SB245 Alabama 2012 Session

Summary

Primary Sponsor

Arthur OrrSenator

Republican

Co-Sponsor

Bill Holtzclaw

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

SB245 broadens BRAC-related school facility financing by changing baseline dates, raising the BRAC salary threshold, and loosening local tax requirements for bond funding.

What This Bill Does

Changes the baseline date for BRAC distributions to January 1, 2006. Allows BRAC-related average salaries equal to or exceeding $80,000 to count toward BRAC distributions. Removes the requirement that a school district must have a sales tax increase to receive bond proceeds and eliminates the rule that districts must redirect an existing tax not dedicated to schools to qualify for bonds. Expands participation to Jackson County and Marshall County and allows local school systems to qualify for bonds through alternative tax arrangements, with bond proceeds used for renovation or construction in BRAC-impacted areas.

Who It Affects

• BRAC-impacted school districts in North Alabama (e.g., areas around Redstone Arsenal) and their communities, which could access bond proceeds for new or renovated facilities with fewer local tax hurdles.
• Jackson County, Marshall County, and other participating counties/school systems, which gain eligibility to participate in the bond program and may use alternative tax arrangements to qualify for bonds.

Key Provisions

• Baseline date changed to January 1, 2006 for BRAC-related calculations and distributions.
• Definition of BRAC includes 2005 BRAC actions and subsequent actions affecting Redstone Arsenal jobs.
• Bond proceeds (up to $175,000,000) can be issued once sufficient BRAC-related direct full-time jobs and salary thresholds are demonstrated, to fund renovations or new facilities in BRAC-impacted or Primary Study Areas.
• Removal of local tax increase requirement and removal of the need to redirect existing non-school taxes to qualify for bonds; Jackson and Marshall Counties added as participants.
• Bonds are non-general obligations and are secured by pledged tax receipts; the Authority may issue Refunding Bonds and must follow specified fiscal and fiduciary provisions, including diversity requirements in contracting and public disclosure of procurement decisions.

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

Subjects

Economic Development