Alabama 2022 Regular Session

Alabama House Bill HB458 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		1 HB458
2		-	2 217889-5
	2	+	2 217889-2
3	3		3 By Representative Sorrells (Constitutional Amendment)
4	4		4 RFD: Urban and Rural Development
5	5		5 First Read: 08-MAR-22
6	6
7		-	Page 0 HB458
8		-	1
9		-	2 ENROLLED, An Act,
10		-	3 Proposing an amendment to Amendment 772 to the
11		-	4 Constitution of Alabama of 1901, now appearing as Section
12		-	5 94.01 of the Official Recompilation of the Constitution of
13		-	6 Alabama of 1901, as amended, relating to economic development
14		-	7 projects of counties and municipalities; to revise
15		-	8 requirements for incurring indebtedness for economic
16		-	9 development purposes; to revise the requirement for
17		-	10 publication of notices for economic and industrial purposes;
18		-	11 and to ratify actions taken and agreements made under
19		-	12 Amendment 772 made prior to the ratification of this
20		-	13 amendment.
21		-	14 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
22		-	15 Section 1. The following amendment to the
23		-	16 Constitution of Alabama of 1901, as amended, is proposed and
24		-	17 shall become valid as a part thereof when approved by a
25		-	18 majority of the qualified electors voting thereon and in
26		-	19 accordance with Sections 284, 285, and 287 of the Constitution
27		-	20 of Alabama of 1901, as amended:
28		-	21 PROPOSED AMENDMENT
29		-	22 "Amendment 772
30		-	23 "(a) The governing body of any county, and the
31		-	24 governing body of any municipality located therein, for which
32		-	25 a local constitutional amendment has not been adopted
33		-	Page 1 HB458
34		-	1 authorizing any of the following, a county or municipality
35		-	2 shall have full and continuing power to do any of the
36		-	3 following:
37		-	4 "(1) Use public funds to purchase, lease, or
38		-	5 otherwise acquire real property, buildings, plants, factories,
39		-	6 facilities, machinery, and equipment of any kind, or to
40		-	7 utilize the properties heretofore purchased or otherwise
41		-	8 acquired on or before adoption of this amendment, and to
42		-	9 improve and develop the properties for use as sites for
43		-	10 industry of any kind or as industrial park projects,
44		-	11 including, but not limited to, grading and the construction of
45		-	12 roads, drainage, sewers, sewage and waste disposal systems,
46		-	13 parking areas, and utilities to serve the sites or projects.
47		-	14 "(2) Lease, sell, grant, exchange, or otherwise
48		-	15 convey, on terms approved by the governing body of the county
49		-	16 or the municipality, as applicable, all or any part of any
50		-	17 real property, buildings, plants, factories, facilities,
51		-	18 machinery, and equipment of any kind or industrial park
52		-	19 project to any individual, firm, corporation, or other
53		-	20 business entity, public or private, including any industrial
54		-	21 development board or other public corporation or authority
55		-	22 heretofore or hereafter created by the county or the
56		-	23 municipality before or after adoption of this amendment, for
57		-	24 the purpose of constructing, developing, equipping, and
58		-	Page 2 HB458
59		-	1 operating industrial, commercial, research, or service
	7	+	Page 0 1 ENGROSSED
	8	+	2
	9	+	3
	10	+	4 A BILL
	11	+	5 TO BE ENTITLED
	12	+	6 AN ACT
	13	+	7
	14	+	8 Proposing an amendment to Amendment 772 to the
	15	+	9 Constitution of Alabama of 1901, now appearing as Section
	16	+	10 94.01 of the Official Recompilation of the Constitution of
	17	+	11 Alabama of 1901, as amended, relating to economic development
	18	+	12 projects of counties and municipalities; to revise
	19	+	13 requirements for incurring indebtedness for economic
	20	+	14 development purposes; to revise the requirement for
	21	+	15 publication of notices for economic and industrial purposes;
	22	+	16 and to ratify actions taken and agreements made under
	23	+	17 Amendment 772 made prior to the ratification of this
	24	+	18 amendment.
	25	+	19 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
	26	+	20 Section 1. The following amendment to the
	27	+	21 Constitution of Alabama of 1901, as amended, is proposed and
	28	+	22 shall become valid as a part thereof when approved by a
	29	+	23 majority of the qualified electors voting thereon and in
	30	+	24 accordance with Sections 284, 285, and 287 of the Constitution
	31	+	25 of Alabama of 1901, as amended:
	32	+	26 PROPOSED AMENDMENT
	33	+	27 "Amendment 772
	34	+	Page 1 1 "(a) The governing body of any county, and the
	35	+	2 governing body of any municipality located therein, for which
	36	+	3 a local constitutional amendment has not been adopted
	37	+	4 authorizing any of the following, a county or municipality
	38	+	5 shall have full and continuing power to do any of the
	39	+	6 following:
	40	+	7 "(1) Use public funds to purchase, lease, or
	41	+	8 otherwise acquire real property, buildings, plants, factories,
	42	+	9 facilities, machinery, and equipment of any kind, or to
	43	+	10 utilize the properties heretofore purchased or otherwise
	44	+	11 acquired on or before adoption of this amendment, and to
	45	+	12 improve and develop the properties for use as sites for
	46	+	13 industry of any kind or as industrial park projects,
	47	+	14 including, but not limited to, grading and the construction of
	48	+	15 roads, drainage, sewers, sewage and waste disposal systems,
	49	+	16 parking areas, and utilities to serve the sites or projects.
