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SB503 Alabama 2012 Session

Updated Feb 27, 2026
Notable

Summary

Primary Sponsor
Arthur Orr
Arthur OrrSenator
Republican
Session
Regular Session 2012
Title
Madison Co., Tennessee Valley Authority, payments in-lieu-of-taxes increased by Sec. 40-28-2, Code of Alabama 1975, portion of increases distrib. to county legislative delegation office, Act 80-277, 1980 Reg. Sess. am'd.
Summary

SB503 changes Madison County's TVA payments in-lieu-of-taxes distribution, creating a dedicated Madison County Legislative Delegation Office and detailing how the rest of the funds are allocated to schools, the county, and municipalities.

What This Bill Does

It creates a dedicated Madison County Legislative Delegation Office funded by 1% of the county's TVA in-lieu-of-taxes payments, with spending decisions made by a majority of the county's legislative delegation and annual audits. It specifies how the remaining TVA funds are divided among county and municipal schools, the Madison County General Fund, and incorporated municipalities, including city-specific school funding arrangements and general-fund allocations. It also includes provisions for a road and bridge funding increase, growth-based allocations to the delegation, and directs any increases from Act 2010-135 to go to the delegation office, with immediate effect once enacted.

Who It Affects
  • Madison County Legislative Delegation: gains control over 1% of TVA payments to fund staff, office space, equipment, services, and possible grants, with decisions made by delegation resolutions.
  • Madison County Commission and county officials: must provide the funding upon delegation request and ensure the legislative office operates, with funds carried forward if not spent and annual audits required.
  • County and municipal school systems and city governments: receive the majority of the remaining funds based on attendance or population, with specific city-level earmarks (Huntsville, Madison, Triana) for school systems and a portion of other city funds directed to school systems.
  • Other incorporated municipalities and the Madison County General Fund: receive shares of the remaining funds per the formula, fund city general operations, and participate in road/bridge funding provisions.
Key Provisions
  • Provision 1: Establishes a Madison County Legislative Delegation Office funded by 1% of Madison County's TVA in-lieu-of-taxes payments, with expenditure decisions made by resolutions of the delegation and authorized by the county; includes staff, office space, equipment, services, and grants, with unspent funds carried forward and annual audits; allows an extra allocation for extraordinary equipment not exceeding 10% of the budget, used only as needed.
  • Provision 2: Sets the distribution of the remaining TVA funds: 71% to county and municipal school systems based on average daily attendance; 9% to the Madison County General Fund; 20% to incorporated municipalities by population with city-specific rules (Huntsville, Madison, Triana funding portions directed to their school systems; other cities: 15% to county school system and 85% to municipal general funds). A separate 3% road/bridge funding increase is distributed by population to the county and municipalities; growth beyond 2.5% of the prior year goes to the Delegation Office (excluding the 3% road funding); increases from Act 2010-135 go to the Delegation Office. The act becomes effective immediately.
AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Madison County

Bill Actions

Read for the first time and referred to the Senate committee on Local Legislation No. 4

Bill Text

Documents

Source: Alabama Legislature