest that construction craft industry fees dedicated for the recruitment of and the promotion of training programs and opportunities for new construction craft workers shall be annually appropriated to the Recruitment and Training Promotion Fund and dedicated for expenses incurred or to be incurred by the Alabama Construction Recruitment Institute.
(4) By passage of Act 2010-220, it is the intention of the Legislature to do all of the following:
a. Establish the Alabama Construction Recruitment Institute as an independent public authority that is separate and distinct from the Alabama 21st Century Authority.
b. Provide for the continuation of the special fund known as the Recruitment and Training Promotion Fund created pursuant to Act 2009-563 and provide for the deposit of certain construction craft industry fees into the Recruitment and Training Promotion Fund.
c. Provide that Alabama 21st Century Authority shall have no duties or powers related to the Recruitment and Training Promotion Fund.
d. Provide that the Alabama 21st Century Authority shall provide limited assistance to the institute for the purpose of enabling the institute to commence operations.
(Act 2010-220, p. 365, §2.)
For purposes of this article, the following terms have the following meanings:
(1) CONSTRUCTION CRAFT INDUSTRY FEES. Revenues received by the state in the form of federal, state, local, or private sector grants for the purpose of providing for the recruitment of, and the promotion of training programs and opportunities for, new construction industry craft workers and fees enacted for such purpose after January 1, 2009, specifically, but not limited to, fees imposed under Division 2 of this article. Except as provided in Section 41-10-732, no fee shall be collected from any licensed home builder, as defined in Chapter 14A of Title 34; from any subcontractor working on a residential construction site, including renovations to any residential structure; or from any person or entity specifically exempt under Chapter 14A of Title 34, except for subdivision (3) of Section 34-14A-6.
(2) INSTITUTE. The Alabama Construction Recruitment Institute, a public corporation authorized to be established pursuant to Section 41-10-723.
(3) RECRUITMENT AND TRAINING PROMOTION FUND. The fund established pursuant to Act 2009-563 and continued pursuant to Section 41-10-722.
(Act 2010-220, p. 365, §2.)
The Recruitment and Training Promotion Fund, created pursuant to Act 2009-563 for the benefit of the State of Alabama and the citizens thereof, shall continue to exist as a special fund in the State Treasury and shall be funded with construction craft industry fees administered in accordance with this article. The revenue received by the fund shall be invested by the State Treasurer in permitted investments until the institute uses money for the purposes established by this article. Earnings on permitted investments shall remain part of the fund.
(Act 2010-220, p. 365, §2.)
(a) The Alabama Construction Recruitment Institute shall be incorporated as a public corporation with the powers herein provided.
(b) The Governor, the state Commissioner of Revenue, and the Director of Finance shall present to the Secretary of State of Alabama an application signed by them which shall set forth all of the following:
(1) The name, official designation, and official residence of each of the applicants and the initial appointed members of the board.
(2) The date on which each applicant and member of the board took office or was appointed, respectively, by his or her respective appointing authority and the term of office of each member’s respective appointing authority.
(3) The location of the principal office of the proposed corporation, which shall be in the City of Montgomery.
(4) Any other matter relating to the institute which the applicants may choose to insert and which is not inconsistent with this division or the laws of the state.
(c) The application shall be subscribed and sworn to by each of the applicants and members before an officer authorized by the laws of the state to take acknowledgments to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, it shall be filed and recorded in an appropriate book of records in the office of the Secretary of State.
(d) When the application has been made, filed, and recorded as provided in subsection (c), the applicants shall constitute a corporation under the name stated in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this division under the Great Seal of the State and shall record the certificate with the application. There shall be no fees paid to the Secretary of State for any work done in connection with the incorporation or dissolution of the institute.
(Act 2009-563, p. 1634, §2; §41-10-640 amended and renumbered by Act 2010-220, p. 365, §3.)
(a) All powers of the institute shall be exercised by or under the authority of, and the business and affairs of the institute shall be managed and governed, under the direction of, a board of directors, constituted as provided for in this section.
(b) The board of directors shall consist of six voting members selected as follows:
(1) One member to be appointed by the Governor upon nomination and submission by the Construction Users Roundtable, or its successor organization.
(2) One member to be appointed by the Lieutenant Governor upon nomination and submission by the Alabama State Construction Building Trades, or its successor organization.
(3) Two members to be appointed by the Speaker of the House as follows: One upon nomination and submission by the Alabama Associated General Contractors, or its successor organization, and one upon nomination and submission by the Alabama Road Builders Association, or its successor organization.
(4) Two members to be appointed by the President Pro Tempore of the Senate as follows: One upon nomination and submission by the Alabama Associated Builders and Contractors, or its successor organization, and one upon nomination and submission by the Subcontractors Association of Alabama, or its successor organization.
(5) The membership of the board of directors and employees and contractors of the board shall be inclusive and reflect the racial, gender, geographic, urban/rural and economic diversity of the state. All appointing authorities shall coordinate their appointments so that diversity of gender, race, and geographical areas is reflective of the makeup of this state.
(c) All initial members of the board shall be appointed as provided in subsection (b) within 30 days of May 18, 2009. Members of the board of directors shall be selected for four-year terms expiring on June 30 four years thereafter and shall serve until a successor is appointed by the Governor, Speaker of the House, President Pro Tempore of the Senate, or Lieutenant Governor, as appropriate, pursuant to the same selection method described in subsection (b). Any vacancy on the board of directors shall be filled in the same manner within 45 days of the vacancy by appointment by the Governor, Speaker of the House, President Pro Tempore of the Senate, or Lieutenant Governor, as appropriate. Each director shall reside within the State of Alabama. Directors may be reappointed for successive terms. No director shall draw any salary for any service he or she may render or for any duty he or she may perform in connection with the institute, but shall be entitled to the reimbursement of reasonable expenses incurred that are directly related to the duties in serving as a member of the board. No director shall continue to serve as a member of the board after ceasing to be an active member of the respective recommending organization from whose list the appointment was initially made as provided in subsection (b).
(d) A director may or shall be removed from the board of directors as follows:
(1) If, for any reason, other than an illness which shall be documented in writing to the institute by a physician, a director is absent for more than 25 percent of scheduled board meetings during the fiscal year of the institute, the director may be removed by a unanimous vote of the other five directors.
(2) A director may be removed, with or without cause, by vote of the respective recommending organization from whose list the appointment was initially made.
(3) If a director is found guilty by a court of competent jurisdiction of willful or wanton misconduct, fraud, gross negligence, or a knowing violation of a criminal law, the director shall be automatically removed and shall cease to serve as a member of the board.
(e) The first organizational meeting of the board shall be held within 30 days following the appointment of all of the directors. At the organizational meeting, the board shall elect officers of the board from among its members. Officers of the board shall serve for the terms and shall have the powers and duties as the board by rule may prescribe.
(f) The presence of all members of the board of directors shall constitute a quorum for the transaction of business. Action of the board may only occur with unanimous approval of all members of the board.
(g) All resolutions adopted by the board of directors shall constitute actions of the institute. All proceedings of the board shall be reduced to writing by the secretary and shall be recorded in a substantially bound book and filed in the office of the institute. Copies of such proceedings, when certified by the secretary of the institute under the seal of the institute, shall be received in all courts as prima facie evidence of the matters and things therein certified. The board of directors of the institute shall meet at such times upon such notice as it shall determine or upon call of the chair.
(h) The institute shall have the authority through its board to disburse funds appropriated to the fund for the purposes stated in this article.
(Act 2009-563, p. 1634, §2; §41-10-641 amended and renumbered by Act 2010-220, p. 365, §3; Act 2014-345, p. 1286, §1.)
The Alabama Construction Recruitment Institute shall be subject to the Alabama Sunset Law, Chapter 20, Title 41, as an enumerated agency as provided in Section 41-20-3, and shall have a termination date of October 1, 2014, and every four years thereafter, unless continued pursuant to the Alabama Sunset Law.
(Act 2012-335, p. 852, §1.)
The institute shall have the following powers:
(1) To design, implement, and amend a program or programs to provide for the recruitment of, and the promotion of training programs and opportunities for, new craft trade workers for the construction industry and the users of the construction industry.
(2) To educate the public about career opportunities as craft trade workers in the construction industry.
(3) To acquire, receive, and take title to, by purchase, gift, lease, license, devise, or otherwise, to hold, keep, improve, maintain, equip, furnish, develop, and to transfer, convey, donate, sell, lease, license, grant options to, assign, or otherwise dispose of property of every kind and character, real, personal, mixed, tangible and intangible, and any and every interest therein, to any person or entity.
(4) To accept gifts, grants, bequests, or devises of money and tangible and intangible property.
(5) To make and alter bylaws, not inconsistent with the provisions of this division or laws of the State of Alabama, for the administration and regulation of the affairs of the institute.
(6) To make, enter into, and execute contracts, agreements, leases, licenses, or other legal arrangements and to take such steps and actions as may be necessary or convenient in the furtherance of any purpose or the exercise of any power provided or granted to it by this section.
(7) To engage in media advertising, marketing, website creation, website design, website maintenance, database creation, database design, database maintenance, data and information collection, and data and information dissemination and distribution, including the dissemination or distribution of data and information on potential construction workforce recruits, to the construction industry, users of the construction industry, and educational institutions, or other entities, as deemed necessary or appropriate by the institute in its sole discretion.
(8) To conduct surveys, studies, metrics, and other analyses of the construction industry and its potential workforce, and to disseminate or distribute the surveys, studies, metrics, and other analyses of the construction industry and its potential workforce to the construction industry, users of the construction industry, and educational institutions, or other entities, as deemed necessary or appropriate by the institute in its sole discretion.
(9) To incur ancillary costs, project costs, advertising costs, and recruitment costs and to pay these costs out of proceeds of the Recruitment and Training Promotion Fund.
(10) To make application directly or indirectly to any federal, state, county, or municipal government or agency or to any other source, public or private, for grants or other similar financial assistance in furtherance of the institute’s purpose and to accept and use the same upon the terms and conditions as are prescribed by the federal, state, county, or municipal government or agency or other source.
(11) To employ and provide for the compensation of an executive director and staff and support personnel according to policies and procedures adopted by the institute. The executive director and the employees of the institute shall not be considered state employees; however, the director and employees may petition the Employees’ Retirement System and the State Employees’ Insurance Board for inclusion in these systems subject to terms and conditions of similarly situated persons who may petition for benefits from these entities. The Employees’ Retirement System may elect to provide retirement benefits and the State Employees’ Insurance Board may elect to provide health insurance benefits to the employees of the institute upon petition of the employees and subject to terms and conditions for similarly situated employees of other public entities.
(12) To hire accountants, attorneys, engineers, consultants, and other professionals as the board shall deem necessary for the conduct of the business of the institute.
(13) To provide grants to educational, governmental, nonprofit, community-based, workforce development, economic development, and other organizations and associations engaged in the education, recruitment, training, placement, and professional development of persons engaged in activities leading to the furtherance of careers in commercial and industrial construction in accordance with the purposes of the institute.
(14) To cooperate or partner, or both, with regional and national organizations promoting construction workforce development, including the sharing of non-monetary marketing and educational resources and databases, in furtherance of the purposes of the institute.
(15) To do all things necessary or convenient to carry out the powers and purposes conferred by this section.
(16) To exercise any and all powers permissible under state law not in conflict with the purposes of the institute.
(Act 2009-563, p. 1634, §2; §41-10-642 amended and renumbered by Act 2010-220, p. 365, §§3, 5.)
The records of the institute shall be subject to the public records laws of this state, as amended, with the exception of any personal information collected or received by the institute from any individual. The books and the expenditures of the institute shall be audited annually by the Department of Examiners of Public Accounts.
(Act 2009-563, p. 1634, §2; §41-10-643 amended and renumbered by Act 2010-220, p. 365, §3.)
As used in this division, the following words shall have the following meanings:
(1) DEPARTMENT. The Department of Revenue.
(2) EMPLOYEE. An employee, as defined in the Internal Revenue Code, as amended from time to time; except that any individual providing services to an employer on an hourly, part-time, full-time, salaried, or contractual basis shall be considered an employee for purposes of this division.
(3) EMPLOYER. An employer, as defined in the Internal Revenue Code, as amended from time to time, that is either a general contractor or subcontractor that primarily holds itself out for hire to the general public as a general contractor or subcontractor and who receives more than five percent of its annual gross revenue from business described in either North American Industry Classification System (NAICS) Code 236, 237, or 238 of the United States Department of Commerce in effect as of January 1, 2009. This definition does not apply to or include residential home building and licensed residential home builders contracting for home building as defined in Chapter 14A of Title 34, or those specifically exempted under Chapter 14A of Title 34, except for subdivision (3) of Section 34-14A-6.
(4) FEE. The tax levied by this division.
(5) GENERAL CONTRACTOR. Any individual, person, corporation, limited liability entity, trust, association, or any other business enterprise other than home building projects by licensed residential home builders as defined in Chapter 14A of Title 34, or those specifically exempted under Chapter 14A of Title 34, except for subdivision (3) of Section 34-14A-6, that for a price, commission, fee, or payment undertakes to construct or superintend or engage in the construction, alteration, maintenance, repair, rehabilitation, remediation, reclamation, demolition of any building, highway, sewer, structure, site work, grading, or paving of any project, or any improvement, in the State of Alabama.
(6) SKILLED LABOR. Includes all labor or services performed by employees directly engaged in construction operations at the location of any construction, alteration, maintenance, repair, rehabilitation, remediation, reclamation, demolition, highway, sewer, structure, grading, paving, or improvement project in Alabama. The term does not include labor or services performed by supervisory employees above the working foreman level.
(7) SUBCONTRACTOR. Any individual, person, corporation, limited liability entity, trust, association, or any other business enterprise performing work under contract to a general contractor, but not licensed residential home builders building homes as defined in Chapter 14A of Title 34, or those specifically exempted under Chapter 14A of Title 34, except for subdivision (3) of Section 34-14A-6.
(8) WAGES. The gross earnings paid by an employer to an employee covered by this division, including all forms of compensation such as salaries, hourly payments, commissions, remuneration, dismissal pay, bonuses, and vacation and sick leave pay, prior to deductions for items such as Social Security contributions, withholding taxes, group health insurance, union dues, and savings bonds.
(Act 2009-561, p. 1629, §1; §41-10-700 amended and renumbered by Act 2010-220, p. 365, §4.)
(a) In addition to all other taxes now imposed by law, there is hereby levied and imposed a fee on the wages, as defined in this division, paid by the employer to employees engaged in skilled labor in the performance of a construction contract or job in the State of Alabama, which fee shall be assessed, collected, and paid quarterly at the rate and as specified in subsection (b) and for each year as hereinafter provided.
(b) Each employer subject to this division shall remit to the department a fee for the purpose of funding a program providing for the recruitment of, and training opportunities for, new construction craft trade labor in an amount equal to nine one-hundredths of one percent of the Alabama wages paid during the preceding quarter to all employees of the employer engaged in skilled labor under a construction contract or on a job located in this state for the first five quarters following May 18, 2009.
(c) Following the first five quarters following May 18, 2009, the receipts of the fee, less cost of collection for the second through fifth quarters, shall be tabulated and the fee rate shall be adjusted in order for the aggregate net collections for the subsequent four quarters to amount to one million seven hundred fifty thousand dollars ($1,750,000), and the revised fee rate shall be the fee rate utilized for each quarterly period thereafter.
(d) The fee levied by this division shall be remitted in a manner and on forms prescribed by the department.
(Act 2009-561, p. 1629, §2; §41-10-701 amended and renumbered by Act 2010-220, p. 365, §4.)
It shall be the duty of the department to administer this division. The department may adopt, amend, or rescind rules and employ persons, make expenditures, require reports, make investigations, and take any other action as may be necessary or suitable to that end. The same penalties, interest, lien, and criminal provisions of Chapters 1, 2A, and 18 of Title 40, shall apply to taxpayers failing to accurately compute and remit the fee owed as established by this division to the department within the time set forth by this division and as further prescribed by the department.
(Act 2009-561, p. 1629, §3; §41-10-702 amended and renumbered by Act 2010-220, p. 365, §4.)
In the event an employer fails to pay to the department any amount required to be paid under this division, that amount may be assessed against the employer in the same manner, including interest and penalties, as is prescribed for the assessment of income tax under the provisions of Chapter 2A of Title 40. The employer may appeal from any preliminary or final assessment in the same manner and subject to the same procedures prescribed for income tax appeals by Chapter 2A of Title 40. When no appeal from a final assessment is timely filed by the employer, execution may be issued upon the final assessment in the same manner as is provided by law for the issuance of an execution by the department.
(Act 2009-561, p. 1629, §4; §41-10-703 amended and renumbered by Act 2010-220, p. 365, §4.)
(a) Any fees required by this division shall be remitted to the department and, after the cost appropriation in subsection (c), shall be deposited to the credit of the Recruitment and Training Promotion Fund in the State Treasury which is hereby created for the purpose of funding a recruitment and training promotion program to be administered by the Alabama Construction Recruitment Institute.
(b) The proceeds from fees collected and deposited into the Recruitment and Training Promotion Fund are appropriated to the Alabama Construction Recruitment Institute for the purposes of this article. Such funds shall be appropriated, budgeted, and allotted in accordance with Sections 41-4-80 to 41-4-96, inclusive, and 41-19-1 to 41-19-12, inclusive, and only in amounts stipulated in general appropriations bills and other appropriations bills to be expended, in whole or in part, by vote of the Board of Directors of the institute.
(c) In addition to all other appropriations heretofore or hereinafter made, there is hereby appropriated to the department for the fiscal year ending September 30, 2009, such amount as is reasonably required to offset its administrative and collection costs as a first charge against the revenues from the fee levied by this division. For all subsequent fiscal years, there shall be appropriated to the department as a first charge against the revenues from the fee levied by this division an amount that will offset its actual costs in the administration and regulation of this fee.
(Act 2009-561, p. 1629, §5; §41-10-704 amended and renumbered by Act 2010-220, p. 365, §4.)
Nothing in this division, including the fees collected pursuant to this division, shall apply to any person or entity licensed by the Alabama Home Builders Licensure Board or any subcontractor working on any residential project falling under the jurisdiction of the Alabama Home Builders Licensure Board. Further, nothing in this division shall apply to any person or entity that is granted an exemption from the licensing requirements under Chapter 14A of Title 34, except for subdivision (3) of Section 34-14A-6, or their subcontractors working on any residential project in Alabama. Notwithstanding any provision of this division, any person or entity licensed by the Alabama Home Builders Licensure Board or subcontractors that work on any commercial or industrial project shall be subject to the fee levied by this division.
(Act 2009-561, p. 1629, §6; §41-10-705 amended and renumbered by Act 2010-220, p. 365, §4.)
(a) The Legislature finds and declares the following:
(1) In recent years, withdrawals have been made from the Alabama Trust Fund and the General Fund Rainy Day Account of the Alabama Trust Fund for current budgetary purposes. The Constitution and laws of the State of Alabama require repayment of the withdrawals and the Legislature recognizes the need to restore those funds to their prescribed levels.
(2) It is desirable and in the public interest to establish a public corporation of the State of Alabama with the power to issue bonds for the purpose of making transfers to and deposits in the Alabama Trust Fund and the General Fund Rainy Day Account of the Alabama Trust Fund, to provide additional funds to the Alabama Medicaid Agency, and for paying the costs of transportation projects, and to appropriate and pledge a portion of the revenues to be received by the state from the settlement of certain claims against BP Exploration and Production, Inc., and its corporate affiliates, as the source of payment of the bonds.
(3) By the enactment of this article, it is the intention of the Legislature to:
a. Provide for the creation of a special fund known as the BP Settlement Fund into which BP settlement revenues will be deposited.
b. Authorize the incorporation of the Alabama Economic Settlement Authority, with the power to issue bonds as provided in this article for the purpose of providing funds to be transferred to and deposited in the Alabama Trust Fund and the General Fund Rainy Day Account of the Alabama Trust Fund, to provide additional funds to the Alabama Medicaid Agency, and for paying the costs of certain transportation projects, which bonds shall be payable out of the monies held in the BP Settlement Fund and any other monies and property available to the authority.
c. Appropriate annually the monies held in the BP Settlement Fund for the payment of such bonds.
(Act 2016-469, 1st Sp Sess., §1.)
When used in this article, the following terms shall have the following meanings, unless the context clearly indicates otherwise:
(1) ALABAMA TRUST FUND. The trust fund of the state created under Amendment 450, appearing as §219.02 of the Constitution of Alabama 2022, as amended.
(2) APPROPRIATED FUNDS. The BP settlement revenues deposited in the special fund to the extent such revenues are appropriated to the authority pursuant to Section 41-10-759.
(3) AUTHORITY. The Alabama Economic Settlement Authority authorized to be established pursuant to Section 41-10-752.
(4) BONDS. Those bonds, including refunding bonds, issued pursuant to this article.
(5) BP SETTLEMENT REVENUES. Revenues received by the state in settlement of economic damages claims of the state against BP Exploration and Production, Inc. and any of its corporate affiliates arising out of the Deepwater Horizon oil spill in the Gulf of Mexico. BP settlement revenues do not include amounts received by the state from or through natural resource damage assessment claims, the federal RESTORE Act, or claims otherwise restricted by federal law or court order.
(6) GOVERNMENT SECURITIES. Any bonds or other obligations, the principal of and interest on which constitute direct obligations of, or are unconditionally guaranteed by, the United States of America, including obligations of any federal agency to the extent such obligations are unconditionally guaranteed by the United States of America and any certificates or any other evidences of an ownership interest in such obligations of, or unconditionally guaranteed by, the United States of America or in specified portions thereof, which may consist of the principal thereof or the interest thereon.
(7) PERMITTED INVESTMENTS. a. Government Securities; b. bonds, debentures, notes, or other evidences of indebtedness issued by any of the following agencies: Bank for Cooperatives; federal intermediate credit banks; Federal Financing Bank; federal home loan banks; Federal Farm Credit Bank; Export-Import Bank of the United States; federal land banks; or Farmers Home Administration or any other agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States as an agency or instrumentality thereof; c. bonds, notes, pass through securities, or other evidences of indebtedness of the Government National Mortgage Association and participation certificates of the Federal Home Loan Mortgage Corporation; d.) full faith and credit obligations of any state, provided that at the time of purchase such obligations are rated at least “AA” by Standard & Poor’s Ratings Group and at least “Aa” by Moody’s Investors Service; e. public housing bonds issued by public agencies or municipalities and fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes, or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by contracts with the United States of America, or temporary notes, preliminary notes, or project notes issued by public agencies or municipalities, in each case fully secured as to the payment of both principal and interest by a requisition or payment agreement with the United States of America; f. time deposits evidenced by certificates of deposit issued by banks or savings and loan associations which are members of the Federal Deposit Insurance Corporation, provided that, to the extent such time deposits are not covered by federal deposit insurance, such time deposits, including interest thereon, are fully secured by a pledge of obligations described in paragraphs a., b., c., and e. above, which at all times have a market value not less than the amount of such bank time deposits required to be so secured and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Ratings Group for structured financings; g. repurchase agreements for obligations of the type specified in paragraphs a., b., c., and e. above, provided such repurchase agreements are fully collateralized and secured by such obligations which have a market value at least equal to the purchase price of such repurchase agreements which are held by a depository satisfactory to the State Treasurer in such manner as may be required to provide a perfected security interest in such obligations, and which meet the greater of 100 percent collateralization or the “AA” collateral levels established by Standard & Poor’s Ratings Group for structured financings; and h. uncollateralized investment agreements with, or certificates of deposit issued by, banks or bank holding companies, the senior long-term securities of which are rated at least “AA” by Standard & Poor’s Ratings Group and at least “Aa” by Moody’s Investors Service.
(8) RAINY DAY ACCOUNT. The General Fund Rainy Day Account of the Alabama Trust Fund created by Amendment 803, appearing as §260.02 of the Constitution of Alabama 2022, as amended.
(9) REFUNDING BONDS. Those refunding bonds issued pursuant to this article.
(10) SPECIAL FUND. The BP Settlement Fund established pursuant to Section 41-10-758.
(11) STATE. The State of Alabama.
(12) TRANSPORTATION PROJECTS. Any undertaking to construction a particular portion of a highway located in the Alabama Department of Transportation Districts 91 and 92 of the Southwest Region, including without limitation, any bridges necessary for the highway.
(Act 2016-469, 1st Sp Sess., §2.)
(a) To become a public corporation and instrumentality of the state with the powers herein provided, the Governor, the State Treasurer, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Secretary of Labor, and the Finance Director shall present to the Secretary of State of Alabama an application signed by them which shall set forth all of the following:
(1) The name, official designation, and official residence of each of the applicants, together with a certified copy of the commission evidencing each applicant’s right to office.
(2) The date on which each applicant was inducted into office and the term of office of each applicant.
(3) The name of the proposed public corporation, which shall be Alabama Economic Settlement Authority.
(4) The location of the principal office of the proposed corporation, which shall be in the City of Montgomery.
(5) Any other matter relating to the authority that the applicants may choose to insert and that is not inconsistent with this division or the laws of the state.
(b) The application shall be subscribed and sworn to by each of the applicants before an officer authorized by the laws of the state to take acknowledgments to deeds. The Secretary of State shall examine the application and, if he or she finds that it substantially complies with the requirements of this section, it shall be filed and recorded in an appropriate book of records in the Office of the Secretary of State.
(c) When the application has been made, filed, and recorded as provided in subsection (b), the applicants shall constitute a corporation under the name stated in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application. There shall be no fees paid to the Secretary of State in connection with the incorporation or dissolution of the authority.
(Act 2016-469, 1st Sp Sess., §3.)
The applicants named in the application and their respective successors in office shall constitute the members of the authority. The president, vice president, and secretary of the authority shall be elected by the members and shall serve for the terms and conditions as the members may establish. The State Treasurer shall act as custodian of the authority’s funds, and shall pay, out of appropriated funds and any other monies and property available to the authority, all debt service related to bonds of the authority and any other amounts required by this article to be paid out of the BP Settlement Fund. The members of the authority shall constitute all of the directors of the authority, and any four directors shall constitute a quorum for the transaction of business. Should any person holding any state office named in this section cease to hold the office by reason of death, resignation, expiration of the term of office, or for any other reason, then his or her successor in office shall take the place as an officer and member of the directors of the authority. No officer or director of the authority shall receive any salary in addition to that now authorized by law for any service rendered or for any duty performed in connection with the authority. All proceedings had and done by the directors shall be reduced to writing by the secretary of the authority, shall be signed by the president and vice president and at least one other director present at the proceedings, and shall be recorded in a substantially bound book and filed in the Office of the Secretary of State. Copies of the proceedings, when certified by the secretary of the authority, under the seal of the authority, shall be received in all courts as prima facie evidence of the matters and things therein certified.
(Act 2016-469, 1st Sp Sess., §4.)
The authority shall have, in addition to all other powers granted to it in this article, all of the following powers:
(1) To have succession by its corporate name until dissolved as herein provided.
(2) To institute and defend legal proceedings in any court of competent jurisdiction and proper venue; provided, however, that the authority may not be sued in any nisi prius court other than the courts of the county in which is located the principal office of the authority; and provided further that the officers, directors, agents, and employees of the authority may not be sued for actions on behalf of the authority in any nisi prius court other than the courts of the county in which is located the principal office of the authority.
(3) To have and to use a corporate seal and to alter the seal at pleasure.
(4) To establish a fiscal year.
(5) To adopt, and from time to time, amend and repeal, bylaws, rules, and regulations not inconsistent with this article, to carry out and to effect the powers and purposes of the authority in the conduct of its business.
(6) To sell and issue bonds as provided in this article for the purpose of providing funds to be transferred to and deposited in the Alabama Trust Fund and the Rainy Day Account, to provide additional funds to the Alabama Medicaid Agency, or to pay the costs of transportation projects.
(7) To sell and issue refunding bonds, subject to the terms and conditions of this article.
(8) To receive and deposit the BP settlement revenues into the special fund, to invest such BP settlement revenues in the manner provided in this article, to apply such revenues to payment of bonds issued by the authority in the manner provided in this article, and to other authorized uses, and to cause the net proceeds from the sale of the bonds of the authority to be transferred to and deposited in the Alabama Trust Fund and the Rainy Day Account, to provide additional funds to the Alabama Medicaid Agency, and to be used to pay the costs of transportation projects.
(9) To execute and deliver mortgages, security agreements and trust indentures, and other forms of agreements for the purpose of securing the authority’s bonds and in connection therewith, to mortgage, pledge, or assign the appropriated funds and other monies and property available to the authority.
(10) As security for the payment of the authority’s bonds, to pledge the appropriated funds and any other monies and property available to the authority.
(11) To arrange for various forms of security or credit enhancement for the authority’s bonds, including letters of credit, guaranties, policies of insurance, surety bonds, and similar instruments.
(12) To accept gifts, grants, loans, appropriations, and other forms of aid from the federal government, the state or any state agency, or any political subdivision of the state, or any person, corporation, foundation, or legal entity, and to agree to and comply with any conditions attached to federal and state financial assistance not inconsistent with this article.
(13) Any provision of law to the contrary notwithstanding, the authority shall have vested in it all powers necessary to fulfill its fiduciary duty, including the power to sue and be sued, complain and defend its own name; provided; however, that as an instrumentality of the state, the authority, its officers, and employees shall be entitled to sovereign immunity to the same extent as the state, its agencies, officers, and employees, subject to Section 36-1-12.
(14) To establish accounts in one or more depositories.
(15) To appoint, employ, contract with, and provide for the compensation of employees and agents, including engineers, attorneys, contractors, consultants, accountants, fiscal advisors, trustees, paying agents, investment bankers, and underwriters as the directors deem necessary or desirable for the conduct of the business of the authority.
(16) To make, enter into, and execute financing agreements and other contracts, agreements, or other instruments, and to take other actions as may be necessary or convenient to accomplish any purpose for which the authority was organized or to exercise any power granted to it.
(17) To sell, exchange, and convey any or all real or personal property belonging to the authority whenever its directors shall find any such action to be in furtherance of the purposes for which the authority was organized.
(18) To acquire, hold, and dispose of real and personal property.
(19) To sell, assign, or otherwise convey to another person or entity, for such consideration as the directors of the authority shall determine, the authority’s right to receive and collect the appropriated revenues or any portion thereof that have not been previously pledged as security for the bonds, and to use the proceeds from such sale, assignment, or other conveyance for deposits into the Alabama Trust Fund or the Rainy Day Account, to provide additional funds to the Alabama Medicaid Agency, or for transportation projects.
(20) To exercise any power granted by the laws of the state to public or private corporations that are not in conflict with the public purpose of this article.
(21) To adopt and promulgate administrative rules necessary or appropriate to effectuate its purposes and to administer the programs herein authorized.
(Act 2016-469, 1st Sp Sess., §5.)
(a) General. The authority is authorized from time to time to sell and issue its bonds for the purpose of providing funds to be transferred to and deposited in the Alabama Trust Fund and the Rainy Day Account, to provide additional funds to the Alabama Medicaid Agency, for paying the costs of transportation projects, and for the purpose of refunding any or all of the authority’s outstanding bonds.
(b) Sources of payment. Bonds issued by the authority shall be solely and exclusively an obligation of the authority and shall not create an obligation or debt of the state. Such bonds shall not be general obligations of the authority but shall be payable solely from one or more of the following sources:
(1) Appropriated funds.
(2) The income or proceeds realized by the authority under any mortgage or security granted to the authority.
(3) Amounts derived from any letter of credit, insurance policy, or other form of credit enhancement applicable to the bonds.
(4) Any reserve or other fund established for such purpose by the authority.
(5) Any earnings on the proceeds of bonds invested by the authority pending their disbursement.
(6) Any other revenues that may hereafter be available to the authority.
Unless otherwise provided in the resolution of the directors of the authority authorizing the issuance of the bonds, all pledges of appropriated funds made by the authority shall be on a parity so that all bonds of the authority secured by a pledge of appropriated funds shall be equally and ratably so secured without regard to time of issuance. Bonds issued by the authority shall be construed to be negotiable instruments, although payable solely from a specified source, as provided herein.
(c) Security for the bonds. The principal of and interest on any bonds issued by the authority shall be secured by a pledge of the appropriated funds or other monies and property available to the authority and may be secured by a trust indenture evidencing such pledge or by a foreclosable mortgage and deed of trust conveying as security for such bonds all, or any part, of the authority’s property. The resolution under which the bonds are authorized to be issued or any such trust indenture or mortgage may contain any agreements and provisions respecting the rights, duties, and remedies of the parties to any such instrument and the parties for the benefit for whom such instrument is made and the rights and remedies available in the event of default as the authority shall deem advisable and which are not in conflict with the provisions of this article.
(d) General provisions respecting form, sale, and execution of the bonds. All bonds issued by the authority shall be signed by its president or vice president and attested by its secretary and the seal of the authority shall be affixed thereon. A facsimile of the signature of one or both of the officers may be printed or otherwise reproduced on any such bonds in lieu of being manually subscribed thereon and a facsimile of the seal of the authority may be printed or otherwise reproduced on any of the bonds in lieu of being manually affixed thereto. Any bonds of the authority may be executed and delivered by it at any time and from time to time, and shall be in the form and denominations and of such tenor and maturities, shall bear such rate or rates of interest, shall be payable at such times and evidenced in such manner, may be made subject to redemption at the option of the authority at such times and after such notice and on such conditions and at such redemption price or prices, and may contain such other provisions not inconsistent herewith, all as may be provided by the resolution of the directors of the authority under which the bonds are authorized to be issued. Bonds of the authority may be sold, in the discretion of the authority, either (1) at public sale or sales, based on sealed bids received either electronically or on paper, after advertisement as may be prescribed by the authority, to the bidder whose bid reflects the lowest true interest cost to the authority computed to the respective maturities of the bonds sold; provided, however, that if no bid deemed acceptable by the authority is received, all bids may be rejected and the bonds offered again for public sale in accordance with the terms herein prescribed; or (2) by negotiated sale. Such bonds may be issued in the form of current interest bonds, capital appreciation bonds, or convertible capital appreciation bonds and may be issued as serial bonds or term bonds, all as may be directed by the authority.
(e) Other matters. Any bonds of the authority may be used by the holder as security for any funds belonging to the state, or to any political subdivision, instrumentality, or agency of the state, in any instance where security for the deposits may be required by law. Unless otherwise directed by the court having jurisdiction, or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds and bonds of the authority. Bonds of the authority shall be legal investments for funds of the Teachers’ Retirement System of Alabama, the Employees’ Retirement System of Alabama, and the State Insurance Fund.
(Act 2016-469, 1st Sp Sess., §6.)
(a) Any bonds issued by the authority may from time to time be refunded by the issuance, sale, or exchange of refunding bonds for the purpose of paying the following items:
(1) All or any part of the principal of the bonds to be refunded.
(2) Any redemption premium required to be paid as a condition to the redemption prior to maturity of any such bonds that are to be so redeemed in connection with such refunding.
(3) Any accrued and unpaid interest on the bonds to be refunded.
(4) Any interest to accrue on each bond to be refunded to the date on which it is to be paid, whether at maturity or by redemption prior to maturity.
(5) The expenses incurred in connection with the refunding.
(b) Refunding bonds of the authority may be sold, in the discretion of the authority, either (1) at public sale or sales, based on sealed bids received either electronically or on paper, after advertisement as may be prescribed by the authority, to the bidder whose bid reflects the lowest true interest cost to the authority computed to the respective maturities of the bonds sold; provided, however, that if no bid deemed acceptable by the authority is received, all bids may be rejected and the bonds offered again for public sale in accordance with the terms herein prescribed; or (2) by negotiated sale, or may be exchanged for the bonds to be refunded. Any such refunding bonds may be executed and delivered by the authority at any time and, from time to time, shall be in such form and denomination or denominations and of such tenor and maturity or maturities, shall contain such provisions not inconsistent with the provisions of this article, and shall bear such rate or rates of interest, payable at such place or places, either within or without the state, and evidenced in such manner, as may be provided by resolution of the authority.
(Act 2016-469, 1st Sp Sess., §7.)
(a) The authority is authorized and empowered to apply the proceeds of any bonds and any other funds belonging to the authority for any of the following purposes or uses:
(1) For the purposes for which the bonds were authorized to be issued, in the following order:
a. To repay the General Fund Rainy Day Account for the $161,565,874 transferred to the State General Fund in fiscal year 2010 pursuant to Amendment 803 to the Constitution of Alabama of 2022.
b. To repay a total of $238,434,126 to the Alabama Trust Fund for amounts transferred to the State General Fund in fiscal years 2013, 2014, and 2015 pursuant to Section 4 of Amendment 856 to the Constitution of Alabama of 2022.
c. To provide one hundred twenty million dollars ($120,000,000) to the Alabama Medicaid Agency to be distributed fifteen million dollars ($15,000,000) in fiscal year 2017 and one hundred five million dollars ($105,000,000) in fiscal year 2018. The Alabama Medicaid Agency shall use these additional funds and other administrative mechanisms to restore physician reimbursements that were reduced on August 1, 2016. Further, the Alabama Medicaid Agency shall ensure that not less than four million dollars ($4,000,000) is allocated for federal matching funds to provide outpatient dialysis care.
d. The remaining proceeds, not to exceed one hundred twenty million dollars ($120,000,000), to supplement existing allocated revenues or any planned revenues, whether federal, state, or local for transportation projects to be distributed sixty-five million dollars ($65,000,000) to the Alabama Department of Transportation District 91 of the Southwest Region for Highway 98/Highway 158 from the Mississippi state line to Interstate 65 and fifty-five million dollars ($55,000,000) to the Alabama Department of Transportation District 92 of the Southwest Region.
e. Any proceeds remaining after paragraphs a., b., c., and d. shall be used to repay the Alabama Trust Fund for amounts transferred to the State General Fund in fiscal years 2013, 2014, and 2015 pursuant to Section 4 of Amendment 856 to the Constitution of Alabama 2022. The proceeds allocated pursuant to this paragraph shall be in addition to the payment provided in paragraph b. above.
(2) To fund any reserve fund established in connection with an authorized issue if the authority deems the establishment of such reserve fund to be necessary and desirable.
(3) To pay for the cost of obtaining credit enhancement for the bonds.
(4) To pay capitalized interest on the bonds.
(5) To pay the costs of issuing the bonds.
(6) If refunding bonds are issued pursuant to this article, to pay debt service on, and the redemption price of, any bonds to be refunded.
(b) Pending the application of the proceeds of bonds of the authority to the purpose or purposes for which the bonds were issued, the proceeds and any monies held in funds created as security for the bonds may be invested by the authority in permitted investments, as the authority shall deem advisable.
(c) Any and all revenues, receipts, investment earnings, and other funds paid to, or otherwise coming into the possession of the authority shall be held, deposited, administered, invested, and applied as provided in the resolution of the directors authorizing the issuance of the bonds and as provided in any trust indenture or other agreement delivered in connection therewith, or otherwise as the authority may direct, consistent with the resolution, trust indenture, or other agreement and this article.
(Act 2016-469, 1st Sp Sess., §8.)
For the benefit of the State of Alabama and the citizens thereof, there is hereby created a special fund named the BP Settlement Fund which shall be funded with BP settlement revenues and administered in accordance with this article. All BP settlement revenues received after September 30, 2017, shall be deposited in the special fund upon receipt and shall be used first to pay principal, interest, and premium, if any, and any other amounts due on or with respect to the bonds of the authority. Any BP settlement revenues determined by the directors of the authority to be in excess of the amounts needed for the payment of all amounts due with respect to the bonds, may be withdrawn from the special fund and used to pay costs and expenses incident to the issuance of the bonds, including costs and expenses incurred by the Department of Finance in the administration of the bonds, may be transferred to and deposited in the Alabama Trust Fund or the General Fund Rainy Day Account, to provide additional funds to the Alabama Medicaid Agency, or may be applied to pay the costs of transportation projects.
Pending the use of revenues in the special fund for the payment of debt service on the bonds, such revenues shall be invested by the State Treasurer in permitted investments until such revenues are needed for such purposes. Earnings on such permitted investments shall remain a part of the special fund.
(Act 2016-469, 1st Sp Sess., §9.)
There is hereby irrevocably pledged and appropriated such amounts of the BP settlement revenues retained in the special fund, and earnings thereon, as shall be necessary to pay the principal, interest, and premium, if any, on the authority’s bonds, to redeem such bonds prior to maturity if called for redemption by the authority, and to pay the principal of, the interest, and premium, if any, on any refunding bonds issued to refund such bonds.
(Act 2016-469, 1st Sp Sess., §10.)
(a) Upon the adoption by the directors of any resolution providing for the issuance of bonds, the authority may cause to be published once a week for two consecutive weeks, in newspapers published or having a general circulation in the Cities of Birmingham, Montgomery, Huntsville, and Mobile, a notice in substantially the following form, at the end of which shall be printed the name and title of either the president or the secretary of the authority:
“Alabama Economic Settlement Authority, a public corporation under the laws of the State of Alabama, on the ____ day of _, authorized the issuance of $ principal amount of bonds for purposes authorized in Article 19, Chapter 10 of Title 41 of the Code of Alabama 1975. The proceeds from the sale of the bonds are proposed to be used to __________. Any action or proceeding questioning the validity of the bonds, the security thereof, the use of the proceeds thereof, or the proceedings authorizing the bonds, shall be commenced within 30 days after the first publication of this notice.”
(b) Any action or proceeding in any court to set aside or question the proceedings for the issuance of the bonds referred to in the notice or to contest the validity of any bonds or the validity of security therefor, or the validity of the proposed use of the proceeds thereof must be commenced within 30 days after the first publication of the notice. After the expiration of the period, no right of action or defense questioning or attacking the foregoing shall be asserted, nor shall the validity of the proceeding, bonds, security, or use of proceeds be open to question in any court on any ground whatsoever except in an action commenced within the period.
(Act 2016-469, 1st Sp Sess., §11.)
The income and property of the authority, all bonds of the authority and the interest paid on any such bonds, all conveyances by or to the authority, and all instruments by and to the authority shall be exempt from all taxation in the state. The authority shall also be exempt from all license and excise taxes imposed in respect of the privilege of engaging in any of the activities in which the authority may engage. The authority shall not be obligated to pay or allow any fees, taxes, or costs in the recording of any document to the judge of probate of any county.
(Act 2016-469, 1st Sp Sess., §12.)
Except as may be expressly provided in this article, no proceeding, notice, or approval shall be required for the issuance of any bonds by the authority, the execution of any mortgage and deed of trust, trust indenture, or other document, or the exercise of any other of the powers of the authority.
(Act 2016-469, 1st Sp Sess., §13.)
Articles 2 and 3 of Chapter 16, Title 41, and other similar laws shall not apply to the authority, its directors, or any of its officers, agents, or employees in their capacities as such.
(Act 2016-469, 1st Sp Sess., §14.)
At any time when no bonds of the authority are outstanding, the authority may be dissolved upon the filing with the Secretary of State of an application for dissolution, which shall be subscribed by each of the directors of the authority and sworn to by each director before an officer authorized to take acknowledgments to deeds. Upon the filing of the application for dissolution, the authority shall cease to exist. The Secretary of State shall file and record the application for dissolution in an appropriate book of record in his or her office, and shall make and issue, under the Great Seal of the State, a certificate that the authority is dissolved, and shall record the certificate with the application for dissolution. Title to all property held in the name of the authority shall be vested in the state upon dissolution of the authority.
(Act 2016-469, 1st Sp Sess., §15.)
In connection with the sale of its bonds, the authority shall, to the extent practical, utilize businesses and companies that reflect the racial and ethnic diversity of the state.
(Act 2016-469, 1st Sp Sess., §16.)
The authority shall utilize all administrative services which may be provided by the state Department of Finance.
(Act 2016-469, 1st Sp Sess., §17.)
Bonds issued by the authority are hereby made a legal investment for savings banks and insurance companies organized under the laws of the state and for trustees, executors, administrators, guardians, persons or organizations acting in a fiduciary capacity, unless otherwise directed by a court having jurisdiction or by a document providing fiduciary authority. Any governmental entity or public corporation is authorized, in its discretion, to invest any available funds in the bonds of the authority.
(Act 2016-469, 1st Sp Sess., §18.)
It is the intent of the Legislature that payments allocated in Section 41-10-757 to the Alabama Trust Fund for the purpose of repaying amounts transferred to the State General Fund pursuant to Section 4 of Amendment 856 to the Constitution of Alabama of 2022 shall be in lieu of the fiscal year 2017 State General Fund appropriation of $20,000,000 to the Alabama Trust Fund Board for the same purpose as provided in Act 2016-116 and that such $20,000,000 be used instead to release a portion of the conditional appropriation to the Medicaid Agency contained in Act 2016-116.
(Act 2016-469, 1st Sp Sess., §19.)
This article and Section 18 of Act 2015-540, as amended by Act 2016-469 shall be liberally construed to effect its purpose.
(Act 2016-469, 1st Sp Sess., §22.)
The Legislature finds and declares all of the following:
(1) On July 16, 2020, the Governor issued Executive Order No. 720, establishing the Alabama Innovation Commission to “identify policies that will promote entrepreneurship, innovation, and related opportunities in the State of Alabama.”
(2) The commission has issued an interim report outlining initial policy recommendations, including all of the following:
a. To develop a statewide innovation coordination and incentive structure to generate additional, successful business growth.
b. To develop an Alabama branding campaign to evolve the state into an emerging destination place.
c. To develop a program offering matching funds to recipients of federal Small Business Innovation Research and Small Business Technology Transfer Research grants.
(3) This article creates the structure recommended in paragraph (2)a., to implement the recommendations listed in paragraphs (2)b. and (2)c.
(4) Recognizing that this state’s economy is rapidly changing, this article should be interpreted and applied to allow the corporation to respond rapidly, as its board deems appropriate, to challenges and opportunities in the fields of technology, research and development, innovation, and entrepreneurship.
(5) The corporation is charged with preparing this state for the economy of the future. The corporation shall make this state a hub for technology, research and development, innovation, and entrepreneurship by partnering with the private sector, state agencies, and state policy makers to develop and implement programs and policies to lead to a more robust, diverse, and resilient economy for this state.
(Act 2021-455, §1.)
For the purposes of this article, the following terms have the following meanings:
(1) ASPIRING ALABAMIAN. A person who has less than one hundred thousand dollars ($100,000) of household net worth and who satisfies at least one of the following criteria:
a. The person has a principal residence in a community eligible for investment through the federal New Markets Tax Credit program under 26 U.S.C. § 45D(e)(1) as those communities were identified as of January 1, 2015, or in such a community identified thereafter.
b. The person owns at least a majority interest in a business located in a community eligible for investment through the federal New Markets Tax Credit program under 26 U.S.C. § 45D(e)(1) as those communities were identified as of January 1, 2015, or in such a community identified thereafter.
c. The person does not hold, and is not actively pursuing, a baccalaureate degree or does not have a parent or legal guardian who holds a baccalaureate degree.
d. The person has at least one parent who does not have a high school diploma or its equivalent.
(2) BOARD. The governing board of the corporation.
(3) CORPORATION. The Alabama Innovation Corporation created by this article as an authority organized as a public corporation having a legal existence separate and apart from the state and any county, municipality, or political subdivision.
(4) ECONOMIC DEVELOPMENT AND INNOVATION ENTITY.
a. A nonprofit corporation that possesses all of the following characteristics:
Is organized as a nonprofit corporation exempt from federal income tax under 26 U.S.C. § 501(c).
Has a record of, or can demonstrate that it is capable of, serving the entire state on matters involving economic development.
Has a record of, or can demonstrate that it is capable of, managing startup competitions or related programming designed to foster an innovation-based economy.
Has received, or is eligible to receive, grant funding from the state or from federal or private sources.
b. In determining whether a nonprofit corporation qualifies as an economic development and innovation entity, the board may attribute to the nonprofit corporation the experiences of its officers, staff, and directors with other nonprofit corporations.
(5) ELIGIBLE INVESTMENTS. All of the following:
a. Demand deposits (interest bearing) in federally insured banks, and interest bearing deposits, whether or not evidenced by certificates of deposits, in federally insured banks; provided, however, that the deposits plus interest shall be fully secured by obligations described in paragraphs b. and c., to the extent that the deposits plus interest exceed insurance available from the Federal Deposit Insurance Corporation, or from any agency of the United States of America that may succeed to the functions of the Federal Deposit Insurance Corporation.
b. Bonds, notes, and other evidences of indebtedness that are direct obligations of the United States of America or that are unconditionally guaranteed as to both principal and interest by the United States of America.
c. Bonds, debentures, notes, or other evidences of indebtedness issued or guaranteed by any federal agencies or government sponsored enterprises authorized to issue their own debt instruments including, without limitation, to any of the following: Federal Farm Credit Bank, Federal Intermediate Credit Banks, the Export-Import Bank of the United States, Federal Land Banks, the Federal National Mortgage Association, the Governmental National Mortgage Association, the Federal Financing Bank, Federal Banks for Cooperatives, Federal Home Loan Banks, Federal Home and Loan Mortgage Association, or the Farmers Home Administration.
d. Repurchase agreements with federally insured banks or with government bond dealers reporting to and trading with the Federal Reserve Bank of New York, provided that the repurchase agreements are secured by obligations described in paragraphs b. and c.
e. Interest-bearing time deposits, whether or not evidenced by certificates of deposit, in savings and loan associations: (i) the deposits of which are insured to the maximum extent possible by the Federal Savings and Loan Insurance Corporation or any agency of the United States of America that may succeed to its functions; and (ii) the principal office of which is located in the state. The deposits plus interest shall be secured by obligations described in paragraphs b. and c., to the extent that the deposits plus interest exceed insurance available from the Federal Savings and Loan Insurance Corporation or from any agency of the United States of America that may succeed to the functions of the Federal Savings and Loan Insurance Corporation.
f. Other legal investments that the corporation determines will have the effect of growing an innovative economy.
(6) FUND. The Alabama Innovation Fund.
(7) SMALL BUSINESS INNOVATION RESEARCH. The grants and programs defined in 15 U.S.C. § 638(e)(4).
(8) SMALL BUSINESS TECHNOLOGY TRANSFER RESEARCH. The grants and programs defined in 15 U.S.C. § 638(e)(6).
(9) STEM. Science, technology, engineering, and mathematics.
(Act 2021-455, §1; Act 2024-441, §1.)
(a) The Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate shall present to the Secretary of State an application, signed by each of them, for the formation of the Alabama Innovation Corporation, which may also be known as Innovate Alabama, as a public corporation, having a legal existence separate and apart from the state and any county, municipality, or political subdivision, which shall set forth all of the following:
(1) The name, official designation, and official office location of each of the applicants, together with a certified copy of the commission evidencing each applicant’s right to office.
(2) The date on which each applicant was sworn into office and the term of office of each applicant.
(3) The name of the proposed public corporation, which shall be the Alabama Innovation Corporation, also known as Innovate Alabama .
(4) The location of the principal office of the proposed corporation.
(5) Any other matter relating to the corporation that the applicants may choose to insert and that is not inconsistent with this article or state law.
(b) The application shall be subscribed and sworn to by each applicant before an officer authorized by the laws of the state to take acknowledgments to deeds. The Secretary of State shall examine the application, and, if he or she finds that the application substantially complies with the requirements of this section, the application shall be filed and recorded in an appropriate book of records in the office of the Secretary of State.
(c) When the application has been made, filed, and recorded as provided in subsection (b), the applicants shall constitute a public corporation under the name stated in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the State, and shall record the certificate with the application. There shall be no fees paid to the Secretary of State in connection with the corporation.
(d) Notwithstanding any provision of law to the contrary, any corporation incorporated pursuant to this section shall not be deemed to be a part of the state for any purpose but shall be treated as a public corporation and body politic separate and apart from the state.
(Act 2021-455, §1; Act 2023-33, §1.)
(a) The corporation shall be under the management and control of a board of directors, and all powers necessary or appropriate for the management and control of the corporation shall be vested solely in the board. The board shall be comprised of both ex officio directors and at-large directors, all of whom shall be voting members of the board and shall be considered in determining whether a quorum is present.
(b) The board shall have five ex officio directors, consisting of the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, and the House and Senate minority caucus leaders, or their designees. The service of each ex officio director shall begin and end concurrently with the beginning and end of his or her tenure in office or service as a minority caucus leader, respectively. Each ex officio director may appoint an individual to serve in his or her place at any meeting of the board, or may designate an individual to serve in his or her place at all meetings of the board until the term of the ex officio director should end, and the appointee or designee shall be counted for purposes of a quorum and voting.
(c) The Governor shall select six at-large directors, who shall be individuals with experience relevant to the purposes and activities of the corporation including, but not limited to, experience with any of the following:
(1) Participating on boards of, or being employed by, nonprofit corporations that promote business or economic development throughout the state.
(2) Having other experience relevant to entrepreneurship and innovation including, but not limited to, any of the following:
a. Making more than one investment in seed or pre-seed stage startup companies or managing, or making investments in, one or more seed stage funds or venture capital funds.
b. Founding, or working as an executive in, a science or technology based business.
c. Founding, or working as an executive in, a business that acquired or commercialized intellectual property from a university or other research institution.
d. Founding, or working as an executive in, a business that regularly interacts with persons or businesses described in paragraphs a., b., or c.
(3)a. In making appointments of at-large directors, the Governor shall coordinate his or her appointments to assure the board membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. The term of each at-large director shall begin upon written acceptance of his or her appointment and shall end on December 31.
b. For the six at-large directors serving on October 1, 2025, the Governor shall designate that the terms of two shall expire on December 31, 2025; the terms of two shall be extended by one year so that their terms shall expire on December 31, 2026; and the terms of two shall be extended by two years so that their terms shall expire on December 31, 2027. Thereafter, successor at-large directors appointed by the Governor shall serve for terms of two years.
c. Each at-large director, regardless of whether a prior Governor selected him or her, shall continue to serve until the director is reappointed, or a successor is appointed, to the office. An at-large director appointed by the Governor may only serve a maximum of two consecutive terms of office, but may be reappointed after he or she has spent at least two years without serving as an at-large director. At-large directors may resign or may be removed by the Governor at any time and for any reason, at which time the Governor shall appoint a different individual to serve, so long as that individual satisfies the requirements set forth in this section. An individual appointed to fill a vacancy shall serve out the remainder of the unexpired term and may be appointed to serve two additional consecutive terms.
(d) No director shall receive compensation because of his or her service as a director. Each director shall be reimbursed for actual travel expenses incurred in the performance of his or her duties as a director.
(e) Notwithstanding subsections (a) through (d), upon the incorporation of the corporation, the Governor shall select as one of the initial at-large directors the individual serving in the leadership of the Alabama Innovation Commission as of January 1, 2021. As long as that individual is serving on the board, he or she shall be the chair and presiding officer of the board. The individual shall serve on the board for a term ending on the date of the second year following his or her appointment as an at-large director and may be reappointed for additional consecutive two-year terms as an at-large director. At the time that the individual resigns, is removed, or otherwise no longer serves as chair, the position shall be subject to the appointment provisions for at-large directors provided by this section and, thereafter, the Governor shall appoint any member of the board to be the chair of the board.
(f) Notwithstanding Chapter 25A of Title 36, a majority of the directors shall constitute a quorum for the transaction of business by the board, and decisions shall be made on the basis of a majority of the quorum then present and voting. No vacancy in the membership of the board or the voluntary disqualification or abstention of any director shall impair the right of a quorum to exercise all of the powers and duties of the board. Members of the board may participate in meetings of the board in person or by means of telephone conference, video conference, or other similar communications equipment so that all individuals participating in the meeting may hear each other at the same time. Participation by any such means shall constitute presence in person at a meeting for all purposes, including for purposes of establishing a quorum.
(g) The board may appoint other officers to perform duties not inconsistent with this article or applicable law, as the board deems necessary or appropriate.
(h) In addition to regular meetings of the board, as may be provided by law or by bylaws adopted by the board, special meetings of the board may be called by the chair acting alone or by any three other directors acting in concert, in each case upon notice to each director given in person, by email, by registered letter, or by other means. Notice to each director may be waived upon the unanimous written consent of all directors, either before or after the meeting with respect to which the notice would otherwise be required.
(i) All proceedings of the board, except executive sessions, shall be reduced to writing on behalf of the board and maintained in the permanent records of the corporation, a copy of which shall be filed in the principal office of the corporation and shall be open for public inspection during regular business hours. The principal office of the corporation shall be the principal office of the director of finance.
(Act 2021-455, §1; Act 2025-356, §1.)
(a) The board shall have all of the powers necessary to carry out and effectuate the purposes of this article. The foregoing sentence shall be construed broadly, so that the failure to state a power of the board shall not be considered a limitation upon the board, so long as the board shall find that the power is necessary to allow the board to fulfill the purpose of the corporation, as provided by this article. In the event that the board should determine to add one or more powers, they may do so by amending their application of formation. Without limiting the generality of the foregoing, the board shall have and exercise all of the following powers:
(1) Recognize that the economy of today will not exist tomorrow and implement policies that help this state, and residents of this state, embrace that future.
(2) Take actions to make this state a hub for technology, innovation, and entrepreneurship by partnering with the private sector, state agencies, and state policy makers to develop and implement programs and policies that will lead to a more robust and inclusive economy for this state.
(3) Support, financially and otherwise, the establishment or growth, or both, of all of the following:
a. Marketing and branding the state including, but not limited to, the state’s business climate, the state’s tax rates and structures, the state’s innovation-focused incentives and abatements, the state’s business related programs, and the state’s innovation and entrepreneurial ecosystems.
b. Pursuing and supporting commercialization, entrepreneurship, research and development, and technology transfer facilities, funding, incentives, partnerships, events and programs, including, but not limited to, all of the following:
Creating, operating, and supporting accelerator or similar programs, including, but not limited to, university and corporate focused accelerator or similar programs.
Developing programming, incubators, and accelerators that serve this state’s startups and their founders, and disseminating both in person and online.
Creating, operating, and supporting industry focused research and development centers established by public universities in collaboration with existing industry in Alabama.
c. Incentivizing and providing funding to innovative businesses or programs that support innovation in this state’s economy, including, but not limited to, the following:
Assisting recipients of Small Business Innovation Research and Small Business Technology Transfer Research funding.
Encouraging pre-seed, seed, venture capital, and private equity funding activity in this state.
Supporting community development financial institutions that serve residents of this state.
Supporting qualified STEM teachers and technology staff teaching and working in rural or otherwise under-performing or under-resourced schools in this state.
d. Engaging in rural initiatives that support innovation, including, but not limited to, the creation, operation, and support of entrepreneurial centers, and marketing rural quality of life and recreational opportunities.
e. Creating, operating, and supporting research and development of a 21st-Century transportation system that reflects emerging technologies and multi-modal concepts.
f. Attracting, recruiting, and retaining skilled workers, STEM workers, and other in-state and out-of-state two-year and four-year college, university, and community college graduates, and engaging in other innovation focused workforce development activities.
g. Supporting businesses owned or led, or both, by aspiring Alabamians.
h. Supporting businesses headquartered in census tracts that satisfy the definition of low-income communities found in 26 U.S.C. § 45D(e) as those communities were identified as of January 1, 2015, or in such a community identified thereafter.
(4) Adopt, alter, and repeal bylaws for the regulation and conduct of the corporation’s affairs and business, and for the implementation of this article.
(5) Take actions as may be necessary or convenient to accomplish any purpose of the corporation, or to exercise any power of the corporation.
(6) Make and enter into contracts, leases, and agreements, and take other actions as in its judgment may be necessary or desirable to accomplish any purpose, and to exercise any power necessary for the accomplishment of the purposes of the corporation or incidental to the powers expressly set forth in this article.
(7) Appoint, employ, and contract with employees, agents, advisors, consultants, and service providers, including, but not limited to, attorneys, accountants, financial experts, and other advisors, consultants, and agents as in its judgment may be necessary or desirable to accomplish any purpose of the corporation or incidental to the powers expressly set forth in this article, and to fix the compensation of those persons.
(8) Manage, invest, and expend capital from the fund, as provided in Section 41-10-806, and to provide for the indemnification of directors.
(9) Use the financial resources of the corporation to purchase, lease, or otherwise acquire real and personal property, and to use, develop, operate, lease, or convey those properties, as in its judgment may be necessary or desirable to accomplish any purpose of the corporation or incidental to the powers expressly set forth in this article.
(10) Lend its credit to, or grant public monies and things of value in aid of or to, any individual, firm, corporation, or other business entity, public or private, as in its judgment may be necessary or desirable to accomplish any purpose of the corporation or incidental to the powers expressly set forth in this article.
(11) Promote and solicit taxpayer donations for tax credits that promote innovation in the state.
(12) Take any action necessary to exercise its rights or fulfill its obligations relevant to the corporation under state law.
(b) The board shall create an advisory committee which shall provide information and make recommendations to the board concerning the implementation of this article. The advisory committee shall have no legal authority or other responsibility over the actions of the corporation. The board shall coordinate its appointments to assure the advisory committee membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. The members of the advisory committee shall serve at the pleasure of the board. The board shall appoint one member of the advisory committee to serve as the chair of the advisory committee, and meetings of the advisory committee may be called by its chair or by the board. Members of the advisory committee may participate in a meeting of the committee in person, by means of telephone conference, video conference, or other similar communications equipment so that all individuals participating in the meeting may hear each other at the same time. Participation by any such means shall constitute presence in person at a meeting for all purposes, including for purposes of establishing a quorum, and the affirmative vote of a majority of the members in attendance shall be necessary for any action of the advisory committee. The committee and its members shall not be subject to Chapter 25 or 25A of Title 36 nor Section 36-12-40.
(c) The board may enter into agreements with one or more economic development and innovation entities to exercise all powers of the corporation, if the agreement does both of the following:
(1) Requires regular reporting to the corporation by the economic development and innovation entity.
(2) Allows for the overhead costs of the economic development and innovation entity to be reimbursed or otherwise paid only if directly related to the fulfillment of the agreement, as determined by the corporation.
(d)(1) The board may make, enter into, and execute contracts, agreements, and other instruments with, accept aid and grants from, and cooperate with, any other person or entity, including, but not limited to, all of the following:
a. The United States of America, the state, or any agency, instrumentality, or political subdivision of either.
b. For-profit or nonprofit private entities.
c. Public bodies, departments, or authorities, including, but not limited to, the executive departments of the state, to act on behalf of the board in carrying out functions which the board determines are consistent with the corporation’s powers.
(2) Without limiting the foregoing, the corporation may enter into an agreement with the Alabama Department of Economic and Community Affairs pursuant to which the corporation may exercise all rights, powers, and obligations of the department relating to opportunity funds under Sections 40-18-6.1 and 41-10-46.01. Project agreements under Section 40-18-6.1, shall not be required to comply with Section 40-18-6.1(c). Project agreements under Sections 40-18-6.1 and 41-10-46.01 include investments in qualified opportunity zones as defined in 26 U.S.C. § 1400Z-1 and low-income communities as defined in 26 U.S.C. § 45D(e) as those communities were identified as of January 1, 2015, or in such a community identified thereafter.
(e) The corporation shall be, and shall operate as, a public corporation and shall have a legal existence separate and apart from the state and any county, municipality, or political subdivision.
(f) Members of the board shall be subject to Chapter 25 of Title 36, but the corporation shall not be deemed to have statewide jurisdiction for purposes of Section 36-25-14. For the purposes of Chapter 25 of Title 36, the corporation shall not be deemed a business, and a public official or public employee holding a position with the corporation is not precluded from taking official actions affecting the corporation so long as there is no impermissible personal gain. The board shall be subject to Chapter 25A of Title 36.
(Act 2021-455, §1; Act 2024-441, §1.)
The board may enter into contracts, leases, agreements, investments, and may otherwise expend monies without compliance with Article 5, commencing with Section 41-4-110, of Chapter 4 of Title 41 and Chapter 2 of Title 39. Solely as a result of entering into contracts, leases, agreements, investments, or otherwise, no for-profit or nonprofit private entity, nor the officers, employees, agents, or directors of any of the foregoing, shall become subject to Chapter 25 or Chapter 25A of Title 36; Article 5, commencing with Section 41-4-110, of Chapter 4 of Title 41; Chapter 2 of Title 39; or Article 3, commencing with Section 36-12-40, of Chapter 12 of Title 36 .
(Act 2021-455, §1; Act 2023-33, §1.)
(a)(1) For the benefit of the state and the residents thereof, there is created an irrevocable fund named the Alabama Innovation Fund, which shall be funded from all of the following sources:
a. Proceeds of any gifts, grants, or contributions.
b. Revenue sources as directed by, and at the discretion of, the Legislature.
c. Appropriations as directed by, and at the discretion of, the Legislature.
d. Investment income.
e. Any other lawful sources.
(2) The fund shall be administered in accordance with this article. All revenues received by the fund shall be deposited in the fund upon receipt, shall be invested by the board in a manner consistent with this article, and shall be withdrawn and expended by the corporation for the purposes of this article in a manner consistent with the powers granted to the corporation by this article.
(b) The fund shall be under the management and control of the board, and all powers necessary or appropriate for the management and control of the fund shall be vested solely in the board.
(Act 2021-455, §1.)
(a) The fund shall be held in perpetual trust and shall not be appropriated by the Legislature or expended or disbursed for any purpose other than as provided in this article. Earnings on the fund’s investments shall remain a part of the fund. The board may expend the fund’s earnings and principal in furtherance of its purposes.
(b)(1) To the extent practicable, the board shall keep all monies at any time held in the fund invested in eligible investments, in its sole and uncontrolled judgment, as shall produce the greatest trust income over the term of the investments while preserving the capital. In making any investment of monies held in the fund, the board shall exercise the judgment and care, under the circumstances prevailing at the time of the investment, which an institutional investor of the highest standard of prudence, intelligence, and financial expertise would exercise in the management and investment of large assets entrusted to it, not for the purpose of speculative profit, but for the permanent generation and disposition of the fund’s financial resources, considering the probable safety of capital, as well as the expected amount and frequency of income.
(2) The board shall have full power and authority to select the eligible investments in which monies held in the fund shall at any time be invested, and, to the extent not inconsistent with any express provision of this article, the eligible investments so selected shall be acquired from those issuers, underwriters, brokers, or other sellers on terms and conditions; shall be acquired for purchase prices reflecting such discount below or premium above the par or face amount thereof; shall bear such dates and be in such form, denominations, and series; shall mature or be subject to mandatory redemption on such dates; shall bear interest at such rate or rates payable at such intervals, or, alternatively, shall provide income to the holder thereof in such manner, including, without limitation thereto, the purchase of such investments at a discount which represents all or part of the income or profit derived therefrom; shall be unsecured or secured in such manner; shall contain such provisions for prepayment or redemption at the option of the issuer or obligor; and shall contain or be subject to such other provisions as shall, in all of the foregoing respects, be determined by the board in exercise of its sole and uncontrolled judgment.
(3) The board shall have full power and authority to invest the fund capital in any eligible investments producing trust income in accordance with the schedule as the board, in the exercise of its sole and uncontrolled judgment, shall determine to be in the best interests of the state, and in determining the schedule the board may emphasize future benefits in preference to near-term needs. The board shall have complete discretion in making decisions as to when monies in the fund shall be invested; as to the purchase price or other acquisition cost to be paid or incurred in acquiring investments for the fund; as to when investments constituting part of the fund shall be sold, liquidated, or otherwise disposed of; and as to the amount and nature of the price or other consideration to be received by the fund upon the sale, liquidation, or other disposition of investments constituting part of the fund. No action may be taken by the executive department of the state which impairs or interferes with the power, authority, and discretion conferred upon the board by this article with respect to the acquisition, management, control, and disposition of investments at any time constituting part of the fund. No member of the board may be held personally liable for any liability, loss, or expense suffered by the fund, unless the liability, loss, or expense arises out of or results from the willful misconduct or intentional wrongdoing of the member of the board. No member of the board shall be responsible for the adequacy of the fund to satisfy and discharge any obligation of the corporation.
(c) The board shall cause an annual audit of the fund to be performed for each fiscal year by the Department of Examiners of Public Accounts or, in the discretion of the board, by an independent certified public accounting firm. The report of the audit shall be prepared in accordance with applicable accounting principles. The board shall cause to be prepared and publicized financial and other information concerning the fund, as may from time to time be provided by law duly enacted by the Legislature, but in the absence of any law directing the preparation and publication of different reports, the board shall cause to be prepared and made public, within 30 days after the end of each quarterly period in each fiscal year, a report containing all of the following:
(1) A statement of the capital then held in the fund showing any changes since the last quarterly report.
(2) A statement of the trust income received during the quarterly period in question.
(3) A statement of the investments then held in the fund, including descriptions and respective values.
(4) A statement of the trust income received to date during the current fiscal year.
(5) Any other information determined by the board to reflect a full and complete disclosure of the financial operations of the fund.
(Act 2021-455, §1.)
At any time, the board, by majority vote, may cause its application for formation to be amended by having three of its directors file an amendment with the Secretary of State, which shall be sworn to by each signatory thereto before an officer authorized to take acknowledgments to deeds.
(Act 2021-455, §1.)
At any time, the board, by three-quarters vote, may dissolve the corporation by having three-quarters of its directors file with the Secretary of State an application for dissolution, which shall be sworn to by each signatory thereto by an officer authorized to take acknowledgments to deeds. Upon the filing of the application for dissolution, the corporation shall cease to exist. The Secretary of State shall file and record the application for dissolution, and shall make and issue, under the Great Seal of the State, a certificate that the corporation is dissolved, and shall record the certificate with the application for dissolution. Title to all property held in the name of the corporation shall be vested in the state upon dissolution of the corporation, and the ex officio directors, by written consent, shall direct how to dispose of the fund.
(Act 2021-455, §1.)
This article shall be liberally construed to effectuate its purpose.
(Act 2021-455, §1.)
The Alabama Innovation Corporation shall report to the Legislature beginning in 2023, pursuant to Section 40-1-50, an assessment of the corporation efforts to accomplish the goals pursuant to this article.
(Act 2021-455, §2.)
Given the collaborative and dynamic nature of accelerator programs and Innovate Alabama generally, the working groups, task forces, and subcommittees of Innovate Alabama, shall not be subject to Chapter 25A of Title 36, notwithstanding any other provision of law.
(Act 2023-33, §3.)
The Legislature finds and declares all of the following:
(1) The federal Small Business Innovation Research and Small Business Technology Transfer Research programs encourage innovative small businesses to engage in research that has the potential for technological innovation and commercialization.
(2) Stimulating research and commercialization will grow the Alabama economy by leveraging investment, creating exportable products and services, and creating and retaining high wage jobs in both moderately and highly skilled occupations.
(3) This state is not meeting its full potential in terms of the number and amount of federal Small Business Innovation Research and Small Business Technology Transfer Research awards.
(4) An inducement, in the form of a matching grants program, is needed to encourage Alabama businesses to apply for federal Small Business Innovation Research or Small Business Technology Transfer Research awards, or both, and to realize the economic benefits of commercialized research.
(Act 2021-449, §1.)
For the purposes of this article, the following terms shall have the following meanings:
(1) CORPORATION. The Alabama Innovation Corporation created by Article 20, commencing with Section 41-10-800.
(2) FEDERAL AGENCY. An executive branch agency of the United States government which participates in the Small Business Innovation Research program, the Small Business Technology Transfer Research program, or both.
(3) SMALL BUSINESS INNOVATION RESEARCH. The awards and programs defined in 15 U.S.C. § 638(e)(4).
(4) SMALL BUSINESS TECHNOLOGY TRANSFER RESEARCH. The awards and programs defined in 15 U.S.C. § 638(e)(6).
(Act 2021-449, §1.)
The corporation may make Small Business Innovation Research and Small Business Technology Transfer Research matching grants to entities as provided in this section.
(1) The corporation may establish priorities, guidelines, standards, and processes by which the matching grants contemplated in this article may be awarded.
(2) The corporation shall require interested entities to complete applications on forms issued by the corporation.
(3) If an entity is seeking a matching grant for a Small Business Innovation Research award, the application shall demonstrate either of the following:
a. For a Phase I application, that the entity has received a Phase I Small Business Innovation Research award from a federal agency in response to a specific federal solicitation.
b. For a Phase II application, that the entity has received a Phase II Small Business Innovation Research award from a federal agency in response to a specific federal solicitation.
(4) If an entity is seeking a matching grant for a Small Business Technology Transfer Research award, the application shall demonstrate either of the following:
a. For a Phase I application, that the entity has received a Phase I Small Business Technology Transfer Research award from a federal agency in response to a specific federal solicitation.
b. For a Phase II application, that the entity has received a Phase II Small Business Technology Transfer Research award from a federal agency in response to a specific federal solicitation.
(5) Applications shall be considered by the board of the corporation. For an entity seeking a matching grant under subdivision (4), the corporation may give preference to entities seeking matching grants which conduct funded research in this state with HudsonAlpha Institute for Biotechnology, Southern Research Institute, public or nonprofit colleges or universities, community colleges, or any other entity located in the state which is described in 15 U.S.C. § 638(e)(8), with particular focus on underrepresented companies as defined in subsection (c) of Section 40-18-376.4, in a manner that reflects the diversity of gender, race, and geographical areas of the state, and small businesses conducting research in partnership with historically Black colleges and universities. Upon the approval of the board, the corporation may grant available funds to entities in amounts not to exceed the lesser of either of the following:
a. Fifty percent of the relevant federal Small Business Innovation Research or Small Business Technology Transfer award made to the entity.
b.1. For a matching grant awarded to match a federal Phase I award, one hundred thousand dollars ($100,000); or
(6) The corporation shall develop a marketing campaign directed at ensuring that underrepresented companies, as defined in subsection (c) of Section 40-18-376.4, and historically Black colleges and universities are aware of the federal Small Business Innovation Research and Small Business Technology Transfer Research programs, together with the Alabama award match program.
(7) The corporation shall develop a program that will provide federal Small Business Innovation Research and Small Business Technology Transfer Research program application assistance to underrepresented companies, as defined in subsection (c) of Section 40-18-376.4.
(8) The amount and all terms and conditions of the grant shall be memorialized in a grant agreement between the corporation and the entity, which agreement shall include all of the following terms and conditions:
a. The amount of the grant, or the formula under which the amount is computed.
b. The specific use of grant monies paid by the corporation, which use shall not be the recoupment of a personal investment in the entity or the repayment of debt.
c. The condition that the entity, within 12 months after receipt of the grant, shall have its primary place of business in this state, the place of residence of the the majority of its top executives in this state, and the place of residence of at least a majority of its employees for a period of five years after the effective date of the grant agreement in this state.
d. The requirement that the default of the entity, under any provision of the grant agreement, shall result in the repayment of any monies paid to the entity by the corporation, unless the entity should default because it ceases to be a going concern prior.
(Act 2021-449, §1; Act 2023-33, §1.)
The corporation may adopt rules as necessary to implement and administer this article.
(Act 2021-449, §1.)
This article shall be known and may be cited as the Innovating Alabama Act.
(Act 2023-33, §2.)
For purposes of this article, the following terms have the following meanings:
(1) ACCELERATOR. A company that, for a fixed term, educates and mentors early-stage technology companies recruited to a location in Alabama with the goal of accelerating the company’s development and growth.
(2) ECONOMIC DEVELOPMENT ORGANIZATION. A local economic development organization or a state economic development organization.
(3) INNOVATE ALABAMA. The Alabama Innovation Corporation created by Section 41-10-802.
(4) INNOVATING ALABAMA TAX CREDIT. The tax credit provided for in subsection (a) of Section 41-10-844.
(5) LOCAL ECONOMIC DEVELOPMENT ORGANIZATION. An organization that is determined by Innovate Alabama to meet both of the following criteria:
a. Is an Alabama entity not operating for profit, including, but not limited to, a municipality or county, an industrial board or authority, a chamber of commerce, or some other foundation or Alabama nonprofit corporation charged with improving a community or region of the state.
b. Has a record of supporting or otherwise participating in economic development in some part of the state.
(6) STATE ECONOMIC DEVELOPMENT ORGANIZATION. An organization that is determined by Innovate Alabama to be an Alabama entity not operating for profit which is charged with improving the state or a region of the state and has a record of supporting or otherwise participating in economic development in the state.
(Act 2023-33, §2.)
(a) An economic development organization may apply to Innovate Alabama for Innovating Alabama tax credits to undertake any of the following projects:
(1) The creation, operation, or support of an accelerator for technology companies, provided that the application is accompanied by an economic impact report. Technology companies shall include companies that earn or reasonably expect to earn at least 75 percent of their revenues from sources described in Section 40-18-376.3(c)(1).
(2) The creation, operation, or support of programs designed to provide funding, workforce development, or other resources for an innovative company that meets either of the following criteria:
a. The company is a for-profit business headquartered in a community eligible for investment through the federal New Markets Tax Credit program under 26 U.S.C. § 45D(e) as those communities were identified as of January 1, 2015, or in such a community identified thereafter, predominantly conducting an activity in an innovative industry, has fewer than 15 employees at the time the funding agreement is executed, and has average gross revenues of less than one million dollars ($1,000,000) in the company three years prior to the execution of the funding agreement.
b. The company is a for-profit business that is headquartered in Alabama, predominantly conducting an activity in an innovative industry, has fewer than 75 employees at the time the funding agreement is executed, and that is at least 51 percent owned and controlled by one or more individuals who are United States Citizens and who are women or African American. As used in this subdivision, an innovative industry includes advanced manufacturing, aerospace, agriculture, bioscience, biotechnology, electronics, energy and natural resources, engineering, life sciences, and information technology industries, and any other innovative industry as determined by Innovate Alabama in its sole discretion.
(b) The application provided in subsection (a) shall include proof that the economic development organization has in full force and effect a conflict of interest policy consistent with that found in the instructions to Form 1023 issued by the Internal Revenue Service.
(c) The application provided in subsection (a) shall include a notarized affirmation by an officer of the economic development organization that the submission of the application did not violate the conflict of interest policy referred to in subsection (b).
(Act 2023-33, §2; Act 2024-441, §1.)
(a) Innovate Alabama shall consider the application provided in subsection (a) of Section 41-1-842, and may approve the application if the applicant is deemed eligible. As to applications for projects located in communities which have the potential to provide additional funding separate from the Innovating Alabama tax credits, Innovate Alabama shall take into consideration whether the separate funding is to be provided to the project that is the subject of the application.
(b) The approval of an application by Innovate Alabama shall specify the amount of money which the economic development organization is allowed to receive so that the economic development organization can complete the project specified in the application.
(c) Following approval by Innovate Alabama, Innovate Alabama shall enter into an agreement with the economic development organization which shall do all of the following:
(1) Require the economic development organization to use funding received as a result of this article only for the purposes approved by Innovate Alabama as expressed in the agreement.
(2) Require the economic development organization to make periodic reports, not more often than annually, to Innovate Alabama, on the disposition of the funds. The report shall also include an economic impact report.
(3) Require the economic development organization to provide a review of its financial accounts as directed by Innovate Alabama.
(d) For any approved applications, Innovate Alabama shall notify the Department of Revenue of the information specified in subsection (b).
(Act 2023-33, §2.)
(a) A taxpayer is allowed an Innovating Alabama tax credit to be applied against all of the following:
(1) To offset the income taxes levied in Chapter 18 of Title 40 or as an estimated tax payment of income taxes.
(2) To offset the state portion of the financial institution excise tax levied in Chapter 16 of Title 40.
(3) To offset the insurance premium tax levied by subsection (a) of Section 27-4A-3.
(4) To offset state license taxes levied by Article 2 of Chapter 21 of Title 40.
(b) In no event shall the Innovating Alabama tax credit cause a taxpayer’s tax liability to be reduced by more than 50 percent. Unused credits may be carried forward for no more than five years.
(c) Innovating Alabama tax credits shall be granted to taxpayers using an online system administered by the Department of Revenue. The online system shall allow taxpayers to agree to make a cash contribution to an economic development organization which was approved by Innovate Alabama, as provided in Section 41-10-843. The online system shall ensure that Innovating Alabama tax credits are not granted for contributions to an economic development organization in excess of the amounts approved by Innovate Alabama, as provided in Section 41-10-843.
(d) The cumulative amount of funding approved pursuant to this section shall not exceed twenty-five million dollars ($25,000,000) in a calendar year for calendar years beginning January 1, 2023. The Department of Commerce shall enter into a memorandum of understanding with Innovate Alabama to provide administrative assistance to manage the Innovating Alabama tax credit program; provided, that this memorandum of understanding shall terminate on December 31, 2023.
(e) Innovate Alabama shall reserve at least ten million dollars ($10,000,000) of the amounts specified in subsection (d) for projects described in Section 41-10-842(a)(2).
(f) To the extent that an Innovating Alabama tax credit is used by a taxpayer, the taxpayer shall not be allowed any deduction that would have otherwise been allowed for the taxpayer’s contribution. Tax credits may only be claimed by the donating taxpayer and may not be assigned or transferred to any other taxpayer. For purposes of this section, a donating taxpayer includes a taxpayer who is a shareholder of an Alabama S corporation or a partner or member of a subchapter K entity that made a contribution to an economic development organization which was approved by Innovate Alabama.
(g) The Department of Finance shall adopt rules to ensure that the Innovating Alabama tax credit program in no case would reduce the distribution for the Alabama Special Mental Health Trust Fund by using any unencumbered funds to ensure that an Innovating Alabama tax credit shall not be limited, prevented, or reduced.
(Act 2023-33, §2.)
(a) Upon receipt of funding provided by the tax credit process in Section 41-10-844, the economic development organization shall proceed with the project that was specified in the application required by Section 41-10-842.
(b) As to a project described in subdivision (a)(1) of Section 41-10-842, the economic development organization shall report to Innovate Alabama upon the completion of the project and at such times as may be required or requested by Innovate Alabama.
(Act 2023-33, §2.)
(a) All filings and applications made with any department of the state government shall be made using forms adopted by that department. The filing shall be treated as a tax return subject to penalties imposed by the Department of Revenue.
(b) Nothing in this article shall be construed to constitute a guarantee or assumption by the state of any debt of any company nor to authorize the credit of the state to be given, pledged, or loaned to any company.
(c) Nothing in this article shall be construed to make available to any taxpayer any right to the benefits conferred by this article absent strict compliance with this article.
(d) Nothing in this article shall be construed to limit the powers otherwise existing for the Department of Revenue to audit and assess a taxpayer claiming the Innovating Alabama tax credit.
(e) Innovate Alabama and the Department of Revenue may adopt rules as necessary to implement and administer this article.
(Act 2023-33, §2.)
The Innovating Alabama tax credits provided in this article shall not be available for qualifying applicants as described in this article, for which applications are not approved on or prior to July 31, 2028. This shall only affect the availability of credits for applications not approved on or prior to July 31, 2028, and shall not cause a reduction or suspension of any credits awarded on or prior to July 31, 2028.
(Act 2023-33, §2.)
For the purposes of this article, the following terms have the following meanings:
(1) ABUTTING PROPERTY. Any property that has any common boundary with a greenway trail or any other property that is within 25 feet of a greenway trail.
(2) ACQUISITION FUND. The Sweet Trails Alabama Acquisition Fund.
(3) CORPORATION. The Alabama Innovation Corporation.
(4) COUNCIL. The Alabama Council on Outdoor Recreation.
(5) DEVELOPER. The organization selected by the council pursuant to this article to develop a master plan.
(6) DONATED PROPERTY. The real property constituting a qualified donation made pursuant to this article.
(7) ELIGIBLE DONOR. Any person who owns an interest in a qualified donation.
(8) FAIR MARKET VALUE. The most recent estimated value of the donated property as determined by the local county tax assessing official pursuant to Article 1 of Chapter 7 of Title 40.
(9) GREENWAY TRAIL. A shared-use path, multi-use trail, rail-trail, sidepath, or other similar type of path or trail. A greenway trail may be paved or unpaved and shall support both pedestrians and bicycles.
(10) PROJECT. The Sweet Trails Alabama Project.
(11) PROJECT FUND. The Sweet Trails Alabama Project Fund.
(12) QUALIFIED DONATION. A fee simple conveyance donated and accepted for use in a manner consistent with this article.
(Act 2023-545, §1.)
(a) Subject to an appropriation made by the Legislature for the purposes of implementing the project, the council, as empowered by the corporation, may contract with an organization who may act as the developer for purposes of this article.
(b) Subject to approval by the council, the developer may do all of the following:
(1) Develop, in coordination with state, public, and private entities, a master plan for a network of greenway trails throughout the state that shall be known as the Sweet Trails Alabama Project.
(2) Perform any feasibility studies or other preparatory work as may be necessary to develop the master plan.
(c) Any master plan approved by the council shall consider all of the following goals:
(1) To aid in establishing and maintaining an innovation ecosystem in the state.
(2) To provide access and economic impacts that are inclusive and reflect the racial, gender, geographic, urban, rural, and economic diversity of the state.
(3) To take advantage of all available state and federal funding programs for trail development and enhancement.
(d) Unless otherwise provided by law, any grants from the funds created by Section 41-10-866 utilizing state appropriations are deemed to have the following priority:
(1) In the first phase, funding shall support a strategic trail network of north-south and east-west greenway trails including sections in at least half of the state’s counties.
(2) In the second phase, funding shall support extensions of the network into every county in the state.
(3) In the final phase, funding shall support ongoing maintenance of the network and coordination with local communities to establish additional trail points connecting the network to other outdoor recreation assets.
(e) The project may consider the following goals:
(1) Connect all 67 counties and all key locations throughout the state.
(2) Increase opportunities for outdoor recreation and physical activity.
(3) Foster interconnectivity between urban and rural areas.
(4) Provide alternative transportation options to help integrate recreation into work, education, and daily life.
(5) Offer accessibility for people of different abilities, ages, and backgrounds.
(6) Create opportunities for tourism and economic development.
(7) Capitalize on local, regional, public, and private partnerships.
(8) Promote conservation through education and public awareness.
(9) Capitalize on all existing trails, trail networks, and trail initiatives in the state.
(f) The project may incorporate the following design principles:
(1) Cohesion. The project shall incorporate branding, signage, and wayfinding to minimize confusion and create a user-friendly experience.
(2) Safety. The project shall prioritize separation between roadways and greenway trails and shall minimize road crossings. Efforts should be made to increase visibility and decrease human error.
(3) Scenic Beauty. The project’s design shall showcase the diversity and beauty of the state.
(4) Accessibility. Trails shall be designed for comfort and differing abilities and to minimize drastic changes in slope or repeated stops.
(5) Connectivity. Routes should be as direct as possible while connecting as many communities as possible.
(g) Any master plan approved by the council may consider the following outdoor assets:
(1) Existing and planned greenway trails.
(2) Public lands, including, but not limited to, state parks, forest lands, the Forever Wild Land Trust, and conservation areas.
(3) Access points to blueways and hiking trails, especially National Water Trails, National Recreation Trails, and Alabama Scenic River Trails.
(4) Historically significant trails, roads, abandoned railways, and outdoor sites.
(5) Land potentially suitable for railbanking.
(6) Tourism trails and general tourist destinations.
(h) Any master plan approved by the council may consider the following additional factors when determining the route for the proposed project:
(1) Access for residents of tribal lands.
(2) Coordination with regional planning commissions.
(3) Potential for economic development in economically distressed areas.
(4) Possibilities for federal alternative transportation project funding.
(5) Capacity to minimize road crossings and avoid long distances adjacent to heavy-use roadways.
(6) Coordination with the Department of Transportation to avoid impeding utilities, drainage, and state right-of-way access.
(Act 2023-545, §2.)
Subject to Section 41-10-865, upon approval of a master plan pursuant to Section 41-10-861 by the council as empowered by the corporation, shall implement a strictly voluntary system by which eligible donors may apply for grants for qualified donations of donated property.
(Act 2023-545, §3.)
(a) The council may provide grants to public or private entities engaged in the construction or operation of greenway trails for any legitimate purpose related to greenway trails compatible with the master plan using monies from the project fund.
(b) Any entity that receives grant money from the project fund shall enter into a contract with a public or private entity regarding the construction of signs, fences, barriers, or other structures relating to any property or property interest donated or transferred for purposes of greenway trails compatible with the master plan.
(c) At the request of the owner of an abutting property, any entity that receives grant money from the project fund shall direct its contractor to erect a barrier clearly delineating where the trail property ends and private property begins. The barrier shall be erected within a reasonable time following the submission of the request and at no cost to the owner of the abutting property. This subsection shall only apply to sections of a greenway trail that benefited from grant money from the project fund pursuant to this article.
(d) When carrying out any activities required by Section 41-10-861(a), the developer shall be exempt from the requirements of subsection (b).
(Act 2023-545, §4.)
(a) The protections from liability under Article 2 of Chapter 15 of Title 35, shall extend to both of the following:
(1) Any donated property for so long as that property is used as a greenway trail in a manner that complies with the master plan.
(2) The owner, lessee, or person otherwise in control of an abutting property, regardless of whether they have opened the abutting property to recreation in accordance with Article 2 of Chapter 15 of Title 35, provided that the abutting property is fenced and the fence is reasonably maintained or that the property owner has requested a fence to be constructed and is awaiting construction of the fence.
(b) Subsection (a) shall not be construed to remove the protections from liability under Article 2 of Chapter 15 of Title 35, from any property that is otherwise eligible for those protections pursuant to that article.
(Act 2023-545, §5.)
(a) Any eligible donor who makes a qualified donation of donated property for use as a greenway trail may apply for a grant pursuant to this section. Any eligible donor who elects not to apply for a grant pursuant to this section may enter into any other arrangement available to the eligible donor under law or contract in lieu of a grant pursuant to this section.
(b)(1) An eligible donor shall be eligible to apply for a grant for each qualified donation under this article.
(2) The grant shall be equal to 25 percent of the fair market value of the donated real property, but shall not exceed two hundred fifty thousand dollars ($250,000).
(c) Grants approved pursuant to this section shall be paid using monies from the acquisition fund.
(d) At the end of each fiscal year, any monies remaining in the acquisition fund shall be transferred to the project fund.
(Act 2023-545, §6.)
(a) There is created within the State Treasury the Sweet Trails Alabama Project Fund and the Sweet Trails Alabama Acquisition Fund to receive gifts, grants, and appropriations. Amounts deposited in the funds shall be budgeted and allotted in accordance with Sections 41-4-80 through 41-4-96, inclusive, and Sections 41-19-1 through 41-19-12, inclusive.
(b) The council may use monies in the project fund or the acquisition fund to provide grants as authorized in this article or to compensate the developer for work performed pursuant to Section 41-10-861(a).
(Act 2023-545, §7.)
The state, or any subdivision of the state, shall not use the powers of eminent domain provided in Title 18, to execute this article.
(Act 2023-545, §8.)
The Legislature finds and declares all of the following:
(1) The State of Alabama has a great need to ensure the long-term viability of the state’s economic development successes.
(2) Other states have had significant success in economic development by involving the private sector in long-term planning to help identify and fill strategic gaps in states efforts that are not currently addressed by existing agencies, ensuring a comprehensive approach to economic growth and development.
(3) It is believed that by taking advantage of private sector expertise and support that exists within many chambers of commerce and other organizations, the state will be able to develop initiatives more rapidly and efficiently.
(4) By leveraging the strengths of both the public and private sectors, the state can foster a more collaborative and efficient approach to economic development, leading to more innovative and effective solutions.
(5) A public-private partnership can supplement existing state efforts to focus on the development of specific, high-growth industries where Alabama has competitive advantages, ensuring the state becomes a national or global leader in these sectors.
(6) By focusing on long-range planning, the public-private partnership can ensure that Alabama’s economic development efforts are sustainable and forward-thinking, thus providing stability and predictability for businesses and investors.
(7) States with proactive economic development strategies, such as public-private partnerships, can be more successful in attracting investment. Creation of a similar model will help give Alabama a competitive edge in the national and global market, helping to attract significant business investments.
(8) It is desirable and in the public interest to establish a public corporation governed by a board of public and private leaders to be a part of the state’s economic development strategies designed to sustain and enhance Alabama’s long-term success, growth, and viability of its economic development policies.
(Act 2024-309, §2.)
For the purposes of this article, the following terms have the following meanings:
(1) BOARD. The governing board of the corporation.
(2) CORPORATION. The Alabama Growth Alliance created by this article as a public corporation having a legal existence separate and apart from the state and any county, municipality, or political subdivision.
