SB 385

Relating to Etowah County; to amend Sections 45-28-91.01, 45-28-91.02, and 45-28-91.05, Code of Alabama 1975, relating to the Etowah County Tourism Board, and Sections 45-28-243.02 and 45-28-244.01, Code of Alabama 1975, relating to Etowah County lodging and sales and use taxes; to transfer all authority for the feasibility study relating to funding and the construction, operation, and maintenance of a mega sports complex in the county from the Etowah County Mega Sports Complex Authority to the Etowah County Tourism Board; to change the distribution of certain lodging and sales and use taxes from the Etowah County Mega Sports Complex Authority to the Etowah County Tourism Board; to add Section 45-28-91.06 to the Code of Alabama 1975, to provide for the transfer of all assets and liabilities of the Etowah County Mega Sports Complex Authority to the Etowah County Tourism Board and provide for the dissolution of the authority; and to repeal Section 45-28-220.03, relating to membership, powers, and duties of the Etowah County Mega Sports Complex Authority.

Section 1

Sections 45-28-91.01, 45-28-91.02, 45-28-91.05, 45-28-243.02, and 45-28-244.01 of the Code of Alabama 1975, are amended to read as follows:

§45-28-91.01.

(a) There is hereby created the new The Etowah County Tourism Board is continued in existence. The new board shall consist of one the following members:

(1) One member appointed by each member of the three members of the Etowah County House Legislative Delegation, one member.

(2) Two members appointed by the senator representing Etowah County, one.

(3) One county commissioner member appointed by the county commission, one.

(4) One member appointed by the Mayor of Gadsden, one.

(5) One mayor or city council member appointed by the Etowah County Mayor's Association, one.

(6) One member from the hotel or hospitality industry within the county appointed by the Etowah/Gadsden Chamber of Commerce, and one member appointed by the local hotel industry.

(b) Members shall serve two four year terms until November 30, 2011, when the next term shall be four years that expire 60 days after the regularly scheduled gubernatorial election. No person shall be appointed to the board unless he or she is a qualified elector of Etowah County. Members of the board shall serve at the pleasure of the appointing authority and shall be removed from the board after failing to attend three consecutive properly noticed regular meetings of the board. A vacancy on the board for any reason shall be filled by appointment by the original appointing authority for the unexpired term.

(b)(c) The Etowah County Tourism Board created by this part shall promote the tourism industry in the county, including, but not limited to, working with potential visitors; coordinating with media representatives; providing support and materials for area events, attractions, and accommodations; promoting the county as a destination for leisure and travel; marketing the county to individuals, groups, and consumer travelers, tour operators, travel planners, and meeting planners, sports teams, and athletic groups; assisting the county with tourism issues and development, both nationally and internationally; employing such a director and other employees as are necessary to accomplish the purposes of this section; evaluating the feasibility of and, if warranted, the construction, operation, and maintenance of, a mega sports complex; and performing all things necessary including the construction of any facility, for the promotion of tourism. Notwithstanding the foregoing, the first priority shall be to interview and hire a full-time tourism director to conduct all activities. The director and other employees of the board shall be employed at will. The employment of the director serving on the effective date of the act adding this sentence shall be subject to the approval of the board. If the board does not approve the director serving on the effective date of the act adding this sentence, the board shall employ a new director. The annual compensation of the director, as set by the board, may not exceed the annual salary paid to the Director of the Alabama Tourism Department.

(c)(d) The board shall elect a chair, a vice chair, a treasurer, and such other officers as it the board deems necessary. The board, and shall set the terms of such those officers. The treasurer may or may not be a member of the board. The treasurer shall act as custodian of all funds, from whatever source derived, received by the board. The treasurer shall deposit the funds in a separate account in a bank or trust company which is duly qualified and doing business in Etowah County.

(d)(e) Contracts by the board shall be executed by the chair and ratified by the board. A simple majority of the members present is necessary for the transaction of any business by the board. The board may retain legal counsel. The board may employ an architect and enter into contracts for services in designing and supervising the construction of any facility that it desires to construct. No member of the board shall be interested, directly or indirectly, in any contract of work, materials, or services.

(e)(f) The board shall have the power to do all of the following:

(1) To sue and be sued.

(2) To acquire property and rights and interests in property by gift, lease, or purchase.

(3) To have a seal and alter the same at pleasure.

(4) To appoint officers, agents, or employees as deemed necessary.

(5) To make contracts and to execute all instruments necessary to lease or purchase and own real or personal property to be used for the furtherance of the purposes for the accomplishment of which the board is created.

(6) To accept or receive gifts, bequests, and devises.

