SB302 Alabama 2017 Session

Under existing law, counties and municipalities are authorized to form an authority to acquire real and personal property for lease to the United States

This bill would allow the creation of such an authority for the purpose of acquiring real and personal property for lease to the State of Alabama as a prison facility

The bill would also authorize the Department of Corrections to enter into a lease of a prison facility with up to three of the authorities

Under existing law, the Alabama Corrections Institution Finance Authority is authorized to issue bonds for prison construction purposes

This bill would allow the authority to issue additional bonds in the amount of up to $350 million for the purpose of financing the renovation of existing prison facilities and constructing a prison if an agreement to lease at least two facilities from the local authorities is in place and reduce that amount if three facilities are leased from local authorities

The bill would pledge a portion of the one mill ad valorem tax levied under Section 40-8-3, Code of Alabama 1975, and a portion of the tax on spirituous and vinous liquors levied under existing law to secure the bonds

Relating to the finance and construction of prisons; to amend the heading of Chapter 101A (commencing with Section 11-101A-1) of Title 11 and Sections 11-101A-1, 11-101A-2, 11-101A-4, and 11-101A-8 of and to add Section 11-101A-8.1 to the Code of Alabama 1975; to authorize counties and municipalities to create authorities to construct prisons; to authorize the Department of Corrections to enter into a lease of up to three prisons from authorities; to amend Sections 14-2-1, 14-2-6, 14-2-12, 14-2-13.1, 14-2-14, 14-2-16, 14-2-19, 14-2-21, 14-2-28, and 14-2-34, Code of Alabama 1975, to allow the Alabama Corrections Institution Finance Authority to issue up to $325 million in bonds for the purpose of the renovation of existing prison facilities and the construction of a new prison upon the lease of two prison facilities from a local authority; to revise the membership of the authority; to require reporting to the Joint Legislative Prison Committee; to further provide for actions to be taken upon payment of all bonds issued by the authority; to amend Section 29-2-20, Code of Alabama 1975, to revise the membership of the Joint Legislative Prison Committee; to amend Sections 28-3-201, 28-3-202, 28-3-204, and 40-8-3, Code of Alabama 1975, relating to the allocation of a portion of the proceeds of the one mill tax and the tax on all spirituous or vinous liquors as a second and third priority security for the authority's bonds; to amend Section 38-4-12, Code of Alabama 1975, relating to the priority of the use of the one mill tax; and to define certain terms.