(3) ECONOMIC DEVELOPMENT ENTITY.
a. A nonprofit corporation that possesses all of the following characteristics:
Is organized as a nonprofit corporation exempt from federal income tax under 26 U.S.C. § 501(c).
Has a record of, or can demonstrate that it is capable of, serving the entire state on matters involving economic development.
Has a record of, or can demonstrate that it is capable of, developing, fostering, and implementing economic development policies and strategies across Alabama.
Has received, or is eligible to receive, grant funding from the state or from federal or private sources.
b. In determining whether a nonprofit corporation qualifies as an economic development entity, the board may attribute to the nonprofit corporation the experiences of its officers, staff, and directors with other nonprofit corporations.
(Act 2024-309, §2.)
(a) The Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate shall present to the Secretary of State an application, signed by each of them, for the formation of the Alabama Growth Alliance, as a public corporation, having a legal existence separate and apart from the state and any county, municipality, or political subdivision, which shall set forth all of the following:
(1) The name, office, and office location of each of the applicants.
(2) The date on which each applicant was sworn into office for his or her current term of office.
(3) The name of the proposed public corporation, which shall be the Alabama Growth Alliance.
(4) The location of the principal office of the proposed corporation.
(5) Provisions requiring the board to support the Department of Commerce in the development of a recommended annual strategic economic development plan for the state and standards of measure to be used in measuring the corporation’s achievements in executing the plan.
(6) Provisions requiring the board to review the state’s primary economic development incentives on a biennial basis and reviewing the effectiveness of the incentives to create jobs, attract new business, encourage existing business expansions, and achieve other goals as may be determined by the board, in cooperation with the Joint Legislative Advisory Committee on Economic Incentives or any third party contracted with by that committee.
(7) Any other matter relating to the corporation that the applicants may choose to insert and that is not inconsistent with this article or state law.
(b) The application shall be subscribed and sworn to by each applicant before a notary public. The Secretary of State shall examine the application, and, if he or she finds that the application substantially complies with the requirements of this section, the application shall be filed and recorded in an appropriate book of records in the office of the Secretary of State.
(c) When the application has been made, filed, and recorded as provided in subsection (b), the applicants shall constitute a public corporation under the name stated in the application, and the Secretary of State shall make and issue to the applicants a certificate of incorporation pursuant to this article, under the Great Seal of the state, and shall record the certificate with the application. There shall be no fees paid to the Secretary of State for any filing made by the corporation pursuant to this article.
(d) Notwithstanding any provision of law to the contrary, any corporation incorporated pursuant to this section shall not be deemed to be a part of the state for any purpose but shall be treated as a public corporation separate and apart from the state.
(Act 2024-309, §2.)
(a) The corporation shall be under the management and control of a board of directors, and all powers necessary or appropriate for the management and control of the corporation shall be vested solely in the board. The board shall be comprised of both ex officio members and at-large members, all of whom shall be voting members of the board and shall be considered in determining whether a quorum is present.
(b) The board shall have the following members:
(1) Ex officio members, consisting of the Governor, who shall be the chair, the Secretary of Commerce, who shall be the co-chair, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Minority Leader of the House of Representatives, the Minority Leader of the Senate, and the chair of Innovate Alabama. The service of each ex officio member shall run concurrently with his or her tenure in office or position. Each ex officio member may appoint a person to serve in his or her place at any meeting of the board or may designate a person to serve in his or her place at all meetings of the board until the term of the ex officio member ends. The appointee or designee shall be counted for purposes of a quorum and voting. Each ex officio member may withdraw the appointment or designation of his or her appointee or designee at any time.
(2) The Governor shall appoint five at-large members and the Lieutenant Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives shall each appoint one at-large member. Each at-large member shall be an individual in the private sector with experience relevant to the purposes and activities of the corporation including, but not limited to, experience in any of the following:
a. Participating on boards of, or being employed by, nonprofit corporations that promote economic development throughout the state.
b. Having other experience relevant to statewide, long-term economic development strategies, including, but not limited to, any of the following:
Performing enhanced, coordinated research to identify targeted growth sectors.
Identifying sites for economic development and successfully marketing the sites for major business site selection opportunities.
Developing assessments of key issues impacting the growth of Alabama’s existing business and industry, along with strategies to address challenges and pursue opportunities.
(c) Board members shall be subject to the Alabama ethics laws.
(d) In making appointments of at-large members, the Governor shall coordinate his or her appointments so that diversity of gender, race, and geographical areas of the board of directors is reflective of the makeup of the state.
(e)(1) The service of each at-large member shall begin upon written acceptance of his or her appointment. Each member shall serve a term of two years following such written acceptance.
(2) Each at-large member shall continue to serve until the member is reappointed or a successor is appointed to the office.
(3) An at-large member may only serve a maximum of two consecutive terms of office but may be reappointed after he or she has spent at least two years without serving as an at-large member.
(4) An at-large member may be removed by the Governor for any reason, at which time the Governor shall appoint a different individual to serve.
(5) An individual appointed to fill a vacancy shall serve the remainder of the unexpired term and may be reappointed to serve an additional term.
(f) No member shall receive compensation because of his or her service as a member. Each member may be reimbursed for actual and reasonable travel expenses incurred in the performance of his or her duties as a member.
(g) A majority of the members shall constitute a quorum for the transaction of business by the board, and decisions shall be made on the basis of a majority of the quorum then present and voting. No vacancy in the membership of the board or the voluntary disqualification or abstention of any member shall impair the right of a quorum to exercise all of the powers and duties of the board. Members of the board may participate in meetings of the board in person or by means of telephone conference, video conference, or other similar communications equipment, so that all individuals participating in the meeting may hear each other at the same time. Participation by any such means shall constitute presence in person at a meeting for all purposes, including for purposes of establishing a quorum. The board shall be subject to Chapter 25A of Title 36, provided, however, that notice of each meeting shall occur at least seven days prior to the meeting and, provided further, that an emergency meeting of the board may be called by either the chair or co-chair when circumstances exist that are deemed by the chair or co-chair to address unforeseen economic opportunities that require immediate action including, but not limited to, a major company considering relocation to Alabama but requiring swift commitment from state authorities, or threats including, but not limited to, the sudden closure of a major employer, which could significantly impact the state’s economy. Notice of an emergency meeting should be given at least 24 hours prior to the time the meeting is to commence, unless the circumstances of the emergency are such that the meeting must convene sooner. In addition to the reasons set forth in Section 36-25A-7, the board may go into executive session to discuss sensitive matters the disclosure of which would undermine or jeopardize economic development, trade, or the objectives of the corporation.
(h) Notwithstanding subsection (g), any action required by this article to be taken at a meeting of the board of directors of the corporation or any action that may be taken at a meeting of a committee of the board of directors may be taken without a meeting if a consent in writing, setting forth the action so taken, is signed either electronically or in person by all of the directors of the board or all of the members of the committee, as the case may be.
(i) The board may appoint other officers to perform duties not inconsistent with this article or applicable law, as the board deems necessary or appropriate.
(j) In addition to regular meetings of the board, as may be provided by law or by bylaws adopted by the board, special meetings of the board may be called by the chair acting alone or by any three other members acting in concert, in each case upon notice to each member given in person, by email, by registered letter, or by other means. Notice to each member may be waived upon the unanimous written consent of all members, either before or after the meeting with respect to which the notice would otherwise be required.
(k) Minutes of all board meetings shall be kept and maintained in the records of the corporation.
(Act 2024-309, §2.)
(a) The board shall have all of the powers necessary to carry out and effectuate the purposes of this article including the following powers:
(1) Provide input and support on the development, monitoring, and updating of the long-range economic development vision and strategies of the state.
(2) Support the development and implementation of objectives and key tactics to achieve the long-range economic development vision and strategies of the state.
(3) Identify opportunities and make recommendations to the Governor regarding the coordination of economic development efforts between state agencies, private organizations, and other economic development entities and stakeholders.
(4) Provide input and support related to the establishment of a communication plan to ensure key stakeholders are periodically informed on economic development progress and results.
(5) Provide input and support in regards to biennially measuring the effectiveness of key economic development incentives, which shall include, but not be limited to, the Alabama Jobs Act, the Growing Alabama Act, the Innovating Alabama Act, the Site Evaluation Economic Development Strategy, and the Tax Incentive Reform Act of 1992, in cooperation with the Joint Legislative Advisory Committee on Economic Incentives or any third party contracted with by that committee.
(6) Provide input on and support to implement the following economic development objectives:
a. Increasing private investment in Alabama.
b. Advancing international and domestic trade opportunities.
c. Marketing the state as a pro-economic growth location for new investment.
d. Revitalizing, retaining, and expanding Alabama’s manufacturing industries, and promoting emerging complementary industries.
e. Assisting, promoting, and enhancing economic opportunities in the state’s rural communities.
f. Promoting opportunities for minority-owned businesses.
g. Identifying economic growth opportunities in emerging sectors.
h. Recognizing the unique natural resources of Alabama, promoting and supporting ecotourism opportunities in the state in order to enhance the state’s attractiveness for a skilled workforce.
(7) Adopt, alter, and repeal bylaws for the regulation and conduct of the corporation’s affairs and business, and for the implementation of this article.
(8) Make and enter into contracts, leases, and agreements and take other actions as may in its judgment be necessary or desirable to accomplish the purposes of the corporation and to exercise any power necessary for the accomplishment of the purposes of the corporation or incidental to the powers expressly set forth in this article.
(9) Appoint, employ, and contract with employees, agents, advisors, consultants, and service providers including, but not limited to, attorneys, accountants, financial experts, and other advisors, consultants, and agents as may in its judgment be necessary or desirable to accomplish any purpose of the corporation or incidental to the powers expressly set forth in this article, and to fix the compensation of those persons.
(10) Manage, invest, and expend funds at its disposal.
(11) Grant monies and things of value in aid of or to any individual, firm, corporation, or other business entity, public or private, as may in its judgment be necessary or desirable to accomplish any purpose of the corporation or incidental to the powers expressly set forth in this article.
(12) Take any action necessary to exercise its rights or fulfill its obligations relevant to the corporation under state law.
(13) In addition to subdivisions (1) through (12), shall have all of the powers necessary to carry out and effectuate the purposes of this article; provided, that nothing in this article shall be construed to authorize the board to exercise any power conferred by law on any agency, department, office, or other instrumentality of state government.
(b) The board may enter into agreements with one or more economic development entities to assist the corporation with: (i) periodic evaluation of Alabama’s competitiveness with other states; and (ii) developing and analyzing global, national, state, and sector economic trends and conditions to support strategic planning. In undertaking any of the foregoing, the agreement shall accomplish both of the following:
(1) Require regular reporting to the corporation by the economic development entity.
(2) Allow for the reasonable costs of the economic development entity to be reimbursed or otherwise paid only if directly related to the fulfillment of the agreement, as determined by the corporation.
(c) The board may make, enter into, and execute contracts, agreements, and other instruments with, accept aid and grants from, and cooperate with, any other person or entity including, but not limited to, all of the following:
(1) The United States of America, the state, or any agency, instrumentality, or political subdivision of either.
(2) For-profit or nonprofit private entities.
(3) Public bodies, departments, or authorities including, but not limited to, the executive departments of the state, to act on behalf of the board in carrying out functions which the board determines are consistent with the corporation’s powers.
(d) The corporation shall be, and shall operate as, a public corporation and shall have a legal existence separate and apart from the state and any county, municipality, or political subdivision.
(Act 2024-309, §2.)
The board may enter into contracts, leases, agreements, investments, and may otherwise expend monies without compliance with Article 5, commencing with Section 41-4-110 of Chapter 4 of Title 41, and Chapter 2 of Title 39. Solely as a result of entering into contracts, leases, agreements, investments, or otherwise, no for-profit or nonprofit private entity, nor the officers, employees, agents, or directors of any of the foregoing, shall become subject to Chapter 25 or Chapter 25A of Title 36; Article 5, commencing with Section 41-4-110 of Chapter 4 of Title 41; Chapter 2 of Title 39; or Article 3, commencing with Section 36-12-40 of Chapter 12 of Title 36.
(Act 2024-309, §2.)
At any time, the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate may cause their application for formation to be amended by filing an amendment with the Secretary of State, which may cause its application for formation to be amended by having five of its members file an amendment with the Secretary of State, which shall be sworn to by each signatory thereto before a notary public.
(Act 2024-309, §2.)
At any time, the board, by at least three-quarters vote, may dissolve the corporation by having at least three-quarters of its members file with the Secretary of State an application for dissolution, which shall be sworn to by each signatory thereto by a notary public. Upon the filing of the application for dissolution, the corporation shall cease to exist. The Secretary of State shall file and record the application for dissolution, and shall make and issue, under the Great Seal of the state, a certificate that the corporation is dissolved, and shall record the certificate with the application for dissolution. Title to all property held in the name of the corporation shall be vested in the state upon dissolution of the corporation.
(Act 2024-309, §2.)
Prior to each legislative session beginning in 2026, the corporation shall submit an annual report to the Legislature detailing the corporation’s efforts to accomplish the goals pursuant to this article.
(Act 2024-309, §2.)
There is hereby created and established an organization which shall be known as the “Alabama Academy of Honor,” hereinafter referred to as “the academy.” The purpose of the academy shall be to bestow honor and recognition upon living Alabamians for their outstanding accomplishments and service.
(Acts 1965, 3rd Ex. Sess., No. 15, p. 219, §1.)
The academy shall be composed of not more than 100 living members, and no more than 10 of such members shall be elected to membership in any calendar year. Each person elected for membership shall be a distinguished citizen of Alabama who shall be chosen for accomplishment or service greatly benefiting the state or for accomplishment or service reflecting great credit on the state. Each living Governor or former Governor of Alabama shall be a member of the academy but shall not be counted in the total maximum membership nor in the 10 members who may be elected annually. No more than 25 percent of the elected members at any time shall be from the political field.
(Acts 1965, 3rd Ex. Sess., No. 15, p. 219, §2.)
(a) The initial 10 members of the academy shall be elected by a committee appointed for such purpose by the Governor.
New members, not to exceed 10 in any calendar year, shall be elected by the existing members of the academy. A majority of the votes cast by existing members shall be necessary for the election of each new member.
(b) Nominations for new members shall be made in writing by members of the academy and by citizens of the state.
(Acts 1965, 3rd Ex. Sess., No. 15, p. 219, §3; Act 2008-278, p. 535, §1.)
The members of the academy shall elect among themselves an executive committee, which shall select a chairman and shall fix his or her term of office and shall conduct the affairs of the academy between annual meetings. The chairman shall preside over meetings, direct the business of the academy, and perform such other duties as may be prescribed or delegated by the executive committee. The executive committee shall appoint one of the members as secretary, who shall keep minutes of each meeting. The Department of Archives and History shall provide such administrative and clerical and other aid and assistance as may be necessary or appropriate for the academy. The costs of such assistance, which may include expenses for receptions or luncheons associated with the academy’s annual induction ceremony, shall be paid by the Department of Archives and History from funds appropriated to it. Members of the academy shall not be entitled to remuneration for their services to the academy.
(Acts 1965, 3rd Ex. Sess., No. 15, p. 219, §5; Act 2008-278, p. 535, §1.)
The academy shall meet at least once annually to award new memberships and shall hold such other meetings as necessary to carry out its purpose. The time and place of meetings shall be designated by the executive committee. One-third of the members of the academy shall constitute a quorum for conducting business. The executive committee may make rules and regulations necessary to carry out the purposes and functions of the academy as prescribed in this chapter. No person may be denied membership on the basis of race, religion, gender, place of residence in Alabama, or cultural background.
(Acts 1965, 3rd Ex. Sess., No. 15, p. 219, §4; Act 2008-278, p. 535, §1.)
[Repealed]
Repealed by Act 2008-278, p. 535, §2, effective August 1, 2008.
(Acts 1965, 3rd Ex. Sess., No. 15, p. 219, §6; Acts 1990, No. 90-106, p. 128, §3.)
The building and grounds known as the first White House of the Confederacy, opposite the Capitol and now the property of the state, shall be preserved and held inviolate as a perpetual memorial to Jefferson Davis and the men and women associated with him in the organization of the Confederate government and as a reminder to all future generations that this great historical event, one of the most memorable in the annals of time, occurred in the City of Montgomery and State of Alabama.
To this end its use shall be confined to a display of what is known as the Jefferson Davis relics and such other relics of the Confederacy as may be gathered from time to time; provided, that vacant space not so in use may be occupied by such state officials as the Governor may from time to time direct.
(Acts 1923, No. 244, p. 248; Code 1923, §3180; Code 1940, T. 55, §290.)
The care and upkeep of the building as a building shall be a part of the duties of the Department of Finance, and the expenses for such care and upkeep shall be payable from the funds annually appropriated therefor by the Legislature.
(Acts 1923, No. 244, p. 248; Code 1923, §3181; Code 1940, T. 55, §291; Acts 1951, No. 917, p. 1568.)
The management of the first White House of the Confederacy as an institution for the cultivation of Confederate history, the preservation of Confederate relics and as a reminder for all time of how pure and great were southern statesmen and southern valor is confided to the organization known as the White House Association, through its duly accredited officers, this association having begun the work of acquiring the building and having carried it to a successful conclusion. Their several acts shall at all times be subject to the approval of the Governor.
(Acts 1923, No. 244, p. 248; Code 1923, §3182; Code 1940, T. 55, §292.)
As used in this article, the term “public records” shall include all written, typed or printed books, papers, letters, documents, and maps made or received in pursuance of law by the public officers of the state, counties, municipalities, and other subdivisions of government in the transactions of public business and shall also include any record authorized to be made by any law of this state belonging or pertaining to any court of record or any other public record authorized by law or any paper, pleading, exhibit, or other writing filed with, in or by any such court, office or officer.
(Acts 1945, No. 293, p. 486, §1.)
The Department of Archives and History may examine into the condition of public records and shall at the request of the custodian thereof give advice and assistance to any public official in the solution of his or her problems of preserving, filing, and making available the public records in his or her custody.
(Acts 1945, No. 293, p. 486, §5.)
Any public records, books, papers, newspapers, files, printed books, manuscripts, tapes, or other public records which have no significance, importance, or value may, upon the advice and recommendation of the custodian thereof and upon the further advice, recommendation and consent of the State or Local Government Records Commission be destroyed or otherwise disposed of. The State and Local Government Records Commissions are hereby authorized and empowered to make such orders, rules, and regulations as may be necessary or proper to carry the provisions of this section into effect.
(Acts 1945, No. 293, p. 486, §3; Acts 1987, No. 87-658, p. 1165, §1.)
Notwithstanding any other law to the contrary, a state department, licensing or regulatory board, agency, or commission is prohibited from placing or otherwise revealing the Social Security number of a person, including, but not limited to, full- or part-time employees thereof, on any document that is available for public inspection including, but not limited to, state personnel evaluation forms and any other forms related thereto unless otherwise required by law, without the express consent of the person with the number, or the consent of that person’s parent, custodian, legal guardian, or legal representative. The foregoing prohibition shall not apply when a federal or state agency makes a request for or releases a Social Security number for a legitimate government purpose, or pursuant to a federal or state statute, regulation, or federally funded program or pursuant to an administrative or judicial subpoena or order. Nothing in this section is intended to create or establish a new cause of action for damages in any court. Nothing in this section shall be construed as a waiver of sovereign or qualified immunity. This section shall not be applicable to a document originating with any court or taxing authority, any document that when filed by law constitutes a consensual or nonconsensual lien or security lien or security interest, or any record of judgment, conviction, eviction, or bankruptcy. If express consent to reveal a Social Security number has not been obtained, a state department or agency shall redact, remove, cover, or otherwise excise the Social Security number of any person from any document that is available for public inspection so that the remaining portion of the document may be revealed.
(Act 2006-611, p. 1679, §1.)
(a) As used in this section, the following terms shall have the following meanings:
(1) EMPLOYEE. Any person who is regularly employed by the state and who is subject to the provisions of the state Merit System or any person who is regularly employed by a criminal justice agency or entity or by a law enforcement agency within the state or any honorably retired employee thereof, to include, but not be limited to, the following: A judge of any position, including a judge of a municipal court; a district attorney; a deputy district attorney; an assistant district attorney; an investigator employed by a district attorney; an attorney, investigator, or special agent of the Office of the Attorney General; a sheriff; a deputy sheriff; a jailor; or a law enforcement officer of a county, municipality, the state, or special district, provided the law enforcement officer is certified by the Alabama Peace Officers’ Standards and Training Commission and is not pending decertification.
(2) IDENTIFYING INFORMATION. Any information, not including a person’s name, which used either alone or in conjunction with other information specifically identifies a person or a person’s property, and includes, but is not limited to, any of the following information related to a person:
a. Date of birth.
b. Social Security number.
c. Driver’s license number.
d. Financial services account numbers, including checking and savings accounts.
e. Credit or debit card numbers.
f. Personal identification numbers (PIN).
g. Electronic identification codes.
h. Automated or electronic signatures.
i. Biometric data.
j. Fingerprints.
k. Passwords.
l. Parents’ legal surname prior to marriage.
m. Name or names of any dependent child or children.
n. Home address or phone number.
o. Any other numbers or information that can be used to access a person’s financial resources, obtain identification, act as identification, or obtain goods or services.
(b) Notwithstanding any other law to the contrary, a state department, licensing or regulatory board, agency, or commission is prohibited from placing or otherwise revealing the identifying information of an employee including, but not limited to, full- or part-time employees thereof, on any document that is available for public inspection including, but not limited to, state personnel evaluation forms and any other forms related thereto unless otherwise required by law, without the express consent of the person with the identifying information, or the consent of that person’s parent, custodian, legal guardian, or legal representative. The foregoing prohibition shall not apply to a bona fide news organization or when a federal or state agency makes a request for or releases identifying information for a legitimate government purpose, or pursuant to a federal or state statute, regulation, or federally funded program or pursuant to an administrative or judicial subpoena or order. Nothing in this section is intended to create or establish a new cause of action for damages in any court. Nothing in this section shall be construed as a waiver of sovereign or qualified immunity. This section shall not be applicable to a document originating with any court or taxing authority, any document that when filed by law constitutes a consensual or nonconsensual lien or security lien or security interest, or any record of judgment, conviction, eviction, or bankruptcy. If express consent to reveal identifying information has not been obtained, a state department or agency shall redact, remove, cover, or otherwise excise the identifying information of any person from any document that is available for public inspection so that the remaining portion of the document may be revealed.
(Act 2009-759, p. 2293, §1; Act 2013-172, p. 320, §1.)
(a) For the purposes of this section, the following terms have the following meanings:
(1) IDENTIFYING INFORMATION. As defined in Section 41-13-7.
(2) LAW ENFORCEMENT OFFICER OR EMPLOYEE. A judge of any position, including a judge of a municipal court; a district attorney; a deputy district attorney; an assistant district attorney; an investigator employed by a district attorney; an attorney, investigator, or special agent of the Office of the Attorney General; a sheriff; a deputy sheriff; a jailor; or a law enforcement officer of a county, municipality, the state, or special district, provided the law enforcement officer is certified by the Alabama Peace Officers’ Standards and Training Commission and is not pending decertification; and federal officers and employees in equivalent positions.
(b) Upon the request of a state legislator or a state or federal law enforcement officer or employee, a department or agency of the state or a county, municipality, or other subdivision of government shall redact personal identifying information of the state legislator or law enforcement officer or employee from any document of the department or agency prior to disclosure.
(c) Each department or agency of the state or a county, municipality, or other subdivision of government shall make available a request form that allows a state legislator or law enforcement officer or employee to request the redaction of personal identifying information from the records of the department or agency.
(d) The redaction required by this section shall be done on the same terms and conditions as the redaction of the records of state and local employees pursuant to Section 41-13-7.
(Act 2023-506, §1.)
There is hereby created a State Records Commission consisting of nine members as follows: The Director of the Department of Archives and History, who shall be chair of the commission; the Chief Examiner of the Department of Examiners of Public Accounts; the Attorney General; the Secretary of State; the Commissioner of the Department of Revenue; the Director of the Department of Finance; one member from the University of Alabama, to be designated by the head of the Department of History; one member from Auburn University, to be designated by the head of the Department of History; and one member, an archivist, historian, or librarian, from one of Alabama’s Historically Black Colleges and Universities (HBCUs), to be appointed by the Governor. The members from the University of Alabama, Auburn University, and the HBCUs may be removed by the Governor at any time. All ex officio members, except the Director of the Department of Archives and History, may select a designee to represent him or her on the commission. No salary or compensation shall be allowed any member of the commission except expenses incurred in the performance of their duties, which expenses shall be paid pursuant to Article 2 of Chapter 7 of Title 36. The commission shall hold two regular meetings each year and at other times upon the call of the chair.
(Acts 1955, No. 565, p. 1226, §5; Act 2012-532, p. 1578, §1.)
The State Records Commission shall be charged with the responsibility of determining which state records shall be permanently preserved because of historical value, which state records may be destroyed or otherwise disposed of after they have been microfilmed, and which state records may be destroyed or otherwise disposed of without microfilming. The commission may classify the different types of records accordingly.
No state officer or agency head shall cause any state record to be destroyed or otherwise disposed of without first obtaining approval of the State Records Commission; provided, however, that records of the courts within the Unified Judicial System may be disposed of in the manner and in accordance with such procedures as may be prescribed by rule of the Supreme Court, after consultation with the State Records Commission. Any such retention schedule prescribed by rule of the Supreme Court pertaining to records of the Unified Judicial System shall be deemed sufficient authorization for disposal and shall supersede any prior retention schedule with respect to such records, other provisions of the law to the contrary notwithstanding.
(Acts 1955, No. 565, p. 1226, §6; Acts 1967, No. 425, p. 1095; Acts 1980, No. 80-636, p. 1202.)
There is hereby created a Local Government Records Commission consisting of 16 members as follows: The Director of the Department of Archives and History, who shall be the chair of the commission; the Chief Examiner of the Department of Examiners of Public Accounts; the Attorney General; the Secretary of State; one member from the University of Alabama, to be designated by the head of the Department of History; one member from Auburn University, to be designated by the head of the Department of History; one member, an archivist, historian, or librarian, from one of Alabama’s Historically Black Colleges and Universities (HBCUs), to be appointed by the Governor; and one judge of probate who is not also chair of a county commission, one chair of a county commission who is not also a judge of probate, one county administrator, one county taxation official, one superintendent of a county or municipal school system, one sheriff, one municipal police chief, and two city clerks, each to be appointed by the Governor. The members from the University of Alabama, Auburn University, the HBCUs, the judge of probate, the county commission chair, the county administrator, the county taxation official, the superintendent of a county or municipal school system, the county sheriff, the municipal police chief, and the two city clerks may be removed by the Governor at any time. All ex officio members, except the Director of the Department of Archives and History, may select a designee to represent him or her on the commission. No salary or compensation shall be allowed any member of the commission except expenses incurred in the performance of their duties, which expenses shall be paid pursuant to Article 2 of Chapter 7 of Title 36. The commission shall hold two meetings each year and at other times upon the call of the chair. The quorum for the Local Government Records Commission shall be one more than half of the total of ex officio members plus the filled appointed positions.
Acts 1955, No. 565, p. 1226, §7; Acts 1987, No. 87-658, p. 1165, §1; Act 2012-532, p. 1578, §1.)
The Local Government Records Commission shall be charged with the responsibility of determining which county, municipal, and other local government records shall be permanently preserved because of historical value and which county, municipal, and other local government records may be destroyed or otherwise disposed of after they have been microfilmed. The commission may classify the different types of records accordingly.
No county, municipal, or other local government official shall cause any county, municipal, or other local government record to be destroyed or otherwise disposed of without first obtaining the approval of the Local Government Records Commission.
(Acts 1955, No. 565, p. 1226, §8; Acts 1987, No. 87-658, p. 1165, §1.)
(a) Both the State Records Commission and the Local Government Records Commission are hereby empowered to conduct surveys of public records in carrying out the provisions of this chapter.
(b) Both commissions shall from time to time issue regulations classifying all public records and shall prescribe the period for which records of each class shall be retained. Such records may be permanent or for a lesser number of years. Such regulations may from time to time be amended or repealed. Prior to issuing such regulations, both the State Records Commission and the Local Government Records Commission shall consider the following factors:
(1) Actions at law and administrative proceedings in which the production of public records might be necessary or desirable;
(2) State and federal statutes of limitation applicable to such actions or proceedings;
(3) The availability of information contained in public records from other sources;
(4) The actual or potential historical value of certain public records; and
(5) Such other matters as the commissions shall deem pertinent in order that public records be retained for as short a period as is commensurate with the interests of the public.
(Acts 1955, No. 565, p. 1226, §10; Acts 1987, No. 87-658, p. 1165, §1.)
The expenses allowed by law for the county, municipal, and other local government officials who are members of the Local Government Records Commission shall be paid pursuant to Article 2 of Chapter 7 of Title 36. The expenses allowed by law for the representatives of the University of Alabama and Auburn University who are members of either the State Records Commission or the Local Government Records Commission shall be paid by their respective institutions.
(Acts 1955, No. 565, p. 1226, §11; Acts 1987, No. 87-658, p. 1165, §1.)
The head of any office, court, commission, board, institution, department, or agency of the state or of any political subdivision thereof may cause any record, document, plat, court file, book, map, paper, or writing made, acquired, or received as required by law to be photographed or microphotographed on plate or film. Such photographs, microfilms, or prints made therefrom, when duly authenticated by the custodian thereof, shall have the same force and effect at law as the original record or of a record made by any other legally authorized means and may be offered in like manner and shall be received in evidence in any court where such original record or record made by other legally authorized means could have been so introduced and received; provided, that the provisions of this article shall not apply to the State Department of Human Resources, the State Health Department, the State Board of Health, the state Department of Workforce or to any other office, court, commission, board, institution, department, or agency of the state which is otherwise authorized by law to provide for the photographing or microphotographing of its records.
(Acts 1955, No. 565, p. 1226, §1.)
The photographing or microphotographing of public records, except the public records of counties, municipalities, and other political subdivisions of the State of Alabama, shall be centralized in the Department of Archives and History. The Department of Archives and History is authorized to charge any office, court, commission, board, institution, department, or agency of the state for the photographing or microphotographing of public records belonging to that office, court, commission, board, institution, department, or agency. Such charge shall be on a cost basis.
(Acts 1955, No. 565, p. 1226, §2.)
The Department of Archives and History is hereby authorized to purchase or lease photographic or microphotographic equipment and supplies necessary to carry out the duties prescribed in this article.
There is hereby appropriated out of the General Fund of the state an amount sufficient to cover the cost of purchase or lease of such equipment and supplies, such appropriation to be released only upon the approval of the Governor.
(Acts 1955, No. 565, p. 1226, §4.)
The county commission of any county or municipality may appropriate an amount sufficient to cover the cost of photographing or microphotographing the public records belonging to that county or municipality.
(Acts 1955, No. 565, p. 1226, §3.)
No state or county official or employee shall destroy, dispose of, or cause to be destroyed or disposed of any public record that has been microfilmed under the provisions of this article until the microfilm copy has been processed and checked with the original for accuracy.
(Acts 1955, No. 565, p. 1226, §9.)
The Governor may designate any bank or savings association which is a qualified public depositary under Chapter 14A of this title as a state depositary as provided in this article.
(Code 1907, §641; Code 1923, §891; Code 1940, T. 55, §379; Act 2000-748, p. 1669, §2.)
Before any bank or savings association shall be designated as a state depositary, it shall be designated as a qualified public depository under Chapter 14A of this title, and it shall file with the State Treasurer an application in writing to be designated as a state depositary under the terms of this article.
Such qualified public depository shall accompany such application with a statement, verified by the affidavit of its president or other executive head, setting forth the amount of its paid-in capital stock, the amount of its surplus and undivided profits, its principal place of business, the length of time it has been engaged in business, and its assets and liabilities at the time of making application.
In the event of the default or insolvency, as defined in Section 41-14A-2, of any state depository, the State Treasurer shall take prompt action to enforce the rights of the state and the State Treasurer as a public depositor under Chapter 14A of this title.
(Code 1907, §642; Code 1923, §892; Acts 1939, No. 195, p. 349; Code 1940, T. 55, §380; Acts 1943, No. 14, p. 17, §1; Acts 1947, No. 411, p. 301, §1; Acts 1990, No. 90-638, p. 1172, §1; Act 2000-748, p. 1669, §2.)
Upon the filing of such application with the State Treasurer, the Treasurer shall certify to the Governor the fact of such application and the sworn statement accompanying the same, and thereupon the Governor may designate the applicant as a state depositary.
In the event the application is granted by the Governor, he or she shall promulgate an order declaring that the applicant is a state depositary until its authority is revoked.
(Code 1907, §643; Code 1923, §893; Code 1940, T. 55, §381; Acts 1943, No. 14, p. 17; Acts 1947, No. 411, p. 301, §2; Act 2000-748, p. 1669, §2.)
The state may pay any state depositary for the transfer or removal of funds to or from the state depositary, item handling charges, and for any other services performed by the state depositary. Payment for transfers, removals, item handling charges, and other services performed by the state depositary may be paid by credit allowances for investable balances; except where the service performed is for the benefit of a department of state government other than the State Treasury, then payment of the charges shall be from funds appropriated for the applicable department. When any funds or moneys are transmitted or transferred by any state depositary upon the order of the Treasurer, the same shall be and continue at the risk of the depositary until it shall have reached the destination contemplated by the order.
(Code 1907, §652; Code 1923, §902; Code 1940, T. 55, §390; Acts 1996, No. 96-764, p. 1349, §1.)
Any state or county officer in this state having in his or her possession or under his or her control funds or moneys belonging to the state may place the same in a state depositary to the credit of the State Treasurer and subject to the check or order of the Treasurer. No state depositary shall receive or have at any time an amount of paid money or funds in excess of the face value of bonds and other securities deposited or for which receipts have been deposited by it with the Treasurer.
(Code 1907, §644; Code 1923, §894; Code 1940, T. 55, §382; Acts 1943, No. 14, p. 17; Acts 1947, No. 411, p. 301, §3; Acts 1949, No. 223, p. 332.)
Each state depositary shall give to the officer placing funds or moneys therein to the credit of the Treasurer a receipt therefor in duplicate, and such officers shall immediately mail to the Department of Finance a duplicate of the said receipt. The Department of Finance shall, upon receiving the same, pass the amount therein mentioned to the credit of said officer and transmit the duplicate receipt to the Treasurer, who shall mail to the said officer a receipt for the same.
(Code 1907, §646; Code 1923, §896; Code 1940, T. 55, §384.)
Each state depositary shall report in writing at the close of each business day to the Treasurer the total amount of all sums placed therein for his or her account on that day, by whom made and for what purpose made.
At the end of each calendar month, a statement of the balance to the credit of the treasurer in such depositary shall be made by it to the Governor, Department of Finance and Treasurer.
(Code 1907, §647; Code 1923, §897; Code 1940, T. 55, §385.)
[Repealed]
Repealed effective January 1, 2001, by Act 2000-748, §3.
(Code 1907, §648; Code 1923, §898; Code 1940, T. 55, §386; Acts 1947, No. 411, p. 301, §4.)
THIS SECTION WAS REPEALED BY ACT 2000-748, 2000 REGULAR SESSION, EFFECTIVE JANUARY 1, 2001.
(Code 1907, §649; Code 1923, §899; Code 1940, T. 55, §387.)
Before any voluntary surrender of its designation as a state depository, any bank or savings association shall give at least 30 days’ notice to the Governor, Department of Finance, and Treasurer of its purpose to cease acting as a state depositary.
(Code 1907, §651; Code 1923, §901; Code 1940, T. 55, §389; Act 2000-748, p. 1669, §2.)
THIS SECTION WAS REPEALED BY ACT 2000-748, 2000 REGULAR SESSION, EFFECTIVE JANUARY 1, 2001.
(Code 1907, §650; Code 1923, §900; Code 1940, T. 55, §388; Acts 1947, No. 411, p. 301, §5.)
Nothing in this article shall be construed as requiring county or state officers to place state funds in state depositaries, and they may pay such funds into the State Treasury as now provided by law.
(Code 1907, §654; Code 1923, §904; Code 1940, T. 55, §392.)
The Treasurer, by and with the approval of the Governor, may place all funds or any part thereof paid to him or her by county or state officers or any other funds that he may have at any time on hand in any one or more of the state depositaries under the same rules and regulations governing other deposits made under this article.
(Code 1907, §655; Code 1923, §905; Code 1940, T. 55, §393.)
The Governor, the Department of Finance and the Treasurer are authorized to establish such regulations and collection methods not inconsistent with the provisions of this article as they may deem necessary for the convenient transaction of business with state depositaries.
(Code 1907, §653; Code 1923, §903; Code 1940, T. 55, §391.)
Any state or county officer, or state depositary or agent thereof, who shall violate any of the provisions of this article shall be guilty of a misdemeanor and may, on conviction, be fined not more than $2,500.00; and, in addition to the fine, such state or county officer may be removed from office.
(Code 1907, §7453; Code 1923, §5045; Code 1940, T. 41, §220.)
(a) The State Treasurer may deposit the money of the state in any available bank product in any bank or savings association that is a qualified public depository under Chapter 14A of this title and that has been designated as a state depositary according to law, so long as the bank or savings association agrees to pay interest on the money.
(b) The State Treasurer may invest so much of the funds as he or she may deem appropriate in bonds, notes, or treasury bills of the United States or in obligations of any agency or instrumentality of the United States of America, including but not limited to the Federal Land Bank, Federal Home Loan Bank, Federal National Mortgage Association, Federal Intermediate Credit Bank, banks for cooperatives, Resolution Trust Corporation, or any of its other agencies, or in any other obligations guaranteed as to principal and interest by the United States, or in money market mutual funds which invest solely in securities otherwise authorized in this section.
(c) Funds may also be invested in such obligations of the United States or its agencies under a repurchase agreement for a shorter time than the maturity date of the security itself.
(d) Funds may also be invested in commercial paper with the highest quality credit rating at the time of purchase and in banker’s acceptances.
(Acts 1967, No. 3, p. 336, §1; Acts 1977, 1st Ex. Sess., No. 45, p. 1460; Acts 1992, No. 92-169, p. 279, §1; Act 2000-748, p. 1669, §2; Act 2012-208, p. 348, §1.)
As much money as may be needed for current operational purposes of the state government, as determined by the State Treasurer in accordance with procedures prescribed by Section 41-14-32 and with the approval of the Governor, shall be maintained at all times in the State Treasury in cash or in demand deposits with state depositary banks.
The State Treasurer shall apportion such demand deposits among state depositaries, giving preference to banks that are located in Alabama and giving due consideration to the activities of the various banking accounts maintained therein, the reasonable value of the banking services rendered or to be rendered the state by depositary banks, and giving first priority to the value and importance of such deposits to the economy of the communities and the various areas of the state to be affected thereby, as indicated by the loan to deposit ratio.
(Acts 1967, No. 3, p. 336, §2; Acts 1971, 1st Ex. Sess., No. 62, p. 99; Act 2009-160, p. 320, §1.)
(a) The State Treasurer is authorized to enter into contracts with the state depositories for the deposit of state funds in time deposits, open account, having maturities of 91 days, six months, or one year; provided that any such contract for a time deposit, open account, having a maturity of 91 days shall provide for early withdrawal of funds upon written notice delivered at least 14 days (or the minimum period of time as is prescribed by applicable banking regulation then in effect) prior to the date of withdrawal.
(b) The State Treasurer shall apportion the time deposits, open account, among state depositories, giving preference to banks that are located in Alabama and giving due consideration to the activities of the various banking accounts maintained therein, the reasonable value of the banking services rendered or to be rendered the state by depositary banks, and giving first priority to the value and importance of such deposits to the economy of the communities and the various areas of the state to be affected thereby, as indicated by the loan to deposit ratio.
(c) The rate of interest to be paid on each time deposit, open account, of 91 days, six months, and one year maturity shall correspond to the rate borne by United States Treasury obligations of comparable maturity and shall be calculated as the average auction rate for United States Treasury Bills with maturities of 91 days and 26 weeks, respectively, as established at the four most recent auctions held immediately prior to the execution of the contract for such time deposit, open account, or where the maturity of the time deposit, open account, is one year, the weekly average one-year constant maturity yield, as published by the Board of Governors of the Federal Reserve System, for the calendar week immediately preceding the execution of the contract.
(d) The interest shall be payable in accordance with Section 41-14-34.
(Acts 1967, No. 3, p. 336, §4; Acts 1971, 1st Ex. Sess., No. 62, p. 99; Acts 1975, 1st Ex. Sess., No. 1, §2; Acts 1989, No. 89-868, p. 1743; Act 2004-486, p. 904, §1; Act 2009-160, p. 320, §1.)
(a) Interest shall be calculated on the basis of the contracts existing with respect to time deposits, open account, and shall be payable monthly to the State Treasurer and by that officer paid into the State Treasury to the credit of the General Fund of the state.
(b) In the event of an emergency, the Treasurer is authorized to comply with applicable banking regulations in order to receive all or any portion of the funds placed on time deposits, open account, on shorter notice than the agreement provides and to forfeit such amount of accrued and unpaid interest as may be required by such regulations.
(Acts 1967, No. 3, p. 336, §5; Acts 1983, 1st Ex. Sess., No. 83-80, p. 86.)
(a) All public deposits, as defined in Chapter 14A, of the state shall be secured to the extent and in the manner provided in Chapter 14A by any combination of the following securities and instruments, which may be issued and held in either definitive or book-entry form: Direct obligations of the State of Alabama or any other state of the United States; obligations of the United States government or that are fully guaranteed as to payment of principal and interest by the United States; obligations issued or guaranteed by any agency or instrumentality of the United States, including, without limitation, the Government National Mortgage Association or any successor thereto, any Federal Farm Credit Bank or any successor thereto, the Federal Housing Finance Board or any successor thereto, the Federal Home Loan Bank System or any successor thereto, or any Federal Home Loan Bank or any successor thereto; debt obligations, including, without limitation, participation certificates of the Federal Home Loan Mortgage Corporation or any successor thereto or of the Federal National Mortgage Corporation or any successor thereto; subject to the approval of the State Treasurer and compliance with all related requirements, conditions, and procedures established by the State Treasurer or the Board of Directors of the SAFE Program established under Chapter 14A, irrevocable, unconditional letters of credit issued by any Federal Home Loan Bank on behalf of a qualified public depository and naming the State Treasurer as beneficiary; any direct obligations of any agency, political subdivision, or instrumentality of the State of Alabama, including, without limitation, any direct obligation of any county or municipality, which carries the full faith and credit of the issuing entity; general obligations of any county, municipality, agency, political subdivision, or instrumentality of any of the various other states of the United States, which have a rating of “A2” or better by Moody’s Investors Service (or any successor to that firm) or of “A” or better by Standard & Poor’s (or any successor to that firm) or Fitch Ratings (or any successor to that firm); any revenue obligation issued by the State of Alabama or any agency, political subdivision, instrumentality, county, municipality, or district thereof, or by any authority, board, or public corporation of the State of Alabama or any such agency, political subdivision, instrumentality, county, municipality, or district, payable from designated taxes or from revenues or other limited or special sources of funds derived from any public facility or project which either (1) has a current rating of “A2” or better by Moody’s Investors Service (or any successor to that firm) or of “A” or better by Standard & Poor’s (or any successor to that firm) or Fitch Ratings (or any successor to that firm), or (2) has an average annual debt service coverage of at least two times; and mortgage-backed securities, collateralized mortgage obligations, and asset-backed securities (excluding, however, mortgage-backed securities, collateralized mortgage obligations, and asset-backed securities constituting inverse floaters, interest-only strips, principal-only strips, or similar leveraged derivative instruments), issued by any public entity or organization, quasi-public entity or organization, or private entity or organization, provided that, except in the case of mortgage-backed securities, collateralized mortgage obligations, and asset-backed securities issued by an agency or instrumentality of the United States or any federally chartered or sponsored quasi-public entity or organization (including the Federal National Mortgage Corporation or the Federal Home Loan Mortgage Corporation), such securities or obligations shall have a current rating of “Aaa” by Moody’s Investors Service (or any successor to that firm) or of “AAA” by Standard & Poor’s (or any successor to that firm) or Fitch Ratings (or any successor to that firm). All securities and other collateral shall be held in accordance with the requirements of Chapter 14A of this title, provided, however, any provisions of Chapter 14A notwithstanding, any Federal Home Loan Bank letters of credit accepted by the State Treasurer as collateral shall be held by the State Treasurer rather than a third-party custodian and may be drawn by the State Treasurer when necessary to satisfy losses to public depositors under Chapter 14A.
(b) No security shall be required for the amount of any deposit or account to the extent said deposit or account is insured by the Federal Deposit Insurance Corporation or any successor federal insurance corporation or agency.
(c) In accordance with subdivision (9) Section 41-14A-2, the types of securities and instruments that are eligible under or pursuant to this section to secure state money deposited in state depositories shall be eligible collateral for purposes of Chapter 14A and all qualified public depositories holding public deposits of any covered public entities or covered public officials, as such terms are defined in Chapter 14A, shall be required to pledge collateral, to the extent and in the manner specified in Chapter 14A, that complies with the requirements of this section. Notwithstanding the foregoing, the State Treasurer is authorized to disapprove any security or instrument offered or pledged as collateral under this section or under any provisions of Chapter 14A, including, without limitation, in any circumstance in which the State Treasurer determines that the security or instrument is not sufficiently marketable.
(Acts 1967, No. 3, p. 336, §6; Acts 1990, No. 90-638, p. 1172, §2; Act 2000-748, p. 1669, §2; Act 2003-305, p. 723, §1.)
Any person who knowingly demands or receives any fee, compensation, or reward or who demands or accepts directly or indirectly as payment or gift or otherwise any sum of money or other thing of value as an inducement or in return for the placement of any funds or for assistance either directly or indirectly in securing the placement of any moneys of the State of Alabama in time deposits, open account, demand accounts, or otherwise shall be guilty of a felony and, upon conviction, shall be imprisoned for not more than three years or fined not more than $3,000.00 or both; and, in the event the person convicted is an officer, agent or employee of the State of Alabama, he shall be dismissed from office or discharged from employment.
(Acts 1967, No. 3, p. 336, §7.)
Nothing contained in this article shall be construed to modify, amend, or repeal the provisions of Section 36-17-18, as now existing or hereafter amended, relating to investment in direct obligations of the United States of America registered in the name of the State Treasurer.
(Acts 1967, No. 3, p. 336, §8; Acts 1971, 1st Ex. Sess., No. 62, p. 99; Acts 1975, 1st Ex. Sess., No. 1, §3.)
The provisions of this article shall not apply to funds subject to withdrawal by a state official, state department, or state agency other than the State Treasurer.
(Acts 1967, No. 3, p. 336, §9.)
This article shall be known as the Linked Deposit Program of 2007. The purpose of this article is to enhance the George Wallace, Jr., Plan for Linked Deposits of 1988 and further stimulate growth and development in agricultural and small business operations, and to provide disaster relief funds to citizens, by authorizing the State Treasurer to invest a portion of the portfolio of the state with participating eligible lending institutions in a below market rate deposit which links the deposit to a reduced rate loan to eligible borrowers.
(Act 2007-397, p. 790, §1.)
When used in this article, the following words and phrases have the following meanings:
(1) AGRICULTURE and AGRICULTURAL. Those activities, land, buildings, and machinery relating to any of the following:
a. The raising, harvesting, rotation, selling, or marketing of crops or products of the soil planted, served, or saved including cereals, vegetables, fruits, fibers, sugars, resins and pitches, grasses, grains, seeds, nuts, bulbs, feed, forage, wood and wood by-products, nursery stock, including trees and shrubs or other plants grown or kept for propagation, distribution, or sale, vegetable oils, flowers, silage, pasturage, and other products and produce thereof.
b. The feeding, breeding, management, raising, marketing, sale, or production of livestock of all types, poultry, insects, fish, and other aquatic animals for meat, leather, eggs, fur, milk, bone, liquids, and other products and produce thereof.
c. Recreational or educational activities directly involving or relating to the production of farm products of the types described in paragraphs a. and b., fishing or the taking, capture, or capture and release of wildlife, including wildlife animal feeding, husbandry, and conservation activities, as well as fish and game management, culling, hunting, and related wildlife environmental preservation activities.
(2) AGRICULTURAL BORROWER. Any individual, partnership, cooperative, corporation, or other entity engaged in agriculture or agricultural activities, or both, and which meets all of the following criteria:
a. Derives at least 60 percent of gross income from agriculture or agricultural activities.
b. Is an Alabama resident.
c. Is headquartered and operating in Alabama.
d. Does not currently owe any defaulted taxes to the State of Alabama or any political subdivision.
(3) CONSTANT MATURITY TREASURY RATE (CMT). Yields interpolated by the United States Treasury from the daily yield curve. This curve, which relates the yield on a security to its time to maturity is based on the closing market bid yields on actively traded U.S. Treasury securities in the over-the-counter market. These market yields are calculated from composites of quotations obtained by the Federal Reserve Bank of New York.
(4) ELIGIBLE BORROWER. An agricultural, emergency, or small business borrower that meets the definition and criteria to participate in the program.
(5) ELIGIBLE LENDING INSTITUTION. Any bank or financial institution designated as a state depositary, as provided under Section 41-14-3, and amendments thereto, that agrees to participate in the program and completes a linked deposit participation agreement.
(6) EMERGENCY BORROWER. Any individual, business, organization, or local government which has suffered loss, and which is located in areas in which property loss has occurred due to fire, flood, tornado, hurricane, or other act of God, or other natural or man-made disaster.
(7) LINKED DEPOSIT. Deposit of state funds made by the Treasurer in support of loans made by eligible lending institutions to eligible borrowers.
(8) LINKED DEPOSIT LOAN. Reduced rate loan made to an eligible borrower by an eligible lending institution that received a below market rate linked deposit for the same term.
(9) LINKED DEPOSIT PARTICIPATION AGREEMENT. The written agreement between the Treasurer and the eligible lending institution that specifies duties and responsibilities of each party consistent with this article and the program.
(10) PROGRAM. The linked deposit program, created in Section 41-14-52, and administered by the Treasurer whereby an investment of state funds is placed with an eligible lending institution which in turn funds a loan in the full amount of the deposit to an eligible borrower.
(11) SMALL BUSINESS BORROWER. Any individual, proprietor, corporation, partnership, or other entity which meets all of the following criteria:
a. Is headquartered in Alabama.
b. Maintains operations and transacts business in Alabama.
c. Employs fewer than 150 full-time and part-time employees.
d. Is organized for profit.
e. Does not currently owe any defaulted taxes to the State of Alabama or any political subdivision.
(12) TREASURER. The Treasurer of the State of Alabama, or the designee of the Treasurer.
(Act 2007-397, p. 790, §1.)
(a) The Linked Deposit Program of 2007 is created and the Treasurer shall administer the program.
(b) The Treasurer shall establish procedures, guidelines, forms, and other requirements to carry out this article. The Treasurer may disseminate program information to interested parties.
(c) The maximum amount that the Treasurer may invest in the program shall not exceed 10 percent of all monies available to the Treasurer for investment as calculated by the average of the quarter-end amount for the previous four quarters. The amount invested in the program is at the total discretion of the Treasurer.
(d) The Treasurer shall provide an annual report outlining the status of the program and publish the report on the Treasury website for the benefit of the Governor, Legislature, and general public.
(Act 2007-397, p. 790, §1.)
(a) An eligible lending institution shall accept and review applications for linked deposit loans from eligible borrowers. The lending institution shall apply all usual lending standards to determine the credit worthiness of eligible borrowers.
(b) The eligible lending institution shall forward to the Treasurer a linked deposit package, in the form and manner prescribed by the Treasurer.
(Act 2007-397, p. 790, §1.)
(a) Only one linked deposit shall be made and be outstanding at any one time to any one eligible borrower.
(b) The linked deposit amount shall not exceed seven hundred fifty thousand dollars ($750,000) per eligible borrower.
(c) The initial linked deposit term shall be two years.
(d) The linked deposit may be renewed for three additional two-year terms at the option of the Treasurer for a total duration of eight years.
(e) The linked deposit may not be made in support of a loan for the purpose of construction, leasing, rental, real estate investment, other than for owner-occupied business premises of the borrower, or speculation.
(f) The linked deposit shall be returned to the Treasurer at the earliest of (1) repayment of the linked deposit loan; or (2) expiration of the linked deposit.
(g) All linked deposit funds and interest shall be electronically disbursed and received through the State Treasury.
(h) Linked deposit interest shall be paid to the Treasurer monthly.
(Act 2007-397, p. 790, §1.)
(a) The linked deposit fixed rate paid by the eligible lending institution shall be two percent below the two-year constant maturity treasury rate.
(b) The minimum linked deposit rate shall be one percent.
(c) The linked deposit loan rate to the eligible borrower shall be set by the eligible lending institution at a fixed rate not more than four percent greater than the interest rate on the linked deposit as provided in subsection (a).
(Act 2007-397, p. 790, §1.)
(a) Neither the state nor the Treasurer shall be liable to any eligible lending institution in any manner for payment of the principal or interest on the linked deposit loan to an eligible borrower.
(b) Any delay in payments or any default on the part of the eligible borrower does not in any manner affect the linked deposit participation agreement between the eligible lending institution and the Treasurer.
(Act 2007-397, p. 790, §1.)
This chapter may be cited as the “Security for Alabama Funds Enhancement Act.”
(Act 2000-748, p. 1669, §1.)
As used in this chapter, the following words and terms shall have the following meanings:
(1) AVERAGE MONTHLY BALANCE OF PUBLIC DEPOSITS. The sum of the average daily balances of public deposits, meaning the net average daily balances of public deposits determined without any deduction for deposit insurance, for the reported month and the 11 months preceding that month, divided by 12.
(2) BOARD OF DIRECTORS or BOARD. The Board of Directors of the SAFE Program established under Section 41-14A-6. The board of directors shall consist of eight members.
(3) COLLATERAL-PLEDGING LEVEL or COLLATERAL-PLEDGING REQUIREMENT. The percentage or percentages of collateral, in relation to one or more levels of public deposits held, required to be pledged by a qualified public depository as determined in accordance with the provisions of this chapter or rules or orders of the board adopted pursuant to this chapter.
(4) COVERED PUBLIC ENTITY. The state and its political subdivisions, including its agencies, departments, boards, commissions, officers, public institutions of higher learning as defined in Section 16-5-1, and courts; counties, including the offices of their public officials, whether elected or appointed, and any of their agencies, departments, boards, school districts, commissions, and courts; municipalities, and any of their agencies, departments, boards, school districts, commissions, and courts; public corporations, including any public board, authority, or district, heretofore or hereafter organized or created in this state pursuant to authorization or determination of any municipality or municipalities or by any county or counties or the governing body of any one or more thereof and that receive any appropriations of funds by action of the Legislature of this state or any governing body of any political subdivision, municipality, or county of this state or that receive the proceeds of any tax levied pursuant to any statute of this state; any improvement authority incorporated under Chapter 7 of Title 39; any public corporation or instrumentality created under the statutes of this state enacted prior to January 1, 2001, that expressly provide that depositories of funds of such public corporation or instrumentality shall pledge collateral to secure the public corporation’s or instrumentality’s deposits; and any other public corporation created under statutes of this state enacted on or after January 1, 2001, that provide that the public corporation shall be subject to the provisions of this chapter.
(5) COVERED PUBLIC OFFICIAL. In the case of the State of Alabama, the State Treasurer or the State Treasurer’s designee, and, in the case of each other covered public entity, the treasurer or other chief financial officer or public official, or designee thereof, responsible for handling deposits of any funds of such covered public entity.
(6) CUSTODIAN. Any bank, savings association, or trust company that:
a. Is organized and existing under the laws of this state, any other state of the United States, or the United States.
b. Has executed all forms required under this chapter or any rule adopted hereunder.
c. Agrees to be subject to the jurisdiction of the courts of this state, or of courts of the United States which are located within this state, for the purpose of any litigation arising out of this chapter.
d. Has been approved pursuant to this chapter to act as a custodian.
(7) DEFAULT or INSOLVENCY. The failure or refusal of a qualified public depository to pay any check or warrant drawn upon sufficient and collected funds by any public depositor or to return any deposit on demand or at maturity together with interest as agreed; the issuance of an order by any supervisory authority restraining such depository from making payments of deposit liabilities; or the appointment of a receiver for such depository.
(8) DEPOSIT INSURANCE. That amount of insurance provided by the Federal Deposit Insurance Corporation or its successor, applicable to each public depositor’s public deposits in a particular financial institution.
(9) ELIGIBLE COLLATERAL. Any of the types of securities or other investment instruments designated as being eligible collateral for state depositories in Section 41-14-35.
(10) FINANCIAL INSTITUTION. A bank or savings association which is organized and existing under the laws of this state, any other state of the United States, or the United States, and which is authorized pursuant to the laws of this state or the United States to conduct, and is conducting, the business of making loans and taking deposits in this state.
(11) GENERALLY APPLICABLE PLEDGING LEVEL. Prior to December 31, 2003, 100 percent of a qualified public depository’s net average daily balance of public deposits; and on and after December 31, 2003, the percentage of net average daily balance of public deposits established by the board of directors as the generally applicable collateral pledging level for qualified public depositories, provided, however, that the generally applicable collateral pledging level established by the board of directors shall not be less than 70 percent of a qualified public depository’s net average daily balance of public deposits.
(12) LOSS PAYMENT FUND. The SAFE Loss Payment Fund established under Section 41-14A-10.
(13) LOSS TO PUBLIC DEPOSITORS. Loss of all or part of principal or all or part of interest, or both, or other earnings on the principal accrued or accruing as of the date the qualified public depository was declared in default or insolvent.
(14) NET AVERAGE DAILY BALANCE OF PUBLIC DEPOSITS. With respect to a reported month, the total of the daily account balances of all public deposits held by a qualified public depository, less applicable deposit insurance, divided by the number of calendar days in the month.
(15) PROGRAM ADMINISTRATION FUND. The SAFE Program Administration Fund established under Section 41-14A-12.
(16) PROGRAM ENFORCEMENT FUND. The SAFE Program Enforcement Fund established under Section 41-14A-13.
(17) PUBLIC DEPOSIT. The funds of any covered public entity or covered public official that are placed on deposit in a qualified public depository, including, but not limited to, time deposit accounts, demand deposit accounts, and certificates of deposit. All certificates of deposit, whether negotiable or nonnegotiable, shall be considered deposits and shall be subject to the provisions of this chapter. Funds held by a financial institution, on behalf of a covered public entity or covered public official, in securities and other investment vehicles, including, but not limited to, bonds, notes, bills, warrants, common trust funds, money market mutual funds and other mutual funds, investment trusts, repurchase agreements, and reverse repurchase agreements and similar instruments are considered investments and are not public deposits as defined in this subdivision.
(18) PUBLIC DEPOSITOR. Any covered public entity or covered public official which or who makes a public deposit.
(19) QUALIFIED PUBLIC DEPOSITORY. Any financial institution that has deposit insurance under the provisions of the Federal Deposit Insurance Act, 12 U.S.C. § 1811 et seq., that meets all of the requirements of this chapter, and that has been designated by the board as a qualified public depository.
(20) REQUIRED COLLATERAL. That eligible collateral which is required to be pledged by a qualified public depository in order to satisfy the qualified public depository’s collateral-pledging requirement.
(21) SAFE COLLATERAL POOL. At any given time, the aggregate collateral pledged by all qualified public depositories pursuant to this chapter in connection with the SAFE Program.
(22) SAFE PROGRAM. The Security for Alabama Funds Enhancement Program established and to be administered under this chapter.
(23) STATE TREASURER. The Treasurer of the State of Alabama.
(Act 2000-748, p. 1669, §1.)
(a) On and after January 1, 2001:
(1) All public deposits of all covered public entities and covered public officials shall be governed by this chapter and shall be secured as provided in this chapter.
(2) All public depositors shall, notwithstanding any other laws to the contrary, place their public deposits with one or more qualified public depositories in accordance with this chapter. Notwithstanding the foregoing, funds placed in interest-bearing deposits through a qualified public depository pursuant to subsection (c) shall be exempt from the other requirements of this chapter.
(3) All financial institutions shall file the reports required by this chapter or by rule, regulation, or order of the board of directors and all financial institutions accepting any public deposits shall be a qualified public depository and shall comply with all provisions of this chapter, including, without limitation, the collateral pledging requirements of Section 41-14A-5.
(b) Funds held solely for the purpose of paying registrars or paying agents are exempt from the requirements of this chapter.
(c) In addition to any other authorization for the investment or deposit of funds by a public depositor, a public depositor may deposit funds in banks and savings associations that are not qualified public depositories provided that all of the following are satisfied:
(1) The public depositor enters into one or more agreements with a qualified public depository designated by the public depositor pursuant to which the qualified public depository agrees to arrange for the placement of funds of the public depositor in interest bearing deposits of other banks or savings associations in amounts not exceeding applicable Federal Deposit Insurance Corporation deposit insurance limits.
(2) To prevent deposits from exceeding the insurance coverage provided by the Federal Deposit Insurance Corporation, the public depositor provides the qualified public depository with a notification that identifies all banks and savings associations that are holding deposits on behalf of the public depositor and on behalf of any department, agency, or other instrumentality whose deposits would be aggregated with those of the public depositor in determining the maximum available Federal Deposit Insurance Corporation insurance coverage.
(3) The qualified public depository arranges for the deposit of the funds in one or more federally insured banks or savings associations, wherever located, for the account of the public depositor, provided, that the qualified public depository shall not arrange for the deposit of the funds with any bank or savings association identified in the notification provided by the public depositor pursuant to subdivision (2).
(4) Each deposit is entered in the records of the qualified public depository and the other banks and savings associations that receive or are credited with the deposit in such manner that the full amount of principal and accrued interest of the deposit is insured by the Federal Deposit Insurance Corporation.
(5) The deposits are held by the qualified public depository for the public depositor under a custodial arrangement.
(6) At the time the funds are deposited through the qualified public depository, the qualified public depository receives or is credited with an amount of deposits from customers of other federally insured banks or savings associations equal to or greater than the amount of funds deposited by the public depositor in other banks and savings associations through the qualified public depository.
(7) The public depositor receives confirmation of the deposits and periodic statements that reflect the ownership of the deposits by the public depositor, the names of the banks and savings associations that hold the deposits, and the interest rate or rates on the deposits.
(8) a. The qualified public depository agrees to provide to the Department of Examiners of Public Accounts, upon request, information necessary to permit the department to verify the deposits of the public depositor that are held by the banks and savings associations named on the confirmation of deposits and periodic statements and were placed through the qualified public depository.
b. Notwithstanding any other provision of law, any qualified public depository may release records and other documentation and information to the department for the purposes of this subdivision.
(d) Subsection (c) shall not apply to funds or moneys of the state that are deposited or invested by the State Treasurer pursuant to Chapter 14.
(e) No funds placed pursuant to subsection (c) shall be protected by the SAFE Program or eligible to participate in the SAFE collateral pool or the Loss Payment Fund.
(Act 2000-748, p. 1669, §1; Act 2009-471, p. 835, §1.)
There is hereby created the Security for Alabama Funds Enhancement (SAFE) Program. The SAFE Program shall be administered by the State Treasurer in accordance with the provisions of this chapter and rules, regulations, and guidelines established by the board of directors of the SAFE Program pursuant to Section 41-14A-6. The facilities and resources of the State Treasurer’s office shall be used and employed in the administration of the SAFE Program including the keeping of records and the management of funds and accounts.
In addition to all other powers and responsibilities assigned or undertaken by the State Treasurer under this chapter, the State Treasurer shall be authorized to undertake such powers and responsibilities as shall be delegated to the State Treasurer by the Board of Directors of the SAFE Program.
The Loss Payment Fund, the Program Administration Fund, the Program Enforcement Fund, and any other funds and accounts maintained by the State Treasurer pursuant to this chapter, and all interest and earnings from the investment thereof, shall be exempt from all taxation by the state and by all of its political subdivisions.
(Act 2000-748, p. 1669, §1.)
(a) Every qualified public depository shall maintain on deposit with a custodian, to be held subject to the order of the State Treasurer or the State Treasurer’s designee (which may be a financial institution designated by the State Treasurer), eligible collateral having a market value equal to or in excess of the amount of collateral required under this section.
(b) Each qualified public depository shall be required to pledge collateral, in accordance with procedures established by the board of directors, equal to or exceeding the greater of the following: (1) The generally applicable pledging requirement; and (2) the applicable percentage of the qualified public depository’s net average daily balance of public deposits established under rules or orders adopted pursuant to subsection (c) or subsection (d) below.
(c) The State Treasurer may, from time to time, in his or her discretion require that certain qualified public depositories pledge collateral at levels greater than the generally applicable pledging percentage, including, without limitation, in the case of a qualified public depository with capital accounts which exceed, or constitute an unacceptably high percentage of, the public deposits maintained with the qualified public depository, and in the case of qualified public depositories which the State Treasurer determines may present a higher risk of potential default or insolvency in light of when they commenced operation, recent decrease in capital accounts, recent change in financial condition, and similar matters. The State Treasurer may impose increased collateral-pledging requirements under this subsection pursuant to generally applicable rules and guidelines adopted by the board of directors or by entering orders applicable to individual qualified public depositories in accordance with criteria and conditions approved by the board of directors, or both. In the event the State Treasurer issues an order establishing an increased collateral-pledging level applicable to a particular qualified public depository, the State Treasurer shall promptly notify the affected qualified public depository in writing.
(d) The State Treasurer may impose higher collateral-pledging requirements on a qualified public depository to the extent that the public deposits maintained by the qualified public depository exceed a specified percentage (the “designated concentration level”) established by the board of directors by rule or regulation of the total public deposits held in all qualified public depositories, in which event each affected qualified public depository shall maintain a collateral-pledging level as follows:
(1) With respect to the qualified public depository’s net average daily balance of public deposits that do not exceed the designated concentration level, the collateral-pledging requirement shall be determined under subsections (b) or (c) above, as applicable.
(2) With respect to the qualified public depository’s net average daily balance of public deposits that exceed the designated concentration level, the collateral-pledging requirement shall be the percentage of net average daily balances of public deposits designated by the board.
Determination of whether any qualified public depository maintains collateral in excess of the designated concentration level shall be made by the State Treasurer on the basis of the net average monthly balance of public deposits during the immediately preceding 12-month period.
(e) Deposits of eligible collateral shall be made with a custodian in accordance with procedures established by the State Treasurer, including procedures relating to the execution of documentation to assure that the State Treasurer, on behalf of the Loss Payment Fund, will be able to liquidate collateral deposited by each qualified public depository in the event of a loss to public depositors. Each custodian shall be approved by the State Treasurer in accordance with rules, regulations, or guidelines adopted by the board of directors and the laws of this state.
A qualified public depository may not accept or retain any public deposits which are required to be secured unless it has first deposited eligible collateral equal to or exceeding its required collateral pursuant to this chapter. During any month, a qualified public depository may not accept any public deposit that would increase its net average daily balance of public deposits for that month by 25 percent over the net average daily balance of public deposits for the previously reported month unless it deposits or has on deposit additional required collateral to secure such increase and reports such additional collateral to the State Treasurer prior to the acceptance of such deposit.
(f) Collateral shall be valued in such manner as shall be established in rules or regulations adopted by the board of directors, provided that valuations may not be required more frequently than monthly for any qualified public depositories other than in the case of depositories which are then subject to any suspension, disqualification, or cease and desist order under this chapter. Withdrawals and substitutions of collateral pledged by qualified public depositories shall not be permitted without the approval of the State Treasurer. The State Treasurer shall adopt rules, regulations, or guidelines to permit qualified public depositories to withdraw collateral pledged under this chapter by substituting other eligible collateral of at least equal market value. Any qualified public depository that withdraws or substitutes collateral or custodian that permits withdrawal or substitution of collateral in violation of this chapter shall be subject to the penalties provided in subdivision (3) of subsection (e) of Section 41-14A-7.
(g) A custodian holding collateral under this chapter shall hold such collateral for the benefit of the Loss Payment Fund. The security interest of the Loss Payment Fund in collateral placed with a custodian shall be deemed automatically perfected under the provisions of Articles 8 and 9 of Title 7, as of the date of the acceptance of the deposit of the collateral with the custodian or any subagent of the custodian without the necessity of further action on the part of the Loss Payment Fund. Prior to a default by a qualified public depository and the institution of action by the State Treasurer to enforce the security interest of the Loss Payment Fund under this chapter, the qualified public depository shall not be deemed to have transferred ownership of any pledged collateral to the State Treasurer or the Loss Payment Fund but the qualified public depository’s ownership of the pledged collateral shall be subject to a valid and enforceable lien and security interest in favor of the Loss Payment Fund. Any sale pursuant to the provisions of this chapter by the State Treasurer of any collateral pledged to the Loss Payment Fund shall, when the sale is made and the purchase price paid, have the effect of transferring to and vesting in the purchaser of such sale title to the said bonds or other securities comprising such collateral and as authorizing the said purchaser to have the bonds or other securities so purchased registered in the name of the purchaser or its nominee.
(Act 2000-748, p. 1669, §1.)
(a) There is hereby established a Board of Directors of the SAFE Program charged with responsibility and authority to assess and manage the sufficiency of the collateral pool and the SAFE Program to provide adequate protection from losses to public depositors. In exercising its powers and performing its responsibilities, the board of directors shall constitute a body politic under the laws of the state performing the public function of assuring the safety of public deposits.
(b)(1) The State Treasurer shall be a permanent, standing, voting member of the board of directors and shall serve as its chair. The Superintendent of Banks shall be a permanent, standing, non-voting member of the board of directors. The remaining six members shall each possess knowledge, skill, and experience in one or more of the following areas:
a. Financial analysis.
b. Trend analysis.
c. Accounting.
d. Banking.
e. Risk management.
f. Investment management.
(2) The remaining six members shall be comprised of four members each of whom shall be a representative of an active qualified public depository that is not in the process of withdrawing from the SAFE Program and which is in compliance with all applicable rules, regulations, and reporting requirements of this chapter, one of whom will be selected and approved by the State Treasurer and three of whom shall be selected and approved by the State Treasurer from three or more nominations submitted by the Alabama Bankers Association (or any successor association or entity, or, if no such association or successor association or entity shall then exist, submitted by the Superintendent of Banks); one member who shall be a representative of a municipality within the state and who will be selected and approved by the State Treasurer from one or more nominations submitted to the State Treasurer by the League of Municipalities of Alabama; and one member who shall be a representative of a county within the state and who will be selected and approved by the State Treasurer from one or more nominations submitted to the State Treasurer by the Association of County Commissions of Alabama.
(3) The terms of the members of the board of directors other than the State Treasurer and the Superintendent of Banks shall be four years, except that, with respect to the initial appointments, as determined by the State Treasurer, one member will serve one year, one member will serve two years, two members will serve three years, and two members will serve four years. Any person appointed to fill a vacancy on the board may serve only for the remainder of the unexpired term. Any member is eligible for reappointment and shall serve until a successor is selected.
(4) The chair shall annually designate a member of the board of directors to serve as vice chair, and a secretary who need not be a member of the board of directors. The secretary shall keep a record of the proceedings of the board of directors and shall be the custodian of all printed materials filed with or by the board.
(5) Notwithstanding the existence of vacancies on the board of directors, two-thirds of the voting members then serving shall constitute a quorum. The board of directors may not take official action in the absence of a quorum.
(6) The board of directors shall meet quarterly and at other times deemed necessary to assess and manage the operations of the SAFE Program.
(7) Except as otherwise specifically provided in subdivision (8) only as it relates to virtual participation of members of the board and the public, all meetings and notice of meetings of the board of directors, including meetings at which administrative fines and penalties are established, shall be subject to the Alabama Open Meetings Act, Chapter 25A of Title 36, provided that sessions at which any information that is confidential under subsection (f) shall not be subject to Section 13A-14-2, and shall not be open to the public.
(8) Members of the board of directors or any committee established by the board may participate in a meeting of the board or committee by means of telephone conference, video conference, or similar communications equipment by means of which all persons participating in the meeting may hear each other at the same time. Participation by means authorized in this subdivision shall constitute presence in person at a meeting for all purposes, including the establishment of a quorum, to deliberate and to take action. The telephone or video conference or similar communications equipment shall also allow members of the public the opportunity to simultaneously listen to or observe meetings held pursuant to this subdivision.
(c) In adopting, amending, or repealing any rule, regulation, standard, or statement of general applicability, the board of directors shall be subject to the applicable requirements of the Alabama Administrative Procedure Act, Chapter 22 of this title.
(d) In connection with the assessment and management of the sufficiency of the collateral pool and the SAFE Program to provide adequate protection from losses to public depositors, the board of directors may exercise the following powers:
(1) Designate financial institutions as qualified public depositories and require such collateral, or increase the collateral-pledging level, of any qualified public depository as may be necessary to administer this chapter and to ensure the sufficiency of the collateral pool and the SAFE Program to provide adequate protection from losses to public depositors.
(2) Establish guidelines for accepting, or for reducing the reported value of, collateral as circumstances may require in order to ensure the pledging of sufficient marketable collateral to meet the purposes of this chapter.
(3) Authorize the State Treasurer to issue suspensions, disqualifications, administrative penalties, and cease and desist orders in accordance with Section 41-14A-7 against any qualified public depository that has violated any of the provisions of this chapter or any rules, regulations, or orders of the board of directors or the State Treasurer adopted under this chapter.
(4) Take such actions as the board of directors shall consider to be necessary, appropriate, or desirable in order to assess and manage the sufficiency of the collateral pool and the SAFE Program to provide adequate protection from losses to public depositors, including, without limitation:
a. Establish procedures for the verification of the reports of any qualified public depository relating to public deposits it holds when necessary to ensure the availability of adequate funds to pay any potential losses to public depositors.
b. Establish criteria, based on the overall financial condition of the participants and applicants, as may be necessary, to ensure the sufficiency of the collateral pool and the SAFE Program to provide adequate protection from losses to public depositors.
c. Establish collateral-pledging levels based on qualitative and quantitative standards.
d. Establish rules and procedures for the State Treasurer to monitor and confirm, as often as deemed necessary by the State Treasurer, the pledged collateral held by custodians.
e. Set requirements for the filing by qualified public depositories, custodians, the State Treasurer, the board’s agents and contractors, and other persons of documents, reports, records, or other information deemed necessary by the board of directors to monitor the sufficiency of the collateral pool and the SAFE Program to provide adequate protection from losses to public depositors, including, without limitation:
Require reports of each qualified public depository to reflect the net average monthly balance of the public deposits held by the qualified public depository and to reflect the collateral pledged by qualified public depositories under this chapter, which reports shall not be required more frequently than monthly except in the case of any qualified public depository that is then subject to default or insolvency or is the subject of an order of suspension or disqualification or a cease and desist order issued by the State Treasurer.
Require the submission of copies of quarterly or annual financial and regulatory reports of qualified public depositories.
f. Direct the State Treasurer to maintain perpetual inventory of pledged collateral.
g. Perform, or direct the State Treasurer to perform, financial analysis of any qualified public depository as needed.
h. Establish a minimum amount of required collateral as the board of directors deems necessary to provide for the contingent liability pool.
(5) Empower the State Treasurer to sell pledged securities, or move pledged securities to an account established in the Loss Payment Fund’s name, for the purpose of paying losses to public depositors not covered by deposit insurance or to perfect the Loss Payment Fund’s interest in the pledged securities.
(6) Empower the State Treasurer to transfer funds directly from any custodian to public depositors or the receiver in order to facilitate prompt payment of claims.
(7) Adopt and implement, and monitor compliance with, such standards, rules, regulations, guidelines, and orders as the board of directors shall consider to be appropriate or desirable for the purposes of maintaining the sufficiency of the collateral pool to provide adequate protection from losses to public depositors.
(8) Delegate to the State Treasurer all of the responsibility for the day-to-day administration of the SAFE Program and of the standards, rules, regulations, guidelines, and orders adopted by the board of directors, as deemed appropriate or desirable by the board of directors.
(9) Establish the conditions under which entities resulting from mergers, consolidations, sales of assets and similar transactions involving qualified public depositories will succeed qualified public depositories and assume the former institution’s contingent liability agreement under Section 41-14A-8, and to prescribe requirements for notification by qualified public depositories to the board of mergers, consolidations, sales of assets, changes of address, changes of name, and similar matters.
(10) Establish the conditions under which qualified public depositories will be required to involuntarily withdraw from participation in the program and for the conditions under which collateral pledged by withdrawing qualified public depositories will be released.
(11) Authorize the filing of any information or forms required under this chapter to be by electronic data transmission. Such filings of information or forms shall have the same force and effect as a signed writing.
(e) The board of directors shall adopt rules or regulations empowering the State Treasurer to impose requirements on qualified public depositories to ensure that applicable accounts maintained by covered public entities and covered public officials are adequately identified as public deposits covered by this chapter and that each qualified public depository can identify on its records the name, address, and federal employer identification number of the covered public entities and covered public officials maintaining public deposits in such qualified public depository. The State Treasurer may require that each qualified public depository shall provide an annual statement to each public depositor then maintaining public deposits with the qualified public depository summarizing the balances of public deposits held by the qualified public depository for the public depositor. The balances reflected in any annual statement provided by a qualified public depository shall be deemed correct unless the public depositor notifies the qualified public depository to the contrary within 60 days of receipt of the statement.
(f) Any information contained in a report of a financial institution provided to the board of directors or the State Treasurer under this chapter, if made confidential by any law of the United States or of this state and if the board is notified by the financial institution of such confidentiality, shall be considered confidential and exempt from the provisions of Section 36-12-40, and not subject to dissemination to anyone other than the board of directors and the State Treasurer under this chapter.
(g) Members of the board of directors shall serve without compensation, but shall be reimbursed for each day’s official duties of the board of directors at the same per diem and travel rate as is paid employees of the state.
(h) Neither the board of directors nor the State Treasurer shall have the authority to assess, charge, or collect any of the costs associated with the implementation, administration, or enforcement of the SAFE Program against any covered public entities, covered public officials, or qualified public depositories; provided, however, that this subsection shall not limit or restrict the authority of the board or the State Treasurer, as applicable, to impose administrative penalties or order restitution pursuant to Section 41-14A-7 or to make assessments against qualified public depositories for losses in accordance with Section 41-14A-9.
(Act 2000-748, p. 1669, §1; Act 2022-415, §1.)
(a) The board of directors shall have the authority to establish by rule or regulation conditions and procedures under which qualified public depositories may be suspended or disqualified and assessed administrative penalties in lieu of suspension or disqualification for violations of this chapter or violations of the board’s standards, rules, regulations, and orders pursuant to this chapter. The State Treasurer shall have the authority to require that qualified public depositories violating this chapter or any of the board’s standards, rules, regulations, and orders make restitution, with interest at the legal rate, for losses of public depositors or to the Loss Payment Fund, and to issue cease and desist orders against any qualified public depository violating or believed to be violating any provisions of this chapter or any of the board of directors’ or the State Treasurer’s standards, rules, regulations, and orders pursuant to this chapter and to impose administrative penalties against any qualified public depository violating any cease and desist order issued by the State Treasurer.
(b) The suspension or disqualification of a financial institution as a qualified public depository shall be by order of the State Treasurer, and such order shall be mailed to the qualified public depository by registered or certified mail. Within the time and in the manner specified in the order of suspension or disqualification, the financial institution shall provide to the State Treasurer a report listing the names and addresses of each public depositor having public deposits with the financial institution and such other relevant information as the State Treasurer may request, and the State Treasurer shall provide for the prompt notification to each public depositor having public deposits with a suspended or disqualified financial institution of any such suspension or disqualification.
(c) The procedures for suspension or disqualification shall be as set forth in Chapter 22 of this title, and in the rules of the board of directors adopted pursuant to this chapter.
(d) Whenever the State Treasurer determines that an immediate danger to the public health, safety, or welfare exists, the board may take any appropriate action that may be available under the provisions of Chapter 22 of this title.
(e) If the State Treasurer finds that one or more grounds exist for the suspension or disqualification of a qualified public depository, the State Treasurer, in lieu of such suspension or disqualification, may impose an administrative penalty upon the qualified public depository as follows:
(1) With respect to any nonwillful violation, such penalty, exclusive of any restitution found to be due, may not exceed two hundred fifty dollars ($250) for each violation. Each day a violation continues constitutes a separate violation; provided, however, that the maximum aggregate penalty for any continuing violation under this subdivision shall be five thousand dollars ($5,000) irrespective of the number of days the violation continues prior to the assessment of the penalty.
(2) With respect to any knowing and willful violation of a lawful order or rule, including, without limitation, the failure to make restitution in accordance with a lawful order of the State Treasurer following notification to the qualified public depository, the State Treasurer may impose a penalty upon the qualified public depository in an amount not exceeding two thousand five hundred dollars ($2,500) for each violation. Each day a violation continues constitutes a separate violation; provided, however, that the maximum aggregate penalty for any single continuing violation under this subdivision shall be twenty thousand dollars ($20,000) irrespective of the number of days the violation continues prior to the assessment of the penalty.
(3) A qualified public depository or custodian that violates subsection (f) of Section 41-14A-5 is subject to an administrative penalty in an amount not exceeding the greater of two thousand five hundred dollars ($2,500) or 10 percent of the amount of withdrawal, not exceeding twenty thousand dollars ($20,000) in the aggregate.
(4) If any qualified public depository or other financial institution violates a cease and desist order, the State Treasurer may, in addition to suspending or disqualifying the qualified public depository, impose an administrative penalty in an amount not exceeding two thousand five hundred dollars ($2,500) for each violation. Each day a violation continues constitutes a separate violation; provided, however, that the maximum aggregate penalty for any single continuing violation under this subdivision shall be twenty thousand dollars ($20,000) irrespective of the number of days the violation continues prior to the assessment of the penalty.
(f) Any suspension shall be for the period established by the board in the order of suspension, not to exceed a period of six months. During the period of suspension of any qualified public depository, the contingent liability, required collateral, and reporting requirements of the suspended public depository remain in force under the same conditions as if the suspended depository had remained qualified. Upon expiration of the suspension period, the suspended qualified public depository may, by order of the State Treasurer, be reinstated as a qualified public depository if the State Treasurer finds that the financial institution has corrected the conditions that resulted in suspension and otherwise is in compliance with all provisions of this chapter and of the board’s standards, rules, regulations, and orders.
(g) Except as may otherwise be provided by the board of directors by rule or regulation, any qualified public depository which has been disqualified may not reapply for qualification until after the expiration of one year from the date of the final order of disqualification or the final disposition of any appeal taken therefrom. During the period of disqualification, the contingent liability, required collateral, and reporting requirements of the disqualified public depository remain in force under the same conditions as if the disqualified depository had remained qualified. A qualified public depository that has been disqualified shall not receive or retain public deposits after the effective date of disqualification. The State Treasurer shall, upon request, return to the disqualified public depository that portion of the collateral pledged that is in excess of the required collateral applicable to the disqualified public depository.
(Act 2000-748, p. 1669, §1.)
Every qualified public depository that is solvent shall guarantee public depositors against loss caused by the default or insolvency of other qualified public depositories according to the terms of this chapter and shall enter into an agreement of contingent liability with the State Treasurer on behalf of the Loss Payment Fund, which agreement shall be in a form which is prescribed or approved by the board of directors, and which, when executed, shall become a part of the official records of the SAFE Program. The qualified public depository shall submit to the State Treasurer evidence that the depository’s contingent liability agreement has been approved by the board of directors or other governing body of the qualified public depository and shall become a part of the official records of the qualified public depository.
(Act 2000-748, p. 1669, §1.)
(a) When the State Treasurer becomes aware that a default or insolvency has occurred, the State Treasurer shall provide notice as required in subsection (b) and implement the following procedures:
(1) The State Treasurer shall obtain information from the Superintendent of Banks of the State Banking Department or the receiver of the qualified public depository in default in order to ascertain the amount of funds of each public depositor on deposit at such depository and the amount of deposit insurance applicable to such deposits.
(2) The potential loss to public depositors shall be calculated by compiling claims received from public depositors. The State Treasurer shall validate claims of public depositors who filed claims under subsection (b) and which have been confirmed under subdivision (1).
(3) The loss to public depositors shall be satisfied, insofar as possible, first through any applicable deposit insurance and then through the sale of securities pledged by the defaulting depository. If the loss to public depositors is not covered by insurance or the proceeds of the sale, coverage of the remaining loss shall be provided by assessment against the other qualified public depositories following the expiration of the 120-day period for the filing of claims by public depositors. However, if the sale of securities cannot be accomplished within seven days following the expiration of the 120-day period for the filing of claims by public depositors, the State Treasurer may proceed with the assessment for qualified public depositories. The assessment for each qualified public depository shall be determined by multiplying the total amount of any remaining loss to all public depositors by a percentage which represents the average monthly balance of public deposits held by each qualified public depository during the previous 12 months or, in the event a qualified public depository shall have participated in the program for less than 12 months, the qualified public depository’s average monthly balance for the month or months during which the qualified public depository shall have held any public deposits, divided by the total average monthly balances of public deposits held by all qualified public depositories, excluding those of the defaulting or insolvent depository, during the same period.
(4) Each qualified public depository shall pay its assessment to the State Treasurer for deposit to the Loss Payment Fund within seven business days after it receives notice of the assessment. If a depository fails to pay its assessment when due, the State Treasurer shall satisfy the assessment by selling securities pledged by that depository.
(5) The State Treasurer shall distribute the funds to the public depositors of the qualified public depository in default according to their validated claims. At the discretion of the State Treasurer, the State Treasurer may make partial payments to public depositors that have experienced a loss of public funds which is critical to the immediate operations of the public entity.
(6) Public depositors receiving payment under the provisions of this section shall assign to the Loss Payment Fund any interest they may have in funds that may subsequently be made available to the qualified public depository in default. If the qualified public depository in default or its receiver provides the funds to the State Treasurer for the account of the Loss Payment Fund, the State Treasurer shall distribute the funds, plus all accrued interest which has accumulated from the investment of the funds, if any, to the depositories which paid assessments on the same pro rata basis as the assessments were paid. If the board of directors deems it prudent to do so, the board of directors may authorize the State Treasurer to enforce any or all claims, or take any other action, against a defaulting or insolvent qualified public depository or third party to recover all or part of any losses to any public depositor or assessments against any other qualified public depositories. Action or inaction by the board of directors or the State Treasurer will not impair the rights that any public depositor or qualified public depository may have against a defaulting or insolvent qualified public depository or any third party.
(7) Expenses incurred by the board of directors, the State Treasurer, or their agents in connection with a default or insolvency that is not normally incurred in the administration of the SAFE Program shall be paid out of the proceeds from the sale of the pledged collateral.
(b) Upon determining the default or insolvency of a qualified public depository, the State Treasurer shall provide notice of such default or insolvency to all public depositors of such qualified public depository the identity of which is reflected in the board’s or the qualified public depository’s records, “known public depositors,” which notice, the “first notice,” shall be provided by certified or registered mail to the last address for each such public depositor reflected in the qualified public depository’s records and shall specify that public depositors having claims or demands against the funds occasioned by the default or insolvency must file their claims with the State Treasurer within 120 days after the date of the notice. In the case of any known public depositor which has not filed a claim with the State Treasurer within 45 days after the date of the first notice, the State Treasurer shall mail a second notice, the “second notice,” by certified or registered mail to the last address for such known public depositor reflected in the qualified public depository’s records, which second notice shall specify the date by which claims must be filed with the State Treasurer. The second notice shall be mailed by the State Treasurer not more than 55 days after the date of the first notice. Contemporaneously with the mailing of the first notice and the second notice, the State Treasurer shall provide to the judge of probate of each county of the state and publish in a newspaper of general circulation a notice, which notice shall identify the defaulted or insolvent qualified public depository, the date before which public depositors must file claims with the State Treasurer under this chapter, and requesting that the judge of probate provide copies of such notice to each covered public entity within the judge of probate’s county. The judge of probate of the various counties of this state shall promptly endeavor to provide copies of said notices to each covered public entity in the judge of probate’s county which is known to the judge of probate, but in no event shall the judge of probate be liable for the failure of any covered public entity to receive copies of said notices.
(c) No claim against the Loss Payment Fund is binding on the State Treasurer or the Loss Payment Fund unless presented within 120 days after the date of the first notice.
(d) Nothing contained in this chapter shall affect any proceeding to:
(1) Enforce any real property mortgage, chattel mortgage, security interest, or other lien on property of a qualified public depository that is in default or insolvency.
(2) Establish liability of a qualified public depository that is in default or insolvency to the limits of any federal or other casualty insurance protection.
(Act 2000-748, p. 1669, §1.)
(a) In order to facilitate the administration of this chapter, there is created the SAFE Loss Payment Fund, which shall be held and administered by the State Treasurer, for the account of the SAFE Program, separate and apart from the State General Fund. The proceeds from the sale of securities pledged as collateral or from any assessment pursuant to Section 41-14A-9 shall be deposited into the Loss Payment Fund. The amounts on deposit in the Loss Payment Fund shall be disbursed as necessary in accordance with the provisions of this chapter in order to pay losses to public depositors and for such other purposes as may be expressly provided for in this chapter.
(b) The State Treasurer is authorized to pay any losses to public depositors from the Loss Payment Fund. The term “losses,” for purposes of this chapter, shall also include losses of interest or other accumulations to the public depositor as a result of penalties for early withdrawal required by applicable federal laws or regulations because of suspension or disqualification of a qualified public depository by the State Treasurer under the authority granted in this chapter or because of withdrawal from the SAFE Program in accordance with rules or regulations adopted by the board of directors pursuant to this chapter. In that event, the State Treasurer is authorized to assess against the suspended, disqualified, or withdrawing public depository, in addition to any amount authorized by any other provisions of this chapter, an administrative penalty equal to the amount of the early withdrawal penalty and to pay that amount over to the public depositor as reimbursement for such loss. Any money in the Loss Payment Fund estimated not to be needed for immediate cash requirements shall be invested in any securities or other investments selected by the State Treasurer that are permitted under Section 41-14-30. All interest and other earnings from the investment of assets of the Loss Payment Fund shall accrue to the Loss Payment Fund.
(Act 2000-748, p. 1669, §1.)
(a) When public deposits are made in accordance with this chapter, no public depositor shall be liable for any loss thereof resulting from the default or insolvency of any qualified public depository in the absence of negligence, malfeasance, misfeasance, or nonfeasance on the part of the public depositor, or its agents or employees.
(b) Under no circumstance shall this state, or any state agency or any covered public entity, be liable for all or any portion of any loss resulting from the default or insolvency of a qualified public depository.
(Act 2000-748, p. 1669, §1.)
(a) The amounts in the State Treasury Operations Fund shall be applied and disbursed by the State Treasurer to pay the costs and expenses of administering the SAFE Program, and to pay the members of the board of directors the per diem and travel rates permitted by Section 41-14A-6(g).
(b) Any unobligated amounts remaining in the SAFE Program Administration Fund after September 30, 2013, shall be transferred to the State Treasury Operations Fund.
(Act 2000-748, p. 1669, §1; Act 2013-92, p. 203, §2.)
There is hereby created a SAFE Program Enforcement Fund, which shall be held and administered by the State Treasurer. There shall be paid into the Program Enforcement Fund all administrative penalties collected under this chapter. The amounts in the Program Enforcement Fund shall be applied and disbursed by the State Treasurer to pay the costs and expenses of enforcing the requirements and provisions of this chapter, including the costs of foreclosing on pledged collateral, of making and collecting assessments from qualified public depositories, and of enforcing the obligations of qualified public depositories under contingent liability agreements. Any money in the Program Enforcement Fund estimated not to be needed for immediate cash requirements shall be invested in any securities or other investments selected by the State Treasurer that are permitted under Section 41-14-30. All interest and other earnings from the investment of assets of the Program Enforcement Fund shall accrue to the Program Enforcement Fund.
(Act 2000-748, p. 1669, §1.)
The SAFE Program shall be audited annually by the Examiners of Public Accounts to ensure that collateral is being maintained to secure public deposits in amounts that are consistent with the requirements of this chapter. The Program Enforcement Fund shall also be audited annually by the Examiners of Public Accounts.
(Act 2000-748, p. 1669, §1; Act 2013-92, p. 203, §2.)
