SB306 Alabama 2018 Session

Summary

Primary Sponsor

Clyde ChamblissSenator

Republican

Session

Regular Session 2018

Title

Coosa Co., graphite, severance tax, Sec. 45-19-244.07 repealed; Secs. 45-19-244, 45-19-244.01, 45-19-244.02, 45-19-244.03, 45-19-244.05 am'd.

Summary

SB 306 would create a permanent Coosa County severance tax on earthen materials and graphite, establish tax rates and reporting requirements, allow a county mining fee on other minerals, and remove the tax sunset provision.

What This Bill Does

The bill imposes a tax of 25 cents per ton on earthen materials and $5 per ton on graphite, collected by the state Department of Revenue for Coosa County. It also lets the county impose a mining fee on producers of minerals other than earthen materials, with a four-week newspaper notice requirement before the fee is set. Producers must file monthly reports detailing production and taxes due, and purchasers/transporters must file monthly reports identifying producers and quantities involved. The Department of Revenue may charge Coosa County a collection fee (up to 5% for earthen materials and 1% for graphite). The bill repeals the sunset provision that previously allowed the tax to expire, making the tax ongoing.

Who It Affects

• Producers who sever earthen materials or graphite in Coosa County would pay the new taxes and must file monthly production reports.
• Purchasers and transporters of earthen materials or graphite would file monthly purchase/transport reports and may be affected by the state collection process and associated fees.

Key Provisions

• §45-19-244 defines earthen materials (excluding graphite) and identifies producers, purchasers, and transporters.
• §45-19-244.01 establishes the tax rates: 0.25 per ton for earthen materials and 5.00 per ton for graphite; allows a county mining fee on other minerals with prior notice and collection provisions.
• §45-19-244.02 requires producers to file monthly tax reports and pay taxes within 20 days after each month.
• §45-19-244.03 requires purchasers/transporters to file monthly reports with details on producers, quantities, and delivery routes.
• §45-19-244.05 authorizes the DoR to charge Coosa County a collection fee (up to 5% for earthen materials and 1% for graphite) to cover administration.
• §2 repeals §45-19-244.07, removing the expiration of the severance tax, making it permanent.
• §3 states the act becomes effective immediately upon approval.

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

Subjects

Coosa County