HB407 Alabama 2012 Session

Updated Feb 27, 2026

High Interest

Summary

Primary Sponsor: Laura HallRepresentative
Democrat
Co-Sponsors: Jim Patterson Ken Johnson Mac Buttram Wes Long Dan Williams Lynn Greer Terri Collins Kerry Rich Phil Williams Mike Ball Mac McCutcheon Johnny Mack Morrow Marcel Black Wayne Johnson
Session: Regular Session 2012
Title: Public School and College Authorities, change baseline date, increase average salary, allow schools affected by closure of bases to receive proceeds from the authority, Secs. 16-16A-2, 16-16A-7, 16-16A-8 am'd
Summary: HB407 updates BRAC-related school funding by changing baseline dates, raising the BRAC salary threshold, relaxing bond-match rules, and funding school facilities and bus fleet renewal in BRAC-affected areas.
What This Bill Does
It changes the baseline date used for BRAC distributions to 2006 and defines BRAC actions related to Redstone Arsenal. It authorizes the Public School and College Authority to issue bonds (up to about $175 million, potentially up to $208 million) to fund school bus fleet renewal and renovations or new construction in BRAC-impacted areas, contingent on meeting BRAC-related job and salary thresholds. It removes the previous requirement that districts must increase sales tax rates or redirect non-school taxes to qualify for bond proceeds, instead relying on local revenue matches and other conditions, including a dedicated bus fleet renewal allocation.

Who It Affects
BRAC-impacted students and communities in Madison County and the Huntsville area, who would benefit from upgraded or new school facilities and renewed bus fleets.
Local school districts and boards of education in the BRAC-impacted area that would receive bond proceeds and must provide local revenue matches and meet BRAC-related job/salary thresholds.

Key Provisions
Baseline Date changed to 2006 for BRAC-related calculations and distributions.
BRAC definitions updated to include 2005 BRAC actions related to Redstone Arsenal and related processes.
Authority to issue bonds up to $175,000,000 (potentially $208,000,000) to fund school bus fleet renewal and renovation/construction of facilities in BRAC-impacted areas.
33,000,000 of bond proceeds reserved for local school bus fleet renewal by 2013; remaining proceeds require a dollar-for-dollar local revenue match for capital projects.
Districts must provide local revenue matches and meet BRAC job/salary thresholds (average salary at or above $80,000; referenced higher threshold in some sections).
Removal of the requirement that a district must experience a sales tax increase (or redirect existing taxes) to qualify for bond proceeds.
Bonds are limited obligations, not general state obligations, secured by residues of pledged tax receipts, and the state pledges are not made.
Refunding bonds allowed with specific restrictions to ensure present value savings and appropriate maturities.
Jackson County and Marshall County may participate; the act also allows qualifying districts to redirect existing taxes to meet bond requirements where applicable.
Diversity requirements for professionals and vendors involved in issuing and managing bonds; procurement and governance transparency requirements.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Huntsville