There shall be a fund, to be known as the State Insurance Fund, carried by the State Treasurer for the purpose of insuring direct physical loss on buildings and contents for the perils as may be determined by the Finance Director in which title in whole or in part is vested in the State of Alabama or any of its agencies or institutions or in which funds provided by the state have been used for the purchase of the land, construction of the building, purchase or maintenance of any equipment, machinery, furniture, fixtures, or supplies in such buildings and public school buildings together with the contents of all such buildings; provided, that this section shall neither repeal nor in any manner affect the provisions of any local act of the Legislature or any general act of local application authorizing city or county boards of education or district boards of education of independent school districts to insure school buildings and property either in the State Insurance Fund or in an insurance company, whichever in the opinion of such board provides the best coverage for such school buildings and property.
(Acts 1923, No. 593, p. 769; Code 1923, §8539; Code 1940, T. 28, §317; Acts 1949, No. 675, p. 1045, §1; Acts 1957, No. 596, p. 833, §1; Acts 1990, No. 90-569, p. 966, §1.)
The Department of Finance is hereby constituted and designated as the agency through which this chapter shall be administered, and the director of said department is empowered with such authority as may be necessary to carry out its purposes.
The director of said department, with the approval of the Governor, may appoint a risk manager, as administrator of the State Insurance Fund, who is familiar with insurance customs and practices and is otherwise qualified by actual experience in the underwriting of risks and adjustment of losses, to assist the director of said department in carrying out the purpose of this chapter. The said risk manager shall install and keep an accurate system of accounting and statistical records and shall adjust losses, make appraisals of insured properties for insurance purposes, when necessary, and shall handle or supervise the handling of all other details incident to carrying out the provisions of this chapter. The risk manager shall furnish to the Department of Finance each month a statement showing in detail the accumulated income and disbursements during the fiscal year, together with a financial statement showing assets and liabilities of the State Insurance Fund. At the close of each fiscal year the risk manager, shall furnish to the said department an annual statement of the affairs of the State Insurance Fund. The unearned net premium computed on a pro rata basis shall be considered as a liability and carried as a reserve. Said risk manager shall file with the said department a bond in the penal sum of $10,000.00, executed by a surety company authorized to do business in this state, conditioned upon faithful performance of his or her duties, payable to the State of Alabama.
(Acts 1923, No. 593, p. 769; Code 1923, §8540; Acts 1936-37, Ex. Sess., No. 219, p. 260; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §318; Acts 1949, No. 675, p. 1045, §2; Acts 1990, No. 90-569, p. 966, §2.)
The Director of Finance may make or cause to be made a survey and appraisal of all property, to assist in the determination of the amount of insurance to be carried on the several properties and to classify all exposures or property.
(Acts 1923, No. 593, p. 769; Code 1923, §8541; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §319; Acts 1990, No. 90-569, p. 966, §3.)
(a) All covered property, unless otherwise provided in this section, shall be insured for no more than its replacement cost and shall be insured for no less than 80 percent of its actual cash value. Replacement cost coverage may be provided with an amount of insurance as agreed upon by the proper insuring authority and the risk manager based upon a written statement of values. Replacement cost shall be the cost to repair or replace property with comparable materials of like kind and quality by generally accepted construction methods or technology to serve the same function as the lost or damaged property. No payment for a loss shall exceed the limit of the policy.
(b) The officer or person having charge by law of insuring any public building, contents, machinery, and equipment shall annually certify to the Department of Finance the description and the value of all buildings, contents, machinery, and equipment under the supervision or control of the officer or person on forms prescribed by the department for the purpose of showing the character of the risk and determining the rate of premium. No coverage shall be issued unless such certificate is on file in the office of the Department of Finance or the director has waived, in writing, the filing of the same.
(c) Buildings, contents, machinery, and equipment owned by any county, city, or school district and used for school purposes, or under control of a board of education, or owned or under the control of the Alabama Community College System may be insured under this chapter. The risk manager, upon review and approval by the Finance Director, shall develop a program of coverage under the State Insurance Fund which provides, within reasonable limitations, for the use of gap coverage and gap plus coverage, to provide proceeds sufficient to allow a school building that has suffered an 80 percent or greater loss as a result of a covered peril to be reconstructed with materials superior to its original construction and in an increased size, if appropriate, based upon current construction standards and occupancy. The risk manager shall draft rules, guidelines, limitations, and coverage endorsements under which this program shall operate, and shall determine actuarially sound premiums to assess covered entities.
Additional premiums required for gap and gap plus coverage for participating systems shall be paid annually from the Public School Fund to the Department of Finance, Division of Risk Management. Distribution of the remaining Public School funds shall be pursuant to Section 16-13-234.
Gap coverage and gap plus coverage shall be mandatory for K-12 systems and public two-year institutions of postsecondary education with buildings that qualify under the terms of this program.
(1) For the purposes of this subsection, gap coverage is coverage that allows for improved construction type from an ISO of 1, 2, or 3 to an ISO of 4; allows for additional square footage in preapproved incremental amounts; and requires that building damages must exceed 80 percent or greater of the insured school building value as determined by State Insurance Fund adjusters, engineers, and other experts. For purposes of this subsection, the following construction ISO designations apply:
a. An ISO of 1 is a frame.
b. An ISO of 2 is masonry and wood roof supports or trusses, or both.
c. An ISO of 3 is pre-engineered metal.
d. An ISO of 4 is a steel frame and roof supports with a masonry exterior.
e. An ISO of 5 is a protected steel frame with a masonry exterior.
f. An ISO of 6 is a reinforced concrete.
(2) For the purposes of this subsection, gap plus coverage is coverage that allows the insured to select amounts of insurance for normally uncovered expenses including, but not limited to, a new preparation site if the building is not rebuilt on the same foundation, underground wiring, plumbing, paving, and other expenses. Gap plus coverage requires that building damages must exceed 80 percent of the insured school building value as determined by State Insurance Fund adjusters, engineers, and other experts. Gap plus coverage also requires that the maximum amount of coverage allowed for gap plus is 10 percent of the insured value of the destroyed building.
(d) The Department of Finance may cause to be surveyed, annually, if practicable, all public property coming within the provisions of this chapter, and the officer or person in charge of the public property shall receive a copy of such report. A survey shall be an examination of property for physical discrepancies, construction characteristics, usage, or occupancy.
(e) Notwithstanding any law to the contrary, the Department of Finance in adjusting a loss, at its option, may assume title, ownership, and possession of any insured item, including building materials, fixtures, furniture, machinery, and equipment, for which insured value has been paid, and may arrange for the salvage and sale thereof in whatever manner is deemed most advantageous to the State Insurance Fund, to which all sale proceeds shall be deposited. Alternatively, the Department of Finance may deduct the salvage value of the insured item from the payment to the owner of insurance proceeds arising from the loss of the insured item.
(Acts 1923, No. 593, p. 769; Code 1923, §8542; Acts 1936-37, Ex. Sess., No. 219, p. 260; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §320; Acts 1949, No. 675, p. 1045, §3; Acts 1990, No. 90-569, p. 966, §4; Acts 1995, No. 95-521, p. 1056, §1, Act 2014-261, p. 824, §1; Act 2015-259, §1.)
The net premium charged shall be based on the current commercial rate with not less than a 40 percent discount. The risk manager with the approval of the Director of Finance may purchase such reinsurance as may in the opinion of the risk manager, be necessary for the proper distribution of the risk. The risk manager shall collect such reinsurance upon any loss sustained and pay the same into the State Insurance Fund.
(Acts 1923, No. 593, p. 769; Code 1923, §8543; Acts 1936-37, Ex. Sess., No. 219, p. 260; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §321; Acts 1949, No. 675, p. 1045, §4; Acts 1967, No. 435, p. 1104; Acts 1990, No. 90-569, p. 966, §5.)
All premiums shall be paid to the Department of Finance, not later than 60 days from the effective date of such insurance or renewal thereof, by the treasurer or executive officer of the agency affected. Such funds shall be promptly transmitted to the State Treasurer, who shall place the same to the credit of the State Insurance Fund. Upon failure or refusal of any officer to comply with the provisions of this section with regard to the payment of premiums, the state Comptroller shall, when requested by the Director of the Department of Finance, deduct from any funds due or which may become due the delinquent amount of unpaid premiums and pay the same to the State Insurance Fund.
(Acts 1923, No. 593, p. 769; Code 1923, §8544; Acts 1936-37, Ex. Sess., No. 219, p. 260; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §322; Acts 1949, No. 675, p. 1045, §5; Acts 1990, No. 90-569, p. 966, §6.)
In the event a disagreement arises between the Department of Finance and any person or persons in charge of any insured property as to its replacement cost or actual cash value or the amount payable under the claim for loss or the proper premium rate or rates, the matter in disagreement shall be determined by a third person to be agreed upon by the Director of Finance on the one hand and the person or persons disagreeing with him or her on the other. In case of inability to agree on such third person, the Governor shall appoint a third person to determine the question, and his or her decision thereon shall be binding on all parties concerned.
(Acts 1923, No. 593, p. 769; Code 1923, §8552; Acts 1936-37, Ex. Sess., No. 219, p. 260; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §326; Acts 1990, No. 90-569, p. 966, §8.)
The Director of Finance is authorized to prescribe insurance coverages, forms of policies, proofs of losses, and other forms; to define terms; make rules and regulations; to provide additional experience and schedule rating factors and appropriate deductibles from losses as may be necessary or expedient for the proper administration of the provisions of this chapter.
(Acts 1923, No. 593, p. 769; Code 1923, §8553; Acts 1936-37, Ex. Sess., No. 219, p. 260; Code 1940, T. 28, §327; Acts 1949, No. 675, p. 1045, §8; Acts 1990, No. 90-569, p. 966, §9.)
All premiums and earnings collected under the provisions of this chapter shall constitute a trust fund to be applied as authorized in this chapter.
With the approval of the Governor, any surplus in the fund over a necessary working capital, which shall be determined by the Director of Finance, at not less than $400,000.00, may be invested in the bonds or other obligations of the United States, of the State of Alabama or of any agency, institution, or instrumentality of the State of Alabama. The Director of Finance shall also have the authority to invest and reinvest said state insurance trust funds in such classes of bonds, mortgages, common and preferred stocks, shares of investment companies or mutual funds or other investments as the Finance Director with the consent of the Governor may approve, subject to all the terms, conditions, limitations, and restrictions imposed by the laws of Alabama upon domestic life insurance companies in the making of their investments. Subject to like terms, conditions, limitations, and restrictions, the Finance Director shall have full power to hold, purchase, sell, assign, transfer, and dispose of any such investments, as well as the proceeds of said investments. The necessary working capital may also be invested and reinvested by the Finance Director in securities deemed to be cash equivalents. Any and all funds derived from operations under this chapter shall be subject to requisition by the Director of Finance, approved by the Governor, for the payment of losses, necessary expenses of administering this chapter and for investment.
(Acts 1923, No. 593, p. 769; Code 1923, §8545; Acts 1936-37, Ex. Sess., No. 219, p. 260; Acts 1939, No. 112, p. 144; Code 1940, T. 28, §323; Acts 1949, No. 675, p. 1045, §6; Acts 1979, No. 79-704, p. 1252.)
No part of the funds provided for in Section 41-15-10 shall be used to increase the salary of any state employee. Only the salary of the designated risk manager, stenographic secretary, inspector, clerical force, and such other employees and expenses as may be necessary for the efficient administration of the provisions of this chapter shall be paid from these funds. Such expenditures shall be limited to that amount appropriated by the Legislature.
All employees as provided in this section shall be subject to the Merit System Act.
(Acts 1923, No. 593, p. 769; Code 1923, §8550; Acts 1936-37, Ex. Sess., No. 219, p. 260; Code 1940, T. 28, §325; Acts 1949, No. 675, p. 1045, §7; Acts 1957, No. 596, p. 833, §2; Acts 1990, No. 90-569, p. 966, §10.)
There is hereby appropriated from the Treasury the sum of $100,000.00 to be available only in case the loss by fire or tornado in any year shall exceed the premiums collected under the provisions of this chapter, and then only in such amount as may be required in addition to the amount of funds on deposit in the State Insurance Fund at the time of said loss for the payment thereof, less the amounts set aside in this chapter for the purpose of administration of the provisions of this chapter.
The first surplus next thereafter accruing to such fund shall be used to reimburse the Treasury for any amount which may have been drawn therefrom under this appropriation.
(Acts 1923, No. 593, p. 769; Code 1923, §8546; Acts 1936-37, Ex. Sess., No. 219, p. 260; Code 1940, T. 28, §324.)
There is hereby appropriated in addition to all other appropriations and for capital outlay purposes only any and all funds received by the State of Alabama or any department, board, bureau, agency, or institution of the state in payment for any loss to property suffered by reason of fire, lightning, windstorm, or hail.
(Acts 1951, No. 1000, p. 1671.)
The State Treasurer is authorized to accept gifts, donations, and bequests from any person, association, company, or corporation wishing to contribute voluntarily to the Penny Trust Fund. Any person, association, company, or corporation may deposit funds in the Penny Trust Fund through the auspices of the State Treasurer or in the appropriately designated depository. The State Treasurer may seek the voluntary participation of banks, financial institutions, or other businesses in receiving and transferring donations to the Penny Trust Fund. The State Treasurer shall promulgate rules and regulations governing the procedures and administration for the voluntary donations, contributions, and transfers to the Penny Trust Fund. Donation and transmittal forms and promotional materials may be developed and distributed as authorized by the State Treasurer. It shall be legal and permissible for any agency of the state, including the Teachers’ Retirement System, the State Employees’ Retirement System, the Judicial Retirement System, local or state governing boards of education, and all other instrumentalities of the state to provide a listing of its employees, members, and/or students available through the auspices of the state Comptroller’s office for the distribution and/or mailing of materials promoting the Penny Trust Fund. It shall be legal and permissible for the state, or any department, division, agency, board, bureau, and all other instrumentalities of the state, and local governing boards of education to cause promotional materials to be given to its employees and students in promotion of the Penny Trust Fund.
(Acts 1989, No. 89-667, p. 1325, §1; Act 99-592, p. 1352, §3.)
(a) Proceeds from the Penny Trust Fund which are dedicated for the promotion of the public health shall be transmitted by the Comptroller to the Department of Public Health for the Alabama Drug Assistance Program and other similar programs upon application of the State Health Officer and approval by the board.
(b) Proceeds from the Penny Trust Fund which are dedicated for the promotion of the public health of children in public schools shall be transmitted by the Comptroller to the State Board of Education upon application of the State Superintendent of Education and approval by the board. Revenues received by any school system from the Penny Trust Fund shall not replace or supplant any existing funds or programs from any other source.
(c) There is appropriated from the Penny Trust Fund for any fiscal year accumulated earnings, available and not appropriated in any fiscal year 2001 and forward sufficient to fund all applications and proposals approved by the board and in the amount certified by the State Treasurer to the Director of Finance.
(Acts 1989, No. 89-667, p. 1325, §2; Act 99-592, p. 1352, §3; Act 2014-314, p. 1117, §1.)
Donations and bequests to the Penny Trust Fund by individuals, associations, corporations, and companies shall be exempt from all county and municipal taxes and deductible from state taxes in accordance with Section 40-18-15.
(Acts 1989, No. 89-667, p. 1325, §3.)
[Repealed]
Repealed by Act 2006-503, p. 1145, §2, effective for tax years beginning after December 31, 2005.
(Acts 1989, No. 89-667, p. 1325, §4.)
[Repealed]
Repealed.
(a) As used in this chapter, the following words shall have the following meanings, respectively:
(1) BOARD. The Board of Control of the Penny Trust Fund, which shall consist of the following officials or their designees and the following representatives:
a. The Governor.
b. The State Treasurer.
c. The State Health Officer.
d. The State Superintendent of Education.
e. The State Auditor.
f. A member to be appointed by the Governor from one of Alabama’s historically black colleges and universities, whose term on the board shall end when the appointing Governor’s term ends.
g. A member to be appointed by the Governor from a non-profit health-related agency, organization, or health-related community action agency, whose term on the board shall end when the appointing Governor’s term ends.
(2) EARNINGS. Ninety percent of the prior fiscal year’s earnings of the Penny Trust Fund.
(b) The duties of the board shall include, but not necessarily be limited to, the following:
(1) Elect a chairperson and a secretary of the board from among its membership. Service as the chairperson and secretary shall be for the term of service to which the individual was elected.
(2) Review and approve the proposals by the governing authority of the Department of Public Health and the State Superintendent of Education for the expenditure of its portion of proceeds from the Penny Trust Fund and, if desirable, offer comments and suggestions on the expenditure of the funds.
(3) Develop and approve an investment policy.
(4) Notify the State Superintendent of Education and the State Health Officer once annually of the amount of funds eligible for payment from the Penny Trust Fund.
(Act 99-592, p. 1352, §§1, 2; Act 2014-314, p. 1117, §1.)
Expenditure of funds by the State Health Department and school systems shall at all times be subject to audit by the State Auditor and examination by the Examiners of Public Accounts. Any misexpenditure of funds by any individual shall, upon conviction in a court of competent jurisdiction, consist of a Class B misdemeanor and be subject to the penalties therefor.
(Act 99-592, p. 1352, §5.)
[Repealed]
Repealed by Act 2011-707, p. 2189, §1, effective September 30, 2011.
(Acts 1993, No. 93-608, p. 990, §1.)
[Repealed]
Repealed by Act 2011-707, p. 2189, §1, effective September 30, 2011.
(Acts 1993, No. 93-608, p. 990, §2; Act 99-592, p. 1352, §3.)
[Repealed]
Repealed by Act 2011-707, p. 2189, §1, effective September 30, 2011.
(Acts 1993, No. 93-608, p. 990, §3(a)-(c); Act 99-592, p. 1352, §3.)
For purposes of this chapter, the following terms have the meanings respectively ascribed to them:
(1) AT-RISK CHILDREN. Children who because of social, health, or educational factors are experiencing difficulty with learning, school achievement, or preparation for employment as evidenced by excessive absence from school without acceptable excuse, by virtue of being parents, by having been referred to the juvenile court, or by being one or more years behind their age group in the number of credits obtained or in basic skill levels obtained.
(2) CHILD POPULATION. The population of children below the age of 18 in any federal decennial census.
(3) COUNCIL. The Alabama Children’s Policy Council created pursuant to Sections 12-15-130 to 12-15-132, inclusive.
(4) FUND. The Children First Trust Fund as established by Section 41-15B-2.
(5) JUVENILE PROBATION SERVICES. Any juvenile probation officer, including, but not limited to, administrative personnel, juvenile officers who supervise caseloads, professional staff charged with developing programs for early intervention and correction of delinquent behavior, and officers assigned to intensively supervise juveniles returning from regional or state institutions. Juvenile probation services do not include juvenile detention staff.
(6) OVERSIGHT COMMITTEE. The permanent Joint Legislative Oversight Committee of the Children First Trust Fund.
(7) RURAL. Any community within this state that has a population of less than 25,000 according to the latest federal decennial census.
(8) SPECIAL NEEDS ADOPTIONS. Adoptions that may be hindered or delayed because of the special circumstances or obstacles surrounding the adoptive children. The circumstances include, but are not limited to, the adoption of disabled children, children with multiple siblings, older children, minority children, and other children who have been in the custody of the Alabama Department of Human Resources for an extended period of time.
(9) TOBACCO REVENUES. Revenues received by the state pursuant to any federal tobacco-related settlement, any tobacco-related appropriations made by the United States Congress to the State of Alabama, or any revenues received by the state from litigation against any tobacco-related industry.
(Act 98-382, p. 716, §1.)
(a) There is established a special fund in the State Treasury to be known as the Children First Trust Fund.
(b) The existence of the fund is contingent upon the receipt by the state of tobacco revenues.
(c) The fund shall consist of tobacco revenues and any appropriations or revenues received from any other source. The amounts provided for in Section 41-15B-2.1 shall be deposited into the fund from tobacco revenues with the remainder of the tobacco revenues being distributed as provided in Division 1, Article 17, Chapter 10 of this title.
(d) The council shall keep detailed permanent records of all expenditures and distributions from the fund and shall file a monthly written report of all transactions, and any other information requested, with the permanent Joint Legislative Oversight Committee of the Children First Trust Fund.
(e) The council shall prepare an annual report to the Governor and the Legislature detailing the expenditures and distributions from the fund and the success or failure of each program receiving monies from the fund. The council shall also make annual recommendations to the Governor and the Legislature concerning the distribution of monies based upon the annual report. The Commissioner of Children’s Affairs shall assist the council in preparing the annual report by identifying any unmet needs relating to children throughout the state and suggesting how available resources could be applied toward those needs. The commissioner shall also assist the council by providing detailed information relating to the activities and accomplishments of the Children First Trust Fund toward meeting the needs of all children in the state and preparing a statement of goals of the fund for the next fiscal year.
(f) The council may employ personnel as needed to assist the council in carrying out the duties of administering these funds and preparing the reports.
(g) The council may accept and use monies available to it from all sources, including, but not limited to, grants, appropriations, gifts, donations, and other sources for purposes of implementing and administering this chapter. The proceeds of any gift, grant, or other donation may be specifically designated for use in one or more specific program area identified and described in the Children First Implementation Program.
(h) The council may not award or promise to award more monies than are available in the fund.
(i) Any conflicting prior law notwithstanding, the Governor, or the Attorney General with the consent of the Governor, shall file any litigation necessary to effectuate the compelling interest of the State of Alabama to recover tobacco-related damages incurred by the state or pursue any other legal cause of action in which the state has an interest.
The Governor may institute or participate in any civil litigation in which the state has an interest. When initiated by the Governor, such litigation shall be brought in the name of the Governor acting in his or her official capacity; when the Governor intervenes in existing litigation, he or she shall do so in the name of the Governor, also acting in his official capacity. In the unlikely event that the Attorney General fails or refuses to bring litigation requested by the Governor, the Governor may bring such litigation “on relation of” the state and shall appoint counsel for such litigation.
The Attorney General shall not settle any litigation involving any executive agency or department under the control of the Governor without the concurrence of the Governor.
The Attorney General has the authority to determine how litigation affecting the state is conducted. Therefore, in the appointment of attorneys to represent the state, the Attorney General has a duty to ensure that only qualified individuals and firms are appointed. The Governor has the authority to determine policies of the state. Therefore, in the appointment of attorneys to represent the state, the Governor has a duty to ensure that only individuals and firms that will advance the best interests of the state are appointed.
The Attorney General will appoint all deputy attorneys general who are to represent any department, agency, board, commission, or instrumentality of the state before any court or tribunal with the consent of the Governor, except for any full time deputy attorneys general. The Governor has the sole power to fix the rate of compensation for any such deputy attorney general, except for any full time deputy attorneys general. The Governor, either directly or through departmental heads who report directly to the Governor, shall have the sole power to hire outside lawyers for such executive departments for non-litigation work.
The Attorney General or his or her authorized representative shall have the power to issue subpoenas to compel the attendance of witnesses and production papers or other materials or items necessary as evidence in connection with any criminal investigation being conducted by the office of the Attorney General. In case a person refuses to obey such subpoena, the Attorney General or his or her representatives may invoke the aid of any circuit court in order that the testimony or evidence be produced. Upon proper showing, the court shall issue a subpoena or order requiring such person to appear before the Attorney General or his or her representative and produce all evidence and give all testimony relating to the matter under investigation. A person failing to obey such order may be punished by the court as for contempt.
(j) No monies shall be withdrawn or expended from the fund for any purpose unless the monies have been appropriated by the Legislature and allocated pursuant to this chapter. Any monies appropriated shall be budgeted and allotted pursuant to the Budget Management Act in accordance with Article 4 (commencing with Section 41-4-80) of Chapter 4 of Title 41, and only in the amounts provided by the Legislature in the general appropriations act or other appropriations act for the purposes prescribed in this chapter and as allocated by Section 41-15B-2.2.
(k) Any monies remaining in the fund at the end of any fiscal year, except monies contributed from appropriations from other state funds, shall not revert to the General Fund or the Alabama Education Trust Fund and shall remain in the Children First Trust Fund.
(Act 98-382, p. 716, § 2; Act 99-390, p. 628, § 2.)
It is the intent of the Legislature that in each of the following fiscal years the following amounts from tobacco revenues shall be transferred to the Children First Trust Fund:
AmountFiscal Yearup to $60,000,0002000up to $65,000,0002001up to $70,000,0002002 and each fiscal year thereafter
It is the intent of the Legislature that strict accountability measures, including needs assessments, legislative oversight, annual reports of expenditures, and program evaluations, be undertaken to ensure the wise and prudent use of these funds for the children of our state.
(Act 99-390, p. 628, §1.)
(a) For each fiscal year, beginning October 1, 1999, contingent upon the Children First Trust Fund receiving tobacco revenues and upon appropriation by the Legislature, an amount of up to and including two hundred twenty-five thousand dollars ($225,000), or equivalent percentage of the total fund, shall be designated for the administration of the fund by the council and the Commissioner of Children’s Affairs.
(b) For the each fiscal year, beginning October 1, 1999, contingent upon the Children First Trust Fund receiving tobacco revenues, the remainder of the Children First Trust Fund, in the amounts provided for in Section 41-15B-2.1, shall be allocated as follows:
(1) Ten percent of the fund shall be allocated to the Department of Public Health for distribution to one or more of the following:
a. The Children’s Health Insurance Program.
b. Programs for tobacco control among children with the purpose being to reduce the consumption of all tobacco products by children. To be eligible to initially receive a portion of these funds, any county health department, school, local civic club, charity, or not-for-profit corporation shall submit a grant application pursuant to the guidelines promulgated by the State Department of Public Health, with provisions for annual renewal of the grants. Provisions for program evaluation in order to determine effectiveness, number of children served, and financial accountability shall be included in the guidelines. The Department of Public Health may employ personnel to carry out the purposes of this section and may not expend these funds for any purpose other than those set out in this section.
c. The Alabama Qualified Health Center Grant Program to increase access to preventative and primary services by uninsured, underinsured, or medically indigent patients served by such centers.
d. Any other children’s services provided by the Department of Public Health.
(2) Twenty-two percent of the fund shall be allocated to the State Board of Education to one or more of the following:
a. The operation of alternative schools as defined below:
(i) The local board of education shall provide a 25 percent match of all funds for alternative school programs.
(ii) The local board of education shall provide suitable facilities for housing alternative school programs.
(iii) The plan submitted by each local board of education shall provide multiple tiers of alternative school programs which include, but are not limited to, “in-school suspension,” a short-term alternative school program designed to enable children to perform in the traditional classroom setting, and a long-term program which is a true alternative to expulsion.
(iv) The plan as submitted by each local board of education shall outline the educational services which shall be available to each child assigned to the short-term or long-term programs. Those services shall include, but are not limited to, all of the following:
A. Remedial education where necessary.
B. Counseling, including sessions on conflict resolution.
C. Social skills development.
(v) Each tier of the local plan shall be curriculum-based to address the goal of academic improvement and shall include, to the extent possible, mandatory parental notification and involvement.
(vi) If a local board of education can satisfactorily demonstrate that alternative school programs meeting all of the criteria in this section have been implemented, the allocation to the local board of education for alternative school programs may be directed by the State Board of Education to programs under the School Safety Enhancement Program.
(vii) Each year any monies remaining after distribution by the State Board of Education to the local boards of education which meet the criteria pursuant to subparagraph 1. and qualify for a portion of the monies, shall be allocated to those local boards of education demonstrating innovative programs with measurable improvements in academic achievement, attendance, school behavior, and parental involvement.
(i) The number of children served in each tier of the program.
(ii) The improvement in academic achievement.
(iii) The improvement in behavior.
(iv) The improvement in parental involvement.
(v) Financial accounting for the state and local monies expended.
The State Board of Education shall develop additional criteria for continued state funding of programs initiated pursuant to this chapter.
Sufficient safeguards shall be implemented to ensure that the new monies will increase and not supplant or decrease existing state or local support.
b.1. The School Safety Enhancement Program. The amount of monies available to each local board of education shall be determined by the State Board of Education based upon the second month enrollment of the preceding school year. To be eligible to initially receive a portion of the monies, each local board of education shall submit a grant application pursuant to guidelines promulgated by the State Board of Education with provisions for annual renewal of the grants. Provisions for program evaluation in order to determine effectiveness and financial accountability shall be included in the guidelines. The guidelines shall include all of the following:
(i) A component to enhance parental participation in school activities and promote parental responsibility for the performance and behavior of their children.
(ii) A requirement for a local 25 percent match of funds for school safety activities, excluding pre-kindergarten programs for at-risk children listed in item (ii) of subparagraph 2.
(iii) Sufficient safeguards implemented to ensure that the new monies will increase and not supplant or decrease existing local support.
(i) Extended day programs with supervised activities including, but not limited to, remedial education; tutorial assistance; arts, music, or other cultural enhancement; and activities for gifted children. Each local board of education may charge a fee based upon income for participation in the programs.
(ii) Pre-kindergarten programs for “at-risk” children. These programs do not require the local 25 percent match of funds for school safety activities mandated by item (ii) of subparagraph 1.
(iii) Truancy prevention programs which may include additional school attendance personnel and a Saturday school component.
(iv) Programs to assist children in dealing with anger and emphasizing acceptable ways of dealing with violence including peer mediation, conflict resolution, and law related education.
(v) Safety plans involving the use of metal detectors, other security devices, uniforms, school safety resource officers, or other personnel employed to provide a safe school environment.
(vi) Drug, alcohol, tobacco, gang-related, or satanic worshipping-related education, prevention, detection, or enforcement programs.
(vii) At-risk identification and intervention programs designed to identify children who are at-risk and coordinate school and community services so that the mental, physical, and social capabilities of the child are enhanced.
(i) The number of children served.
(ii) The improvement in academic achievement.
(iii) The improvement in behavior.
(iv) The improvement in parental involvement.
(v) Financial accounting for the state and local monies expended.
c. Any other children’s services provided by the State Board of Education.
(3) a. Twenty percent of the fund shall be allocated to the Alabama Department of Human Resources for distribution to one or more of the following:
Foster care basic monthly maintenance rates to foster families.
Recruit and maintain additional therapeutic foster homes.
3.(i) Alabama Child Care Management Agencies to fund child care programs utilizing trained, qualified, and licensed child care facilities. These child care providers shall have specific emphasis on early intervention and nutrition services for all of the following:
A. The children of working parents who are income eligible as is defined by the guidelines of the Alabama Department of Human Resources for participation in the subsidized child care program.
B. The children of parents who have been unemployed and on public assistance but who have obtained employment and are income eligible as is defined by the guidelines of the Alabama Department of Human Resources for participation in the subsidized child care program.
C. The children of parents who are properly enrolled in Alabama public schools but have not yet completed school through grade level 12 and who are income eligible as defined by the guidelines of the Alabama Department of Human Resources for participation in the subsidized child care program.
(ii) The Alabama Department of Human Resources shall ensure that at least 25 percent of the funds allotted to Alabama Child Care Management Agencies annually shall be allocated to those children indicated in subitem A. of item (i) and at least 25 percent of the funds allotted to Alabama Child Care Management Agencies annually shall be allocated to those children indicated in subitem C. of item (i).
Services through licensed shelter care and licensed residential foster homes.
Special needs adoptions to assist in recruiting prospective adoptive parents, to facilitate the adoption of children with special needs, and to provide financial assistance to parents after adoption of these children.
Child advocacy centers within the state that are certified by the Alabama Network of Children’s Advocacy Centers, Incorporated, or its successor organization.
Any other children’s services provided by the Alabama Department of Human Resources.
b. Sufficient safeguards shall be implemented to ensure that these new monies will increase and not supplant or decrease existing state and local support received from any source.
(4) Five percent of the fund shall be allocated to the Children’s Trust Fund for distribution to one or more of the following:
a. Community-based programs providing unification of prevention services which shall include, but not be limited to, all of the following:
Parenting education.
Health screening for at-risk children.
Adult education classes.
Job readiness training.
Welfare-to-work programs.
Quality child care for participants.
b. Grants for community-based programs targeted toward “at-risk” children or teens with specific emphasis on plans, programs, and services to eradicate gangs, investigation of child pornography, criminal behavior, illiteracy, teen unemployment, teen pregnancy, and single parent families pursuant to the guidelines of the Children’s Trust Fund as provided in Sections 26-16-30 to 26-16-33, inclusive.
c. The Children’s Cabinet.
d. The Wallace Newborn Screening program.
e. The Child Abuse and Neglect Prevention Board.
f. Any other children’s services provided by the Children’s Trust Fund.
(5) Five percent of the fund shall be allocated to the State Multiple Needs Children’s Fund, pursuant to Section 12-15-174, to be allocated by the Alabama Children’s Services Facilitation Team for services for multiple needs children in accordance with Sections 12-15-171 and 12-15-175. The Alabama Children’s Services Facilitation Team shall develop a written plan to address the needs of multiple needs children. Disbursements from the Multiple Needs Children Fund shall be based on the written plan. The monies allocated pursuant to this subdivision shall be distributed to one or more of the following:
a. Counties, based upon the per capita child population of each county, according to the most recent federal census, to provide services for multiple needs children identified by the county children’s services facilitation team or referred by the juvenile court. These funds may be expended by a county children’s services facilitation team to meet the needs of children for whom individualized service plans have been developed and approved and which are within the guidelines, policies, and procedures of the Alabama Children’s Services Facilitation Team. Allotments to county children’s services facilitation teams shall be disbursed quarterly.
b. Alabama Children’s Services Facilitation Team for children whose needs exceed the resources available in the local community. These monies shall be used to purchase services or to develop services when a sufficient need can be documented.
c. Any other children’s services provided by the State Multiple Needs Children’s Fund.
(6) Five percent of the fund shall be allocated to the Department of Mental Health for distribution to one or more of the following:
a. Community-based services for children and families in crisis. The department shall maintain standards and procedures to require that all staff members who provide services pursuant to this subdivision have the appropriate specialized training or experience, or both, to meet the needs of the children and families served.
b. Intensive long term programs designed to change behavior and rehabilitate children with gang-related problems, satanic worshipping-related problems, drug or alcohol problems or addictions. Private providers may be utilized for these drug and alcohol and gang-related and satanic worshipping-related treatment programs. A portion of the funds allocated pursuant to this paragraph shall be used to fund halfway houses or other graduated release facilities for children with drug or alcohol problems or addictions.
c. Any other children’s services provided by the Department of Mental Health.
(7) a. Ten percent of the funds shall be allocated to the Juvenile Probation Services Fund and administered by the Administrative Office of Courts to unify and upgrade the juvenile justice system and improve the delivery of services to children who have been referred to the juvenile court. The monies allocated to the Juvenile Probation Services Fund shall be allotted to one or more of the following:
Convert juvenile probation officers and support staff in counties with a population of 99,000 or less, according to the most recent federal census, and Mobile County, Calhoun County, Etowah County, and Tuscaloosa County to state employee status under the direction and supervision of the Administrative Office of Courts pursuant to the Juvenile Probation Services Improvement Act. These funds shall also be used to provide salary subsidies for juvenile probation officers in each county with a population of more than 99,000, on the basis of one salary subsidy per 15,000 population or a fraction thereof.
In the fiscal year ending September 30, 1999, additional juvenile probation services positions at the ratio of one position per population of 47,000 or a major fraction of that amount. At a minimum, each county shall receive at least one additional juvenile probation officer. Juvenile probation services positions shall include juvenile probation officers, professional staff charged with developing programs for early intervention and correction of delinquent behavior, and officers assigned to intensively supervise juveniles returning from regional or state institutions. Each county shall be allocated at least one additional juvenile probation officer subsidy for the fiscal year ending September 30, 1999.
Any other juvenile probation service provided by the Administrative Office of Courts through the Juvenile Probation Services Fund.
b. In successive fiscal years, the percentage of monies received pursuant to this subdivision shall be allotted to the Juvenile Probation Services Fund to provide funding for juvenile probation services administered by the Administrative Office of Courts.
c. Each presiding juvenile court judge and chief juvenile probation officer shall jointly file a sworn statement on approved forms with the Administrative Office of Courts prior to July 1 of each year which shall contain a detailed listing of the general services provided by the juvenile probation staff to the children under their supervision. The services provided in each county shall include, but not be limited to, all of the following:
Programs to develop basic competency in social skills.
Truancy prevention programs.
Restitution collection programs.
Community service work programs.
Programs utilizing trained volunteers including mentor programs, volunteers in probation, and other programs.
Programs mandating parental accountability.
Intensive aftercare programs for children returning from regional or state institutions.
d. The responsibilities provided in this subdivision are supplemental to those provided in Section 12-15-7.
(8) a. Seventeen percent of the revenues shall be allocated to the Department of Youth Services to fund through public or private providers secure beds, group homes, graduated release facilities, community-based alternatives to commitment to the Department of Youth Services, and for subsidies for regional detention facilities. The public or private providers shall develop an aftercare plan for each juvenile leaving the custody of the Department of Youth Services and shall be responsible for monitoring compliance with and completion of each plan. The Department of Youth Services Board shall develop criteria and an allocation formula to insure that monies received from the fund shall be equitably distributed to provide access to local juvenile offender programs for both urban and rural areas throughout the state. The funds allocated to the Department of Youth Services shall be distributed for one or more of the following:
Facilities for secure beds and for graduated release facilities to integrate children from the Department of Youth Services secure facilities back into their local communities.
Intensive programs to include, but not be limited to, wilderness programs of sufficient duration to change behavior, to develop self-reliance, and to develop a work ethic. Not less than 20 percent of these funds shall be designated for the treatment of juvenile sex offenders.
Alternative programs which shall include, but not be limited to, bootcamps with a minimum required stay of 90 days, day-reporting centers, and intensive monitoring systems which are community-based.
Subsidies for regional detention facilities.
Any other children’s services provided by the Department of Youth Services.
b. An annual accounting of the distribution of the monies and the effectiveness of the programs shall be prepared by the Department of Youth Services and filed with the council prior to July 1. Sufficient safeguards shall be implemented to ensure that the new monies will increase and not supplant or decrease existing state or local support, except the portion of funds used year to year according to needs enumerated in this section.
(9) Three and one-half percent of the funds shall be allocated to the Alabama Medicaid Agency to fund services to directly benefit the needs of children and an AIDS waiver.
(10) One percent of the funds shall be allocated to the Alcoholic Beverage Control Board for education and enforcement of Chapter 11 of Title 28, which prohibits access to tobacco products by minors.
(11) a. One percent of the funds shall be allocated to the Department of Forensic Sciences to fund forensic services including, but not limited to, all of the following:
Investigation of child deaths where the child was not under the care of a physician, identification of missing children remains, and analysis of forensic evidence associated with crimes where the victim is a child.
Provision of medical examiners for local child death review teams.
Education of medical students and resident physicians regarding fatal child abuse.
Provision of expert testimony in court cases involving forensic findings in criminal investigations.
Provision of other forensic services for children when requested by the council.
b. The Department of Forensic Sciences shall prepare an annual accounting of the distribution of monies received and the effectiveness of programs implemented pursuant to this chapter and shall file the accounting with the council before July 1. Sufficient safeguards shall be implemented to ensure that the new monies increase and not supplant or decrease existing state support.
(12) One-half of one percent of the fund shall be allocated to the Department of Rehabilitation Services for distribution to one or more of the following:
a. Early intervention services for children from birth through age three and services for children who have traumatic brain injury.
b. Child death review teams pursuant to Article 5 of Chapter 16 of Title 26. The Department of Rehabilitation Services shall work in cooperation with the Department of Public Health to administer this paragraph.
(Act 99-390, p. 628, §3.)
Notwithstanding Section 41-15B-2.2, or any other provision of law, beginning with the appropriation from the Children First Trust Fund for the fiscal year ending September 30, 2006, and each fiscal year thereafter, the Legislature may, but shall not be required to, make appropriations or allocations to the State Board of Education from the Children First Trust Fund. If there is no appropriation or allocation made to the State Board of Education, any tobacco revenue in or received by the Children First Trust Fund which is allocated for the State Board of Education by Section 41-15B-2.2(b)(2), may be appropriated or allocated by the Legislature to any other entity or fund which receives appropriations or allocations pursuant to Section 41-15B-2.2.
(Act 2005-321, 1st Sp. Sess., p. 782, §3.)
The following criteria shall be met in order for any state agency or local entity to be eligible to receive allocations from the Children First Trust Fund:
(1) After the first year, these state agencies shall annually conduct a needs assessment of the children of Alabama and shall develop and implement a strategic plan which addresses the special needs of children. The purpose of this plan is to alleviate duplication of services. The plan and evaluation of results of programs shall be submitted to the council by July 1.
(2) Each county children’s policy council shall comply with Sections 12-15-133 and 12-15-134, and shall be actively involved in the coordination of requests for grants funded by the Children First Trust Fund.
(Act 98-382, p. 716, §3.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) There is created the Permanent Joint Interim Legislative Oversight Committee of the Children First Trust Fund. The committee shall be composed of three members of each house, to be appointed by the presiding officer of each house. The chair and vice chair of the oversight committee shall be elected at the first meeting by the members of the oversight committee. The oversight committee shall meet as it deems necessary and shall study and oversee all facets of the Children First Trust Fund. The committee shall review each monthly report provided by the council, and may make recommendations as it deems appropriate.
(b) The oversight committee shall consider recommending to the council a comprehensive plan to establish a grants program to assist parents in placing their children in accredited behavior modification programs.
(c) Upon the request of the chair, the Secretary of the Senate and the Clerk of the House shall provide the clerical assistance necessary for the work of the oversight committee.
(d) The oversight committee shall review each community service grant awarded pursuant to this chapter to determine compliance with this chapter and the guidelines established in Chapter 24, the Community Service Grant Program Act of 1989.
(e) Each member of the oversight committee shall be entitled to his or her regular legislative compensation, his or her per diem, and travel expenses for each day he or she attends a meeting of the oversight committee which shall be paid out of any funds appropriated to the use of the Legislature, upon warrants drawn on the state Comptroller upon requisitions signed by the chair of the oversight committee. Notwithstanding the foregoing, no member shall receive additional legislative compensation or per diem when the Legislature is in session or if a member is being paid any other payments on the same dates for attendance of other state business.
(Act 98-382, p. 716, §5.)
The Alabama Children’s Policy Council, on the date and in the form and content prescribed by the Department of Finance, shall prepare and forward to the Governor’s Commissioner of Children’s Affairs, the budget request information required in subdivisions (1) to (6), inclusive, of subsection (a) of Section 41-19-6.
(Act 99-390, p. 628, §4.)
Beginning with the fiscal year ending September 30, 2000, and each fiscal year thereafter, these programs shall be funded through a separate appropriation in a separate act from tobacco settlement or litigation revenues received by the State of Alabama.
(Act 99-390, p. 628, §5.)
(a) All tobacco revenues from the tobacco settlement received by the state previously designated for the Children First Trust Fund shall be deposited to the Children First Trust Fund within 30 calendar days of receipt of those tobacco revenues.
(b) Allocations from the Children First Trust Fund are conditioned upon the receipt of tobacco revenues.
(Act 2001-843, 2001 3rd Sp. Sess., p. 647, §2; Act 2002-402, p. 1012, §2; Act 2003-517, p. 1544, §1(b)(1,) 1(b)(4); Act 2004-560, p. 1202, §1(b)(1,) 1(b)(4).)
It is the intent of the Legislature that each fiscal year, beginning with the fiscal year ending September 30, 2007, if the beginning of the year balance in the Children First Trust Fund is not equal to or greater than one-half of the total amount of the appropriations for that fiscal year from the Children First Trust Fund, the amount necessary to bring the balance in the Children First Trust Fund to one-half of the appropriations from the Children First Trust Fund for that fiscal year shall be transferred to the Children First Trust Fund from the State General Fund, or from any other fund from which the Finance Director may determine funds are available for transfer to the Children First Trust Fund. Upon receipt by the Children First Trust Fund of that portion of tobacco revenue allocated for deposit to the Children First Trust Fund, any State General Fund monies or other funds transferred to the Children First Trust Fund pursuant to this section shall be repaid from the Children First Trust Fund to the fund from which they were transferred.
(Act 2005-321, 1st Sp. Sess., p. 782, §2.)
(a) There is hereby created the Alabama Senior Services Trust Fund as a separate fund in the State Treasury. The trust fund shall be administered by the Secretary/Treasurer of the Retirement Systems of Alabama, which shall be entitled to a reasonable fee for the administration. All investments shall be made pursuant to the same authority and restrictions that apply to the investment of funds of the Retirement Systems of Alabama.
(b) Funding to the Alabama Senior Services Trust Fund shall be from the distribution of tobacco settlement proceeds as enacted in Division 1 of Article 17 of Chapter 10 of this title. Distributions to the trust fund shall be made each fiscal year that the state receives proceeds from the tobacco settlement.
(c) Earnings in the trust fund shall not be subject to appropriation until the Legislature includes an appropriation in the general appropriations act from the trust fund to the Department of Senior Services or its successor. Appropriations by the Legislature from the trust fund to the Department of Senior Services or its successor shall equal 85 percent of the earnings of the prior year and shall be utilized to acquire maximum federal dollars available to be used to provide benefits and services to Alabama’s elderly. The remaining 15 percent of the earnings shall be retained in the trust fund and reinvested as other monies are invested in the trust fund.
(d) Any funds appropriated pursuant to this section shall be additional funds distributed to the Alabama Department of Senior Services or its successor and shall not be used to supplant or decrease existing state or local support to the Alabama Department of Senior Services or its successor. Appropriations from the trust fund shall be used to both expand existing services and create new services for Alabama’s elderly.
(e) No funds shall be withdrawn or expended from this fund except as budgeted and allotted according to the provisions of Sections 41-4-80 to 41-4-96, inclusive, and only in amounts as stipulated in the general appropriations act or other appropriations acts.
(Act 99-444, p. 1011, §1.)
[Repealed]
Repealed by Acts 1997, No. 97-225, p. 348, §4, effective April 22, 1997.
A prosecution for any offense in violation of the competitive bid laws of Articles 2 and 3 of this chapter must be commenced within six years after the commission of the offense.
(Acts 1981, No. 81-350; Acts 1981, No. 81-851, p. 1529.)
(a) Whenever the State of Alabama is a party to any contract, the contract shall be executed by all parties in a timely fashion. When a party to a contract, other than the state, has fully executed the responsibility under the contract and there remains only the payment of funds by the state, payment shall be made in a timely manner. If the amount due by the state is not in dispute, payment shall be made within 30 days after the other party has completed his or her portion of the contract and presented a proper invoice. If the amount payable is not paid within 30 days, interest on the amount shall be charged. A party who receives a payment from the state in connection with a contract shall pay each of its subcontractors or sub-subcontractors the portion of the state’s payment to the extent of that subcontractor’s or sub-subcontractor’s interest in the state’s payment in accordance with the payment terms agreed to by the contractor and the subcontractor, but if payment terms are not agreed to, then within seven days after receipt of payment from the state. The payment shall include interest, if any, that is attributable to work performed by the subcontractor or sub-subcontractor. The interest rate shall be the legal amount currently charged by the state. Interest shall be paid from the same fund or source from which the contract principal is paid. Nothing in this subsection shall prevent the state, contractor, or subcontractor from withholding payments if there is a bona fide dispute over one or more of the following:
(1) Unsatisfactory job progress.
(2) Defective construction not remedied.
(3) Disputed work.
(4) Third party claims filed or reasonable evidence that a claim will be filed.
(5) Failure of the contractor, subcontractor, or sub-subcontractor to make timely payments for labor, equipment and materials.
(6) Property damage to owner, contractor, or subcontractor.
(7) Reasonable evidence that the contract, subcontract, or sub-subcontract cannot be completed for the unpaid balance of the contract or contract sum.
(b) In the event that there is a bona fide dispute over all or any portion of the amount due on a progress payment from the owner, contractor, or subcontractor then the owner, contractor, or subcontractor may withhold payment in an amount not to exceed two times the disputed amount.
(c) An owner is required to notify a contractor in writing within 15 days of receipt of any disputed request for payment. A contractor, subcontractor, and sub-subcontractor is required to provide written notification within five days of disputed request for payment or notice of disputed request for payment.
(d) The amount of retainage withheld by the contractor to the subcontractor or the subcontractor to the sub-subcontractor shall not exceed the retainage withheld by the state unless interest is applied to the withheld amount.
(Acts 1984, No. 84-407, p. 954; Acts 1996, No. 96-587, p. 927, §1.)
The reverse auction process shall not be used to procure professional services of architects, landscape architects, engineers, land surveyors, geoscience and other professions, as described in Section 41-16-51(a)(3), or contracts for construction, repairs, renovation, or maintenance of public works.
(Act 2006-107, p. 152, §2.)
(a) For the purposes of this section, the following terms shall have the following meanings:
(1) BOYCOTT. To blacklist, divest from, or otherwise refuse to deal with a person or business entity when the action is based on race, color, religion, gender, or national origin of the targeted person or entity or is based on the fact that the boycotted person or entity is doing business in a jurisdiction with which this state can enjoy open trade and with which the targeted person or entity is doing business.
(2) BUSINESS ENTITY. A corporation, partnership, limited liability company, organization, or other legal entity conducting or operating any trade or business in Alabama or a corporation, organization, or other legal entity operating in Alabama that is exempt from taxation under Section 501(c)(3) or (4) of the Internal Revenue Code.
(3) GOVERNMENTAL ENTITY. The state or any political subdivision thereof, or any department, agency, board, commission, or authority of the state, or any political subdivision, or any public corporation, authority, agency, board, commission, state college, or university, municipality, or other governmental entity controlled by the state or any political subdivision.
(4) JURISDICTION WITH WHICH THIS STATE CAN ENJOY OPEN TRADE. Includes World Trade Organization members and those with which the United States has free trade or other agreements aimed at ensuring open and nondiscriminatory trade relations.
(b) Subject to subsection (c), a governmental entity may not enter into a contract governed by Title 39 or Chapter 16, Title 41, with a business entity unless the contract includes a representation that the business entity is not currently engaged in, and an agreement that the business entity will not engage in, the boycott of a person or an entity based in or doing business with a jurisdiction with which this state can enjoy open trade.
(c)(1) This section does not apply if a business fails to meet the requirements of subsection (b) but offers to provide the goods or services for at least 20 percent less than the lowest certifying business entity.
(2) This section does not apply to contracts with a total potential value of less than fifteen thousand dollars ($15,000).
(d) Nothing in this section requires a business entity or individual to do business with any other particular business entity or individual in order to enter into a contract with a governmental entity.
(Act 2016-312, §1.)
(a) With the exception of contracts for public works whose competitive bidding requirements are governed exclusively by Title 39, all contracts of whatever nature for labor, services, work, or for the purchase or lease of materials, equipment, supplies, other personal property or other nonprofessional services, involving fifteen thousand dollars ($15,000) or more, made by or on behalf of any state department, board, bureau, commission, committee, institution, corporation, authority, or office shall, except as otherwise provided in this article, be let by free and open competitive bidding, on sealed bids, to the lowest responsible bidder.
(b) A “preferred vendor” shall be a person, firm, or corporation which is granted preference priority according to the following:
(1) PRIORITY #1. Produces or manufactures the product within the state.
(2) PRIORITY #2. Has an assembly plant or distribution facility for the product within the state.
(3) PRIORITY #3. Is organized for business under the applicable laws of the state as a corporation, partnership, or professional association and has maintained at least one retail outlet or service center for the product or service within the state for not less than one year prior to the deadline date for the competitive bid.
(4) PRIORITY #4. A business that is physically located in the state and that is more than 50 percent owned by a person who was discharged or released under conditions other than dishonorable and who has at least 24 months’ active service in the United States’ military, naval, or air service, or who has less than 24 months of active service in any of the foregoing and was separated with a service-connected disability, or a national guardsman or reservist who completed active federal service for purposes other than training or who served at least 180 days of continuous service for purposes other than training.
(c) In the event a bid is received for the product or service from a person, firm, or corporation deemed to be a responsible bidder and a preferred vendor where any state higher education institution, department, board, bureau, commission, committee, institution, corporation, authority, or office is the awarding authority and the bid is no more than five percent greater than the bid of the lowest responsible bidder, the awarding authority may award the contract to the preferred vendor.
(Acts 1957, No. 343, p. 452, §1; Acts 1961, No. 870, p. 1365; Acts 1976, No. 751, p. 1032, §1; Acts 1989, No. 89-687, p. 1351, §1; Acts 1994, No. 94-207, p. 270, §1; Acts 1997, No. 97-225, p. 348, §1; Act 2000-721, p. 1544, §1; Act 2009-763, p. 2310, §1; Act 2012-462, p. 1281, §1; Act 2018-195, §1.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(a) Competitive bids shall not be required for utility services where no competition exists or where rates are fixed by law or ordinance, and the competitive bidding requirements of this article shall not apply to: The purchase of insurance by the state; contracts for the securing of services of attorneys, physicians, architects, teachers, artists, appraisers, engineers, or other individuals possessing a high degree of professional skill where the personality of the individual plays a decisive part; contracts of employment in the regular civil service of the state; purchases of alcoholic beverages only by the Alcoholic Beverage Control Board; purchases and contracts for repair of equipment used in the construction and maintenance of highways by the State Department of Transportation; purchases of products made or manufactured by the blind or visually handicapped under the direction or supervision of the Alabama Institute for Deaf and Blind in accordance with Sections 21-2-1 through 21-2-4; purchases of maps or photographs purchased from any federal agency; contractual services and purchases of personal property, which by their very nature are impossible of award by competitive bidding; barter transactions by the Department of Corrections; and purchases, contracts, or repairs by the Alabama State Port Authority when it is deemed by the Director of the Alabama State Port Authority and the Secretary-Treasurer of the Alabama State Port Authority that the purchases, contracts, or repairs are impractical of award by competitive bidding due to the exigencies of time or interference with the flow of commerce. The Director of the Alabama State Port Authority and the Secretary-Treasurer of the Alabama State Port Authority shall place a sworn statement in writing in the permanent file or records setting out the emergency or exigency relied upon and the necessity for negotiation instead of proceeding by competitive bidding in that particular instance, and the sworn statement shall be open to public inspection. A copy of the sworn statement shall be furnished forthwith to the Governor and Attorney General.
(b) All educational and eleemosynary institutions governed by a board of trustees or other similar governing body and the Alabama State Port Authority shall be exempt from this article which relate to the powers, duties, authority, restrictions, and limitations conferred or imposed upon the Department of Finance, Division of Purchasing. The educational and eleemosynary institutions, the Alabama State Port Authority, and the other state agencies exempted from this article shall let by free and open competitive bidding on sealed bids to the lowest responsible bidder all contracts of whatever nature for labor, services or work or for the purchase or lease of materials, equipment, supplies, or other personal property involving fifteen thousand dollars ($15,000) or more. The institutions, departments, and agencies shall establish and maintain purchasing facilities as may be necessary to carry out the intent and purpose of this article by complying with the requirements for competitive bidding in the operation and management of each institution, department, or agency.
(c) Contracts entered into in violation of this article shall be void.
(d) Nothing in this section shall be construed as repealing Sections 9-2-106 and 9-2-107.
(Acts 1957, No. 343, p. 452, §2; Acts 1961, No. 870, p. 1365; Acts 1969, No. 1053, p. 1973, §§1, 2; Acts 1976, No. 751, p. 1032, §2; Acts 1985, No. 85-689, p. 1106; Acts 1990, No. 90-631, p. 1156, §1; Acts 1994, No. 94-207, p. 270, §1; Act 2001-956, p. 817, §3; Act 2014-175, p. 506, §1.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(a) In the event that utility services are no longer exempt from competitive bidding under this article, non-adjoining counties may not purchase utility services by joint agreement under authority granted by this section.
(b)(1) The Division of Purchasing, Department of Finance, is hereby authorized to enter into joint purchasing agreements to purchase, lease, or lease-purchase, materials, equipment, supplies, other personal property or services, including child support services, which have been let by competitive bid or competitive solicitation process by any group or consortium of governmental entities within or without the State of Alabama upon a finding by the purchasing agent that such joint purchasing agreements are in the best interests of the State of Alabama. Joint purchasing agreements entered into by the Division of Purchasing may be utilized by any governmental entity subject to the requirements of Title 41, Chapter 16, Articles 2 or 3A. This subsection shall not apply to the purchase, lease, or lease-purchase of materials, equipment, supplies, or other personal property which can only be utilized in conjunction with a service or service contract, whether subject to competitive bidding under this article or not, for the materials, equipment, supplies, or other personal property that must remain in effect to utilize the materials, equipment, supplies, or other personal property.
(2) Nothing in this subsection prohibits or limits public four-year institutions from entering into joint purchasing agreements to purchase, lease, or lease-purchase materials, equipment, supplies, other personal property and services which have been let by competitive bid or competitive solicitation process by any group or consortium of governmental entities or through a group purchasing organization within or without the State of Alabama upon a finding by the institution that such purchasing agreements are in the best interests of the institution; provided, however, this subdivision shall not permit agreements to purchase, lease, or lease-purchase wireless communications equipment or services through any group or consortium of governmental entities or through any group purchasing organization.
(Acts 1976, No. 751, p. 1032, §3; Act 2000-153, p. 216, §1; Act 2009-763, p. 2310, §1; Act 2018-195, §1.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
All laws to the contrary notwithstanding, any state department or agency whose principal business is honorariums is hereby exempted from the provisions of the state competitive bid laws on purchases and contracts for services made by such department or agency.
(Acts 1982, No. 82-565; Acts 1989, No. 89-963, p. 1930.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
The state may without advertisement or receiving competitive bids purchase materials, equipment, supplies or other personal property from the United States government or any agency, division or instrumentality thereof when such purchase is deemed by the state Purchasing Agent to be in the best interest of the State of Alabama.
(Acts 1973, No. 1288, p. 2200.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
In case of emergency affecting public health, safety or convenience, so declared in writing by the head of the institution or state agency involved, setting forth the nature of the danger to public health, safety or convenience involved in delay, contracts may be let to the extent necessary to meet the emergency without public advertisement. Such action and the reasons therefor shall immediately be made public by the awarding authority.
(Acts 1957, No. 343, p. 452, §7.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(a)(1) The Purchasing Agent shall advertise for sealed bids on all purchases in excess of the competitive bid limit as established in Section 41-16-20 by posting notice thereof on a bulletin board maintained outside the office door or by publication of notice thereof, one time, in a newspaper published in Montgomery County, Alabama, or in any other manner, for such lengths of time as the Purchasing Agent may determine. The Purchasing Agent shall also solicit sealed bids or bids to be submitted by reverse auction procedure by notifying all Alabama persons, firms, or corporations who have filed a request in writing that they be listed for solicitation on bids for the particular items set forth in the request and the other persons, firms, or corporations the Purchasing Agent deems necessary to insure competition. If any person, firm, or corporation whose name is listed fails to respond to any solicitation for bids after the receipt of three solicitations, the listing may be cancelled by the Purchasing Agent.
(2) A Purchasing Agent may enter into a contract for purchases if a newspaper to which an advertisement for purchases did not publish the advertisement if the Purchasing Agent can provide proof that it in good faith submitted the advertisement to the newspaper with instructions to publish the notice in accordance with this section.
(b) All bids, except as provided in subsection (d), shall be sealed when received, shall be opened in public at the hour stated in the notice, and all original bids together with all documents pertaining to the award of the contract shall be retained in accordance with a retention period established by the State Records Commission and shall be open to public inspection.
(c) If the purchase or contract will involve an amount of the competitive bid limit as established in Section 41-16-20 or less, the Purchasing Agent may make the purchases or contracts either upon the basis of sealed bids, reverse auction procedure, or in the open market.
(d) For purposes of this article, a reverse auction procedure includes either of the following:
(1) A real-time bidding process usually lasting less than one hour and taking place at a previously scheduled time and Internet location, in which multiple anonymous suppliers submit bids to provide the designated goods or services.
(2) A bidding process usually lasting less than two weeks and taking place during a previously scheduled period and at a previously scheduled Internet location, in which multiple anonymous suppliers submit bids to provide the designated goods or services.
(e) No purchase or contract involving an amount in excess of the competitive bid limit as established in Section 41-16-20 shall be divided into parts involving amounts of the competitive bid limit as established in Section 41-16-20 or less for the purpose of avoiding the requirements of this article. All such partial contracts involving the competitive bid limit as established in Section 41-16-20 or less shall be void.
(Acts 1957, No. 343, p. 452, §6; Acts 1961, No. 870, p. 1365; Acts 1976, No. 751, p. 1032, §4; Acts 1983, No. 83-773, p. 1414, §1; Acts 1989, No. 89-687, p. 1351, §2; Acts 1994, No. 94-207, p. 270, §1; Act 2006-107, p. 152, §1; Act 2009-763, p. 2310, §1; Act 2014-373, p. 1333, §1.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
Any agreement or collusion among bidders or prospective bidders in restraint of freedom of competition by agreement to bid at a fixed price or to refrain from bidding or otherwise shall render the bids of such bidders void. Each bidder shall accompany his bid with a sworn statement that he has not been a party to such an agreement.
(Acts 1957, No. 343, p. 452, §4.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
Any disclosure in advance of the terms of a bid submitted in response to an advertisement for bids shall render the proceedings void and require advertisement and award anew.
(Acts 1957, No. 343, p. 452, §5.)
(a) When purchases are required to be made through competitive bidding, award shall, except as provided in subsection (f), be made to the lowest responsible bidder taking into consideration the qualities of the commodities proposed to be supplied, their conformity with specifications, the purposes for which required, the terms of delivery, transportation charges, and the dates of delivery, provided, that the awarding authority may at any time within 30 days after the bids are opened negotiate and award the contract to anyone, provided he or she secures a price at least five percent under the low acceptable bid. The award of such a negotiated contract shall be subject to approval by the Director of Finance and the Governor, except in cases where the awarding authority is a two-year or four-year college or university governed by a board. The awarding authority or requisitioning agency shall have the right to reject any bid if the price is deemed excessive or quality of product inferior. Awards are final only after approval of the purchasing agent.
(b) The awarding authority may award multiple purchase contracts resulting from a single invitation-to-bid where the specifications of the items of personal property or services intended to be purchased by a requisitioning agency or agencies are determined, in whole or in part, by technical compatibility and operational requirements. In order to make multiple awards under this provision, the awarding authority must include in the invitation-to-bid a notice that multiple awards may be made and the specific technical compatibility or operational requirements necessitating multiple awards. Multiple awards of purchase contracts with unique technical compatibility or operational specifications shall be made to the lowest responsible bidder complying with the unique technical compatibility or operational specifications. The requisitioning agency shall provide the awarding authority with the information necessary for it to determine the necessity for the award of multiple purchase contracts under this provision.
(c) Each bid, with the name of the bidder, shall be entered on a record. Each record, with the successful bid indicated thereon and with the reasons for the award if not awarded to the lowest bidder shall, after award of the order or contract, be open to public inspection.
(d) The purchasing agent in the purchase of or contract for personal property or contractual services shall give preference, provided there is no sacrifice or loss in price or quality, to commodities produced in Alabama or sold by Alabama persons, firms, or corporations.
(e)(1) Contracts for the purchase of personal property or contractual services other than personal services shall be let by competitive bid for periods not greater than five years and current contracts existing on February 28, 2006, may be extended or renewed for an additional two years with a 90-day notice of such extension or renewal given to the Legislative Council, however, any contract that generates funds or will reduce annual costs by awarding the contract for a longer term than a period of three years which is let by or on behalf of a state two-year or four-year college or university may be let for periods not greater than 10 years. Any contract awarded pursuant to this section for terms of less than 10 years may be extended for a period not to exceed 10 years from the initial awarding of the contract provided that the terms of the contract shall not be altered or renegotiated during the period for which the contract is extended.
(2) For purchases of personal property made on or after January 1, 2010, in instances in which the awarding authority determines that the total cost of ownership over the expected life of the item or items, including acquisition costs plus sustaining costs, and including specifically life cycle costs, can be reasonably ascertained from industry recognized and accepted sources, the lowest responsible bid may be determined to be the bid offering the lowest life cycle costs and otherwise meeting all of the conditions and specifications contained in the invitation to bid. To utilize this provision to determine the lowest responsible bidder, the awarding authority must include a notice in the invitation to bid that the lowest responsible bid may be determined by using life cycle costs and identify the industry recognized and accepted sources that will be applicable to such an evaluation.
(3) Industry recognized and accepted sources may be provided by rules adopted pursuant to the Alabama Administrative Procedure Act by the Green Fleets Review Committee if the review committee is established and enacted at the 2009 Regular Session. If the Green Fleets Review Committee is not enacted at the 2009 Regular Session, the Permanent Joint Legislative Committee on Energy Policy may adopt rules providing industry recognized and accepted sources, pursuant to the Alabama Administrative Procedure Act.
(f) Contracts for the purchase of services for receiving, processing, and paying claims for services rendered to recipients of the Alabama Medicaid program authorized under Section 22-6-7 which are required to be competitively bid may be awarded to the bidder whose proposal is most advantageous to the state, taking into consideration cost factors, program suitability factors (technical factors) including understanding of program requirements, management plan, excellence of program design, key personnel, corporate or company resources and designated location, and other factors including financial condition and capability of the bidder, corporate experience and past performance, and priority of the business to insure the contract awarded is the best for the purposes required. Each of these criteria shall be given relative weight value as designated in the invitation to bid, with price retaining the most significant weight. Responsiveness to the bid shall be scored for each designated criteria. If, for reasons cited above, the bid selected is not from the lowest bidding contractor, the Alabama Medicaid Agency shall present its reasons for not recommending award to the low bidder to the Medicaid Interim Committee. The committee shall evaluate the findings of the Alabama Medicaid Agency and must, by resolution, approve the action of the awarding authority before final awarding of any such contract. The committee shall also hear any valid appeals against the recommendation of the Alabama Medicaid Agency from the low bid contractor(s) whose bid was not selected.
(g) Notwithstanding the requirements under Sections 41-16-20, 41-16-21, and this section, contractual services and purchases of personal property regarding the athletic department, food services, and transit services negotiated on behalf of two-year and four-year colleges and universities may be awarded without competitive bidding provided that no state revenues, appropriations, or other state funds are expended or committed and when it is deemed by the respective board that financial benefits will accrue to the institution, except that in the cases where an Alabama business entity, as defined by this section, is available to supply the product or service, they will have preference unless the product or service supplied by a foreign corporation is substantially different or superior to the product or service supplied by the Alabama business entity. However, the terms and conditions of any of the services or purchases which are contracted through negotiation without being competitively bid and the name and address of the recipient of such a contract shall be advertised in a newspaper of general circulation in the municipality in which the college or university is located once a week for two consecutive weeks commencing no later than 10 days after the date of the contract. For the purposes of this section, the term Alabama business entity shall mean any sole proprietorship, partnership, or corporation organized in the State of Alabama.
(h)(1) For purchases of motor vehicles by the state made on or after January 1, 2010, the lowest responsible bid may be determined to be a bid offering the lowest life cycle costs, if it is determined that the total cost of ownership over the expected life of a motor vehicle, including acquisition costs plus maintenance costs, including specifically life cycle costs, can be reasonably ascertained from industry recognized and accepted sources. The lowest responsible bid shall otherwise meet all of the conditions and specifications contained in the invitation to bid. To utilize this provision to determine the lowest responsible bidder, the state must include a notice in the invitation to bid that the lowest responsible bid may be determined by using life cycle costs and identify the industry recognized and accepted sources that will be applicable to such an evaluation.
(2) Industry recognized and accepted sources may be provided by rules adopted pursuant to the Alabama Administrative Procedure Act by the Green Fleets Review Committee if the review committee is established and enacted at the 2009 Regular Session. If the Green Fleets Review Committee is not enacted at the 2009 Regular Session, the Permanent Joint Legislative Committee on Energy Policy may adopt rules providing industry recognized and accepted sources pursuant to the Alabama Administrative Procedure Act.
(i) When a single invitation-to-bid specifies a set of deliverables that would be capable of division into separate, independent contracts, the awarding authority, at its discretion, may award a secondary contract for any subset of such deliverables, not to exceed 20 percent of the original contract value, to any Alabama business certified under the Federal HUBZone program whose properly submitted responsible bid does not exceed five percent of the lowest responsible bid. In order to make a secondary award under this provision, the awarding authority shall include in the invitation-to-bid a notice that a secondary award may be made.
(Acts 1957, No. 343, p. 452, §9; Acts 1961, No. 870, p. 1365; Acts 1976, No. 751, p. 1032, §5; Acts 1982, No. 82-353; Acts 1990, No. 90-300, p. 408, §1; Act 2000-721, p. 1544, §1; Act 2006-107, p. 152, §1; Act 2009-652, p. 2006, §1; Act 2009-653, p. 2009, §1; Act 2009-763, p. 2310, §1; Act 2011-684, p. 2062, §2; Act 2014-343, p. 1280, §1; Act 2018-195, §1; Act 2021-294, §1.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
Bond in a responsible sum for faithful performance of the contract, with adequate surety, shall be required in an amount specified in the advertisement for bids.
(Acts 1957, No. 343, p. 452, §8.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
No contract awarded to the lowest responsible bidder shall be assignable by the successful bidder without written consent of the awarding authority and requisitioning agency, and in no event shall a contract be assigned to an unsuccessful bidder whose bid was rejected because he was not a responsible bidder.
(Acts 1957, No. 343, p. 452, §11.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
Neither the Purchasing Agent nor any assistant or employee of his shall be financially interested or have any personal beneficial interest, either directly or indirectly, in the purchase of or contract for any personal property or contractual service, nor in any firm, partnership, association or corporation furnishing any such personal property or contractual services to the state government or to any of its departments, agencies or institutions. Neither the Purchasing Agent nor any assistant or employee of his shall accept or receive, directly or indirectly, from any person, firm, association or corporation to whom any contract may be awarded, by rebate, gifts or otherwise, any money or thing of value whatsoever or any promise, obligation or contract for future reward or compensation, nor shall any person willfully make any purchase or award any contract in violation of the provisions of this article.
Any violation of this section shall be deemed a misdemeanor, and any person who violates this section shall, upon conviction, be imprisoned for not more than 12 months or fined not more than $500.00 or both. Upon conviction thereof, any such Purchasing Agent, assistant or employee of his or any person who willfully makes any purchase or awards any contract in violation of the provisions of this article shall be removed from office.
(Acts 1957, No. 343, p. 452, §3.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
Any taxpayer of the area within the jurisdiction of the awarding authority and any bona fide unsuccessful bidder on a particular contract shall be empowered to bring a civil action in the appropriate court to enjoin execution of any contract entered into in violation of the provisions of this article.
(Acts 1957, No. 343, p. 452, §10.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
This article shall be cumulative in its nature.
All conflicting provisions of law are hereby expressly repealed; however, this article shall in no manner repeal any of the provisions of Chapter 36 of Title 16 of this code or Chapters 2 and 5 of Title 39 of this code or Article 5 of Chapter 4 of this title.
(Acts 1957, No. 343, p. 452, §12.)
(a) With the exception of contracts for public works whose competitive bidding requirements are governed exclusively by Title 39, all expenditure of funds for labor, services, work, or for the purchase of materials, equipment, supplies, or other personal property involving thirty thousand dollars ($30,000) or more, and the lease of materials, equipment, supplies, or other personal property where the lessee is or becomes legally and contractually bound under the terms of the lease to pay a total amount of thirty thousand dollars ($30,000) or more, made by or on behalf of the Alabama Fire College, the district boards of education of independent school districts, the county commissions, the governing bodies of the municipalities of the state, and the governing boards of instrumentalities of counties and municipalities, including waterworks boards, sewer boards, gas boards, and other like utility boards and commissions, except as otherwise provided in this article, shall be made under contractual agreement entered into by free and open competitive bidding, on sealed bids, to the lowest responsible and responsive bidder.
(b)(1) Prior to advertising for bids for an item of personal property or services, where a county, a municipality, or an instrumentality thereof is the awarding authority, the awarding authority may establish a local preference zone consisting of any of the following:
a. The legal boundaries or jurisdiction of the awarding authority.
b. The boundaries of the county in which the awarding authority is located.
c. The boundaries of the Core Based Statistical Area in which the awarding authority is located.
(2) If no action is taken by the awarding authority under subdivision (1), the boundaries of the local preference zone shall be deemed to be the same as the legal boundaries or jurisdiction of the awarding authority.
(3) If a bid is received for an item of personal property or services to be purchased or contracted for from a person, firm, or corporation deemed to be a responsible bidder, having a place of business within the local preference zone where the county, a municipality, or an instrumentality thereof is the awarding authority, and the bid is no more than five percent greater than the bid of the lowest responsible bidder, the awarding authority may award the contract to the resident responsible bidder.
(4) If no bids or only one bid is received at the time stated in the advertisement for bids, the awarding authority may advertise for and seek other competitive bids, or the awarding authority may negotiate through the receipt of informal bids not subject to the requirements of this article. Where only one responsible and responsive bid has been received, any negotiation for the work shall be for a price lower than that bid.
(5) If both or all bids exceed the awarding authority’s anticipated budget, the awarding authority may negotiate with the lowest responsible and responsive bidder, provided the negotiated price is lower than the bid price.
(c)(1) The governing bodies of two or more contracting agencies, as enumerated in subsection (a), the governing bodies of two or more counties, or the governing bodies of two or more city or county boards of education, may provide, by joint agreement, for the purchase of labor, services, or work, or for the purchase or lease of materials, equipment, supplies, or other personal property for use by their respective agencies. The agreement shall be entered into by similar ordinances, in the case of municipalities, or resolutions, in the case of other contracting agencies, adopted by each of the participating governing bodies, which shall set forth the categories of labor, services, or work, or for the purchase or lease of materials, equipment, supplies, or other personal property to be purchased, the manner of advertising for bids and the awarding of contracts, the method of payment by each participating contracting agency, and other matters deemed necessary to carry out the purposes of the agreement. Each contracting agency’s share of expenditures for purchases under any agreement shall be appropriated and paid in the manner set forth in the agreement and in the same manner as for other expenses of the contracting agency. The contracting agencies entering into a joint agreement, as permitted by this section, may designate a joint purchasing or bidding agent, and the agent shall comply with this article. Purchases, contracts, or agreements made pursuant to a joint purchasing or bidding agreement shall be subject to all terms and conditions of this article.
(2) In the event that utility services are no longer exempt from competitive bidding under this article, non-adjoining counties may not purchase utility services by joint agreement under authority granted by this subsection.
(d) The awarding authority may require bidders to furnish a bid bond for a particular bid solicitation if the bonding requirement applies to all bidders, is included in the written bid specifications, and if bonding is available for the services, equipment, or materials.
(e) Notwithstanding subsection (a), in the event the lowest bid for an item of personal property or services to be purchased or contracted for is received from a foreign entity, where the county, a municipality, or an instrumentality thereof is the awarding authority, the awarding authority may award the contract to a responsible bidder whose bid is no more than 10 percent greater than the foreign entity if the bidder has a place of business within the local preference zone or is a responsible bidder from a business within the state that is a woman-owned enterprise, an enterprise of small business, as defined in Section 25-10-3, a minority-owned business enterprise, a veteran-owned business enterprise, or a disadvantaged-owned business enterprise. For the purposes of this subsection, “foreign entity” means a business entity that does not have a place of business within the state.
(f)(1) No expenditure involving thirty thousand dollars ($30,000) or more may be split into parts involving sums of less than thirty thousand dollars ($30,000) for the purpose of evading the requirements of this article.
(2) If an awarding authority documents its reasonable belief, based on expenditures in previous years, that an expenditure will not meet the dollar threshold and, based upon that reasonable belief, makes the expenditure without bidding, but then circumstances arise that necessitate making a subsequent expenditure of like items or services that would increase the total to or above the dollar threshold, then the subsequent expenditure shall be bid pursuant to this article. The awarding authority shall not be deemed to have violated this article for the prior expenditure that was not bid, provided that the awarding authority documented its reasonable belief, based on expenditures in previous years, that the total amount would be below the dollar threshold and that the subsequent expenditure was bid.
(g) Beginning October 1, 2027, and every three years thereafter, all dollar amounts used in this article shall be subject to a cost adjustment based on the following procedure: The Chief Examiner of the Department of Examiners of Public Accounts may submit to the Chair of the Legislative Council a recommendation that the amount be increased based on the percentage increase in the Consumer Price Index for the immediately preceding three-year period, rounded to the nearest thousand dollars. The recommendation shall be subject to the approval of the Legislative Council. In the event the recommendation is not disapproved by the Legislative Council by the end of April following the submission of the recommendation, the recommendation shall be deemed to be approved. Upon approval, the Department of Examiners of Public Accounts shall notify the public of the adjusted dollar amounts by July 1 before the fiscal year in which the changes will take effect.
(Acts 1967, Ex. Sess., No. 217, p. 259, §1; Acts 1975, No. 1136, p. 2234, §1; Acts 1979, No. 79-452, p. 732; Acts 1979, No. 79-662, p. 1160; Acts 1980, No. 80-429, p. 598; Acts 1981, No. 81-434, p. 679, §1; Acts 1985, No. 85-281, p. 180, §1; Acts 1989, No. 89-687, p. 1351, §3; Acts 1994, No. 94-207, p. 270, §1; Acts 1995, No. 95-630, p. 1334, §1; Acts 1997, No. 97-225, p. 348, §1; Act 2000-153, p. 216, §1; Act 2006-621, p. 1702, §1; Act 2008-379, p. 703, §1; Act 2009-760, p. 2294, §2; Act 2015-293, p. 913, §1; Act 2018-231, §1; Act 2021-296, §4; Act 2023-135, §1.)
(a) Competitive bids for entities subject to this article shall not be required for utility services, the rates for which are fixed by law, regulation, or ordinance, and the competitive bidding requirements of this article shall not apply to any of the following:
(1) The purchase of insurance.
(2) The purchase of ballots and supplies for conducting any primary, general, special, or municipal election.
(3) Contracts for securing services of attorneys, physicians, architects, teachers, superintendents of construction, artists, appraisers, engineers, consultants, certified public accountants, public accountants, or other individuals possessing a high degree of professional skill where the personality of the individual plays a decisive part.
(4) Contracts of employment in the regular civil service.
(5) Contracts for fiscal or financial advice or services.
(6) Purchases of products made or manufactured by blind or visually impaired individuals under the direction or supervision of the Alabama Institute for Deaf and Blind in accordance with Chapter 2 of Title 21.
(7) Purchases of maps or photographs from any federal agency.
(8) Purchases of computer programs, software applications, manuscripts, books, maps, pamphlets, periodicals, and library or research electronic databases of manuscripts, books, maps, pamphlets, or periodicals.
(9) The selection of paying agents and trustees for any security issued by a public body.
(10) Existing contracts up for renewal for sanitation or solid waste collection, recycling, and disposal between municipalities or counties, or both, and those providing the service.
(11) Purchases of computer and word processing hardware when the hardware is the only type that is compatible with hardware already owned by the entity taking bids and custom software.
(12) Professional services contracts for codification and publication of the laws and ordinances of municipalities and counties.
(13) Contractual services and purchases of commodities for which there is only one vendor or supplier and contractual services and purchases of personal property which by their very nature are impossible to award by competitive bidding.
(14) Purchases of dirt, sand, or gravel by a county governing body from in-county property owners in order to supply a county project in which the materials will be used. The material shall be delivered to the project site by county employees and equipment used only on project components conducted exclusively by county employees.
(15) Contractual services and purchases of products related to, or having an impact upon, security plans, procedures, assessments, measures, or systems, or the security or safety of individuals, structures, facilities, or infrastructures.
(16) Subject to the limitations in this subdivision, purchases, leases, or lease/purchases of goods or services, other than voice or data wireless communication services, made as a part of the purchasing cooperative sponsored by the National Association of Counties, its successor organization, or any other national or regional governmental cooperative purchasing program. The purchases, leases, or lease/purchases may only be made if all of the following occur:
a. The goods or services being purchased, including those purchased through a lease/purchase agreement, or leased are available as a result of a competitive bid process conducted by a governmental entity and approved by the Department of Examiners of Public Accounts for each bid.
b. The goods or services are either not at the time available to counties on the state purchasing program or are available at a price equal to or less than that on the state purchasing program.
c. The purchase, lease, or lease/purchase is made through a participating Alabama vendor holding an Alabama business license if such a vendor exists.
d. The entity purchasing, leasing, or lease/purchasing goods or services under this subdivision has been notified by the Department of Examiners of Public Accounts that the competitive bid process utilized by the cooperative program offering the goods complies with this subdivision. In addition, upon request, a vendor shall provide the entity purchasing, leasing, or lease/purchasing goods or services equaling thirty thousand dollars ($30,000) or more which are made under this subdivision during the previous 12 months a report of the sales, leases, and lease/purchases. The report shall include a general description of the goods or services; the number of units sold, leased, and leased/purchased per entity; and the price of units purchased, leased, or leased/purchased.
(17) Purchases of goods or services, other than wireless communication services, whether voice or data, from vendors that have been awarded a current and valid Government Services Administration contract. Any purchase made pursuant to this subdivision shall be under the same terms and conditions as provided in the Government Services Administration contract. Prices paid for the goods and services, other than wireless communication services, whether voice or data, may not exceed the amount provided in the Government Services Administration contract.
(18) Purchases of goods or services from vendors that have been awarded a current and valid statewide contract listed on the Alabama Buys e-procurement system. Any purchase made pursuant to this subdivision shall be under the same terms and conditions as provided in the statewide contract. Prices paid for the goods and services may not exceed the amount provided in the statewide contract.
(19) Purchases of goods or services between governmental entities of the state, as authorized by Section 11-1-10.
(20) Purchases of goods or services between a municipality and a governmental entity, as defined in Section 8-38-2.
(b) This article shall not apply to:
(1) Any purchases of products where the price of the products is already regulated and established by state law.
(2) Purchases made by individual schools of the county or municipal public school systems from monies other than those raised by taxation or received through appropriations from state or county sources.
(3) The purchase, lease, sale, construction, installation, acquisition, improvement, enlargement, or expansion of any building or structure or other facility designed or intended for lease or sale by a medical clinic board organized under Chapter 58 of Title 11.
(4) The purchase, lease, or other acquisition of machinery, equipment, supplies, and other personal property or services by a medical clinic board organized under Chapter 58 of Title 11.
(5) Purchases for public hospitals and nursing homes operated by the governing boards of instrumentalities of the state, counties, and municipalities.
(6) Contracts for the purchase, lease, sale, construction, installation, acquisition, improvement, enlargement, or extension of any plant, building, structure, or other facility or any machinery, equipment, furniture, or furnishings therefor designed or intended for lease or sale for industrial development, other than public utilities, under Division 1 of Article 4 of Chapter 54 of Title 11, or Article 2 of Chapter 54 of Title 11, or any other law or amendment to the Constitution of Alabama of 2022, authorizing the construction of plants or other facilities for industrial development or for the construction and equipment of buildings for public building authorities under Chapter 15 of Title 11 or Chapter 56 of Title 11.
(7) The purchase of equipment, supplies, or materials needed, used, and consumed in the normal and routine operation of any waterworks system, sanitary sewer system, gas system, or electric system, or any two or more thereof, that are owned by municipalities, counties, or public corporations, boards, or authorities that are agencies, departments, or instrumentalities of municipalities or counties and no part of the operating expenses of which system or systems, during the then current fiscal year, have been paid from revenues derived from taxes or from appropriations of the state, a county, or a municipality.
(8) Purchases made by local housing authorities, organized and existing under Chapter 1 of Title 24, from monies other than those raised by state, county, or city taxation or received through appropriations from state, county, or city sources.
(9) The purchase of services to aid in the prevention and detection of criminal activity by law enforcement agencies and community-oriented policing programs.
(c) The state trade schools, state junior colleges, state colleges, and universities under the supervision and control of the State Board of Education, the district boards of education of independent school districts, the county commissions, and the governing bodies of the municipalities of the state shall establish and maintain purchasing facilities and procedures as may be necessary to carry out the intent and purpose of this article by complying with the requirements for competitive bidding in the operation and management of each state trade school, state junior college, state college, or university under the supervision and control of the State Board of Education, the district boards of education of independent school districts, the county commissions, and the governing bodies of the municipalities of the state and the governing boards of instrumentalities of counties and municipalities, including waterworks boards, sewer boards, gas boards, and other like utility boards and commissions.
(d) Contracts entered into in violation of this article shall be void and any individual who violates this article shall be guilty of a Class C felony.
(Acts 1967, Ex. Sess., No. 217, p. 259, §2; Acts 1967, No. 209, p. 573; Acts 1967, No. 769, p. 1625; Acts 1969, No. 763, p. 1352; Acts 1980, No. 80-463, p. 723; Acts 1982, No. 82-425, p. 667, §1; Acts 1982, No. 82-508, p. 840, §1; Acts 1983, No. 83-515, p. 778; Acts 1984, No. 84-298, p. 666; Acts 1989, No. 89-665, p. 1319; Acts 1993, No. 93-615, p. 1009, §1; Acts 1995, No. 95-630, p. 1334, §1; Act 98-148, p. 249, §1; Act 2004-487, p. 906, §1; Act 2006-279, p. 489, §1; Act 2009-760, p. 2294, §2; Act 2011-530, p. 869, §1; Act 2016-298, p. 741, §1; Act 2017-402, p. 1310, §1; Act 2021-485, §1; Act 2023-135, §1; Act 2023-544, §1; Act 2024-280, §1.)
Notwithstanding any other laws to the contrary, when it is necessary for a county or an incorporated municipality to enter into a public contract for the provision of services or for the provision of primarily services even though the contract may include the furnishing of ancillary products or ancillary goods which would otherwise be required to be let by competitive bid, the county or municipality may, without soliciting and obtaining competitive bids, contract with a vendor or provider for the services at a price which does not exceed the price which the state has established through the competitive bid process for the same services under the same terms and conditions and provided it pertains to a current and active bid on a non-statewide agency contract. The mere delivery of products or goods, or the performance of a common, non-specialized service with relation to goods or products shall not make a purchase or contract qualify for the bid exemption hereunder. If a county or incorporated municipality desires to purchase under this bid exception procedure, the purchase must be approved by a majority vote of its governing body at a public meeting thereof.
(Act 2004-625, p. 1419, §1.)
(a)(1) During an emergency or unanticipated event affecting public health or safety or causing supply chain disruptions, and upon the recommendation of the State Superintendent of Education and the approval of the Department of Examiners of Public Accounts, any public educational entity that provides meals under the Child Nutrition Program of the Alabama State Department of Education and subject to this article may purchase goods or services related to the programs without advertising or bidding. To the extent possible, purchases made under this section shall be executed to include representation of minority-owned business enterprises.
(2) The recommendation submitted for consideration by the State Superintendent of Education under subdivision (1) shall contain a statement setting forth the specific facts regarding the basis and nature of the emergency or unanticipated event affecting public health or safety or causing supply chain disruptions necessitating the action and the geographical region or area to which the emergency or unanticipated event should be limited. Any approval to purchase goods or services under this section shall be limited to 60 days, during which time a contractual agreement for such purchases shall be entered into in compliance with the competitive bid law in this article.
(b) Notwithstanding subsection (a), a public educational entity described in subsection (a), when practicable and to the extent possible, should comply with the advertising and bidding requirements provided in this article.
(c) A public educational entity shall maintain accurate and fully itemized records of all expenditures made pursuant to this section.
(Act 2022-264, §2.)
(a) All expenditures of funds for repair parts and the repair of heavy duty off-highway construction equipment or of any vehicles with a gross vehicle weight rating of 25,000 pounds or greater, including machinery used for grading, drainage, road construction, and compaction for the exclusive use of county and municipal highway, street, and sanitation departments, involving not more than forty thousand dollars ($40,000) made by or on behalf of any county commissions and the governing bodies of the municipalities of the state, and the governing bodies of instrumentalities, including waterworks boards, sewer boards, gas boards, and other like utility boards and commissions, shall be made, at the option of the governing boards, bodies, instrumentalities, and commissions, without regard to this article. The foregoing exemption from this article shall apply to each incident of repair as to any repair parts, equipment, vehicles, or machinery. The amount of the exempted expenditure shall not be construed to be an aggregate of all the expenditures per fiscal year as to any individual vehicle or piece of equipment or machinery.
(b) The option provided by subsection (a) may be exercised by the governing boards, bodies, instrumentalities, and commissions by specific reference to this section on any purchase orders and purchase commitments executed by the governing boards, bodies, instrumentalities, and commissions. However, the option shall not be exercised by any employee, agent, or servant unless done so after having received official prior approval of the respective governing board, body, instrumentality, or commission or unless exercised pursuant to a formal policy adopted by the governing board, body, instrumentality, or commission setting out conditions and restrictions under which the option shall be exercised.
(c) All expenditures of funds for the leasing of heavy duty off-highway construction equipment and all vehicles with a gross vehicle weight rating of 25,000 pounds or greater, including machinery for grading, drainage, road construction, and compaction for exclusive use of county and municipal highway, street, and sanitation departments, involving a monthly rental of not more than ten thousand dollars ($10,000) per month per vehicle or piece of equipment or machinery but not to exceed thirty thousand dollars ($30,000) per month for all such vehicles and pieces of equipment made by or on behalf of any county commissions and the governing boards of municipalities of the state and the governing bodies of instrumentalities, including waterworks boards, sewer boards, gas boards, and other like utility boards and commissions shall be made, at the option of the governing boards, bodies, instrumentalities, and commissions, without regard to this article.
(Acts 1969, No. 493, p. 952; Acts 1971, No. 2338, p. 3771; Acts 1981, No. 81-626, p. 1042; Acts 1984, 2nd Ex. Sess., No. 85-40, p. 42; Acts 1995, No. 95-630, p. 1334, §1; Act 2017-466, §1; Act 2023-135, §1.)
(a) For purposes of this section, the term “awarding authority” means any county commission, governing body of a municipality, or an instrumentality of a county or municipality, including a waterworks board, a sewer board, a gas board, or other like utility boards and commissions.
(b) All expenditures of funds, made by or on the behalf of any awarding authority, for repair parts and the repair of vehicles shall be made at the option of the awarding authority without regard to this article when the following conditions are met:
(1) The vehicle has a gross vehicle weight rating of 12,000 pounds or less.
(2) The incident of repair does not involve more than fifteen thousand dollars ($15,000).
(3) The awarding authority solicits and documents price estimates from at least two different vendors prior to awarding the contract.
(c) The exemption provided under this section shall apply to each vehicle repaired, and the exempted expenditure shall not be aggregated with the expenditures of any other incidents of repair.
(d)(1) The option provided by subsection (b) may be exercised by the awarding authority by specific reference to this section on any purchase orders and purchase commitments executed by the awarding authority.
(2) The option shall not be exercised by any employee, agent, or servant unless done so after having received official prior approval of the respective awarding authority or unless exercised pursuant to a formal policy adopted by the awarding authority setting out conditions and restrictions under which the option shall be exercised.
(Act 2026-56, §1.)
Notwithstanding any law to the contrary, in the event circumstances arise for which a delay would likely cause harm to an individual or public property, a contract may be let to the extent necessary to mitigate the harm without regard to the requirements of this article, provided the awarding authority does both of the following:
(1) Documents two or more price quotations or price estimates before letting the contract.
(2) Adopts a resolution declaring the nature of the circumstances, the action to be taken, and the reasons for taking the action.
(Acts 1967, Ex. Sess., No. 217, p. 259, §7; Act 2023-135, §1.)
(a)(1) All proposed purchases of thirty thousand dollars ($30,000) or more shall be advertised by posting notice thereof on a bulletin board maintained outside the purchasing office and in any other manner and for any length of time as may be determined. Sealed bids or bids to be submitted by a reverse auction procedure shall also be solicited by sending notice by mail or other electronic means to all persons, firms, or corporations who have filed a request in writing that they be listed for solicitation on bids for the particular items that are set forth in the request. If any person, firm, or corporation whose name is listed fails to respond to any solicitation for bids after the receipt of three solicitations, the listing may be cancelled.
(2) If a governing body mandates that advertisement for bids shall be published in a newspaper, the contract for purchase shall be awarded if the newspaper to which the advertisement was submitted did not publish the advertisement if the governing body can provide proof that it in good faith submitted the advertisement to the newspaper with instructions to publish the notice in accordance with this section.
(b) Except as provided in subsection (d), all bids shall be sealed when received and shall be opened in public at the hour stated in the notice.
(c) If the purchase or contract will involve an amount of less than thirty thousand dollars ($30,000), the purchases or contracts may be made upon the basis of sealed bids, a joint purchasing agreement, a reverse auction procedure, or in the open market.
