HB253 Alabama 2020 Session

Sponsors

Session

Regular Session 2020

Title

Municipalities, certain designated muns., levy of ad valorem tax for bonds to finance projects, use of proceeds for direct payments to finance capital improvements, const. amend.

Description

<p class="bill_description"> Under Amendment No. 8 of the Constitution of Alabama of 1901, as amended, now appearing as Section 216.01 of the Recompiled Constitution of Alabama of 1901, certain designated municipalities in the state may levy and collect an ad valorem tax for the purpose of paying debt service on bonds to finance capital improvements</p><p class="bill_description"> This bill proposes an amendment to authorize the levy and collection of the ad valorem tax authorized by Amendment No. 8 and to authorize as an alternative the use of the proceeds to directly pay the costs of public capital improvements on a pay-as-you-go basis, as well as to use the proceeds to pay debt service on bonds, warrants, and other securities issued to finance the costs of the improvements, and would validate any prior levy and use of the tax for these purposes</p><p class="bill_entitled_an_act"> Proposing an amendment to the Constitution of Alabama of 1901, as amended, to authorize each municipality authorized under Amendment No. 8 to the Constitution of Alabama of 1901, now appearing Section 216.01 of the Recompiled Constitution of Alabama of 1901, as amended, to levy and collect the ad valorem tax under Amendment No. 8 for the purpose of paying debt service on bonds, to levy and collect the ad valorem tax at the rate lawfully permitted for such municipality to directly pay the costs of public capital improvements, as well as to pay the principal of and interest on bonds, warrants, or other securities issued to finance or refinance the costs of improvements; and to ratify, validate, and confirm any prior levy and collection of the ad valorem tax for these purposes. </p>

Subjects

Municipalities