SB235 Alabama 2010 Session

Summary

Primary Sponsor

Trip Pittman

Republican

Co-Sponsor

Rusty Glover

Session

Regular Session 2010

Title

State Docks Bulk Handling Facility Trust Fund, excess funds, all transfers removed except transfer to General Fund, Sec. 40-13-6 am'd.

Summary

SB235 would stop most transfers of excess funds from the Alabama State Docks Bulk Handling Facility Trust Fund to other agencies and instead direct those funds to the State General Fund, with limited exceptions.

What This Bill Does

It amends Section 40-13-6 to credit remaining severance tax proceeds to the State General Fund, except when funds are needed to cover operations and debt, in which case only up to the deficiency amount can be transferred to cover shortfalls. It creates a deficiency-transfer process where, if revenues are projected to be insufficient, remaining funds stay in the Trust Fund and can be transferred to cover the deficiency up to the balance in the Fund. Beginning in the 1992-93 fiscal year, specific allocations are made: $300,000 to the Alabama Mining Academy, $500,000 to the Tuscaloosa County General Fund, $500,000 to the Jefferson County General Fund, $200,000 to the Walker County EIDC, and any remaining funds go to the State General Fund, with further detailed distributions to local towns, the Tuscaloosa County Public Library, and the Tuscaloosa County Board of Education (and prorating if funds are insufficient). Beginning in 2006-07, additional annual transfers of $100,000 each are added to several development and community organizations, and the bill requires annual audits of any foundation or association receiving funds, with reports to the Legislature; a portion of the Mining Academy funds is also allocated to retrain coal miners.

Who It Affects

• State General Fund and Alabama State Docks Department will be the primary recipients of excess severance tax proceeds, reducing transfers to multiple local funds and organizations.
• Local governments and community organizations (e.g., Alabama Mining Academy, Tuscaloosa County and Jefferson County General Funds, Walker County EIDC, Towns of Vance and Brookwood, Tuscaloosa County Public Library, Tuscaloosa County Board of Education, and several development associations) would see changes to their previously allocated funds, with many transfers redirected to the State General Fund and new allocations governed by specific rules.

Key Provisions

• Amends Section 40-13-6 to credit remaining severance tax proceeds to the State General Fund, with an exception allowing limited transfers to cover deficiencies.
• If revenues are projected to be insufficient to pay operating expenses and bonded debt, remaining funds stay in the Trust Fund and can be transferred to cover the deficiency up to the lesser of the deficiency or the current Trust Fund balance, subject to a reported process overseen by the Director of Finance.
• Beginning in 1992-93, directs the first funds remaining after transfer to the Mining Academy ($300,000), Tuscaloosa County General Fund ($500,000), Jefferson County General Fund ($500,000), Walker County EIDC ($200,000), with any remainder to the State General Fund; also specifies distributed amounts to local entities (Vance, Brookwood, Tuscaloosa Public Library, and Tuscaloosa County Board of Education) with prorating rules if funds are insufficient.
• From 1992-93 onward, adds annual allocations of $100,000 each to the Community Development Foundation, Marion County CDA, West Alabama Development Association (Fayette County), Jackson County EDA, and West Alabama EDA, with annual audits by Examiners of Public Accounts and reporting to the Legislature.
• Requires a portion of the Alabama Mining Academy funds to be used to retrain coal miners who have been terminated, for other occupational opportunities.
• Act becomes effective immediately upon passage.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

State Docks