(d) Beginning January 1, 2009, the awarding authority may make purchases or contracts involving an amount of thirty thousand dollars ($30,000) or more through a reverse auction procedure. However, a reverse auction shall only be allowed where the item to be purchased at a reverse auction is either not at the time available on the state purchasing program under the same terms and conditions or, if available, the lowest price offered in the reverse auction is equal to or less than the price for which the item is available on the state purchasing program under the same terms and conditions. All of the purchases shall be subject to audit by the Department of the Examiners of Public Accounts. For purposes of this article, a reverse auction procedure includes either of the following:
(1) A real-time bidding process usually lasting less than one hour and taking place at a previously scheduled time and Internet location, in which multiple anonymous suppliers submit bids to provide the designated goods or services.
(2)a. A bidding process usually lasting less than two weeks and taking place during a previously scheduled period and at a previously scheduled Internet location, in which multiple anonymous suppliers submit bids to provide the designated goods or services.
b. No later than November 30, 2008, the Department of Examiners of Public Accounts shall establish procedures for the use of reverse auction, which shall be distributed to all contracting agencies and shall be used in conducting any audits of the purchasing agency.
(e) All original bids together with all documents pertaining to the award of the contract shall be retained in accordance with a retention period of at least seven years established by the Local Government Records Commission and shall be open to public inspection.
(f) No purchase or contract involving professional services shall be subject to the requirements of this article.
(g) This section shall be applicable to education purchases made pursuant to Chapter 13B of Title 16.
(Acts 1967, Ex. Sess., No. 217, p. 259, §6; Acts 1975, No. 1136, §2; Acts 1988, No. 88-540, p. 838, §1; Acts 1989, No. 89-687, p. 1351, §4; Acts 1994, No. 94-207, p. 270, §1; Acts 1995, No. 95-630, p. 1334, §1; Act 2006-107, p. 152, §1; Act 2006-279, p. 489, §1; Act 2008-379, p. 703, §1; Act 2009-728, p. 2178, §§1, 2; Act 2014-373, p. 1333, §1; Act 2023-135, §1.)
(a) Any agreement or collusion among bidders or prospective bidders in restraint of freedom of competition, by agreement, to bid at a fixed price or to refrain from bidding or otherwise shall render the bids of the bidders void and shall cause the bidders to be disqualified from submitting further bids to the awarding authority on future purchases.
(b) Whoever knowingly participates in a collusive agreement in violation of this section involving a bid or bids of less than thirty thousand dollars ($30,000) shall be guilty of a Class A misdemeanor and, upon conviction, shall be punished as prescribed by law.
(c) Whoever knowingly and intentionally participates in a collusive agreement in violation of this section involving a bid or bids of thirty thousand dollars ($30,000) or more shall be guilty of a Class C felony, and upon conviction shall be punished as prescribed by law.
(Acts 1967, Ex. Sess., No. 217, p. 259, §4; Acts 1984, No. 84-471, p. 1091; Acts 1988, No. 88-540, p. 838, §2; Act 2008-379, p. 703, §1; Act 2023-135, §1.)
Any disclosure in advance of the terms of a bid submitted in response to an advertisement for bids shall render the proceedings void and require advertisement and award anew.
(Acts 1967, Ex. Sess., No. 217, p. 259, §5.)
(a) When purchases are required to be made through competitive bidding, awards shall be made to the lowest responsible bidder taking into consideration the qualities of the commodities proposed to be supplied, their conformity with specifications, the purposes for which required, the terms of delivery, transportation charges, and the dates of delivery. If at any time after the award has been made the lowest responsible bidder notifies the awarding authority in writing that the bidder will no longer comply with the terms of the award to provide the goods or services to the awarding authority under the terms and conditions of the original award, or the awarding authority documents that the lowest responsible bidder defaults under the terms of the original award, the awarding authority may terminate the award to the defaulting bidder and make an award to the second lowest responsible bidder for the remainder of the award period without rebidding, provided the award to the second lowest responsible bidder is in all respects made under the terms and conditions contained in the original bid specifications and is for the same or a lower price than the bid originally submitted to the awarding authority by the second lowest responsible bidder.
(b) The awarding authority in the purchase of or contract for goods or services shall give preference, provided there is no sacrifice or loss in price or quality, to commodities produced in Alabama or sold by Alabama persons, firms, or corporations. Notwithstanding the foregoing, no county official, county commission, city council or city councilmen, or other public official charged with the letting of contracts or purchase of goods or services may specify the use of materials or systems by a sole source, unless:
(1) The governmental body can document that the sole source goods or services are of an indispensable nature, all other viable alternatives have been explored, and it has been determined that only these goods or services will fulfill the function for which the product is needed. Frivolous features will not be considered.
(2) No other vendor offers substantially equivalent goods or services that can accomplish the purpose for which the goods or services are required.
(3) All information substantiating the use of a sole source specification is documented in writing and is filed into the project file.
(c)(1) Beginning January 1, 2009, for purchases of personal property, including on or after June 9, 2011, goods which are, or are to become, fixtures, in instances where the awarding authority determines that the total cost of ownership over the expected life of the item or items, including acquisition costs plus sustaining costs or life cycle costs, can be reasonably ascertained from industry recognized and accepted sources, the lowest responsible bid may be determined to be the bid offering the lowest life cycle costs and otherwise meeting all of the conditions and specifications contained in the invitation to bid. To utilize this subdivision to determine the lowest responsible bidder, the awarding authority shall include a notice in the invitation to bid that the lowest responsible bid may be determined by using life cycle costs and identify the industry recognized and accepted sources that will be applicable to such an evaluation.
(2) No later than November 30, 2008, the Department of Examiners of Public Accounts shall establish procedures for the use of life cycle costs, which shall be distributed to all contracting agencies and shall be used in conducting any audits of the purchasing agency.
(d) The awarding authority or requisitioning agency may reject any bid if the price is deemed excessive or quality of product inferior.
(e) Each record, with the successful bid indicated thereon, and with the reasons for the award if not awarded to the lowest bidder, after award of the order or contract, shall be open to public inspection.
(f) Contracts for the purchase of personal property or contractual services shall be let for periods not greater than three years, except contracts for the collection and disposal of residential solid waste, other than those contracts in Class 1 municipalities, shall be let for periods not greater than five years. Contracts for the leasing of motor vehicles by local governing bodies shall be let for periods not greater than five years. Lease-purchase contracts for capital improvements and repairs to real property shall be let for periods not greater than 10 years and all other lease-purchase contracts shall be let for periods not greater than 10 years.
(Acts 1967, Ex. Sess., No. 217, p. 259, §9; Acts 1975, No. 1136, §3; Acts 1985, No. 85-281, p. 180, §2; Acts 1989, No. 89-665, p. 1319; Acts 1990, No. 90-300, p. 408, §2; Acts 1993, No. 93-647, p. 1118, §1; Acts 1994, 1st Ex. Sess., No. 94-801, p. 106, §1; Act 2008-379, p. 703, §1; Act 2009-653, p. 2009, §1; Act 2011-530, p. 869, §1; Act 2016-298, p. 741, §1; Act 2021-378, §1.)
Bond in a responsible sum for faithful performance of the contract, with adequate surety, may be required in an amount specified in the advertisement for bids.
(Acts 1967, Ex. Sess., No. 217, p. 259, §8.)
No contract awarded to the lowest responsible bidder shall be assignable by the successful bidder without written consent of the awarding authority, and in no event shall a contract be assigned to an unsuccessful bidder whose bid was rejected because he or she was not a responsible bidder.
(Acts 1967, Ex. Sess., No. 217, p. 259, §11.)
Members and officers of the city and county boards of education and the district boards of education of independent school districts may be financially interested in or have any personal beneficial interest, either directly or indirectly, in the purchase of or contract for any personal property or contractual service under either of the following conditions:
(1) The contract or agreement under which the financial interest arises was created prior to the election or appointment of the individual to the position he or she holds.
(2) The individual holding the position does not participate in, by discussion or by vote, the decision-making process which creates the financial or personal beneficial interest.
(Acts 1967, Ex. Sess., No. 217, p. 259, §3; Act 2011-583, p. 1279, §1.)
Any taxpayer of the area within the jurisdiction of the awarding authority and any bona fide unsuccessful bidder on a particular contract shall be empowered to bring a civil action in the appropriate court to enjoin execution of any contract entered into in violation of the provisions of this article.
(Acts 1967, Ex. Sess., No. 217, p. 259, §10.)
The provisions of this article shall not be applicable to any contracts made by a municipality pursuant to the provisions of Act No. 4 adopted at the 1956 Second Special Session of the Legislature of Alabama, as amended, which relates to the promotion of trade by inducing commercial enterprises to locate in the state and which confers on municipalities having a population not exceeding 100,000 inhabitants, according to the last or any subsequent federal census, powers with respect to the acquisition, leasing and financing of projects suitable for use by certain commercial enterprises.
(Acts 1971, No. 1880, p. 3062.)
This article shall be cumulative in its nature.
(Acts 1967, Ex. Sess., No. 217, p. 259, §12.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
The Legislature finds and declares that the best interests of the taxpayers of Alabama are served when competition exists in the procurement of goods and services by state departments, boards, commissions, authorities, and instrumentalities of state government. Competitive bid requirements ensure that all citizens have the opportunity to compete for government procurements and it is imperative that officials charged with expending public funds conduct competitive processes which are open to all interested and qualified persons and businesses. In order to ensure fair and open competition in the procurement of goods and services, this article shall be liberally construed.
(Act 2001-956, p. 817, §1.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
The following terms as used in this article shall have the following meanings:
(1) GSA CONTRACT. A contract for goods or services established by the General Services Administration of the United States Government or its successor agency.
(2) PROFESSIONAL SERVICES. The services of physicians, architects, engineers, attorneys, and other individuals, or business entities offering the services of such individuals, who possess a high degree of scientific or specialized skill and knowledge where the experience and professional qualifications of the service provider are particularly relevant to the provision of the required service. Questions of whether a required service is a professional service under this article or a service subject to the requirements of Section 41-16-20 shall be determined by the Director of Finance with the advice of the Attorney General.
(3) SOLE SOURCE. The provision of goods or a service where only one person or business entity can provide the required goods or service.
(Act 2001-956, p. 817, §2.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
Any other provision of law notwithstanding, the procurement of professional services by any agency, department, board, bureau, commission, authority, public corporation, or instrumentality of the State of Alabama shall be conducted through the following selection process:
(1)a. Except as otherwise provided herein, attorneys retained to represent the state in litigation shall be appointed by the Attorney General in consultation with the Governor from a listing of attorneys maintained by the Attorney General. All attorneys interested in representing the State of Alabama may apply and shall be included on the listing. The selection of the attorney or law firm shall be based upon the level of skill, experience, and expertise required in the litigation and the fees charged by the attorney or law firm shall be taken into consideration so that the State of Alabama receives the best representation for the funds paid. Fees shall be negotiated and approved by the Governor in consultation with the Attorney General. Maximum fees paid for legal representation that does not involve a contingency fee contract as defined in subparagraph f.1. of subdivision (1), may be established by executive order of the Governor.
Nothing in this article and nothing in Chapter 15 of Title 36 modifies or repeals the exclusive authority of the governing boards of the public institutions of higher education or public pension funds to direct and control litigation involving their respective universities or public pension fund and to employ and retain legal counsel of their own choice, consistent with their broad powers of management and control set forth in Chapters 47-56 of Title 16 and in the constitution, Chapter 25 of Title 16, and Chapter 27 of Title 36, respectively. Provided further, nothing in this article modifies or repeals the authority of the Attorney General to direct and control litigation involving the state or any agency, department, or instrumentality of the state, or the authority of the Governor to appear in civil cases in which the state is interested.
b. Attorneys retained by any state purchasing entity to render nonlitigation legal services shall be selected by such entity from a listing of attorneys maintained by the Legal Advisor to the Governor. All attorneys interested in representing any purchasing state entity may apply and shall be included on the listing. The selection of the attorney or law firm shall be based upon the level of skill, experience, and expertise required for the services, but the fees charged by the attorney or law firm shall be taken into consideration so that such state entity shall receive the best representation for the funds paid. Fees for such services shall be negotiated by the state entity requiring the services and shall be subject to the review and approval of the Governor or the Director of Finance when so designated by the Governor.
c. This article shall not apply to the appointment by a court of attorneys or experts.
d. This article shall not apply to the retention of experts by the state for the purposes of litigation, or avoidance of litigation.
e. Nothing in this article shall be construed as altering or amending the Governor’s authority to retain attorneys pursuant to Section 36-13-2, however, the Governor shall select such attorneys from three proposals received from attorneys included on the listing maintained by the Attorney General.
f. 1. For the purposes of this paragraph, the following terms shall have the following meanings:
(i) Contingency Fee Contract. An agreement, express or implied, for litigation legal services of an attorney or attorneys, including any associated counsel, under which compensation is contingent in whole or in part upon the successful accomplishment or disposition of the subject matter of the agreement. The payment may be in an amount which either is fixed or is to be determined under a formula.
(ii) Contracting Agency. The Governor, Attorney General, or director of a state agency, department, bureau, commission, authority, public corporation, or instrumentality of the State of Alabama that seeks to enter a contingency fee contract.
(i) Whether there exists sufficient and appropriate legal and financial resources within the state to handle the matter without a contingency contract.
(ii) The expected time and labor required; the novelty, complexity, and difficulty of the questions involved; and the skill requisite to perform the attorney services properly.
(iii) The geographic area where the attorney services are to be provided.
(iv) The amount of experience desired for the particular kind of attorney services to be provided and the nature of the private attorney’s experience with similar issues or cases.
(i) Twenty-two percent of any recovery of up to ten million dollars ($10,000,000); plus
(ii) Twenty percent of any portion of such recovery between ten million dollars ($10,000,000) and twenty-five million dollars ($25,000,000); plus
(iii) Sixteen percent of any portion of such recovery between twenty-five million dollars ($25,000,000) and fifty million dollars ($50,000,000); plus
(iv) Twelve percent of any portion of such recovery between fifty million dollars ($50,000,000) and seventy-five million dollars ($75,000,000); plus
(v) Eight percent of any portion of such recovery between seventy-five million dollars ($75,000,000) and one hundred million dollars ($100,000,000); plus
(vi) Seven and one-tenth (7.1) percent of any portion of such recovery exceeding one hundred million dollars ($100,000,000).
(vii) The aggregate fee paid to contingency fee counsel shall not exceed seventy-five million dollars ($75,000,000) per action.
All litigation expenses incurred by the private attorney shall be paid or reimbursed upon approval on a monthly basis upon presentation of documentation of the expenses to the contracting agency.
The Attorney General may certify in writing to the Governor that, in the opinion of the Attorney General, an issue affecting the public health, safety, convenience, or economic welfare of the State of Alabama exists that justifies that the contingency fee limitations set forth in subparagraph 3 be suspended in the case of a particular contingency fee contract. Upon receipt of the written certification, the Governor, by the issuance of an Executive Order, may waive the limitations with respect to the specified contingency fee contract.
The state may not enter into a contract for contingency fee attorney services unless all of the following requirements are met throughout the contract period and any extensions thereof:
(i) A government attorney or attorneys retains complete control over the course and conduct of the case.
(ii) A government attorney with supervisory authority is personally involved in overseeing the litigation.
(iii) A government attorney or attorneys retains veto power over any decisions made by a private attorney.
(iv) After giving reasonable notice to the contingency fee counsel, any defendant that is the subject of the litigation may contact the lead government attorney or attorneys directly unless directed to do otherwise by the lead government attorney for the litigation matter. Contingency fee counsel shall have the right to participate in such discussions with the lead government attorney or attorneys unless, after consultation with contingency fee counsel, the lead government attorney agrees to such discussions without contingency fee counsel being present.
(v) A government attorney with supervisory authority for the case shall attend all settlement conferences.
(vi) Decisions regarding settlement of the case shall be reserved exclusively to the discretion of the government attorney or attorneys and the state.
The Attorney General shall develop a standard addendum to every contract for contingent fee attorney services that shall be used in all cases, describing in detail what is expected of both the contracted private attorney and the state, including, without limitation, the requirements listed in subparagraph 6.
Copies of any executed contingency fee contract and the contracting agency’s written determination to enter into a contingency fee contract with the private attorney and any payment of any contingency fees shall be posted online pursuant to Section 41-4-65(b).
Any private attorney under contract to provide services to the state on a contingency fee basis, from the inception of the contract until at least four years after the contract expires or is terminated, shall maintain detailed current records, including documentation of all time records, expenses, disbursements, charges, credits, underlying receipts and invoices, and other financial transactions that concern the provision of the attorney services. The private attorney shall make all the records available for inspection and copying upon request by the Governor, Attorney General, or contracting agency. In addition, the private attorney shall maintain detailed contemporaneous time records for the attorneys and paralegals working on the contract in increments not greater than 1/10 of an hour and shall promptly provide these records to the Governor, Attorney General, or contracting agency, upon request.
Any contingency fee paid to a private attorney or law firm shall be paid from the State Treasury from the funds recovered as a result of the contingent fee contract within thirty days of receipt thereof unless ordered to do otherwise by a court with jurisdiction over the litigation subject to the contingency contract.
(2) Physicians retained to provide medical services to the state shall be selected by the purchasing state entity from a list of qualified physicians maintained by the Alabama Medical Licensure Commission. All physicians interested in providing medical services to the State of Alabama may apply and shall be included on the listing.
(3) Professional services of architects, landscape architects, engineers, land surveyors, geoscience, and other similar professionals shall be procured in accordance with competitive, qualification-based selection policies and procedures. Selection shall be based on factors to be developed by the procuring state entity which may include, among others, the following:
a. Specialized expertise, capabilities, and technical competence, as demonstrated by the proposed approach and methodology to meet project requirements.
b. Resources available to perform the work, including any specialized services within the specified time limits for the project.
c. Record of past performance, quality of work, ability to meet schedules, cost control, and contract administration.
d. Availability to and familiarity with the project locale.
e. Proposed project management techniques.
f. Ability and proven history in handling special project contracts. Notice of need for professional services shall be widely disseminated to the professional community in a full and open manner. Procuring state entities shall evaluate such professionals that respond to the notice of need based on such state entity’s qualification-based selection process criteria. Any such procuring state entity shall then make a good faith effort to negotiate a contract for professional services from the selected professional after first discussing and refining the scope of services for the project with such professional. Where the Building Commission has set a fee schedule for the professional services sought, fees shall not exceed the schedule without approval of the Director of the Building Commission and the Governor.
(4) The Director of Finance, through the Division of Purchasing of the Department of Finance, shall establish and maintain lists of professional service providers, other than those specifically named in this section, which may be required from time to time by any state agency, department, board, bureau, commission, authority, public corporation, or instrumentality. When such professional services are needed, the purchasing state entity shall solicit proposals from the professional service providers desiring to receive requests for proposals. The purchasing state entity shall select the professional service provider that best meets the needs of the purchasing entity as expressed in the request for proposals. Price shall be taken into consideration. In the event the fees paid to the selected professional service provider exceed by 10 percent the professional service fee offered by the lowest qualified proposal, the reasons for selecting a professional service provider must be stated in writing, signed by the director of the purchasing state entity, and made a part of the selection record.
(5) Contracts for professional services shall be limited only to that portion of a contract relating to the professional service provided. Goods purchased by the state in conjunction with the contract for professional services shall be purchased pursuant to Section 41-16-20.
(6) Should an emergency affecting the public health, safety, convenience, or the economic welfare of the State of Alabama so declared in writing under oath to the Governor and the Attorney General by the state entity requiring the professional services arise, the professional services required to alleviate the emergency situation may be procured from any qualified professional service provider without following the process or procedure required by this article.
(7) The process set forth herein for the selection of professional service providers shall not apply to the Legislature, the Alabama State Port Authority, or to colleges and universities governed by a board of trustees or by the Department of Postsecondary Education. The State Department of Education shall not be subject to the provisions of this article, requiring the process set forth herein for the selection of professional service providers, except for the future acquisition of professional services in support of computer technology on a statewide basis which exceeds the amount of expenditures set forth within this chapter. However, if a state agency or department is able to provide the necessary computer networking services, then the services shall be provided by the agency or department without being contracted to an outside provider. In the event the State Department of Education has intervened into the financial operations of a local board of education, the State Department of Education shall follow the provisions of law applicable to local boards of education for services related to the local board of education subject to intervention. The Alabama Medicaid Agency shall not be subject to the provisions of this article requiring the process set forth herein for the selection of professional service providers for contracts with physicians, pharmacists, dentists, optometrists, opticians, nurses, and other health professionals which involve only service on agency task forces, boards, or committees.
(8) Under any contract letting process in this section, all requests for proposals from any state entity purchasing professional services shall be sent to all professional service providers regardless of race that have notified the state of their interest in receiving state business.
(9) Under any contract letting process in this section, all lists containing professional service providers and contractors for contracts under the provisions of this article shall seek the racial and ethnic diversity of the state.
(Act 2001-956, p. 817, §4; Act 2011-577, p. 1247, §1; Act 2013-399, p. 1528, §2.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
The purchase of insurance shall be pursuant to a competitive qualification based process developed by the Department of Finance. The Alabama State Port Authority shall be exempt from this section.
(Act 2001-956, p. 817, §5.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
All goods and services purchased under the provisions of this article must be competitively bid or procured as provided for in this article. However, goods and services may be purchased from vendors that have been awarded a current and valid GSA contract. Prices paid for such goods and services may not exceed the lowest competitively bid price for these goods or services. In contracting for the purchase of utilities, the Director of Finance may not purchase services if the price exceeds the price in an existing state contract. The Director of Finance may require any additional terms and conditions determined to be necessary.
(Act 2001-956, p. 817, §6.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
State entities seeking to purchase goods or services from a sole source vendor may do so only upon the approval of the Department of Finance, through the Division of Purchasing, unless the purchasing state entity is authorized by law to conduct its own purchasing activities. Approval for sole source purchases shall be given only if the purchasing state entity establishes that no other goods or service can meet its needs and that no other vendor offers substantially equivalent goods or service that can accomplish the purpose for which the goods or service is required. The Director of Finance may require information from either the purchasing entity or the vendor seeking to be declared a sole source that is deemed necessary to meet the requirements of this provision.
(Act 2001-956, p. 817, §7.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
The Director of Finance, through the Division of Purchasing, may promulgate rules or regulations necessary for the implementation of this article. The rules and regulations shall be issued in accordance with the Alabama Administrative Procedure Act. Nothing in this article shall be construed as giving purchasing authority to any state agency, department, board, bureau, commission, authority, public corporation, or instrumentality that does not otherwise have the purchasing authority.
(Act 2001-956, p. 817, §8.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(a) Any person who willfully or intentionally violates this article shall be subject to a civil penalty of not less than five hundred dollars ($500) and not to exceed five thousand dollars ($5,000) to be deposited into the State General Fund.
(b) Any contract entered into in violation of the provisions of this article shall be void. All persons or business entities doing business with the State of Alabama are presumed to understand all laws and regulations governing the purchase of goods and services by the State of Alabama.
(c) All state entities shall implement policies and procedures to ensure that the opportunity to compete for state contracts and business is open to qualified individuals and firms representing the racial, ethnic, and cultural diversity of the state.
(d) Nothing in this article shall be construed to repeal or supersede the enabling laws of professional licensing boards or commissions listed in Title 34, and any contracts lawfully entered into by such boards or commissions shall not be construed to violate any of the provisions of this article.
(Act 2001-956, p. 817, §§ 9, 10, 15.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(a) This article shall not apply to any entity that does not receive state funds.
(b) This article shall also not apply to direct health care services provided by the Alabama Department of Public Health.
(c) This article shall not apply to any county or municipality, or any board, public corporation, authority, public utility district, or other entity created by any county or municipality, or to the Alabama Municipal Electric Authority created pursuant to the provisions of Section 11-50A-1, et seq., nor shall it apply to any local school board, the State Department of Education, or other entity covered under Section 41-16-50, et seq., except as herein provided for future support of computer technology or any educational and eleemosynary institutions governed by a board of trustees or other similar governing body, nor shall it apply to any statewide non-profit water and wastewater utility association.
(d) This article shall not apply to any state authority, board, or other entity with respect to contracts related to the issuance of debt which is to be repaid from sources other than state funds.
(Act 2001-956, p. 817, §§11, 12, 14.)
[Repealed]
REPEALED IN THE 2021 REGULAR SESSION BY ACT 2021-296 EFFECTIVE OCTOBER 1, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
All contracts which are subject to the requirements of Section 29-2-41, shall remain subject to that section and shall first be reviewed by the Contract Review Permanent Legislative Oversight Committee.
(Act 2001-956, p. 817, §13.)
The Legislature of Alabama finds and declares that information currently available to the public does not include the disclosure of all persons who for the purpose of financial gain submit a proposal, bid, contract, or grant proposal to the State of Alabama.
(Act 2001-955, 2001, p. 815, §1.)
For purposes of this article, the following terms shall have the following meanings:
(1) FAMILY MEMBER OF A PUBLIC EMPLOYEE. The spouse or a dependent of the public employee.
(2) FAMILY MEMBER OF A PUBLIC OFFICIAL. The spouse, a dependent, an adult child and his or her spouse, a parent, a spouse’s parents, or a sibling and his or her spouse, of the public official.
(3) FAMILY RELATIONSHIP. A person has a family relationship with a public official or public employee if the person is a family member of the public official or public employee.
(4) PERSON. An individual, firm, partnership, association, joint venture, cooperative, or corporation, or any other group or combination acting in concert.
(5) PUBLIC OFFICIAL and PUBLIC EMPLOYEE. These terms shall have the same meanings ascribed to them in Sections 36-25-1(23) and 36-25-1(24), except for purposes of the disclosure requirements of this article, the terms shall only include persons in a position to influence the awarding of a grant or contract who are affiliated with the awarding entity. Notwithstanding the foregoing, these terms shall also include the Governor, Lieutenant Governor, members of the cabinet of the Governor, and members of the Legislature.
(Act 2001-955, 2001 p. 815, §2.)
(a) This article shall only apply to either of the following:
(1) A proposed grant that exceeds twenty-five thousand dollars ($25,000).
(2) A proposed contract that meets or exceeds the threshold for bid or other formal solicitations under Article 5 of Chapter 4 of Title 41 or any other law that requires formal solicitation procedures for awarding public contracts.
(b)(1) All persons that, for the purpose of direct financial gain, submit a proposal, bid, contract, or grant proposal to the State of Alabama shall include a disclosure statement identical to, or provide the same required disclosures as, the disclosure statement developed by the Attorney General and approved by the Legislative Council. The disclosure statement shall not be required for any of the following:
a. Contracts with publicly traded companies.
b. Contracts for gas, water, and electric services where no competition exists or where rates are fixed by law or ordinance.
c. Awards of economic development incentives.
(2) In circumstances where a contract is awarded by competitive bid or other formal solicitation procedure, the disclosure statement shall be required only from the person awarded the contract and shall be submitted by that person within 30 days of the award.
(c)(1) State agencies, departments, or divisions may establish electronic systems for submission of annual disclosure statements, and submission to the shared electronic systems shall satisfy the requirements for submitting a disclosure statement to the agency, department, or division.
(2) Agencies, departments, and divisions may establish shared electronic systems to satisfy the requirements of this article.
(Act 2001-955, p. 815, §3; Act 2025-35, §1)
(a) The information required on the disclosure statement shall include, but not be limited to, the following:
(1) A list of the names and addresses of any public official, public employee, and family members of the public official or public employee who may have a family relationship with the submitting person or his or her immediate family members or employees and who may directly personally benefit financially from the contract, proposal, request for proposal, invitation to bid, or grant proposal.
(2) A description of any financial benefit that may be knowingly gained by any public official, public employee, or family member of the public official or public employee which may result directly from the person or his or her immediate family members, or his or her employees.
(3) The names and addresses of any paid consultant or lobbyist for the contract, proposal, request for proposal, invitation to bid, or grant proposal.
(b) The State of Alabama shall not enter into any contract with or appropriate any public funds to any person that refuses to provide information required by this section.
(c) The information required on the disclosure statement shall be certified by the vendor or the grant recipient. The certification may be performed by electronic methods and must include all of the following:
(1) A representation that the individual who signs the document is authorized to sign on behalf of the vendor, if applicable.
(2) A declaration that the disclosure statement is given under the penalty of perjury in the jurisdiction in which it is executed.
(3) The date and place of execution.
(Act 2001-955, 2001 p. 815, §4; Act 2025-35, §1.)
Each state agency, department, or division receiving a proposal, bid, contract, or grant proposal from all persons shall inform each person of this article and shall give each person a disclosure statement to complete. It shall be an affirmative defense under this article if any awarding agency fails to furnish and require the return of the disclosure statement.
(Act 2001-955, 2001 p. 815, §5.)
(a) A copy of the disclosure statement shall be filed as required by this article, retained as required by the State Records Commission, and made available for review for audit purposes by the Department of Examiners of Public Accounts or other auditing authority. If the disclosure pertains to a state contract that must be submitted to the Contract Review Permanent Legislative Oversight Committee pursuant to Article 3 of Chapter 2 of Title 29, a copy must be submitted to the committee.
(b) Any disclosure statement filed pursuant to this article shall be a public record.
(Act 2001-955, 2001 p. 815, §6; Act 2025-35, §1.)
(a) A person who knowingly violates this article shall be subject to civil penalty in an amount of ten thousand dollars ($10,000), or 10 percent of the amount of the contract, whichever is less, to be deposited in the State General Fund. The statute of limitations for the acts covered in this article shall be one year. Any action brought to enforce the provisions of this article shall be initiated by the Attorney General in the circuit or district court in the county in which the awarding entity is located.
(b) If there is a finding of a knowing violation of this article, the contract or grant shall be voidable by the awarding entity.
(Act 2001-955, 2001 p. 815, §7.)
This article shall not apply to either of the following:
(1) Any person that does not receive state funds under a grant or a contract.
(2) Any grants or contracts between public procurement units.
(Act 2001-955, 2001 p. 815, §8; Act 2025-35, §1.)
Nothing in this article shall be construed to alter, amend, or repeal any disclosure required under the ethics law.
(Act 2001-955, 2001 p. 815, §9.)
(a) The Director of the Department of Economic and Community Affairs shall be responsible for the distribution, transfer, or disposal of all surplus personal property owned by the state and all right, title, interest, and equity in the property shall be transferred to the department for such purpose. The director may delegate to the Director of the Surplus Property Division such supervision and control of the distribution or disposal of state owned surplus personal property.
(b) As used in this article, the following terms shall have the following meanings, respectively, unless the context clearly indicates otherwise:
(1) DIVISION. Surplus Property Division of the Department of Economic and Community Affairs.
(2) SURPLUS PROPERTY. That property declared by the property manager of each state department, bureau, board, commission, or agency to be surplus and so designated in writing to the director of the division. All real property owned by any state department, bureau, board, commission, agency, or institution, and any subdivision thereof; including, but not limited to, real property owned by any state college, university, two-year college, technical school, or other postsecondary institution of higher learning shall be handled in the manner provided in Section 41-4-33, or such other provisions of law as may be appropriate but in no circumstance shall any law regarding real property acquired, owned, or disposed of by the state or any subdivision thereof be amended, substituted, or in other manner altered by this article.
(3) ELIGIBLE ENTITY. Any public agency or nonprofit educational or public health institution or organization that is eligible to participate as a recipient of surplus property pursuant to the Federal Property and Administrative Services Act of 1949, as amended, and that is not found to be in violation of division rules and regulations during the 12 months immediately preceding the intended purchase.
(4) PROPERTY MANAGER. That officer or employee who shall be designated by the head of each department, board, bureau, commission, institution, corporation, or agency of the state, in writing, to the division and the State Auditor’s office, to be the property manager.
(5) PUBLISH. Print or electronic distribution of information.
(c) The property manager shall report to the Surplus Property Division of the Department of Economic and Community Affairs any personal property declared surplus by his or her department, board, bureau, commission, institution, corporation, or agency and deliver the property to any place designated by the division to be the proper place for such delivery.
(d) The director or his or her designee shall be authorized to promulgate such administrative rules and regulations as deemed necessary including, but not limited to:
(1) Promotion of surplus property.
(2) Shipment of surplus property.
(3) Storage of surplus property.
(4) Length of retention of surplus property.
(5) Public auction of surplus property.
(6) Such other rules and regulations as, from time to time, may be determined to be necessary.
(e) The division shall have authority to sell surplus property at fair market value, as established by the division and set out in its published rules, to eligible entities as defined in subsection (b)(3). Payment for purchases by any of the eligible entities shall be made within 30 days after such purchase. Payment plans may be established at the discretion of the division director or his or her designee within guidelines approved by the Director of ADECA. If payment is not made within 60 days after a purchase, in cases where a payment plan has not been established, then such purchase shall be declared void and in default, and the property shall be returned immediately by the defaulting purchaser to the division.
(f) Any eligible entity authorized to purchase federal surplus property shall be authorized to purchase state surplus property under this section provided the corporation complies with all federal laws, regulations, and guidelines regarding the purchase of surplus federal property.
(Acts 1984, No. 84-249, p. 392, §1; Acts 1987, No. 87-584, p. 953; Act 2000-803, p. 1908, §1; Act 2006-562, p. 1299, §1.)
(a) Surplus property shall be made available at such times and places as determined to be appropriate by the division for inspection and acquisition by those agencies determined to be eligible for such acquisition under criteria developed and published by the division.
(b) The division shall periodically publish a list of all surplus property held by it at the time of such publication.
(c) The published list shall be made available to all state departments, boards, bureaus, commissions, institutions, corporations, or agencies.
(d) The published list shall also be made available to all eligible counties, cities, boards of education, civil defense agencies, and volunteer fire departments.
(e) The division will determine the manner in which the list of surplus personal property shall be published.
(f) The division shall not be authorized to handle or dispose of any regulated hazardous materials.
(Acts 1984, No. 84-249, p. 392, §2.)
(a) The division shall be authorized to collect fees for transfer, handling, shipping, classification, warehousing, bidding, destruction, scrapping, or other disposal of property and such other fees as may be deemed appropriate in order to insure the continued efficient operation of the surplus property function of the department.
(b) The division shall be exclusively authorized to receive donated federal surplus property from any source, including the General Services Administration (GSA), for distribution following required federal guidelines in the same manner as state surplus property. The division shall also be exclusively authorized to purchase GSA property of any nature including, but not limited to, vehicles of any type for resale.
(c) The division shall establish three accounts within the State Treasury for the operation of the surplus property function as follows:
(1) The first account shall be known as the Federal Surplus Property Account into which all moneys received from the distribution of federally donated surplus property shall be deposited;
(2) The second account shall be known as the State Surplus Property Account into which all moneys received from the distribution of state owned surplus property and any funds appropriated from the State General Fund for the operation of the surplus property function shall be deposited.
(3) The third account shall be known as the Surplus Federal Property Inventory Purchase Account into which moneys received by the division from the sale and distribution of surplus federal and state property and deposited into the Federal Surplus Property Account or the State Surplus Property Account may be transferred and deposited as approved by the director, and the moneys from which account shall be used for the purchase of surplus federal property for resale within the State of Alabama, as established by the division and set out in its published rules. This account shall not be subject to appropriation spending restrictions but shall be a perpetual inventory account. Initial moneys to establish this account shall be deposited from such other department moneys as approved by the director. Transfers of moneys may be made from time to time, with approval of the director, between this account and the Federal Surplus Property Account, and between this account and the State Surplus Property Account, subject to the needs of each account.
(d) Any moneys deposited into any of the three aforementioned surplus property accounts may be expended from time to time by the department for operation of the surplus property function including, but not limited to, repairs, salaries, rent, travel, acquisition of exchange and surplus property, and all other necessary operating expenditures providing, however, that on September 30 any unencumbered moneys remaining in the State Surplus Property Account, up to an amount equal to the operating expenses of the quarter ending on September 30, shall be set aside for use during the quarter beginning October 1 for the purposes heretofore stated and any remainder shall revert to the State General Fund. The Federal Surplus Property Account and the Surplus Federal Property Inventory Purchase Account shall be perpetual accounts, and funds therein shall not revert to the State General Fund.
(Acts 1984, No. 84-249, p. 392, §3; Act 2000-803, p. 1908, §1.)
This section shall apply only to that property that has been held by the division for a period of not less than 60 days from the date the property is first published in the list of surplus property, as set out in subsection (b) of Section 41-16-121, and not purchased by any eligible entity as set out in subsection (e) of Section 41-16-120 as follows:
(1) All contracts made by or on behalf of the State of Alabama or a department, board, bureau, commission, institution, corporation, or agency thereof, of whatever nature for the sale or disposal of tangible personal property owned by the State of Alabama, other than the following:
a. Alcoholic beverages.
b. Products of the Alabama Institute for Deaf and Blind.
c. Barter arrangements of the state prison system.
d. Books.
e. School supplies.
f. Food.
g. Property used in vocational projects.
h. Livestock.
i. Property owned by any state college or university, including those state two-year colleges under the control of the Board of Education of the State of Alabama, which has market value or which has trade-in value which may be credited against the cost of replacement property purchased in accordance with the Alabama competitive bid laws. For property owned by those state two-year colleges under control of the State Board of Education, the college shall file with the Chancellor of the Postsecondary Education Department, on forms provided by the Chancellor, a list of the property to be sold, the auctioneer to be used, the place the property will be sold, and when and where the property will be advertised pursuant to state law. After the sale, the college shall file a report with the Chancellor stating the property sold at auction, the price paid for each piece of property, the amount received from sale of each piece of property, the account to which auction receipts were deposited, a copy of the advertisement, and the commission paid to the auctioneer.
j. Types of property, the disposal of which is otherwise provided for by law or which, by nature, are incapable of sale by auction or bid, shall be let by free and open competitive public auction or sealed bids. This subsection shall not be construed to prevent disposal by the division of property owned by a state college or university should there be an agreement between the division and the respective college or university for the disposal by free and open competitive public auction or sealed bids as described in this subsection.
k. Alabama State Port Authority surplus property.
l. Surplus personal computers may be designated as scrap by the division. The division is hereby authorized to sell by sealed bid property designated as scrap at such intervals as deemed necessary by the division.
m. Surplus property of the Alabama Space Science Exhibit Commission and of the Alabama Space Science Exhibit Finance Authority.
(2) Every proposal to make a sale covered by this section shall be advertised for at least two weeks in advance of the date fixed for receiving bids. The advertisement shall appear at least once a week for two consecutive weeks in a newspaper of general circulation in the county where the sale is to be made, and a copy of the proposal shall simultaneously be posted on a readily accessible public bulletin board at the main office of the director of the division. Advertisements for bids shall state the item or items to be sold, by class and description, where the property is located and the dates, time, and place the property may be inspected. The advertisements shall further state the date, time, and place of auction or opening of sealed bids, and no bid shall be received at any time after the time advertised.
(3) The bids shall be publicly taken or opened, in case of sealed bids, by the director of the division and all bidders shall be entitled to be present in person or by representative.
(4) The award of the contract shall be made to the successful bidder within 72 hours after taking of the bids.
(5) The bid of the successful bidder so marked, as well as the bids of the unsuccessful bidders in the case of sealed bids, shall be placed on file open to public inspection and shall become matters of public record.
(6) If a successful bidder shall fail to accept award of a contract, then he or she shall be prohibited from bidding at any sale held by the division unless reinstated by the director.
(7) The director of the division may sell all items by lot or by individual item, whichever method, in his or her opinion, will bring the highest return for the items advertised.
(8) In the event all bids received are less than the estimated market value of the property, the director of the division may reject all bids and readvertise and rebid.
(9) Nothing herein shall be construed to prevent the director of the division from contracting with the highest bidder for any type of property to sell to that bidder all of that type of property at his or her bid price during that fiscal year providing that arrangement was included in the initial request for bids.
(10) All property advertised pursuant to this section shall be available for inspection during the normal state office hours and at whatever place advertised for at least 48 hours prior to sale.
(11) All property sold pursuant to this section shall be paid for by the purchaser or his or her representative by cashier’s check, bank draft, certified check, U.S. currency, or notarized bank letter stating that the holder may purchase surplus property and also stating a maximum amount, at the time of acceptance of bid and award of contract, and the removal shall be not later than seven business days after the awarding of the contract and the time limit of seven days shall not be applicable to sales of standing timber.
(12) All proceeds from sales made pursuant to this section shall be paid into the State Treasury or other legally authorized depositary to be credited to the proper fund as set out in subsection (c) of Section 41-16-122 prior to final distribution as set out in subdivision (16) of this section.
(13) No officer or employee of the State of Alabama or any of its departments, boards, bureaus, commissions, institutions, corporations, or agencies shall act as agent for any bidder and the officers or employees shall not be excluded from bidding on or purchasing state property at public sale or sealed bid.
(14) Any sale of tangible personal property or standing timber of the state made in violation of the terms of this article shall be null and void, and the person or persons responsible for the violation shall be subject to liquidated damages of not less than one thousand dollars ($1,000) nor more than ten thousand dollars ($10,000), which may be recovered for the State of Alabama by the Attorney General by civil action in the Circuit Court of Montgomery County. Any moneys recovered by the Attorney General under this section shall be equally divided between the office of the Attorney General and the State General Fund.
(15) The provisions of this article shall not apply to the sale of diseased, storm, or fire-damaged timber, to timber cut on rights-of-way or easements, or to the sale of timber cut for safety, maintenance, or construction purposes at any state park or state-owned public fishing lake under the jurisdiction of the Department of Conservation and Natural Resources. The timber may be sold or otherwise disposed of in a manner the Commissioner of Conservation and Natural Resources deems in the best interest of the state and no sale of diseased timber shall be made until the State Forester shall certify that the timber is diseased, and the certification shall be in written form and filed with the Director of Finance.
(16) Whenever any surplus property that was purchased with either earmarked state funds or restricted federal funds is sold by the division, the proceeds from the sale, less administrative expenses, shall be deposited to the credit of the specific fund of the state department, commission, or agency from which the original purchase of the property was made within 30 days from receipt of the proceeds. If the source of the original purchase of the property was a General Fund appropriation, then the sale proceeds, less any administrative fee, as set out in the rules authorized to be promulgated by the division, shall be credited to the account from which it was purchased. In no event shall the administrative fee exceed 30 percent of the gross sale price.
(17) All educational and eleemosynary institutions, not exempted in subdivision (1) of this section, governed by a board of trustees or other similar governing body, and the Department of Mental Health shall be governed by the provisions of this article.
(18) Violation of the provisions of this article shall constitute a Class B misdemeanor punishable as prescribed by law.
(19) Following the implementation of subdivisions (1) to (18), inclusive, the division shall have the authority to make available for sale to the general public such remaining unsold surplus property, as established by the division and set out in its published rules.
(Acts 1984, No. 84-249, p. 392, §4; Acts 1993, No. 93-748, p. 1482, §1; Act 2000-803, p. 1908, §1; Act 2006-562, p. 1299, §1; Act 2006-582, p. 1532, §2; Act 2009-770, §1.)
All personnel, including those on personal service contracts, working within the Surplus Property Division of the Department of Economic and Community Affairs at the passage of this article shall, by virtue of this section, be considered to meet the requirements of the department in terms of education, training, and experience and shall automatically be placed within the state Merit System with permanent status with all the rights and privileges thereof and shall enjoy the same employment and retirement privileges and rights as the Legislature may determine from time to time or as may be otherwise determined by law or administrative rule or regulation according to the rules and regulations of the Personnel Department of the State of Alabama. All new future employees of the Surplus Property Division of the Department of Economic and Community Affairs shall be required to meet the requirements of the state Merit System.
All present employees of the Surplus Property Division of the Department of Economic and Community Affairs shall remain in their respective positions and continue to enjoy employment conditions including, but not limited to, salary range and advancement at a level no less than those enjoyed prior to the enactment of this article. However, nothing herein shall be construed to prevent or preclude the removal of an employee for cause in the manner provided by law.
(Acts 1984, No. 84-249, p. 392, §5.)
The temporary state plan of operation for the state agency for federal property assistance which was approved by the Governor of Alabama on July 14, 1977, and accepted by the General Services Administration on September 14, 1977, shall become the permanent state plan of operation; provided, however, the division shall have authority, with approval of the Governor, to revise said plan from time to time in accordance with regulations as established by the General Services Administration pursuant to Public Law 94-519 which governs the distribution of federal surplus property.
(Acts 1984, No. 84-249, p. 392, §7.)
This article shall be known as the “Guaranteed Energy Cost Savings Act.”
(Act 98-663, p. 1450, §1.)
For purposes of this article, the following terms shall have the following meanings:
(1) ENERGY COST SAVINGS MEASURE. A training program or new facility or existing facility alteration designed to reduce energy consumption or operating costs, or water and other natural resources consumption, and may include one or more of the following:
a. Insulation and reduced air infiltration of the building structure including walls, ceilings, and roofs or systems within the building.
b. Storm windows or doors, caulking or weather-stripping, multiglazed windows or doors, heat absorbing or heat reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption.
c. Automated or computerized energy control systems, including computer software and technical data licenses.
d. Heating, ventilating, or air conditioning system modifications or replacements.
e. Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable state or local building code for the lighting system after the proposed modifications are made.
f. Indoor air quality improvements.
g. Energy recovery systems.
h. Electric systems improvements.
i. Life safety measures that provide long-term operating cost reductions.
j. Building operation programs that reduce operating costs.
k. Other energy-conservation-related improvements or equipment, including improvements or equipment related to renewable energy.
l. Water and other natural resources conservation.
(2) GOVERNMENTAL UNIT. A state government agency, department, institution, college, university, technical school, legislative body, or other establishment or official of the Executive, Judicial, or Legislative Branches of the state authorized by law to enter into contracts, including all local political subdivisions such as counties, municipalities, or public school districts.
(3) GUARANTEED ENERGY COST SAVINGS CONTRACT. A contract for the implementation of one or more energy cost savings measures.
(4) OPERATIONAL COST SAVINGS. Expenses eliminated and future replacement expenditures avoided as a result of new equipment installed or services performed.
(5) QUALIFIED PROVIDER. A person or business experienced in the design, implementation, and installation of energy cost savings measures.
(6) REQUEST FOR PROPOSALS. A negotiated procurement that is announced through a public notice from a governmental unit which will administer the guaranteed energy cost savings contract requesting innovative solutions and proposals for energy conservation measures. The request for proposal shall include the following:
a. The name and address of the governmental unit.
b. The name, address, title, and phone number of a contact person.
c. The date, time, and place where proposals must be received.
d. The evaluation criteria for assessing the proposals.
e. Any other stipulations and clarifications the governmental unit may require.
(Act 98-663, p. 1450, §2.)
(a) A governmental unit may enter into a guaranteed energy cost savings contract in order to reduce energy consumption or operating costs of government facilities in accordance with this article.
(b) All energy cost savings measures shall comply with current local, state, and federal construction and environmental codes and regulations. Notwithstanding anything to the contrary, a guaranteed energy cost savings contract does not include improvements or equipment that allow or cause water from any condensing, cooling, or industrial process or any system of nonpotable usage over which public water supply system officials do not have sanitary control, to be returned to the potable water supply.
(Act 98-663, p. 1450, §3.)
(a) Before entering into a guaranteed energy cost savings contract, a governmental unit shall submit a request for proposals. The governmental unit shall evaluate any proposal from a qualified provider and shall select the qualified provider that best meets the needs of the unit. After reviewing the proposals, the governmental unit may enter into a guaranteed energy cost savings contract with a qualified provider if it finds that the amount it would spend on the energy cost savings measures recommended in the proposal would not exceed the amount of energy or operational cost savings, or both, within the lesser of a 20-year period or the average useful life of the energy cost savings measures from the date installation is complete and has been accepted by the governmental unit, if the recommendations in the proposal are followed. The governmental unit shall analyze the following:
(1) The estimates of all costs of installation, modifications, or remodeling, including, without limitation, costs of a pre-installation energy audit or analysis, design, engineering, installation, maintenance, repairs, debt service, and post-installation project monitoring, data collection, and reporting, as well as whether energy consumed or the operating costs, or both, will be reduced.
(2) The qualifications of the provider.
(b) The governmental unit shall provide public notice of the meeting at which it proposes to award a guaranteed energy cost savings contract, of the names of the parties to the proposed contract, and of the purpose of the contract. The public notice shall be made at least 10 days prior to the meeting.
(c) The guaranteed energy cost savings contract shall include a written guarantee of the qualified provider that either the energy or operational cost savings, or both, will meet or exceed the costs of the energy cost savings measures within the lesser of 20 years or the average useful life of the energy cost savings measures. The qualified provider shall reimburse the governmental unit for any shortfall of guaranteed energy cost savings on an annual basis. The guaranteed energy cost savings contract may provide for payments over a period of time, not to exceed the lesser of 20 years or the average useful life of the energy cost savings measures.
(d) Notwithstanding any law to the contrary, before entering into a guaranteed energy cost savings contract, the governmental unit may require the qualified provider to file with the governmental unit a payment and performance bond relating to the installation of energy cost savings measures that is in an amount the governmental unit finds reasonable and necessary to protect its interests and that may also cover the value of the guaranteed savings on the contract and is conditioned on the faithful execution of the terms of the contract.
(e) A governmental unit, or several governmental units together, may enter into an installment payment contract or lease purchase agreement with a qualified provider or a third party financing company designated by the qualified provider, or both, for the purchase and installation of energy cost savings measures with a term not to exceed the lesser of 20 years or the average useful life of the energy cost savings measures from the date the energy cost savings measures have been completed and accepted by the governmental unit.
(f) Guaranteed energy cost savings contracts, including installment payment contracts and lease purchase agreements financing the contracts, may extend beyond the fiscal year in which they become effective. The governmental unit may include in its annual budget and appropriations measures for each subsequent fiscal year any amounts payable under guaranteed energy savings contracts, including installment payment contracts and lease purchase agreements financing the contracts, during that fiscal year.
(g) A governmental unit may use a combination of funds designated for operating, capital expenditures, or other specially designated funds for any guaranteed energy cost savings contract including purchases using installment payment contracts or lease purchase agreements.
(h) State aid and other amounts appropriated for distribution to, or reimbursement to, a governmental unit may not be reduced as a result of energy cost savings realized from a guaranteed energy cost savings contract or a lease purchase agreement for the purchase and installation of energy cost savings measures.
(Act 98-663, p. 1450, §4; Act 2006-93, p. 121, §1.)
The provisions of this article shall not be construed to alter or circumvent present law which requires education support personnel to work under the direct supervision, employment, and/or control of local boards of education.
(Act 98-663, p. 1450, §5.)
As used in this article, the following terms have the following meanings:
(1) COMPANY. A for-profit entity, organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, or limited liability company. The term does not include sole proprietorships.
(2) ECONOMIC BOYCOTT. Without an ordinary business purpose, refusing to deal with, terminating business activities with, or otherwise taking any commercial action that is intended to penalize or inflict economic harm on a company solely because the company, without violating controlling law or regulation, does any of the following:
a. Engages in the exploration, production, utilization, transportation, sale, or manufacturing of fossil fuel-based energy, timber, mining, or agriculture.
b. Engages in, facilitates, or supports the manufacture, import, distribution, marketing or advertising, sale, or lawful use of firearms, ammunition, or component parts and accessories of firearms or ammunition.
c. Does not meet, is not expected to meet, or does not commit to meet environmental standards or disclosure criteria, in particular to eliminate, reduce, offset, or disclose greenhouse gas emissions.
d. Does not meet, is not expected to meet, or does not commit to meet corporate employment or board composition, compensation, or disclosure criteria.
e. Does not facilitate, is not expected to facilitate, or does not commit to facilitate access to abortion or sex or gender change surgery, medications, treatment, or therapies.
(3) GOVERNMENTAL ENTITY. A state agency, department, regulatory body, board, bureau, or commission, or any county, municipality, incorporated or unincorporated local government, or other political subdivision of the state.
(4) ORDINARY BUSINESS PURPOSE. Includes a purpose that is related to business operations and excludes a purpose that is solely related to furthering social, political, or ideological interests.
(Act 2023-409, §1.)
(a) This section applies only to a contract that meets both of the following:
(1) Is between a governmental entity and a company with 10 or more full-time employees.
(2) Will pay or may pay a company at least fifteen thousand dollars ($15,000) over the term of the contract wholly or partly from public funds of the governmental entity; provided, however, this subdivision shall apply separately to all companies in a multiple-party contract.
(b) Except as provided by subsection (c), a governmental entity may not enter into a contract with a company for goods or services unless the contract contains a written verification from the company that the company, without violating controlling law or regulation, does not and will not, during the term of the contract, engage in economic boycotts.
(c) Subsection (b) does not apply to a contract related to the issuance, incurrence, or management of debt obligations, to the deposit, custody, management, borrowing, or investment of funds, or to the procurement of insurance or other financial products, or financial advisory services, or a contract that would prevent the governmental entity from obtaining the supplies or services to be provided in an economically practicable manner.
(d) If a governmental entity is unable to comply with this section without significantly increasing costs or limiting the quality of options or services available, or both, the governmental entity may waive the requirements upon a finding, posted on the governmental entity’s publicly available website, that:
(1) The governmental entity has made reasonable and good faith efforts to obtain services meeting the requirements of this section and has included the requirements in the governmental entity’s minimum selection criteria.
(2) Based on objective information available to the governmental entity, the cost appears significantly higher than the services available to similarly oriented governmental entities not subject to similar requirements, or the quality of services or options appears significantly lower than the quality of services available to similarly oriented governmental entities not subject to similar requirements, or both.
(3) The governmental entity determines that a waiver is clearly in the best interest of the public.
(Act 2023-409, §2.)
(a) No party may take action to penalize or threaten to penalize any governmental entity, company, or business for compliance with Section 41-16-161.
(b) Any party violating a commitment made under Section 41-16-161(b) or otherwise violating subsection (a) of this section shall have caused harm to the governmental entity, including by interfering with the governmental entity’s sovereign interest in administering its programs and with the governmental entity’s commercial relationships.
(Act 2023-409, §3.)
(a) No company in this state shall be required by a governmental entity to engage in economic boycotts, to establish or implement policies, procedures, guidelines, rules, reports, products, services, notices, disclosures, or rates or pricing; to provide or submit answers to surveys or other information requests or disclosures; to invest in or divest of certain securities, stocks, bonds, bills, partnerships, or other investment arrangements; or to initiate other corporate or business practices that further social, political, or ideological interests including, but not limited to, economic boycott criteria or other similarly oriented rating.
(b) No company in this state shall be penalized, have economic harm inflicted on it, have commercial relations limited, or have the activities of the company changed or limited by a governmental entity because the company will not engage in economic boycotts; will not establish or implement policies, procedures, guidelines, rules, reports, products, services, notices, disclosures, or rates or pricing; will not provide or submit answers to surveys or other information requests or disclosures; will not invest in or divest of certain securities, stocks, bonds, bills, partnerships, or other investment arrangements; or will not initiate other corporate or business practices that further social, political, or ideological interests including, but not limited to, economic boycott criteria or other similarly oriented rating.
(Act 2023-409, §4.)
The Attorney General shall seek to prohibit the adoption of federal laws, rules, regulations, bulletins, executive orders, or other federal actions that may penalize, inflict economic harm on, limit commercial relations with, or change or limit the activities of a company in the state or a resident of the state based on the furtherance of economic boycott criteria or other similarly oriented rating.
(Act 2023-409, §5.)
If any provision of this article or its application to any person or circumstances is held invalid, then the invalidity does not affect other provisions or applications of this article, which can be given effect without the invalid provision or application, and to this end the provisions of this article are severable.
(Act 2023-409, §6.)
(a) This article may be enforced only by the Attorney General. If the Attorney General declines to enforce a violation of Section 41-16-163, a company can bring a civil action against the governmental entity to seek injunctive relief only.
(b) If the Attorney General has reasonable cause to believe that a person has engaged in or is engaging in a violation of this article, he or she may investigate according to the investigative authority provided in Section 8-19-9.
(c) The Attorney General may use all remedies available at law or in equity to enforce this article.
(Act 2023-409, §7.)
This chapter shall be known and may be cited as the Alabama Governmental Leasing Act.
(Acts 1993, No. 93-261, p. 389, §1.)
It is hereby found and declared by the Legislature of Alabama that it is in the public interest that the state, political subdivisions, agencies, boards, commissions, and departments thereof, the various counties of the state, the various municipal corporations within the state, county boards of education, city boards of education, instrumentalities of any of the foregoing, and public corporations arising under or organized pursuant to any statute of the state shall have the flexibility to finance the acquisition, installation, equipping, and/or improvement of any eligible property that such governmental entity otherwise is legally authorized to acquire through the use of lease, lease-purchase, and/or installment-purchase financing. It is the intention of the Legislature by passage of this chapter that wherever, either by express grant or by implication, a governmental entity has the power and authority to acquire any eligible property by purchase, lease, lease-purchase, bailment, or otherwise, such governmental entity shall have the power and authority to acquire such eligible property through the use of any lease, lease-purchase, lease with option to purchase, installment-sale agreement or arrangement, or similar agreement or arrangement authorized by this chapter. Furthermore, it is the intention of the Legislature by passage of this chapter to authorize each such governmental entity, in its discretion, to enter into lease, lease-purchase, and/or installment-purchase contracts and arrangements, on such terms and containing such conditions, stipulations, and requirements as such governmental entity shall believe necessary in order to obtain such lease, lease-purchase, and/or installment-sale financing or as may be mandated by this chapter. This chapter shall be construed liberally in conformity with the intention stated in the foregoing provisions of this section.
(Acts 1993, No. 93-261, p. 389, §2.)
For the purposes of this chapter, the following terms shall have the respective meanings provided by this section:
(a) ALTERNATIVE FINANCING CONTRACT. A lease, lease-purchase, lease with option to purchase, installment-sale agreement or arrangement, or other similar agreement or arrangement.
(b) GOVERNMENTAL ENTITY. The state; any political subdivision of the state; any agency, board, commission, or department of the state; any county; any municipal corporation; any county board of education; any city board of education; any instrumentality of any of the foregoing; the State Board of Education, acting for the respective educational institutions under its supervision; each public corporation that conducts one or more state educational institutions under its supervision; and any public corporation arising under or organized pursuant to any statute of the state.
(c) GRANTOR PARTY. The lessor under a lease or lease-purchase contract, grantor under an installment-purchase contract, or other comparable party under any other alternative financing contract. Unless otherwise indicated by the context, each reference to grantor party shall include any assignee of the rights of the grantor party under the alternative financing contract.
(d) ELIGIBLE PROPERTY. Any tangible personal property, or any interest therein, including without limitation any goods, supplies, materials, appliances, equipment, furnishings, and/or machinery, whether or not such items constitute fixtures.
(e) STATE. The State of Alabama.
(f) SUBJECT PROPERTY. The eligible property which is the subject of an alternative financing contract.
(Acts 1993, No. 93-261, p. 389, §3.)
In addition to and not as a limitation upon other powers and authority, any governmental entity shall have the power and authority to execute, perform, and authorize payments under any alternative financing contract relating to any eligible property deemed by such governmental entity to be necessary, useful, or appropriate to one or more lawful purposes of such governmental entity. Any alternative financing contract may provide financing or a source of funds for any or all costs of acquiring (by lease, purchase, lease-purchase, or otherwise), installing, equipping, and/or improving any eligible property and for any or all associated costs, fees, and expenses (including, without limitation, finance charges).
(Acts 1993, No. 93-261, p. 389, §4.)
(a) Alternative financing contracts may be for such term, provide for such renewal or extension options, provide for such terminating events, provide for the payment of such rentals, purchase installments, purchase price, and other amounts, and contain such other terms, provisions, and conditions as the governmental entity shall deem appropriate, and without limitation to the generality of the foregoing, may contain terms and conditions substantially similar to any one or more of the following:
(1) Provisions for the automatic renewal of the alternative financing contract for one or more successive periods unless affirmative action is taken by the governmental entity to terminate such alternative financing contract, and, if desired, specifying the nature of such affirmative action sufficient to terminate such alternative financing contract;
(2) Provisions for the payment by the governmental entity of interest at such fixed or variable rates of interest as such governmental entity shall deem appropriate or for the allocation of a portion of specified rentals or other payments to interest (which such allocation shall be deemed conclusively correct in the absence of bad faith);
(3) Provisions specifying the rights, remedies, obligations, and other liabilities of the parties in the event of a default or other failure to comply with the provisions of the alternative financing contract;
(4) Provisions designating whether the rights and/or obligations of the respective parties under the alternative financing contract shall be subject to assignment and/or delegation or specifying the terms and conditions under which such assignment and/or delegation shall be permitted; provided that, notwithstanding any other statute or law of the state to the contrary, in the absence of an express provision of an alternative financing contract prohibiting the assignment and/or delegation by the grantor party, such grantor party shall be permitted to assign its rights and/or delegate its obligations under such alternative financing contract without the consent or approval of the governmental entity;
(5) Provisions establishing which party to the alternative financing contract will retain title to the subject property and which party to the alternative financing contract will bear the risk of loss with respect to the subject property and provisions establishing the circumstances in which title to and/or risk of loss with respect to the subject property shall be transferred (including, without limitation, provisions establishing any applicable purchase price or formula for computing such purchase price);
(6) Provisions specifying the consequences of theft, casualty loss, destruction, condemnation of, or other loss affecting the subject property (in whole or in part), which provisions may specify that in the event of such a theft, casualty loss, destruction, condemnation, or other loss the governmental entity shall be required to pay a stipulated amount to the grantor party and that, upon payment of such stipulated amount, title to that subject property (if not already held by the governmental entity) will pass to the governmental entity;
(7) Provisions requiring the governmental entity or the grantor party to maintain casualty insurance with respect to the subject property and/or to maintain liability, workmen’s compensation, and/or other insurance coverages during the term of the alternative financing contract and specifying the application of the proceeds of such insurance;
(8) If required by the grantor party or its assignee, covenants precluding or limiting the right of the governmental entity to acquire property comparable to the subject property within a specified time (not to exceed five years) after early cancellation or termination of the alternative financing contract or the failure of the governmental entity to exercise all available optional renewals or extensions on the basis of a failure to appropriate funds for payment of amounts due under such alternative financing contract;
(9) Covenants of the governmental entity to indemnify, hold harmless, and/or defend the grantor party with respect to any or all of the transactions contemplated by the alternative financing contract and/or in connection with the subject property;
(10) Provisions allocating responsibility for taxes, duties, assessments, and other impositions applicable to the alternative financing contract, any transactions contemplated by the alternative financing contract and/or the subject property;
(11) At the option of the governmental entity, a stipulation that such alternative financing contract shall terminate without further monetary obligation on the part of such governmental entity at the close of any fiscal year of such governmental entity in the event sufficient funds shall not have been appropriated or otherwise lawfully set aside to permit the governmental entity to satisfy its obligations under the alternative financing contract during the next succeeding fiscal year of such governmental entity, including during any renewal term under such alternative financing contract; and
(12) Provisions concerning the disposition of the subject property in the event of the expiration, cancellation, or termination of an alternative financing contract for any reason (including, without limitation, default by the governmental entity thereunder); including, without limitation, stipulations that upon any such expiration, cancellation, or termination of an alternative financing contract under the terms of which either (A) the governmental entity does not have an option to purchase or otherwise to acquire title to the subject property or (B) at the time of such cancellation or termination the governmental entity has not paid in full all amounts specified in such alternative financing contract in order to entitle the governmental entity to title to or transfer of title to the subject property, (i) such governmental entity shall no longer be entitled to claim any title or interest in the subject property as against the grantor party or any person claiming by, through or under the grantor party and the governmental entity shall, at its sole expense, deliver the subject property to the grantor party at the location specified in or pursuant to the alternative financing contract and in such condition as is specified in the alternative financing contract, (ii) in the event the governmental entity shall fail to return the subject property to the grantor party as described in clause (i), the grantor party shall have the right to take possession of the subject property, (iii) in taking possession of the subject property, a grantor party may proceed without judicial process if this can be done without breach of the peace or may proceed by action, and/or (iv) without removal, the grantor party may render subject property constituting personal property or fixtures unusable and may dispose of the same on the governmental entity’s premises.
(b) If an alternative financing contract contains the terms contained in subdivision (a)(11) hereof, such alternative financing contract shall be deemed to obligate the governmental entity thereunder only for those sums payable during the then current fiscal year of such governmental entity, including in the case of a renewable alternative financing contract for those sums payable in the individual fiscal year renewal term, and, if and to the extent any constitutional or statutory debt limit is applicable to such governmental entity, such alternative financing contract shall not be deemed to create a debt of such governmental entity within the meaning of any constitutional or statutory provision. Notwithstanding the foregoing, nothing in this section shall diminish the obligation of a governmental entity to pay all sums payable under such alternative financing contract during the then current fiscal year and to satisfy and discharge all obligations required to be performed under the alternative financing contract during the then current fiscal year of the governmental entity, including in the case of a renewable alternative financing contract those sums payable in the then applicable renewal term and those obligations required to be performed in the then applicable renewal term.
(c) Unless otherwise prohibited by the constitution or statutes of the state, a governmental entity may specify that its obligations under any alternative financing contract shall be a general obligation of such governmental entity or that such obligations shall be payable solely from specified sources. A governmental entity may assign and specifically pledge for the payment of any of its alternative financing contracts constituting general obligations (as additional security therefor) or for the payment of any of its alternative financing contracts constituting limited obligations (as the sole source for the payment thereof), as the case may be, all or any portion of the funds derived from any one or more of the following sources that are not subject to previous pledges or covenants which would prevent the assignment and pledge hereby authorized, that are not required by the laws and constitution of the state to be devoted to other purposes:
(1) The proceeds from any tax (including any ad valorem tax and any occupational, privilege, license, or excise tax) that such governmental entity is authorized to levy at the time of execution of such alternative financing contract;
(2) Any payments in lieu of taxes paid or payable to such governmental entity by other governmental units or by private persons or companies pursuant to contractual arrangements or laws in effect at the time of the execution of such alternative financing contract;
(3) The portion of any tax levied and collected by any other governmental entity that shall be apportioned and paid to such governmental entity pursuant to laws in effect at the time of the execution of such alternative financing contract;
(4) The income derived from the investment of moneys lawfully held by such governmental entity; and
(5) The revenues from any revenue-producing properties owned, leased, or operated by such governmental entity, including, without limitation thereto, any water system, sewer system, electric distribution system, or other utility.
The pledge of any pledged funds for the obligations of a governmental entity under an alternative financing contract pursuant to this chapter, together with any covenants of such governmental entity relating to such pledge, shall have the force of contract between such governmental entity and the grantor party or anyone claiming by, through, or under the grantor party. To the extent necessary, such pledged funds shall constitute a trust fund or funds which shall be impressed with a lien in favor of the grantor party and any person claiming by, through, or under the grantor party. In the event that more than one pledge should be made with respect to any pledged funds, then such pledges shall take precedence in the order in which they are made unless the proceedings making such pledge shall expressly provide that such pledge shall be on a parity with or subordinate to a subsequent pledge of such pledged funds. All alternative financing contracts for which any pledge authorized by this chapter may be made shall constitute preferred claims against that portion of the pledged funds so pledged, and shall have preference over any claims for any other purpose whatsoever.
(d) The execution of and performance under an alternative financing contract by a governmental entity shall constitute the exercise of the borrowing power of the governmental entity. Alternative financing contracts shall constitute “other evidences of indebtedness” within the meaning and usage of Section 8-8-7, as amended.
(Acts 1993, No. 93-261, p. 389, §5.)
Nothing in this chapter shall restrict governmental entities from executing contracts arising out of their proprietary functions.
(Acts 1993, No. 93-261, p. 389, §6.)
The provisions of any alternative financing contract that are either permitted or required to be included therein pursuant to this chapter shall be valid and enforceable in accordance with their terms notwithstanding any other laws of the state to the contrary. Notwithstanding the foregoing, the laws of the state other than this chapter shall determine whether a particular alternative financing contract constitutes a lease or a sale of the subject property to the governmental entity with the retention by the grantor party of a security interest and shall determine the applicability of Articles 2, 2A, and/or 9 of Title 7, as amended, to such alternative financing contract.
(Acts 1993, No. 93-261, p. 389, §7.)
Alternative financing contracts or any interest therein shall be a legal and authorized investment for banks, savings and loan associations, insurance companies, fiduciaries, and trustees.
(Acts 1993, No. 93-261, p. 389, §8.)
To the extent of any conflict or inconsistency between any provisions of this chapter and any provisions of any other law as applied to alternative financing contracts entered into in accordance with this chapter, the provisions of this chapter shall prevail and control. Subject to the immediately preceding sentence, this chapter does and shall be construed to provide an additional and alternative method for the doing of the things authorized hereby and shall be regarded as supplemental and additional to other laws. Any governmental entity may use the provisions of any other law, not in conflict with the provisions of this chapter, to the extent convenient or necessary to carry out any power or authority, express or implied, granted by this chapter. Nothing contained in this chapter shall exempt any governmental entity from the requirements, if applicable, of Section 41-4-115, as amended.
(Acts 1993, No. 93-261, p. 389, §9.)
Any grantor party and each person claiming by, through, or under a grantor party may conclusively rely on the legal authority of a governmental entity to enter into an alternative financing contract and to perform the obligations of such governmental entity thereunder.
(Acts 1993, No. 93-261, p. 389, §10.)
It is hereby found, determined, and declared that the provisions of this chapter are declaratory of existing law and the provisions of this chapter shall not be construed adversely to the legality, authorization, or validity of any contract, agreement, or arrangement heretofore entered into by any governmental entity.
(Acts 1993, No. 93-261, p. 389, §11.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §1; Acts 1975, 4th Ex. Sess., No. 92, p. 2770, §1; Acts 1976, No. 135, p. 129; Act 2000-681, p. 1385, §1.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §2.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §3.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §4.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §5.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §6.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §8.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §9.)
[Repealed]
Repealed by Act 2013-282, §2, effective October 1, 2014.
(Acts 1969, No. 471, p. 914, §7.)
(a) The Legislature of Alabama makes the following findings and statements:
(1) Energy use associated with the operation of state motor vehicle fleets exacerbates local air quality problems and results in greenhouse gas emissions that contribute to global climate change.
(2) Agencies and departments of state government have a significant role to play in improving local air quality and reducing greenhouse gas emissions by improving the energy efficiency of their fleets and reducing emissions from fleet operations.
(3) Improving the energy efficiency of state fleets will result in a significant monetary savings in the long term.
(b) The Legislature expresses its intent as follows:
(1) To express its power as a participant in the marketplace to ensure that purchases and expenditures of public monies are made in a manner consistent with the policies of improving local air quality, reducing Alabama’s water pollution of hazardous waste oil, reducing the state’s petroleum dependency, and reducing greenhouse gas emissions.
(2) To establish a green fleets policy in conjunction with establishing life cycle costing as a method of addressing the management, operation, and procurement of fleet vehicles under the control of the State of Alabama in order to improve the energy efficiency of its fleets and reduce emissions from its fleets.
(Act 2009-650, p. 1999, §1.)
As used in this chapter the following terms shall have the following meanings:
(1) FUEL ECONOMY. The applicable model year combined highway/city fuel economy with respect to a vehicle as determined on a gasoline gallon equivalent basis as determined by the Administrator of the U.S. Environmental Protection Agency with respect to the vehicle. If such data is not available from the administrator, the fuel economy shall be the total in-use fuel consumed divided by the total miles driven for the most recent fiscal year.
(2) HEAVY DUTY VEHICLE. Any motor vehicle, licensed for use on roadways, having a manufacturer’s gross vehicle weight rating greater than 14,000 pounds.
(3) LIGHT DUTY VEHICLE. Any motor vehicle designed primarily for the transportation of persons and with a manufacturer’s gross vehicle weight rating of 8,500 pounds or less.
(4) MEDIUM DUTY VEHICLE. Any vehicle having a manufacturer’s gross vehicle weight rating of 14,000 pounds or less and which is not a light-duty truck or passenger vehicle.
(Act 2009-650, p. 1999, §2.)
(a) In order to establish a baseline of data so that a state green fleets policy may be established, implemented, and monitored, each state department and agency fleet manager shall develop an inventory and analysis of the fleet vehicles within that department or agency as of the close of fiscal year 2010. This inventory shall include the following specific information:
(1) Number of vehicles classified by the model year, make, model, engine size, vehicle identification number (VIN), drivetrain type of 2-wheel drive or 4-wheel drive, and the rated vehicle weight and classification as either light-duty, medium-duty, or heavy-duty.
(2) Miles per gallon or gallon equivalent, per vehicle.
(3) Average fuel economy of all light-duty vehicles in the fleet.
(4) Average fuel economy of all medium-duty vehicles in the fleet.
(5) Average fuel economy of all heavy-duty vehicles in the fleet.
(6) Type of fuel or power source including, but not limited to, electricity used.
(7) Average cost per gallon, or gallon equivalent of fuel.
(8) Average fuel cost per mile.
(9) Annual miles driven per vehicle.
(10) Total fuel or power consumption per vehicle.
(11) Vehicle function, such as the tasks associated with the vehicle’s use.
(b) Fleet managers from state departments and agencies shall be responsible for providing baseline data in a reliable and verifiable manner. The data shall be submitted to the Green Fleets Review Committee established in Section 41-17A-6 for use in measuring progress toward the goals outlined in Section 41-17A-4.
(Act 2009-650, p. 1999, §3.)
(a) Except as otherwise provided under this section, the average fleet fuel economy for light-duty vehicles shall be increased by four percent per fiscal year, rounded to the nearest 1/10 mile per gallon, beginning November 21, 2009.
(b) Except as otherwise provided under this section, the average fleet fuel economy for medium-duty vehicles shall be increased by three percent per fiscal year, rounded to the nearest 1/10 mile per gallon, beginning November 21, 2009.
(c) Except as otherwise provided under this section, the average fleet fuel economy for heavy-duty vehicles shall be increased by two percent per fiscal year, rounded to the nearest 1/10 mile per gallon, beginning November 21, 2009.
(d) Notwithstanding the requirements of subsections (a), (b), and (c), the Green Fleets Review Committee may prescribe a lower average fuel economy percentage improvement for a specific fiscal year if the committee determines that the standards prescribed pursuant to subsections (a), (b), or (c) are neither of the following:
(1) Technologically achievable.
(2) Cost effective, as demonstrated by clear evidence.
(e) If a lower percentage fuel economy improvement is prescribed for a specific fiscal year under subsection (d), that percentage increase shall be the maximum increase that is both of the following:
(1) Technologically achievable.
(2) Cost effective.
(f) In determining cost effectiveness under this section, the committee shall take into account the total value to the nation of reduced petroleum use, including the value of reducing external costs of petroleum use, using a value for such costs equal to 25 percent of the value of a gallon of gasoline saved.
(g) In addition to determining cost effectiveness under this section, reducing harmful emissions and greenhouse gases created by the production and use of a fuel source shall be the second primary criteria taken into account by the committee. Whenever a fleet is taking into consideration a new fuel, the fuel provider shall submit U.S. Department of Energy statistics showing the life cycle emissions per gallon gasoline equivalent for the green fleet manager to submit to the committee.
(Act 2009-650, p. 1999, §4.)
(a) In order to accomplish the goals stated in Section 41-17A-4, the State of Alabama shall modify procurement procedures, implement policies, conduct reviews, and take other actions as provided in this section.
(b) The following shall be the official policies of the State of Alabama pursuant to this chapter:
(1) To purchase, lease, or otherwise obtain or procure the most energy efficient vehicles possible that meet the operational needs of the department or agency for which the vehicles are intended by using life cycle costing as a method of determining the most cost efficient vehicles for the departments or agencies.
(2) To manage and operate its fleets in a manner that is energy efficient, that minimizes emissions, and that reduces petroleum dependency by utilizing specified proven technology identified by the Green Fleets Review Committee.
(3) To review every new vehicle purchase request and modify as necessary to ensure that the vehicle class to which the requesting vehicle belongs is appropriate for the duty requirements that the vehicle will be called upon to perform.
(4) To review the fleet inventory data required by Section 41-17A-3 to identify older vehicles that are not used or used infrequently, as well as those vehicles that are disproportionately inefficient, and schedule their elimination or replacement by determining the most cost effective methodology of establishing surplus inventory within all departments and agencies.
(5) To implement an anti-idling policy prohibiting state employees from idling all state-owned or operated vehicles for an excessive period of time.
(6) To implement educational programs for state employees to drive efficiently and utilize efficient vehicle operating techniques.
(7) To maintain vehicles at optimal efficiency by reviewing current maintenance schedules for all fleet vehicles and increasing or decreasing maintenance wherever cost-effective benefits will accrue as a result.
(8) To encourage carpooling and vanpooling by state employees by allowing commuter fees to be paid out of pretax income withholding as allowed by federal tax laws to help reduce fuel consumption, pollution, traffic, and parking congestion.
(Act 2009-650, p. 1999, §5.)
(a) In order to ensure compliance with the goals outlined in Section 41-17A-4, as well as to monitor the actions outlined in Section 41-17A-5, a Green Fleets Review Committee is created. The Permanent Joint Legislative Committee on Energy will appoint the members of the Green Fleets Review Committee. The membership of the committee shall reflect the racial, gender, geographic, urban/rural and economic diversity of the state. The Chair of the Green Fleets Review Committee may create advisory subcommittees and appoint members thereto, which may include members of the Green Fleets Review Committee, representatives from governmental agencies, and members of the public with interest and expertise in the objectives of the committee. The Green Fleets Review Committee shall create no more than two active advisory subcommittees at any given time unless the committee votes unanimously for additional subcommittees.
(b) The committee shall thereafter meet at the call of the chair or any majority of the members thereof; provided, that the committee shall meet at least once each four months. The committee shall have a continuing existence and may meet, act, and conduct its business at any place within this state during the sessions of the Legislature or any recess thereof, and in the interim period between sessions.
(c) Each legislative member of the committee or any subcommittee, if created, shall be entitled to his or her regular legislative compensation, his or her per diem, and travel expenses for each day he or she attends a meeting of the committee. Upon requisitions signed by the chair of the committee or subcommittees, these payments shall be paid out of any funds appropriated to the use of the Legislature by means of warrants drawn by the Comptroller on the State Treasury. Notwithstanding the foregoing, no member shall receive additional legislative compensation or per diem when the Legislature is in session or if a member is being paid any other payments on the same dates for attendance on other state business. The total legislative expenditures of the committee shall not exceed five thousand dollars ($5,000) per fiscal year.
(d) On an annual basis, all state department and agency fleet managers shall submit a draft of their green fleets plan to the Department of Transportation Office of Fleet Management, and the Green Fleets Review Committee detailing how vehicle procurement, fleet operations, and employee travel activity are intended to conform to the green fleet policies and strategies outlined in Section 41-17A-5. Each green fleets plan submitted shall also include, as an appendix or addendum, an updated fleet vehicle inventory list in the same format as the fleet vehicle inventory required by Section 41-17A-3.
(e) Each green fleets plan shall be reviewed by the Department of Transportation Office of Fleet Management, and the committee for overall conformity with the policies and for completeness in addressing the green fleets strategies. Inadequate plans shall be returned to the submitting department or agency for revision and discussion with the committee.
(f) Any appeal of the committee’s decisions must be made in writing to the committee accompanied by appropriate documentation. Valid reasons for an appeal include unavailability of appropriate fleet vehicles, incremental costs in excess of the full life-cycle savings that would accrue from the acquisition of a given vehicle, and the primacy of a given vehicle’s mission to public safety or a similar area judged to be applicable by the committee.
(g) Approval of vehicle procurement requests for each department or agency is contingent upon a satisfactory recommendation from the State Fleet Manager as to the merit of the department’s or agency’s green fleets plan.
(h) The most innovative green fleets plan implemented shall receive recognition in an annual award to the department or agency submitting the most innovative plan. The committee shall determine the recipient of the award during the annual green fleets review meeting.
(Act 2009-650, p. 1999, §6; Act 2013-282, p. 933, §1.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
Article I. Findings and Purposes.
(a) The party states find that the South has a sense of community based on common social, cultural, and economic needs and fostered by a regional tradition. There are vast potentialities for mutual improvement of each state in the region by cooperative planning for the development, conservation, and efficient utilization of human and natural resources in a geographic area large enough to afford a high degree of flexibility in identifying and taking maximum advantage of opportunities for healthy and beneficial growth. The independence of each state and the special needs of subregions are recognized and are to be safeguarded. Accordingly, the cooperation resulting from this agreement is intended to assist the states in meeting their own problems by enhancing their abilities to recognize and analyze regional opportunities and take account of regional influences in planning and implementing their public policies.
(b) The purposes of this agreement are to provide:
(1) Improved facilities and procedures for study, analysis, and planning of governmental policies, programs, and activities of regional significance;
(2) Assistance in the prevention of interstate conflicts and the promotion of regional cooperation;
(3) Mechanisms for the coordination of state and local interests on a regional basis; and
(4) An agency to assist the states in accomplishing the foregoing.
Article II. The Board.
(a) There is hereby created the southern growth policies board, hereinafter called “the board.”
(b) The board shall consist of five members from each party state, as follows:
(1) The governor,
(2) Two members of the state legislature, one appointed by the presiding officer of each house of the legislature or in such other manner as the legislature may provide, and
(3) Two residents of the state who shall be appointed by the governor to serve at his or her pleasure.
(c) In making appointments pursuant to paragraph (b)(3), a governor shall, to the greatest extent practicable, select persons who, along with the other members serving pursuant to paragraph (b), will make the state’s representation on the board broadly representative of the several socioeconomic elements within his or her state.
(d)(1) A governor may be represented by an alternate with power to act in his or her place and stead, if notice of the designation of such alternate is given to the board in such manner as its bylaws may provide.
(2) A legislative member of the board may be represented by an alternate with power to act in his or her place and stead, unless the laws of his or her state prohibit such representation, and if notice of the designation of such alternate is given to the board in such manner as its bylaws may provide. An alternate for a legislative member of the board shall be selected by the member from among the members of the legislative house in which he or she serves.
(3) A member of the board serving pursuant to paragraph (b)(3), of this article may be represented by another resident of his or her state who may participate in his or her place and stead, except that he or she shall not vote; provided, that notice of the identity and designation of the representative selected by the member is given to the board in such manner as its bylaws may provide.
Article III. Powers.
(a) The board shall prepare and keep current a statement of regional objectives, including recommended approaches to regional problems. The statement may also identify projects deemed by the board to be of regional significance. The statement shall be available in its initial form two years from the effective date of this agreement and shall be amended or revised no less frequently than once every six years. The statement shall be in such detail as the board may prescribe. Amendments, revisions, supplements, or evaluations may be transmitted at any time. An annual commentary on the statement shall be submitted at a regular time to be determined by the board.
(b) In addition to powers conferred on the board elsewhere in this agreement, the board shall have the power to make or commission studies, investigations, and recommendations with respect to:
(1) The planning and programming of projects of interstate or regional significance;
(2) Planning and scheduling of governmental services and programs which would be of assistance to the orderly growth and prosperity of the region and to the well-being of its population;
(3) Effective utilization of such federal assistance as may be available on a regional basis or as may have an interstate or regional impact;
(4) Measures for influencing population distribution, land use, development of new communities and redevelopment of existing ones;
(5) Transportation patterns and systems of interstate and regional significance;
(6) Improved utilization of human and natural resources for the advancement of the region as a whole; and
(7) Any other matters of a planning, data collection, or informational character that the board may determine to be of value to the party states.
Article IV. Avoidance of Duplication.
(a) To avoid duplication of effort and in the interest of economy, the board shall make use of existing studies, surveys, plans and data, and other materials in the possession of the governmental agencies of the party states and their respective subdivisions or in the possession of other interstate agencies. Each such agency, within available appropriations and if not expressly prevented or limited by law, is hereby authorized to make such materials available to the board and to otherwise assist it in the performance of its functions. At the request of the board, each such agency is further authorized to provide information regarding plans and programs affecting the region, or any subarea thereof, so that the board may have available to it current information with respect thereto.
(b) The board shall use qualified public and private agencies to make investigations and conduct research, but if it is unable to secure the undertaking of such investigations or original research by a qualified public or private agency, it shall have the power to make its own investigations and conduct its own research. The board may make contracts with any public or private agencies or private persons or entities for the undertaking of such investigations or original research within its purview.
(c) In general, the policy of paragraph (b) of this article shall apply to the activities of the board relating to its statement of regional objectives, but nothing herein shall be construed to require the board to rely on the services of other persons or agencies in developing the statement of regional objectives or any amendment, supplement or revision thereof.
Article V. Advisory Committees.
The board shall establish a local governments advisory committee. In addition, the board may establish advisory committees representative of subregions of the South, civic and community interests, industry, agriculture, labor, or other categories or any combinations thereof. Unless the laws of a party state contain a contrary requirement, any public official of the party state or a subdivision thereof may serve on an advisory committee established pursuant hereto, and such service may be considered as a duty of his or her regular office or employment.
Article VI. Internal Management of the Board.
(a) The members of the board shall be entitled to one vote each. No action of the board shall be binding unless taken at a meeting at which a majority of the total number of votes on the board are cast in favor thereof. Action of the board shall be only at a meeting at which a majority of the members or their alternates are present. The board shall meet at least once a year. In its bylaws, and subject to such directions and limitations as may be contained therein, the board may delegate the exercise of any of its powers relating to internal administration and management to an executive committee or the executive director. In no event shall any such delegation include final approval of:
(1) A budget or appropriation request,
(2) The statement of regional objectives or any amendment, supplement or revision thereof,
(3) Official comments on or recommendations with respect to projects of interstate or regional significance, or
(4) The annual report.
(b) To assist in the expeditious conduct of its business when the full board is not meeting, the board shall elect an executive committee of not to exceed 17 members, including at least one member from each party state. The executive committee, subject to the provisions of this agreement and consistent with the policies of the board, shall be constituted and function as provided in the bylaws of the board. One half of the membership of the executive committee shall consist of governors, and the remainder shall consist of other members of the board, except that at any time when there is an odd number of members on the executive committee the number of governors shall be one less than half of the total membership. The members of the executive committee shall serve for terms of two years, except that members elected to the first executive committee shall be elected as follows: one less than half of the membership for two years and the remainder for one year. The chair, chair-elect, vice-chair, and treasurer of the board shall be members of the executive committee and, anything in this paragraph to the contrary notwithstanding, shall serve during their continuance in these offices. Vacancies in the executive committee shall not affect its authority to act, but the board at its next regularly ensuing meeting following the occurrence of any vacancy shall fill it for the unexpired term.
(c) The board shall have a seal.
(d) The board shall elect from among its members a chair, a chair-elect, a vice-chair and a treasurer. Elections shall be annual. The chair-elect shall succeed to the office of chair for the year following his or her service as chair-elect. For purposes of the election and service of officers of the board, the year shall be deemed to commence at the conclusion of the annual meeting of the board and terminate at the conclusion of the next annual meeting thereof. The board shall provide for the appointment of an executive director. Such executive director shall serve at the pleasure of the board and, together with the treasurer and such other personnel as the board may deem appropriate, shall be bonded in such amounts as the board shall determine. The executive director shall be secretary.
(e) The executive director, subject to the policy set forth in this agreement and any applicable directions given by the board, may make contracts on behalf of the board.
(f) Irrespective of the civil service, personnel or other merit system laws of any of the party states, the executive director, subject to the approval of the board, shall appoint, remove or discharge such personnel as may be necessary for the performance of the functions of the board and shall fix the duties and compensation of such personnel. The board in its bylaws shall provide for the personnel policies and programs of the board.
(g) The board may borrow, accept, or contract for the services of personnel from any party jurisdiction, the United States or any subdivision or agency of the aforementioned governments, or from any agency of two or more of the party jurisdictions or their subdivisions.
(h) The board may accept for any of its purposes and functions under this agreement any and all donations and grants of money, equipment, supplies, materials, and services, conditional or otherwise, from any state, the United States, or any other governmental agency or from any person, firm, association, foundation, or corporation, and may receive, utilize and dispose of the same. Any donation or grant accepted by the board pursuant to this paragraph or services borrowed pursuant to paragraph (g) of this article shall be reported in the annual report of the board. Such report shall include the nature, amount and conditions if any, of the donation, grant, or services borrowed and the identity of the donor or lender.
(i) The board may establish and maintain such facilities as may be necessary for the transacting of its business. The board may acquire, hold, and convey real and personal property and any interest therein.
(j) The board shall adopt bylaws for the conduct of its business and shall have the power to amend and rescind these bylaws. The board shall publish its bylaws in convenient form and shall file a copy thereof and a copy of any amendment thereto with the appropriate agency or officer in each of the party states.
(k) The board annually shall make to the governor and legislature of each party state a report covering the activities of the board for the preceding year. The board at any time may make such additional reports and transmit such studies as it may deem desirable.
(l) The board may do any other or additional things appropriate to implement powers conferred upon it by this agreement.
Article VII. Finance.
(a) The board shall advise the governor or designated officer or officers of each party state of its budget of estimated expenditures for such period as may be required by the laws of that party state. Each of the board’s budgets of estimated expenditures shall contain specific recommendations of the amount or amounts to be appropriated by each of the party states.
(b) The total amount of appropriation requests under any budget shall be apportioned among the party states. Such apportionment shall be in accordance with the following formula:
(1) One third in equal shares,
(2) One third in the proportion that the population of a party state bears to the population of all party states, and
(3) One third in the proportion that the per capita income in a party state bears to the per capita income in all party states.
In implementing this formula, the board shall employ the most recent authoritative sources of information and shall specify the sources used.
(c) The board shall not pledge the credit of any party state. The board may meet any of its obligations in whole or in part with funds available to it pursuant to Article VI (h) of this agreement, provided that the board takes specific action setting aside such funds prior to incurring an obligation to be met in whole or in part in such manner. Except where the board makes use of funds available to it pursuant to Article VI (h), or borrows pursuant to this paragraph, the board shall not incur any obligation prior to the allotment of funds by the party states adequate to meet the same. The board may borrow against anticipated revenues for terms not to exceed two years, but in any such event the credit pledged shall be that of the board and not of a party state.
(d) The board shall keep accurate accounts of all receipts and disbursements. The receipts and disbursements of the board shall be subject to the audit and accounting procedures established by its bylaws. However, all receipts and disbursements of funds handled by the board shall be audited yearly by a certified or licensed public accountant, and the report of the audit shall be included in and become part of the annual report of the board.
(e) The accounts of the board shall be open at any reasonable time for inspection by duly constituted officers of the party states and by any persons authorized by the board.
(f) Nothing contained herein shall be construed to prevent board compliance with laws relating to audit or inspection of accounts by or on behalf of any government contributing to the support of the board.
Article VIII. Cooperation With the Federal Government and Other Governmental Entities.
Each party state is hereby authorized to participate in cooperative or joint planning undertakings with the federal government, and any appropriate agency or agencies thereof, or with any interstate agency or agencies. Such participation shall be at the instance of the governor or in such manner as state law may provide or authorize. The board may facilitate the work of state representatives in any joint interstate or cooperative federal-state undertaking authorized by this article, and each such state shall keep the board advised of its activities in respect of such undertakings, to the extent that they have interstate or regional significance.
Article IX. Subregional Activities.
The board may undertake studies or investigations centering on the problems of one or more selected subareas within the region; provided, that in its judgment such studies or investigations will have value as demonstrations for similar or other areas within the region. If a study or investigation that would be of primary benefit to a given state, unit of local government, or intrastate or interstate area is proposed, and if the board finds that it is not justified in undertaking the work for its regional value as a demonstration, the board may undertake the study or investigation as a special project. In any such event, it shall be a condition precedent that satisfactory financing and personnel arrangements be concluded to assure that the party or parties benefited bear all costs which the board determines that it would be inequitable for it to assume. Prior to undertaking any study or investigation pursuant to this article as a special project, the board shall make reasonable efforts to secure the undertaking of the work by another responsible public or private entity in accordance with the policy set forth in Article IV (b).
Article X. Comprehensive Land Use Planning.
If any two or more contiguous party states desire to prepare a single or consolidated comprehensive land use plan or a land use plan for any interstate area lying partly within each such state, the governors of the states involved may designate the board as their joint agency for the purpose. The board shall accept such designation and carry out such responsibility; provided, that the states involved make arrangements satisfactory to the board to reimburse it or otherwise provide the resources with which the land use plan is to be prepared. Nothing contained in this article shall be construed to deny the availability for use in the preparation of any such plan of data and information already in the possession of the board or to require payment on account of the use thereof in addition to payments otherwise required to be made pursuant to other provisions of this agreement.