(7) To invest its funds not needed to meet disbursements in bonds or obligations of the United States of America or deposit such funds in any bank or building and loan association, provided the deposit is fully insured by a federal corporation or agency of the federal government insuring deposits in financial institutions or secured by a deposit of bonds or obligations of the United States of America.

(8) To incur and engage in marketing and promotional expenditures and activities in furtherance of its purposes and as determined by the board in its discretion.

(f)(g)(1) Subject to the conditions, qualifications, and restrictions set forth in subdivision (2), the board may borrow money. As security for any money borrowed, together with interest thereon, and any obligations incurred or assumed, the board may mortgage, pledge, or otherwise transfer and convey its real, personal, and mixed property, or any part or parts thereof, whether then owned or thereafter acquired, including any franchises then owned or thereafter or hereafter adopted and all or any part of any funds of the board. In resolution authorizing the mortgage given to secure the payment thereof, the board, in addition to its other powers, shall have the power to agree with the several holders of the mortgage to make, enter, and perform covenants and agreements as to:

a. The conduct, management, and maintenance of the properties held by the board or of the activities, operations, and enterprises then or thereafter conducted by the board.

b. Insurance of the properties of the board.

c. Restrictions on the exercise of the powers of the board to dispose, or to limit or regulate the use of all or any part of the properties of the board.

d. The use and disposition of any moneys of the board, including taxes payable to the board under any act of the Legislature heretofore or hereafter adopted and revenues derived or to be derived from the activities, operations, and enterprises of all or any part of the properties of the board, including any part or parts theretofore constructed or acquired and any parts, extensions, replacements, or improvements thereof or thereafter constructed or acquired.

e. The setting aside of the taxes payable to the board under any act of the Legislature heretofore or hereafter adopted or use of the revenues or the moneys of the board or reserves and sinking funds, and the source, custody, security, regulation, application, and disposition thereof.

f. The assumption or payment or discharge of any indebtedness, liens, or other claims relating to any part of the properties of the board or any obligations constituting, or which may constitute, a lien on the properties or any part thereof.

g. Limitations or other evidences of indebtedness or upon the incurrence of indebtedness of the board.

(2) The power vested in the board to pledge taxes to be paid to the board or to pledge revenue of the board shall not be construed as undertaking or purporting to empower the board to pledge any tax or any revenue if the pledge is prohibited by the Constitution of Alabama of 1901. It is expressly provided that the board shall have the power to pledge any tax paid to the board or revenue of the board, the pledge of which is authorized by the Constitution of Alabama of 1901.

§45-28-91.02.

(a)(1) Beginning October 1, 2016, the first four hundred ninety-one thousand dollars ($491,000) of the annual proceeds of any lodging tax due Etowah County pursuant to Section 45-28-243, Section 45-28-243.01, or any other lodging tax payable to the county, shall be paid into the county treasury to be distributed to the Etowah County Tourism Board established by this part to be used to carry out the purposes of this part. The remaining portion of the proceeds shall be distributed to the Etowah County Mega Sports Complex Authority.

(2) Beginning October 1, 2019, the annual proceeds of any lodging tax due Etowah County pursuant to Section 45-28-243, Section 45-28-243.01, or any other lodging tax payable to the county, shall be paid into the county treasury to be distributed to the Etowah County Tourism Board established by this part to be used to carry out the purposes of this part.

(b) Notwithstanding any provision of Section 45-28-243 or Section 45-28-243.01, the lodging taxes levied by Section 45-28-243 and Section 45-28-243.01 shall not apply to rooms, lodgings, or accommodations supplied for a period of 30 continuous days or more in any place.

§45-28-91.05.

(a) The portion of the proceeds distributed to the Etowah County Mega Sports Complex Authority under Section 45-28-91.02(a)(1) shall revert to the Etowah County Tourism Board, if, within three years from May 12, 2016, the Etowah County Mega Sports Complex Authority has not made substantial progress.

(b) For the purposes of this section, substantial progress means securing architectural drawings for the project, purchasing land upon which facilities will be located, and having engaged an architectural firm for the construction of the project.

(a) The Etowah County Tourism Board shall contract with a qualified entity to perform an in depth economic impact analysis and a thorough study on the feasibility of developing a mega sports complex in the location proposed on the effective date of the act adding this subsection, or another location.

(b) The board shall appoint a committee of board or non-board members, consisting of residents of Etowah County, to study and evaluate all factors relating to the construction, maintenance, and operation of a mega sports complex in Etowah County, for implementation and administration by the board. Members of the committee shall serve without compensation at the pleasure of the board. The evaluation shall include, but not be limited to, the following considerations and issues:

(1) The feasibility of a mega sports complex for the county.

