SB5 Alabama 2015 2nd Special Session

Summary

Primary Sponsor

Steve LivingstonSenator

Republican

Session

Second Special Session 2015

Title

Education Trust Fund Budget Stablization Fund, transfer of funds to State General Fund for fiscal year 2016; repayment with BP Settlement Funds, Sec. 29-9-4 am'd.

Summary

This bill would move $50 million from the Education Trust Fund Budget Stabilization Fund to the State General Fund for FY 2016, and require BP Settlement proceeds to repay that transfer.

What This Bill Does

It creates two subfunds within the Education Trust Fund: the Budget Stabilization Fund and the Capital Fund, and outlines how excess revenues are allocated (transfers to a Rainy Day Account until repaid, then to the Stabilization Fund, with excess beyond 20% of current-year appropriations going to the Capital Fund). It requires $50 million of the FY2015 excess to be transferred to the State General Fund by November 30, 2015. It also directs $50 million of BP Settlement proceeds to be deposited into the Budget Stabilization Fund to repay the FY2016 transfer. The changes are enacted by amending Section 29-9-4 and become effective October 1, 2015.

Who It Affects

• State General Fund – will receive a $50 million transfer from the Education Trust Fund Budget Stabilization Fund for FY2016.
• BP Settlement Funds – will be used to repay the transfer, with $50 million directed to the Budget Stabilization Fund for repayment.

Key Provisions

• Amends Section 29-9-4 to transfer funds from the Education Trust Fund Budget Stabilization Fund to the State General Fund for fiscal year 2016.
• Creates Education Trust Fund Budget Stabilization Fund and Education Trust Fund Capital Fund; sets rules for transfers of excess revenues, Rainy Day Account repayment, and distribution after Stabilization reaches 20% of current-year appropriations.
• Requires $50,000,000 of excess Education Trust Fund funds from the FY2015 distribution to be transferred to the State General Fund by November 30, 2015.
• Requires $50,000,000 of BP Settlement proceeds to be distributed to the Budget Stabilization Fund as repayment for the 2016 transfer.
• Effective date October 1, 2015; provisions severable; conflicts repealed.

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

Subjects

Appropriations