Article XI. Compacts and Agencies Unaffected.
Nothing in this agreement shall be construed to:
(1) Affect the powers or jurisdiction of any agency of a party state or any subdivision thereof;
(2) Affect the rights or obligations of any governmental units, agencies or officials, or of any private persons or entities conferred or imposed by any interstate or interstate-federal compacts to which any one or more states participating herein are parties; or
(3) Impinge on the jurisdiction of any existing interstate-federal mechanism for regional planning or development.
Article XII. Eligible Parties; Entry Into and Withdrawal.
(a) This agreement shall have as eligible parties the states of Alabama, Arkansas, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, Missouri, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, and West Virginia.
(b) Any eligible state may enter into this agreement, and it shall become binding thereon when it has adopted the same; provided, that in order to enter into initial effect, adoption by at least five states shall be required.
(c) Adoption of the agreement may be either by enactment thereof or by adherence thereto by the governor; provided, that in the absence of enactment, adherence by the governor shall be sufficient to make his or her state a party only until December 31, 1977. During any period when a state is participating in this agreement through gubernatorial action, the governor may provide to the board an equitable share of the financial support of the board from any source available to him or her. Nothing in this paragraph shall be construed to require a governor to take action contrary to the constitution or laws of his or her state.
(d) Except for a withdrawal effective on December 31, 1977, in accordance with paragraph (c) of this article, any party state may withdraw from this agreement by enacting a statute repealing the same, but no such withdrawal shall take effect until one year after the governor of the withdrawing state has given notice in writing of the withdrawal to the governors of all other party states. No withdrawal shall affect any liability already incurred by or chargeable to a party state prior to the time of such withdrawal.
Article XIII. Construction and Severability.
This agreement shall be liberally construed so as to effectuate the purposes thereof. The provisions of this agreement shall be severable, and if any phrase, clause, sentence, or provision of this agreement is declared to be contrary to the constitution of any state or of the United States, or the application thereof to any government, agency, person or circumstance is held invalid, the validity of the remainder of this agreement and the applicability thereof to any government, agency, person, or circumstance shall not be affected thereby. If this agreement shall be held contrary to the constitution of any state participating therein, the agreement shall remain in full force and effect as to the state affected as to all severable matters.
(Acts 1975, No. 1206, §1.)
Copies of bylaws and amendments to be filed pursuant to Article VI (j) of the agreement shall be filed with the Secretary of State.
(Acts 1975, No. 1206, §2.)
Nothing contained in the southern growth policies agreement, as enacted by this chapter, shall in any event be construed to terminate the participation of this state with any state which adopted the southern growth policies agreement prior to October 10, 1975; except, that the provisions of Article XII (c) shall govern with respect to the continuance of states as parties thereto after December 31, 1977.
No section, article, or provision contained in this chapter shall be construed so as to prohibit, restrict, or restrain the actions of any individual member state or the actions of any county or municipal government within the boundaries of any individual member state, nor shall any delegate from the State of Alabama be authorized by this legislature to cast any vote that would in any manner restrict the sovereign rights presently granted to or retained by this state under the United States Constitution, or the rights of any local governments granted by the Constitution of the State of Alabama or by statutory acts of the Legislature.
(Acts 1975, No. 1206, §§3, 4.)
This chapter may be cited as The Budget Management Act.
(Acts 1976, No. 494, p. 614, §1.)
For the purposes of this chapter, the term “agency/department” shall include state agencies, departments, boards, bureaus, the Legislature, and institutions of the state.
(Acts 1976, No. 494, p. 614, §2.)
(a) It is the purpose of this chapter to establish a comprehensive system for budgeting and financial management which furthers the capacity of the Governor and the Legislature to plan and finance the services which they determine the state will provide for citizens. The system shall include procedures for all of the following:
(1) The orderly establishment, continuing review, and periodic revision of the program and financial goals and policies of the state.
(2) The development, coordination, and review of long-range program and financial plans that will implement established state goals and policies.
(3) The preparation, coordination, analysis, and enactment of a budget, organized to focus on state services and their costs, that authorizes the implementation of policies and plans in the succeeding budget period.
(4) The evaluation of alternatives to existing policies, plans, and procedures that offer potential for more efficient or effective state services.
(5) The regular appraisal and reporting of program performance.
(b) The Governor shall develop a four-year strategic plan for presentation to the Legislature prior to the first day of the second regular legislative session in each term of office. The plan shall include program, long-range revenue and expenditure plans for the quadrennium, improvements in the state infrastructure requiring capital outlay, and recommended steps to reduce the cost of operation of state government. The Governor shall transmit a copy of the plan to each member of the Legislature in electronic format and a copy of the plan shall be posted on the Governor’s website.
(Acts 1976, No. 494, p. 614, §2; Acts 1992, No. 92-185, p. 348, §2; Acts 1995, No. 95-531, p. 1076, §1; Act 2015-408, p. 1220, §2; Act 2018-401, §1.)
The Legislative Council shall serve in an advisory capacity to the Governor in the development of the long-range program, revenue and expenditure plans. The Legislative Council shall be aided by the Legislative Services Agency, Fiscal Division.
(Acts 1995, No. 95-531, p. 1076, §2; Act 2015-408, §2.)
The Governor is responsible for the preparation and administration of the state budget and the evaluation of the long range program plans, requested budgets and alternatives to state agency/department policies and programs and formulation and recommendation for consideration by the Legislature of a proposed comprehensive program and financial plan which shall cover all estimated receipts and expenditures of the state government, including all grants, loans and moneys received from the federal government. Proposed expenditures shall not exceed estimated revenues and resources.
(Acts 1976, No. 494, p. 614, §3.)
The Department of Finance shall:
(1) Assist the Governor in the preparation and explanation of the proposed comprehensive program and financial plan, including the coordination and analysis of state agency/department program goals and objectives, program plans and program budget requests;
(2) Develop procedures to produce the information needed for effective decision making;
(3) Assist agencies/departments in preparing their statement of goals and objectives, program plans, program budget requests, and reporting of program performance;
(4) Administer its responsibilities under the program execution provisions of this chapter so that the policy decisions and budget determination of the Governor and the Legislature are implemented to the fullest extent possible within the concepts of proper management;
(5) Provide the Legislature with budget information; and
(6) Assist agencies/departments in the preparation of their proposals under Section 41-19-6. This assistance shall include organization of materials, provision of centrally collected accounting, budgeting and personnel information, standards and guidelines formulation, provision of population and other required data, and any other assistance that will help the state agencies/departments produce the information necessary for efficient agency/department management and effective decision making by the Governor and the Legislature.
(Acts 1976, No. 494, p. 614, §5.)
(a) Each state agency/department, on the date and in the form and content prescribed by the Department of Finance, shall prepare and forward to the Budget Officer the following program and financial information:
(1) The goals and objectives of the agency/department programs, together with proposed supplements, deletions, and revisions to such programs;
(2) Its proposed plans to implement the goals and objectives, including estimates of future service needs, planned methods of administration, proposed modification of existing program services and establishment of new program services, and the estimated resources needed to carry out the proposed plan;
(3) The budget requested to carry out its proposed plans in the succeeding fiscal year. The budget request information shall include the expenditures during the last fiscal year, those estimated for the current fiscal year, those proposed for the succeeding fiscal year, and any other information requested by the Department of Finance;
(4) A report of the revenues during the last fiscal year, an estimate of the revenues during the current fiscal year and an estimate for the succeeding fiscal year;
(5) A statement of legislation required to implement the proposed programs and financial plans; and
(6) An evaluation of the advantages and disadvantages of specific alternatives to existing or proposed program policies or administrative methods.
(b) The state agency/department proposals prepared under subsection (a) of this section shall describe the relationships of their programs services to those of other state agencies/departments and other branches of state government.
(c) If any state agency/department fails to transmit the program and financial information required under subsection (a) of this section on the specified date, the Department of Finance may prepare such information.
(d) The Department of Finance shall compile and submit to the Governor or the Governor-elect for any year when a new Governor has been elected, not later than November 20, a summary of the program and financial information prepared by state agencies/departments.
(Acts 1976, No. 494, p. 614, §6.)
(a) The Governor shall formulate the program and financial plan to be recommended to the Legislature after considering each state agency’s proposed program and financial plan. The Governor’s plan shall include his or her recommended goals and policies, recommended plans to implement the goals and policies, recommended budget for the succeeding fiscal year and recommended revenue measures to balance the budget.
(b) The proposed comprehensive program and financial plan shall be presented by the Governor in a message to a joint session of the Legislature on or before the fifth legislative day of each regular session of the Legislature. The message shall be accompanied by an explanatory report which summarizes recommended goals, plans and appropriations. The explanatory report shall be furnished each member of the Legislature and each state agency/department on or before the fifth legislative day of the regular session of the Legislature. The report shall contain the following information:
(1) The coordinate program goals and objectives that the Governor recommends to guide the decisions on the proposed program plans and budget appropriations;
(2) The program and budget recommendations of the Governor for the succeeding fiscal year;
(3) A summary of state revenues in the last fiscal year, a revised estimate for the current fiscal year and an estimate for the succeeding fiscal year;
(4) A summary of expenditures during the last fiscal year, those estimated for the current fiscal year and those recommended by the Governor for the succeeding fiscal year; and
(5) Any additional information which will facilitate understanding of the Governor’s proposed program and financial plan by the Legislature and the public.
(Acts 1976, No. 494, p. 614, §7.)
The Legislature shall:
(1) Consider the program and financial plan recommended by the Governor, including proposed goals and policies, tax rate and other revenue changes and long range program plans;
(2) Adopt programs and alternatives to the plan recommended by the Governor which it deems appropriate;
(3) Adopt legislation to authorize the implementation of a comprehensive program and financial plan; and
(4) Provide for a post audit of financial transactions, program accomplishments and execution of legislative policy direction.
(Acts 1976, No. 494, p. 614, §4.)
The Legislature shall consider the Governor’s proposed comprehensive program and financial plan, evaluate alternatives to the Governor’s recommendations and determine the comprehensive program and financial plan to support the services to be provided the citizens of the state; provided, however, that in such determination authorized expenditures shall not exceed estimated revenues and resources.
(Acts 1976, No. 494, p. 614, §8.)
(a) Except as limited by policy decisions of the Governor, appropriations by the Legislature and other provisions of law, the several state agencies/departments shall have full authority for administering their program assignments and appropriations and shall be responsible for their proper management.
(b) Each state agency/department shall prepare an annual plan for the operation of each of its assigned programs. The operations plan shall be prepared in the form and content and be transmitted on the date prescribed to the Department of Finance.
(c) The Department of Finance shall:
(1) Review each operations plan to determine that it is consistent with the policy decisions of the Governor and appropriations by the Legislature, that it reflects proper planning and efficient management methods and that appropriations have been made for the planned purpose and will not be exhausted before the end of the fiscal year;
(2) Approve the operations plan if satisfied that it meets the requirements under subdivision (1) of this subsection; otherwise, the Department of Finance shall require revision of the operations plan in whole or in part; and
(3) Modify or withhold the planned expenditures at any time during the appropriation period if the Department of Finance finds that such expenditures are greater than those necessary to execute the programs at the level authorized by the Governor and the Legislature or that the revenues and resources will be insufficient to meet the authorized expenditure levels.
(d) No state agency/department may increase salaries of its employees, employ additional employees, or expend money or incur any obligations except in accordance with law and with a properly approved operations plan by the Director of Finance.
(e) Appropriation transfers or changes as between objects of expenditures within a program may be made only by the Director of Finance. Appropriation transfers or changes between programs within an agency/department may be made only by the Governor and shall be reported to the Legislature quarterly. No transfers shall be made between agencies/departments except pursuant to interagency agreements executed for purposes of accomplishing objectives for which the funds involved were appropriated.
(f) The Department of Finance shall report quarterly to the Governor and the Legislature on the operations of each state agency/department, relating actual accomplishments to those planned and modifying, if necessary, the operations plan of any agency/department for the balance of the fiscal year.
(Acts 1976, No. 494, p. 614, §9.)
(a) Each state agency/department, shall submit a performance report to the Department of Finance on or before November 1 for the preceding fiscal year. These reports shall be in the form prescribed by the Budget Officer and shall include statements concerning:
(1) The work accomplished and the services provided in the preceding fiscal year or other meaningful work period, relating actual accomplishments to those planned under subsection (b) of Section 41-19-10;
(2) The relationship of accomplishments and services to the policy decisions and budget determinations of the Governor and the Legislature;
(3) The costs of accomplishing the work and providing the services, to the extent feasible, citing meaningful measures of program effectiveness and costs; and
(4) The administrative improvements made in the preceding year, potential improvements in future years, and suggested changes in legislation or administrative procedures to make further improvements.
(b) The Finance Department shall summarize the performance reports and forward copies to each member of the Legislature annually.
(Acts 1976, No. 494, p. 614, §10.)
(a) Any person in state government, including elected or appointed officials, who prepares false budget or fiscal information to be presented to any legislative committee or who presents false budget or fiscal information to any legislative committee, knowing such budget or fiscal information to be false, shall be guilty of a misdemeanor and, on conviction, shall be imprisoned in the county jail for not more than one year and may also be fined not more than $1,000.00.
(b) In the event of a second conviction under this section, such person shall be forever ineligible to hold any position with the State of Alabama.
(Acts 1976, No. 389, p. 495.)
This chapter shall be known and may be cited as the Budget Accountability Act.
(Act 2010-759, 1st Sp. Sess., p. 7, §1.)
The Legislature recognizes that Alabama citizens demand and deserve accountability for the expenditure of taxpayer funds. The Legislature further recognizes that any member of the Alabama Legislature, as well as any other citizen, can lobby for or offer support for a program administered by an entity that receives public funds. The Legislature further recognizes that while at least two executive orders have banned pass-through appropriations, not all entities are effectively included under these executive orders.
(Act 2010-759, 1st Sp. Sess., p. 7, §2.)
For the purposes of this chapter, the following terms shall have the following meanings:
(1) AGENCY. Any recipient of state funds.
(2) DIRECTED, DIRECTIVE, or DIRECTION. As used in this chapter refers to the exercise of control over the selection of projects or grants for which the expenditure of funds are made.
(3) LINE-ITEM APPROPRIATION. A separate reference in an appropriation bill to a proposed expenditure, which is certain as to the recipients and the amount with a general description of the expenditure.
(4) PASS-THROUGH APPROPRIATIONS. The expenditure of state funds by an agency at the explicit direction of a member of the Legislature, or a person acting on behalf of such member, if such expenditure is not for a purpose specified in a line-item appropriation. The expenditure of funds pursuant to Chapter 24 of Title 41, any federal or state grants or contracts awarded under federal or state guidelines or regulations, and any expenditures under Article 8, commencing with Section 29-2-121 of Chapter 2 of Title 29 shall not be considered pass-through appropriations. State funds transferred between state entities for the same program shall not be considered pass-through appropriations.
(Act 2010-759, 1st Sp. Sess., p. 7, §3.)
(a) Pass-through appropriations are prohibited. An agency director, assistant director, executive assistant, or any similar direct subordinate directing or permitting a pass-through appropriation shall be subject to disciplinary action or dismissal, or both, by the appropriate appointing authority.
(b) An agency director, assistant director, executive assistant, or any similar direct subordinate who violates this section shall be guilty of a Class C misdemeanor unless the agency director, assistant director, executive assistant, or any similar direct subordinate did not know and did not have reason to know of the pass-through appropriation. Acts constituting a violation of this chapter shall not be the basis for a violation of any other criminal law by the agency director, assistant director, executive assistant, or any similar direct subordinate or any other person.
(Act 2010-759, 1st Sp. Sess., p. 7, §4.)
The director, assistant director, executive assistant, or any similar direct subordinate of any agency shall have an affirmative duty to report to his or her superior, or in the case of an agency director, the Governor of Alabama and the Alabama Ethics Commission, any explicit directives regarding a pass-through appropriation and the agency director shall submit a copy of the report to the legislator involved and the presiding officer of each house.
(Act 2010-759, 1st Sp. Sess., p. 7, sect;5.)
Nothing in this chapter shall be deemed to prohibit or discourage a member of the Legislature from performing his or her duties. Those duties include the right to protect and promote activities and projects with agency personnel that constitute legal and valid functions of the agency or department. Therefore, any member of the Legislature or any citizen may lobby for or offer support for a program administered by the agency without violating this chapter.
(Act 2010-759, 1st Sp. Sess., p. 7, §6.)
This chapter shall be known as the Alabama Sunset Law of 1981.
(Acts 1976, No. 512, p. 641, §1; Acts 1981, No. 81-61, p. 74, §1.)
As used in this chapter, unless the context requires a different meaning, the following words shall be defined as follows:
(1) ENUMERATED AGENCY. All departments, councils, boards, commissions, divisions, bureaus, or like governmental units or subunits of the State of Alabama which are enumerated herein.
(2) NONENUMERATED AGENCY. All departments, councils, boards, commissions, divisions, bureaus, or like governmental units of the State of Alabama which are not enumerated herein.
(3) CONTINUANCE. Such term, or any derivative thereof shall mean continuance as presently in existence or as modified or reestablished by recommended legislation.
(4) PERFORMANCE AUDIT. The same as operational audit.
(5) SUNSET BILL. Any bill introduced pursuant to subsection (d) of Section 41-20-4 of this act.
(6) TERMINATION. The end, abolishment, or annulment of any agency or the act of causing the existence to cease.
(Acts 1976, No. 512, p. 641, §2; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
(a) The following agencies shall automatically terminate on the dates specified, unless a bill is passed that they be continued, modified, or reestablished:
(1) October 1, 1981 shall be the termination date for:
a. State Board of Auctioneers - created by Section 34-4-50.
b. Alabama Board of Cosmetology - created by Section 34-7-40.
c. Examining Board for Professional Entomologists, Horticulturists, Plant Pathologists, Floriculturists, and Tree Surgeons - created by Section 2-28-2.
d. Alabama Board of Funeral Service - created by Section 34-13-20.
e. State Pilotage Commission - created by Section 33-4-1.
f. Polygraphic Examiners Board - created by Section 34-25-4.
g. Alabama Board of Examiners for Speech Pathology and Audiology - created by Section 34-28A-40.
h. State Board of Veterinary Medical Examiners - created by Section 34-29-20.
i. Alabama Real Estate Commission - created by Section 34-27-7.
j. Board of Bar Examiners - created by Section 34-3-2.
k. Board of Examiners of Mine Personnel - created by Section 25-9-9.
l. Alabama Board of Social Work Examiners - created by Section 34-30-50.
(2) October 1, 1982, shall be the termination date for:
a. State Board for Registration of Architects - created by Section 34-2-38.
b. Alabama Board of Examiners of Landscape Architects - created by Section 34-17-2.
c. Alabama State Board of Public Accountancy - created by Section 34-1-3.
d. State Board for Registration for Foresters - created by Section 34-12-30.
e. State Board for Registration of Professional Engineers and Land Surveyors - created by Section 34-11-30.
f. State Licensing Board for General Contractors - created by Section 34-8-20.
g. State Board of Chiropractic Examiners - created by Section 34-24-140.
h. Alabama Firefighters’ Personnel Standards and Education Commission - created by Section 36-32-2.
i. Board of Hearing Aid Dealers - created by Section 34-14-30.
j. Alabama Board of Optometry - created by Section 34-22-40.
k. Alabama Peace Officers’ Standards and Training Commission - created by Section 36-21-41.
l. Board of Physical Therapy - created by Section 34-24-192.
m. Board of Plumbing Examiners - created by Sections 34-37-1 to 34-37-18.
n. Alabama Board of Examiners in Psychology - created by Section 34-26-20.
o. State Board of Heating, Air Conditioning, Roofing, and Sheet Metal Contractors - created by Section 34-31-2.
p. Alabama Dairy Commission - created by Section 2-13-42.
q. Board of Dental Examiners of Alabama - created by Section 34-9-40.
r. Board of Nursing - created by Section 34-21-2.
s. State Board of Examiners of Nursing Home Administrators - created by Section 34-20-4.
t. State Board of Pharmacy - created by Section 34-23-90.
u. State Board of Podiatry - created by Section 34-24-250.
v. State Athletic Commission - created by Section 41-9-90.1.
(3) October 1, 1983 and every fourth year thereafter shall be the termination date for:
a. State Board for Registration of Architects - created by Section 34-2-38.
b. Alabama Board of Examiners of Landscape Architects - created by Section 34-17-2.
c. State Licensing Board for General Contractors - created by Section 34-8-20.
d. State Board of Licensure for Professional Engineers and Land Surveyors - created by Section 34-11-30.
e. Board of Bar Examiners - created by Section 34-3-2.
f. Polygraph Examiners Board - created by Section 34-25-4.
g. Alabama State Board of Occupational Therapy - created by Section 34-39-6.
(4) October 1, 1984 and every fourth year thereafter shall be the termination date for:
a. Alabama Board of Social Work Examiners - created by Section 34-30-50.
b. Alabama Board of Examiners in Psychology - created by Section 34-26-20.
c. Alabama State Board of Public Accountancy - created by Section 34-1-3.
d. Alabama Board of Cosmetology - created by Section 34-7-40.
e. Alabama Board of Funeral Service - created by Section 34-13-20.
f. Alabama Real Estate Commission - created by Section 34-27-7.
g. Alcoholic Beverage Control Board - created by Section 28-3-40.
h. Department of Insurance - created by Section 27-2-1.
i. Alabama Securities Commission - created by Section 8-6-50.
j. State Pilotage Commission - created by Section 33-4-1.
k. Public Service Commission - created by Section 37-1-1.
l. Examining Board for Professional Entomologists, Horticulturists, Plant Pathologists, Floriculturists, and Tree Surgeons - created by Section 2-28-2.
m. State Board of Heating, Air Conditioning, Roofing, and Sheet Metal Contractors - created by Section 34-31-2.
n. Board of Examiners of Mine Personnel - created by Section 25-9-9.
o. Plumbing Examiners Board - created by Section 40-12-145.
p. Alabama Liquefied Petroleum Gas Board - created by Section 9-17-101.
q. State Board of Auctioneers - created by Section 34-4-50.
(5) October 1, 1985 and every fourth year thereafter shall be the termination date for:
a. Alabama Board of Examiners for Speech-Language Pathology and Audiology - created by Section 34-28A-40.
b. Board of Nursing - created by Section 34-21-2.
c. State Board of Chiropractic Examiners - created by Section 34-24-140.
d. State Board of Veterinary Medical Examiners - created by Section 34-29-20.
e. Board of Examiners of Nursing Home Administrators - created by Section 34-20-4.
f. Board of Physical Therapy - created by Section 34-24-192.
g. Board of Hearing Instrument Dealers - created by Section 34-14-30.
h. Alabama Board of Examiners for Speech-Language Pathology and Audiology - created by Section 34-28A-40.
i. Board of Dental Examiners of Alabama - created by Section 34-9-40.
j. State Board of Medical Examiners - created by Section 34-24-53.
k. Alabama Board of Optometry - created by Section 34-22-40.
l. Alabama State Board of Pharmacy - created by Section 34-23-90.
m. State Board of Podiatry - created by Section 34-24-250.
(6) October 1, 1986 and every fourth year thereafter shall be the termination date for:
a. Board of Registration for Sanitarians - created by Section 34-28-20.
b. Alabama Surface Mining Reclamation Commission - created by Section 9-16-33.
c. State Oil and Gas Board - created by Section 9-17-3.
d. State Board of Registration for Foresters - created by Section 34-12-30.
e. Alabama Dairy Commission - created by Section 2-13-42.
f. State Radiation Control Agency - created by Section 22-14-4.
(b) Any law to the contrary notwithstanding, nothing in this chapter shall be construed to limit the joint committee’s right to call any enumerated agency for review at a date earlier than specified in this section; nor shall the committee be limited to making recommendations for termination only or continuance only.
(c) The Sunset Committee shall have the authority to review any enumerated or nonenumerated agency and shall make recommendations for continuance, termination or modification. Any nonenumerated agency reviewed shall continue unless a bill is passed and becomes law to terminate or modify the agency.
(d) Either house may pass a resolution instructing the Sunset Committee to review an enumerated or nonenumerated agency. After passage of said resolution, the Sunset Committee shall review such agency and report its findings as provided for in subsection (d) of Section 41-20-4.
(Acts 1976, No. 512, p. 641, §3; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1; Acts 1991, No. 91-165, p. 221, §3.)
(a) For the purposes of this section, the term “board member” means any member of any department, council, board, commission, division, bureau, or other entity subject to the Alabama Sunset Law of 1981, Chapter 20 of Title 41, Code of Alabama 1975. The term does not include any cabinet member, statewide elected official, or any member of a county or municipal governing body.
(b) All board members serving on October 1, 2026, shall complete the board governance course provided for in subsection (c) on or before March 1, 2027. Any board member who begins a term of office after October 1, 2026, shall complete the board governance course within 150 days after beginning each term of office.
(c) The Department of Examiners of Public Accounts shall provide a board governance course of not less than five hours to all board members. The course’s curriculum shall be determined by the Chief Examiner of Public Accounts in consultation with the Attorney General and shall include, but not be limited to, all of the following topics as they relate to board membership:
(1) The Alabama Open Meetings Act.
(2) The role of the Contract Review Permanent Legislative Oversight Committee.
(3) Travel, compensation, and per diem.
(4) Reoccurring significant issues determined by the Department of Examiners of Public Accounts during audits and reviews conducted pursuant to Section 41-20-9.
(5) General operating procedures and best practices to ensure the effective discharge of the duties of board members in keeping with the highest standards of stewardship and principles of public service.
(d) The board governance course shall be available online and may be conducted online or in person. Evidence of each board member’s completion of the course shall be recorded and maintained by the Department of Examiners of Public Accounts.
(e) At the conclusion of the board governance course, each participating board member shall sign a form developed and provided by the Department of Examiners of Public Accounts affirming all of the following principles:
(1) That each decision, action, and vote taken or made as a board member shall be based solely on the needs and interests served by the entity and the general welfare of the public.
(2) That no decision, action, or vote shall be taken or made to serve or promote the personal, political, or pecuniary interests of a board member.
(3) That the views of all board members of the entity shall be considered before making a decision or taking an action on any measure or proposal before the entity.
(4) That the board member shall not make, individually or jointly, any attempt to direct or corrupt the operations of the entity in a manner that is inconsistent with the discharge of the statutory functions and responsibilities of the entity.
(5) That the board member shall attend all meetings of the entity unless good cause is shown.
(Act 2026-160, §1.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
(a) A select joint committee, known as the Sunset Committee, shall be constituted as follows:
(b) Three members of the House and three members of the Senate shall be elected in the same manner as the elected members of the Legislative Council by the respective houses: two from the Alabama Senate and two from the Alabama House of Representatives shall be appointed by the presiding officer of said elected bodies; and the President Pro Tempore of the Senate and the Speaker Pro Tem of the House of Representatives. The chair shall be elected from among the members of the committee, alternating annually between a House member and a Senate member. Any vacancy in the Sunset Committee shall be filled through appointment by the presiding officer of the elected body having the vacancy.
(c) Said select joint committee shall be charged with the duty of assisting in the implementation of the procedures of this chapter and shall be charged with the duty of establishing administrative procedures which shall facilitate the review and the evaluation procedure as provided for in this chapter.
(d) The committee shall submit its report and any accompanying legislation to the offices of the speaker and the president for distribution to legislators and the Governor on or before the first legislative day of the ensuing regular legislative session.
(e) The committee members shall be entitled to their usual legislative per diem and expenses for attending meetings of the committee, which shall be paid from funds appropriated for the payment of the expenses of the Legislature. There shall be no limitation upon the number of days the committee or any subcommittee thereof shall meet; provided, however, the members shall be entitled to payment only for the days they are actually engaged in committee business.
(Acts 1976, No. 512, p. 641, §10; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
Legislative committee review of the enumerated agencies shall begin in the year prior to the scheduled regular legislative session next preceding the date upon which the enumerated agencies are scheduled to terminate pursuant to Section 41-20-3, and shall conclude with a recommendation for continuation, modification or termination on or before the first legislative day immediately following said review.
(Acts 1976, No. 512, p. 641, §4; Acts 1979, No.79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
(a) The Sunset Committee reviewing enumerated or nonenumerated agencies, shall hold public hearings and receive testimony from the public and all interested parties.
(b) All enumerated or nonenumerated agencies shall bear the burden of establishing that sufficient public need is present which justifies their continued existence.
(c) All enumerated or nonenumerated agencies shall provide the reviewing and evaluating committee with the following information:
(1) The identity of all agencies under the direct or advisory control of the agency under review;
(2) All powers, duties, and functions currently performed by the agency under review;
(3) All constitutional, statutory, or other authority under which said powers, duties, and functions of the agency are carried out;
(4) Any powers, duties, or functions which, in the opinion of the agency under review, are being performed and duplicated by another agency within the state, including the manner in which and the extent to which this duplication of efforts is occurring and any recommendations as to eliminating the duplication;
(5) Any powers, duties, or functions which, in the opinion of the agency under review, are inconsistent with current and projected public needs and which should be terminated or altered; and
(6) Any other information which the reviewing committee, in its discretion, feels is necessary and proper in carrying out its review and evaluative duties.
(Acts 1976, No. 512, p. 641, §7; Acts 1981, No. 81-61, p. 74, §1.)
In said public hearings, the determination as to whether a sufficient public need for continuance is present shall take into consideration the following factors concerning the enumerated or nonenumerated agency under review and evaluation:
(1) The extent to which any information required to be furnished to the reviewing committee pursuant to Section 41-20-6 has been omitted, misstated, or refused and the extent to which conclusions reasonably drawn from said information is adverse to the legislative intent inherent in the powers, duties, and functions as established in the enabling legislation creating said agency or is inconsistent with present or projected public demands or needs;
(2) The extent to which statutory changes have been recommended which would benefit the public in general as opposed to benefitting the agency;
(3) The extent to which operation has been efficient and responsive to public needs;
(4) The extent to which it has been encouraged that persons regulated, report to the agency concerning the impact of rules and decisions regarding improved service, economy of service or availability of service to the public;
(5) The extent to which the public has been encouraged to participate in rule and decision making as opposed to participation solely by persons regulated;
(6) The extent to which complaints have been expeditiously processed to completion in the public interest;
(7) The extent to which the division, agency, or board has permitted qualified applicants to serve the public;
(8) The extent to which affirmative action requirements of state and federal statutes and constitutions have been complied with by the agency or the industry it regulates; and
(9) Any other relevant criteria which the reviewing committee, in its discretion, deems necessary and proper in reviewing and evaluating the sufficient public need for continuance of the respective agency.
(Acts 1976, No. 512, p. 641, §8; Acts 1981, No. 81-61, p. 74, §1.)
(a) In conjunction with the criteria enumerated in Section 41-20-7, one criterion which may be used in determining sufficient public need in such public hearings shall be a “zero-based review and evaluation.” A “zero-based review and evaluation” shall be a comprehensive review and evaluation to determine if the merits of the agency support continuation rather than termination and a finding as to what amounts of funding, if any, shall be authorized to produce correspondingly greater or lesser levels of responsibility and service output. Such a procedure shall necessitate the review and evaluation of all powers, duties, and functions which currently are exercised by the agency as well as any request for additions to said powers, duties, or functions when reviewing the sufficient public need of the agency.
(b) Said “zero-based review and evaluation” shall include, but not be limited to, the following factors:
(1) An identification of other agencies having the same or similar objective, along with a comparison of the cost and effectiveness of said agencies, and any duplication of the agency under review;
(2) An identification of any agency which has not received and expended state tax dollar revenues within a period of two years prior to said hearings;
(3) An examination of the extent to which the objectives of the agency have been achieved in comparison with the objectives as initially set forth in the enabling legislation and an analysis of any significant variance between projected and actual performance;
(4) A specification, to the extent feasible, in quantitative terms of the objectives of said agency for the next four years; and
(5) An examination of the impact of said agency on the economy of the state.
(Acts 1976, No. 512, p. 641, §9; Acts 1981, No. 81-61, p. 74, §1.)
The Department of Examiners of Public Accounts, the Legislative Services Agency, Legal Division, and the Legislative Services Agency, Fiscal Division of the state shall furnish, upon request of the reviewing and evaluating committee, any relevant information, including the results of prior audits and reviews of any agency under review.
(Acts 1976, No. 512, p. 641, §12; Acts 1981, No. 81-61, p. 74, §1.)
(a) On the tenth legislative day of the regular session, one hour after the convening of the house of which the chair of the select joint committee of the Sunset Committee is a member, voting in that house on sunset bills not previously considered during this regular session shall commence and thereafter continue as the first order of business, from day to day, until voting on all the bills with respect to each enumerated or nonenumerated agency is completed.
(b) On the fifth legislative day after passage of bills passed pursuant to subsection (a) of this section, one hour after convening of the house of which the chair of the select joint committee of the Sunset Committee is not a member, voting in that house on said sunset bills not previously considered during this regular session shall commence and thereafter continue as the first order of business, from day to day, until voting on said bills is completed. Provided, however, that either house may, by a three-fifths vote of those members present and voting, consider other business before that house.
(c) (1) If a committee considering sunset legislation recommending modification shall fail to report a sunset bill within the time prescribed in subsection (a) or (b) of this section, then a substitute bill specifying only continuance concerning the status of the state agency shall be referred to the considering legislative body as a committee of the whole on the legislative day preceding the legislative day of prescribed reporting, there to be acted on by the Legislature as a committee of the whole.
(2) Debate on a sunset bill being acted upon by the Legislature as a committee of the whole shall be limited to one hour and must be continuous and uninterrupted. Thereafter a recorded vote must be taken at the expiration of said debate.
(3) An additional one hour of debate, beyond the time permitted in subdivision (2) of this subsection, may be permitted by a vote of two-thirds of those voting. Such additional period of debate may not be allowed more than one time per bill and must be continuous and uninterrupted. Thereafter a recorded vote must be taken at the expiration of said debate.
(d) Debate on the termination or continuance of any enumerated or nonenumerated agency shall not continue beyond the period of one hour from the start of the debate on each bill and a recorded vote must be taken at the expiration of said debate. “Debate” as used in this section shall mean one hour total time allocated for discussion on each agency considered. At the end of this one hour period of time allocated, which shall be continuous and uninterrupted, it shall be mandatory for the presiding officer of the house considering the bill to call for a recorded vote with respect to the agency in question.
(e) An additional one hour for debate on termination or continuation of said agency, beyond the time permitted in subsection (d) of this section, may be permitted by a vote of two-thirds of those voting. Such additional period of debate may not be allowed more than one time per bill and must be continuous and uninterrupted. Thereafter a recorded vote must be taken at the expiration of said debate.
(f) A sunset bill which terminates or continues an agency and is passed by the originating house, amended by the second house, and returned to the originating house shall be allowed one hour of debate upon return to the originating house. Such debate must be continuous and uninterrupted. Thereafter a recorded vote must be taken at the expiration of said debate.
(g) An additional one hour for debate on termination or continuation of said agency, beyond the time permitted in subsection (f) of this section, may be permitted by a vote of two-thirds of those voting. Such additional period of debate may not be allowed more than one time per bill and must be continuous and uninterrupted. Thereafter a recorded vote must be taken at the expiration of said debate.
(h) The debate limitations established under this section relate only to those bills that either continue or terminate an agency.
(Acts 1976, No. 512, p. 641, §11; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
No more than one enumerated or nonenumerated agency shall be continued, modified, or reestablished in any one bill for an act, as provided for in Section 41-20-4, and such agency shall be mentioned in title as provided by law.
(Acts 1976, No. 512, p. 641, §14; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
Any enumerated agency which is terminated shall cease its affairs on the date specified in Section 41-20-3. Any nonenumerated agency shall cease its affairs on the date specified in the bill terminating said agency. From the date of sine die of the regular legislative session, immediately preceding the date of termination, any enumerated agency terminated pursuant to Section 41-20-3 shall exercise no functions or powers except to administratively wind up its affairs. Any nonenumerated agency which has been terminated shall exercise no functions or powers, except to administratively wind up its affairs, after the date provided for in the bill terminating such agency. Upon the termination date such enumerated or nonenumerated agency, its personnel position shall be abolished with all unexpended funds reverting back to the state fund from which its appropriation was made, unless otherwise provided by law. Any license issued by any agency, which has an expiration date after the agency’s date of termination, shall expire on the effective date of the agency’s abolishment. Any penalties for engaging in any profession or activity without being licensed therefor shall not be enforceable with respect to activities occurring after an enumerated or nonenumerated agency has ceased its functions pursuant to this chapter.
(Acts 1976, No. 512, p. 641, §5; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
(a) This chapter shall not cause the dismissal of any claim or right of any citizen which is subject to administrative hearing or litigation against any state agency terminated pursuant to the provisions of this chapter.
(b) The state Comptroller is authorized to draw warrants on the State Treasury for any outstanding accounts which are legally owed but unsettled by any agency which has ceased functioning pursuant to this chapter. Such claims must be presented and paid in the same manner as required by law for any claim for the payment of state funds.
(Acts 1976, No. 512, p. 641, §15; Acts 1979, No. 79-542, p. 976; Acts 1981, No. 81-61, p. 74, §1.)
The Governor is urged to utilize the principles of “zero-based review and evaluation” for each state agency in his or her preparation of the budget for each fiscal year and to include such analysis, together with his or her recommendations, in his or her transmission of the budget to the Legislature.
(Acts 1976, No. 512, p. 641, §13; Acts 1981, No. 81-61, p. 74, §1.)
Nothing in this chapter shall be construed to abrogate any powers, duties or functions of any agency established by the people of Alabama in the Constitution of 1901.
(Acts 1976, No. 512, p. 641, §16; Acts 1981, No. 81-61, p. 74, §1.)
(a) Upon publication and delivery to the state, the Secretary of State shall transmit sets of the Code of Alabama 1975, and supplements or replacement volumes thereof, subject to subsection (b), to all of the following agencies, departments, institutions, bureaus, boards, commissions, and offices:
(1) One set to the law library of Congress.
(2) One set to the custodian of the law library of the court of last resort of every state and territory for exchange upon the approval of the state law librarian of the request.
(3) One set to the library of the University of Alabama and one set to the Land Commissioner of the University of Alabama.
(4) One set to each member of the Legislature, the Lieutenant Governor, the Clerk of the House of Representatives, and the Secretary of the Senate.
(5) One set to the library of each junior college, trade school, technical college, and public institution of higher education.
(6) Twenty sets to the Librarian of the Supreme Court and State Law Library for the use of the library.
(7) Two sets to the Department of Archives and History.
(8) Two sets to the Office of the Governor.
(9) Twenty sets to the Office of the Attorney General.
(10) Five sets to the Legislative Services Agency.
(11) Two sets to the Administrative Office of Courts.
(12) One set to each functioning agency, department, institution, bureau, board, and commission of state government not otherwise provided for by this chapter, upon application to the Secretary of State.
(13) One set to the commission of each county for use of the county commission and for use of the tax assessor, tax collector, and other county officers to whom distribution is not otherwise provided.
(14) One set to the circuit court of each county and, in counties having two courthouses, one set for the office of the circuit clerk maintained in each of the courthouses.
(15) One set to the clerk of the district court and juvenile court in counties where clerks’ offices for these courts are maintained.
(16) One set to the probate judge of each county.
(17) Three sets to every justice of the Supreme Court and two sets to every judge of the Court of Criminal Appeals and Court of Civil Appeals.
(18) Three sets to the Clerk of the Supreme Court, and one set each to the Court of Criminal Appeals, Court of Civil Appeals, and Reporter of Decisions.
(19) One set to every judge of the circuit and district courts.
(20) One set to every district attorney.
(21) One set to the Office of the Secretary of the Senate for the use of the Senate and one set to the Office of the Clerk of the House of Representatives for the use of the House of Representatives.
(22) One set to the mayor or other executive or presiding officer of each municipality for use of the municipality.
(b) Code sets, annual supplements, and replacement volumes shall be provided to each eligible recipient under subsection (a) upon written request submitted by the recipient to the Secretary of State. The written request shall be filed once every four years within 30 days of receipt of a notice provided by the Secretary of State to the recipient concerning the necessity of filing a written request. The notice shall be provided by the Secretary of State within one month after the first legislative day of the first regular session of a legislative quadrennium.
(c) The Secretary of State shall provide notice to an eligible recipient who newly assumes a vacated office within 90 days of being informed of the filling of the vacancy. The eligible recipient shall have 30 days from receipt of the notice from the Secretary of State to file a written request for code sets, annual supplements, and replacement volumes. Upon receipt of the request, the Secretary of State shall provide the materials to the eligible recipient.
(Acts 1977, No. 352, p. 470, §1; Acts 1979, Ex. Sess., No. 79-28, p. 38; Act 2009-723, p. 2162, §1; Act 2016-338, p. 837, §1; Act 2022-353, §1.)
[Repealed]
Repealed by Act 2009-723, p. 2162, §2, effective August 1, 2009.
(Acts 1977, No. 352, p. 470, §2.)
Duplicate sets of said annotated code, to replace sets lost or destroyed without fault of the custodian, may be furnished to any officer entitled thereto upon application to the Secretary of State, provided said application is approved by the Governor.
(Acts 1977, No. 352, p. 470, §3.)
(a) Any contract to publish the official code of the statutes of Alabama under Section 29-7-6 may relate to any medium or form of the code and shall not be subject to the competitive bid laws of the state, including, but not limited to, Article 2 (commencing with Section 41-16-20) and Article 3 (commencing with Section 41-16-50) of Chapter 16 of this title.
(b) A person under contract with the state to publish the official code of the statutes of Alabama may sell the code or any portion of the code, in any form or medium, pursuant to the contract to any person, firm, or corporation within or outside the state, if it is sold at prices determined and fixed by the publisher and the Legislative Council.
(Acts 1977, No. 352, p. 470, §4; Act 98-676, p. 1488, §1.)
Except those sets of codes distributed to members of the Legislature and the Lieutenant Governor, the title to all of the sets of the annotated code, the distribution of which to officers and offices of the state and the several counties and municipalities thereof is provided for in this chapter, shall forever remain in the State of Alabama and said sets shall never become the personal property of any person or corporation, however long they shall have had possession thereof. Officers, employees, and agents of the state and of the several counties thereof to whom a set of said annotated code is transmitted by the Secretary of State under the provisions of this chapter, upon the severance of their connection with their offices, employments, or agencies, shall deliver over to their successors, if any, and, if there are no successors, to the Secretary of State, sets of the annotated code in their custody. Upon the failure of any officer, employee, or agent to comply with the provisions of this section relative to the return of sets of annotated code in their custody, they and the sureties upon their official bonds, if any, shall be liable for the value of the sets or volumes thereof not returned as required by this section, to be recovered by action in the name of the state, commenced and prosecuted by the district attorney of the county of their respective residences in any court having jurisdiction of said action.
(Acts 1977, No. 352, p. 470, §5.)
It shall be the duty of the Secretary of State to take receipts from each public official of the state and of the several counties to whom he or she distributes sets of said annotated code. And, in the event that the Secretary of State shall transmit sets for the use of all of the officers of a county to one officer of the county for distribution to the several officers in said county entitled thereto, the officer making such distribution shall take receipts from the officers, agents or employees in said county to whom he or she distributes said sets, showing the number of sets distributed and the date of distribution, which said receipts must be witnessed by the officer distributing the same, and said receipts shall forthwith be sent by registered mail to the Office of the Secretary of State.
The Secretary of State shall register in a well-bound book, which shall be a permanent record in his or her office, the name, official title and address of every public official, employee, or agent of the state and of the several counties thereof to whom has been distributed sets of said annotated code under the provisions of this chapter, and who has signed a receipt therefor and shall record the date of said distribution and the number of sets distributed to each such officer, agent, or employee. Upon the return of any sets by officers, agents, and employees of the state or of any county thereof, as provided in this chapter, the Secretary of State shall note in said record book the date of said return and the number of sets or volumes returned.
(Acts 1977, No. 352, p. 470, §6.)
The Code Commissioner may contract for the preparation and publication of a compilation or abridgment in any form or medium of those sections of the Code of Alabama relating to a specific agency, department, institution, bureau, board, commission, or subject which, in the opinion of the Legislative Council, is essential to the effective performance of the duties of the agency, department, institution, bureau, board, or commission requesting the publication. A contract for the publication of a compilation or abridgment may be entered into only after funds have been appropriated or are otherwise available to the agency, department, institution, bureau, board, or commission for the publication. The compilation may be completely indexed and may include the annotations to the sections of the code included in the compilation.
(Acts 1977, No. 352, p. 470, §7; Act 98-676, p. 1488, §1.)
There is hereby appropriated, out of the moneys in the State Treasury not otherwise appropriated, such amounts of money as are, or may be, necessary to carry out the provisions of this chapter relating to the distribution of the sets of said code to the several state and county officers, agents, and employees.
(Acts 1977, No. 352, p. 470, §8.)
This chapter shall be known as and may be cited as the “Alabama Administrative Procedure Act.”
(Acts 1981, No. 81-855, p. 1534, §1.)
(a) This chapter is intended to provide a minimum procedural code for the operation of all state agencies when they take action affecting the rights and duties of the public. Nothing in this chapter is meant to discourage agencies from adopting procedures conferring additional rights upon the public; and, save for express provisions of this act to the contrary, nothing in this chapter is meant to abrogate in whole or in part any statute prescribing procedural duties for an agency which are in addition to those provided herein.
(b)(1) The purposes of the Alabama Administrative Procedure Act are to accomplish all of the following:
a. Provide legislative oversight of powers and duties delegated to administrative agencies.
b. Increase public accountability of administrative agencies.
c. Simplify government by assuring a uniform minimum procedure to which all agencies will be held in the conduct of their most important functions.
d. Increase public access to governmental information.
e. Increase public participation in the formulation of administrative rules.
f. Increase the fairness of agencies in their conduct of contested case proceedings.
g. Simplify the process of judicial review of agency action as well as increase its ease and availability.
(2) In accomplishing its objectives, the intention of this chapter is to strike a fair balance between these purposes and the need for efficient, economical, and effective government administration.
(c) This chapter is not meant to alter the substantive rights of any person or agency. Its impact is limited to procedural rights with the expectation that better substantive results will be achieved in the everyday conduct of state government by improving the process by which those results are attained.
(d) Every state agency having express statutory authority to adopt rules shall be governed by this chapter and any additional provisions required by statute, and shall also have the authority to amend or repeal rules, and to prescribe methods and procedures required in connection therewith. Nothing in this chapter shall be construed as granting to any agency the authority to adopt rules.
(e) All agencies whose rules or administrative decisions are subject to approval by the Supreme Court of Alabama and the Department of Insurance of the State of Alabama are exempted from this chapter.
(Acts 1981, No. 81-855, p. 1534, §2; Act 2019-498, §1.)
The following words and phrases when used in this chapter shall have the meanings respectively ascribed to them in this section, except when the context otherwise requires:
(1) AGENCY. Every board, bureau, commission, department, officer, or other administrative office or unit of the state, including the Alabama Department of Environmental Management, other than the Legislature and its agencies, the Alabama State Port Authority, the courts, the Alabama Public Service Commission, or the State Banking Department, whose administrative procedures are governed by Sections 5-2A-8 and 5-2A-9. The term does not include boards of trustees of postsecondary institutions, boards of plans administered by public pension systems, counties, municipalities, or any agencies of local governmental units, unless they are expressly made subject to this chapter by general or special law.
(2) COMMITTEE. The Joint Committee on Administrative Rule Review, comprised of the members of the Legislative Council, or any successor of the Joint Committee on Administrative Rule Review.
(3) CONTESTED CASE. A proceeding, including but not restricted to ratemaking, price fixing, and licensing, in which the legal rights, duties, or privileges of a party are required by law to be determined by an agency after an opportunity for hearing. The term does not include intra-agency personnel actions; and does not include those hearings or proceedings in which the Alabama Board of Pardons and Paroles considers the granting or denial of pardons, paroles, restoration of civil and political rights, or remission of fines and forfeitures.
(4) LICENSE. The whole or part of any agency franchise, permit, certificate, approval, registration, charter, or similar form of permission required by law, but not a license required solely for revenue purposes when issuance of the license is merely a ministerial act.
(5) LICENSING. The agency process respecting the grant, denial, renewal, revocation, suspension, annulment, withdrawal, or amendment of a license or imposition of terms for the exercise of a license.
(6) PARTY. Each person or agency named or admitted as a party or properly seeking and entitled as a matter of right, whether established by constitution, statute, or agency regulation or otherwise, to be admitted as a party, or admitted as an intervenor under Section 41-22-14. The term includes any limited form of participation in agency proceedings authorized by agency rule for persons who are not eligible to become parties.
(7) PERSON. Any individual, partnership, corporation, association, governmental subdivision, or public or private organization of any character other than an agency.
(8) QUORUM. No less than a majority of the members of a multimember agency shall constitute a quorum authorized to act in the name of the agency, unless provided otherwise by statute.
(9) RULE. Each agency rule, regulation, standard, or statement of general applicability that implements, interprets, or prescribes law or policy, or that describes the organization, procedure, or practice requirements of any agency and includes any form which imposes any requirement or solicits any information not specifically required by statute or by an existing rule or by federal statute or by federal rule or regulation; provided, however, all forms shall be filed with the secretary of the agency and with the Legislative Services Agency, Legal Division, and all forms, except intergovernmental, interagency, and intra-agency forms which do not affect the rights of the public and emergency forms adopted pursuant to Section 41-22-5, shall be published in the Agency Administrative Code. The term includes the amendment or repeal of all existing rules, but does not include any of the following:
a. Statements concerning only the internal management of an agency and not affecting private rights or procedures available to the public.
b. Declaratory rulings issued pursuant to Section 41-22-11.
c. Intergovernmental, interagency, and intra-agency memoranda, directives, manuals, or other communications which do not substantially affect the legal rights of, or procedures available to, the public or any segment thereof.
d. Determinations, decisions, orders, statements of policy, and interpretations that are made in contested cases.
e. An order which is directed to a specifically named person or to a group of specifically named persons which does not constitute a general class, and the order is served on the person or persons to whom it is directed by the appropriate means applicable thereto. The fact that the named person who is being regulated serves a group of unnamed persons who will be affected does not make the order a rule.
f. An order which applies to a specifically described tract of real estate.
g. Any rules or actions relating to any of the following:
The conduct of inmates of public institutions and prisoners on parole.
The curriculum of public educational institutions or the admission, conduct, discipline, or graduation of students of the institutions; provided, however, that this exception shall not extend to rules or actions of the State Department of Education.
Opinions issued by the Attorney General of the State of Alabama.
The conduct of commissioned officers, warrant officers, and enlisted persons in the military service.
Advisory opinions issued by the Alabama Ethics Commission.
Hunting and fishing seasons or bag or creel limits adopted by the Commissioner of the Department of Conservation and Natural Resources.
h. Standards, specifications, codes, plans, manuals, and publications used in the design, construction, repair, and maintenance of highways, roads, and bridges under the jurisdiction of the Department of Transportation.
(Acts 1981, No. 81-855, p. 1534, §3; Acts 1986, No. 86-472, p. 880, §1; Act 98-508, p. 1186, §1; Act 2014-457, p. 1757, §1; Act 2019-498, §1.)
(a) In addition to the other rulemaking requirements imposed by law, each agency shall:
(1) Adopt as a rule a description of its organization, stating the general course and method of its operations and the methods whereby the public may obtain information or make submissions or requests;
(2) Adopt rules of practice setting forth the nature and requirements of all formal and informal procedures available, including a description of all forms and instructions used by the agency;
(3) Make available for public inspection and copying, at cost, all rules and all other written statements of policy or interpretations formulated, adopted, or used by the agency in the discharge of its functions;
(4) Make available for public inspection and copying, at cost, and index by name and subject all final orders, decisions, and opinions which are issued after October 1, 1982, except those expressly made confidential or privileged by statute or order of court.
(b) No agency rule, order, or decision shall be valid or effective against any person or party nor may it be invoked by the agency for any purpose until it has been made available for public inspection and indexed as required by this section and the agency has given all notices required by Section 41-22-5. This provision is not applicable in favor of any person or party who has actual knowledge thereof, and the burden of proving such knowledge shall be on the agency.
(Acts 1981, No. 81-855, p. 1534, §4.)
(a) Prior to the adoption, amendment, or repeal of any rule, the agency shall:
(1) Give at least 35 days’ notice of its intended action. Date of publication in the Alabama Administrative Monthly shall constitute the date of notice. In addition to the other requirements of this chapter, the notice shall state whether the proposed adoption, amendment, or repeal of the rule relates to or affects in any manner any litigation which the agency is a party to concerning the subject matter of the proposed rule. The notice shall include a statement of either the terms or substance of the intended action or a description of the subjects and issues involved, shall specify a notice period ending not less than 35 days or more than 90 days from the date of the notice, during which period interested persons may present their views, and shall specify the place where, and the manner in which, interested persons may present their views. The notice shall be given to the chair of the committee, as provided in Section 41-22-23, and mailed to all persons who pay the cost of the mailing and who have made timely request of the agency for advance notice of its rulemaking proceedings and shall be published, prior to any action, in the Alabama Administrative Monthly. A complete copy of the proposed rule shall be filed with the secretary of the agency and the Legislative Services Agency, Legal Division.
(2) Afford all interested persons reasonable opportunity to submit data, views, or arguments, orally or in writing. The agency shall consider fully all written and oral submissions respecting the proposed rule. Upon adoption of a rule, the agency, if conflicting views are submitted on the proposed rule, shall issue a concise statement of the principal reasons for and against its adoption, incorporating therein its reasons for overruling any considerations urged against its adoption.
(b)(1) Notwithstanding any other provision of this chapter to the contrary, if an agency finds that an immediate danger to the public health, safety, or welfare requires adoption of a rule upon fewer than 35 days’ notice or that action is required by or to comply with a federal statute or regulation which requires adoption of a rule upon fewer than 35 days’ notice and states in writing its reasons for that finding to the committee, the agency may proceed without prior notice or hearing or upon any abbreviated notice and hearing that it finds practicable, to adopt an emergency rule. The rule shall become effective immediately, unless otherwise stated in the rule, upon the filing of the rule and a copy of the written statement of the reasons therefor with the Legislative Services Agency, Legal Division, and the secretary of the agency. The rule may be effective for a period of not longer than 120 days and shall not be renewable.
(2) An agency shall not adopt the same or a substantially similar emergency rule within one calendar year from its first adoption unless the agency clearly establishes it could not reasonably be foreseen during the initial 120-day period that such emergency would continue or would likely reoccur during the next nine months. The adoption of the same or a substantially similar rule by normal rulemaking procedures is not precluded. In any subsequent action contesting the effective date of a rule adopted pursuant to this subsection, the burden of proof shall be on the agency to justify its finding.
(3) Prior to indexing and publication, the agency shall make reasonable efforts to apprise the persons who may be affected by its rules of the adoption of the emergency rule. An emergency rule shall be strictly construed and shall not be valid except to the extent necessary to prevent, mitigate, or resolve immediate danger to the public health, safety, or welfare.
(c) It is the intent of this section to establish basic minimum procedural requirements for the adoption, amendment, or repeal of administrative rules. Except for emergency rules which are provided for in subsection (b), this section is applicable to the exercise of any rulemaking authority conferred by any statute, but nothing in this section repeals or diminishes additional requirements imposed by law or diminishes or repeals any summary power granted by law to the state or any agency thereof.
(d) No rule adopted after October 1, 1982, is valid unless adopted in substantial compliance with this section. A proceeding to contest any rule on the ground of noncompliance with the procedural requirements of this section must be commenced within two years from the effective date of the rule; provided, however, that a proceeding to contest a rule based on failure to provide notice as required in this section may be commenced at any time.
(Acts 1981, No. 81-855, p. 1534, §5; Acts 1993, No. 93-627, p. 1051, §1; Act 2015-291, p. 896, §1; Act 2018-139, §1; Act 2019-498, §1.)
(a) This section and Section 41-22-5.2 shall be known and may be cited as “The Red Tape Reduction Act.”
(b) When an agency files a notice of intent to adopt, amend, or repeal any rule, the agency shall make its best efforts to notify the public of the proposed rule. At a minimum, when the agency files the notice of intent, the agency shall post the text of the rule the agency proposes to adopt, amend, or repeal on its website or, if the agency has no website, on a website operated or maintained by the executive branch. Additionally, when the agency files a notice of intent to adopt, amend, or repeal a rule, the agency shall electronically notify any person who has registered with the agency his or her desire to receive notification of any proposal by the agency to adopt, amend, or repeal a rule.
(c) If, prior to the end of the notice period, a business notifies an agency that it will be negatively impacted by an action proposed under subsection (b), the agency shall prepare and submit to the committee the information provided by the affected business as well as a business impact analysis of the proposed action. The analysis shall estimate the number of businesses subject to the agency’s proposal as well as the projected reporting, recordkeeping, and other administrative costs required for compliance with the proposal. An agency shall prepare the business impact analysis using information available to the agency in the normal course of business and utilizing the expertise and experience of existing agency employees.
(d) After receiving a business impact analysis from an agency, the committee may require the agency to analyze and report to the committee the feasibility of some or all of the following methods of reducing the impact of the rule on businesses:
(1) The establishment of less stringent compliance or reporting requirements for businesses.
(2) The establishment of less stringent schedules or deadlines for compliance or reporting requirements for businesses.
(3) The consolidation or simplification of compliance or reporting requirements for businesses.
(4) The establishment of performance standards for businesses to replace design or operational standards required in the rule.
(e) The agency shall state in the business impact analysis whether the proposed rule is proposed as a result of a requirement issued by a federal agency. If so, the agency shall submit information identifying the specific requirement issued by the federal agency.
(f) A business impact analysis required to be filed pursuant to this section shall be filed with the Legislative Services Agency, Legal Division, at the same time as the certified rule is filed and shall be available for public inspection.
(g) Each agency that files a business impact analysis, at the time it is filed, shall place that statement on its website in a location that is easily accessible by the general public, or, if the agency does not have a website, on a website operated or maintained by the executive branch.
(h) If the committee determines that an agency or a division of an agency exists primarily to perform certification or licensing-related functions, the agency is not required to comply with this section unless the committee determines in writing that an agency’s proposal has such a negative impact on businesses that the filing of a business impact analysis is warranted. Notwithstanding subsection (c) of Section 41-22-6, which provides that a rule is effective 45 days after notice that the agency filed the certified rule with the Legislative Services Agency, Legal Division, is published in the Alabama Administrative Monthly, in any case in which the committee determines that the filing of a business impact analysis is warranted as provided in this section, the effective date of the rule shall be 45 additional days after the effective date specified in subsection (c) of Section 41-22-6. In all other respects, the remainder of this chapter shall continue to apply to the proposed rule.
(i) An agency or department shall fulfill any request for license or permit within 28 calendar days after receiving the application or notify the applicant of the reason for failure to issue the license or permit.
(j) An agency is not required to comply with this section if the proposed rule is being adopted in order for the agency to comply with membership requirements in a multi-state or national membership organization.
(k) This section shall not apply to the adoption of an emergency rule adopted pursuant to subsection (b) of Section 41-22-5.
(Act 2013-88, p. 188, §§1, 2; Act 2015-291, p. 896, §1; Act 2019-498, §1.)
(a) Within five years of July 1, 2013, each agency shall review all agency rules existing on that date to determine whether the rules should be continued without change, or should be amended or rescinded. The agency may indicate compliance with the requirements of this section by filing a notice in the Alabama Administrative Monthly certifying its compliance. If the head of the agency determines that completion of the review of existing rules is not feasible by the established date, the agency shall publish a statement certifying that determination.
(b) A rule adopted after July 1, 2013, shall be reviewed every five years in a manner consistent with subsection (a).
(Act 2013-88, p. 188, §2; Act 2019-498, §1.)
(a) For purposes of this section, the following terms have the following meanings:
(1) AGENCY. The term as defined in Section 41-22-3.
(2) BEST AVAILABLE SCIENCE. Science that:
a. Is reliable, unbiased, subject to independent verification, and applies to the agency’s rule;
b. Maximizes the quality, objectivity, relevance, completeness, and integrity of information, including statistical information; human, animal, and other relevant scientific studies; and, if applicable, human health risk-based assessments; and
c. Involves the use of scientifically defensible and quality-assured supporting studies conducted in accordance with generally accepted scientific or technical practices utilizing data collected by generally accepted methods or best available methods and that are:
Site-specific studies, including area-wide or statewide studies;
Studies published in a refereed journal; or
External peer-reviewed studies contained in a federal government report published for a purpose other than development of a rule.
(3) GENERALLY ACCEPTED SCIENTIFIC OR TECHNICAL PRACTICES. Scientific methods, principles, or protocols that:
a. Are broadly acknowledged and routinely applied by the relevant scientific community;
b. Are consistent with refereed journal literature or established technical standards; and
c. Have been tested for reliability and validity.
(4) MANIFEST BODILY HARM. A physical disease or injury that is:
a. Presently existing and diagnosable;
b. Not based solely on the presence or detection of a substance in the human body; and
c. Not based solely on an increased risk of disease.
(5) REFEREED JOURNAL. A publication that:
a. Uses an editorial board or critical review panel of subject matter experts in the relevant scientific or technical disciplines who critically and objectively assess the methodology and analysis of submitted scientific studies in a nonpartisan fashion and provides editorial services prior to publication; and
b. Takes meaningful steps to avoid biases in the publication’s scientific review process.
(6) WEIGHT OF SCIENTIFIC EVIDENCE. An approach to scientific evaluation in which each piece of relevant information is considered based on its quality and relevance, which, at a minimum, includes consideration of study design, fitness for purpose, replicability, peer review, and transparency and reliability of data; and the information is transparently integrated with other relevant information to inform the scientific evaluation prior to making a judgment about the scientific evaluation.
(b) An agency may not adopt a new rule or amend an existing rule that establishes new or changes existing numeric criteria or numeric limitations applicable to a chemical substance, mixture, contaminant, pollutant, hazardous substance, solid waste, hazardous constituent, or hazardous waste that relates to drinking water, water pollution control, hazardous substances, contaminated site remediation, air quality, solid waste handling, or hazardous waste handling if the new rule or amendment would result in criteria or limitations that are more stringent or extensive in scope, coverage, or effect than any federal law or regulation setting a standard regarding the same or a substantially similar topic.
(c) Notwithstanding subsection (b), if there is no federal law or regulation establishing a standard regarding the same or a substantially similar topic, an agency may not adopt a new rule or amend an existing rule that establishes numeric criteria or numeric limitations applicable to a chemical substance, mixture, contaminant, pollutant, hazardous substance, solid waste, hazardous constituent, or hazardous waste that relates to drinking water, water pollution control, hazardous substances, contaminated site remediation, air quality, solid waste handling, or hazardous waste handling unless, for each individual chemical substance, mixture, contaminant, pollutant, hazardous substance, solid waste, hazardous constituent, or hazardous waste to which the rule applies, the scientific and technical information relied on to support the standard established by the rule is based on the best available science and the weight of scientific evidence.
(d)(1) For any rule adopted pursuant to subsection (c) to protect human health, safety, or welfare, the best available science and the weight of scientific evidence shall establish a direct causal link between exposure at or above the numeric criteria or numeric limitations provided by the rule and manifest bodily harm in humans, based on generally accepted scientific or technical practices.
(2) In the absence of data from voluntary scientific studies on humans, best available science and the weight of scientific evidence may be based on tests performed on experimental animal species or human and animal cells establishing a direct causal link, based on generally accepted scientific or technical practices, between exposure at or above the numeric criteria or numeric limitations provided by the rule and manifest bodily harm in humans, provided that the harm may be extrapolated to humans based on the best available science and the weight of scientific evidence.
(e)(1) No agency shall establish as the default or be required to use values from the United States Environmental Protection Agency’s Integrated Risk Information System in the development of numeric water quality criteria.
(2) An agency that has adopted a rule establishing use of the United States Environmental Protection Agency’s Integrated Risk Information System as the default in any numeric water quality criteria shall revise all rules to comply with this subsection not later than November 19, 2026.
(f) This section does not apply to any of the following:
(1) A rule that is required by federal law or regulation, including a rule adopted to comply with, and in furtherance of, federal agency authorization or primacy requirements, so long as an agency does not have discretion or flexibility under some or all of the federal requirements or authorization.
(2) A rule that is less stringent or extensive in scope, coverage, or effect than any federal law or regulation setting a standard regarding the same or a substantially similar topic or that is substantively equivalent to a federal law or regulation.
(3) A rule that would repeal or modify an existing rule to be less stringent or extensive in scope, coverage, or effect.
(4) An emergency rule adopted pursuant to Section 41-22-5.
(Act 2026-81, §1.)
(a) Each agency shall have an officer designated as its secretary and shall file in the office of the secretary of the agency a certified copy of each rule adopted by it, including all rules existing on October 1, 1981. Each rule adopted, whether the original or a revision, and all copies thereof, shall have the name or names of the author or authors, respectively, on its face. The secretary of the agency shall keep a permanent register of the rules open to public inspection.
(b) The secretary of each agency shall file in the office of the Legislative Services Agency, Legal Division, no later than 15 days after the filing with the secretary of the agency and within 90 days after completion of the notice, in a form and manner prescribed by the Legislative Services Agency, Legal Division, a certified copy of each rule adopted by it. If the agency was required to prepare a business impact analysis pursuant to subsection (c) of Section 41-22-5.1, the agency shall file the business impact analysis at the same time as the certified rule. As used in this section, “completion of notice” means the end of the notice period specified pursuant to subdivision (1) of subsection (a) of Section 41-22-5. A rule that is not filed with the Legislative Services Agency, Legal Division, within the time limits prescribed in this subsection is invalid. If the agency was required to prepare a business impact analysis and either fails to prepare the analysis or fails to file a copy of the analysis with the certified rule within the time limits specified in this section, the rule is invalid. The Legislative Services Agency, Legal Division, shall keep a permanent register of the rules open to public inspection.
(c) Each rule adopted is effective 45 days after a notice is published in the Alabama Administrative Monthly that the certified rule and, if required pursuant to subsection (c) of Section 41-22-5.1, the business impact analysis, has been filed with the Legislative Services Agency, Legal Division, unless it is any of the following:
(1) A rule for which a later date is required by statute or specified in the rule.
(2) A rule for which an earlier date is required by statute.
(3) An emergency rule adopted pursuant to subsection (b) of Section 41-22-5.
(4) A rule which the committee disapproves of or proposes an amendment for pursuant to Section 41-22-23.
(5) A rule that takes effect upon adjournment of the next legislative session following the completion of the appeal process as set forth in Section 41-22-23, if the Legislature fails to take action to disapprove the rule after approval by the Lieutenant Governor.
(d) The Legislative Services Agency, Legal Division, shall publish notice that a certified rule has been filed in its office no later than the next month after the certified rule is filed.
(Acts 1981, No. 81-855, p. 1534, §6; Acts 1986, No. 86-472, p. 880, §1; Acts 1993, No. 93-627, p. 1051, §1; Act 2015-291, p. 896, §1; Act 2019-498, §1.)
(a) The secretary of an agency shall establish and maintain an official register of rules which shall be compiled, indexed, published in loose-leaf form, electronic form, or both, and kept up to date by the secretary of the agency. This register of rules shall be known as “The (name of the agency) Administrative Code,” and it shall be made available, upon request, at cost to all persons for copying and inspection and to those persons who subscribe to the register. Supplementation shall be made as often as is practicable, but at least once every year. The secretary of an agency shall number and renumber rules to conform with a uniform numbering system devised by the Legislative Services Agency, Legal Division.
(b) The secretary of an agency may omit from its administrative code rules that are general in form, but are applicable to only one county or a part thereof. Rules so omitted shall be filed with the secretary, and exclusion from publication shall not affect their validity or effectiveness. The secretary shall publish a compilation of and index to all rules so omitted at least annually.
(c) The secretary of an agency shall make copies of the agency’s administrative code available on an annual subscription basis, at cost.
(d) The secretary of an agency shall file with the Legislative Services Agency, Legal Division, not later than 15 days after filing with the secretary, all rules or amendments or repeal of rules adopted by the agency. In addition, the secretaries of the Alabama Public Service Commission and the Alabama State Port Authority, respectively, shall file with the Legislative Services Agency, Legal Division, not later than 15 days after filing with the secretary, all rules or amendments or repeal of rules adopted by the commission or authority.
(e) The Legislative Services Agency, Legal Division, shall establish and maintain an official register of rules which shall be compiled, indexed, published on the Internet, and kept up to date by the Legislative Services Agency, Legal Division. The register of rules shall be known as the Alabama Administrative Code and shall be made available to the public in electronic format. Supplementation shall be made as soon as is practicable following the effective date of each addition, amendment, or repeal of a rule. The Legislative Services Agency, Legal Division, shall devise a uniform numbering system for rules and may renumber rules before publication to conform with the system.
(f) The Legislative Services Agency, Legal Division, shall publish a monthly bulletin entitled the Alabama Administrative Monthly, which shall contain a statement of either the terms or substance of all rules filed during the preceding month, excluding rules in effect on October 1, 1982, together with other material required by law and such other material the agency or committee determines to be of general interest. The Legislative Services Agency shall publish the Alabama Administrative Monthly on the Internet on a website available to the general public for viewing at no subscription cost.
(g) The Legislative Services Agency, Legal Division, may omit from the Alabama Administrative Monthly and the Alabama Administrative Code rules that are general in form, but are applicable to only one county or a part thereof. Rules so omitted shall be filed with the Legislative Services Agency, Legal Division, and exclusion from publication shall not affect their validity or effectiveness. The Legislative Services Agency, Legal Division, shall publish a compilation of, and index to, all rules so omitted at least annually.
(h) The Legislative Services Agency, Legal Division, shall make copies of the Alabama Administrative Code and copies of the Alabama Administrative Monthly available on the Internet.
(i) The Legislative Services Agency, Legal Division, shall charge each agency using the Alabama Administrative Monthly a space rate computed to cover all publishing costs related to the Alabama Administrative Monthly and shall charge each agency a per page rate for each page published in the Alabama Administrative Code to cover costs incurred by the Legislative Services Agency, Legal Division, in publishing the Alabama Administrative Code.
(Acts 1981, No. 81-855, p. 1534, §7; Act 2003-192, 2003 1st Sp. Sess., p. 510, §1; Act 2019-498, §1; Act 2021-176, §1.)
Each agency shall prescribe by rule the form for petition requesting the adoption, amendment, or repeal of a rule and the procedure for submission, consideration, and disposition thereof. Within 60 days after submission of a petition, the agency either shall deny the petition in writing on the merits, stating its reasons for the denial, or initiate rule-making proceedings in accordance with Section 41-22-5; provided, however, an agency that has its next regularly scheduled meeting beyond the 60-day period, may by written notice extend the period for not more than 30 days during which it shall deny or initiate rule-making proceedings.
(Acts 1981, No. 81-855, p. 1534, §8; Acts 1986, No. 86-472, p. 880, §1; Act 2019-498, §1.)
An agency may adopt, by reference in its rules and without publishing the adopted matter in full, all or any part of a code, standard or regulation which has been adopted by any other agency of this state or any agency of the United States or by a generally recognized organization or association approved by the joint committee administrative regulation review. The reference shall fully identify the adopted matter by date and otherwise. The agency shall have available copies of the adopted matter for inspection and the rules shall state where copies of the adopted matter can be obtained and any charge therefor as of the time the rule is adopted.
(Acts 1981, No. 81-855, p. 1534, §9.)
The validity or applicability of a rule may be determined in an action for a declaratory judgment or its enforcement stayed by injunctive relief in the circuit court of Montgomery County, unless otherwise specifically provided by statute, if the court finds that the rule, or its threatened application, interferes with or impairs, or threatens to interfere with or impair, the legal rights or privileges of the plaintiff. The agency shall be made a party to the action. In passing on such rules the court shall declare the rule invalid only if it finds that it violates constitutional provisions or exceeds the statutory authority of the agency or was adopted without substantial compliance with rule-making procedures provided for in this chapter.
(Acts 1981, No. 81-855, p. 1534, §10.)
(a) On the petition of any person substantially affected by a rule, an agency may issue a declaratory ruling with respect to the validity of the rule or with respect to the applicability to any person, property, or state of facts of any rule or statute enforceable by it or with respect to the meaning and scope of any order of the agency. The petition seeking an administrative determination under this section shall be in writing and shall state with particularity facts sufficient to show the person seeking relief is substantially affected by the rule. Each agency shall prescribe by rule the form of such petitions and the procedure for their submission, consideration, and disposition, and shall prescribe in its rules the circumstances in which rulings shall or shall not be issued.
(b) A declaratory ruling is binding on the agency and the person requesting it unless it is altered or set aside by a court in a proper proceeding. Such rulings are subject to review in the Circuit Court of Montgomery County, unless otherwise specifically provided by the statute, in the manner provided in Section 41-22-20 for the review of decisions in contested cases. Failure of the agency to issue a declaratory ruling on the merits within 45 days of the request for such ruling shall constitute a denial of the request as well as a denial of the merits of the request and shall be subject to judicial review.
(Acts 1981, No. 81-855, p. 1534, §11; Acts 1986, No. 86-472, p. 880, §1.)
(a) In a contested case, all parties shall be afforded an opportunity for hearing after reasonable notice in writing delivered either by personal service as in civil actions or by certified mail, return receipt requested. However, an agency may provide by rule for the delivery of such notice by other means, including, where permitted by existing statute, delivery by first class mail, postage prepaid, to be effective upon the deposit of the notice in the mail. Delivery of the notice referred to in this subsection shall constitute commencement of the contested case proceeding.
(b) The notice shall include:
(1) A statement of the time, place, and nature of the hearing;
(2) A statement of the legal authority and jurisdiction under which the hearing is to be held;
(3) A reference to the particular sections of the statutes and rules involved; and
(4) A short and plain statement of the matters asserted. If the agency or other party is unable to state the matters in detail at the time the notice is served, the initial notice may be limited to a statement of the issues involved. Thereafter, upon application, a more definite and detailed statement shall be furnished.
(c) In a contested case, on motion of a party, the presiding officer conducting the hearing may issue subpoenas, discovery orders related to relevant matters, and protective orders in accordance with the rules of civil procedure. The agency may set a reasonable fee by rule for the issuance of a subpoena to be paid by the moving party. Process issued pursuant to this subsection shall be enforced by a court in the same manner as process issued by the court. This subsection shall not apply to proceedings before the State Ethics Commission.
(d) If a party fails to appear in a contested case proceeding after proper service of notice, the presiding officer may, if no adjournment is granted, proceed with the hearing and make a decision in the absence of the party.
(e) Opportunity shall be afforded all parties to respond and present evidence and argument on all material issues involved and to be represented by counsel at their own expense. Provided, where the statutory determinative process is a multi-level or multi-step procedure, the opportunity to present evidence need be afforded the parties at only one level or step in the determination process, unless otherwise provided by statute establishing such determination process.
(f) Unless precluded by statute, informal dispositions may be made of any contested case by stipulation, agreed settlement, consent order, or default or by another method agreed upon by the parties in writing.
(g) The record in a contested case shall include:
(1) All pleadings, motions, and intermediate rulings;
(2) All evidence received or considered and all other submissions; provided, in the event that evidence in any proceeding may contain proprietary and confidential information, steps shall be taken to prevent public disclosure of that information;
(3) A statement of all matters officially noticed;
(4) All questions and offers of proof, objections, and rulings thereon;
(5) All proposed findings and exceptions;
(6) Any decision, opinion, or report by the hearing officer at the hearing; and
(7) All staff memoranda or data submitted to the hearing officer or members of the agency in connection with their consideration of the case unless such memoranda or data is protected as confidential or privileged; provided, if such memoranda or data contains information of a proprietary and confidential nature, it shall be protected by the agency from public disclosure.
(h) Oral proceedings shall be open to the public, unless private hearings are otherwise authorized by law. Oral proceedings shall be recorded either by mechanized means or by qualified shorthand reporters. Oral proceedings or any part thereof shall be transcribed at the request of any party with the expense of the transcription charged to the requesting party. The recording or stenographic notes of oral proceedings or the transcription thereof shall be filed with and maintained by the agency for at least five years from the date of decision and shall be made available for inspection by the public, except in those cases where private hearings are authorized by law, or where the proceedings shall be ordered sealed by order of court, or are required to be sealed by statute.
(i) Findings of fact shall be based solely on the evidence in the record and on matters officially noticed in the record.
(Acts 1981, No. 81-855, p. 1534, §12; Acts 1986, No. 86-472, p. 880, §1; Acts 1993, No. 93-627, p. 1051, §1.)
In contested cases:
(1) The rules of evidence as applied in nonjury civil cases in the circuit courts of this state shall be followed. When necessary to ascertain facts not reasonably susceptible of proof under those rules, evidence not admissible thereunder may be admitted (except where precluded by statute) if it is of a type commonly relied upon by reasonably prudent persons in the conduct of their affairs. Agencies shall give effect to the rules of privilege recognized by law. Except as hereinafter provided, objections to evidentiary offers may be made and shall be noted in the record. Whenever any evidence is excluded as inadmissible, all such evidence existing in written form shall remain a part of the record as an offer of proof. The party seeking the admission of oral testimony may make an offer of proof by means of a brief statement on the record describing the testimony excluded. All rulings on the admissibility of evidence shall be final and shall appear in the record. Subject to these requirements, when a hearing will be expedited and interests of the parties will not be prejudiced substantially, any part of the evidence may be received or may be required to be submitted in verified form; provided, the adversary party shall not be denied the right of cross-examination of the witness. The testimony of parties and witnesses shall be made under oath. Provided, however, in the hearing of a contested case where judicial review of the case is by trial de novo, the agency may announce that it shall not be necessary that objections be made during the hearing and upon such announcement, it shall not be required or necessary that objection to be made to any testimony or evidence which may be offered by either party, and on the consideration of such cases the agency shall consider only such testimony and evidence as is relevant, material, competent, and legal, and shall not consider any testimony or evidence which is irrelevant, immaterial, incompetent, or illegal, whether objection shall have been made thereto or not, and whether such testimony be brought out on direct, cross, or re-direct examination, or is hearsay. The agency shall not be required to point out what testimony or evidence should be excluded or not considered. Either party, on submission, shall have the privilege of calling attention to any testimony or evidence which is deemed objectionable. If specific objection be made to any evidence and a ruling made thereon by the agency, this exception shall not apply to such evidence.
(2) Documentary evidence otherwise admissible may be received in the form of copies or excerpts, or by incorporation by reference to material already on file with the agency. Upon request, parties shall be given an opportunity to compare the copy with the original.
(3) A party may conduct cross-examination required for a full and true disclosure of the facts, except as may otherwise be limited by law.
(4) Official notice may be taken of all facts of which judicial notice may be taken and of other scientific and technical facts within the specialized knowledge of the agency. Parties shall be notified at the earliest practicable time, either before or during the hearing, or by reference in preliminary reports, preliminary decisions, or otherwise, of the facts proposed to be noticed and their source, including any staff memoranda or data, and the parties shall be afforded an opportunity to contest such facts before the decision is announced unless the agency determines as part of the record or decision that fairness to the parties does not require an opportunity to contest such facts.
(5) The experience, technical competence, and specialized knowledge of the agency may be utilized in the evaluation of the evidence.
(Acts 1981, No. 81-855, p. 1534, §13; Acts 1986, No. 86-472, p. 880, §1.)
In contested cases, upon timely application, any person shall be permitted to intervene when a statute confers an unconditional right to intervene, or when the applicant has an individual interest in the outcome of the case as distinguished from a public interest and the representation of the interest of the applicant is inadequate.
(Acts 1981, No. 81-855, p. 1534, §14.)
In a contested case, a majority of the officials of the agency who are to render the final order must be in accord for the decision of the agency to be a final decision. If any official of the agency who is to participate in the final decision has not heard the case or read the record and his or her vote would affect the final decision, the final decision shall not be made until a proposed order is prepared and an opportunity is afforded to each party adversely affected by the proposed order to file exceptions and present briefs and oral argument to the official not having heard the case or read the record. The proposed order shall contain a statement of the reasons therefor and of each issue of fact or law necessary to the proposed decision prepared by the person who conducted the hearing or one who read the record. The proposed order shall become the final decision of the agency without further proceedings, unless there are exceptions filed or an appeal to the agency within the time provided by rule. The parties by written stipulation may waive compliance with this section.
(Acts 1981, No. 81-855, p. 1534, §15.)
(a) The final order in a proceeding which affects substantial interests shall be in writing and made a part of the record and include findings of fact and conclusions of law separately stated, and it shall be rendered within 30 days:
(1) After the hearing is concluded, if conducted by the agency;
(2) After a recommended order, or findings and conclusions are submitted to the agency and mailed to all parties, if the hearing is conducted by a hearing officer; or
(3) After the agency has received the written and oral material it has authorized to be submitted, if there has been no hearing. The 30 day period may be waived or extended with the consent of all parties and may be extended by law with reference to specific agencies.
(b) Findings of fact, if set forth in a manner which is no more than mere tracking of the statutory language, shall be accompanied by a concise and explicit statement of the underlying facts of record which support the findings. If, in accordance with agency rules, a party submitted proposed findings of fact or filed any written application or other request in connection with the proceeding, the order shall include a ruling upon each proposed finding and a brief statement of the grounds for denying the application or request.
(c) If an agency head finds that an immediate danger to the public health, safety, or welfare requires an immediate final order, it shall recite with particularity the facts underlying such findings in the final order, which shall be appealable or enjoinable from the date rendered.
(d) Parties shall be notified either personally or by certified mail return receipt requested of any order and, unless waived, a copy of the final order shall be so delivered or mailed to each party or to his or her attorney of record. Provided, however, that, except as hereinafter provided, notification of any order other than a final decision or order subject to judicial review may, where permitted by existing statute, be delivered by first class mail, postage prepaid, and delivery shall be effective upon deposit of the notice and, unless waived, the final order in the mail; provided, the notification of the final order subject to judicial review, together with a copy of the final order, shall be delivered either by personal service as in civil actions or by certified mail, return receipt requested.
(Acts 1981, No. 81-855, p. 1534, §16; Acts 1986, No. 86-472, p. 880, §1.)
(a) Any party to a contested case who deems himself or herself aggrieved by a final order and who desires to have the same modified or set aside may, within 15 days after entry of said order, file an application for rehearing, which shall specify in detail the grounds for the relief sought therein and authorities in support thereof.
(b) The filing of such an application for rehearing shall not extend, modify, suspend, or delay the effective date of the order, and said order shall take effect on the date fixed by the agency and shall continue in effect unless and until said application shall be granted or until said order shall be superseded, modified, or set aside in a manner provided by law.
(c) Such application for rehearing will lie only if the final order is:
(1) In violation of constitutional or statutory provisions;
(2) In excess of the statutory authority of the agency;
(3) In violation of an agency rule;
(4) Made upon unlawful procedure;
(5) Affected by other error of law;
(6) Clearly erroneous in view of the reliable, probative, and substantial evidence on the whole record; or
(7) Unreasonable, arbitrary or capricious or characterized by an abuse of discretion or a clearly unwarranted exercise of discretion.
(d) Copies of such application for rehearing shall be served on all parties of record, who may file replies thereto.
(e) Within 30 days from the filing of an application the agency may in its discretion enter an order:
If the agency enters no order whatsoever regarding the application within the 30-day period, the application shall be deemed to have been denied as of the expiration of the 30-day period.
(Acts 1981, No. 81-855, p. 1534, §17.)
(a) No individual who participates in the making of any proposed order or final decision in a contested case shall have prosecuted or represented a party in connection with that case, the specific controversy underlying that case, or another pending factually related contested case, or pending factually related controversy that may culminate in a contested case involving the same parties. Nor shall any such individual be subject to the authority, direction, or discretion of any person who has prosecuted or advocated in connection with that contested case, the specific controversy underlying that contested case, or a pending factually related contested case or controversy, involving the same parties.
(b) A party to a contested case proceeding may file a timely and sufficient affidavit asserting disqualification according to the provisions of subsection (a) or asserting personal bias of an individual participating in the making of any proposed order or final decision in that case. The agency shall determine the matter as part of the record in the case. When an agency in these circumstances makes such a determination with respect to an agency member, that determination shall be subject to de novo judicial review in any subsequent review proceeding of the case.
(Acts 1981, No. 81-855, p. 1534, §18.)
(a) The provisions of this chapter concerning contested cases shall apply to the grant, denial, revocation, suspension, or renewal of a license.
(b) When a licensee has made timely and sufficient application for the renewal of a license or a new license with reference to any activity of a continuing nature, the existing license does not expire until the application has been finally determined by the agency, and, in case the application is denied or the terms of the new license limited, until the last day for seeking review of the agency order or a later date fixed by order of the reviewing court.
(c) No revocation, suspension, or withdrawal of any license is lawful unless, prior to the institution of agency proceedings, the agency gave notice by certified mail to the licensee of facts or conduct which warrant the intended action, and the licensee was given an opportunity to show compliance with all lawful requirements for the retention of the license.
(d) If the agency finds that danger to the public health, safety, or welfare requires emergency suspension of a license and states in writing its reasons for that finding, it may proceed without hearing or upon any abbreviated hearing that it finds practicable to suspend the license. The suspension shall become effective immediately, unless otherwise stated therein. The suspension may be effective for a period of not longer than 120 days and shall not be renewable. An agency shall not suspend the same license for the same or a substantially similar emergency within one calendar year from its first suspension unless the agency clearly establishes that it could not reasonably be foreseen during the initial 120-day period that such emergency would continue or would likely reoccur during the next nine months. When such summary suspension is ordered, a formal suspension or revocation proceeding under subsection (c) of this section shall also be promptly instituted and acted upon.
(Acts 1981, No. 81-855, p. 1534, §19.)
THIS SECTION WAS AMENDED BY ACT 2026-319, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR AMENDED LANGUAGE.
(a) A person who has exhausted all administrative remedies available within the agency, other than rehearing, and who is aggrieved by a final decision in a contested case is entitled to judicial review under this chapter. A preliminary, procedural, or intermediate agency action or ruling is immediately reviewable if review of the final agency decision would not provide an adequate remedy.
(b) All proceedings for review may be instituted by filing of notice of appeal or review and a cost bond with the agency to cover the reasonable costs of preparing the transcript of the proceeding under review, unless waived by the agency or the court on a showing of substantial hardship. A petition shall be filed either in the Circuit Court of Montgomery County or in the circuit court of the county in which the agency maintains its headquarters, or unless otherwise specifically provided by statute, in the circuit court of the county where a party other than an intervenor, resides or if a party, other than an intervenor, is a corporation, domestic or foreign, having a registered office or business office in this state, then in the county of the registered office or principal place of business within this state.
(c) The filing of the notice of appeal or the petition does not itself stay enforcement of the agency decision. If the agency decision has the effect of suspending or revoking a license, a stay or supersedeas shall be granted as a matter of right upon such conditions as are reasonable, unless the reviewing court, upon petition of the agency, determines that a stay or supersedeas would constitute a probable danger to the public health, safety, or welfare. In all other cases, the agency may grant, or the reviewing court may order, a stay upon appropriate terms, but, in any event, the order shall specify the conditions upon which the stay or supersedeas is granted; provided, however, if the appeal or proceedings for review to any reviewing court is from an order of the agency increasing or reducing or refusing to increase rates, fares, or charges, or any of them, or any schedule or parts of any schedule of rates, fares, or charges, the reviewing court shall not direct or order a supersedeas or stay of the action or order to be reviewed without requiring, as a condition precedent to the granting of such supersedeas, that the party applying for supersedeas or stay shall execute and file with the clerk of the court a bond as provided for and required by statute or law. If the circuit court shall fail or refuse to grant supersedeas or stay, the party seeking such relief may petition the appropriate court to which the appeal or review lies to order a supersedeas or stay of the action or order of the agency from which review is sought. After the required bond shall have been filed and approved by the clerk, such agency order shall be stayed and superseded, and it shall be lawful to charge the rates, fares, or charges which have been reduced, refused, or denied by the agency order, until the final disposition of the cause. The provisions of this subsection shall apply when applicable, anything in Rule 60 of the Alabama Rules of Civil Procedure restricting the provisions of this subsection to the contrary notwithstanding.
(d) The notice of appeal or review shall be filed within 30 days after the receipt of the notice of or other service of the final decision of the agency upon the petitioner or, if a rehearing is requested under Section 41-22-17, within 30 days after the receipt of the notice of or other service of the decision of the agency thereon. The petition for judicial review in the circuit court shall be filed within 30 days after the filing of the notice of appeal or review. Copies of the petition shall be served upon the agency and all parties of record. Any person aggrieved who is not a party may petition to become a party by filing a motion to intervene as provided in Section 41-22-14. Failure to file such petition within the time stated shall operate as a waiver of the right of such person to review under this chapter, except that for good cause shown, the judge of the reviewing court may extend the time for filing, not to exceed an additional 30 days, or, within four months after the issuance of the agency order, issue an order permitting a review of the agency decision under this chapter notwithstanding such waiver. Any notice required herein which is mailed by the petitioner, certified mail return receipt requested, shall be deemed to have been filed as of the date it is postmarked. This section shall apply to judicial review from the final order or action of all agencies, and amends the judicial review statutes relating to all agencies to provide a period of 30 days within which to appeal or to institute judicial review.
(e) If there has been no hearing prior to agency action and the reviewing court finds that the validity of the action depends upon disputed facts, the court shall order the agency to conduct a prompt fact-finding proceeding under this chapter after having a reasonable opportunity to reconsider its determination on the record of the proceedings.
(f) Unreasonable delay on the part of an agency in reaching a final decision shall be justification for any person whose rights, duties, or privileges are adversely affected by such delay to seek a court order compelling action by the agency.
(g) Within 30 days after receipt of the notice of appeal or within such additional time as the court may allow, the agency shall transmit to the reviewing court the original or a certified copy of the entire record and transcript of the proceedings under review. With the permission of the court, the record of the proceedings under review may be shortened by stipulation of all parties to the review proceedings. Any party found by the reviewing court to have unreasonably refused to stipulate to limit the record may be taxed by the court for such additional costs as may be occasioned by the refusal. The court may require or permit subsequent corrections or additions to the record when deemed desirable.
(h) The petition for review shall name the agency as respondent and shall contain a concise statement of:
(1) The nature of the agency action which is the subject of the petition;
(2) The particular agency action appealed from;
(3) The facts and law on which jurisdiction and venue are based;
(4) The grounds on which relief is sought; and
(5) The relief sought.
(i) In proceedings for judicial review of agency action in a contested case, except where appeal or judicial review is by a trial de novo, a reviewing court shall not itself hear or accept any further evidence with respect to those issues of fact whose determination was entrusted by law to the agency in that contested case proceeding; provided, however, that evidence may be introduced in the reviewing court as to fraud or misconduct of some person engaged in the administration of the agency or procedural irregularities before the agency not shown in the record and the affecting order, ruling, or award from which review is sought, and proof thereon may be taken in the reviewing court. If, before the date set for hearing a petition for judicial review of agency action in a contested case, it is shown to the satisfaction of the court that additional evidence is material and that there were good reasons for failure to present it in the contested case proceeding before the agency, the court may remand to the agency and order that the additional evidence be taken before the agency upon conditions determined by the court. The agency may modify its findings and decision in the case by reason of the additional evidence and shall file that evidence and any modification, new findings, or decision with the reviewing court and mail copies of the new findings, or decision to all parties.
(j) The review shall be conducted by the court without a jury and, except as herein provided, shall in the review of contested cases be confined to the record and the additions thereto as may be made under subsection (i) of this section. Judicial review shall be by trial de novo in the circuit court where review is sought from tax assessments, tax determinations or tax redeterminations, rulings of the Revenue Department granting, denying, or revoking licenses, or rulings on petitions for tax refunds, or, unless a subsequent agency statute provides otherwise, where an agency statute existing on the effective date of Act No. 81-855, 1981 Acts of Alabama, or thereafter enacted provides for a trial de novo on appeal to or review by the courts; provided, however, in the review of tax assessments, tax determinations, or tax redeterminations, rulings of the Revenue Department granting, denying, or revoking licenses, or rulings on petitions for tax refunds, the administrative record and transcript shall be transmitted to the reviewing court as provided in subsection (g) of this section, and, on motion of either party, shall be admitted into evidence in the trial de novo, subject to the rights of either party to assign errors, objections, or motions to exclude calling attention to any testimony or evidence in the administrative record or transcript which is deemed objectionable or inadmissible. Provided further that, with the consent of all parties, judicial review may be on the administrative record and transcript. The court, upon request, shall hear oral argument and receive written briefs.