(2) The actions taken and documentation generated by the Etowah County Mega Sports Complex Authority.

(3) What should be included in a mega sports complex.

(4) The location of the mega sports complex.

(5) The cost associated with acquiring and maintaining a mega sports complex.

(6) Possible funding sources for the mega sports complex.

(c) If the board determines, based on the feasibility study and in depth economic impact analysis conducted pursuant to subsections (a) and (b), that the construction, operation, and maintenance of the mega sports complex will be cost effective, the board shall initiate the development and management of a mega sports complex in the county.

(d) The board shall also have the following powers and duties:

(1) To acquire or lease real property for the development of sports or other recreational facilities and related improvements for public purposes.

(2) To make, enter into, and execute contracts, agreements, or other instruments necessary to accomplish the purposes of this section.

(3) To establish and appoint committees and hire staff which the board deems necessary for the carrying out of its functions.

(4) To accept any and all donations and grants of money, equipment, supplies, materials, and services, and to receive, utilize, and dispose of same.

(5) To perform other functions as may be necessary or appropriate to achieve the purposes of this section.

(e) All T.V.A. in-lieu-of-taxes payments to Etowah County retained by the county and not transferred to the City of Sardis pursuant to Section 40-28-2, shall be held for the Etowah County Legislative Delegation to be allocated for various needs within the county which may include, but are not limited to, the financing and operation of a mega sports complex.

§45-28-243.02.

In Etowah County, beginning on the effective date of the act amending this section, the portion of the tax proceeds collected pursuant to Section 40-26-1, which is distributed to the Etowah County Commission pursuant to Section 40-26-20, to be used for the promotion of tourism, recreation, and conventions, shall be distributed to the Etowah County Mega Sports Complex Authority Tourism Board for the construction of a Mega Sports Complex. If the Etowah County Tourism Board does not build a mega sports complex, these funds shall remain with the Etowah County Commission.

§45-28-244.01.

(a) In Etowah County, there is levied a one cent ($0.01) county sales and use tax in all areas of the county, which may become effective no sooner than January 1, 1996.

(b) The tax shall parallel the state sales and use taxes including exemptions therefrom and enforcement proceedings therefor. The Etowah County Commission may administer and collect this tax, or contract with a private entity or the State Department of Revenue to administer and collect this tax, and provide for enforcement penalties by resolution. The county commission, the State Department of Revenue, or a private entity collecting the tax may retain an amount or percentage of the total proceeds collected in such an amount as may be agreed upon by the members of the county commission, but in no event shall the charge exceed two percent of the total amount of tax collected under this section.

(c) The net proceeds of any sales and use tax levied pursuant to this section shall be distributed annually as follows:

(1) The first sixty thousand dollars ($60,000) to the Smeltzer Education Training Center.

(2) The next fifty thousand dollars ($50,000) divided equally between the Mental Retardation 310 Center and CED Mental Health Center to be used only in Etowah County for operations.

(3) Beginning January 1, 2017 2020, the next three hundred thousand dollars ($300,000) to the Etowah County Mega Sports Complex Authority for the development and management of a public mega sports complex in the county Tourism Board for the construction of a mega sports complex. If the Etowah County Tourism Board does not continue construction of a mega sports complex within the three years following the effective date of the act amending this subdivision, then these funds shall be divided proportionately among the other entities receiving allocations from the sales and use tax pursuant to this subsection.

(4)a. Fifty percent of the remaining proceeds to be used only for construction, maintenance, equipment, or supplies shall be distributed as follows: 85 percent to the Gadsden School System, the Etowah County School System, and the Attalla School System on a pro rata basis, according to the official average daily attendance for the previous school year, and 15 percent to Gadsden State Community College for use in Etowah County. Gadsden State Community College shall provide an annual accounting to a joint meeting of the Etowah County Commission and the county legislative delegation. Each school board shall receive and administer the proceeds of the sales and use taxes and shall have the authority to issue bonds, secure financing, and retire debt.

b. Notwithstanding paragraph a., due to the current financial condition of the school systems and Gadsden State Community College, which is the result of the necessity of declaring proration during the last three fiscal years, up to ercent may be used to pay the salaries of the certified personnel of the school systems or Gadsden State Community College.

(5) Sixty-five percent of the remaining 50 percent to the Etowah County Fund for juvenile detention, debt retirement, senior citizen services, and public safety. From these funds, the county shall be responsible for insurance, utilities, and maintenance of the community buildings in the unincorporated areas of the county completed or approved by the effective date of the act adding this language with funds from the Community Development Committee. All future construction of community buildings in the unincorporated areas shall be approved by the county commission.

