SB267 Alabama 2016 Session

Summary

Primary Sponsor

Bill Hightower

Republican

Session

Regular Session 2016

Title

Deepwater Horizon Oil Spill Disaster Settlements, creaton of authority by Legislature required to issue bonds for certain purposes, Alabama Strategic Investment Initiative, const. amend.

Summary

This constitutional amendment would set up how Deepwater Horizon settlement money is used in Alabama and create a new bond authority to finance related projects.

What This Bill Does

It directs settlement proceeds to be spent in a prioritized way: first to repay the General Fund Rainy Day Account, then up to 439 million dollars for transportation projects in Baldwin and Mobile counties and 50 million dollars for wind-resilience home grants, with any remaining funds used to repay the Alabama Trust Fund. It also authorizes the Legislature to create a revenue-bond authority that can issue bonds backed by the Deepwater Horizon settlement, with principal limited to the total settlement amount and bond proceeds used to cover issuance costs and the plan in the distribution section. The bonds would be obligations of the new authority only, not a direct debt of the state. Finally, the amendment would be put to a statewide vote in the next statewide primary and could be implemented by accompanying laws.

Who It Affects

• Residents of Baldwin County and Mobile County, who would benefit from the transportation projects and the residential wind‑resilience grants funded by the settlement.
• Alabama taxpayers and residents in general, since the money from the settlement would be directed through a new bond authority and would not create state debt, altering how this external settlement money is used.

Key Provisions

• The amendment is named the Alabama Strategic Investment Initiative and sets the purpose for distributing Deepwater Horizon settlement proceeds.
• Settlement proceeds are distributed in order: (a) repay the General Fund Rainy Day Account, (b) fund up to $439,000,000 for Baldwin and Mobile County transportation projects and allocate $50,000,000 to the Strengthen Alabama Homes Fund for wind-resilience grants, with priority for specific DOT projects, and (c) remaining funds, if any, go to repaying the Alabama Trust Fund.
• The Legislature shall create an authority to issue revenue bonds backed by the Deepwater Horizon settlement; the bond principal cannot exceed the total settlement amount; proceeds cover bond issuance costs and the uses described in the distribution section; bonds are obligations of the authority only, not the state.
• The amendment is self-executing, may be supplemented by implementing laws, requires voter approval at the next statewide primary, and repeals conflicting laws.

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

Subjects

Constitutional Amendments