(k) Except where judicial review is by trial de novo, the agency order shall be taken as prima facie just and reasonable and the court shall not substitute its judgment for that of the agency as to the weight of the evidence on questions of fact, except where otherwise authorized by statute. The court may affirm the agency action or remand the case to the agency for taking additional testimony and evidence or for further proceedings. The court may reverse or modify the decision or grant other appropriate relief from the agency action, equitable or legal, including declaratory relief, if the court finds that the agency action is due to be set aside or modified under standards set forth in appeal or review statutes applicable to that agency or if substantial rights of the petitioner have been prejudiced because the agency action is any one or more of the following:
(1) In violation of constitutional or statutory provisions;
(2) In excess of the statutory authority of the agency;
(3) In violation of any pertinent agency rule;
(4) Made upon unlawful procedure;
(5) Affected by other error of law;
(6) Clearly erroneous in view of the reliable, probative, and substantial evidence on the whole record; or
(7) Unreasonable, arbitrary, or capricious, or characterized by an abuse of discretion or a clearly unwarranted exercise of discretion.
(l) Unless the court affirms the decision of the agency, the court shall set out in writing, which writing shall become a part of the record, the reasons for its decision.
(Acts 1981, No. 81-855, p. 1534, §20; Acts 1986, No. 86-472, p. 880, §1; Acts 1993, No. 93-627, p. 1051, §1.)
An aggrieved party may obtain a review of any final judgment of the circuit court under Section 41-22-20 by appeal to the appropriate court to which the appeal or review lies. The appeal shall be taken within 42 days of the date of the entry of the judgment or order appealed from as in other civil cases, although the appeal may be taken regardless of the amount involved.
(Acts 1981, No. 81-855, p. 1534, §21; Acts 1986, No. 86-472, p. 880, §1.)
The committee shall review all agency rules prior to their adoption. The committee shall have full access to all resources of the legislative department and all agencies thereof when conducting its review. For purposes of conducting business, six members of the committee, to include a minimum of three members of the House of Representatives and three members of the Senate, shall constitute a quorum.
(Acts 1981, No. 81-855, p. 1534, §22; Acts 1993, No. 93-627, p. 1051, §1; Act 2001-306, p. 376, §1; Act 2001-309, p. 385, §1; Act 2015-291, p. 896, §1; Act 2019-498, §1.)
(a) The Legislative Services Agency, Legal Division, shall review each rule certified to it by a state board or commission that regulates a profession, a controlling number of the members of which are active market participants in the profession, to determine whether the rule may significantly lessen competition and, if so, whether the rule was made pursuant to a clearly articulated state policy to displace competition.
(b) If the Legislative Services Agency, Legal Division, determines that a rule subject to subsection (a) may significantly lessen competition, it shall determine whether the rule was made pursuant to a clearly articulated state policy to displace competition, and shall certify those determinations to the committee. The board or commission shall submit a position paper, a transcript of any public hearings regarding the rule, and any other material collected during the consideration of the rule by the board or commission to accompany the rule as it is submitted to the committee. Upon receipt of a certification under this subsection, the chair of the committee shall call a meeting of the committee to review the substance of the rule, determine whether the rule may significantly lessen competition, and if so, whether it was made pursuant to a clearly articulated state policy to displace competition. The committee shall approve, disapprove, disapprove with a suggested amendment, or allow the agency to withdraw the rule for revision. The committee shall conduct public hearings and shall allow public comment during its consideration of the rule. If the committee approves the rule, it shall issue a written statement explaining its rationale for approving the rule. If the committee fails to act on a rule certified to it pursuant to this subsection, the rule shall not become effective and shall be placed on the agenda of the committee at each subsequent meeting until the committee disposes of the rule.
(c) A state board or commission that regulates a profession, a controlling number of the members of which are active market participants in the profession, may submit a previously adopted rule, along with a position paper, a transcript of any public hearings regarding the rule, and any other material collected during the consideration of the rule, to the Legislative Services Agency, Legal Division, for a determination of whether the previously adopted rule may significantly lessen competition and whether the rule was made pursuant to a clearly articulated state policy to displace competition. If the Legislative Services Agency, Legal Division, makes those determinations, it shall notify the board or commission and certify the determinations to the committee. Upon receipt of a certification under this subsection, the chair of the committee shall call a meeting of the committee to review the substance of the rule and either approve the rule or notify the board or commission that it agrees with the determination of the Legislative Services Agency, Legal Division. If the committee approves the rule, it shall issue a written statement explaining its rationale for approving the rule. The committee shall take action on a rule submitted under this subsection within 45 days of publication of the notice of its certification in the Alabama Administrative Monthly.
(d) The Legislative Services Agency, Legal Division, shall review each proposed action submitted to it by a state board or commission that regulates a profession, a controlling number of the members of which are active market participants in the profession, to determine whether the action proposed may significantly lessen competition and, if so, whether the action was proposed pursuant to a clearly articulated state policy to displace competition.
(e) If the Legislative Services Agency, Legal Division, determines that an action subject to subsection (d) may significantly lessen competition, it shall determine whether the action was proposed pursuant to a clearly articulated state policy to displace competition, and shall certify those determinations to the committee. The board or commission shall submit a position paper, a transcript of any public hearings regarding the action, and any other material collected during the consideration of the action by the board or commission to accompany the action as it is submitted to the committee. Upon receipt of a certification under this subsection, the chair of the committee shall call a meeting of the committee to review the substance of the action, determine whether the action may lessen or has significantly lessened competition and, if so, whether it was proposed pursuant to a clearly articulated state policy to displace competition. The committee shall approve, disapprove, or propose a modification of a proposed action. The committee may conduct public hearings and solicit public comment during its consideration of the action. When the committee approves, disapproves, or proposes a modification of the action, it shall issue a written statement explaining its rationale. If the committee fails to act on an action certified to it pursuant to subsection (d), the action shall be placed on the agenda of the committee at each subsequent meeting until the committee acts on the certified action. Due to the timely nature of actions, the certified actions shall be given priority in the work of the committee.
(f) In addition to the fee levied under Section 41-22-7(i), the Legislative Services Agency, Legal Division, shall charge a board or commission that is subject to subsection (a), which submits a previously adopted rule to the Legislative Services Agency, Legal Division, under subsection (c), or which submits a proposed action under subsection (d), a fee in the amount necessary to recover the costs of the Legislative Services Agency, Legal Division, in complying with this section.
(Act 2016-256, p. 622, §1; Act 2017-442, §1(b)(5); Act 2019-498, §1.)
(a) The notice required by subdivision (a)(1) of Section 41-22-5 shall be given, in addition to the persons named in the notice, to each member of the committee and such other persons in the legislative department as the committee requires. The form of the proposed rule presented to the committee shall be as follows: New language shall be underlined and language to be deleted shall be typed and lined through.
(b)(1) Within the 45-day period between the date of publication in the Alabama Administrative Monthly that a rule has been certified and the date it becomes effective, and subject to subsection (h) of Section 41-22-5.1, the committee shall study all proposed rules and may hold public hearings. The committee may adopt a policy providing when a public hearing will be held on a rule meeting specified criteria. In the event the committee fails to give notice to the agency of either its approval or disapproval of the proposed rule within 45 days after the notice is published in the Alabama Administrative Monthly that the rule has been certified and filed with the Legislative Services Agency, Legal Division, pursuant to Section 41-22-6, the committee shall be deemed to have approved the proposed rule for the purposes of this section.
(2) In the event the committee disapproves a proposed rule or any part thereof, it shall give notice of the disapproval to the agency. The disapproval of any rule may be appealed to the Lieutenant Governor in writing by the agency that submitted the rule within 15 days of disapproval. The Office of the Lieutenant Governor shall stamp the written appeal to denote the date the appeal was received. If the disapproval of a rule is appealed to the Lieutenant Governor, the Lieutenant Governor, within the 15 days after the notice of appeal of the disapproval of the rule is filed, may review the rule and hold public hearings he or she determines necessary.
(3) If the Lieutenant Governor sustains the disapproval of the rule, he or she shall notify the committee and return the rule to the agency and the disapproval shall be final.
(4) If the Lieutenant Governor approves the rule, he or she shall notify the chair of the committee. The rule shall become effective upon adjournment of the next regular session of the Legislature that commences after the approval unless, prior to that time, the Legislature adopts a joint resolution that overrules the approval by the Lieutenant Governor and sustains the action of the committee.
(5) If the Lieutenant Governor fails to either approve or disapprove the rule within the 15 days after the notice of appeal of the disapproval of the committee, the rule shall be deemed approved and the rule shall become effective upon adjournment of the next regular session of the Legislature that commences after the deemed approval unless, prior to that time, the Legislature adopts a joint resolution that overrides the deemed approval of the Lieutenant Governor and sustains the action of the committee. In the event the Office of the Lieutenant Governor is vacant, a rule disapproved by the committee shall be suspended until the adjournment of the next regular session of the Legislature following the disapproval. The rule shall be reinstated on adjournment of that regular session unless the Legislature, by joint resolution, sustains the disapproval.
(c) The committee may propose an amendment to any proposed rule and return it to the agency with the suggested amendment. In the event the agency accepts the rule as amended, the agency may resubmit the rule as amended to the committee and the rule shall become effective on the date specified in the rule, or on the date the amended rule is submitted, whichever is later. In the event the agency does not accept the amendment, the proposed amended rule shall be deemed disapproved, as provided in subsection (b).
(d) An agency may withdraw a proposed or certified rule. An agency may resubmit a rule so withdrawn or returned under this section with minor modification. Such a rule is a new filing and subject to this section but is not subject to further notice as provided in subsection (a) of Section 41-22-5.
(e) The committee is authorized to review and approve or disapprove any rule adopted prior to October 1, 1982.
(f) A rule submitted to the committee which has an economic impact shall be accompanied by a fiscal note prepared by the agency in accordance with this subsection. Upon receiving the fiscal note, the committee may require additional information from the submitting agency, other state agencies, or other sources. A state agency shall cooperate and provide information to the committee. At a minimum, the fiscal note submitted with a proposed rule shall include the following:
(1) A determination of the need for the rule and the expected benefit of the rule.
(2) A determination of the costs and benefits associated with the rule and an explanation of why the rule is considered to be the most cost effective, efficient, and feasible means for allocating public and private resources and for achieving the stated purpose.
(3) The effect of the rule on competition.
(4) The effect of the rule on the cost of living and doing business in the geographical area in which the rule would be implemented.
(5) The effect of the rule on employment in the geographical area in which the rule would be implemented.
(6) The source of revenue to be used for implementing and enforcing the rule.
(7) A conclusion on the short-term and long-term economic impact upon all persons substantially affected by the rule, including an analysis containing a description of which persons will bear the costs of the rule and which persons will benefit directly and indirectly from the rule.
(8) The uncertainties associated with the estimation of particular benefits and burdens and the difficulties involved in the comparison of qualitatively and quantitatively dissimilar benefits and burdens. A determination of the need for the rule shall consider qualitative and quantitative benefits and burdens.
(9) The effect of the rule on the environment and public health.
(10) The detrimental effect on the environment and public health if the rule is not implemented.
(g) In determining whether to approve or disapprove proposed rules, the committee shall consider the following criteria:
(1) Is there a statutory authority for the proposed rule?
(2) Would the absence of the rule or rules significantly harm or endanger the public health, safety, or welfare?
(3) Is there a reasonable relationship between the state’s police power and the protection of the public health, safety, or welfare?
(4) Is there another, less restrictive method of regulation available that could adequately protect the public?
(5) Does the rule or do the rules have the effect of directly or indirectly increasing the costs of any goods or services involved and, if so, to what degree?
(6) Is the increase in cost, if any, more harmful to the public than the harm that might result from the absence of the rule or rules?
(7) Are all facets of the rulemaking process designed solely for the purpose of, and so they have, as their primary effect, the protection of the public?
(8) Any other criteria the committee may deem appropriate.
(Acts 1981, No. 81-855, p. 1534, §23; Acts 1986, No. 86-472, p. 880, §1; Acts 1993, No. 93-627, p. 1051, §1; Act 2001-306, p. 376, §1; Act 2001-309, p. 385, §1; Act 2014-457, p. 1757, §1; Act 2015-291, p. 898, §2; Act 2015-527, 1st Sp. Sess., §1; Act 2019-498, §1.)
[Repealed]
Repealed by Act 2015-291, §3, effective October 1, 2015.
(Acts 1981, No. 81-855, p. 1534, §24; Acts 1986, No. 86-472, p. 880, §1.)
(a) This chapter shall be construed broadly to effectuate its purposes. Except as expressly provided otherwise by this chapter or by another statute referring to this chapter by name, the rights created and the requirements imposed by this chapter shall be in addition to those created or imposed by every other statute in existence on the date of the passage of this chapter or thereafter enacted. If any other statute in existence on the date of the passage of this chapter or thereafter enacted diminishes any right conferred upon a person by this chapter or diminishes any requirement imposed upon an agency by this chapter, this chapter shall take precedence unless the other statute expressly provides that it shall take precedence over all or some specified portion of this named chapter.
(b) Except as to proceedings in process on October 1, 1982, this chapter shall be construed to apply to all covered agency proceedings and all agency action not expressly exempted by this chapter or by another statute specifically referring to this chapter by name.
(Acts 1981, No. 81-855, p. 1534, §25; Acts 1986, No. 86-472, p. 880, §1.)
It is the express intent of the Legislature to replace all provisions in statutes of this state relating to rule-making, agency orders, administrative adjudication, or judicial review thereof that are inconsistent with the provisions of this chapter. Therefore, all laws or parts of laws that conflict with this chapter are hereby repealed on October 1, 1982; provided, however, nothing contained in this section shall be construed to repeal or modify Sections 22-22-1, 22-22-4, 22-22-8 through 22-22-10, 22-22-12, and 22-22-14, authorizing the Water Improvement Commission as the state Water Pollution Control Agency to issue one stop permits for the state for all purposes of the federal Water Pollution Control Act, as amended.
(Acts 1981, No. 81-855, p. 1534, §26.)
(a) This chapter shall take effect at 12:01 a.m., October 1, 1982; provided, however, that Section 41-22-22 shall take effect October 1, 1981. In order that the Legislative Reference Service may appoint and hire an aide to receive the rules and in order to promulgate the Alabama Administrative Code and the Alabama Administrative Monthly as soon as possible, subsections (a) and (b) of Section 41-22-6 and subsections (a) through (e) of Section 41-22-7 shall also become effective October 1, 1981. It shall be the duty of all agencies in existence on the passage of this chapter and all agencies created thereafter to cooperate with the office of the Legislative Services Agency, Legal Division, in compiling the Alabama Administrative Code and the Alabama Administrative Monthly by submitting to the committee all rules now and hereafter in effect, and all proposed rules.
(b) All existing rules shall be indexed by October 1, 1983, and the administrative code of each agency shall be completed and up-to-date at that time and the Alabama Administrative Code shall be completed and up-to-date by November 15, 1983.
(c) Any rule in effect before 12:01 a.m., October 1, 1983, except those adopted following a public hearing that was required by statute, shall be reviewed by the agency concerned on the written request of a person substantially affected by the rule involved. The agency concerned shall initiate the rulemaking procedures provided by this chapter within 90 days after receiving such written request. If the agency concerned fails to initiate the rule making procedures within 90 days, the operation of the rule shall be suspended. The right of review established by this subsection shall be exercisable no earlier than October 1, 1983.
(d) All rules in effect on September 30, 1983, shall be and become invalid on October 1, 1983, unless:
(1) The rules are properly filed, indexed, and included within the administrative code of the agency in accordance with all the provisions of this chapter; and
(2) The rules adopted prior to October 1, 1982, were validly adopted under procedures in effect prior to those provided in this chapter, or were readopted pursuant to the requirements of this chapter; or
(3) The rules adopted on or subsequent to October 1, 1982, were validly adopted pursuant to the requirements of this chapter.
(e) All contested cases and other adjudicative proceedings conducted pursuant to any provision of the statutes of this state that were begun prior to October 1, 1983, shall be continued to a conclusion, including judicial review, under the provisions of such statutes, except that contested cases and other adjudicative proceedings that have not progressed to the stage of a hearing, with the consent of all parties and the agency conducting the proceedings, may be conducted in accordance with this chapter as nearly as feasible.
(f) Sections 41-22-1 through 41-22-11 and 41-22-22 through 41-22-27 shall take effect with regard to the Alabama Department of Environmental Management at 12:01 a.m. on October 1, 1986. All rules that were validly adopted by the Alabama Department of Environmental Management prior to October 1, 1986, under procedures in effect at the times the rules were adopted shall be valid, and all such rules adopted by the department shall be properly filed, indexed, and included within the administrative code of the department in accordance with this chapter by October 1, 1987. The Alabama Department of Environmental Management shall be exempt from Sections 41-22-12 through 41-22-19. Except as provided in subdivision (6) of subsection (c) of Section 22-22A-7, judicial review of any order of the Environmental Management Commission modifying, approving, or disapproving an administrative action of the Alabama Department of Environmental Management shall be in accordance with the provisions for review of final agency decisions of contested cases in Sections 41-22-20 and 41-22-21.
(Acts 1981, No. 81-855, p. 1534, §27; Acts 1986, No. 86-472, p. 880, §1; Act 2019-498, §1.)
There is hereby created and established the Department of Economic and Community Affairs within the Office of the Governor and directly under his or her supervision and control. The Department of Economic and Community Affairs shall consist of: the Governor, the Office of State Planning and Federal Programs, the Alabama Department of Energy, the Alabama Law Enforcement Planning Agency, the Office of Highway and Traffic Safety, the Office of Employment and Training, and the Office of Water Resources as presently created by and provided for in Sections 41-9-205 through 41-9-214, Sections 41-6A-1 through 41-6A-11, Sections 41-8A-1 through 41-8A-4, Sections 41-8A-8 through 41-8A-10, and Sections 41-8A-12 through 41-8A-13, 32-4-1 through 32-4-7, Executive Order No. 34, 1980, and Sections 9-10B-1 through 9-10B-30, respectively, and in accordance with the applicable federal laws. All respective functions, duties, responsibilities, obligations, property rights, appropriations, employees, property, and supplies as provided by said sections, and whether accruing or vesting, are hereby transferred to and vested in the Department of Economic and Community Affairs.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §1; Acts 1993, No. 93-44, p. 78, §1.)
Present employees in the classified service of the state Merit System within each agency transferred in Section 41-23-1 whose job classifications are not abolished hereinafter, shall continue with the Department of Economic and Community Affairs in such functions deemed necessary to carry out the duties and responsibilities of the Department of Economic and Community Affairs. Other employees necessary to implement the duties and functions of the Department of Economic and Community Affairs may be employed subject to the provisions of the state Merit System laws and shall be entitled to the same rights and benefits thereunder. Salaries set for such employees shall not exceed the salary set by law for executive department heads.
Nothing herein shall be construed to prevent or preclude the removal of an employee in a manner provided by this article, or for cause in a manner provided by law.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §2.)
All appropriations heretofore or hereafter made to: The Office of State Planning and Federal Programs, the Alabama Department of Energy, the Alabama Law Enforcement Planning Agency, the State Manpower Planning Council (CETA), the Office of Highway and Traffic Safety, and the Office of Employment and Training are hereby consolidated and transferred to the Department of Economic and Community Affairs.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §3.)
(a) The Governor shall appoint a chief administrative officer to be designated as Director of the Department of Economic and Community Affairs. Such officer shall serve at the pleasure of the Governor at a salary to be set in the same manner and with the same limitations as otherwise provided by law for executive department heads. The director of the said department shall be a member of such boards, councils, and commissions, as they relate to his or her authority under the provisions of this article, and as required and currently authorized under the various federal programs and as approved by the Governor.
(b) The Governor through the Department of Economic and Community Affairs shall encourage comprehensive and coordinated planning and programming of economic and community affairs.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §4.)
(a) The Director of the Department of Economic and Community Affairs, with the approval of the Governor, may establish such division or divisions as may, in his or her discretion, be reasonably necessary for the administration and enforcement of any law, rule, or regulation with which the department is charged or the performance of any of its functions or duties. Each division in the department shall be headed by and be under the direction, supervision, and control of an officer who shall be designated as the chief of such division. All chiefs of divisions shall be appointed by the director of said department, with the approval of the Governor. Before entering upon the discharge of their duties, such chiefs of divisions shall take the constitutional oath of office. Each of such officers shall devote his or her full time to his or her official duties and shall hold no other lucrative position while serving as such. The offices or positions of director of any of the merged departments or agencies are hereby abolished.
(b) It is one of the purposes of this article to coordinate, into one department, the functions of the Office of State Planning and Federal Programs, the Alabama Department of Energy, Alabama Law Enforcement Planning Agency, the Office of Highway and Traffic Safety, and the Office of Employment and Training or any successor thereto. There is hereby established the following divisions: The Office of State Planning and Federal Programs, the Alabama Department of Energy, Alabama Law Enforcement Planning Agency, the Office of Highway and Traffic Safety, and the Office of Employment and Training. The functions of each division shall be administered by a division chief who shall be full-time and salaried as now provided by law. Each division chief shall report to and be under the supervision of the Director of the Department of Economic and Community Affairs.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §5.)
The Director of the Department of Economic and Community Affairs may prescribe such reasonable rules and regulations for the conduct of its business and made in accordance with the Alabama Administrative Procedure Act.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §6.)
This section was amended and renumbered by Act 2015-450, effective June 11, 2015. It is now Section 41-29-400.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §7.)
The Traffic Safety Trust Fund is established as a separate fund in the State Treasury. Upon appropriation by the Legislature, the fund shall be used for traffic safety purposes and programmed along with federal funds that are received for the same purposes by the staff of the Traffic Safety Section of the Alabama Department of Economic and Community Affairs. Unexpended or unencumbered sums remaining in the fund at the end of the fiscal year shall remain in the fund and be brought forward to the next fiscal year.
(Acts 1997, No. 97-494, p. 883, §2.)
(a) There is created in the State Treasury a fund to be known as the Sheriffs’ Advancement in Education, Technology, and Training Fund, into which there is automatically appropriated five million dollars ($5,000,000) annually or so much as necessary to maintain a balance of two million dollars ($2,000,000) in the fund, at the beginning of each fiscal year for the five fiscal years beginning October 1, 2023. The fund shall consist of both of the following:
(1) All appropriations made to the fund.
(2) Any gifts, grants, or donations made to the fund from any source.
(b) The Alabama Department of Economic and Community Affairs shall use and expend the fund pursuant to subsection (c). Any necessary expenses of the department in implementing this section shall also be paid out of the fund.
(c)(1) The Alabama Department of Economic and Community Affairs may make quarterly grants to any county in which the sheriff has provided the required reports as set out in the Minimum Accounting Requirements for the Office of Sheriff established by the Department of Examiners of Public Accounts, specifically regarding the number of pistol permits purchased in that county and the revenue received from pistol permit fees issued pursuant to Section 13A-11-75, for fiscal years 2022 and 2023. Any reports that are required by this section and delinquent on June 15, 2023, shall be accepted as timely if delivered by September 13, 2023. Any grants awarded to a county pursuant to this subsection may not exceed the amount of revenue received from pistol permit fees by that county in fiscal year 2021, as indicated within the reports to the Department of Examiners of Public Accounts. Any amounts exceeding these revenues shall be remitted back to the Sheriffs’ Advancement in Education, Technology, and Training Fund at the end of each fiscal year. Monies shall be used by a county only for the same purposes for which pistol permit fees were authorized to be expended within that county on December 31, 2022.
(2) The Department of Economic and Community Affairs shall make grants under this subsection only to an office of sheriff that, at time of submission of a report to the Department of Examiners of Public Accounts pursuant to subdivision (1), has certified in writing that each pistol permit issued by that office of sheriff in the preceding quarter was issued only following completion of a background check through the National Instant Criminal Background Check System (NICS) and that the office of sheriff, within the preceding 12 months, has trained each employee, officer, or agent involved in the issuance of pistol permits on how and when to perform a NICS background check.
(d) No later than January 15, 2023, and thereafter on a quarterly basis, the Department of Examiners of Public Accounts shall provide all reports referenced in subsection (c) to the Department of Economic and Community Affairs.
(e) This section shall be repealed January 1, 2029. At that time, any monies remaining in the fund that are not committed for the purpose of this section shall be transferred to the State General Fund.
(f) No monies may be withdrawn or expended from the fund for any purpose unless the monies have been appropriated by the Legislature. Any monies appropriated shall be budgeted and allotted pursuant to the Budget Management Act in accordance with Article 4 of Chapter 4 of Title 41, and only in the amounts provided by the Legislature in the general appropriations act or other appropriations act, and only for the purposes of Act 2022-133.
(g)(1) Each county receiving monies pursuant to subsection (c) shall establish a separate fund in the county treasury for the deposit of grant reimbursement monies.
(2) All monies received by a county commission pursuant to this section shall be deposited, within 30 days of receipt, into the fund and shall be allocated in the same manner that pistol permit revenues are allocated by law.
(3) A county commission shall not retain any portion of monies received pursuant to this section beyond what is authorized by law.
(4) All monies received pursuant to subsection (c) shall be expended at the discretion of the sheriff as authorized by law and pursuant to the limitations of subsection (c).
(5) The county commission shall not be responsible for the expenditure of any monies received pursuant to this section.
(Act 2022-133, §6; Act 2023-504, §1.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
This article shall be cited as the “Alabama Enterprise Zone Act.”
The Legislature of Alabama hereby finds and declares that the health, safety, and welfare of the people of this state are dependent upon the continued encouragement, development, growth, and expansion of the private sector within the state and that there are certain depressed areas in the state that need the particular attention of government to help attract private sector investment into these areas. Therefore, it is declared to be the purpose of this article to stimulate business and industrial growth in the depressed areas of the state, both in urban and rural areas, by the relaxation of certain governmental controls, by providing assistance to businesses and industries, and by providing state and local tax and nontax incentives in these areas.
(Acts 1987, No. 87-573, p. 897, §1.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
For purposes of this article, the following terms shall have the meaning hereinafter ascribed to them, unless the context clearly indicates otherwise:
(1) COUNCIL. The Enterprise Zone Advisory Council.
(2) DEPARTMENT. The Alabama Department of Economic and Community Affairs.
(3) GOVERNING AUTHORITY. The governing body of a county or municipality.
(4) ENTERPRISE ZONE. A geographic area which is economically depressed, in need of expansion of business and industry and the creation of jobs and designated to be eligible for the benefits of this article, and is a target by governments for development by providing tax and nontax incentives to private enterprise. Effective October 1, 2016, the definition of an Enterprise Zone shall mean any Alabama county that is described by Section 40-18-376.1(a). Notwithstanding any other law or agreement to the contrary, any eligible business having received an approved application from the department prior to October 1, 2016, shall continue to receive those approved exemptions for the period of time specified in those agreements.
(5) RURAL ENTERPRISE ZONE. An enterprise zone located in a non-MSA county, as such is defined by the United States Bureau of the Census.
(6) URBAN ENTERPRISE ZONE. An enterprise zone located in an MSA county, as such is defined by the United States Bureau of the Census.
(Acts 1987, No. 87-573, p. 897, §2; Act 2016-321, §1.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
(a) The department shall establish criteria for qualifications of enterprise zones. These criteria shall not be in conflict with any provisions of federal enterprise zone legislation that may be enacted for enterprise zones which apply for federal designation. The department shall give consideration to the following:
(1) Unemployment.
(2) Poverty rate.
(3) Per capita income.
(4) Migration.
(5) Number of residents receiving public assistance.
(b) There initially shall be 10 enterprise zones within the State of Alabama, excluding any zones established in Birmingham [pursuant to Act No. 83-142, S. 18 of the 1983 Second Special Session (Acts 1983, p. 150)] and Prichard [pursuant to Act No. 83-676, S. 506 of the 1983 Regular Session (Acts 1983, p. 1065)], and Montgomery [pursuant to Act No. 86-201, H. 538 of the 1986 Regular Session (Acts 1986, p. 264)]. Within 18 months after passage of this article, additional geographic areas shall be targeted as enterprise zones. There shall not be more than 27 enterprise zones established in Alabama.
(c) Each zone shall not exceed a maximum of 10,000 acres.
(d) Notwithstanding any provision of this section to the contrary, effective June 1, 1999, an enterprise zone shall be established in Tallapoosa County and every incorporated municipality therein.
(Acts 1987, No. 87-573, p. 897, §3; Acts 1989, No. 89-659, p. 1310; Act 99-365, p. 585, §1; Act 2002-524, p. 1370, §1.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
Selection of zones and the general guidelines for implementation of the provisions of this article shall be as follows:
(1) The Alabama Department of Economic and Community Affairs shall see that all applications are processed as follows:
a. The state or any governmental entity in the proposed area may submit an application for zone designation.
b. Each application should provide a statement of incentives being offered by the governmental entities, such as:
Regulatory relief or waiver;
Services provided;
Tax incentives;
Other nontax incentives.
c. It is contemplated that state, county, and/or municipal governments may devise an innovative package of local incentives in their respective jurisdictions and aggressively pursue zone designation.
(2) Zones shall be selected by the department, with input from the advisory council, which shall have the responsibility for the general implementation of the law.
(3) An Enterprise Zone Advisory Council consisting of members of the Alabama Department of Commerce, Southern Development Council, Department of Labor, Department of Education, State Department of Transportation, Department of Environmental Management, Department of Agriculture and Industries, Department of Revenue, and other qualified individuals or organizations shall be appointed by the Governor with provisions to insure geographic representation of rural and urban areas. This council shall be limited to 11 representatives and shall serve at the pleasure of the Governor.
(Acts 1987, No. 87-573, p. 897, §4; Act 2018-152, §3.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
(a) Any provisions of Title 40, Chapter 18, notwithstanding, and specifically any provisions of Sections 40-18-22, 40-18-35, 40-18-35.1, 40-18-37, and 40-18-38, to the contrary notwithstanding, the following tax incentives may be available to any business, industry or manufacturer who complies with the provisions of this article:
(1) INCOME TAX CREDIT. There may be a five-year credit of varying proportions of taxes due from zone operations: first year, 80 percent; second year, 60 percent; third year, 40 percent; fourth and fifth years, 20 percent. This credit is available for corporations, partnerships, and proprietorships provided that 30 percent of the new permanent employees were formerly unemployed for at least 90 days prior to this employment.
(2) CREDIT FOR EXPENSES OF TRAINING NEW EMPLOYEES. There may be a tax credit for the expenses of training new employees in new skills. The maximum credit shall be $1,000.00 per employee.
(3) CREDIT FOR NEW INVESTMENTS. There may be a credit for new investments within the state in the following amounts: 10 percent on first $10,000.00 invested, five percent on next $90,000.00 invested, and two percent on remaining investment. This credit is also available for improvements to existing facilities, provided at least five new permanent employees are hired.
(4) LOCAL TAXES. A reduction of permit fees, user fees, and business, professional, and occupational license taxes may be permitted by the local governments. This incentive is optional and shall be stated when the area applies for zone designation.
(b) The Commissioner of the Department of Revenue shall formulate, promulgate, issue, and enforce any reasonable and necessary rules to implement any state tax credits or incentives.
(c) It is expressly provided that any tax credit, pursuant to this section, shall not total in excess of $2,500.00 per new permanent employee hired pursuant to this article. This tax credit may be applied in all enterprise zones to any state income tax liability or any state business privilege tax liability and shall be used for the taxable year in which the increase in average annual employment occurred to the maximum allowed. However, if the entire credit cannot be used in the year earned, the remainder may be applied against the income tax or state business privilege tax for the succeeding two years or until the entire credit is used, whichever occurs first.
(d) All tax credits herein prescribed may be in addition to any exemptions and credits authorized in Title 40, Chapter 18.
(e) No tax credits for tax incentives shall be authorized for any credit for taxes, fees, or funds to other states or territories.
(Acts 1987, No. 87-573, p. 897, §5.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
Nontax incentives shall include:
(1) REGULATION EXEMPTIONS. The local governments may exempt regulations to the extent they propose in the application for designation; however, no such exemption can adversely affect the health and welfare of the citizens of the state. Such exemption shall be by resolution or ordinance.
(2) EMPLOYEE TRAINING AND TECHNICAL ASSISTANCE.
a. Employee training may be made available to zone business through the department.
b. Technical assistance in business start-ups. A business starting up in the enterprise zone may be afforded technical assistance such as accounting, planning, etc., through a public university or state junior college in the area, which has agreed to accept such responsibility. Assistance may be provided by the small business development centers, technical assistance centers, and others.
(3) INCREASED OR SPECIALIZED SERVICES PROVIDED BY LOCAL GOVERNMENTS. The local governments would state in the application for designation such increased services it would provide, such as fire protection, police protection, and utility services. All services are at local option.
(Acts 1987, No. 87-573, p. 897, §6.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
Additional requirements for a business, partnership, corporation, or individual to receive benefits shall include:
(1) The business must expand its labor force or make new capital investments or prevent a loss of employment to an existing business.
(2) A business may not have closed or reduced employment elsewhere in Alabama in order to expand into the zone.
(Acts 1987, No. 87-573, p. 897, §7.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The department shall report annually to the Legislature and the Governor, and provide a thorough evaluation of the implementation of the zone law, including: numbers of business activity; actual new income for the state after taxes and benefits pursuant to this article; number of new employees; cost to state for each new employee; and state and local taxes generated.
(Acts 1987, No. 87-573, p. 897, §8.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The department shall designate qualified enterprise zones only after receiving notice from the appropriate governing authority that it additionally agrees to:
(1) Devise and implement a program to improve police protection within the zone.
(2) Give priority to the use in the zone of any UDAG, CDBG, JTPA, industrial bonds, or other funds received from the appropriate agencies of the federal government.
(3) Assist the department in certifying employers to be eligible for said benefits.
(4) Authorize the department to supersede certain specified local regulations and ordinances which may serve to discourage economic development within the enterprise zone.
(5) Assist the department in evaluating progress made in any enterprise zone within its jurisdiction.
(Acts 1987, No. 87-573, p. 897, §9.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The department shall administer the provisions of this article and shall have the following powers and duties in addition to those mentioned elsewhere in this article and in other laws of this state:
(1) To monitor the implementation and operation of this article and conduct a continuing evaluation of the progress made in the enterprise zones.
(2) To assist the governing authority of an enterprise zone in obtaining assistance from the federal government, including the possible suspension of federal regulations within the enterprise zone.
(3) To assist the governing authority of an enterprise zone in obtaining assistance from any other department of state government, including assistance in providing training, technical assistance, and wage subsidies to new businesses and small businesses within an enterprise zone.
(4) To assist any employer or prospective employer within an enterprise zone in obtaining the benefits of any incentive or inducement program authorized by Alabama law.
(5) To submit an annual written report evaluating the effectiveness of the program and any suggestions for legislation to the Governor and the Legislature no later than the third day of each regular session.
(6) To promulgate rules and regulations to effectuate this article, in accordance with the Administrative Procedure Act.
(7) To notify each legislator whose district includes any portion of an enterprise zone when the department designates such a zone.
(Acts 1987, No. 87-573, p. 897, §10.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
(a) The department, after consultation with the council, and with the approval of the Governor, may enter into contracts with eligible businesses to provide:
(1) For the exemption from sales and use tax imposed by the State of Alabama or from sales and use tax imposed by its political subdivisions, upon approval of the governing authority thereof, of the purchases of the material used in the construction of a building, or any addition or improvement thereon, for housing any legitimate zone business enterprise, and machinery and equipment used in that enterprise.
(2) For certain exemptions from income taxes levied by the State of Alabama levied on eligible corporations and individuals for a period of five years.
(3) For certain exemptions of business privilege taxes levied by the State of Alabama for a period of five years.
(4) For certain exemptions from utility gross receipts taxes levied by Article 3, Chapter 21, Title 40, and utility gross receipts service taxes levied by Article 4, Chapter 21, Title 40, within the enterprise zone, for a period of up to 20 years, for eligible businesses which meet the conditions of subdivision (4) of subsection (c).
(5) For certain exemptions from sales and use taxes imposed by the State of Alabama or from sales and use taxes imposed by local governmental entities, upon approval of the governing authority thereof, within the enterprise zone, for a period of up to 20 years, for eligible businesses which meet the conditions of subdivision (4) of subsection (c).
(6) For certain exemptions from income taxes levied by the State of Alabama levied on eligible corporations and individuals, from income arising from enterprise zone operations, for a period of up to 20 years, for eligible businesses which meet the conditions of subdivision (4) of subsection (c).
(b) The exemptions provided for in subdivisions (4), (5), and (6) of subsection (a) shall not be available to any eligible business after June 30, 1996. Notwithstanding the foregoing, any eligible business receiving the exemptions provided for in subdivisions (4), (5), (6) of subsection (a) before June 30, 1996, shall continue to receive those exemptions for the period of time specified in those subdivisions.
(c) The department may enter into the contracts provided in subsection (a) of this section provided that:
(1) The business and its contractors give preference and priority to Alabama manufacturers and, in the absence of Alabama manufacturers, to Alabama suppliers, contractors, and labor, except where not reasonably possible to do so without added expense, substantial inconvenience, or sacrifice in operational efficiency.
(2) The request for such exemption is accompanied by an endorsement resolution approved by the appropriate local governing body, port district, or industrial development board in whose jurisdiction the establishment is to be located.
(3) The business is or shall be located within the boundaries of an urban or rural enterprise zone.
(4) The provisions of subdivisions (4), (5), and (6) of subsection (a) shall be applicable only for businesses which employ at least 1,200 people and make capital investments and capital improvements of at least seventy-five million dollars ($75,000,000) within the enterprise zone.
(5) For businesses which meet the conditions of subdivision (4) above, amounts equivalent to all tax exemptions granted in subsection (a) above shall be utilized by the business solely and exclusively to pay for the new capital investments and improvements within the enterprise zone. These amounts will be maintained by the business in a special account for this purpose and will be subject to verification by the department.
(6) The business located in an urban or rural enterprise zone and receiving the benefits of this article certifies that at least 35 percent of its employees:
a. Are residents of the urban enterprise zone hosting the location of the business at the time of their employment; or are residents of the same county in which a rural enterprise zone is located; and
b. Were receiving some form of public assistance prior to employment; or
c. Were considered unemployable by traditional standards, or lacking in basic skills; or
d. Any combination of the above.
Certification shall be updated annually in order for the business to continue receiving the benefits pursuant to this article.
(d) The department, in cooperation with the council, may enter into agreements with employers located in either urban or rural enterprise zones under which the employers may receive wage subsidies payable from the United States Department of Labor JTPA manpower block grant funds, to the extent that these funds are granted to the State of Alabama by the United States Department of Labor.
(e) All provisions of Title 40 for the enforcement and collection of the taxes herein levied, not specifically addressed in this section, are applicable.
(Acts 1987, No. 87-573, p. 897, §11; Acts 1996, No. 96-206, p. 236, §§1, 2.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The Directors of the Alabama Department of Economic and Community Affairs, Alabama Department of Commerce, Department of Education, the Department of Workforce and the Commissioner of the Department of Revenue shall be authorized to formulate reasonable rules and regulations necessary to implement the provisions of this article and shall cooperate with each other in the implementation of this article.
(Acts 1987, No. 87-573, p. 897, §12.)
[Repealed]
REPEALED BY ACT 2023-546, EFFECTIVE DECEMBER 1, 2028 UNLESS EXTENDED BY AN ACT OF THE LEGISLATURE.
The provisions of this article shall be complementary to and consistent with federal tax exemptions and be superseded when necessary by the passage of federal enterprise zone legislation.
(Acts 1987, No. 87-573, p. 897, §13.)
(a) The Alabama Enterprise Zone Act, Article 2, commencing with Section 41-23-20, Chapter 23, of Title 41, is repealed effective December 31, 2028, unless extended by an act of the Legislature prior to that date for no more than five additional years.
(b) The repealing of the incentives in subsection (a) shall only affect the availability of the tax credits after December 31, 2028, and shall not cause a reduction or suspension of any credits awarded on or prior to December 31, 2028.
(Act 2023-546, §§ 10, 11.)
There is hereby appropriated from the State General Fund to the Alabama Department of Economic and Community Affairs for the 1990-91 fiscal year the sum of $500,000 to be used to create and establish throughout this state several economic development revolving loan funds from which the several existing regional planning and development commissions, as defined in Articles 4 and 5 of Chapter 85 of Title 11, may disperse moneys, from time to time, to finance local economic development projects. These funds shall be distributed by the Department of Economic and Community Affairs to qualifying regional planning commissions for disbursement. The Department of Economic and Community Affairs shall establish such policies and procedures as may be deemed necessary as to insure accountability of funds in relation to state statutes and federal programs to which these funds may be pledged as required match. Such policies and procedures will be reviewed and approved or disapproved by the Regional Revolving Loan Policy Committee herein established by this article. Moneys borrowed from such revolving loan funds may be combined with or used to facilitate access to either federal funds or foundation grants or loans or to leverage private sector financing that may be available for initial or “seed” capital, long or short term fixed asset or equipment loans or working capital for local economic development projects for improving, developing, or financing new, existing, or expanding business or industry to preserve or create employment. Such borrowed moneys shall be loaned and repaid under such rules, regulations, and conditions as prescribed by Alabama Department of Economic and Community Affairs and approved, from time to time, by the Regional Revolving Loan Policy Committee provided for in Section 41-23-51. Principal and interest payments to the economic development revolving loan funds shall be retained by the respective economic development revolving loan funds for local economic development. Reasonable administrative costs for servicing such loans and for the administration of the respective economic development revolving loan funds may be paid from fees, charges and interest on the loans and from available balances.
(Acts 1990, No. 90-650, p. 1245, §1.)
The moneys appropriated to the Alabama Department of Economic and Community Affairs under the provisions of Section 41-23-50 shall be used to create and establish economic development revolving loan funds throughout this state, pursuant to rules hereunder and approved by the Regional Revolving Loan Policy Committee. This committee shall be established for purposes of reviewing and approving policies and procedures, and to provide general oversight for this program. This committee shall be composed of the following members: the Director of the Alabama Department of Economic and Community Affairs, the Director of the Alabama Department of Commerce, two members of the Senate appointed by the Lieutenant Governor, the Chairperson of the Senate Economic Affairs Committee, two members of the House appointed by the Speaker of the House, the Chairperson of the House Commerce and Industrial Development Committee, and four members appointed by the Governor. The executive directors from the regional planning commissions shall serve as ex officio, nonvoting members of the Regional Revolving Loan Policy Committee. The terms of the legislative members and the Alabama Department of Commerce Secretary and the Alabama Department of Economic and Community Affairs Director shall run concurrent with the four-year term of the Governor. The initial members appointed by the Governor shall serve staggered terms of one, two, three, and four years. The length of the terms for the Governor’s appointees, except for the original appointees, shall be four years. Vacancies shall be filled by the same method of appointment. The Director of the Alabama Department of Economic and Community Affairs shall call an organizational meeting for such committee no later than 30 days after April 25, 1990. At such meeting, such committee shall select from its membership a chairperson and a vice-chairperson. Thereafter, such committee shall likewise reorganize itself at its first meeting of each new legislative quadrennium. Such committee shall meet at least four times per year on call of its chairperson. All members of the Regional Revolving Loan Policy Committee shall serve without compensation except legislative members who shall be entitled to their regular legislative compensation for attendance in committee meetings. The Alabama Department of Economic and Community Affairs shall promulgate and implement administrative rules, regulations, and procedures for the allocation of the appropriated General Fund moneys.
(Acts 1990, No. 90-650, p. 1245, §2.)
This article will be known as the “Alabama Small Business Incubator Act of 1994.”
(Acts 1993, No. 93-543, p. 895, §2.)
As used in this article, the following words and phrases shall have the following meanings:
(1) ADVISORY COUNCIL. A subcommittee of the committee.
(2) BASE FUNDS. Any money not appropriated pursuant to this article, that is used to match the state funds. Base funds may be federal, local, private, foundation grants, or money derived from any other source.
(3) COMMITTEE. The Regional Revolving Loan Policy Committee established by Section 41-23-51.
(4) CONTRACTUAL SERVICES. Any services necessary for the implementation of and the administration of this article.
(5) DEPARTMENT. The Alabama Department of Economic and Community Affairs.
(6) INCUBATOR. A multitenanted facility characterized by shared business services, equipment, space, and access to on-premises business consultants.
(7) LEGAL ENTITY. Any authority, agency, regional planning and development commission, city government, county government, or subdivisions thereof to which the state may grant funds.
(8) SPONSOR. Any entity that qualifies to make application for state funds and that enters into a written agreement with the committee to establish, operate, and administer a small business incubator or to provide funding to an organization that operates as a small business incubator.
(9) STATE FUNDS. The allocation of moneys from the State General Fund to the department for the purposes of this article.
(10) TENANT. A sole proprietorship, partnership, or corporation that operates in a small business incubator.
(Acts 1993, No. 93-543, p. 895, §3.)
The committee is responsible for the implementation of this article, including, but not limited to:
(1) Assessing the current status of small business incubators in Alabama.
(2) Establishing criteria for the awarding of any grants.
(3) Reviewing and approving applications for grants.
(4) Creating an advisory council of knowledgeable entrepreneurial developers to assist the committee in establishing any policies and procedures pursuant to this article.
(Acts 1993, No. 93-543, p. 895, §4.)
The department shall establish policies and procedures necessary to insure accountability of funds relative to state statutes and federal programs to which the funds may be pledged as a required match. The policies and procedures shall be reviewed and shall be approved or disapproved by the committee. The department shall promulgate and implement administrative rules, regulations, and procedures for the allocation of the appropriated General Fund moneys.
(Acts 1993, No. 93-543, p. 895, §5.)
The following grant programs shall be established:
(1) FEASIBILITY STUDY MATCHING GRANTS. As a necessary step in incubator start-ups, funds may be provided on a 50 percent state to 50 percent sponsor basis. Any feasibility study shall conform to the format established by the National Business Incubator Association. The maximum state funds for this purpose shall be $10,000.
(2) TECHNICAL ASSISTANCE GRANTS. Funds may be provided as deemed necessary by the committee.
(3) CAPITAL OUTLAY AND OPERATIONAL MATCHING GRANTS. To offset operation costs related to beginning and maintaining a small business incubator for the first two years of operation. The maximum state funds for the first year shall be 50 percent of operational costs not to exceed $75,000, and the second year shall be limited to 50 percent of that amount.
(4) START-UPS OR EXPANSION GRANTS. Grants to provide for the renovation of start-ups or expansions of space in buildings or other buildings determined to be suitable for small business incubation purposes. The maximum participation for state funds for this purpose is 30 percent of the project amount, not to exceed $200,000 per grant.
(5) CONSTRUCTION GRANTS. Grants to provide for the construction of new facilities. The maximum participation for state funds for this purpose is 30 percent of the project amount, not to exceed $200,000 per grant.
(Acts 1993, No. 93-543, p. 895, §6.)
The committee may use funds for the purpose of implementing and administering this article.
Legislative members of the committee may receive their regular legislative compensation for attendance of committee meetings. Other committee members shall be entitled to per diem and mileage allowances in the same amount as state employees receive as per diem and mileage allowance.
(Acts 1993, No. 93-543, p. 895, §7.)
If state grant funds are not utilized for the purposes stated in the approved grant application within two years of the date of the grant award, then the disbursed grant funds shall revert to loans. Repayment of these funds shall be made in yearly principal and interest installments for five years at the New York prime rate at the time of notification by the department that the two year limit has expired. These loans may be repaid on a shorter schedule if the grantee so desires. Loan funds recouped by the department and grant funds obligated, but not disbursed, shall become available for other purposes pursuant to this article.
(Acts 1993, No. 93-543, p. 895, §8.)
[Repealed]
REPEALED BY ACT 2024-443, EFFECTIVE OCTOBER 1, 2024.
(Acts 1995, No. 95-537, p. 1095, §1; Act 2010-185, p. 278, §1.)
[Repealed]
REPEALED BY ACT 2024-443, EFFECTIVE OCTOBER 1, 2024.
(Acts 1995, No. 95-537, p. 1095, §2; Act 2010-185, p. 278, §1.)
[Repealed]
REPEALED BY ACT 2024-443, EFFECTIVE OCTOBER 1, 2024.
(Acts 1995, No. 95-537, p. 1095, §3; Act 2010-185, p. 278, §1.)
[Repealed]
REPEALED BY ACT 2024-443, EFFECTIVE OCTOBER 1, 2024.
(Acts 1995, No. 95-537, p. 1095, §5; Act 2010-185, p. 278, §1.)
[Repealed]
REPEALED BY ACT 2024-443, EFFECTIVE OCTOBER 1, 2024.
(Acts 1995, No. 95-537, p. 1095, §6; Act 2010-158, p. 278, §1.)
[Repealed]
REPEALED BY ACT 2024-443, EFFECTIVE OCTOBER 1, 2024.
(a) The board shall exercise authority with respect to all matters pertaining to the acceptance and adoption, and implementation of the Alabama Energy and Residential Codes by the State of Alabama. In so doing, the board may perform any of the following functions:
(1) Review, amend, and adopt the Alabama Energy and Residential Codes. The board shall consider updates and changes to the codes referenced herein no less than two years after the date of publication of the most recent version of the codes.
(2) Evaluate, assess, advise, and counsel the division and the units of local government, on residential energy codes and the impact of those codes upon the economy and the environment.
(3) Solicit and enlist the cooperation of all appropriate private-sector and community-based organizations to implement the purpose of this article.
(4) Make recommendations to the division for the enactment of additional legislation as it deems necessary which proposes to further enhance the capabilities of the state and the units of local government in accepting, adopting, and implementing the Alabama Energy and Residential Codes, and in meeting the need for increasing residential energy resources and conservation due to trends in residential population and the change in technical requirements of the economy.
(5) Make continuing studies, on its own initiative or upon the request of the division, of the residential energy resources, conservation, and consumption needs throughout the state, and issue those reports to the division and to the units of local government as may result from its studies.
(6) Submit to the chief of the division, on an annual basis, a written report covering the activities of the board.
(7) Make rules and regulations for the conduct of its board meetings, procedures, and execution of the purpose, functions, powers, and duties delegated to it by this article.
(8) Conduct a program of public information in order to inform the units of local government and the citizens of the state on the importance of residential and energy codes, conservation, and consumption.
(9) Identify any and all resources needed or required for the board to implement the purpose, functions, powers, and duties of this article.
(b) The division shall be responsible for taking action upon any and all recommendations to which the board may from time to time submit.
(c)(1) Except as provided in this section, any code adopted by any state or county entity or agency after March 9, 2010, shall not conflict with the codes adopted by the board. A county entity or agency may elect to amend the Alabama Energy and Residential Codes as local conditions require, but shall not make any amendment to mandate residential fire sprinklers or to provisions which are mandated or required by any federal law or federal regulation.
(2) As of March 9, 2010, any municipality which does not have a code in effect adopted pursuant to Section 11-45-8 shall not adopt any energy or residential code other than the Alabama Energy and Residential Codes adopted by the board or any newer versions thereof. Provided, however, a municipality may elect to amend the Alabama Energy and Residential Codes as local conditions require, but shall not make any amendment to mandate residential fire sprinklers or to provisions which are mandated or required by any federal law or federal regulation.
(3) Except as provided in subsection (d), nothing contained in this article shall apply to any municipality with a code adopted pursuant to Section 11-45-8 in effect as of March 9, 2010, nor shall it prevent any such municipality from making any changes or amendments to existing codes after March 9, 2010. Provided, however, that a municipality shall not make any amendment to provisions which are mandated by any federal law or federal regulation.
(d) A municipal, county, or state governing entity or agency may not enact an ordinance, rule, bylaw, order, building code, or other legal device that would restrict a consumer’s ability to elect to install, by the consumer’s choice and for a fee, a residential fire sprinkler system in any new or existing one-family or two-family dwelling. A municipal, county, or state governing entity or agency may not enact an ordinance, rule, bylaw, order, building code, or other legal device that would require the installation of a residential fire sprinkler system in any new or existing one-family or two-family dwelling. Provided, however, all municipalities governed by subdivision (3) of subsection (c) which have enacted any ordinance, rule, bylaw, order, building code, or other legal device as of March 9, 2010, relating to the installation of a residential fire sprinkler system may continue to enforce or amend such ordinance, rule, bylaw, order, building code, or other legal device.
(Acts 1995, No. 95-537, p. 1095, §7; Act 2010-185, p. 278, §1.)
(a) The Neighbors Helping Neighbors Fund is established in the State Treasury to provide eligible recipients weatherization assistance.
(b) The monies in the fund shall consist of any of the following:
(1) Appropriations made by and at the discretion of the Legislature.
(2) Other revenue sources made by and at the discretion of the Legislature.
(3) Proceeds from any gifts, grants, or contributions.
(4) Interest earned on principal remaining in the fund.
(5) Any other lawful sources.
(c) The monies in the fund shall not revert to the General Fund at the end of the fiscal year.
(Acts 1996, No. 96-660, p. 1058, §1; Act 2026-562, §1.)
(a) Eligible recipients of assistance are individuals who have a household income at or below 200 percent of the poverty level or individuals who are 60 years of age or older or handicapped and families with children under 18 years of age as determined by the United States Office of Management and Budget and reported in the federal register.
(b) The Director of the Department of Economic and Community Affairs may contract with statewide resiliency organizations to provide energy assistance to individuals who are eligible to receive assistance under this article.
(c) An amount of not more than 10 percent of the fund monies may be used for administrative costs in providing services specified under this article.
(d) On or before October 15 of each year, the director shall submit a report to the appropriate legislative committees. The report shall include a summary of the total monies collected and distributed under this article and other information as the legislative committees may request.
(e) For purposes of this section, “statewide resiliency organization” means an Alabama nonprofit corporation in the state which:
(1) Is exempt from federal income tax under 26 U.S.C. § 501(c)(3);
(2) Is charged with improving the resiliency, energy efficiency, and safety of the state’s residential housing stock for low and moderate income communities;
(3) Has adopted a conflict of interest policy consistent with the sample policy provided by the Internal Revenue Service and requires its directors to serve without compensation;
(4) Participates in large-scale residential energy efficiency programs within the state; and
(5) Possesses the capacity to leverage private, federal, and state funds to maximize the impact of the assistance provided under this section.
(Acts 1996, No. 96-660, p. 1058, §2; Act 2026-562, §1.)
[Repealed]
Repealed by Act 2006-503, p. 1145, §2, effective for tax years beginning after December 31, 2005.
(Acts 1996, No. 96-660, p. 1058, §3.)
(a) The Office of Inland Waterways and Intermodal Infrastructure is created as an office within the Alabama Department of Economic and Community Affairs (ADECA).
(b) The office shall be administered by an Executive Director of Inland Waterways and Intermodal Infrastructure, who shall be appointed by and report directly to the Director of ADECA. The executive director shall have experience and knowledge of Alabama’s inland waterways and intermodal infrastructure development. The executive director may hire an assistant and staff as necessary to participate in the administration of the office and the implementation of this article.
(Act 2009-776, p. 2422, §1.)
The office shall have the following powers to:
(1) Ensure that assets and needs of water transportation and intermodal infrastructure are properly considered and reflected in the state’s comprehensive transportation and strategic planning policies.
(2) Assist and coordinate with public and private entities in the development of the state’s rivers, ports, harbors, and intermodal facilities.
(3) Coordinate with the Coalition of Alabama Waterway Associations and other interests to formulate recommendations on annual budget requirements for federal waterway projects, infrastructure development, and related needs.
(4) Coordinate with each of Alabama’s individual waterway associations to promote the continued development, maintenance, and multiple use benefits of federally maintained navigation channels within the state and to market the benefits of improved water transportation.
(5) Coordinate with local and state development agencies to ensure a better understanding of the state’s navigable waterways and intermodal infrastructure needs in a manner that will result in the use and coordinated growth of the state’s transportation resources and facilities.
(6) Monitor and intercede on behalf of and represent the state before any agency of the United States government in matters pertaining to the application of fees, tolls, or user charges levied or contemplated to be levied against the water transportation industry engaged in either intrastate or interstate water commerce.
(7) Receive and use any federal, state, or private funds, donations, and grants made available for the development, use, expansion, and rehabilitation of river transportation and intermodal infrastructure resources of this state, provided that nothing herein shall be deemed to deny or prohibit any municipality, county, port authority, commission, or other governmental or private agency or authority from accepting the donations and grants they are now authorized by law to receive.
(8) Cooperate and enter into contracts with the federal government or any agency thereof or agencies of other states as necessary to carry out the purpose of this article, provided that no contract may obligate or potentially obligate any state funds or the full faith and credit of the State of Alabama unless expressly authorized by the Legislature.
(9) Serve as a resource for and assist all state agencies including, but not limited to, the Alabama Department of Transportation, the Alabama Department of Commerce, the Alabama State Port Authority, the Alabama Department of Agriculture and Industries, and others on any matters pertaining to and concerning the water transportation industry, including the promotion of the inland waterways and intermodal facilities as an attraction for new and expanding industries.
(10) Promote the development of commercial water transportation and intermodal infrastructure in this state through cooperation, in any manner whatsoever, with other states, other agencies of this state, the state Legislature, agencies of the United States government, and the Congress of the United States.
(11) Study all state and federal executive orders, legislation, and regulatory actions which may affect the commercial development of interstate or intrastate water transportation and intermodal infrastructure, and make recommendations concerning any executive orders, legislation, or regulatory actions.
(12) Compile, update, and provide, when and where necessary, a repository or database of information describing the capabilities of the state’s inland river ports, harbors, and intermodal infrastructure facilities with respect to equipment, systems, or types of products handled, economic benefits, job creation, capital investments, and other pertinent data, including studies and planning for the expansion to further the development of the inland river ports, harbors, intermodal facilities, and the water transportation industry in general.
(13) Provide, when and where necessary, any and all information and data, individually or collectively, or both, to the Legislature, through the Director of ADECA, for the inland river ports, harbors, and intermodal infrastructure facilities within the state.
(14) Assist in the formation and presentation of any legislation to promote the development and growth of the waterways industry and intermodal infrastructure in the State of Alabama.
(15) Prepare studies and make plans for the expansion, use, and growth of the inland water transportation resources and intermodal infrastructure facilities of this state.
(16) Serve as Secretary to the Inland Waterways and Intermodal Infrastructure Advisory Board, and coordinate all administrative requirements in support of the board.
(17) Perform all other functions for and on behalf of the state which may be necessary or desirable to accomplish the purposes of this article.
(Act 2009-776, p. 2422, §2.)
(a) The Director of ADECA shall create an Inland Waterways and Intermodal Infrastructure Advisory Board to advise the Director of ADECA. The membership of the board shall be inclusive and reflect the racial, gender, geographic, urban and rural, and economic diversity of the state. The membership of the board shall be composed of the following members to be selected and appointed by the Director of ADECA in consultation with the Coalition of Alabama Waterway Associations:
(1) One representative from each of the associations representing the five major navigable waterways serving Alabama, namely the Coosa-Alabama River Improvement Association, Warrior-Tombigbee Waterway Association, Tri Rivers Waterway Development Association, Tennessee River Valley Association, and Tennessee-Tombigbee Waterway Development Authority.
(2) One member from public port operations which have existing waterfront cargo handling facilities and which regularly employ the use of barge transportation.
(3) One member from private port operations which serve the public, have existing waterfront cargo handling facilities, and which regularly employ the use of barge transportation.
(4) The Executive Director of the Alabama State Port Authority, or his or her designee.
(5) The Chair of the Alabama delegation of the Southern Rapid Rail Commission, or his or her designee.
(6) The Director of the Alabama Department of Transportation, or his or her designee.
(7) The Commissioner of the Alabama Department of Agriculture and Industries, or his or her designee.
(8) The Secretary of the Department of Commerce, or his or her designee.
(9) The Division Chief of the Office of Water Resources at ADECA, or his or her designee.
(10) One member at large from a business or industry associated with inland waterway navigation or intermodal infrastructure facilities in the state.
(b) Board members shall serve at the pleasure of the Director of ADECA and shall continue in office until replaced. The Director of ADECA shall serve as chair, and a vice chair shall be elected by the board membership. Members of the board shall be reimbursed from funds available to ADECA for expenses, including travel and lodging in support of official board activities, to the same extent as state officers are reimbursed for state travel and per diem. The board shall meet at least two times a year and as necessary at the call of the chair.
(c) The board shall perform the following functions:
(1) Serve in an advisory capacity to the Director of ADECA, the Governor, and the Legislature in accomplishing its mission pursuant to this article.
(2) Assist in the development of rules, standards, policies, procedures, and directions of the office regarding its duties and responsibilities authorized by this article.
(3) Recommend specific public and private actions that would enable the state to utilize its waterways and intermodal infrastructure to promote future growth and economic development.
(4) Advise the Director of ADECA on applications submitted to the Inland Waterways and Intermodal Infrastructure Fund for financial assistance in the development and improvement of infrastructure supporting commercial river activities and intermodal facilities.
(Act 2009-776, p. 2422, §3.)
(a) The Inland Waterways and Intermodal Infrastructure Fund is created in ADECA to finance infrastructure improvements related to inland waterway and intermodal development projects, any national water recreation trail in Alabama which is designated by the National Park Service, and other projects as may be authorized by law for multi-modal transportation development.
(b) To receive funds under this article, a port, authority, other legal entity, or commission shall file an application with ADECA describing how the funds will be used and any other information ADECA may require. No application shall be approved or funds distributed unless the expenditure of funds are:
(1) Directly related to capital improvements, dredging for project development, including economic development for recreation, or the rebuilding or rehabilitation of basic waterway infrastructure and not for routine maintenance, administrative, or operational expenses; or
(2) For a project or use directly related to intermodal infrastructure development including, but not limited to, the operation of a port in its modal role; or
(3) For a purpose outside the normal operating budget of a port or intermodal infrastructure facility or a river-related community.
(Act 2009-776, p. 2422, §4.)
(a) This article shall not apply nor have any effect on any state agency currently having control over local port or infrastructure commissions or authorities.
(b) This article shall not change any existing laws that apply to any existing port or infrastructure commission or authority, or to powers presently provided for conducting and developing the water transportation industry, and all such existing laws are hereby expressly preserved and shall not be preempted by this article.
(c) No provision of this article shall be construed to authorize any diversion from local port or infrastructure commissions or authorities of fees, funds, donations, grants, or monies to which the commission or authorities are otherwise entitled.
(d) The Alabama State Port Authority, including its inland ports, is expressly exempt from the purview of this article.
(Act 2009-776, p. 2422, §5.)
When used in this article, the following words and phrases have the following meanings unless the context clearly indicates otherwise:
(1) INLAND PORTS. Inland ports, including ports owned or operated by the Alabama State Port Authority, are physical sites located away from traditional land, air, and coastal borders with the vision to facilitate and process international and domestic trade through strategic investment in multi-modal transportation assets and by promoting value-added services as goods move through the supply chain. The term specifically excludes the Port of Mobile.
(2) INTERMODAL FACILITY. A transportation element that accommodates and interconnects different modes of transportation and serves intrastate, interstate, and international movement of people and goods and facilitates the movement of goods on two or more modes involving either direct transfer or intermediate storage.
(3) PORT FACILITY. Any authority, municipality, county, or publicly owned inland port through which cargo is transported by way of waterborne ship, barge, or railroad, to or from destinations inside or outside this state and which handles cargo owned by third parties.
(Act 2024-450, §2.)
(a) The Inland Ports and Intermodal Development Fund is created within the Alabama Department of Economic and Community Affairs to receive appropriations from the State General Fund for the purpose of financing improvements to existing publicly owned inland ports and intermodal facility infrastructure. Funding for the grant program shall be awarded on a competitive bid basis for inland port and intermodal facility projects that will have a significant local or regional impact. Priority of funding shall be given to inland ports and intermodal facilities that have proven performance in reducing congestion on public highways and increasing tonnage at port facilities and that will enhance regional competitiveness for port operators and users. The minimum participation for local funds is 20 percent of the project amount.
(b) To receive funds under this article, an inland port or intermodal facility shall file an application with the department describing how the funds will be used and any other information the department may require. No application shall be approved or funds distributed unless the expenditure of funds are:
(1) Directly related to capital improvements, dredging for project development in the immediate vicinity of an existing inland port, economic development of an inland port facility, or the rebuilding or rehabilitation of basic waterway and port infrastructure;
(2) For a project or use directly related to intermodal infrastructure development;
(3) For a purpose outside the normal operating budget of an inland port or intermodal infrastructure facility or a river-related community; or
(4) For purpose of assessment or planning.
(c) Funding shall not be approved for routine maintenance, administrative, and operational expenses, or for the dredging of waterways within the state that are not in the immediate vicinity of an inland port facility. Additionally, the use of funding to establish or construct new inland ports, or to acquire land for new inland ports, shall not be eligible for funding unless a feasibility study and competitive analysis have been conducted and submitted for review to the department.
(Act 2024-450, §3.)
(a) Notwithstanding any other provision of law to the contrary, the Legislature shall annually appropriate two million dollars ($2,000,000) from the State General Fund to the Alabama Department of Economic and Community Affairs to establish a grant program to facilitate and coordinate inland port and transfer facility development, improvement, maintenance, onsite storage, moorings, and construction. The appropriation shall be effective beginning fiscal year 2026 and continue through the 2028 fiscal year, unless continued by an act of the Legislature.
(b) Upon appropriations, the monies shall be kept in the Inland Ports and Intermodal Development Fund created in Section 41-23-131 and shall be subject to audit by the Department of Examiners of Public Accounts in the same manner as all other department funds. Any unexpended monies remaining in the fund at the end of the fiscal year shall remain in the fund and shall not revert to the State General Fund. The amount of the appropriation for the upcoming fiscal year appropriation shall be reduced by the amount carried forward such that the department will have no more than five million dollars ($5,000,000) in any single fiscal year to administer the grant program. Any monies that remain unexpended at the end of the third fiscal year shall revert to the State General Fund. Any unencumbered funds remaining pursuant to this article after three years shall revert to the State General Fund.
(Act 2024-450, §4.)
(a) This article shall not apply nor have any effect on any state agency currently having control over local port or infrastructure commissions or authorities.
(b) This article shall not change any existing laws that apply to any existing port or infrastructure commission or authority, or to powers presently provided for conducting and developing the water transportation industry, and all such existing laws are expressly preserved and shall not be preempted by this article.
(c) No provision of this article shall be construed to authorize any diversion from local port or infrastructure commissions or authorities of fees, funds, donations, grants, or monies to which the commission or authorities are otherwise entitled.
(Act 2024-450, §5.)
The Alabama Department of Economic and Community Affairs shall adopt rules, restrictions, and eligibility requirements as are necessary to implement and administer this article.
(Act 2024-450, §6.)
(a) For the purposes of this article, the term trail means any form of paved or unpaved trail including freshwater and saltwater paddling trails. The term trail user community includes, but is not limited to, the following: Paved and unpaved trail users, hikers, bicyclists, users of off-highway vehicles, paddlers, equestrians, disabled outdoor recreational users, and commercial recreational interests.
(b) There is created within the Alabama Department of Economic and Community Affairs, the Alabama Trails Commission which shall advance development, interconnection, and use of trails in this state and as further provided in this article. The commission shall be composed of the following members:
(1) Two members recognized for expertise in trail development, management, or use, appointed by the Governor and representing the trail user community.
(2) One member recognized for expertise in trail development, management, or use, appointed by the Lieutenant Governor and representing the trail user community.
(3) One member recognized for expertise in trail development, management, or use, appointed by the Speaker of the House of Representatives and representing the trail user community.
(4) One member appointed by the Director of the Alabama Department of Economic and Community Affairs.
(5) One member appointed by the Director of the state Department of Transportation.
(6) One member appointed by the Director of the Department of Tourism.
(7) One member appointed by the Commissioner of the Department of Conservation and Natural Resources.
(8) One staff member from the Governor’s office appointed by the Governor.
(9) One member who shall be a representative of the regional planning councils appointed by the Governor.
(10) One member representing counties appointed by the Association of County Commissions of Alabama.
(11) One member representing municipalities appointed by the Alabama League of Municipalities.
(12) One member appointed by the Business Council of Alabama.
(c) The term of all appointees appointed after July 1, 2016, shall be for four years unless otherwise specified. The appointees may be reappointed for not more than two consecutive terms by the same appointing authority. All other appointees shall serve until a successor is appointed.
(d) The membership of the commission shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(e) The commission shall be located for administrative purposes within the Alabama Department of Economic and Community Affairs and the department shall provide necessary staff assistance to the commission. Notwithstanding the foregoing, the commission may be transferred for administrative and staff assistance purposes to another state agency or department upon approval by a three-fourths vote of the commission and the approval of the Director of the Department of Economic and Community Affairs and the director of the state agency or department accepting the transfer.
(f) The duties of the commission shall include the following:
(1) Develop and support the Alabama Trails System.
(2) Facilitate a statewide system of interconnected landscape linkages, conservation corridors, greenbelts, recreational corridors and trails, scenic corridors, utilitarian corridors, reserves, regional parks and preserves, ecological sites, and cultural/historic/recreational sites using land-based trails that connect urban, suburban, and rural areas of the state and facilitate expansion of the statewide system of freshwater and saltwater paddling trails.
(3) Recommend priorities for critical links in the Alabama Trails System and coordinate local needs goals and leadership to accomplish this mission.
(4) Review designation proposals for inclusion in the Alabama Trails System.
(5) Encourage public-private partnerships to develop and manage trails.
(6) Review progress toward meeting goals for the establishment and operation of the Alabama Trails System and recommend appropriate action.
(7) Make recommendations for updating and revising the implementation plan for the Alabama Trails System.
(8) Promote trail support organizations.
(9) Support the Alabama Trails System through intergovernmental coordination, advocacy, education, alternative funding sources, and any other appropriate way.
(10) Organize and coordinate a nonprofit tax deductible corporation that should be expected to aggressively serve Alabama trails in enterprises normally beyond the reach of government, such as fundraising, coordination of local and national institutions similarly intended, and supporting education and civic outreach.
(g) The commission shall establish procedures for conducting its affairs in execution of the duties and responsibilities stated in this section, which operating procedures shall include determination of a commission chair and other appropriate operational guidelines. The commission shall meet at the call of the chair, or at other times as may be prescribed by its operating procedures. The commission may establish committees to conduct the work of the commission and the committees may include nonmembers as appropriate.
(h) A vacancy on the commission shall be filled for the remainder of the unexpired term in the same manner as the original appointment. Members whose terms have expired may continue to serve until replaced or reappointed.
(i) The commission shall report annually to the Legislature detailing progress, plans, and milestones in its conduct of duties authorized by this article and to what extent the commission is in compliance with the diversity provisions provided for in this article.
(Act 2010-585, p. 1313, §1; Act 2016-149, §1.)
(a) There shall also be created an Alabama Trails Commission Advisory Board which shall advise the commission in the execution of the Alabama Trails Commission’s powers and duties under this article. The advisory board of directors shall be composed of the following:
(1) Two Senators appointed by the Lieutenant Governor.
(2) Two members of the House of Representatives appointed by the Speaker of the House.
(3) Three members of the Alabama Recreational Trails Advisory Board.
(4) One member representing a university in this state appointed by the Governor.
(5) One member appointed by the State Forestry Commission.
(6) One member appointed by the Commissioner of Agriculture and Industries.
(7) One member appointed by the State Health Officer.
(8) One member appointed by the Executive Director of the Retirement Systems of Alabama.
(9) One member appointed by the U.S. Forest Service.
(10) One member shall be a representative of the Alabama Power Company.
(11) One member shall be a representative of the Tennessee Valley Authority.
(12) One member shall be a representative of Power South.
(13) One member appointed by the Alabama Farmers Federation.
(14) One member appointed by the Army Corps of Engineers.
(15) One member appointed by the Natural Resources Conservation Services.
(16) One member appointed by the Commissioner of the Department of Conservation and Natural Resources.
(17) One member who shall be a representative of a land trust headquartered in this state to be appointed by the Governor. This position shall rotate between land trusts every four years.
(18) One member appointed by Blue Cross and Blue Shield.
(19) Two members from under-represented user groups appointed by the Trails Commission.
(20) One member from an under-represented federal agency appointed by the Trails Commission.
(21) One member appointed by the Alabama Association of Resource Conservation and Development Council.
(22) One member representing railroads appointed by the Alabama Railway Association.
(b) The term of all Alabama Trails Commission Advisory Board appointees appointed after July 1, 2016, shall be for four years. The appointees may be reappointed for no more than two consecutive terms by the same appointing authority. The members of the Alabama Trails Commission Advisory Board shall serve until a successor is appointed.
(c) A vacancy on the advisory board shall be filled for the remainder of the unexpired term in the same manner as the original appointment. Members whose terms have expired may continue to serve until replaced or reappointed.
(d) The membership of the advisory board shall be inclusive and reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(Act 2010-585, p. 1313, §2; Act 2016-149, §1.)
Members of the commission and advisory board may not receive any compensation for their services but are entitled to receive reimbursement for per diem and travel expenses incurred in the performance of their duties.
(Act 2010-585, p. 1313, §3.)
(a) This article shall be known as the Healthy Food Financing Act.
(b) The purpose of this article is to establish a statewide program to increase the availability of fresh and nutritious food, including fruits and vegetables, in underserved communities by providing financing for retailers to open, renovate, or expand grocery stores.
(Act 2015-240, §1.)
For the purposes of this article, the following words have the following meanings:
(1) DEPARTMENT. The Alabama Department of Economic and Community Affairs.
(2) FINANCING. Loans or grants.
(3) GROCERY STORE. A for-profit or nonprofit self-service retail establishment that primarily sells meat, seafood, fruits, vegetables, dairy products, dry groceries, household products, and other healthy or fresh food retailers.
(4) LOW INCOME AREA. A census tract, as reported in the most recently completed decennial census published by the U.S. Bureau of the Census, that has a poverty rate of at least 20 percent or in which the median family income does not exceed 80 percent of the greater of the statewide or metropolitan median family income.
(5) MODERATE INCOME AREA. A census tract in which the median family income is between 81 and 95 percent of the median family income for the area.
(6) UNDERSERVED COMMUNITY. A census tract determined to be an area with low supermarket access by either the U.S. Department of Agriculture, as identified in the USDA’s Food Access Research Atlas, or through a methodology that has been adopted for use by another governmental or philanthropic healthy food initiative.
(Act 2015-240, §2.)
There is established the Healthy Food Financing Fund, which shall be comprised of federal, state, or private grants or loans, federal tax credits, or other type of financial assistance, for the construction or expansion of grocery stores to expand access to fresh produce and other nutritious foods in underserved communities. Monies in the fund shall be used, to the extent practicable, to leverage other forms of financing. No less than 25 percent of the monies in the fund shall be expended in the form of grants or forgivable loans.
(Act 2015-240, §3.)
(a) The department, in cooperation with public and private sector partners, shall establish a financing program to provide financing to retailers to construct, rehabilitate, or expand grocery stores in underserved communities in urban and rural low and moderate income areas.
(b) The department may contract with one or more qualified nonprofit organizations or community development financial institutions to administer this program through a public-private partnership. The department shall establish program guidelines, promote the program statewide, evaluate applicants, underwrite and disburse grants and loans, and monitor compliance and impact. The department may develop rules in accordance with the Administrative Procedure Act to carry out the program and to meet the intent of this article. No more than 10 percent of the monies in the fund shall be reserved for administrative and operational costs to manage the program by the department, unless those costs are provided for from other budgets or in-kind resources.
(c) The department shall establish monitoring and accountability mechanisms for projects receiving financing and shall report annually to the Legislature on the projects funded, the geographic distribution of the projects, the costs of the program, the administrative cost of the program, and the outcomes, including the number and type of jobs created and health impacts associated with the program.
(d) The department shall create eligibility guidelines and provide financing through an application process. Projects shall be located in an underserved community and primarily serve low or moderate income areas. Projects eligible for financing include the following:
(1) Construction of new grocery stores.
(2) Store renovations, expansion, and infrastructure upgrades that improve the availability and quality of fresh produce and other healthy foods.
(e) An applicant for financing may be a for-profit or nonprofit entity, including, but not limited to, a sole proprietorship, partnership, limited liability company, corporation, cooperative, nonprofit organization, nonprofit community development entity, university, or government entity. An applicant for financing shall do all of the following:
(1) Demonstrate the capacity to successfully implement the project and the likelihood that the project will be economically self-sustaining.
(2) Demonstrate the ability to repay the debt.
(3) Agree, for a period of at least five years, to comply with the following conditions:
a. To allocate at least 30 percent of food retail space for the sale of perishable foods, which may include fresh or frozen dairy, fresh produce, whole grains, fresh meats, poultry, and fish.
b. To comply with all data collection and reporting requirements established by the department.
c. To promote the hiring of local residents.
(f) In determining which qualified projects to finance, the department shall consider all of the following:
(1) The level of need in the area to be served.
(2) The degree to which the project requires an investment of public financing to move forward, create impact, or be competitive, and the level of need in the area to be served.
(3) The degree to which the project will have a positive economic impact on the underserved community, including by creating or retaining jobs for local residents.
(4) The degree to which the project will participate in state and local health department initiatives to educate consumers on nutrition and promote healthier eating.
(5) Other criteria the department determines to be consistent with the purposes of this article.
(g) Financing made available for projects may be used for any of the following purposes:
(1) Site acquisition and preparation.
(2) Construction and build-out costs.
(3) Equipment and furnishings.
(4) Workforce training or security.
(5) Pre-development costs such as market studies and appraisals.
(6) Energy efficiency measures.
(7) Working capital for first-time inventory and startup costs.
(Act 2015-240, §4.)
(a) For the purposes of this article, the following terms shall have the following meanings:
(1) ACADV. The Alabama Coalition Against Domestic Violence.
(2) DIRECTOR. The Director of the Department of Economic and Community Affairs.
(3) OTHER QUALIFIED ENTITY. An entity designated by the director to fulfill the duties of the ACADV in the event the ACADV ceases operations or is otherwise ineligible to receive federal funds for domestic violence programs in this state.
(b) There is established a certified domestic violence center capital improvement grant program under the Department of Economic and Community Affairs.
(c) A certified domestic violence center, as provided for in Section 30-6-6, may apply to the director, or his or her designee, for a capital improvement grant. The grant application shall provide all of the following information:
(1) A statement specifying the capital improvement and the projected costs that the certified domestic violence center proposes to make with the grant funds.
(2) The proposed strategy for making the capital improvement.
(3) The organizational structure that will carry out the capital improvement.
(4) Evidence that the certified domestic violence center has difficulty in obtaining funding or that the funds available for the proposed improvement are inadequate.
(5) Evidence that the grant funds will assist in meeting the needs of victims of domestic violence and their children in the certified domestic violence center service area.
(6) Evidence of a satisfactory recordkeeping system to account for grant fund expenditures.
(7) Evidence of the ability to generate a local match.
(8) Proof of who owns the real property, building, and structures upon which domestic violence services are being provided or will be provided.
(d) A certified domestic violence center may receive funding subject to legislative appropriation, upon application to the director, for projects to construct, acquire, repair, improve, or upgrade systems, facilities, or equipment, subject to availability of grant funds.
(e) An award of grant funds under this article shall be made in accordance with a needs assessment developed by the ACADV or other qualified entity and the director. The director shall perform annually the needs assessment and shall rank in order of need those centers that are requesting grant funds for capital improvement.
(f) The director, in collaboration with the ACADV or other qualified entity, shall establish criteria for awarding the capital improvement grant funds that shall be used exclusively for support and assistance with the capital improvement needs of the certified domestic violence center.
(g) The director shall ensure that the grant funds awarded under this article are used solely for the purposes specified in this article. The director shall also ensure that the grant process maintains the confidentiality of the location of the certified domestic violence center applying for the grant. The total amount of the grants awarded under this article may not exceed the amount appropriated for the program.
(Act 2015-493, §4.)
AMENDED BY ACT 2026-324, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
There is hereby established the Alabama Space Authority.
(Act 2017-403, §1.)
AMENDED BY ACT 2026-324, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
The authority shall be composed of a representative of the University of Alabama in Huntsville, selected by the President of the University of Alabama in Huntsville, the Director of the Auburn University Aviation Center, the President of Alabama Agricultural and Mechanical University, the Secretary of the Alabama Department of Commerce, the Director of the Alabama Department of Economic and Community Affairs, the Director of the Department of Transportation, and six other members to be selected from the aerospace, aviation, and related industries, or persons having knowledge or interest in space technology, according to the following manner: One member appointed by the Governor, the Finance Director, two members appointed by the Speaker of the House of Representatives, and two members appointed by the President Pro Tempore of the Senate.
(Act 2017-403, §2.)
The authority shall be created as an office in the Alabama Department of Economic and Community Affairs (ADECA). ADECA shall provide for the initial support needed to apply for grant funding. Upon receipt of grant funding, ADECA shall provide administrative support for the authority.
(Act 2017-403, §3.)
AMENDED BY ACT 2026-324, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
The authority shall have the following duties:
(1) Encourage the education and training of aerospace professionals to pioneer the frontier of space and to develop new methods and technologies for the exploration of space.
(2) Promote new space exploration, space tourism, and spaceport technologies across a wide spectrum of corporate, academic, public, and private innovation infrastructures.
(3) Sponsor aerospace conferences and business roundtables to enable networking among key aerospace leaders and public officials.
(4) Encourage the leveraging of venture capital and seed public-private partnerships to promote entrepreneurship and expand space enterprise.
(5) Propose business initiatives, tax credits, small business incubator programs, and other initiatives to stimulate economic development and innovation within the aerospace and space systems communities.
(6) Perform a study on the feasibility of securing approval for the State of Alabama to have a federally licensed spaceport.
(7) Encourage space research and education centers to support these programs and facilitate technology transfer.
(8) Work with the Department of Tourism, the Alabama Space Science Exhibit Commission, and other public agencies to communicate the multiple scientific, educational, and commercial benefits of space exploration and the legacy of Alabama’s contributions to America’s space program to the public and to promote space tourism and training.
(Act 2017-403, §4.)
AMENDED BY ACT 2026-324, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
For the purpose of accomplishing the duties enumerated in Section 41-23-173, the authority shall have the following powers:
(1) To acquire by purchase or gift any real, personal, or mixed property necessary or convenient in connection with the purpose for which the authority is formed and to hold title to such property, together with all rights incidental to its estate in such property.
(2) To lease all or any part of the facilities or property of the authority to any person and, from time to time, fix, revise, charge, and collect rentals under such leases.
(Act 2017-403, §5.)
Nothing in this article should be construed to limit the ability of municipalities, counties, or airport authorities incorporated or reincorporated pursuant to Title 4 from developing aerospace and spaceport infrastructure and capabilities.
(Act 2017-403, §6.)
Members of the authority shall serve without compensation but shall be reimbursed for per diem and travel expenses at the same rate and under the same circumstances as are payable by law to state employees for each day they attend business of the authority. Per diem and travel expenses for members who are state officers or employees shall be paid from the budget of the Alabama Department of Economic and Community Affairs.
(Act 2017-403, §9.)
This article shall be known and may be cited as the Alabama Public Transportation Act.
(Act 2018-161, §1.)
As used in this article, the following words have the following meanings:
(1) ADVISORY COMMITTEE. The Alabama Public Transportation Trust Fund Advisory Committee.
(2) DEPARTMENT. The Alabama Department of Economic and Community Affairs.
(3) DIRECTOR. The Director of the Alabama Department of Economic and Community Affairs.
(4) TRUST FUND. The Alabama Public Transportation Trust Fund created pursuant to Section 41-23-193.
(Act 2018-161, §2.)
The Legislature finds and declares the following:
(1) Alabama is in need of more safe and affordable public transportation options for residents and visitors.
(2) Inadequate and inefficient public transportation in Alabama adversely affects a community’s ability to develop and maintain a viable and stable economy.
(3) The establishment of the Alabama Public Transportation Trust Fund is intended to do all of the following:
a. Provide a flexible source of funding for all Alabama communities to address their public transportation needs.
b. Help families attain economic stability.
c. Connect people to work opportunities and meet other vital transportation needs.
d. Contribute to economic growth through increased employment in operating and maintaining public transportation infrastructure.
e. Increase tax revenue by improving the ability of people to access work and purchase goods and services, thereby benefiting all Alabama residents.
f. Alleviate deficiencies in the supply of safe and affordable public transportation for citizens of Alabama and visitors, many of whom are physically disabled, elderly, living with developmental disabilities, or otherwise unable to afford the costs of owning, maintaining, and properly insuring a vehicle.
g. Decrease the consequences of impaired and distracted driving by providing new opportunities for people to meet transportation needs without operating a motor vehicle.
(Act 2018-161, §3.)
(a) The Alabama Public Transportation Trust Fund is created in the State Treasury for the distribution of designated funds appropriated by the Legislature or collected from grants or other sources for the purpose of increasing public transportation options across the State of Alabama. The trust fund shall be maintained and administered by the department.
(b) The department shall do all of the following in maintaining and administering the trust fund:
(1) Invest and reinvest all money held in the trust fund in investments under the department’s investment policies.
(2) Keep books and records relating to the investment, interest earnings, and uses of monies deposited into the trust fund.
(3) Establish procedures for the withdrawal, allocation, and use of the monies held in the trust fund for the purposes described in Section 41-23-194.
(4) Publish, on an annual basis, criteria for determining the distribution of monies from the trust fund.
(5) Conduct an annual independent audit of the trust fund.
(6) Prepare, in collaboration with the advisory committee, an annual performance report, which shall be provided to the Governor, Speaker of the House of Representatives, and the President Pro Tempore of the Senate, outlining the use of the trust fund monies, including, but not limited to, the trust fund’s success in meeting its intended purposes.
(7) Conduct or hire an outside entity to conduct a statewide public transportation needs assessment once every five years to inform the department, the director, and the advisory committee of the public transportation needs in Alabama. The assessment should include evaluating transportation needs for individuals with disabilities, low-income and rural populations, and the elderly.
(8) Enter into contracts and agreements in connection with the operation of the trust fund, including contracts and agreements with federal agencies, local governmental entities, community developers, and other persons and not-for-profit groups. This provision shall not authorize contracts and agreements with for-profit entities.
(9) Engage in ongoing efforts to increase funding sources for the trust fund, including any additional ongoing state-dedicated funding source.
(c) The department shall seek the input of the advisory committee, but the director shall have final decisionmaking authority on all matters relating to the trust fund and programs administered pursuant to this article.
(d) The department shall be paid periodically a reasonable fee from amounts deposited to the trust fund to reimburse it for its services in administering the fund. On an annual basis, the department may not be paid in excess of 10 percent of the total annual deposits to the trust fund.
(Act 2018-161, §4.)
(a) Activities funded by the trust fund shall be selected through a competitive process pursuant to rules adopted by the department with input from the advisory committee. In establishing criteria for the awarding of funds, the department shall address the transportation needs of the disabled, the elderly, and rural populations, consistent with the input of the advisory committee and the statewide public transportation needs assessment, and work toward the following goals:
(1) Increase safe and affordable public transportation options across the State of Alabama.
(2) Maintain and repair the existing fleet of public transportation options across Alabama, while acquiring new vehicles, as needed.
(3) Serve individuals and families living near urban fixed route public transportation systems, expand such routes, and improve service along the routes.
(4) Serve individuals and families living in rural Alabama and connect them to the goods and services that improve their quality of life and bolster their economic well-being.
(b) All transportation systems funded under this article must comply with the design standards of the Americans with Disabilities Act.
(Act 2018-161, §5.)
(a) There is created the Alabama Public Transportation Fund Advisory Committee for the purpose of advising the director and staff of the department with respect to the administration of the trust fund; provided, however, all decisionmaking authority remains with the department.
(b) The advisory committee shall consist of the following members:
(1) A member of the House of Representatives appointed by the Speaker of the House of Representatives.
(2) A member of the Senate appointed by the President Pro Tempore of the Senate.
(3) The Lieutenant Governor or his or her designee.
(4) A representative of the American Association of Retired Persons (AARP) appointed by AARP Alabama.
(5) A representative of the Department of Senior Services appointed by that department.
(6) A representative of the Alabama Association of Regional Councils appointed by that organization.
(7) A representative of the Community Action Association of Alabama appointed by that organization.
(8) A representative of the Disability Rights and Resources in Birmingham, the Montgomery Center for Independent Living, or the Independent Living Center of Mobile, jointly appointed by those organizations.
(9) A representative of the Transit Citizens Advisory Board of Birmingham appointed by that organization.
(10) An individual who regularly uses public transportation to be appointed by the Governor from a list jointly provided by Greater Birmingham Ministries and Alabama Arise.
(11) A representative of the Alabama League of Municipalities appointed by that organization.
(12) A representative of the Alabama Association of County Commissions appointed by that organization.
(13) A representative of the Alabama Transportation Association appointed by that organization.
(c) To avoid a conflict of interest or the appearance of a conflict of interest, no sitting advisory committee organization may apply for trust fund dollars during its time on the advisory committee. If an affiliate organization applies for funding, the related advisory committee organization shall recuse itself from any discussion or voting on the application.
(d) Each member of the advisory committee shall serve a three-year term with the exception of the initial members. The initial members shall draw lots to determine the three members who shall serve for three years, the three members who shall serve for two years, and the three members who shall serve for one year.
(e) Each term on the advisory committee shall expire on September 30 of the year in which the term expires. When this occurs, the applicable appointing authority shall appoint a new member or reappoint the current member. If a vacancy occurs, an appointment shall be made within 90 days to fill the vacancy for the remainder of the unexpired term.
(f) Membership of the advisory committee shall be inclusive and reflect the racial, gender, geographic, urban/rural and economic diversity of the state. The advisory committee shall annually report to the Legislature by the second legislative day of each regular session the extent to which the membership of the advisory committee complies with the diversity provisions of this section.
(g) The advisory committee shall elect from its membership a chair, vice chair, and secretary. The advisory committee shall adopt rules to govern its proceedings. A majority of the membership of the committee shall constitute a quorum for all meetings.
(h) The advisory committee shall meet within 30 days after the members are appointed and thereafter shall hold regular meetings. Minutes of each meeting of the advisory committee shall be signed and kept by the secretary or an assistant secretary appointed by the advisory committee.
(i) The director may remove a member of the advisory committee only for neglect of duty; an unexcused failure to attend more than one of the regularly scheduled meetings held in a calendar year during the term in office of the member; malfeasance; a violation of this article, or the conviction of a felony.
(j) Members of the advisory committee shall receive reimbursement for expenses incurred in the performance of duties, as approved by the director.
(Act 2018-161, §6.)
The advisory committee shall do all of the following:
(1) Review and advise department staff on all policies and procedures for administration of the trust fund including, but not limited to:
a. Development of a process for making awards from the trust fund.
b. Development of policies and rules for operating the trust fund including priorities for making awards and criteria for evaluating applications, and delineation of all compliance and reporting responsibility of fund recipients.
(2) Review and advise department staff on the collection and presentation of data on the use and impact of the trust fund and the preparation of an annual performance report to be submitted to the Legislature, the Governor, and the public.
(3) Pursue additional sources of revenue beyond appropriations from the state.
(4) Ensure that the dedicated resources alleviate the public transportation and connectivity needs of Alabamians by targeting hard-to-serve, special needs populations, including, but not limited to, the disabled, the elderly, and rural populations.
(5) Prepare, in collaboration with department staff, an annual review of the rules, compliance responsibilities, set-asides, funding priorities, policies, funding recommendations, and funding decisions, including any recommended changes to the operation of the trust fund. This review shall be presented to the director for final approval.
(Act 2018-161, §7.)
Any of the following entities are eligible to apply to the department for funding from the trust fund:
(1) Not-for-profit organizations.
(2) Municipalities.
(3) Counties.
(4) Public transit authorities.
(Act 2018-161, §8.)
This article shall be known and may be cited as the Alabama Broadband Accessibility Act.
(Act 2018-395, §1.)
