SB230 Alabama 2017 Session

Summary

Primary Sponsor

Paul Sanford

Republican

Session

Regular Session 2017

Title

Appropriation process, shared revenue fund established, distribution of certain revenue above amount of revenue in the General Fund and Education Trust Fund prior to act

Summary

Creates a separate Alabama Shared Revenue Fund to collect shared revenues and distribute them monthly to the Education Trust Fund and the State General Fund in fixed percentages.

What This Bill Does

Establishes the Alabama Shared Revenue Fund as a distinct fund in the State Treasury and deposits shared revenues intended for the Education Trust Fund and the State General Fund into it. Each month, 78% of the fund's balance goes to the Education Trust Fund and 22% goes to the State General Fund. The Department of Revenue must certify that the monthly distribution to the Education Trust Fund meets the amount of income tax receipts that would have gone to it before the act, and the Executive Budget Office must certify that total distributions meet the constitutionally earmarked revenue levels that would have gone to both funds before enactment. The act does not change direct distributions to state agencies or earmarked funds, and it does not affect the Education Trust Fund Rolling Reserve Cap for FY2018; pre-enactment revenue amounts are treated as recurring revenues for future years.

Who It Affects

• Education Trust Fund: will receive 78% of monthly shared revenues and is guaranteed to receive at least the pre-enactment income tax receipts that would have been deposited to the ETF.
• State General Fund: will receive 22% of monthly shared revenues and is guaranteed to receive at least the revenue that would have been deposited to the SGF prior to enactment.
• Department of Revenue and Executive Budget Office: responsible for reviewing and certifying that monthly distributions meet the stated minimum revenue requirements.
• State agencies and funds earmarked for specific purposes: not directly affected by the redistribution; their direct allocations remain unchanged.

Key Provisions

• Establishes the Alabama Shared Revenue Fund as a separate fund within the State Treasury.
• Initially deposits shared revenues dedicated to the Education Trust Fund and the State General Fund into this new fund.
• Monthly distributions from the Alabama Shared Revenue Fund: 78% to the Education Trust Fund and 22% to the State General Fund.
• Requires the Department of Revenue to certify that ETF receives at least the pre-enactment income tax receipts, and the Executive Budget Office to certify that total distributions meet pre-enactment constitutionally earmarked revenue levels.
• Distributions to agencies or earmarked funds are not affected, and the ETF Rolling Reserve Cap for FY2018 is not changed by this act.
• Effective date: October 1, 2017.

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