(6) Eighteen percent of the remaining fifty percent to the Etowah County Community Development Committee which shall be divided equally among the three House of Representatives districts in Etowah County. The funds in each district shall be expended only on projects located in the respective House district. The expenditure of funds for each respective district shall be voted on and approved by the respective House district appointee and Senate appointee. The House appointee and Senate appointee for a district may call a district meeting for the purpose of this provision.

(7) Six percent of the remaining 50 percent to the Etowah County Library Committee. Of this amount, two thousand five hundred dollars ($2,500) shall be distributed annually to each public school library.

(8) Six percent of the remaining 50 percent to be shared equally among county volunteer fire departments.

(9) Five percent of the remaining 50 percent to the Etowah County Sheriff's Department to augment salaries of deputies and supplement payroll.

(d) After September 30, 2015, the following entities shall have their distributions reduced by nine percent each, as calculated by the county administrator:

(1) Gadsden State Community College pursuant to subdivision (4)a. of subsection (c).

(2) Etowah County Fund pursuant to subdivision (5) of subsection (c).

(3) Etowah County Community Development Committee pursuant to subdivision (6) of subsection (c).

(4) Etowah County Library Committee pursuant to subdivision (7) of subsection (c).

(e) Beginning October 1, 2015, and each year thereafter, the county administrator shall distribute the total amount resulting from the nine percent reductions provided in subsection (d) as follows:

(1) Etowah County Drug Enforcement Task Force, 45.8 percent.

(2) Etowah County District Attorney, solely for the hiring of an assistant district attorney, 11.2 percent.

(3) Etowah County Sheriff's Department, to augment salaries of deputies and supplement payroll, 43 percent.

(f) There is created the Etowah County Community Development Committee. Each member of the Etowah County Legislative Delegation shall appoint one member to the committee. The Etowah County Administrator shall serve as a nonvoting member of the committee. The committee shall receive and administer the tax proceeds pursuant to this section. The committee shall have the authority to issue bonds, secure financing, and retire debt.

(g) There is created the Etowah County Library Committee. Each member of the Etowah County Legislative Delegation shall appoint one member to the committee. The Etowah County Administrator shall serve as a nonvoting member of the committee. The committee shall receive and administer the tax proceeds pursuant to this section. The committee shall have the authority to issue bonds, secure financing, and retire debt.

(h) There is created the Etowah County Sales Tax Account. The proceeds of the sales tax shall be deposited into the Etowah County Sales Tax Account and distributed according to this section. Any redistribution of the funds shall not reduce the amount of revenue needed to meet the obligations of any existing bonded indebtedness on the effective date of redistribution."

Section 2

Section 45-28-91.06 is added to the Code of Alabama 1975, to read as follows: §45-28-91.06. (a) On the effective date of the act adding this section, all financial, legal, and other documents and records in the possession of the Etowah County Mega Sports Complex Authority, and all websites and social media accounts, shall be relinquished by the authority to the Etowah County Tourism Board. Notwithstanding any contrary provision of Section 45-28-220.03, as repealed by the act adding this section, commencing on the effective date of the act adding this section the sole function of the existing membership of the authority is to wind up the affairs of the authority and assist the board in the transfer of all assets and liabilities of the authority to the board pursuant to subsection (b) and the dissolution of the authority pursuant to subsection (c). Pending dissolution of the authority, the composition, functioning, and operation of the authority shall be under the complete jurisdiction and control of the Etowah County Tourism Board. (b) Within the 18-month period immediately following the effective date of the act adding this section, the assets and liabilities of the Etowah County Mega Sports Complex Authority, pursuant to a schedule and plan adopted by the board, in consultation with the members of the Etowah County Legislative Delegation, shall be transferred to the Etowah County Tourism Board. The transfer shall include all assets of the Etowah County Mega Sports Complex Authority and shall be conditioned upon the assumption or discharge by the Etowah County Tourism Board of all liabilities of the Etowah County Mega Sports Complex Authority, including, without limitation, all indebtedness, contracts, and retirement obligations. Any assumption of obligations by the Etowah County Tourism Board shall be evidenced by resolution of that board. (c) Upon the completion of the transfer of the assets and liabilities of the authority pursuant to subsection (b), the Etowah County Mega Sports Complex Authority shall be dissolved.

Section 3

All laws or parts of laws which conflict with this act are repealed; and specifically, Section 45-28-220.03 of the Code of Alabama 1975, relating to the Etowah County Mega Sports Complex Authority, is repealed, effective 18 months after the effective date of the act adding this section.

Section 4

This act shall become effective on the first day of the third month following its passage and approval by the Governor, or its otherwise becoming law.