The Legislature finds that the availability of high-speed broadband services, with the preference of speeds of 100 megabits per second of download speed and 100 megabits per second of upload speed or greater, in unserved rural Alabama is important for economic development, education, health care, and emergency services in Alabama, and that grants and other incentives set forth in this article will further those objectives by encouraging new investment in broadband infrastructure.
(Act 2018-395, §2; Act 2022-138, §1.)
For the purposes of this article, the following words have the following meanings:
(1) ADECA. The Alabama Department of Economic and Community Affairs.
(2) END USER. A residential, business, institutional, or government entity that uses broadband services for its own purposes and does not resell the broadband services to other entities. An Internet service provider (ISP) and mobile wireless service provider are not an end user for the purposes of Sections 41-23-212, 41-23-213, and 41-23-214.
(3) MIDDLE MILE PROJECT. A broadband infrastructure project that does not provide broadband service to end users or to end-user devices.
(4) MINIMUM SERVICE THRESHOLD. A connection to the Internet that provides capacity for transmission at an average speed per customer of at least 100 megabits (100 Mbps) per second downstream and at least 20 megabits (20 Mbps) per second upstream.
(5) RURAL AREA. Any area within this state not included within the boundaries of any incorporated city or town having a population in excess of 25,000 inhabitants, according to the last federal census.
(6) UNSERVED AREA. Any rural area in which there is not at least one provider of terrestrial broadband service that is either: (1) offering a connection to the Internet meeting the minimum service threshold; or (2) required under the terms of another state or federal grant to provide a connection to the Internet at speeds meeting the minimum service threshold within the same or similar timeframe of projects of similar complexity or scale awarded during each grant cycle.
(Act 2018-395, §3; Act 2019-327, §1; Act 2022-138, §1.)
(a) The Director of ADECA may establish and administer the broadband accessibility grant program for the purpose of promoting the deployment and adoption of broadband Internet access services to unserved areas. The director shall adopt rules and policies to administer the program and begin to accept applications for grants, and shall adopt such rules as may be necessary to meet the future needs of the grant program.
(b) The program shall be administered pursuant to policies developed by ADECA in compliance with this article. The policies shall provide for the awarding of grants to entities that are cooperatives, corporations, limited liability companies, partnerships, other private business entities, or units of government, which provide broadband services. An entity is not eligible for a grant under this article unless the entity has submitted, within the one-year period preceding the awarding of the grant, the entity’s broadband service availability information to Alabama’s broadband mapping program. Nothing in this article shall expand the authority under state law of any entity to provide broadband service.
(c) There is hereby created the Alabama Broadband Accessibility Fund in the State Treasury. The fund is subject to appropriations by the Legislature and gifts, grants, and other donations received by ADECA for the broadband accessibility grant program or fund. All state and federal grant monies deposited in the fund shall be expended by ADECA in accordance with the statewide connectivity plan and any legal requirements applicable to those grant monies, including their program eligibility, deployment, and reporting requirements. ADECA may not spend appropriations for the program for purposes other than those listed in this section. Any monies appropriated to ADECA for broadband grants that are unspent at the end of a fiscal year shall be carried over for use by the program in the next fiscal year. ADECA shall develop rules ensuring that expenses incurred to administer the program must not exceed the lesser of seven percent of the total amount appropriated for the program in any fiscal year or seven hundred fifty thousand dollars ($750,000). Monies in the fund shall be invested by the State Treasurer for the sole benefit of the fund.
(d)(1) Individual grants awarded by ADECA under this section may only be awarded for projects in unserved areas that will be capable of transmitting broadband signals at or above 100 megabits per second of download speed and 100 megabits per second of upload speed, and may not exceed the lesser of:
a. Eighty percent of the project costs.
b. Five million dollars ($5,000,000).
(2) Grants may be given to any qualified entity pursuant to subsection (b) that meets the service criteria for expenditures.
(3) ADECA shall ensure that not less than 40 percent of funds appropriated for grants be utilized in unincorporated areas of the state.
(4) Subject to the limitations in this subsection, grants shall be awarded pursuant to the service criteria developed by ADECA, with priority given to projects that meet any of the following:
a. Seek to leverage grant funds through private investment and extension of existing infrastructure.
b. Serve locations with demonstrated community support, including, but not limited to, documented support from local government.
c. Demonstrate the operator’s technical and managerial capabilities to complete the project within the required timeframe.
d. Demonstrate the applicants’ necessary financial resources.
e. Are most cost effective and technically efficient in that they propose to serve the highest number of unserved homes, businesses, and community anchor points for the least grant fund cost and best level of service, emphasizing projects including the highest broadband speeds.
f. Provide material broadband enhancement to hospitals, clinics, and other medical facilities located in rural areas.
g. Support local libraries in this state for the purpose of assisting the libraries in offering digital literacy training pursuant to state library and archive guidelines.
h. Provide support for the deployment of infrastructure to be owned and operated exclusively by Internet service providers serving subscribers in Alabama for at least three years or organizations incorporated, headquartered, or with a principal place of business in Alabama.
i. Commit to improving the adoption rate of broadband services by offering programs to households that meet guidelines established by ADECA or the funding source, including, but not limited to, special service rates, Internet-enabled devices that meet the needs of the user, and digital skills training.
(5) For the purposes of awarding grants, ADECA shall take into consideration the average pole attachment rates that a grant applicant charges to an unaffiliated entity, provided that this subdivision shall not apply to a utility as defined under Section 37-4-1(7)a.
(6) In order to promote the deployment of grant funds in an inclusive manner that is consistent with the racial, gender, geographic, urban, rural, and economic diversity of the state, ADECA may give additional consideration to an applicant that provides documentation that it has been certified by the ADECA Office of Minority Business Enterprise or otherwise as a Disadvantaged Business Enterprise. For projects funded under this article, ADECA shall encourage grant applicants to use vendors and subcontractors that have been certified by the Office of Minority Business Enterprise or that are Disadvantaged Business Enterprises. ADECA shall include in its report to the Alabama Rural Broadband Oversight Committee a list of entities certified by the Office of Minority Business Enterprise and Disadvantaged Business Enterprises that have been awarded grants since the prior report.
(e) For each year in which grant funds are available, ADECA shall accept applications within a 60-to-90-day grant window that it shall establish. However, when necessary to meet the requirements of other funding sources, a grant window of 30 days may be established by ADECA. ADECA shall review each application for eligibility as determined by the state map. Any applicant submitting a project that includes served areas as documented by the state map shall be given an opportunity to revise the application to eliminate ineligible portions or rescind the application. Applications for eligible projects shall be evaluated according to a scoring system developed by ADECA that incorporates the priorities listed in this section, with grant awards published as soon as possible, but no more than 60 days after expiration of the filing window. Grants issued by ADECA shall be conditioned upon compliance with the terms of the grant but shall not otherwise be revocable. Providers’ grants shall be paid within 30 days upon ADECA receiving written certification of the completion of the project and evidence of compliance with the terms of the grant as prescribed by ADECA.
(f) Grants shall be conditioned on project completion within two years of awarding of the grant. Applicants who demonstrate project complexity may request more than two years to complete the project. Recipients who demonstrate that the project is progressing may request an extension for up to one year for project delays beyond the recipient’s control. If a recipient fails to complete a project within the two-year deadline, or within the extended deadline, ADECA may revoke the grant in its entirety and rededicate the funds to a new recipient.
(g) ADECA shall condition the release of any grant funds awarded under this chapter on all of the following:
(1) The progressive completion, as measured on not more than a quarterly basis, of the approved project. Grants for projects not showing progress may be rescinded.
(2) Operational testing, when possible, to confirm the level of service proposed in the grant application. Such regulations shall not exceed in degree or differ in kind from testing and reporting requirements imposed on the grant recipient by the Federal Communications Commission, as adjusted for the service specifications in the ADECA grant agreement.
(3) Continued participation in Alabama’s broadband mapping program throughout the entire project period.
(h) Notwithstanding any other provision of this section, eligible projects shall include any of the following:
(1) Projects to serve unserved areas in which the grant applicant is either or both: a. an existing or future service provider that has or will receive support through federal universal service funding programs designed specifically to encourage broadband deployment in an area without broadband access; or b. an entity that currently provides services which has or will receive other forms of federal or state financial support or assistance, such as a grant or loan from the United States Department of Agriculture; provided, however, that any award of state funds under this section, when combined with other forms of state or federal support or assistance dedicated to the project, other than interest-bearing loans, may not exceed 90 percent of the total project costs. Nothing in this section shall prohibit a grant applicant who has not previously received any federal or state funds, grants, or loans for broadband deployment from applying for and receiving grant funds under this section.
(2) Middle mile projects, where the applicant demonstrates that the project will connect other service providers eligible for grants under this section with broadband infrastructure further upstream in order to enable the providers to offer broadband service to end users; provided that eligible projects under this subdivision may include projects in an unserved area or a rural area that does not meet the definition of an unserved area but otherwise meets the requirements of this section, for which the grant applicant demonstrates, by specific evidence, the need for greater broadband speeds, access, capacity, resiliency, or service which is not being offered by an existing service provider.
(3) Projects to provide broadband service to a specific hospital, health care facility, public school, public safety, or economic development site in a rural area that does not meet the definition of an unserved area but otherwise meets the requirements of this section, for which the grant applicant demonstrates, by specific evidence, the need for greater broadband speeds, access, capacity, resiliency, or service which is not being offered by an existing service provider.
(4) Grants issued under subdivisions (2) and (3) shall not exceed 40 percent of the total funds appropriated for grants on an annual basis.
(i) Nothing in this section shall affect the approval and continued funding of grants awarded prior to May 30, 2019.
(Act 2018-395, §4; Act 2019-327, §§1, 2; Act 2022-138, §1.)
(a) There is created the Alabama Rural Broadband Oversight Committee. The oversight committee shall consist of the Chair of the House Ways and Means Education Committee or his or her designee, the Chair of the Senate Finance and Taxation Education Committee or his or her designee, two members appointed by the Speaker of the House of Representatives, two members appointed by the President Pro Tempore of the Senate, and the Director of ADECA or his or her designee. The oversight committee shall meet at least annually, provide general oversight of the implementation of the article, and recommend further statutory changes to promote rural broadband development.
(b) The oversight committee shall reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(c) For any year in which grants are distributed under the program, ADECA shall produce a report on the status of grants under the program to the oversight committee, including progress toward increased access to and adoption of broadband services. The report shall be provided at the oversight committee’s first meeting of the year and be published on ADECA’s website. ADECA shall provide a copy of the report to the Governor, the Alabama Senate President Pro Tempore, the Alabama Senate Minority Leader, the Speaker of the Alabama House of Representatives, and the Alabama House of Representatives Minority Leader. By March 28, 2019, ADECA shall produce a report on the availability of broadband within the state.
(Act 2018-395, §5; Act 2019-327, §1; Act 2022-138, §1.)
For the purposes of this article, the following words shall have the following meanings:
(1) CALL CENTER. A physical location within the State of Alabama at which the predominant activity conducted at the location is described by NAICS Code 561422 and at which 50 or more individuals are employed to conduct that activity. The term does not include data centers.
(2) CONTRACT. An economic development agreement between an employer and the state or a political subdivision of the state that directly provides the employer with a grant, loan, or tax credit as an incentive to locate a call center in Alabama.
(3) EMPLOYER. A call center that has received a grant, loan, or tax credit from the state or any political subdivision of the state and employs either of the following:
a. Fifty or more individuals, excluding part-time employees.
b. Fifty or more individuals who, in the aggregate, work at least 1,500 hours each week for the employer, not including overtime hours.
This term does not apply to the State of Alabama or its agencies or departments.
(4) GRANT, LOAN, OR TAX CREDIT. An economic development incentive included in a contract that is directly related to an employer’s call center. The term does not include any grant, loan, or tax credit that is not directly related to an employer’s call center.
(5) PART-TIME EMPLOYEE. An individual employed for an average of fewer than 20 hours each week or for fewer than six of the 12 months before the date on which a determination to relocate is made.
(6) RELOCATE or RELOCATION. The act of moving a call center physically located within this state to a location physically located outside this state. The term does not apply to the closure of, or a reduction in force at, a call center, or one or more facilities or operating units within a call center, due to reasons other than relocation.
(7) SECRETARY. The Secretary of the Department of Commerce.
(Act 2019-374, §1; Act 2021-276, §1.)
(a) An employer that intends to relocate a call center, or one or more facilities or operating units within a call center consisting of at least 30 percent of the call center’s total volume when measured against the previous 12-month average call volume, from this state shall notify the secretary at least 120 days before the relocation is scheduled to occur if the employer has entered into a contract for the relocated call center within the five years preceding the relocation.
(b) If the employer fails to provide notice pursuant to subsection (a), the secretary shall notify the Attorney General of the failure, and the Attorney General shall commence an action for assessment of a civil penalty against the employer in the circuit court in the county where the employer’s call center is located. Upon a finding that an employer has violated subsection (a), the court shall assess a civil penalty of not more than ten thousand dollars ($10,000) against the employer for each day the employer failed to provide the notice. The assessed civil penalty may not exceed the value of the unamortized value of any grant, loan, or tax credit that the employer received from the state or any political subdivision of the state on or after September 1, 2019.
(c) A court may reduce a civil penalty imposed under subsection (b) if the court determines that an employer has shown just cause as to why notification under subsection (a) was not made in the time frame required.
(Act 2019-374, §2; Act 2021-276, §1.)
(a) Beginning October 1, 2019, and every six months thereafter, the director shall compile a list of every employer that has relocated a call center, or one or more facilities or operating units within a call center consisting of at least 30 percent of the call center’s total volume when measured against the previous 12-month average call volume, from this state.
(b) The director shall include on the list the name of each employer and the date on which the call center was relocated.
(c) The director shall immediately distribute the list to each state agency and political subdivision of the state that provides the employers with any grants, loans, or tax credits.
(Act 2019-374, §3.)
(a) Except as provided in subsection (c), an employer that appears on a list compiled by the director pursuant to Section 41-23-232 is ineligible to receive from the state or any political subdivision of the state any grant, loan, or tax credit until five years after the date on which the employer relocated the call center.
(b) Except as provided in subsection (c), if an employer appears on a list compiled under Section 41-23-232, the director shall recapture from the employer an amount equal to the unamortized value of any grant, loan, or tax credit that the employer received from the state or any political subdivision of the state on or after September 1, 2019. The employer shall pay the recapture amount to the director within 30 days of receiving the recapture demand.
(c) The director may waive the disqualification provided for in subsection (a) if the employer applying for the grant, loan, or tax credit demonstrates that one or more of the following will happen if the grant, loan, or tax credit is not provided:
(1) Substantial job loss in the state.
(2) Harm to the environment of the state.
(3) A significant economic impact to the state.
(Act 2019-374, §4.)
This article applies to contracts entered into on or after September 1, 2019.
(Act 2019-374, §5.)
This article may not be construed as permitting the withholding or denial of payments, compensation, or benefits from employees. Further, Sections 41-23-230 and 41-23-231 shall not be construed to alter or modify, and shall not have the effect of altering or modifying, the terms of a contract.
(Act 2019-374, §6; Act 2021-276, §1.)
This article shall be known as the “Alabama Innovation Act.”
(Act 2019-404, §1.)
The Legislature finds and declares that the health, safety, and welfare of the people of this state are dependent upon the continued encouragement, development, growth, and expansion of the private sector within the state. The Legislature finds that expanding upon current research and development activities in the state would improve the employment opportunities, products, and services available to the citizens of the state. Therefore, it is declared to be the purpose of this article to encourage new and continuing efforts to conduct research and development activities within this state.
(Act 2019-404, §2.)
For the purpose of this article, the following words and phrases have the following meanings:
(1) ADECA. The Alabama Department of Economic and Community Affairs.
(2) ALABAMA RESEARCH ENTITY. One or more of the following:
a. A public or private university in the state in partnership with a private sector applicant.
b. A university research foundation affiliated with a public or private university in the state in partnership with a private sector applicant.
c. A public two-year college in the state in partnership with a private sector applicant.
d. A publicly owned hospital in the state in partnership with a private sector applicant.
e. An entity duly formed, domiciled, or qualified to do business in the state in partnership with a private sector applicant and that meets each of the following criteria:
Is exempt from federal income tax under 26 U.S.C. § 501(c)(3), as amended.
Is predominantly engaged in research and noncommercial development activities undertaken for the purpose of discovering information that is technological or biotechnological in nature, involves a process of experimentation, and the application of which is intended to be used in the development of a new or improved product, service, or treatment.
Has its headquarters and principal place of business in the state.
Has, or is anticipated to have, at least 75 percent of its property and payroll in Alabama, using the property and payroll factor calculations found in Title 40.
(3) APPROVED ACTIVITY. The conduct of an activity that is predominantly any one or more of the following:
a. Described by NAICS Code 1133, 115111, 2121, 22111, 221330, 31 (other than 311811), 32, 33, 423, 424, 482, 4862, 48691, 48699, 48819, 4882, 4883 (other than 48833), 493, 5121 (other than 51213), 5122, 513, 517, 518 (without regard to the premise that data processing and related services be performed in conjunction with a third party), 51929, 52232, 54133 (if predominantly in furtherance of another activity described in this article), 54134 (if predominantly in furtherance of another activity described in this article), 54138, 5415, 541614, 5417, 55 (if not for the production of electricity), 561422 (other than establishments that originate telephone calls), 562213, 56291, 56292, 611512, 927, or 92811.
b. The production of biofuel as the term is defined in Section 2-2-90(c)(2).
c. A target of the state’s economic development efforts pursuant to either of the following:
The comprehensive economic development plan, CatALyst, or any amended version or successor document.
A type listed in a rule adopted by the Department of Commerce.
(4) NAICS CODE. Any sector, subsector, industry group, industry, or national industry of the 2022 North American Industry Classification System, or any similar classification system developed in conjunction with the United States Department of Commerce or Office of Management and Budget.
(5) QUALIFIED RESEARCH. The meaning given in 26 U.S.C. § 41(d), if conducted in Alabama in pursuit of an approved activity. In applying any terms in 26 U.S.C. § 41, “qualified research” shall have the meaning given herein.
(Act 2019-404, §3; Act 2021-544, §1; Act 2026-550, §1.)
(a) The Director of ADECA may establish and administer the research and development enhancement grant program for the purpose of encouraging new and continuing efforts to conduct new or expanded research and development activities within Alabama. By September 4, 2019, the director shall adopt rules and policies to administer the program and begin to accept applications for grants, and shall adopt such rules as may be necessary to meet the future needs of the grant program.
(b) The program shall be administered pursuant to policies developed by ADECA in compliance with this article. The policies shall provide for the awarding of grants to Alabama research entities that have qualified research expenses in Alabama in a fiscal year exceeding a base amount.
(c) The Director of ADECA may adopt rules to develop a faculty and student intern partnership program to enhance the grant program by providing interns with increased experience with research and development. The research and development enhancement grant program will provide a maximum of one dollar ($1) of grant funding for each non-state dollar of matching funding for one-year or two-year projects requiring a minimum of ten thousand dollars ($10,000) per year and a maximum of fifty thousand dollars ($50,000) per year in grant funds. Projects shall involve one or more students, faculty, or both, working at an Alabama research entity. The required matching funds shall be cash, grants, or contracts specifically provided for the proposed research project.
(d) The Alabama Research and Development Enhancement Fund is created in the State Treasury. The fund is subject to appropriations by the Legislature and gifts, grants, and other donations received by ADECA for the research and development grant program or fund. ADECA may not spend appropriations for the program for purposes other than those listed in this section. Any monies appropriated to ADECA for research and development grants that are unspent at the end of a fiscal year shall be carried over for use by the program in the next fiscal year. ADECA shall develop rules ensuring that expenses incurred to administer the program must not exceed three percent of the total amount appropriated for the program in any fiscal year. Monies in the fund shall be invested by the State Treasurer for the sole benefit of the fund.
(e) Individual grants awarded by ADECA under this section may only be awarded for qualified research expenses and may not exceed the lesser of 20 percent of the total grant funds awarded in a single fiscal year, or 50 percent of the budgeted project costs. Indirect costs and administrative costs may not exceed 10 percent of the grant amount awarded.
(f) The first annual commencement date to submit grant applications shall be September 4, 2019, and shall be March 1 in each subsequent year. ADECA shall accept applications within a 150-day grant window after the annual commencement date. Applications for eligible expenses shall be evaluated according to a scoring system developed by ADECA that incorporates the priorities listed in this section, with grant awards published within 90 days after expiration of the filing window.
(g) Funding awards shall be made based on the competitive scoring system developed by ADECA. Partial awards may be made at ADECA’s discretion if funds do not allow a full award to be made. Scoring to be developed by ADECA shall consider the following:
(1) New research.
(2) The amount of financial commitment of an industry partner.
(3) Research to benefit Alabama business and industry.
(4) Research to benefit small- and medium-sized business and industry.
(5) New and continuing efforts to conduct new or expanded research and development activities within Alabama.
(6) Research to improve the employment opportunities available to the residents of the state.
(7) Research to improve the products and services available to the residents of the state.
(8) Other criteria, as appropriate.
(Act 2019-404, §4; Act 2021-544, §1.)
(a) The Alabama Research and Development Enhancement Oversight Committee is created. The committee shall consist of the Chair of the House Ways and Means Education Committee or designee, the Chair of the Senate Finance and Taxation Education Committee or designee, two members appointed by the Speaker of the House of Representatives, two members appointed by the President Pro Tempore of the Senate, and the Director of ADECA or his or her designee. The oversight committee shall be charged with meeting at least annually and providing general oversight of the implementation of this article and the grant awards determinations, and recommending further statutory changes to promote research and development within Alabama.
(b) The committee shall reflect the racial, gender, geographic, urban/rural, and economic diversity of the state.
(c) For any year in which grants are distributed under the program, ADECA shall produce a quarterly report on the awarded grants and the status of grants under the program to the committee, including progress toward increased research and development activities in Alabama. The report shall also be published on ADECA’s website; provided, however, that the details of any specific research project shall not be published on the ADECA website without the express written permission of the research entity applying for or receiving the grant. By June 6, 2020, ADECA shall produce a report on the increased research and development activities supported by grant funds.
(Act 2019-404, §5.)
(a) The amount of research and development enhancement grants awarded by ADECA shall be subject to the appropriations of the Legislature. No research entity shall receive a research and development enhancement grant of more than 20 percent of the maximum amount awarded in a single fiscal year. The grants shall be allocated among various taxpayers using the procedures in this section.
(b) Each research entity who wishes to apply for a grant shall file an application with ADECA showing the amount of grant funding which the research entity expects in good faith to qualify for during the applicable fiscal year. No application shall show an expected claim in excess of 20 percent of the maximum amount to be awarded in a single fiscal year.
(c) If grant funds for the corresponding fiscal year are returned for any reason or if additional grant funds become available, ADECA may continue to award grants based on the competitive rating system.
(Act 2019-404, §6; Act 2021-544, §1.)
The grant program established under this article shall be effective beginning with the fiscal year ending September 30, 2020.
(Act 2019-404, §7.)
This article shall be known and may be cited as the Connect Alabama Act of 2021.
(Act 2021-465, §1.)
For the purposes of this article, the following terms shall have the following meanings:
(1) ADECA. The Alabama Department of Economic and Community Affairs.
(2) AUTHORITY. The Alabama Digital Expansion Authority.
(3) CONNECT ALABAMA FUND. A fund created within the State Treasury to be administered by the Alabama Digital Expansion Finance Corporation, with funds distributed by the corporation to ADECA for use by the division for the implementation and administration of the statewide connectivity plan.
(4) CORPORATION. The Alabama Digital Expansion Finance Corporation.
(5) DIVISION. The Alabama Digital Expansion Division of ADECA.
(6) END USER. A residential, business, institutional, or government entity that uses broadband services for its own purposes and does not resell the broadband services to other entities.
(7) MIDDLE MILE PROJECT. A broadband infrastructure project that does not provide broadband service to end users or to end-user devices.
(8) MINIMUM SERVICE THRESHOLD. A connection to the Internet that provides capacity for transmission at a minimum speed per customer of at least 100 megabits (100 Mbps) per second downstream and at least 20 megabits (20 Mbps) per second upstream.
(9) PROVIDER-SPECIFIC INFORMATION. Any information given to ADECA or its agents by a broadband service provider that identifies the provider’s location-specific service availability details, construction plans, or business operations details that are not otherwise readily ascertainable by proper means through third parties without substantial effort.
(10) RURAL AREA. Any area within this state not included within the boundaries of any incorporated city or town having a population of more than 25,000 inhabitants, according to the last federal census.
(11) UNSERVED AREA. Any area that is determined by the division to not have at least one provider of terrestrial broadband service that offers a connection to the Internet that meets or exceeds the minimum service threshold.
(Act 2021-465, §2; Act 2022-125, §1.)
(a) The authority is created to advise, review, and approve the statewide connectivity plan.
(b)(1) The authority shall be comprised of the following members:
a. Three individuals designated by the Governor, who may be members of the private sector or public officials or public employees.
b. One individual designated by the President Pro Tempore of the Senate, who shall be a member of the private sector.
c. One individual designated by the Speaker of the House of Representatives, who shall be a member of the private sector.
d. The Director of ADECA.
e. The Division Chief of the Division, who shall serve as a nonvoting member.
f. Individuals who are public officials or public employees, as defined by Section 36-25-1, and designated by the following:
One by the Lieutenant Governor.
Two by the President Pro Tempore of the Senate, one of whom shall be recommended by the Minority Caucus of the Senate.
Two by the Speaker of the House of Representatives, one of whom shall be recommended by the Minority Caucus of the House of Representatives.
One by the Director of Finance.
(2) Any private sector designee under subdivision (1) shall not be an employee or consultant of an Internet service provider or have a financial interest in the provisions of this article.
(3) The appointing authorities shall coordinate their designations so that diversity of gender, race, and geographical areas is reflective of the makeup of this state.
(c) The authority may recommend policies and procedures for the expansion and availability of high-speed broadband services throughout the state through review and approval of the statewide connectivity plan.
(d) The authority shall direct the corporation regarding the timing and quantity of funds required to support the division’s execution of the statewide connectivity plan as provided in this article.
(e) The authority shall meet annually with the Alabama Rural Broadband Oversight Committee, which was established under Section 41-23-214, for the purpose of receiving a report from ADECA as provided in Section 41-23-281.
(f) The authority may create advisory committees to assist and advise the authority in the performance and administration of its objectives and duties, including the hiring and retention of third-party consultants as determined to be necessary by the authority.
(g)(1) Public employee members of the authority shall serve without compensation, but shall be reimbursed for per diem and travel expenses at the same rate and under the same circumstances as are payable by law to state employees for each day they attend business of the authority.
(2) Legislative members of the authority shall serve without compensation, but shall receive his or her legislative per diem and travel expenses for each day the member attends a meeting of the authority or any related committees in accordance with Amendment 871 to the Constitution of Alabama of 1901, now appearing as Section 49.01 of the Official Recompilation of the Constitution of Alabama of 1901, as amended.
(h) Any designated members of the authority shall serve at the pleasure of the appointing authority.
(i) The Director of ADECA shall call the first meeting of the authority not later than June 16, 2021. At the first meeting, the members of the authority shall elect a chair and vice chair. Meetings of the authority shall be called by the chair or by a majority of its members.
(j) Members of the authority or any committee established by the authority may participate in a meeting of the authority or committee in person, by means of telephone conference, video conference, or other similar communications equipment so that all individuals participating in the meeting may hear each other at the same time. Participation by any such means shall constitute presence in person at a meeting for all purposes, including for purposes of establishing a quorum.
(k) Seven members of the authority shall constitute a quorum, and the affirmative vote of a majority of the members then in office shall be necessary for any action of the authority.
(Act 2021-465, §3.)
(a) The Alabama Digital Expansion Division is created as a division of ADECA. The division shall be run by a division chief, who shall be appointed by the Director of ADECA, with the approval of the Governor, from a list of three nominees submitted by the authority. The division chief shall report to, and be under the direct supervision of, the Director of ADECA. The division chief shall carry out the functions and duties of the division. The division chief shall be knowledgeable in matters relating to broadband and shall have no financial interest in any broadband or related business or enterprise which would conflict or be inconsistent with his or her duties as division chief. The division chief shall be employed in the exempt service.
(b) The division chief shall have the power and authority necessary to carry out the functions and duties of the division. All functions and duties of the division shall be exercised by the division chief or through such employees or other individuals the division chief may designate. In the performance and exercise of such powers, authorities, functions, and duties, the division chief and other employees of the division shall be subject to all legal requirements, restrictions, limitations, conditions, and penalties, whether civil or criminal. These powers, authorities, functions, and duties include, but are not limited to, the following:
(1) Exercise duties as the chief executive of the division and exercise, consistent with this article and other applicable laws, all the powers, authority, and duties vested by this article and any other applicable ADECA policies and regulations or laws providing for the operation of the division.
(2) Employ, with the approval of the Director of ADECA, all individuals necessary for the efficient operation of the division, including professional, technical, clerical, and other staff, including attorneys, special counsel, and consultants as are necessary to accomplish the objectives of this article.
(3) Enter into nondisclosure agreements to protect proprietary information. All provider-specific information provided under a nondisclosure agreement shall be presumed confidential and proprietary and shall not be considered a public record. Provider-specific information shall not be released to any person other than to the submitting broadband services provider and to appropriate ADECA staff, agents, or contractors without the express written consent of the submitting broadband services provider. Provider-specific information shall only be used for broadband mapping, policy development, grant eligibility purposes, and furthering the broadband goals of the state.
(c) Upon approval by the Director of ADECA, the division chief may establish technical and other advisory committees to advise the division with respect to specific objectives.
(Act 2021-465, §4; Act 2022-125, §1.)
The division, in collaboration with the authority, shall have all of the following powers and duties:
(1) To promote the expansion and availability of high-speed broadband networks, services, and technologies throughout the state, including, but not limited to, rural areas, underserved areas, and unserved areas of the state.
(2) To develop and begin executing a statewide connectivity plan, as approved by the authority, to facilitate the expansion and availability of high-speed broadband networks, services, and technologies throughout the state, including a timeline for implementation of the plan. The Director of ADECA shall submit the proposed plan to the authority for approval on or before July 1, 2022. The plan must consider the need for broadband expansion in rural areas, underserved areas, and unserved areas, as well as any other obstacles to broadband adoption. The plan shall include recommendations for funding, and plans for implementation of the following objectives, including, but not limited to:
a. Evaluation of the state’s existing long-haul and middle mile network.
b. Projects for the development and expansion of a secure, reliable, robust, multi-purpose, and high-quality long-haul and middle mile fiber network throughout the state. Projects shall be implemented in the most cost effective and efficient manner for the state and should utilize existing, available infrastructure where it is consistent with the plan and meets the speeds, service quality, and other priorities established by this article, the plan, or the authority.
c. Projects for providing last-mile infrastructure and lit services for specific applications and use cases that are determined by the division to be a priority supported by the network or portions of the network funded under the statewide connectivity plan.
d. Consideration of suggestions and recommendations of the Alabama Supercomputer Authority.
(3) To implement the authority-approved statewide connectivity plan and to enter into contracts and leases for purposes consistent with the priorities of the plan. In developing the statewide connectivity plan, the division may seek input from incumbent Internet service providers, other service providers, and other owners and operators of infrastructure involved in providing high-speed broadband service.
(4) To establish and administer the Connect Alabama grant programs, in collaboration with the authority, for the purpose of promoting the deployment and adoption of high-speed broadband Internet networks, services, and technologies throughout the state, including, but not limited to, rural areas, underserved areas, and unserved areas of the state consistent with the requirements of this article. Funds received by the Connect Alabama Fund shall be expended by the division for the extension of last-mile infrastructure in unserved areas at minimum speeds as determined by the statewide connectivity plan, as well as the establishment and administration of a middle mile program and line extension program. ADECA may establish additional Connect Alabama grant programs in accordance with the goals of the statewide connectivity plan. The funding amounts for programs established under this article shall be evaluated for increase or decrease annually with recommendations from the division and approval by the authority. All funds received for the Connect Alabama grant programs shall be expended according to the statewide connectivity plan, as identified by the division, and subject to any applicable legal requirements. Federal and other funds received by ADECA or the Connect Alabama Fund shall be expended by the division in accordance with the statewide connectivity plan and any legal requirements applicable to those funds.
(5) To adopt rules and policies, as approved by ADECA, within 90 days of establishing and receiving the initial funding for the statewide connectivity plan, to administer the program and to begin to accept applications for grants, including any rules necessary to meet the future needs of the grant program.
(6) To develop strategies and support efforts to attract and leverage grant funds, federal resources, and private investment in furtherance of this article.
(7) To accept and receive funds, gifts, grants, property, labor, or other monetary or in-kind contributions of any type or from any source, including, but not limited to, federal and state grants, appropriations, loans, and loan guarantees.
(8) To administer the distribution of funds, grants, loans, loan guarantees, or other funds and resources received by the division and to ensure that grant funds awarded under this article are used for the purposes specified in this article.
(9) To promote and encourage private investments and applications for available grants.
(10) To perform any other actions necessary or convenient for the implementation and administration of this article and in compliance with state and federal law.
(Act 2021-465, §5; Act 2022-125, §1.)
Members of the authority, the division chief, and employees of the division shall be subject to Chapter 25 of Title 36.
(Act 2021-465, §6.)
Meetings of the authority are subject to the requirements of Chapter 25A of Title 36.
(Act 2021-465, §7.)
The division may enter into contracts and leases for any and all purposes that are in furtherance of this article or consistent with these purposes. The division shall comply with any competitive bid requirements in Article 2 of Chapter 16 and Chapter 2 of Title 39 and any requirements relating to the procurement of professional service providers in Section 41-16-72.
(Act 2021-465, §8.)
(a) There is created within the State Treasury the Connect Alabama Fund to be administered by the corporation. Appropriations by the Legislature, federal funds, gifts, grants, and other donations from any source that are received by the corporation shall be deposited into the Connect Alabama Fund to be distributed by the corporation to ADECA for use by the division for the implementation and administration of the statewide connectivity plan, including for the payment of the salaries of the division chief and any other employees and for the operating and administrative expenses of the authority and ADECA for the division.
(b) Any funds that are unspent at the end of a fiscal year shall be carried over for use by the division in the next fiscal year. Any interest earned from these funds shall be credited to the Connect Alabama Fund.
(Act 2021-465, §9.)
The authority shall make it a priority to consider the need for a statewide research and education network and may engage a third party consultant to develop recommendations for such a network. Upon a majority vote of its members, the authority may create an entity that will assist the state in the development of a statewide research and education network and other cooperative ventures of innovative technological significance to advance higher education, research, health care, and economic development for the state’s universities, university health care systems, research institutions, and the Alabama Community College System. The authority shall prioritize a higher education research network and consult with all two-year and four-year institutions and the Alabama Community College System on the development of the network.
(Act 2021-465, §10.)
(a) The Alabama Digital Expansion Finance Corporation is hereby created as a public corporation of the State of Alabama. The corporation shall have perpetual existence, subject to the provisions for dissolution of the corporation provided in this article. The corporation shall consist of the following members:
(1) The Governor, who shall be the chair.
(2) The Lieutenant Governor, who shall be the vice chair.
(3) The Director of Finance, who shall be the secretary.
(4) The Speaker of the House of Representatives.
(5) The President Pro Tempore of the Senate.
(6) The Chair of the Senate Finance and Taxation General Fund Committee.
(7) The Chair of the Senate Finance and Taxation Education Committee.
(8) The Chair of the House Ways and Means General Fund Committee.
(9) The Chair of the House Ways and Means Education Committee.
(10) The ranking minority member of one of the following committees, who is jointly appointed by the Minority Leader of the House of Representatives and the Minority Leader of the Senate: the Senate Finance and Taxation General Fund Committee, the Senate Finance and Taxation Education Committee, the House Ways and Means General Fund Committee, or the House Ways and Means Education Committee.
(b) Attendance by any six corporation members shall constitute a quorum to authorize the transaction of business.
(c) For purposes of this section, the following words shall have the following meanings:
(1) BONDS. Includes bonds, notes, or other evidences of indebtedness, except as otherwise provided in this article.
(2) CORPORATION. The Alabama Digital Expansion Finance Corporation.
(3) ELIGIBLE PROJECT. Includes any project that the corporation determines would expand, increase, or improve the availability of high-speed broadband networks, services, or technologies throughout the state and which qualify for funding under the statewide connectivity plan and its objectives as set forth by the division in subdivision (2) of Section 41-23-274.
(4) PERMITTED INVESTMENTS. Includes any of the following:
a. Certificates of deposit, savings accounts, deposit accounts, or money market deposit accounts that are any of the following:
Secured as provided in Chapter 14A of Title 41.
Fully insured by the FDIC.
Made with a bank whose unsecured, long-term obligations are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
b. Direct obligations of, or obligations the full and timely payment of which is guaranteed by, the United States of America, including unit investment trusts and mutual funds that invest solely in such obligations.
c. Bonds, debentures, notes, pass through securities, or other obligations issued or guaranteed by any federal agency or corporation which has been or may hereafter be created by or pursuant to an act of the Congress of the United States of America as an agency or instrumentality thereof if such obligations are either of the following:
Backed by the full faith and credit of the United States of America.
Rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by the rating agency.
d. Commercial paper which is rated not less than “P-1” by Moody’s Investor Service or “A-1+” by Standard and Poor’s at the time of purchase.
e. Money market funds rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
f. Bonds, warrants, notes, or other obligations issued by any state, county, or municipality that are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
g. Investment agreements, including, without limitation, guaranteed investment contracts, repurchase agreements, and forward purchase agreements, provided that all of the following are satisfied:
Any securities purchased or held pursuant to the agreement are otherwise permitted investments.
The counterparty’s long-term debt obligations are rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
The securities, if purchased, are owned by the corporation or a paying agent or trustee for any of the corporation’s obligations and are held by the corporation, the paying agent, the trustee, or a third-party custodian acceptable to the corporation or, if held as collateral, are held by the corporation, the paying agent, the trustee, or a third-party custodian acceptable to the corporation with a perfected first security interest in such collateral.
h. Investment or cash management agreements with a commercial bank whose senior long-term debt obligations are, at the time of the acquisition of any such investment or cash management agreement for the account of the corporation, rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency, or with a commercial bank that is owned or controlled by a bank holding company whose senior long-term debt obligations are, at the time of the acquisition of any such investment or cash management agreement for the account of the corporation, rated by at least one nationally recognized securities rating agency in one of the three highest rating categories assigned by that rating agency.
(d) The corporation shall have all power necessary, useful, or appropriate to fund, operate, and administer the corporation, and to perform its other functions including, but not limited to, the following powers:
(1) Adopt, amend, and repeal bylaws not inconsistent with this article for the administration of the corporation’s affairs and the implementation of its functions.
(2) Sue and be sued.
(3) Have a seal and alter it at pleasure, although the failure to affix the seal does not affect the validity of an instrument executed on behalf of the corporation.
(4) Enter into contracts, arrangements, and agreements with any persons or entities and execute and deliver all contracts, agreements, and other instruments necessary or convenient to the exercise of the powers granted in this article.
(5) Enter into agreements with a department, agency, or instrumentality of the United States or of this state or another state for the purpose of planning and providing for any eligible project.
(6) Acquire by purchase, lease, donation, or other lawful means and sell, convey, pledge, lease, exchange, transfer, and dispose of all or any part of its properties and assets of every kind and character or any interest in it to further the public purpose of the corporation.
(7) Collect or authorize the paying agent or trustee under any resolution or trust indenture, as appropriate, securing any bonds to collect amounts due under any loan or funding obligations owned by the corporation, including taking the action required to obtain payment of any sums in default.
(8) Borrow money through the issuance of bonds and other forms of indebtedness as provided in this article.
(9) Expend funds to obtain accounting, management, legal, financial consulting, technical, and other professional services necessary to the operations of the corporation.
(10) Expend funds credited to the corporation as it deems necessary for the costs of administering the operations of the corporation.
(11) Apply for, receive, and accept from any source, aid, grants, contributions of money, appropriations, property, labor, or other things of value to be used to carry out the purposes of this article subject to the conditions upon which the aid, grants, or contributions are made.
(12) Appoint and employ attorneys, accountants, financial advisors, underwriters, trustees, depositories, registrars, fiscal agents, and other advisors, consultants, agents, and independent contractors as may be necessary or desirable.
(13) Do all other things necessary or convenient to carry out the purposes and powers conferred by this article.
(e) The corporation shall distribute funds received for the authority and the division to achieve the objectives of this article.
(f) The corporation shall comply with any competitive bid requirements in Article 2 of Chapter 16, and Chapter 2 of Title 39, and any requirements relating to the procurement of professional service providers in Section 41-16-72.
(g) The corporation is performing an essential governmental function in the exercise of the powers conferred upon it and is not required to pay any taxes or assessments, whether state or local, upon its property or upon its operations or the income from them, or taxes or assessments upon property or loan obligations acquired or used by the corporation or upon the income from them.
(h) Neither the members nor any officer, employee, or committee of the corporation acting on behalf of it, while acting within the scope of authority granted by this article, is subject to any liability resulting from carrying out any of the powers given in this article as provided in Section 36-1-12.
(i) Money in funds or accounts of the corporation may be invested in permitted investments.
(j)(1) Whenever it shall become necessary that monies be raised for eligible projects, including monies to be used to refund any bonds then outstanding, the corporation may issue bonds in an aggregate principal amount not to exceed two hundred fifty million dollars ($250,000,000) in any fiscal year of the state, excluding bonds issued to refund other outstanding bonds of the corporation, as provided in this article.
(2) The corporation may pledge any of its revenues or funds, including, without limitation, revenues or funds appropriated to the corporation by the Legislature, to the payment of its bonds. Bonds may also be secured by a pledge of any loan obligation or funding agreement owned by the corporation, any grant, contribution, or guaranty from the United States, the state, or any corporation, association, institution, or person, any bond insurance, guarantees, letters of credit, or other forms of credit enhancement purchased or otherwise obtained by the corporation from any public or private entity, any other property or assets of the corporation, or a pledge of any money, income, or revenue of the corporation from any source.
(3) Bonds, other financial assistance, and other obligations issued by the corporation shall not constitute an obligation or debt of this state, or any of its political subdivisions, but shall be limited obligations of the corporation payable solely from the revenue, money, or property of the corporation pledged by the corporation for such purpose as provided in this article. Bonds may not be general obligations of the corporation. Any bonds, other financial assistance, or other obligations of the corporation issued do not constitute an indebtedness of the state or any of its political subdivisions within the meaning of any constitutional or statutory limitation, and neither the full faith and credit nor the taxing power of the state, or any of its political subdivisions, is pledged to the payment thereof. No member of the corporation or any person executing bonds, other financial assistance, or other obligations of the corporation is liable personally thereon by reason of their issuance or execution. Each bond, other financial assistance, and other obligation issued under this article shall contain on its face a statement to the effect of the following:
a. The instrument is not a general obligation of the corporation, but is a limited obligation of the corporation payable solely from the revenue, money, or property of the corporation pledged therefor.
b. The instrument is not an obligation or debt of the state, or any of its political subdivisions, and neither the full faith and credit nor the taxing power of the state, or any of its political subdivisions, is pledged to the payment of the instrument.
c. The corporation does not have taxing power.
(4) The bonds of the corporation must be authorized by a resolution of the corporation.
(5) The bonds shall bear the date and mature at the time which the resolution provides, except that no bond may mature more than 40 years from its date of issue.
(6) The bonds shall be in a form and shall be executed in a manner prescribed by the corporation. If any of the members or officers of the corporation cease to be members or officers before the delivery of any bonds signed by them, their signatures or authorized facsimile signatures are nevertheless valid and sufficient for all purposes as if they had remained in office until the delivery of the bonds. The bonds may be in the denominations, be executed in the manner, be payable in the medium of payment, be payable at the place and at the time, and be subject to redemption or repurchase and contain other provisions determined by the corporation prior to their issuance.
(7) The bonds may bear interest payable at a time and at a rate as determined by the corporation, including the determination by agents designated by the corporation under guidelines established by it.
(8) Bonds may be sold by the corporation at public or private sale at the price it determines and approves.
(9) Bonds may be secured by the provisions of a resolution or a trust indenture between the corporation and a paying agent or corporate trustee, as appropriate, which may be the State Treasurer or any bank having trust powers or any trust company doing business in this state. A resolution or trust indenture may contain provisions for protecting and enforcing the rights and remedies of the bondholders which are reasonable and proper, including covenants setting forth the duties of the corporation in relation to the exercise of its powers and the custody, safekeeping, and application of its money. The corporation may provide by the resolution or trust indenture for the payment of the proceeds of the bonds and all or any part of the revenues of the corporation to the paying agent or trustee under the resolution or trust indenture or to some other depository, and for the method of its disbursement with safeguards and restrictions prescribed by it.
(10) Any resolution or trust indenture pursuant to which bonds are issued may contain provisions which are part of the contract with the holders of the bonds and which include the following:
a. Pledging specific revenues of the corporation to secure the payment of the bonds.
b. Pledging specific assets of the corporation including, without limitation, loan obligations owned by it to secure the payment of the bonds.
c. The use and disposition of the gross income from, and payment of the principal of, and interest on loan obligations and funding agreements owned by the corporation.
d. The establishment of reserves, sinking funds, and other funds and accounts, and their regulation and disposition.
e. Limitations on the purposes to which the proceeds from the sale of the bonds may be applied, and limitations on pledging the proceeds to secure the payment of the bonds.
f. Limitations on the issuance of additional bonds, the terms upon which additional bonds may be issued and secured, and the refunding of outstanding bonds.
g. The procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds, if any, the holders of which must consent thereto, and the manner in which any consent may be given.
h. Vesting in a trustee property, rights, powers, and duties as the corporation may determine, limiting or abrogating the right of bondholders to appoint a trustee, and limiting the rights, powers, and duties of the trustee.
i. Defining the acts or omissions which constitute a default, the obligations or duties of the corporation to the holders of the bonds, and the rights and remedies of the holders of the bonds in the event of default.
j. Requiring the corporation or the trustee under the trust indenture to take any and all other action to obtain payment of all sums required to eliminate any default as to any principal of and interest on loan obligations and funding agreements owned by the corporation or held by a trustee, which may be authorized by the laws of this state.
k. Any other matter relating to the terms of the bonds or the security or protection of the holders of the bonds which may be considered appropriate.
(11) Any pledge made by the corporation to secure its obligations with respect to grants, bonds, or other financial assistance is valid and binding from the time the pledge is made. The revenue, money, or property pledged and received by the corporation is immediately subject to the lien of the pledge without any physical delivery or further act. The lien of any pledge is valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the corporation, irrespective of whether the parties have notice of the pledge.
(12) No recording or filing of the resolution authorizing the grant, the issuance of bonds or other financial assistance, the trust indenture or other financing agreement securing the grant, bonds or other financial assistance, or any other instrument including filings under the Uniform Commercial Code is necessary to create or perfect any pledge or security interest granted by the corporation to secure any grants, bonds, or other financial assistance.
(13) Any bonds issued by the corporation, the transfer of bonds, and the income from them, are free from taxation and assessment of every kind by the state and by the local governments and other political subdivisions of the state.
(14) The bonds issued by the corporation are legal investments in which all public officers or public bodies of the state, its political subdivisions, all municipalities and political subdivisions, all insurance companies and associations, and other persons carrying on insurance business, all banks, bankers, banking associations, trust companies, savings banks, savings associations, including savings and loan association investment companies, and other persons carrying on a banking business, all administrators, guardians, executors, trustees, and other fiduciaries, and all other persons who are now or may be authorized in the future to invest in bonds or other obligations of the state, may invest funds in their control or belonging to them.
(15) The corporation shall be a nonprofit corporation and no part of its net earnings remaining after payment of its expenses shall inure to the benefit of any individual, firm, or corporation, except that in the event its members shall determine that sufficient provision has been made for the full payment of the expenses, grants, bonds, other financial assistance, and other obligations of the corporation, then any net earnings of the corporation thereafter accruing shall be paid to the Connect Alabama Fund.
(16) At any time when no bonds, other financial assistance, or other obligations of the corporation are outstanding, the corporation may be dissolved upon the filing with the Secretary of State of an application for dissolution, which shall be subscribed by each of the members of the corporation and which shall be sworn to by each member before an officer authorized to take acknowledgments to deeds. Upon the filing of the application for dissolution, the corporation shall cease and any property owned by it at the time of its dissolution shall pass to the state. The Secretary of State shall file and record the application for dissolution, in an appropriate book of record in his or her office, and shall make and issue, under the Great Seal of the State, a certificate stating that the corporation is dissolved and shall record the certificate with the application for dissolution.
(Act 2021-465, §11.)
(a) Beginning May 17, 2022, and in conjunction with the annual meeting of the authority and the Alabama Rural Broadband Oversight Committee, as provided for in Section 41-23-272(e), ADECA shall provide a report to the Legislature on all of the following:
(1) A summary of the goals and objectives relating to the statewide connectivity plan and progress made toward achievement of those goals and objectives.
(2) The amount and source of funds received and the participation and status of grants awarded under this article.
(3) A summary of all other related activities of the division as required under this article.
(b) ADECA shall publish the reports required under subsection (a) on its public website.
(Act 2021-465, §12.)
The following words and phrases, whenever used in this chapter, shall have the respective meanings unless the context clearly indicates otherwise:
(1) ACT. The Alabama Community Service Grant Program Act of 1989.
(2) GRANT. The award by a state grant-making agency of funds appropriated by the Legislature or from funds received as gifts or donations to a qualifying grant-recipient agency for expenditure according to the provisions of a grant proposal.
(3) GRANT-MAKING AGENCY. A state agency of the State of Alabama, designated by the Legislature through an Alabama Community Service Grant Program appropriation, having authority to approve grant proposals, direct and coordinate the expenditure of grant funds.
(4) GRANT PROPOSAL. A written plan for the expenditure of grant funds by a grant-recipient agency, which meets one or more of the purposes delineated in Section 41-24-3, subject to approval by and to be expended under the direction of the head of the grant-making agency.
(5) GRANT RECIPIENT AGENCY. A local community agency, organization, institution, or project within the State of Alabama whose grant proposal has been approved by a grant-making agency.
(Acts 1989, No. 89-354, p. 700, §1.)
The purpose of this chapter is to create the Alabama Community Service Grant Program to advance the program objectives of participating state departments and agencies by the awarding of grants to qualified community agencies, institutions, organizations, and projects within the State of Alabama. The Legislature recognizes that the program objectives of the several departments and agencies of the State of Alabama can be advanced and, in some cases, advanced in a more economical manner by awarding grants to qualified grant recipient agencies, when the expenditure of such grant funds are made under the approval, direction, and in coordination with the grant-making agency. The Legislature may from time to time appropriate state funds to grant-making agencies in accordance with the provisions of this chapter under the title, “Alabama Community Service Grant Program”; said funds shall be awarded to grant recipient agencies in denominations approved by and the expenditure of same shall be under the control of the heads of grant-making agencies.
(Acts 1989, No. 89-354, p. 700, §2.)
Alabama community service grants shall be made only for the following purposes: 1) To enhance the education of the citizenry through activities, expenditures for capital improvements or equipment, that promote literacy, learning, arts appreciation, public health, and mental health; 2) to promote activities that provide human and social services which reduce the hardships of old age, poor health, or poverty; 3) to promote the marketability, yield, or quality of Alabama-produced agricultural commodities; and 4) to promote the preservation, restoration, development, and propagation of Alabama’s natural resources, recreational facilities, environment, history, culture, transportation lanes, tourism, public safety, historic landmarks and buildings.
(Acts 1989, No. 89-354, p. 700, §3.)
It will be the responsibility of the heads of grant-making agencies to evaluate grant proposals based on the criteria shown in Section 41-24-5; to monitor and insure that the expenditure of grant funds are in accordance with the associated grant proposal, this chapter and relevant state laws; and upon finding that such grant expenditures are not in accordance with the aforementioned conditions, to suspend the release of further grant funds and take action to recover the improperly expended grant funds; to design and distribute its grant proposal instrument; to maintain up-to-date records of all grants that are currently in effect; to maintain records of all completed grants and grant proposals that were denied for a period of three full years; and may promulgate reasonable rules to implement and enforce the provisions of this chapter.
(Acts 1989, No. 89-354, p. 700, §4.)
The heads of grant making agencies shall evaluate grant proposals based on the relevance of such proposals to the purposes for which such grants shall be made, as stated in Section 41-24-3; the extent to which such grant proposal advances the program objective(s) of the grant-making agency, the ability of the grant recipient to fulfill the objectives of the grant proposal, the extent to which the grant proposal can benefit the greatest number of citizens, without persistently excluding any geographic regions of the state. All of the above information may be ascertained by appropriate measures, which shall include interviews, public hearings, and recommendations by members of the Legislature.
(Acts 1989, No. 89-354, p. 700, §5.)
There is hereby created the State Executive Commission on Community Services Grants, hereafter referred to as the commission, which shall be designated a grant-making agency to receive and by majority vote to distribute any appropriations made by the Legislature to the commission for the community services grant program pursuant to Chapter 24 of this title. The commission shall consist of the State Superintendent of Education, the Lieutenant Governor, the State Treasurer, and the Commissioner of Agriculture and Industries. The chair of the commission shall be the Lieutenant Governor, who shall only vote in the case of a tie. The commission shall elect a secretary who shall be responsible for and maintain all documents related to the commission. The commission shall meet at least twice each quarter or until all grant funds have been awarded for each fiscal year. The commission members shall serve without compensation but the commission may receive funds and/or staffing for administrative support from the Legislature.
(Act 2006-511, p. 1183, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1995, No. 95-689, p. 1499, §1.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1995, No. 95-689, p. 1499, §2.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1995, No. 95-689, p. 1499, §3.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1995, No. 95-689, p. 1499, §4.)
[Repealed]
REPEALED IN THE 2018 REGULAR SESSION BY ACT 2018-152 EFFECTIVE JUNE 1, 2018. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Acts 1995, No. 95-689, p. 1499, §5.)
Not effective.
(Act 99-304, §1.)
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(Act 99-304, §2.)
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(Act 99-304, §5.)
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(Act 99-304, §6.)
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(Act 99-304, §7.)
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(Act 99-304, §8.)
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(Act 99-304, §9.)
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(Act 99-304, §10.)
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(Act 99-304, §11.)
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(Act 99-304, §12.)
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(Act 99-304, §13.)
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(Act 99-304, §14.)
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(Act 99-304, §15.)
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(Act 99-304, §16.)
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(Act 99-304, §17.)
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(Act 99-304, §18.)
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(Act 99-304, §19.)
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(Act 99-304, §20.)
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(Act 99-304, §21.)
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(Act 99-304, §22.)
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(Act 99-304, §23.)
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(Act 99-304, §24.)
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(Act 99-304, §25.)
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(Act 99-304, §26.)
Not effective.
(Act 99-304, §27.)
Not effective.
(Act 99-304, §28.)
Not effective.
(Act 99-304, §29.)
Not effective.
(Act 99-304, §30.)
Not effective.
(Act 99-304, §31.)
Not effective.
(Act 99-304, §32.)
Not effective.
(Act 99-304, §33.)
Not effective.
(Act 99-304, §34.)
Not effective.
(Act 99-305, §1.)
Not effective.
(Act 99-305, §2.)
Not effective.
(Act 99-305, §3.)
Not effective.
(Act 99-305, §4.)
Not effective.
(Act 99-258, §1.)
Not effective.
(Act 99-258, §2.)
Not effective.
(Act 99-258, §3.)
Not effective.
(Act 99-58, §4.)
Not effective.
(Act 99-258, §5.)
Not effective.
(Act 99-259, §1.)
Not effective.
(Act 99-259, §2.)
Not effective.
(Act 99-259, §3.)
Not effective.
(Act 99-259, §4.)
The Alabama State Law Enforcement Agency is hereby created within the Executive Branch of State Government to coordinate public safety in this state. The Alabama State Law Enforcement Agency shall be comprised of the following:
(1) The Department of Public Safety.
(2) The State Bureau of Investigations.
(Act 2013-67, p. 130, §1.)
(a) The position of Secretary of the Alabama State Law Enforcement Agency is created. The secretary shall serve as the appointing authority and executive head of the agency and the appointing authority and department head of the Department of Public Safety and State Bureau of Investigations. The secretary may delegate all or part of the functions of appointing authority and department head for the department and bureau to the Director of the Department of Public Safety and the Director of the State Bureau of Investigations, respectively.
(b)(1) The secretary shall be appointed by and hold office at the pleasure of the Governor, and shall serve until his or her successor is appointed. The salary of the secretary shall be set by the Governor, and shall not be subject to Section 36-6-6.
(2) A person appointed secretary shall have an extensive law enforcement background and, by virtue of office, is a state law enforcement officer with the immunity set forth in Section 6-5-338.
(c) The secretary is a member of the Governor’s Cabinet who shall advise the Governor on matters of public safety.
(d) The secretary shall serve as the Homeland Security Advisor for this state, assume all duties of the Director of Homeland Security, including all functions of the Alabama Fusion Center, and shall be responsible for coordinating, designing, and implementing Alabama’s program for homeland security, including immigration enforcement. The secretary shall be the principal point of contact between the State of Alabama and the federal government with respect to homeland security issues. Any reference in law to the authority of the Director of Homeland Security shall be deemed a reference to the Secretary of the Alabama State Law Enforcement Agency. The secretary may delegate all or a portion of the functions required by this section to the State Bureau of Investigations.
(Act 2013-67, p. 130, §2.)
The Secretary of the Alabama Law Enforcement Agency may appoint a designee as the Homeland Security Advisor under subsection (d) of Section 41-27-2.
The Secretary of the Alabama Law Enforcement Agency shall consider the racial, gender, geographic, urban/rural, and economic diversity of the state when appointing the designee.
(Act 2015-166, §1.)
(a) The Secretary of the Alabama State Law Enforcement Agency shall establish general policies for the Department of Public Safety and the State Bureau of Investigations.
(b) The secretary shall coordinate efforts within the Alabama State Law Enforcement Agency and the entities therein to promote the recruitment, selection, and training of state law enforcement officers in the agency.
(c)(1) A Protective Services Unit is created in the office of the secretary. The unit is vested with all functions of the Dignitary Protection Services of the Department of Public Safety, and a reference in any law to the Dignitary Protection Services of the Department of Public Safety shall be deemed a reference to the Protective Services Unit.
(2) The secretary shall appoint a chief of the unit from a legacy agency as defined in Section 41-27-7.
(d) Investigators employed on January 1, 2015, by the State Office of Prosecution Services as computer forensics investigators/analysts in the Alabama Computer Forensics Labs shall be transferred to the Alabama Fusion Center and shall receive a rank and classification in the state Merit System equivalent to their current employment rank or years of service.
(Act 2013-67, p. 130, §3.)
The Alabama State Law Enforcement Agency shall have the authority to apply for any grants and to accept any lawful gifts or donations.
(Act 2016-151, §2(b).)
The Secretary of the Alabama State Law Enforcement Agency, in coordination with the Commissioner of the Department of Corrections, shall have the authority to promulgate rules to establish a program by January 1, 2018, to issue a nondriver identification card to a resident upon his or her release from the Department of Corrections.
(Act 2017-281, §1.)
(a) Act 2021-246 shall be known and may be cited as the Alabama Uniform Concealed Carry Permit Act.
(b)(1) No later than October 1, 2022, the Alabama State Law Enforcement Agency shall develop, create, maintain, and administer a state firearms prohibited person database and shall send written notice to the Governor and the Director of the Legislative Services Agency certifying that the database is operational and fully compliant with Act 2021-246. This database shall be linked to the state Law Enforcement Tactical System so that all “Firearms Prohibited Person” notices are viewable by law enforcement officers and other authorized persons through the Law Enforcement Tactical System. The database shall provide a method for municipal, probate, district, and circuit courts to report convictions and orders that affect an individual’s eligibility to possess a firearm under federal or state law. Upon request by a sheriff, the agency shall share any information from the database with the sheriff.
(2) The Alabama State Law Enforcement Agency may contract with a third party for the development, creation, and maintenance of the state firearms prohibited person database, but the agency shall administer the database in a method as determined by the Alabama Justice Information Commission.
(3) Except as otherwise provided in Act 2021-246, any information in the database shall be kept confidential, shall be exempt from disclosure under Section 36-12-40, and may only be used for law enforcement purposes except when an individual in the database is charged in any state with a felony involving the use of a firearm.
(c) A sheriff may provide for application, review, and renewal of a concealed carry permit through electronic means, as well as maintenance of records of applications, issued permits, and denied permits through electronic means. A sheriff may also accept payment for a permit by a debit or credit card or other consumer electronic payment method. Any transaction or banking fee charged for the electronic payment method shall be paid by the applicant.
(d) The Alabama Justice Information Commission may adopt rules to implement Act 2021-246; provided, the commission shall not place additional conditions or requirements on the issuance of a concealed carry permit or limit its scope and applicability.
(e) Act 2021-246 shall not be construed to limit or place any conditions upon an individual’s right to carry a pistol that is not in a motor vehicle and not concealed on or about his or her person.
(f) Any pistol permit issued prior to January 1, 2023, shall remain valid until its expiration date.
(Act 2021-246, §2.)
The Alabama State Law Enforcement Agency shall enter an order for involuntary commitment received by a judge of probate, pursuant to Section 22-52-10.1, or by a circuit judge pursuant to Section 15-16-44, into the state firearms prohibited person database, created pursuant to Section 41-27-3.3, and shall ensure that the notice is viewable by law enforcement officers and other authorized persons through the Law Enforcement Tactical System.
(Act 2023-472, §3.)
(a) There is hereby created the Public Safety Fund in the State Treasury. The fund consists of all monies appropriated for support of the functions of the Secretary of the Alabama State Law Enforcement Agency, Department of Public Safety, and the State Bureau of Investigations, including funds transferred to any of the foregoing pursuant to Section 41-27-9. Any monies in the fund from a source that restricts the use of the funds to a certain purpose or that are appropriated for a particular purpose may be expended only for that purpose.
(b) Subject to subsection (a), the Secretary of the Alabama State Law Enforcement Agency may expend monies in the Public Safety Fund for the support of the Secretary, the Department of Public Safety, and the State Bureau of Investigations.
(Act 2013-67, p. 130, §4.)
(a) The State Bureau of Investigations is hereby created in the Alabama State Law Enforcement Agency. The bureau shall succeed to and be vested with all powers of the Alabama Bureau of Investigation. A reference in any law to the Alabama Bureau of Investigation shall be deemed a reference to the State Bureau of Investigations.
(b) The position of Director of the State Bureau of Investigations is created. The director shall be appointed by the Secretary of the Alabama State Law Enforcement Agency, after consultation with the Governor, and shall hold office at the pleasure of the secretary. The director shall be appointed from a legacy agency as defined in Section 41-27-7. The salary of the director shall be set by the secretary, and shall not be subject to Section 36-6-6. A person appointed director shall have an extensive law enforcement background and, by virtue of office, is a state law enforcement officer with the immunity set forth in Section 6-5-338.
(c) The bureau succeeds to and is vested with all functions of the Alabama Criminal Justice Information Center. A reference in any law to the Alabama Criminal Justice Information Center shall be deemed a reference to a division of the State Bureau of Investigations. The Alabama Criminal Justice Information Center Commission shall be renamed the Alabama Justice Information Commission. The commission shall retain its regulatory and policymaking authority regarding information in the Criminal Justice Information System and uniform crime reports, including its adjudicatory authority for misuse of information, but is divested of any employee selection or supervision responsibility.
(d) The bureau succeeds to and is vested with all investigative functions of the following investigative and enforcement units, and a reference in any law to these investigation and enforcement units shall be deemed a reference to the State Bureau of Investigations:
(1) The law enforcement unit of the Alabama Alcoholic Beverage Control Board.
(2) The investigative unit of the Alabama Forestry Commission.
(3) The investigative unit of the Department of Agriculture and Industries.
(e) The Director of the State Bureau of Investigations shall have overall supervision and management of functions transferred to the bureau pursuant to this section, subject to approval by the secretary, including the power to change the working title of any position or to reorganize or rename any of the divisions, units, or functions specified in this section. Any change of working title shall not alter the classification or compensation of any person in the state Merit System.
(Act 2013-67, p. 130, §5.)
(a)(1) The Director of the Department of Public Safety shall be appointed by the Secretary of the Alabama State Law Enforcement Agency, after consultation with the Governor, and shall hold office at the pleasure of the secretary. The director shall be appointed from a legacy agency as defined in Section 41-27-7. The salary of the director shall be set by the secretary, and shall not be subject to Section 36-6-6. A person appointed director shall have an extensive law enforcement background and, by virtue of office, is a state law enforcement officer with the immunity set forth in Section 6-5-338.
(2) The director shall have overall supervision and management of functions transferred to the department pursuant to this section, subject to the approval of the secretary, including the power to change the working title of any position or to reorganize or rename any of the divisions, units, or functions specified in this section. Any change of working title shall not alter the classification or compensation of any person in the state Merit System.
(3) All functions performed by the department on October 1, 2014, shall remain under the Department of Public Safety unless reorganized by the secretary or otherwise transferred pursuant to this chapter.
(b)(1) The Highway Patrol Division of the Department of Public Safety succeeds to and is vested with all law enforcement functions of the following enforcement units, and a reference in any law to these enforcement units shall be deemed a reference to the Highway Patrol Division of the Department of Public Safety:
a. The law enforcement unit of the Public Service Commission.
b. The revenue enforcement officers of the Department of Revenue.
(2) The director shall appoint a chief of the division.
(c)(1) The Marine Patrol Division is hereby created within the Department of Public Safety. The director shall appoint a chief of the division.
(2) The Marine Patrol Division of the Department of Public Safety succeeds to and is vested with all functions of the Marine Police Division of the Department of Conservation and Natural Resources. A reference in any law to the Marine Police Division of the Department of Conservation and Natural Resources shall be deemed a reference to the Marine Patrol Division of the Department of Public Safety.
(Act 2013-67, p. 130, §6; Act 2023-363, §4.)
(a) For the purposes of this article, the term “legacy agency” means an existing agency, department, or division that is being reorganized or abolished under this article.
(b) Unless otherwise provided in this article, all positions created by this article shall be in the classified service of the state Merit System.
(c) All persons employed on January 1, 2015, with a legacy agency and transferred to the Alabama State Law Enforcement Agency, Department of Public Safety, or State Bureau of Investigations shall maintain his or her classification and benefits under the legacy agency. A person employed by a legacy agency on January 1, 2015, shall not receive a decrease in salary, benefits, or seniority or otherwise receive a decrease in classification as a result of the transfer to the Alabama State Law Enforcement Agency, Department of Public Safety, or State Bureau of Investigations.
(d) Any future change in classification shall not result in any change in benefits an employee previously had at a legacy agency.
(e) An employee of a legacy agency transferred to the Alabama State Law Enforcement Agency, Department of Public Safety, or State Bureau of Investigations under this article shall remain in his or her current classification unless appointed to the appropriate classification within the newly created department according to state Merit System procedures.
(f) Any employee hired or transferred into the Alabama State Law Enforcement Agency after January 1, 2015, who is certified by the Alabama Peace Officers’ Standards and Training Commission and is a state policeman is not eligible for the benefits specified in Section 36-26-35(d).
(Act 2013-67, p. 130, §7; Act 2023-73, §1.)
Any and all authority, power, duties, or other responsibilities contained in any law or rule relating to any legacy agency as provided in this chapter shall be applicable to, and under the authority and power of, the Alabama State Law Enforcement Agency and the Secretary of Law Enforcement. Any reference in any law or rule to a legacy agency or a subdivision of a legacy agency is deemed a reference to the Alabama State Law Enforcement Agency.
(Act 2016-151, §2(a).)
Any law enforcement officer employed by the Alabama State Law Enforcement Agency shall be entitled to the immunity set forth in Section 6-5-338.
(Act 2013-67, p. 130, §8.)
All books, records, supplies, funds, equipment, and personnel of the units, departments, divisions, and other state entities merged with another state entity or abolished and the functions of which are transferred to another state agency by this chapter shall be transferred to the succeeding department or state entity to the extent that the books, records, supplies, funds, equipment, and personnel are related to the functions transferred to the succeeding department or entity.
(Act 2013-67, p. 130, §9.)
(a) Pursuant to the requirements of Public Law 92-544, the states may conduct a nationwide criminal history background check on state employees and contractors for the purpose of determining whether an employee or contractor who has access to federal tax information has been convicted of a crime that would warrant denying the employee or contractor access to the federal tax information. For the purposes of this section, federal tax information includes tax return or tax return information received directly from the Internal Revenue Service or obtained through an authorized secondary source. An authorized secondary source shall not include official court records maintained by the Alabama Administrative Office of Courts. A state department or agency shall require each applicant for a position of employment with the department or agency and all current employees and contractors of the department or agency who have access to federal tax information to (1) state in writing whether such applicant, employee, or contractor has ever been convicted of a crime or whether criminal charges are pending against such applicant, employee, or contractor and, if so, to identify the charges and court in which such charges are pending, and (2) be fingerprinted and submit to state and national criminal history records checks.
(b) State and national criminal history records checks shall be requested by the department or agency from the Alabama State Law Enforcement Agency (hereinafter ALEA) and shall be applicable to the individual identified in the request. The department or agency shall arrange for the fingerprinting of the individual or for conducting any other method of positive identification required by ALEA. The request shall also specify whether a national criminal history records check is requested by the Federal Bureau of Investigation on the specified individual in addition to a state criminal history records check. ALEA shall submit the fingerprints or other positive identifying information to the Federal Bureau of Investigation for a national criminal history records check when requested by a department or agency. The results of the state and national criminal history records checks shall be returned to the department or agency by ALEA.
(c) Any criminal history reports received by a department or agency from ALEA shall be marked confidential and shall not be disclosed or made available for public inspection. All criminal history reports received pursuant to this section are specifically excluded from any requirement of public disclosure as a public record.
(d) The Secretary of ALEA may charge fees to a department or agency for conducting state and national criminal history records checks.
(e) In conjunction with making criminal history records checks, each department or agency with access to federal tax information shall establish a policy in determining which criminal elements would result in preventing or removing an employee’s or contractor’s access to federal tax information in the hands of the department or agency.
(Act 2017-264, §1.)
(a) January 1, 2018, each person who applies for a new driver’s license, nondriver identification card, or vessel license, or a learner’s license or permit, or the renewal of any of the above licenses, cards, or permits, may provide the Alabama State Law Enforcement Agency with documentation of deafness. The information provided in this section shall be stored in the records of the agency and made available to law enforcement personnel for use in their official duties.
(b) The Alabama State Law Enforcement Agency may adopt rules necessary to carry out this section.
(Act 2017-365, §1.)
(a) The Legislature finds and declares the following:
(1) The preservation of human life is of the highest value in this state.
(2) It is of utmost importance that law enforcement agencies implement policies and practices to prohibit the use of unnecessary lethal force by law enforcement officers.
(3) Law enforcement officers should be properly trained to reduce the prevalence of incidents involving excessive force.
(b) Beginning on January 1, 2018, the Alabama Criminal Justice Information System shall collect data regarding any and all allegations of excessive force by state, county, and municipal law enforcement officers.
(c) The Alabama Criminal Justice Information System shall collect data for all incidents, including the race of the officer and the victim or victims, specific facts relating to the incident, whether the incident was subject to court action and final disposition of the court action, and the final determination of any local review of the incident.
(d) Using the data collected under subsection (c), the Alabama Criminal Justice Information System shall compile an annual report that shall be presented to the House Public Safety and Homeland Security Committee and the Senate Judiciary Committee.
(Act 2017-399, §§1, 2.)
(a) For the purposes of this section, the term “sexual assault” is as defined in Section 15-23-121.
(b) By the first day of April of each year, every law enforcement agency, as defined in Section 15-5-62, shall report all of the following information for the prior calendar year to the Alabama State Law Enforcement Agency:
(1) The number of new sexual assault cases reported.
(2) The number of new sexual assault cases reported where evidence from a medical forensic examination was submitted for forensic analysis.
(3) The number of sexual assault cases reported where evidence from a medical forensic examination was not submitted for forensic analysis and the reason it was not submitted.
(4) The number of sexual assault cases that were closed due to judicial or investigative reasons and the reasons the cases were closed.
(c) By the first day of April of each year, the Alabama Department of Forensic Sciences shall report all of the following information for the prior calendar year to the Alabama State Law Enforcement Agency:
(1) The number of sexual assault cases received.
(2) The number of sexual assault cases completed.
(3) The number of sexual assault cases in progress as of December 31 of the prior calendar year.
(d) By the first day of May of each year, the Alabama State Law Enforcement Agency shall transmit a summary report to the Chairs of the House and Senate Judiciary Committees containing all of the following:
(1) The information submitted in accordance with subsections (b) and (c).
(2) The name and contact information of any entity that failed to comply with subsections (b) and (c).
(Act 2023-197, §1.)
For the purposes of this article, the following words have the following meanings:
(1) AGENCY. The Alabama State Law Enforcement Agency.
(2) MANDATORY MOTOR VEHICLE LIABILITY INSURANCE LAW. Chapter 7A of Title 32.
(3) MOTOR VEHICLE INCIDENT. An incident involving the driver of a motor vehicle when a traffic citation was issued by a law enforcement officer or the driver of a motor vehicle was involved in an accident and an accident report was filed.
(Act 2016-361, §1.)
(a) The Secretary of the Alabama State Law Enforcement Agency shall develop procedures for the agency to review each motor vehicle incident to determine if the driver of a motor vehicle involved in the incident was given a citation for failure to comply with the Mandatory Motor Vehicle Liability Insurance Law.
(b) If the agency determines that the driver of a motor vehicle was given a citation for failure to comply with the Mandatory Motor Vehicle Liability Insurance Law, related to a motor vehicle incident, this article shall have no further application to the driver and the driver shall have the citation processed through the criminal courts of the state.
(c) If the agency determines that the driver of a motor vehicle was not given a citation for failure to comply with the Mandatory Motor Vehicle Liability Insurance Law at the time of the motor vehicle incident, the agency shall make an independent determination whether the motor vehicle was insured under the Mandatory Motor Vehicle Liability Insurance Law at the time of the motor vehicle incident.
(Act 2016-361, §2.)
(a) If the agency determines that the motor vehicle the driver was driving at the time of the motor vehicle incident was not in compliance, the agency shall issue the assessment of a civil penalty in the amount of two hundred dollars ($200) for the first offense, three hundred dollars ($300) for a second offense, and four hundred dollars ($400) for a third or subsequent offense against the driver for failure to comply with the Mandatory Motor Vehicle Liability Insurance Law unless the motor vehicle is owned by any person, firm, association, or corporation licensed and engaged in the business of renting or leasing motor vehicles. The notice shall be sent by first class U.S. mail to the address in the records of the agency or otherwise available to the agency on a traffic citation or accident report. The notice shall state that the driver’s license of the person will be suspended for 90 days if the person, within 45 days of the notice, does not either pay the assessment in a manner acceptable to the agency or appeal the assessment by filing a notice of appeal with the agency. If the person fails to pay the civil penalty or file an appeal as provided herein, the person’s driver’s license shall be suspended for 90 days and the civil penalty shall be final. Notwithstanding the foregoing, the agency may grant a person an extension to pay the civil penalty not to exceed 60 days if the person files a written settlement of the assessment.
(b) An assessment under the provisions of this article may not be made more than six months after a motor vehicle incident.
(Act 2016-361, §3.)
The agency shall provide by rule a hearing procedure and procedures for the administrative resolution of the notice of assessment. The rules shall provide that the hearing shall be conducted by a driver license hearing officer or other hearing officer appointed by its agency. The hearing may be informal and the sole issue shall be whether the motor vehicle being operated at the time of the motor vehicle incident was in compliance with the Mandatory Motor Vehicle Liability Insurance Law. The appeal shall not be a contested case under the Alabama Administrative Procedure Act. The final order concerning the appeal may be reviewed in circuit court by the filing of a petition for review within 35 days after the final order is issued in the original appeal.
(Act 2016-361, §4.)
If after a hearing, a person is found to be driving a motor vehicle in violation of the Mandatory Motor Vehicle Liability Insurance Law, the civil penalty shall be final. If the civil penalty is not paid within 15 days, the person’s driver’s license shall be suspended for 90 days.
(Act 2016-361, §5.)
The driver’s license of a person assessed a civil penalty pursuant to this article shall not be reinstated unless the civil penalty is paid.
(Act 2016-361, §6.)
All civil penalties collected pursuant to this article, after the collection, shall be deposited in the Highway Traffic Safety Fund on a monthly basis. After the deduction of the actual and necessary expenses of administering this article, the net proceeds shall be distributed as follows:
(1) 33 1/3 percent shall be deposited in the Motor Vehicle Replacement Fund of the agency.
(2) 60 1/3 percent shall be deposited in the Highway Traffic Safety Fund. One-third of this amount shall be used to improve communications for first responders and two-thirds of this amount shall be used to hire additional state troopers.
(3) 6 1/3 percent shall be deposited in the Alabama Peace Officers’ Annuity and Benefit Fund as authorized by Section 36-21-66.
(Act 2016-361, §7.)
Any driver assessed a civil penalty for a violation of the Mandatory Motor Vehicle Liability Insurance Law shall not thereafter be subject to a criminal penalty for the same violation.
(Act 2016-361, §7.)
The provisions of this article are supplemental and shall not be construed to repeal any law not in direct conflict herewith.
(Act 2016-361, §9.)
For the purposes of this article, the following terms shall have the following meanings:
(1) AGENCY. The Alabama State Law Enforcement Agency.
(2) MOTOR VEHICLE. A vehicle intended primarily for use and operation on the public roads and highways which is self-propelled.
(3) NONCONSENSUAL TOWING. The moving, transporting, or recovery of a commercial vehicle by a towing and recovery service without the prior consent or authorization of the owner or operator of the vehicle.
(4) TOWING. The moving, transporting, or recovery from private property or from a storage facility of a person’s commercial motor vehicle, the moving or removing of an unclaimed motor vehicle, as defined in Section 32-8-84, or the immobilization of or preparation for moving or removing of the commercial motor vehicle, for which a fee is charged, either directly or indirectly.
(5) TOWING AND RECOVERY SERVICE. An individual or business entity that provides towing and recovery services at the direction of a law enforcement officer of the agency in exchange for a fee or charge.
(Act 2017-321, §1.)
(a) Subject to the Alabama Administrative Procedure Act, the Alabama State Law Enforcement Agency shall establish rules governing the use of towing and recovery services for nonconsensual towing directed by the agency of commercial motor vehicles as defined by 49 C.F.R. Part 390.5. At a minimum, the rules shall include all of the following provisions:
(1) The agency may not receive compensation from a towing and recovery service.
(2) A state trooper of the agency may not do any of the following:
a. Receive compensation or receive any other incentive, monetary or otherwise, to use a particular towing and recovery service.
b. Hold any financial interest in a towing and recovery service.
c. Recommend any towing and recovery service in the performance of his or her duties.
(3) All assignments for towing and recovery services shall be made by the trooper commander or his or her designee with jurisdiction over the location in which the vehicle is located at the time the services are needed.
(4) The agency shall approve rates as reasonable based on what is customary in practice of the industry.
(5) Upon nonconsensual towing or recovery of a commercial vehicle and movement of the vehicle to a storage facility, a towing and recovery service shall allow an owner of a commercial vehicle or a designee of the owner of the commercial vehicle to access the vehicle in a reasonable manner as established by rules adopted by the agency pursuant to this section and retrieve any freight or contents in or on the commercial vehicle, including a trailer, tractor, and any items necessary to carry out the interrupted job. Freight and contents in or on the commercial vehicle may not be held by the towing and recovery service to secure towing and recovery charges. In the event that the trailer or the tractor is retrieved from the storage facility, the commercial vehicle owner shall pay up to a two thousand dollar ($2,000) security deposit until the service bill is paid. Nothing in this section shall be construed to conflict with any existing law giving the towing service provider a lien on the commercial vehicle for the services provided.
(b) The agency shall adopt a service charge dispute resolution process that includes all of the following provisions:
(1) Upon a dispute over fees and charges related to towing and recovery services for nonconsensual towing, the commercial motor vehicle owner or the motor vehicle owner’s designee must file a written complaint with the towing and recovery service provider and the trooper commander or his or her designee within three business days of receiving an invoice for the services provided.
(2) Upon receipt of the written complaint challenging the fees and charges, a towing and recovery service shall cease any and all storage charges that would incur during the complaint review procedure.
(3) Upon a dispute based on an unpaid invoice, the towing and recovery service provider may file a complaint after 30 days of the date of the invoice but no later than 90 days after that same date.
(4) If no agreement for cost adjustments can be made by the commercial motor vehicle owner or the commercial motor vehicle owner’s designee and the towing and recovery service within seven days from the date of the submission of the complaint under subdivision (1) or (2), the complaint shall be reviewed by the trooper commander or his or her designee with jurisdiction over the location upon which the vehicle was located at the time of towing or recovery. The trooper commander or his or her designee shall make a determination on the complaint within three business days as follows:
a. If the trooper commander or his or her designee determines that the fees are reasonable, the towing and recovery service may submit additional charges for any and all storage fees that have incurred during the complaint procedure.
b. If the trooper commander or his or her designee finds the towing and recovery charges to be in excess of the reasonable rates that are customary in practice of the industry, the trooper commander or his or her designee may adjust the charges accordingly and require the towing and recovery service to comply with the revised fees and charges.
(Act 2017-321, §2.)
(a) If a towing and recovery service violates a rule adopted by the Alabama State Law Enforcement Agency as required in Section 41-27-61, the agency may administer any disciplinary action provided for by agency rules governing rotation towing services, including the assessment of fines for violations, not to exceed five hundred dollars ($500) per violation.
(b) Any determination or order by the agency under this section may be appealed in accordance with the Alabama Administrative Procedure Act.
(Act 2017-321, §3.)
Rules required to be adopted pursuant to this article shall be adopted by the agency no later than November 1, 2017.
(Act 2017-321, §4.)
For the purposes of this article, the following terms have the following meanings:
(1) ALEA. The Alabama State Law Enforcement Agency.
(2) CAPITOL AREA. Any of the following locations:
a. The Downtown Capitol Area.
b. The Alabama Governor’s Mansion and all real property situated between Cromwell Street and Finley Avenue and between Court Street and Perry Street in Montgomery, Alabama.
c. Any official residence of the Governor of Alabama.
d. Any location designated by the secretary where the House of Representatives, the Senate, the Supreme Court of Alabama, the Alabama Court of Civil Appeals, or the Alabama Court of Criminal Appeals convenes, or will convene, to perform official business.
(3) CONDUCTING FLIGHT OPERATIONS. Any of the following actions:
a. Manipulating the flight controls of an unmanned aircraft system.
b. Acting as a remote pilot in command for a person manipulating the flight controls of an unmanned aircraft system.
c. Acting as a visual observer for a person manipulating the flight controls of an unmanned aircraft system.
(4) DOWNTOWN CAPITOL AREA. All real property situated between Madison Avenue and High Street and between Lawrence Street and Hilliard Street in Montgomery, Alabama.
(5) SECRETARY. The Secretary of ALEA.
(6) UNMANNED AIRCRAFT. An aircraft operated without the possibility of direct human intervention from within or on the aircraft.
(7) UNMANNED AIRCRAFT SYSTEM or UAS. An unmanned aircraft and its associated elements, including communication links and the components that control the unmanned aircraft, which are required for the safe and efficient operation of the unmanned aircraft in the national airspace system.
(8) USE. When used in reference to an unmanned aircraft system, any of the following actions:
a. Conducting flight operations for an unmanned aircraft system.
b. Launching an unmanned aircraft.
c. Landing an unmanned aircraft, or otherwise allowing an unmanned aircraft to make contact with any individual or real or personal property.
d. Causing an unmanned aircraft to fly.
e. Causing an unmanned aircraft to drop any payload.
f. Causing an unmanned aircraft system to deploy or discharge an attached weapon, firearm, explosive, destructive device, or ammunition.
(9) VICINITY. The area of physical space within 500 horizontal feet and 250 vertical feet of the perimeter of a Capitol area.
(Act 2026-270, §2.)
(a) No person shall intentionally use a UAS to conduct surveillance of, or photograph or otherwise record images of, a Capitol area for the purpose of committing a criminal offense.
(b) A violation of this section is a Class C felony.
(Act 2026-270, §2.)
(a) No person shall intentionally or knowingly use a UAS in the vicinity of a Capitol area in a manner that interferes with the operations of a Capitol area or causes a disturbance to a Capitol area.
(b) A violation of this section is a Class C felony.
(Act 2026-270, §2.)
(a) No person shall, without written permission from the secretary, intentionally or knowingly use a UAS within 250 horizontal feet and 250 vertical feet of the perimeter of any site of the construction or improvement of state property within a Capitol area.
(b) A violation of this section is a Class C misdemeanor for a first offense and is a Class B misdemeanor for a second or subsequent offense.
(Act 2026-270, §2.)
(a)(1) On or after January 1, 2027, no person shall intentionally or knowingly use a UAS in the vicinity of a Capitol area.
(2) A violation of subdivision (1) is a Class C misdemeanor for a first offense and is a Class B misdemeanor for a second or subsequent offense.
(b) None of the following persons shall be subject to the prohibition in subdivision (a)(1):
(1) The United States, including any agencies or departments thereof.
(2) The State of Alabama, including any agencies or departments thereof.
(3) An employee, agent, contractor, or other person acting under the direction or on behalf of the United States or the State of Alabama if the person’s use of a UAS is performed within the line and scope of that relationship.
(4) A person conducting emergency law enforcement or fire response operations.
(5) A person who uses a UAS in accordance with written permission from the secretary, or with a permit issued by the secretary, as established in Section 41-27-86.
(Act 2026-270, §2.)
(a) ALEA may take reasonable and necessary measures against a UAS operating in violation of this article, including all of the following measures:
(1) Jamming, to the extent consistent with federal law and regulations, including those of the Federal Communications Commission.
(2) Hacking.
(3) Physical capture.
(4) Any other reasonable mitigation measure undertaken to neutralize, intercept, disable, or disrupt a UAS.
(b) ALEA may seize a UAS, any part thereof, and any property attached to the aircraft or dropped therefrom if the UAS, any part thereof, or any property attached to the aircraft or dropped therefrom was used in violation of this article.
(Act 2026-270, §2.)
(a) The secretary, by rule, may designate additional locations as a Capitol area and may establish procedures for temporarily designating a location as a Capitol area.
(b) The secretary, in consultation with the Governor, the Alabama Legislative Council, and the Alabama Administrative Office of Courts, may establish by rule permitting procedures for the use of a UAS in the vicinity of a Capitol area.
(c) The secretary may adopt any other rules necessary to implement and enforce this article.
(Act 2026-270, §2.)
There is in state government the Office of Information Technology, which shall be headed by the Secretary of Information Technology who shall also be known as the Chief Information Officer of the state.
(Act 2013-68, p. 138, §1; Act 2017-282, p. 464, §2; Act 2025-369, §1.)
(a) The Legislature finds and declares:
(1) The streamlining and consolidation of governmental functions is a priority and is of great importance to the economic well-being of the State of Alabama, to its citizens, and to ensuring appropriate and responsible use of taxpayer funds.
(2) The Office of Information Technology was created in furtherance of the goal to streamline information technology in the state.
(3) Effective utilization of information technology is paramount to reducing the cost of governmental operations and to serving the citizens of the state.
(4) Excellence in support for all state agency information technology needs is critical to serving the people of Alabama.
(b) To implement the findings in subsection (a), the purpose of Act 2017-282 is to transfer the responsibility and authority for information technology service delivery from the Department of Finance to the Office of Information Technology.
(Act 2017-282, §1.)
As used in this chapter, the following terms shall have the following meanings:
(1) COMMITTEE. The Permanent Legislative Oversight Committee on Information Technology.
(2) CYBERSECURITY. The protection of critical infrastructure, data, and digital networks through the implementation of security measures, risk management processes, disaster recovery, business continuity, and incident response protocols to safeguard against cyber threats.
(3) ELECTROMAGNETIC TRANSMISSION EQUIPMENT. Any transmission medium, switch, instrument, network node, inside wiring system, wireless system, fiber-optic system, or other facility which is used, in whole or in part, to provide any transmission, communication, or processing of information.
(4) INFORMATION TECHNOLOGY. All forms of automated data processing, communications systems, subsystems, or interconnected systems and services, computer networks, electronic information systems and related information, databases, equipment, goods, and services used for gathering, storing, transmitting, retrieving, manipulating, moving, controlling, managing, displaying, interchanging, receiving, processing, or protecting of information.
(5) OFFICE. The Office of Information Technology.
(6) SECRETARY OF INFORMATION TECHNOLOGY or SECRETARY. The chief administrative and executive officer of the Office of Information Technology who is also known as the Chief Information Officer of the state.
(7) STATE AGENCIES. All departments, agencies, offices, boards, commissions, bureaus, and authorities of state government. The term shall not include counties, municipalities and their instrumentalities, the Alabama State Port Authority, the State Department of Education, the Retirement Systems of Alabama, or institutions of higher education governed by a separate board of trustees, although these entities and institutions may enter into cooperative agreements and contracts related to information technology efforts with the state information technology system.
(8) TECHNOLOGY CONTRACT. A contract entered into by any state agency concerning information technology, cybersecurity, electromagnetic transmission equipment, or telecommunications equipment, systems, or related services.
(9) TELECOMMUNICATIONS EQUIPMENT, SYSTEMS, OR RELATED SERVICES. Includes all of the following:
a. Devices including, but not limited to, telephone instruments, modulators, headsets, and coders, used to convert voices, voice information, or digital data into a form suitable for transmission by electronic, electric current, electromagnetic wave, or any technological means from one point to another point.
b. Devices including, but not limited to, telephone receivers, demodulators, and decoders, used to receive voices, voice information, or digital data in a form suitable for converting this information into usable form by an electronic, electric current, electromagnetic wave, or any technological means.
c. Wiring, waveguides, optical fibers, wireless, or other physical means used to convey electric currents or electromagnetic waves containing voice information or digital data.
d. Switches, wireless access points, routers, virtual private networks, network concentrators, firewalls, nodes, branch exchanges, software, and other devices used to selectively interconnect devices which use electric current or electromagnetic waves for the purpose of communicating voice signals or digital data from one point to another point.
e. Maintenance of the types of devices and means listed in paragraphs a. through d. and all consulting, designs, implementation, customization, or management services related to those devices, their interconnection, and their use.
(Act 2013-68, p. 138, §2; Act 2017-282, p. 464, §2; Act 2025-369, §1.)
(a) The Secretary of Information Technology shall be appointed by and serve at the pleasure of the Governor. The Secretary of Information Technology is a cabinet level position and the secretary shall be responsible for the performance and exercise of the duties, responsibilities, functions, powers, and authority imposed upon the Secretary of Information Technology and the Office of Information Technology by law and shall be the state Chief Information Officer (CIO) and the principal advisor to the Governor on information technology policy, including policy on the acquisition and management of information technology and resources. The Secretary of Information Technology shall receive a salary in an amount to be determined by the Governor.
(b) Before entering upon the discharge of his or her duties, the secretary shall take the constitutional oath of office and shall execute to the State of Alabama a bond, to be approved by the Governor, in an amount to be fixed by the Governor, but not less than fifty thousand dollars ($50,000), for the faithful performance of the secretary’s duties.
(c) The secretary shall devote full time to the office and shall not hold another office under the government of the United States, any other state, or this state, or any political subdivision thereof, during his or her incumbency in the office and shall not hold any position of trust or profit or engage in any occupation or business the conduct of which interferes or is inconsistent with the performance of his or her duties as secretary.
(d) The employees of the office shall be either members of the classified service of the Merit System or exempt from the Merit System. In addition to any other exempt positions as otherwise allowed by law, the exempt positions in the office shall be limited to:
(1) Up to two deputy secretaries.
(2) Up to six highly trained, highly specialized information technology professionals.
(e) Employees of the office in the exempt service shall serve at the pleasure of the secretary and, notwithstanding Section 36-6-6, shall receive salaries to be determined by the secretary.
(Act 2013-68, p. 138, §3; Act 2017-282, §2.)
The secretary shall have all of the following powers and duties:
(1) Develop a comprehensive four-year strategic plan for the state’s information technology to include acquisition, management, and use of information technology by state agencies. The plan shall be developed in conjunction with the planning and budgeting processes for state agencies and may include review of state agencies’ information technology plans, capital budgets, and operating budgets as appropriate to accomplish the goals of reducing redundant expenditures and maximizing the return on information technology investments. The plan shall be updated annually and submitted to the Governor and shall be presented during a public meeting to the Permanent Legislative Oversight Committee on Information Technology. The plan shall further be coordinated with the Boards of Directors of the Alabama Supercomputer Authority.
(2) Collaborate and coordinate with the Alabama Supercomputer Authority or any state authority, board, or agency of like kind and promote standards and coordinate services and infrastructure to ensure that information technology and cybersecurity are used to support designated needs areas, including identifying applications, equipment, and services that may be statewide in scope and assisting state agencies in avoiding duplication of applications, equipment, and services.
(3) Serve as a member of the board, or boards, for the Alabama Supercomputer Authority.
(4) Solicit, receive, and administer funds, goods, services, and equipment from public and private entities to be used for the purchase of computers, satellites, hardware, software, and other information technology and cybersecurity equipment and services and for staff training in the use of information technology and cybersecurity development programs.
(5) Establish an inventory of information technology resources to allow identification of underutilized or idle resources and all data and data systems in state agencies to promote improved asset management, information security, and cybersecurity utilization, intelligence, and data sharing, with information technology resources to include personnel, goods, and services. The inventory is not subject to public disclosure.
(6) Manage, plan, and coordinate all telecommunications and cybersecurity systems under the jurisdiction of the state through coordination of existing system activities, vendors, service orders, billing, and recordkeeping functions in accordance with records retention requirements established by the State Records Commission and other applicable law; planning and implementing new systems or services; designing replacement systems; project management during specification writing, bid letting, proposal evaluation, and contract negotiations; implementation and supervision of new systems and ongoing support; implementation of long-term state plans; and management of telecommunications networks.
(7) Establish and coordinate, through either state ownership or commercial leasing, all telecommunications and cybersecurity equipment, systems, and related services affecting the management and operations of the state or any county office of a state agency.
(8) Act as the centralized approving authority for the acquisition of all telecommunications, information technology, and cybersecurity systems or services provided to state agencies via state procurement means, including pay telephones, computer services, Internet delivery systems, radio communications, or any combination thereof, located on or off premises owned or operated by the state or any of its agencies.
(9) Charge respective user agencies for their proportionate cost of the installation, maintenance, and operation of the telecommunications, information technology, and cybersecurity equipment, systems, and services, including the operation of the office.
(10) Develop coordinated telecommunications, information technology, and cybersecurity equipment, systems, and related services including, but not limited to, data, voice, and Internet systems or services within and among all state agencies both on and off premises and require, where appropriate, cooperative utilization of telecommunications equipment, facilities, and services by aggregating users.
(11) Review, coordinate, approve, or disapprove all requests by state agencies for the procurement, through purchase or lease, of radio communications and telecommunications, information technology, and cybersecurity equipment, systems, and related services, including telecommunications, data, Internet protocol, maintenance, implementation, and consultation contracts.
(12) Establish and define telecommunications and cybersecurity system and service specifications and designs so as to assure compatibility of telecommunications, information technology, and cybersecurity equipment, systems, and related services within state government and any county office of a state agency.
(13) Provide a continuous, comprehensive analysis and inventory of telecommunications, information technology, and cybersecurity costs, facilities, and systems within state government and any county offices of state agencies.
(14) Advise and provide consultation services to state agencies with respect to telecommunications, information technology, and cybersecurity management planning and related matters, including training within state agencies.
(15) Establish and supervise the administration of data processing centers deemed necessary to best serve the data processing needs of all state agencies.
(16) Provide for the centralization, consolidation, and shared use of equipment and services deemed necessary to obtain maximum utilization and efficiency in data processing operations.
(17) Transfer to any data processing center the data processing activities of any state agency.
(18) Provide systems design and programming services to all state agencies.
(19) Select and procure, by purchase or lease, any data processing systems and associated software deemed necessary to best serve the data processing needs of the office.
(20) Conduct data processing studies as deemed necessary and enter into contracts with other state agencies, organizations, corporations, or individuals to complete those studies.
(21) Prepare contract specifications for data systems equipment and services.
(22) Establish and administer a structured system for review and approval of new information technology and cybersecurity initiatives and projects, including business case, cost benefit analysis, and compatibility analysis.
(23) Administer any funds appropriated to the secretary by the Legislature for the establishment, operation, and coordination of the office.
(24) Represent state information technology, cybersecurity, and related areas with both the private and public sectors, including the federal government.
(25) Issue annual reports to the Governor, the Legislature, and the general public concerning the coordination and operation of the office.
(26) Adopt rules and policies and establish procedures and standards for the management and operation of information technology by state agencies to carry out this chapter, including coordinating state information technology; providing technical assistance to state agency administrators on design and management of state information technology systems; evaluating and approving the cost, system design, and suitability of information technology equipment and related services; establishing and enforcing cybersecurity governance for state agencies, including supporting operations and technology controls; establishing standards and policies for program and project management and methodologies; and developing a unified and integrated structure and enterprise architecture for information technology systems for all state agencies.
(27) In consultation with the Governor, adopt rules to provide for the creation, operation, and oversight of a technology quality assurance board that will promote the responsible and transparent procurement, development, and use of novel technologies within state agencies through establishing and enforcing the following measures for these technologies:
a. Ethical guidelines and frameworks.
b. Security and privacy controls.
c. Ongoing compliance mechanisms.
(28) Plan and coordinate information technology and cybersecurity activities for state agencies in such a manner as to promote the most economical and effective use of state resources.
(Act 2013-68, p. 138, §4; Act 2025-369, §1.)
(a) No public monies shall be expended by the secretary for any purpose unless the monies have been appropriated by the Legislature to the entity from which the funds are received or to the office. Any monies appropriated shall be budgeted and allotted pursuant to the Budget Management Act in accordance with Article 4, commencing with Section 41-4-80, of Chapter 4 of this title, and only in the amounts provided by the Legislature in the general appropriations act or other appropriation acts.
(b) All user fees collected, direct appropriations, and other funds received relating to the provision of telecommunications services under this chapter shall be deposited into a revolving fund in the State Treasury designated as the Telecommunications Revolving Fund, and the secretary may make deposits and expenditures from time to time from the fund to implement this chapter. All balances of revenue, income, and receipts remaining in the fund at the end of each fiscal year shall carry over to the next fiscal year and shall not revert to the State General Fund or any other fund.
(Act 2013-68, p. 138, §5; Act 2025-369, §1.)
AMENDED BY ACT 2026-327, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
There is created a Permanent Legislative Oversight Committee for Information Technology to review the operations and performance of the Secretary of Information Technology and to promote the effective use of information technology in state government. A chair and a vice chair shall be selected by the membership. The committee shall meet at least once annually and may meet more often as directed by the chair of the committee. The membership of the committee shall reflect the racial, gender, urban/rural, and ethnic diversity of the state. The committee shall consist of the following:
(1) The chairs of the House and Senate General and Education appropriations committees.
(2) Two members of the House appointed by the Speaker of the House of Representatives.
(3) One member of the Senate appointed by the President of the Senate.
(4) One member of the Senate appointed by the President Pro Tempore of the Senate.
(Act 2013-68, p. 138, §6.)
(a) There is created a search committee whose purpose, when the need arises, is to recommend candidates to the Governor to serve as the Secretary of Information Technology.
(b) The committee shall be composed of the following individuals:
(1) Two members appointed by the Governor.
(2) A member appointed by the Speaker of the House of Representatives.
(3) A member appointed by the President Pro Tempore of the Senate.
(4) A member appointed by the Lieutenant Governor.
(c) The committee shall conduct a search using, at a minimum, the following criteria:
(1) A minimum of 15 years senior management experience in a large organization.
(2) Demonstrated experience in the following areas:
a. Strategic planning and execution.
b. Financial budgeting.
c. Innovation and business transformation.
d. Facilitating and building consensus among a diverse set of stakeholders.
e. Operating in complex, politicized environment.
f. Contracting, negotiating, and change management.
g. Creating and sustaining work cultures.
h. Leading a large functionally diverse information technology organization.
i. Demonstrating ability to work independently with elected officials and heads of agencies from the executive, legislative, and judicial branches of government.
(d) The committee shall forward a list of five to ten qualified candidates to the Governor who may select an individual or reject the list.
(e) Each candidate shall have at a minimum a baccalaureate degree; however, a combination of education and experience may be considered.
(Act 2013-68, p. 138, §7.)
The Office of the Secretary of Information Technology shall not be subject to the Alabama Sunset Law, Chapter 20 of this title, as an enumerated agency as provided in Section 41-20-3.
(Act 2013-68, p. 138, §8.)
(a) Effective on the date specified in accordance with subsection (d), the Information Services Division of the Department of Finance, which was established on March 19, 1997, by the Director of Finance with the approval of the Governor pursuant to Section 41-4-37, and which thereby assumed the authority, powers, and duties of, and succeeded to, the divisions of Data Systems Management and Telecommunications of the Department of Finance, is abolished. On such date, all powers, authority, and duties of the Information Services Division, including, but not limited to, those authorities currently established in Articles 8 and 11 of Chapter 4 of this title, shall be transferred to the Office of Information Technology. All references in any law or rule to the Division of Data Systems Management, the Telecommunications Division, or the Information Services Division of the Department of Finance shall be deemed a reference to the Office of Information Technology. In any law or rule relating to the Division of Data Systems Management, the Telecommunications Division, or the Information Services Division, all references to the Department of Finance shall be deemed a reference to the Office of Information Technology, and all references to the Director of Finance shall be deemed a reference to the Secretary of Information Technology.
(b) Effective on the date specified in accordance with subsection (d), all books, records, supplies, funds, equipment, and personnel of the Information Services Division of the Department of Finance shall be transferred to the Office of Information Technology.
(c) All persons employed by the Department of Finance who are identified by the Finance Director as employees of the Information Services Division on the date specified in accordance with subsection (d), shall be transferred to the Office of Information Technology. Such transfer shall result without loss of salary, benefits, seniority, or decrease in Merit System classification.
(d) This section shall take effect on a date agreed upon by the Director of Finance and the Secretary of Information Technology, set forth in a writing, signed by both parties, certifying that they have jointly developed an implementation plan for the orderly transfer of authority, powers, duties, property, records, and personnel provided for herein.
(Act 2017-282, §3.)
In addition to any other authority, the Department of Finance, Division of Purchasing, is hereby authorized to enter into joint purchasing agreements for information technology goods and services and make multi-vendor awards for information technology goods and services on behalf of the Office of Information Technology, utilizing the procedures and adhering to the requirements set forth in Section 41-16-21.1, for joint purchasing agreements and Section 41-16-27, for multi-vendor awards.
(Act 2017-282, §4.)
No state agency shall rent, lease, lease to purchase, or in any way own or pay for the operation of any telecommunications, information technology, or cybersecurity equipment, system, or related services or computer networks out of any funds available for that purpose without the written approval of the office.
(Act 2025-369, §2.)
The office, on behalf of any state agency, may enter into an equipment support contract with a vendor of telecommunications, information technology, or cybersecurity equipment for the purchase, lease, or lease to purchase of the equipment in accordance with state competitive bid laws. Each contract shall be valid for not more than five fiscal years and shall include the following annual appropriation dependence clause: “The continuation of the contract is contingent upon the appropriation by the Legislature of funds to fulfill the requirements of the contract. If the Legislature fails to appropriate sufficient monies to provide for the continuance of the contract, or if funds from other sources are not available, the contract shall terminate on the date of the beginning of the fiscal year for which funds are not appropriated or available.”
(Act 2025-369, §2.)
Subject to the approval of the state purchasing agent, the office may allow the trade-in of telecommunications, information technology, or cybersecurity equipment, the value of which may be credited against the cost of replacement equipment purchased in accordance with state competitive bid laws.
(Act 2025-369, §2.)
The office may enter into contracts for the lease of telecommunications, information technology, or cybersecurity equipment, systems, or related services. The contract shall be valid for not more than five fiscal years, and the office may directly contract for or approve contracts for regulated or tariffed telecommunications, information technology, or cybersecurity services upon a determination that the application of the service is in the best interests of the state.
(Act 2025-369, §2.)
(a) Pursuant to the requirements of Public Law 92-544, the office may conduct a state and national criminal history background check on current or prospective state employees and contractors for the purpose of determining whether those individuals who have or may have access to the state’s telecommunications, information technology, or cybersecurity infrastructure or otherwise perform functions that impact the technical operations of state government have been convicted of a crime that would warrant denying the employee or contractor access to information technology services to state government agencies.
(b) State and national criminal history records checks shall be requested by the office from the Alabama State Law Enforcement Agency (ALEA) and shall be applicable to the individual identified in the request. The office shall arrange for the fingerprinting of the individual or for conducting any other method of positive identification required by ALEA. The request shall also specify whether a national criminal history records check is requested by the Federal Bureau of Investigation on the specified individual in addition to a state criminal history records check. ALEA shall submit the verified fingerprints or other positive identifying information to the Federal Bureau of Investigation for a national criminal history records check when requested by the office. The results of the state and national criminal history records checks shall be returned to the office by ALEA.
(c) Any criminal history reports received by the office from ALEA shall be marked confidential and shall not be disclosed or made available for public inspection. All criminal history reports received pursuant to this section are specifically excluded from any requirement of public disclosure as a public record. The Secretary of ALEA shall limit access to these reports and may only use the information contained in the reports for the purposes set out in this section.
(d) The Secretary of ALEA may charge fees to the office subject to a fee schedule adopted by the Alabama Justice Information Commission for conducting state and national criminal history records checks.
(e) In conjunction with making criminal history records checks, the Secretary of ALEA shall establish a policy for determining which criminal elements would result in preventing or removing an employee’s or contractor’s access to sensitive or protected information handled by the office.
(Act 2025-369, §2.)
This chapter shall not apply to two-way radio communications equipment, systems, or networks operated by state agencies for purposes related to public safety, the administration of criminal justice, or highway maintenance and construction operations.
(Act 2025-369, §2.)
The provisions of this chapter concerning telecommunications, information technology, or cybersecurity equipment, services, and solutioning shall not apply to any county or city board of education, the Alabama Educational Television Commission, entities that originated within the State Department of Education, the Alabama Community College System, or any public four-year institution of higher education. Upon request, the office may provide technical consultation and procurement services for telecommunications, information technology, or cybersecurity to any county or city board of education, the Alabama Educational Television Commission, the Alabama Community College System, and any public four-year institution of higher education. The county and city boards of education, the Alabama Educational Television Commission, the Alabama Community College System, and public four-year institutions of higher education shall continue to be provided instate and out-of-state long distance voice service by the office, so long as funding is provided to the Telecommunications Revolving Fund from the Education Trust Fund, and shall not be required to pay any additional charge for that service; however, any county or city board of education shall have the option of utilizing the office for instate and out-of-state long distance voice service only if reimbursement for actual costs are remitted to the office.
(Act 2025-369, §2.)
The legislative and judicial branches of government are exempt from the requirements of this chapter, except under terms and conditions mutually agreed to in writing between the office and the branch of government.
(Act 2025-369, §2.)
(a)(1) There is hereby created the Department of Commerce within the office of the Governor and directly under his or her supervision and control. The Department of Commerce shall be headed by the Secretary of Commerce, who shall be an individual with extensive experience in development of economic, human, and physical resources and promotion of industrial and commercial development. The secretary shall be appointed by the Governor and serve at his or her pleasure at a salary of any reasonable amount set in the same manner as other appointed department heads under Section 36-6-6. In fixing the secretary’s salary, the Governor shall give due consideration of the salaries of comparable positions in other states and in private industry. All other employees necessary to carry out the duties and functions of the Department of Commerce shall be employed subject to the state Merit System law. In addition to any other employees, there may be employed a total of eight assistant secretaries for the office, who shall not be subject to the state Merit System law and whose compensation shall be determined by the secretary.
(2) The eight additional assistant secretaries shall be individuals experienced in industrial and commercial development for at least the two years prior to their employment. Compensation for the eight additional assistant secretaries shall not exceed the amount of compensation paid for the highest classification of state Merit System employees employed by the Department of Commerce.
(3) The makeup of the assistant secretaries shall be inclusive and should reflect the racial, gender, geographic, urban, rural, and economic diversity of the state.
(b) On the date determined pursuant to Section 41-29-6, the Department of Commerce shall be comprised of the following divisions: The Business Development Division and the Alabama Industrial Development and Training Institute. Each division shall be headed by a deputy secretary who shall be appointed by the Secretary of Commerce outside of the classified service and who shall serve at the pleasure of the secretary at a salary set by the secretary and approved by the Governor. The deputy secretary of each division shall report to the secretary.
(c)(1) The Governor, through the Department of Commerce, shall encourage comprehensive and coordinated planning and programming of the affairs of state government.
(2) All economic development functions as defined in subdivision (12) of Section 36-25-1 or otherwise engaged in by any employee, department, agency, or body corporate in the executive branch of the state shall be pre-approved by the Secretary of Commerce or the Governor.
(d) The Governor may direct any state department or other agency of state government directly under his or her control and supervision to furnish the Department of Commerce with such personnel, equipment, and services as are necessary to enable the Department of Commerce to carry out its responsibilities and duties and may prescribe the terms thereof, including reimbursement of costs thereof.
(e)(1) The Legislature finds and declares that the Alabama Community College System consists of comprehensive community and technical colleges and the Alabama Technology Network, an effective workforce development initiative. The Alabama Community College System provides a unified system of institutions delivering excellence in academic education, adult education, and workforce development initiatives that are responsive to industry needs for highly specialized training programs that help prepare entry level employees to meet growing demands.
(2) Notwithstanding any other provision of this chapter, the Alabama Community College System shall continue to provide a wide range of career-technical courses and short-term training for job-specific certifications.
(Acts 1969, No. 657, p. 1187, §2; Acts 1987, No. 87-591, p. 1029; Act 99-349, p. 512, §1; Act 2012-167, p. 249, §1; §41-9-201; amended and renumbered by Act 2015-450, p. 1456, §3; Act 2024-73, §1.)
(a) The Department of Commerce shall be the principal staff agency of the executive branch to plan with the other departments of state government and with other governmental units for the comprehensive development of the state’s human, economic and physical resources and their relevance for programs administered by the state and the governmental structure required to put such programs into effect. It shall provide information, assistance and staff support by all appropriate means. The Department of Commerce shall perform all the duties and exercise all the powers and authority relative to state regional and local planning and industrial development heretofore vested in the Alabama Development Office. All books, records, supplies, funds, equipment, and personnel of the Alabama Development Office are also hereby transferred to the Department of Commerce.
(b) All of the powers and authority heretofore vested in the Alabama Development Office and the Director of Development shall be vested in the Department of Commerce created by this chapter and the Secretary of Commerce, respectively. A reference in any provision of law to the Alabama Development Office or the Director of Development shall be deemed a reference to the Department of Commerce and Secretary of Commerce, respectively.
(c) Without in any way limiting the foregoing general powers and duties, the Department of Commerce shall have the following additional powers and duties:
(1) To formulate a long-range state comprehensive plan, to be submitted by the Governor to the Legislature for its consideration.
(2) To formulate, for approval by the Governor and the Legislature, long-range plans and policies for the orderly and coordinated growth of the state, including, but not limited to, functional plans.
(3) To prepare special reports and make available the results of the agency’s research, studies, and other activities through publications, memoranda, briefings, and expert testimony.
(4) To analyze the quality and quantity of services required for the continued orderly and long-range growth of the state, taking into consideration the relationship of activities, capabilities, and future plans of local units of government, area commissions, development districts, private enterprise, and the state and federal governments.
(5) To encourage the coordination of the planning and programming activities of all state departments, agencies, and institutions, local levels of government, and other public and private bodies within the state.
(6) To advise and consult with regional, county, and local planning and development agencies.
(7) To work with the state budget agency and other state departments, agencies, and institutions to study and review plans, programs and federal aid applications filed with the federal government.
(8) To survey, review, and appraise the accomplishments of state government in achieving its goals and objectives at the direction of the Governor and in cooperation with the state budget agency.
(9) To apply for and accept advances, loans, grants, contributions, and any other form of assistance from the federal government, the state or other public body, or from any sources, public or private, for the purposes of this article and to enter into and carry out contracts or agreements in connection therewith and to include in any contract for financial assistance with the federal government such conditions imposed pursuant to federal laws as it may deem reasonable and appropriate and which are not inconsistent with the purposes of this chapter.
(10) To review and comment on all local and areawide applications for federal planning assistance or to delegate such authority to a regional planning and development commission.
(11) To exercise all other powers necessary and proper for the discharge of its duties, including the promulgation of reasonable rules and regulations.
(d) The Department of Commerce is hereby authorized to make grants from appropriations to regional planning and development commissions which are certified to receive such grants by the Governor under the provisions of Sections 11-85-50 through 11-85-55.
(Acts 1969, No. 657, p. 1187, §5; Act 2012-167, p. 249, §1; §41-9-200; amended and renumbered by Act 2015-450, §3.)
(a)(1) The Secretary of Commerce shall be notified in writing about the general parameters of a project if an entity is considering locating or expanding a facility at a site within this state and intends to claim any of the incentives provided by the State of Alabama that are described in subdivision (2) (the “required notification”). The required notification should be made as soon as the project’s parameters are generally known or when a site or sites have been identified by a project entity or a visit is made to the State of Alabama by the project entity or its representative. The initial required notification may be made on an anonymous basis (i.e., “Project Alpha”) in order to protect the confidentiality of a proposed project. Upon timely notifying the secretary within the time frame specified in this subdivision, the secretary shall transmit a letter to the project entity or its representative acknowledging receipt of the required notification (the “notification acknowledgment letter”).
(2) The required notification set forth in subdivision (1) applies to any of the following:
a. The jobs credit provided for by Section 40-18-375.
b. The investment credit provided for by Section 40-18-376.
c. Any action by a local government body pursuant to Amendment 772 of the Constitution of Alabama of 1901, now appearing as Section 94.01 of the Constitution of Alabama of 2022, as amended, or local amendment of similar effect.
d. Any abatement of taxes pursuant to Chapters 9B or 9G of Title 40.
e. The port credit provided for by Section 40-18-403.
f. The growing Alabama credit provided for by Section 40-18-413.
g. Site preparation grants pursuant to Article 5 of Chapter 29 of this title.
h. Funding for access roads and bridges through the Alabama Industrial Access Road and Bridge Corporation pursuant to Chapter 6 of Title 23.
i. Training or other assistance from the Alabama Industrial Development Training Program.
j. Any grant of federal funds administered or otherwise involving any state or local government, agency, department, body, or other entity, related to the location or expansion of a facility at a site within this state.
k. Any direct or indirect cash payment for a project from the State of Alabama related to the location or expansion of a facility within this state, whether in the form of an in-kind contribution of a site, building, or equipment, or otherwise.
(3) Unless the secretary should specially determine to the contrary, the notification set forth in subdivision (1) shall be available for public inspection two years after a project entity publicly commits to a site for development, whether the publicly-committed site is in this state or elsewhere.
(b) Except as provided in Chapter 25A of Title 36 and any constitutional or statutory disclosure requirements for obtaining the economic development incentives listed in subdivision (2) of subsection (a), all information concerning a proposed project seeking an economic development incentive which is provided to any state or local government, agency, department, or other entity seeking an economic development incentive shall be confidential. Any state or local government, agency, department, or other entity, or the secretary on their behalf is authorized to enter into a confidentiality agreement with a project entity which prohibits the disclosure of the identity of the project entity and any information obtained, whether orally or in writing, about the entity’s proposed project. Unless the secretary should specially determine to the contrary, such confidentiality agreements shall terminate two years after a project entity publicly commits to a site for development in this state.
Provided, however, such confidentiality agreements shall not supersede or conflict with statutory provisions requiring either of the following:
(1) Notice to the entities for which a governmental body or board intends to abate taxes.
(2) Public disclosure of information for applications for governmental approvals such as permits.
(c) The secretary may adopt rules to implement this section.
(Act 99-351, p. 532, §§1- 7; Act 2012-167, p. 249, §1; §41-9-202.1; renumbered by Act 2015-450, p. 1456, §3; Act 2018-541, §1.)
The acceptance of a tax abatement, grant, credit, or exemption provided in Section 41-29-3, shall act as approval and written consent by the taxpayer, as required by Section 40-2A-10, to disclose to the taxpayer, the corresponding amount of the tax abatement, grant, credit, or exemption, and the realized benefits to the Secretary of Commerce. The disclosure of the tax abatement, grant, credit, or exemption, and the realized benefits shall be provided by the taxpayer to the Secretary of Commerce for the previous fiscal year and shall be reported by the Secretary of Commerce no later than the second legislative day of each regular session in accordance with Section 40-1-50, to the Legislature.
(Act 2018-541, §5.)
(a) There is created in the State Treasury a fund to be known as the Alabama Development Fund, which shall be administered by the Department of Commerce. Funds received by the State of Alabama from the following sources shall be deposited into the fund: (i) monies received from taxes collected under Chapter 9I of Title 40; (ii) monies appropriated or otherwise made available by the Legislature in any manner excluding State General Fund or Education Trust Fund monies; (iii) proceeds of any gifts, grants, or contributions; and (iv) monies from any other source designated for deposit into the fund, but not including monies subject to a constitutional designation for some other purpose.
(b) No monies shall be withdrawn or expended from the fund for any purpose unless the monies have been appropriated by the Legislature and allocated pursuant to applicable law. Any monies appropriated shall be budgeted and allotted pursuant to the Budget Management Act in accordance with Article 4 of Chapter 4 of this title and only in the amounts provided by the Legislature in the general appropriations act or other appropriations act.
(c) Unexpended amounts remaining in the fund at the end of each fiscal year shall not revert to the State Treasury at the end of any fiscal year but shall be carried forward to the succeeding fiscal year.
(d) The Alabama Department of Commerce may administer the expenditure of funds in the Alabama Development Fund in furtherance of economic development.
(Act 2025-84, §5.)
The Governor, in carrying out his or her responsibilities under this chapter, may establish advisory committees or councils and appoint the members thereof, who shall serve at his or her pleasure. Members shall serve without compensation. The Governor shall designate the chair and such other officers as he or she may deem necessary for each advisory committee or council. Advisory committees or councils established pursuant to this section shall meet at the call of their chairs or of the Secretary of Commerce.
(Acts 1969, No. 657, p. 1187, §4; Act 2012-167, p. 249, §1; §41-29-203; amended and renumbered by Act 2015-450, §3.)
The Department of Commerce shall be organized into two divisions that shall have the functions prescribed as follows:
(1) The Business Development Division shall be responsible for all of the functions of the Department of Commerce as it existed before the date determined pursuant to Section 41-29-6, including, but not limited to, small business advocacy; the functions performed by the Alabama Small Business Commission, created and functioning pursuant to Section 41-29-240; and international trade.
(2) The Alabama Industrial Development and Training Institute (AIDT) shall provide, where appropriate, employer-specific, employer-tailored workforce development programs in connection with the department’s award of economic development incentives pursuant to state law.
(Act 2015-450, p. 1456, §4; Act 2024-115, §8.)
The Alabama Department of Commerce Workforce Development Division, as established by Section 41-29-5, is renamed the Alabama Industrial Development and Training Institute. The Code Commissioner shall conform references to the “Workforce Development Division” in Chapter 29 of Title 41 accordingly. The Code Commissioner shall also change references to the Deputy Secretary of Commerce of the Workforce Development Division in Chapter 29 of Title 41 to the Secretary of Commerce. These Code changes shall be made at a time determined to be appropriate by the Code Commissioner.
(Act 2024-115, §7.)
This chapter shall become effective immediately following its passage and approval by the Governor, or its otherwise becoming law and shall become operative in whole or in part on a date or dates determined by the Secretary of Commerce but in any event no later than October 1, 2016.
(Act 2015-450, §15.)
There is hereby created, within the Business Development Division of the Alabama Department of Commerce, the Alabama Small Business Office of Advocacy for the purpose of aiding, counselling, assisting, and protecting, insofar as possible, the interests of small business concerns in order to preserve free competitive enterprise and maintain a healthy state economy; and to provide information and assistance to citizens interested in entering into commercial activity.
(Acts 1984, No. 84-262, p. 445, §1; §41-9-760; amended and renumbered by Act 2015-450, §5.)
For purposes of this division, unless the context otherwise requires, the following words and phrases shall have the following meanings:
(1) DIVISION. The Business Development Division of the Department of Commerce.
(2) DIRECTOR. The Director of the Alabama Small Business Office of Advocacy.
(3) OFFICE. The Alabama Small Business Office of Advocacy.
(4) SMALL BUSINESS. A small business, as defined in Section 25-10-3.
(Acts 1984, No. 84-262, p. 445, §2; §41-9-761; amended and renumbered by Act 2015-450, §5.)
(a) The management of the office created by this division shall be vested in a director, who shall be designated by the deputy secretary of the division.
(b) The Secretary of Commerce may assign other Department of Commerce employees or other employees in the state Merit System and exempt positions in the various executive branch departments to assist the director for such periods of time as are necessary to enable the director to carry out his or her responsibilities.
(Acts 1984, No. 84-262, p. 445, §3; §41-9-762; amended and renumbered by Act 2015-450, §5.)
The duties and functions of the office shall include all of the following:
(1) Serve as the principal advocate in the state on behalf of small businesses, including, but not limited to, advisory participation in the consideration of all legislation and administrative regulations which affect small businesses.
(2) Establish a central reference program and general counseling service to assist small businesses.
(3) Represent the views and interests of small businesses before other state agencies whose policies and activities may affect small businesses.
(4) Enlist the cooperation and assistance of public and private agencies, businesses, and other organizations in disseminating information about the programs and services provided by state government which are of benefit to small businesses, and information on how small businesses can participate in, or make use of, those programs and services.
(5) Evaluate the efforts of state agencies, businesses, and industry to assist minority small business enterprises, and make such recommendations as may be appropriate to assist the development and strengthening of minority and other small business enterprises.
(6) Consult with experts and authorities in the fields of small business investment, venture capital investment, and commercial banking and other comparable financial institutions involved in the financing of business, and with individuals with regulatory, legal, economic, or financial expertise, including members of the academic community, and individuals who generally represent the public interest.
(7) Determine the desirability of developing a set of rational, objective criteria to be used to define small business, and to develop such criteria, if appropriate.
(8) To provide a center of information where a person interested in establishing a commercial facility or engaging in a commercial activity may be informed of any registration, license, or other approval of a state regulatory agency that is required for that facility or activity or of the existence of standards, criteria, or requirements which the laws of this state require that facility or activity to meet.
(Acts 1984, No. 84-262, p. 445, §4; §41-9-763; amended and renumbered by Act 2015-450, §5.)
Each state agency which requires a permit, license, or other regulatory approval or maintains standards or criteria with which an activity or facility must comply shall inform the office of the following:
(1) The activity or facility that is subject to regulation.
(2) The existence of any threshold levels which would exempt the activity or facility from regulation.
(3) The nature of the regulatory program.
(4) The amount of any fees.
(5) How to apply for any permits or regulatory approvals.
(6) A brief statement of the purpose of requiring the permit or regulatory approval or requiring compliance with the standards or criteria.
(Acts 1984, No. 84-262, p. 445, §5; §41-9-764; amended and renumbered by Act 2015-450, §5.)
Each state agency shall promptly inform the office of any changes in the information provided under this division or the establishment of a new regulatory program. The information provided to or disseminated by the office shall not be binding upon the regulatory program of a state agency.
(Acts 1984, No. 84-262, p. 445, §6; §41-9-765; amended and renumbered by Act 2015-450, §5.)
For the purpose of implementing the provisions of this division, the office shall establish a toll-free telephone number.
(Acts 1984, No. 84-262, p. 445, §7; §41-9-766; amended and renumbered by Act 2015-450, §5.)
Each agency of the state shall furnish to the director such reports, documents, and information as the director deems necessary to carry out his or her functions under this division. The office shall prepare and submit a written annual report to the Governor and to the Legislature, that describes the activities and recommendations of the office.
(Acts 1984, No. 84-262, p. 445, §8; §41-9-767; amended and renumbered by Act 2015-450, §5.)
(a) The Alabama Small Business Commission is created as part of the Office of Small Business Advocacy.
(b) The commission shall have the following duties:
(1) Formulate policies encouraging innovation of small business in the state.
(2) Discuss issues critical to the economic growth of small, independent businesses and their interests that will encourage the formation of and foster the growth of small businesses in the state.
(3) Advise the Department of Commerce in formulating and promoting policies relating to small businesses.
(4) Act as an advocate for small businesses and the entrepreneurs who work to create opportunities for new small businesses and sustain those that are already in existence.
(5) Promote policies to assist new business start-ups and expansion of existing businesses.
(c) The commission shall be chaired by an appointee of the Lieutenant Governor, who shall be a voting member. The Director of the Business Development Division shall be responsible for the administrative functions of the commission including, but not limited to, the organization of meetings, preparing the annual reports, and other items as needed by the commission. Except as provided in subdivisions (13) through (16), the commission shall be composed of the following members who shall be appointed by the Lieutenant Governor and shall serve a term of two years with the option of being reappointed to one additional term:
(1) One member from each of the congressional districts of the state.
(2) One member from a list of three names submitted by the Alabama Homebuilders Association.
(3) One member from a list of three names submitted by the Alabama Retail Association.
(4) One member from a list of three names submitted by the Alabama Bankers Association.
(5) One member from a list of three names submitted by the Medical Association of Alabama.
(6) One member from a list of three names submitted by the Alabama Farmers Federation.
(7) One member from a list of three names submitted by the Alabama Trucking Association.
(8) One member from a list of three names submitted by the Alabama Association of General Contractors.
(9) One member from a list of three names submitted by the Alabama Automobile Dealers Association.
(10) One member from the manufacturing sector.
(11) One member from a list of three names submitted by the Alabama Forestry Association.
(12) One at-large member.
(13) One member appointed by the Speaker of the House of Representatives from the service, hospitality, and tourism sector.
(14) One member of the House of Representatives appointed by the Speaker of the House of Representatives.
(15) One member of the manufacturing sector appointed by the President Pro Tempore of the Senate.
(16) One member of the Senate appointed by the President Pro Tempore of the Senate.
(d) To the extent possible, the commission members shall be small business owners representing businesses with 50 or fewer employees.
(e) Each appointing authority shall coordinate his or her appointments so that diversity of gender, race, and geographical areas is reflective of the makeup of this state.
(f) The commission shall prepare and submit an annual report to each appointing authority no later than December 31 of each year.
(Act 2015-450, p. 1456, §6; Act 2019-509, §1.)
(a) The Alabama Small Business Advisory Committee is created and shall serve as a technical and informational source to the Alabama Small Business Commission. The chair of the commission shall also serve as chair of the committee.
(b) The advisory committee shall be comprised of the following members:
(1) The Commissioner of the Department of Revenue, or his or her designee.
(2) The Commissioner of the Department of Workforce, or his or her designee.
(3) The Secretary of Commerce, or his or her designee.
(4) A member representing the Alabama Association of Chambers of Commerce, appointed by the Governor.
(5) A member representing the Economic Development Association of Alabama, appointed by the Governor.
(6) A member representing the Association of County Commissions of Alabama, appointed by the Governor.
(7) A member representing the Alabama League of Municipalities, appointed by the Governor.
(8) A member representing the utility industry, appointed by the Governor.
(9) The Chancellor of the Alabama Community College System, or his or her designee.
(10) Additional members as the Governor deems necessary.
(c) The advisory committee shall meet at the call of the chair.
(Act 2015-450, §6.)
On the effective date of the act adding this section, all functions performed by the Department of Economic and Community Affairs administering international trade policies and programs are transferred to the Department of Commerce and shall be administered by the division.
(Act 2015-450, §7.)
All of the workforce programs administered by the Department of Economic and Community Affairs before the effective date of the act adding this section shall be transferred to the Department of Commerce and administered by the Workforce Development Division of the Department of Commerce including, but not limited to, programs administered through the federal Workforce Investment Act, Alabama Career Centers, Incumbent Worker Training Program, On-the-Job Training Program, Individual Training Account, Rapid Response Team, youth programs, eligible training provider list, Mentor Alabama, the Alabama Community Partnership for Recovery and Reentry, National Emergency Grant-Occupational Skills Training for Dislocated Workers, and the Alabama Disability Employment Initiative.
(Act 2015-450, §8.)
The administration of Workforce Investment Board and Local Workforce Investment Boards administered by the Department of Economic and Community Affairs before the date determined pursuant to Section 41-29-6 is transferred to the Workforce Development Division of the Department of Commerce and, on the date determined pursuant to Section 41-29-6, the boards shall be administered through the Workforce Development Division of the department.
(Act 2015-450, §8.)
The Legislature makes the following findings:
(1) The Alabama Industrial Development and Training Institute, hereinafter AIDT, was established in fiscal year 1970-1971 as a contract program reporting to the State Board of Education through the Division of Vocational-Technical Education. In 1976, the State Board of Education adopted a resolution approving the establishment of AIDT as a mobile training institute, appointed a director, established staff positions and salary schedules, and mandated personnel procedures for the staff identical to those with technical colleges. AIDT continued operating under the Department of Postsecondary Education when the Legislature established the department and position of Chancellor. AIDT has been continuously funded through an annual line item in the Education Trust Fund budget.
(2) AIDT provides quality workforce development for the new and expanding businesses in the state and expands the opportunities of its citizens through the jobs these businesses create.
(3) AIDT serves a unique role in the state by providing its citizens the specific skills, knowledge, and training needed to address the dynamic labor needs of new or expanding businesses in a flexible manner that allows for careful coordination with the time and location or the new or expanding businesses and their labor needs.
(4) AIDT’s role in educating and training the state’s workforce is critical to the state’s economic development, job creation and retention, and AIDT’s mission is consistent with, and crucial to the success of, the projects, and services of the Department of Commerce.
(Act 2013-118, p. 240, §1; §41-9-1080; amended and renumbered by Act 2015-450, §9.)
As used in this division. the following words shall have the following meanings:
(1) AIDT. The Alabama Industrial Development and Training Institute.
(2) DIRECTOR. The Director of the Alabama Industrial Development and Training Institute.
(Act 2013-118, p. 240, §1; §41-9-1081; amended and renumbered by Act 2015-450, §9.)
AMENDED BY ACT 2026-593, EFFECTIVE OCTOBER 1, 2026. SEE ACT FOR REVISED LANGUAGE.
AIDT shall operate as a division of the Department of Commerce. All of the powers, authority, duties, functions, policies, and funds of, and appropriations to AIDT previously conferred upon or granted to AIDT reporting to the State Board of Education through the Division of Vocational-Technical Education or by Alabama Executive Order No. 2012-31 are confirmed, ratified, continued, transferred to, and vested in AIDT. All contracts, leases, grants, and agreements previously entered by AIDT shall continue in full force and effect without modification or interruption by this restructuring. All property currently owned by AIDT shall continue to be the property of AIDT. If AIDT plans to construct any new building, retrofit or renovate any of its existing buildings, or request or receive any state or federal funding to construct, retrofit, or renovate any of its buildings, the AIDT director shall first certify to a Governor that the proposal is consistent with the Strategic Workforce Plan. AIDT shall continue to be headed by a director, who shall be appointed by the Secretary of Commerce and shall serve at his or her pleasure. The powers, duties, and qualifications required of the director shall be as set forth in the AIDT Policy Manual, as amended from time to time and approved by the Secretary of Commerce.
(Act 2013-118, p. 240, §1; §41-9-1082; amended and renumbered by Act 2015-450, p. 1456, §9; Act 2024-115, §9.)
(a) AIDT shall continue to be funded from the Education Trust Fund and may receive any other funds appropriated by the United States or the state. AIDT shall maintain accounts in its own name and shall make all of its disbursements and payments directly from accounts maintained outside the State Treasury rather than through state warrants. Funds that have been allocated by AIDT under a project agreement for workforce development shall not be transferred to any other expenditure or for any other purpose without the express written approval of the Secretary of Commerce. All disbursements and payments by AIDT shall be subject to the approval of the director as prescribed in the AIDT Policy Manual as it may be amended from time to time with the approval of the Secretary of Commerce.
(b) Before the third legislative day of each regular session of the Legislature AIDT shall provide to the Chair of the House Ways and Means Education Fund Committee and the Chair of the Senate Finance and Taxation Education Committee a reconciled financial statement of the project commitments and the actual expenditures on project commitments for the preceding fiscal year.
(Act 2013-118, p. 240, §1; §41-9-1083; amended and renumbered by Act 2015-450, §9.)
All individuals serving as employees of AIDT immediately prior to the date determined pursuant to Section 41-29-6, shall remain employees of AIDT. The salary and benefits of such AIDT employees shall not be changed solely as a result of this division. All AIDT employees shall receive compensation determined by the director and approved by the Secretary of Commerce and shall continue to be exempt from the provisions of the state Merit System Law and tenure laws with respect to the method of selection, classification, compensation, and termination of state employees. All AIDT employees shall remain subject to the AIDT policies and procedures existing immediately prior to the date determined pursuant to Section 41-29-6, unless and until such policies are modified or amended by written amendment approved by the Secretary of Commerce.
(Act 2013-118, p. 240, §1; §41-9-1084; amended and renumbered by Act 2015-450, §9.)
All information concerning a proposed project which is provided to the director and AIDT shall be confidential. AIDT, through the director, is authorized to enter into a confidentiality agreement or other contract provision with a prospective entity considering locating or expanding within the state which prohibits the disclosure by AIDT or any of its employees or contractors of the identity of the prospective entity and any information obtained, whether orally or in writing, by such persons about the entity’s proposed project. Further, AIDT, through the director as approved by the Secretary of Commerce, is authorized to enter into a confidentiality agreement or other contract provision with a prospective entity who is considering locating or expanding or has relocated or expanded within the state to reasonably protect trade secrets or other confidential business information of such entity. Such confidentiality agreement or other contract provision shall not otherwise limit the disclosure under applicable open records laws of public documents which describe the nature, quantity, cost, or other pertinent information related to the activities of, or services performed by, AIDT.
(Act 2013-118, p. 240, §1; §41-9-1085; amended and renumbered by Act 2015-450, §9.)
Any operations, processes, and matters of AIDT that are not covered by this division shall be governed by the AIDT Policy Manual, as amended from time to time with the written approval of the Secretary of Commerce.
(Act 2013-118, p. 240, §1; §41-9-1086; amended and renumbered by Act 2015-450, §9.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §1; §16-66-1; amended and renumbered by Act 2015-450, p. 1456, §10; Act 2018-449, §1.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §2; §16-66-2; amended and renumbered by Act 2015-450, p. 1456, §10; Act 2018-449, §1.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §3; §16-66-3; amended and renumbered by Act 2015-450, §10.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §4; §16-66-4; amended and renumbered by Act 2015-450, §10.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §5; §16-66-5; amended and renumbered by Act 2015-450, §10.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §6; §16-66-6; amended and renumbered by Act 2015-450, §10.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §7; §16-66-7; amended and renumbered by Act 2015-450, §10.)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2014-16, p. 50, §8; §16-66-8; amended and renumbered by Act 2015-450, §10.)
(a) This section shall be known and may be cited as the Alabama College and Career Readiness Act. (b) For the purposes of this section, the state apprenticeship agency is the Alabama Office of Apprenticeship. (c) Commencing with the 2025-2026 school year, a public school student shall earn one or more college or career readiness indicators approved by the State Board of Education, before graduation. (d) The State Board of Education shall adopt rules as necessary to implement and administer this section pursuant to the Alabama Administrative Procedure Act, Chapter 22 of this title.
(Act 2023-365, §3)
[Repealed]
REPEALED BY ACT 2024-115, EFFECTIVE OCTOBER 1, 2024.
(Act 2015-450, p. 1456, §11; Act 2018-449, §1.)
[Repealed]
THIS SECTION WAS REPEALED IN THE 2022 REGULAR SESSION BY ACT 2022-248 EFFECTIVE APRIL 5, 2022. THIS IS NOT IN THE CURRENT CODE SUPPLEMENT.
(Act 2015-185, §14.)
This division shall be known and may be cited as the Alabama Industry Recognized and Registered Apprenticeship Program Act.
(Act 2019-506, §1.)
For the purposes of this division, the following terms shall have the following meanings:
(1) APPRENTICE. A worker who is at least 16 years of age, except where a higher minimum age standard is otherwise fixed by law, who is employed to learn an apprenticeable occupation as provided in 29 C.F.R. Part 29.4.
(2) APPRENTICESHIP AGREEMENT. A written agreement between an apprentice and either the apprenticeship program sponsor, or an apprenticeship committee acting as agent for the apprenticeship program sponsor or sponsors, which contains the terms and conditions of the employment and training of the apprentice in conformance with 29 C.F.R., Subtitle A, Part 29 and Section 40-18-421.
(3) APPRENTICESHIP PROGRAM. A plan containing all terms and conditions for the qualification, recruitment, selection, employment, and training of apprentices, as required under the federal guidelines in 29 C.F.R., Subtitle A, Parts 29 and 30, U.S.C. §50, for apprenticeship programs certified by the Alabama Office of Apprenticeship, and the rules adopted by the Alabama Office of Apprenticeship, including such matters as the requirement for a written apprenticeship agreement.
(4) CANCELLATION. The termination of the registration or approval status of an apprenticeship program at the request of the sponsor, or termination of an apprenticeship agreement at the request of the apprentice.
(5) CERTIFICATION or CERTIFICATE. The written approval by the Alabama Office of Apprenticeship of a set of apprenticeship standards or of an individual for employment as an apprentice or probationary apprentice in a registered apprenticeship program or proof that an apprentice has successfully met the requirements to receive an interim credential.
(6) DEREGISTRATION. The termination of the registration or approval status of an apprenticeship program upon written request of the sponsor or upon cause by the Alabama Office of Apprenticeship instituting formal deregistration proceedings.
(7) ELIGIBLE EMPLOYER. The same meaning as provided in Section 40-18-421.
(8) EMPLOYER. Any person or organization employing an apprentice, whether or not the person or organization is a party to an apprenticeship agreement with the apprentice.
(9) FEDERAL PURPOSES. Any action related to a federal contract, grant, agreement, or arrangement dealing with an apprenticeship. The term includes any federal financial or other assistance, benefit, privilege, contribution, allowance, exemption, preference, or right pertaining to an apprenticeship.
(10) GOVERNOR. The chief executive of this state.
(11) INDUSTRY-RECOGNIZED APPRENTICESHIP. A high quality apprenticeship program that includes a paid work component and an educational or instructional component wherein an individual obtains workplace relevant knowledge and skills developed or delivered by third parties, including trade and industry groups, companies, nonprofit organizations, educational institutions, unions, and joint labor management organizations.
(12) IN-SCHOOL YOUTH. A youth described in Section 129(a)(1)(C) of the federal Workforce Innovation and Opportunity Act.
(13) ON-THE-JOB TRAINING. Training by an employer that is provided to a paid participant while engaged in productive work in a job that provides knowledge or skills essential to the full and adequate performance of the job; is made available through a program that provides reimbursement to the employer of up to 50 percent of the wage rate of the participant, except as provided in Section 134(c)(3)(H) of the federal Workforce Innovation and Opportunity Act, for the extraordinary costs of providing the training and additional supervision related to the training; and is limited in duration as appropriate to the occupation for which the participant is being trained, taking into account the content of the training, the prior work experience of the participant, and the service strategy of the participant, as appropriate.
(14) REGISTERED APPRENTICESHIP. A formal, on-the-job training program registered by the Alabama Office of Apprenticeship that includes all of the following:
a. Employer involvement.
b. On-the-job training.
c. Related technical instruction.
d. Paid work experience.
e. A portable, nationally recognized industry credential.
(15) REGISTERED PREAPPRENTICESHIP. A program or set of strategies, registered by the Alabama Office of Apprenticeship, including basic skills training, academic skills remediation, or introduction to the industry, designed to prepare individuals for entry into an apprenticeship program.
(16) REGISTERED YOUTH APPRENTICESHIP. A program that is designed specifically for individuals aged 16 to 18, inclusive, registered by the Alabama Office of Apprenticeship, and is connected to an adult apprenticeship.
(17) REGISTRATION AGENCY. The agency that has responsibility for registering apprenticeship programs and apprentices, providing technical assistance, and conducting review for compliance with existing state law and the state plan for equal employment opportunities.
(18) REQUIRED TECHNICAL INSTRUCTION. An organized and systematic form of instruction designed to provide the apprentice with knowledge of the theoretical and technical subjects related to the occupation of the apprentice. The instruction may be given in a classroom, through occupational or industrial courses, or by correspondence courses of equivalent value, electronic media, or other forms of self-study for registered and industry-recognized apprenticeship programs certified by the Alabama Office of Apprenticeship. The sponsor shall be responsible for the administration and supervision of related and supplemental instruction for apprentices and coordination of the instruction with job experience.
(19) SPONSOR. Any person, association, committee, or organization operating a preapprenticeship, youth registered apprenticeships, youth industry-recognized apprenticeship programs, registered apprenticeships, and industry-recognized apprenticeship programs.
(20) STATE APPRENTICESHIP AGENCY. The Alabama Office of Apprenticeship.
(21) STATE APPRENTICESHIP INTERMEDIARY. The Alabama Community College System shall be the intermediary and shall provide required technical instruction and technical assistance for implementing on-the-job training for all apprencticeable programs certified by the Alabama Office of Apprenticeship with the consent of the sponsor.
(22) VETERAN. The meaning given the term in 38 U.S.C. §101.
(23) WORK BASED LEARNING. Sustained interactions with industry or community professionals in real workplace settings, to the extent practicable, or simulated environments at an educational institution that foster in-depth, first-hand engagement with the tasks required of a given career field, that are aligned to curriculum and instruction.
(Act 2019-506, §2.)
(a) The Alabama Office of Apprenticeship is established as a part of the Alabama Industrial Development and Training Institute of the Department of Commerce, in accordance with 29 U.S.C. §50, 29 C.F.R., Subtitle A, Parts 29 and 30, and Article 20 of Chapter 18 of Title 40, the Apprenticeship Tax Credit Act of 2016. The Alabama Office of Apprenticeship is established for all of the following purposes:
(1) To exercise nonexclusive authority to determine whether an apprenticeship program conforms to the regulations published in 29 C.F.R., Subtitle A, Parts 29 and 30.
(2) To set forth labor standards necessary to safeguard the welfare of apprentices.
(3) To establish policies and procedures for the registration and deregistration of preapprenticeships, youth registered apprenticeships, and registered apprenticeships.
(4) To serve as the registration agency for preapprenticeships, youth registered apprenticeships, registered apprenticeships, and industry-recognized apprenticeships in the state when the sponsor of such programs chooses to certify or register the programs with the Alabama Office of Apprenticeship.
(5) To resolve disputes arising between the parties involved in an apprenticeship agreement registered by the Alabama Office of Apprenticeship.
(b) The Alabama Office of Apprenticeship shall be maintained under the direction of the Deputy Secretary of the Alabama Industrial Development and Training Institute of the Department of Commerce. The deputy secretary, with the advice and consent of the Alabama Apprenticeship Council created pursuant to Section 41-29-334, may appoint a director for the Alabama Office of Apprenticeship, who shall serve at the pleasure of the deputy secretary, shall manage the Alabama Office of Apprenticeship, and shall perform such duties as necessary to effectuate the intent of this division.
(c) The deputy secretary, no later than June 30, 2019, with the advice and consent of the Alabama Apprenticeship Council, shall submit to the United States Secretary of Labor and the Administrator of the national Office of Apprenticeship, in accordance with 29 C.F.R. §29.13(a), an application to recognize the Alabama Office of Apprenticeship as a state apprenticeship agency that shall comply with 29 C.F.R. §29.13(a)-(c). The application for recognition as a state apprentice agency, submitted by the deputy secretary, shall include all of the following elements:
(1) A description of policies and operating procedures that depart from, or impose requirements in addition to, 29 C.F.R., Subtitle A, Part 29.
(2) A state plan for equal employment opportunity in apprenticeship that conforms to the requirements published in 29 C.F.R., Subtitle A, Part 30.
(3) A description of the basic standards, criteria, requirements for program registration or approval, or both, and a demonstration of the linkages and coordination with the economic development and publicly funded workforce investment system of the state.
(4) A description of how the Alabama Office of Apprenticeship will utilize the Alabama Apprenticeship Council.
(5) A description of the respective powers of the Alabama Office of Apprenticeship and the Alabama Apprenticeship Council.
(6) A description of the required contents of apprenticeship agreements, in conformity with 29 C.F.R. §29.7.
(7) A plan to ensure that the registration of apprenticeship programs occurs only in apprenticeable occupations, as provided in 29 C.F.R. §29.4, including occupations in high growth and high demand industries, including a description of how the Alabama Office of Apprenticeship will expand apprenticeship opportunities in apprenticeable occupations listed on the regional and statewide list of in-demand career pathways.
(8) A plan to accord reciprocal approval, for federal purposes, to apprentices, apprenticeship programs, and standards that are registered in other states by the national Office of Apprenticeship or a registration agency, if such reciprocity is requested by the apprenticeship program sponsor. Program sponsors seeking reciprocal approval shall meet wage and hour provisions and apprentice ratio standards of this state.
(9) A plan providing for the cancellation or deregulation, or both, of programs for temporary suspension, cancellation, or deregistration, or any of these, of apprenticeship agreements.
(Act 2019-506, §3.)
(a) The Alabama Office of Apprenticeship, with the advice and consent of the Alabama Apprenticeship Council, shall develop a nationally recognized state apprenticeship completion credential, as described in 29 C.F.R. §29.5, for completing a registered or industry-recognized apprenticeship program registered with the Alabama Office of Apprenticeship.
(b) The Alabama Office of Apprenticeship may certify industry-recognized apprenticeships, registered with the Alabama Office of Apprenticeship, as eligible training providers for the purpose of the federal Workforce Innovation and Opportunity Act, P.L. 113-128, and may deliver services to registered apprenticeship participants with qualifying training accounts under Title I of the federal Workforce Innovation and Opportunity Act, P.L. 113-128, through the eligible training provider list of each regional workforce development board.
(c) The Alabama Office of Apprenticeship, with the advice and consent of the Alabama Apprenticeship Council and pursuant to the Alabama Administrative Procedure Act, may adopt rules as necessary to effectuate the intent of this division, and those rules shall conform to the published apprenticeship guidelines in 29 C.F.R., Subtitle A, Parts 29 and 30.
(d) The Alabama Office of Apprenticeship, with the advice and consent of the Alabama Apprenticeship Council, may approve apprenticeship programs that are mandated by state or federal law as a result of the apprenticeship sponsor receiving funds or resources from the state, or funds or resources from the federal government, which require the creation of an apprenticeship program in accordance with a federal grant administered by the state, including contracts, grants, loans, tax abatements or exemptions, land transfers, land disposition and development agreements, tax increment financing, or any combination thereof.
(e) The Alabama Office of Apprenticeship shall establish competency based apprenticeship frameworks based on the regional and statewide compendia of valuable credentials created by the Alabama Workforce Council Committee on Credentialing and Career Pathways. The Alabama Office of Apprenticeship shall establish competency based apprenticeship frameworks for each occupation listed on a regional and statewide list of in-demand career pathways.
(f) The Alabama Committee on Credentialing and Career Pathways shall be charged with analyzing primary and secondary labor market data and data from the Alabama Terminal on Linking and Analyzing Statistics on Career Pathways to determine, annually, among the 16 career clusters and 79 associated career pathways, which career pathways are in demand at the regional and state level.
(g) The Alabama Committee on Credentialing and Career Pathways, by majority vote of a present quorum, shall provide recommendations for appointment to the Governor, who shall appoint a technical advisory committee for each of the 16 career and technical education career clusters.
(h) Each technical advisory committee shall conform to all of the following parameters:
(1) Each shall be composed of seven members who shall possess experience in education, workforce, or economic development in the industry segment for which the technical advisory committee is formed.
(2) Each shall maintain a majority of workforce and economic development representatives.
(3) No later than June 30, 2020, each of the 16 technical advisory committees shall create an industry competency model and competency-based career lattice for, based on the United States Department of Labor’s Career Pathways Toolkit and Competency Model Clearinghouse, each O*NET occupation code within that technical advisory committee’s career clusters and respective career pathways with three or more stars on a regional or statewide in-demand career pathways list. The Alabama Committee on Credentialing and Career Pathways, annually, shall create statewide and regional compendia of valuable credentials, derived from the statewide and regional lists of in-demand career pathways.
(i) The Alabama Workforce Council Committee on Credentialing and Career Pathways shall be composed of all of the following:
(1) The co-chairs of the committee shall be the Chancellor of the Alabama Community College System and the State Superintendent of Education.
(2) The membership of the committee shall be composed of all of the following ex officio members and appointees, or their designees:
a. The Governor.
b. The Chair of the Alabama Workforce Council.
c. The Chair of the Alabama Workforce Development Board.
d. The State Superintendent of Education.
e. The Chancellor of the Alabama Community College System.
f. The Secretary of the Alabama Department of Workforce.
g. The Secretary of the Alabama Department of Commerce, Alabama Industrial Development Training Institute.
h. The Executive Director of the Alabama Commission on Higher Education.
i. The President of the Alabama Council of College and University Faculty Presidents.
j. Seven members appointed by the Governor, from each of the seven workforce regions, each of whom shall be a member of a regional workforce council or a local workforce development board.
(Act 2019-506, §4.)
(a) The Alabama Office of Apprenticeship, in consultation with the Governor’s Office of Education and Workforce Transformation, the P-20W Council, the Alabama Workforce Council Committee on Credentialing and Career Pathways, the State Department of Education, the Alabama Community College System, the Alabama Workforce Council, the regional workforce councils, the State Workforce Development Board, and the local workforce development boards, to the maximum extent practicable and permissible under state and federal law, shall align the required technical instruction and on-the-job training required for the completion of registered and industry-recognized apprenticeship programs in the state offered to career and technical education concentrators, to the regional and statewide lists of in-demand career pathways credentials, and to the two-prong career pathways model created by the Alabama Workforce Council Committee on Credentialing and Career Pathways.
(b) The Alabama Office of Apprenticeship, in consultation with the Governor’s Office of Education and Workforce Transformation, the P-20W Council, the Alabama Workforce Council Committee on Credentialing and Career Pathways, the State Department of Education, the Alabama Community College System, the Alabama Workforce Council, the regional workforce councils, the State Workforce Development Board, and the local workforce development boards, shall develop the Alabama Industry Recognized and Registered Apprenticeship (AIRRAP) model that shall be aligned to the regional and statewide lists of in-demand career pathways to the regional and statewide compendia of valuable credentials, and to the two-pronged career pathways model created by the Alabama Workforce Council Committee on Credentialing and Career Pathways. The AIRRAP model shall conform to all of the following parameters:
(1) Beginning in 9th grade, students may participate in preapprenticeship programs aligned to career pathways and credentials designated as valuable by the state compendium of valuable credentials. During 10th, 11th, and 12th grade, students may participate in youth registered apprenticeships and industry-recognized apprenticeship programs. AIRRAP model graduates may earn their high school diploma, associate degree, industry-recognized credentials, and an apprenticeship credential at the time of high school graduation. Students participating in youth apprenticeships may also participate in dual enrollment courses at a community college. The State Department of Education and the Alabama Community College System shall collaborate to streamline articulation agreements among career pathways participating in the AIRRAP model to ensure a seamless transition between high school and community college. The Alabama Office of Apprenticeship shall promote dual enrollment and postsecondary graduation credit for work-based learning credits earned while participating in secondary in-school youth AIRRAP model programs.
(2) The Alabama Office of Apprenticeship and the Alabama Community College System shall promote apprenticeship programs for individuals who are co-enrolled in adult basic education programs and postsecondary career and technical education programs to ensure that individuals who are disengaged from the workforce are able to gain access to education and training programs, with multiple points of entry and exit, with a focus on targeting the underemployed, historically underrepresented subgroups, the formerly incarcerated, out-of-school youth, recipients of temporary assistance for needy families, supplemental security income, or supplemental nutritional assistance programs, the long-term unemployed, those recovering from substance abuse, veterans, displaced homemakers, and other special populations and subgroups. The Alabama Office of Apprenticeship shall promote the use of the federal workforce opportunity tax credit to hire eligible AIRRAP model participants. The Alabama Office of Apprenticeship in cooperation with the Alabama Community College System and the State Department of Education, may establish an awards and recognition program for employers who hire in-school youth and adult AIRRAP model participants.
(Act 2019-506, §5.)
(a) The Alabama Apprenticeship Council, which shall be composed of public and private persons representing employer and employee organizations that are familiar with apprenticeable occupations, is established. All appointing authorities shall coordinate their appointments so that diversity of gender, race, and geographical areas is reflective of the makeup of this state. The membership of the council shall consist of all of the following:
(1) The Governor, who shall serve as ex officio chair of the council.
(2) The Lieutenant Governor.
(3) The President Pro Tempore of the Senate.
(4) The Speaker of the House of Representatives.
(5) The Chancellor of the Alabama Community College System.
(6) The State Superintendent of Education.
(7) The Chair of the Alabama Workforce Development Board.
(8) The Chair of the Alabama Workforce Council.
(9) Nine members appointed by the Governor, and confirmed by the Senate, for a renewable term of service. The Governor shall assure that the membership of the council is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. The members of the council appointed pursuant to this subdivision shall satisfy all of the following qualifications:
a. Three members shall be representatives of employer organizations.
b. Three members shall be public representatives who are members of employee or employer organizations.
c. Three members shall be representatives of employee organizations.
(b) The initial term of office of the nine members appointed to the council by the Governor shall be designated at the time of initial appointment by the Governor as follows:
(1) Three members, consisting of one member appointed pursuant to each of paragraphs a., b., and c. of subdivision (9) of subsection (a), shall be appointed for an initial term of one year. Successor members shall be appointed for terms of three years.
(2) Three members, consisting of one member appointed pursuant to each of paragraphs a., b., and c. of subdivision (9) of subsection (a), shall be appointed for an initial term of two years. Successor members shall be appointed for terms of three years.
(3) Three members, consisting of one member appointed pursuant to each of paragraphs a., b., and c. of subdivision (9) of subsection (a), shall be appointed for an initial term of three years. Successor members shall be appointed for terms of three years.
(c) Vacancies shall be filled by appointment of the Governor. The person appointed to fill a vacancy shall possess the same qualifications as the original appointment and shall hold office for the unexpired term and until his or her successor is appointed.
(d) The Alabama Apprenticeship Council shall serve in a regulatory capacity to the Alabama Office of Apprenticeship for all of the following functions:
(1) The approval of apprenticeship standards satisfying the requirements published in 29 C.F.R., Subtitle A, Part 29.
(2) Ensuring compliance of equal employment opportunity in apprenticeship, as defined in 29 C.F.R., Subtitle A, Part 30.
(3) Resolving disputes arising between the parties to an apprenticeship agreement.
(4) Providing recommendations to deregister, suspend, or cancel apprenticeship programs that are not compliant with state and federal apprenticeship regulations, as published in 29 C.F.R., Subtitle A, Part 29 and Article 20 of Chapter 18 of Title 40, the Apprenticeship Tax Credit Act of 2016.
(5) Providing community outreach and education on the benefits of apprenticeship.
(6) Assisting in the formulation of policies that concede the effective administration of apprenticeship programs.
(Act 2019-506, §6.)
(a) Nothing in this division shall require the sponsors of nonregistered preapprenticeships, youth apprenticeships, and industry-recognized apprenticeships, including state agencies, colleges and universities, and business and industry sponsors to certify the programs with the Alabama Office of Apprenticeship.
(b) Nothing in this division shall be interpreted as a mandate to hinder funds duly distributed to a state agency, college or university, or any other entity receiving state or federal funds in support of apprenticeship activities.
(c) The Alabama Office of Apprenticeship, with the consent of the sponsor, shall permit the State Apprenticeship Intermediary to provide the required technical instruction and technical assistance, including the implementation of the competency models established in subdivision (3) of subsection (h) of Section 41-29-333 that are aligned to the on-the-job training for apprenticeship programs registered or certified by the Alabama Office of Apprenticeship.
(d) The State Department of Education shall continue to be the eligible agency to receive and administer career and technical education funding under the Perkins Act.
(Act 2019-506, §7.)
This division may be known and shall be cited as the Eliminating Legal Barriers to Apprenticeships (ELBA) Act.
(Act 2019-527, §1.)
As used in this division, the following terms shall have the following meanings:
(1) APPRENTICE. A worker at least 14 years of age, except where a higher minimum age standard is otherwise fixed by law, who is employed to learn an apprenticeable occupation.
(2) APPRENTICEABLE OCCUPATION. As defined in 29 C.F.R. §29.4.
(3) APPRENTICESHIP AGREEMENT. A written agreement between an apprentice and either the apprentice’s program sponsor or an apprenticeship committee acting as agent for the program sponsor, which contains the terms and conditions of the employment and training of the apprentice in conformance with 29 C.F.R. §29.4 and Section 40-18-421.
(4) APPRENTICESHIP PROGRAM. A plan containing all terms and conditions for the qualification, recruitment, selection, employment, and training of apprentices, as required under the federal guidelines in 29 C.F.R., Subtitle A, Parts 29 and 30, 29 U.S.C. §50, and the rules and regulations adopted by the Alabama Office of Apprenticeship.
(5) CERTIFICATION or CERTIFICATE. The written approval by the Alabama Office of Apprenticeship of a set of apprenticeship standards, of an individual for employment as an apprentice or probationary apprentice in a registered apprenticeship program, or of an individual who has successfully met the requirements to receive an interim credential.
(6) DIRECTOR. The Director of the Alabama Office of Apprenticeship.
(7) ELIGIBLE EMPLOYER. As defined in Section 40-18-421.
(8) EMPLOYER. An individual or organization employing an apprentice whether or not the individual or organization is a party to an apprenticeship agreement with the apprentice.
(9) FISCAL YEAR. An annually recurring period of time that begins on October 1 and concludes on September 30.
(10) LICENSING AUTHORITY. An agency, board, commission, or other office with the authority to require occupational fees or issue licensing requirements for practice of an apprenticeable occupation.
(11) WORK-BASED LEARNING. Sustained interactions with industry or community professionals in real workplace settings, to the extent practicable, or simulated environments at an educational institution that foster in-depth, first-hand engagement with the tasks required of a given career field, that are aligned to curriculum and instruction.
(Act 2019-527, §2.)
(a) A licensing authority shall grant an occupational license to any applicant who meets all of the following requirements:
(1) Has successfully completed the 8th grade.
(2) Has successfully completed an apprenticeship subject to a valid apprenticeship agreement and under the supervision of an eligible employer.
(3) Has made a passing score on any examination deemed to be necessary for licensing by a licensing authority.
(4) Is otherwise eligible to receive a license.
(b)(1) A licensing authority may not set a higher required minimum passing score for applicants who satisfy the requirements of subsection (a) than that which is required for any other test taker.
(2) If a licensing authority does not require an examination, no examination may be required for applicants who complete an apprenticeship.
(c) The term of the apprenticeship shall comport with program standards for apprenticeships as outlined in 29 C.F.R. §29.5.
(d) Licensing authorities shall adopt necessary rules for the implementation and administration of this section.
(Act 2019-527, §3.)
This division shall be known and may be cited as the Alabama Credential Quality and Transparency Act.
(Act 2023-365, §1)
For the purposes of this division, the following terms have the following meanings: (1) COMMITTEE. The Alabama Workforce Council Committee on Credential Quality and Transparency. (2) COMPETENCY. Measurable or observable knowledge, skills, and abilities. (3) CREDENTIAL. A qualification, achievement, or recognition of competence. (4) REGISTRY. The Alabama Credential Registry, which is a virtual repository of state competency and credential data. (5) TRANSPARENCY. The availability of de-identified data about credentials as linked, open, and interoperable data aligned with widely recognized standards.
(Act 2023-365, §1)
(a) The committee shall advise the Alabama Committee on Credentialing and Career Pathways on making credential and competency data, collected through the registry created by this division, publicly available.(b) The appointing authorities shall coordinate their appointments to assure the committee membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. The committee shall be composed of the following members:(1) One representative from each of the technical advisory committees of the Alabama Committee on Credentialing and Career Pathways.(2) The Governor, or his or her designee, who shall chair the committee.(3) The Secretary of the Department of Early Childhood Education, or his or her designee.(4) The State Superintendent of Education, or his or her designee.(5) The Executive Director of the Alabama Commission on Higher Education, or his or her designee.(6) The Chancellor of the Alabama Community College System, or his or her designee.(7) The Secretary of the Department of Commerce, or his or her designee.(8) The Secretary of Workforce, or his or her designee.(9) The Commissioner of the Department of Rehabilitation Services, or his or her designee.(c) On or before June 30, 2024, and each June 30 thereafter, the committee shall develop a list of credentials that are aligned to the in-demand occupations for each industry operating in the state by using the system for evaluating credentials provided by the Alabama Committee on Credentialing and Career Pathways.
(Act 2023-365, §1)
All data published to the registry shall be available to the public and shall be de-identified. Credential data shall be linked, open, interoperable, aligned with widely recognized standards, and shall allow for open access across sectors and platforms.
(Act 2023-365, §1)
The committee shall adopt rules as necessary to implement and administer this division pursuant to the Alabama Administrative Procedure Act, Chapter 22 of Title 41.
(Act 2023-365, §1)
(a) This division shall be known and may be cited as the Alabama Terminal on Linking and Analyzing Statistics on Career Pathways Act.
(b) For the purposes of this division, the following terms shall have the following meanings:
(1) COUNCIL. The P-20W Council.
(2) DE-IDENTIFICATION. The process used to remove all direct personal identifiers from individual level data.
(3) OFFICE. The Office of Education and Workforce Statistics.
(4) STUDENT DATA.
a. Data relating to student performance including, but not limited to, all of the following:
State and national assessments.
Course taking and completion.
Grade point average.
Remediation.
Retention.
Special population status as defined by the Alabama Workforce Innovation and Opportunity Act state plan.
Degree, diploma, or credential attainment.
Enrollment and absenteeism data.
Demographic data.
Suspension and expulsion records.
Student financial aid data.
b. Student data does not include any of the following:
Juvenile delinquency records.
Criminal records.
Medical and health records.
(5) SYSTEM. The Alabama Terminal on Linking and Analyzing Statistics (ATLAS) on Career Pathways longitudinal database system.
(6) WORKFORCE DATA. Data relating to, but not limited to, any of the following:
a. Employment status.
b. Wage information.
c. Special population status as defined by the Alabama Workforce Innovation and Opportunity Act state plan.
d. Geographic location of employment.
e. Industry or occupation, or both.
(Act 2023-365, §2)
The system is established as a secure system to exchange, de-identify, and match individual level education and workforce data from partner entities while upholding legal protections to ensure privacy and security. The system shall be used to provide policymakers with access to data regarding the state talent development system, including early learning, education, workforce training, and employment outcomes. The system makes it possible to match data from various agencies and programs over time to create reports that may then be aggregated and analyzed to assist policy makers with developing strategies to improve education and workforce outcomes. The system shall be configured in the following manner:
(1) All information matched from partner entities shall be collected, safeguarded, kept confidential, and used only by the office in accordance with this division and other state and federal law.
(2) Each partner entity shall retain ownership of any data the partner entity provides to the system and shall reserve the right to opt out of any research request if the request would violate state or federal law. To that end, all of the following shall apply:
a. A partner entity may not have access to data owned by another partner entity unless a data request is approved unanimously by the council.
b. Nothing in this division or council rule or policy may prevent partner entities from engaging in direct data sharing agreements with other partner entities or with external entities, so long as the data to be shared is owned by the contracting parties.
(3) The system shall conduct research related to the research agenda adopted by the council.
(Act 2023-365, §2)
(a) The council is established to govern the system.
(b) The appointing authorities shall coordinate their appointments to assure the council membership is inclusive and reflects the racial, gender, geographic, urban, rural, and economic diversity of the state. The membership of the council shall consist of all of the following:
(1) The Governor, or his or her designee, who shall serve as chair of the council.
(2) Each partner entity head, or designee, who has signed a memorandum of understanding to share data with the system.
(3) The Chair of the House Ways and Means Education Committee.
(4) The Chair of the Senate Finance and Taxation Education Committee.
(5) The Chair of the Alabama Workforce Council.
(6) Up to four members of the public, who are experienced in education and workforce data and statistics, who shall be appointed by the Governor and serve at the pleasure of the Governor.
(c) The council shall perform all of the following duties:
(1) Develop a strategic plan.
(2) Oversee the development, adoption, and implementation of rules to govern the proceedings of the council, the office, and the system.
(3) Oversee compliance regarding the protection of data shared with the system.
(4) Develop a data governance and security plan for the system regarding the use, privacy, and security of data and publish the plan on the system website.
(5) Establish the research agenda for the system.
(6) Establish a process for proposing and approving requests for reports using data matched in the system.
(7) Establish policies for sharing aggregated data or reports with the public and external entities.
(8) Develop strategies for promoting the transparent operation of the system.
(9) Form standing and ad hoc committees and working groups from among its own membership to accomplish its duties.
(10) Prepare and provide an annual report to the Governor; Lieutenant Governor; Speaker of the House of Representatives; President Pro Tempore of the Senate; Chairs of the House Education Policy, Senate Education Policy, House Ways and Means Education, and Senate Finance and Taxation Education Committees; and the State Board of Education.
(Act 2023-365, §2.)
(a) Except as otherwise provided in Section 41-29-365, the regular meetings of the council shall be held at the call of the chair, at least four times per state fiscal year; special meetings of the council may be called by the chair, or upon written request of a majority of the members of the council; and all regular and special meetings of the council shall comply with the Open Meetings Act.
(b) A majority of the members of the council, or their designees, shall constitute a quorum for the transaction of business.
(c) Each member of the council may appoint, in writing to the chair, a designee to represent him or her during the proceedings of the council.
(d) The members of the council shall not receive a salary or per diem allowance for their service but shall be reimbursed through the Department of Commerce for expenses incurred in the performance of their duties for the office at the same rate as provided for state employees.
(e) Direct access to data in the system is restricted to office staff and authorized staff approved by the council.
(f) Any person who knowingly releases data collected pursuant to this division to any other person not authorized to lawfully receive the data shall be guilty of a Class C felony and punished as provided by law.
(Act 2023-365, §2)
(a) The Office of Education and Workforce Statistics is established within the Department of Commerce to manage the activities of the system on behalf of the council. The office shall be an authorized representative for partner entity data. The director shall serve at the pleasure, and shall perform functions as provided by rule, of the council and approved by the Secretary of Commerce.
(b) In the event of a data breach, the office shall comply with Chapter 38 of Title 8, the Alabama Data Breach Notification Act of 2018.
(c) No member of, or designee appointed to, the council or any standing or ad hoc committee of the council may vote or otherwise participate in any discussion or debate on any matter before the council in which he or she, or an immediate family member, has a direct personal or pecuniary interest. A member or designee shall notify the chair of the council in writing of any conflict of interest.
(Act 2023-365, §2)
The council shall adopt rules as necessary to implement and administer this division pursuant to the Alabama Administrative Procedure Act, Chapter 22 of this title.
(Act 2023-365, §2)
(a) There is hereby created the Legislative Oversight Commission of the Alabama Industrial Development and Training Institute to consist of the Chair and Deputy Chair of the Senate Committee on Finance and Taxation, three members of the Senate to be appointed by the Lieutenant Governor, the Chair and Vice-chair of the House Ways and Means Committee, and three members of the House of Representatives to be appointed by the Speaker of the House.
(b) The commission shall hold an organizational meeting within 30 days after the date determined pursuant to Section 41-29-6, and shall elect a chair and vice-chair from among its members. Thereafter, the commission shall meet at least two times annually, and additional meetings shall be held at the call of the chair or upon the request of six or more members. Such meetings shall be held with the Director of the Alabama Industrial Development and Training Institute in attendance.
(c) The commission shall adopt its own rules of procedure for the transaction of business, and a majority of the members present shall constitute a quorum for the purpose of transacting business or performing authorized duties.
(d) Each member of the commission shall be entitled to his or her regular legislative compensation and per diem and travel expenses for each day he or she attends a meeting or conducts business of the commission, and such compensation and expenses shall be paid from the funds appropriated for the use of the Legislature.
(e) The commission shall monitor and evaluate the management and operations of the Alabama Industrial Development and Training Institute, shall recommend to the Legislature the enactment of such laws respecting the Alabama Industrial Development and Training Institute as the commission shall deem desirable, and shall submit a written report on the operations, finances and grants made by the Alabama Industrial Development and Training Institute during each regular session of the Alabama Legislature.
(Acts 1983, 2nd Ex. Sess., No. 83-194, p. 363, §7; §41-23-7; amended and renumbered by Act 2015-450, §12.)
(a) For the purposes of this article, the following words and phrases shall have the following meanings:
(1) AUTHORITY. The public corporation organized pursuant to the provisions of Sections 41-10-20 through 41-10-32.
(2) AUTHORIZED PURPOSE. Any one or more of the purposes for which grants are herein authorized to be made as specified in Section 41-29-503(a).
(3) BOARD OF DIRECTORS. The board of directors of the authority.
(4) BOND. The bonds issued under the provisions of this article.
(5) CAPITAL COSTS. All costs and expenses incurred by one or more investing companies in connection with the acquisition, construction, installation, and equipping of a qualifying project during the period commencing with the date on which such acquisition, construction, installation, and equipping commences and ending on the date on which the qualifying project is placed in service, including, without limitation of all of the following:
a. The costs of acquiring, constructing, installing, equipping, and financing a qualifying project, including all obligations incurred for labor and to contractors, subcontractors, builders, and materialmen.
b. The costs of acquiring land or rights in land and any cost incidental thereto, including recording fees.
c. The costs of contract bonds and of insurance of all kinds that may be required or necessary during the acquisition, construction, or installation of a qualifying project.
d. The costs of architectural and engineering services, including test borings, surveys, estimates, plans and specifications, preliminary investigations, environmental mitigation and supervision of construction, as well as for the performance of all the duties required by or consequent upon the acquisition, construction, and installation of a qualifying project.
e. The costs associated with installation of fixtures and equipment; surveys, including archaeological and environmental surveys; site tests and inspections; subsurface site work; excavation; removal of structures, roadways, cemeteries, and other surface obstructions; filling, grading, paving and provisions for drainage, storm water retention, installation of utilities, including water, sewer, sewage treatment, gas, electricity, communications, and similar facilities; and off-site construction of utility extensions to the boundaries of the property.
f. All other costs of a nature comparable to those described, including, without limitation, all project costs which are required to be capitalized for federal income tax purposes pursuant to 26 U.S.C. § 263A.
g. Costs otherwise defined as capital costs that are incurred by the investing company where the investing company is the lessee under a lease that: (i) has a term of not less than five years, and (ii) is characterized as a capital lease for federal income tax purposes. Capital costs shall not include property owned or leased by the investing company or a related party before the commencement of the acquisition, construction, installation or equipping of the qualifying project unless such property was physically located outside the state for a period of at least one year prior to the date on which the qualifying project was placed in service.
h. Costs either paid or incurred by: (i) a public industrial development board or authority (including, without limitation, the State Industrial Development Authority), city, county, or other public corporation or political subdivision (a “public entity”) for the benefit of a qualifying project where such costs are treated as costs paid by an investing company with respect to the qualifying project for federal income tax purposes (such costs shall not include amounts contributed by a public entity to a qualifying project as a capital contribution, grant, or gift except to the extent that an investing company has cost basis in the contribution, grant, or gift for federal income tax purposes); or (ii) a related party to an investing company to the extent such costs are included in or taken into account in determining the investing company’s federal income tax basis in the qualifying project, whether or not incurred by an investing company.
(6) GRANTEE. A county, municipality, local industrial development board or authority or economic development council or authority, airport authority, port authority or public corporation or political subdivision, department, or agency of this state authorized to own or possess by lease a project site, to which a grant of money is made as provided in Section 41-29-503.
(7) HEADQUARTERS FACILITY. A facility described by Section 40-18-372(1)d. or f.
(8) INDUSTRIAL, WAREHOUSING, OR RESEARCH ACTIVITY. Any trade or business predominantly conducting an activity described in Section 40-18-372(1).
(9) INVESTING COMPANY. Any corporation, partnership, limited liability company, proprietorship, trust or other business’ entity, regardless of form, making a qualified investment.
(10) PERSON. Unless limited to a natural person by the context in which it is used, includes a private firm, a private association, a public or private corporation or partnership (whether limited liability company, limited liability partnership or other form of business organization), a municipality, a county, or an agency, department or instrumentality of the state or of a county or municipality.
(11) PREPARATION OF PROJECT SITES. The preparation of project sites including, without limitation: (i) preparation of a means of access to the site; (ii) provision for adequate drainage of the site to prevent the accumulation of excess natural waters thereon; (iii) boundary and topographical surveying, clearing and grubbing, and excavating; (iv) the reasonable rehabilitation of buildings and other structures; and (v) other work relative to site preparation deemed necessary or appropriate.
(12) PROJECT. Any land, building or other improvement, whether or not previously in existence, located or to be located in the state.
(13) PROJECT SITES. Land and structures located thereon owned by a grantee or potential grantee on which a qualifying project has been or will be located and which is held for sale or lease to a person for use as a qualifying project.
(14) QUALIFYING INVESTMENTS. The undertaking by one or more investing companies of a qualifying project.
(15) QUALIFYING PROJECT. A project to be sponsored or undertaken by one or more investing companies: (i) at which the predominant trade or business activity conducted will constitute industrial, warehousing, or research activity, or (ii) which qualifies as a headquarters facility.
(16) STATE. The State of Alabama.
(b) The definitions set forth above shall be deemed applicable whether the words defined are used in the singular or plural. Whenever used herein, any pronoun or pronouns shall be deemed to include both singular and plural and to cover all genders.
(Act 2018-541, §4.)
(a) In addition to all powers heretofore conferred on it by acts heretofore enacted by the Legislature of Alabama, and in addition to all other powers conferred on it in this article, the authority is hereby authorized to sell and issue its bonds, not exceeding one hundred million dollars ($100,000,000) in aggregate principal amount, for the purposes of making the grants of money authorized in Section 41-29-503 hereof and to anticipate by the issuance of its bonds the receipt of the revenues herein appropriated and pledged; provided the authority shall not issue more than ten million dollars ($10,000,000) in aggregate principal amount of such bonds in any two-year period; and provided there shall not be more than forty million dollars ($40,000,000) in aggregate principal amount of such bonds, in addition to bonds heretofore issued by the authority, outstanding at any one time, but excluding for this purpose refunding bonds, which shall not be considered in determining such limit. The bonds authorized hereby may be sold in one or more series.
(b) It is further provided that the authority shall be exempt from the laws of the state governing usury or prescribing or limiting interest rates, including, without limitation, the provisions of Chapter 8 of Title 8.
(Act 2018-541, §4.)
(a) The authority is hereby authorized to make grants of money derived from the sale of its bonds, to grantees for use by the grantees for any one or more of the following purposes:
(1) The making of surveys to determine the location of suitable project sites in the locality of the grantee.
(2) The making of surveys to determine the availability of labor in the locality of the grantee and to classify such labor in terms of skills and educational level.
(3) The preparation of project sites.
(4) Any combination of any of the foregoing which the grantees consider appropriate and necessary for the promotion of industrial development in their respective localities.
(b) Provided, however, that 20 percent of the grant funds shall be expended specifically in rural areas of the state and/or areas with high unemployment and low personal income levels. The Director of the State Industrial Development Authority shall report annually to the Chairs of the House Ways and Means, General Fund Committee and the Senate Finance and Taxation, General Fund Committee and the Legislative Fiscal Officer the status of all grants allotted and specifically those grants allotted in rural areas of the state and/or areas with high unemployment and low personal income levels.
(c) Every grant of money made by the authority, any part of which is made from the proceeds of the authority’s bonds, shall be made subject to the terms and conditions set forth herein, which are hereby declared to be legally enforceable, and may be enforced by the authority, in any court of competent jurisdiction.
(d) Each application to the authority shall set forth the following:
(1) A description of the qualifying project;
(2) The estimated capital costs of the qualifying project; and
(3) Such other information, certification, and agreements as may be required by the authority to be contained in any application.
(e) Subject to receipt of an application and other required documentation and agreements in form and substance satisfactory to the authority, the grantee, subject to availability of funds, shall receive grants as follows:
(1) For qualifying projects having capital costs of less than $200,000, an amount equal to 5 percent of the capital costs of the qualifying project;
(2) For qualifying projects having capital costs of not less than $200,000, but less than $500,000, an amount equal to 3.5 percent of the capital costs of the qualifying project, with a minimum grant of $10,000;
(3) For qualifying projects having capital costs of not less than $500,000, but less than $1,000,000, an amount equal to 2.5 percent of the capital costs of the qualifying project, with a minimum grant of $20,000;
(4) For qualifying projects having capital costs of not less than $1,000,000, but less than $2,000,000, an amount equal to 1.5 percent of the capital costs of the qualifying project, with a minimum grant of $28,000;
(5) For qualifying projects having capital costs of not less than $2,000,000, but less than $10,000,000, an amount equal to 1 percent of the capital costs of the qualifying project, with a minimum grant of $32,000; and
(6) For qualifying projects having capital costs of not less than $10,000,000, an amount equal to .75 percent of the capital costs of the qualifying project, with a minimum grant of $100,000 and a maximum grant of $150,000.
(f) The authority shall have the power to audit the disbursements by the grantees from such grant or grants.
(g) The authority may specify any appropriate terms and conditions to facilitate the enforcement of the foregoing provisions of this section.
(h) The Director of the State Industrial Development Authority shall report annually to each member of the Legislature on the number and amount and location of grants distributed by the authority. The report for the previous fiscal year shall be reported by the second legislative day of each regular session.
(i) All grants made by the State Industrial Development Authority prior to April 6, 2018, are hereby ratified, confirmed, and approved.
(Act 2018-541, §4.)
The bonds of the authority shall be signed by its president and attested by its secretary, and the seal of the authority shall be affixed thereto or a facsimile of such seal shall be printed or otherwise reproduced thereon; provided, that: (a) a facsimile of the signature of one, but not both, of the officers may be printed or otherwise reproduced on any such bonds in lieu of being manually subscribed thereon, and (b) a facsimile of the signatures of both of the officers may be printed or otherwise reproduced on such bonds in lieu of being manually affixed thereof if the authority, in its proceedings with respect to issuance of the bonds, provides for manual authentication of such bonds and the secretary designates a trustee or paying agent or named individuals who are employees of the state and who are assigned to the finance department or the state treasurer’s office of the state to authenticate the bonds. Any bonds of the authority may be executed and delivered by it any time and from time to time and shall be in such form or forms and such denomination or denominations and of such tenor and maturity or maturities, shall bear such rate or rates of interest, which may be variable rates, shall be payable at such times and evidenced in such manner, and may contain such other provisions not inconsistent herewith, all as may be provided by the resolution of the board of directors of the authority under which such bonds are authorized to be issued; provided, that no bond of the authority shall have a specified maturity date later than twenty years after its date. Any bond of the authority may be made subject to redemption at the option of the authority at such times and after such notice and on such conditions and at such redemption price or prices as may be provided in the resolution under which it is authorized to be issued; provided, that those bonds of the authority having specified maturity dates more than ten years after their date shall be made subject to redemption at the option of the authority not later than the end of the tenth year after their date, and on any interest payment date thereafter, under such terms and conditions and at such redemption price or prices as may be provided in the resolution under which such bonds are authorized to be issued. Bonds of the authority may be sold at such price or prices and at such time or times as the board of directors of the authority may consider advantageous, either at public or private sale and by negotiation or by competitive bid. Bonds of the authority sold by competitive bid must be sold, whether on sealed bids or at public auction, to the bidder whose bid reflects the lowest true interest cost to the authority for the bonds being sold, computed from their date to their respective maturities; provided, that if no bid acceptable to the authority is received, it may reject all bids. The authority may fix the terms and conditions under which each sale of bonds may be held; provided, that such terms and conditions shall not conflict with any of the requirements of this article. Subject to the provisions and limitations contained in this article, the authority may from time to time sell and issue refunding bonds for the purpose of refunding any matured or unmatured bonds of the authority then outstanding. Such refunding bonds shall be subrogated and entitled to all priorities, rights and pledges to which the bonds refunded thereby were entitled. The authority may pay out of the proceeds of the sale of its bonds attorneys’ fees and the expenses of issuance which the board of directors may deem necessary and advantageous in connection with the issuance of such bonds. Bonds issued by the authority shall not be general obligations of the authority but shall be payable solely out of the funds appropriated and pledged thereof in Section 41-29-506 . As security for the payment of the principal of and interest on the bonds issued by it, the authority is hereby authorized and empowered to pledge for payment of such principal and interest the funds that are appropriated and pledged in Section 41-29-506 for payment of such principal and interest. All such pledges made by the authority shall take precedence in the order of the adoption of the resolutions containing such pledges; provided, that each pledge for the benefit of refunding bonds shall have the same priority as the pledge for the benefit of the bonds refunded thereby. All contracts made and all bonds issued by the authority pursuant to the provisions of this article shall be solely and exclusively obligations of the authority and shall not constitute or, create an obligation or debt of the State of Alabama. All bonds issued by the authority and the income therefrom shall be exempt from all taxation in the state. Any bonds issued by the authority may be used by the holder thereof as security for any funds belonging to the state, or to any political subdivision, instrumentality, or agency of the state, in any instance where security for such deposits may be required by law. Unless otherwise directed by the court having jurisdiction thereof, or the document that is the source of authority, a trustee, executor, administrator, guardian, or one acting in any other fiduciary capacity may, in addition to any other investment powers conferred by law and with the exercise of reasonable business prudence, invest trust funds in bonds of the authority. Neither a public hearing nor consent of the Department of Finance of the state or any other department or agency shall be a prerequisite to the issuance of the bonds by the authority. The bonds issued under the provisions of this article shall be legal investments for funds of the Teachers’ Retirement System of Alabama, the Employees’ Retirement System of Alabama, and the State Insurance Fund.
(Act 2018-541, §4.)
(a) The proceeds of all bonds, other than refunding bonds, issued by the authority remaining after paying expenses of their issuance, shall be deposited in the state treasury and shall be carried in the state treasury in a special or separate account or accounts. Such funds shall be subject to be drawn upon by the authority, but any funds so withdrawn shall be used solely for the purposes for which the bonds were issued as authorized in this article.
(b) The state treasurer, with the approval of the secretary of the authority, shall invest funds not needed by the authority within the ensuing thirty days for any purpose for which they are held, which investments shall be made in the manner authorized and provided for in Section 36-17-18. The state treasurer and the authority may apply so much as may be necessary from the earnings on said investments toward satisfaction of the arbitrage rebate requirements under the Internal Revenue Code of 1986, as amended.
(c) The proceeds from the sale of any refunding bonds issued hereunder remaining after paying the expenses of their issuance shall be used only for the purpose of refunding the principal of outstanding bonds of the authority and of paying any premium that may be necessary to be paid in order to redeem or retire the bonds to be refunded.
(Act 2018-541, §4.)
For the purpose of providing funds to enable the authority to pay at their respective maturities the principal of and interest on any bonds issued by it under the provisions of this article and to accomplish the objects of this article, there are hereby irrevocably pledged to such purpose and there are hereby appropriated so much as may be necessary for such purpose of: (a) the residue of the receipts from the tax levied by Sections 40-25-2 and 40-25-41 after there shall have been taken therefrom the amount necessary for the purposes specified in Section 40-25-23(1)b.1., as in existence prior to the effective date of Act 91-635; and (b) any other revenues or receipts dedicated to the payment of bonds of the authority, issued by it under the provisions of Act 91-635 or any subsequent authorizing legislation. All moneys hereby appropriated and pledged shall constitute a sinking fund for the purpose of paying the principal of and the interest on the bonds herein authorized.
(Act 2018-541, §4.)
Out of the revenues appropriated and pledged in Section 41-29-506, the state treasurer is hereby authorized and directed to pay the principal of and interest on the bonds issued by the authority under the provisions of this article, as the said principal and interest shall respectively mature, and the state treasurer is further authorized and directed to set up and maintain appropriate records pertaining thereto.
(Act 2018-541, §4.)
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