	50	+	17 "(2) Lease, sell, grant, exchange, or otherwise
	51	+	18 convey, on terms approved by the governing body of the county
	52	+	19 or the municipality, as applicable, all or any part of any
	53	+	20 real property, buildings, plants, factories, facilities,
	54	+	21 machinery, and equipment of any kind or industrial park
	55	+	22 project to any individual, firm, corporation, or other
	56	+	23 business entity, public or private, including any industrial
	57	+	24 development board or other public corporation or authority
	58	+	25 heretofore or hereafter created by the county or the
	59	+	26 municipality before or after adoption of this amendment, for
	60	+	27 the purpose of constructing, developing, equipping, and
	61	+	Page 2 1 operating industrial, commercial, research, or service
60	62		2 facilities of any kind.
61	63		3 "(3) Lend its credit to, or grant public funds and
62	64		4 things of value in aid of, or to, any individual, firm,
63	65		5 corporation, or other business entity, public or private, for
64	66		6 the purpose of promoting the economic and industrial
65	67		7 development of the county or the municipality.
66	68		8 "(4) Become indebted and issue bonds, warrants which
67	69		9 may be payable from funds to be realized in future years,
68	70		10 notes, or other obligations, or evidences of indebtedness to a
69	71		11 an aggregate outstanding principal amount not exceeding an
70	72		12 amount equal to 50 percent of the assessed value of taxable
71	73		13 property therein as determined for state taxation, in order to
72	74		14 secure funds for the purchase, construction, lease, or
73	75		15 acquisition of any of the property described in subdivision
74	76		16 (1), or to be used in furtherance of any of the other powers
75	77		17 or authorities granted in this amendment. The obligations or
76	78		18 evidences of indebtedness may be issued upon the full faith
77	79		19 and credit of the county or any municipality or may be limited
78	80		20 as to the source of their payment.
79	81		21 "(b) The recital in any bonds, warrants, notes, or
80	82		22 other obligations, or evidences of indebtedness that they were
81	83		23 issued pursuant to this amendment, or that they were issued to
82	84		24 provide funds to be used in furtherance of any power or
83	85		25 authority herein authorized shall be conclusive, and no
84		-	Page 3 HB458
85		-	1 purchaser or holder thereof need inquire further. The bonds,
86		-	2 warrants, notes, or other obligations or evidences of
87		-	3 indebtedness issued hereunder shall not be considered do not
88		-	4 constitute an indebtedness of the county or any municipality
89		-	5 for the purpose of determining the borrowing capacity of the
90		-	6 county or municipality under this Constitution.
91		-	7 "(b)(c) In carrying out the purpose of this
92		-	8 amendment, neither the county nor any municipality located
93		-	9 therein a county or a municipality shall not be subject to
94		-	10 Section 93 or 94 of this Constitution or be required to comply
95		-	11 with Section 222 of this Constitution. Each public corporation
96		-	12 heretofore Section 93 or 94 of this Constitution, nor shall a
97		-	13 county or municipality be required to comply with the
98		-	14 provisions of Section 222 of this Constitution, unless issuing
99		-	15 general obligation bond instruments establishing a requirement
100		-	16 for repayment. Each public corporation created by the county
101		-	17 or by any municipality located therein on or before the
102		-	18 adoption of this amendment, including specifically any
103		-	19 industrial development board incorporated under Article 4 of
104		-	20 Chapter 54 of Title 11 of the Code of Alabama 1975, and any
105		-	21 industrial development authority incorporated or
106		-	22 reincorporated under Chapter 92A of Title 11 of the Code of
107		-	23 Alabama 1975, and the Shoals Economic Development Authority
108		-	24 enacted under Act No. 95-512, 1995 Regular Session, are
109		-	25 validated and the powers granted to the board or authority
110		-	Page 4 HB458
111		-	1 under its respective enabling legislation are validated,
112		-	2 notwithstanding any other provision of law or of this
113		-	3 Constitution. The powers granted by this amendment may be
114		-	4 exercised as an exclusive alternative to, or cumulative with,
115		-	5 and in no way restrictive of, powers otherwise granted by this
116		-	6 Constitution or any law to the county, or to any municipality,
117		-	7 or to any agency, board, or authority created pursuant to the
118		-	8 laws of this state.
119		-	9 "(c)(d) Neither the county nor any municipality
120		-	10 located therein shall lend its credit to, or grant any public
121		-	11 funds or thing of value to, or in aid of, any private entity
122		-	12 under the authority of this amendment unless prior thereto to
123		-	13 doing so, both of the following are satisfied:
124		-	14 "(1) The action proposed to be taken by the county
125		-	15 or municipality is approved at a public meeting of the
126		-	16 governing body of the county or municipality, as the case may
127		-	17 be, by a resolution containing a determination by the
128		-	18 governing body that the expenditure of public funds for the
129		-	19 purpose specified will serve a valid and sufficient public
130		-	20 purpose, notwithstanding any incidental benefit accruing to
131		-	21 any private entity or entities.
132		-	22 "(2) At least seven days prior to the public
133		-	23 meeting, a notice is published in the a newspaper having the
134		-	24 largest circulation in circulation in the county or
135		-	25 municipality, as the case may be, describing in reasonable
136		-	Page 5 HB458
137		-	1 detail the action proposed to be taken, a description of the
138		-	2 public benefits sought to be achieved by the action, and
139		-	3 identifying each individual, firm, corporation, or other
140		-	4 business entity to whom, or for whose benefit, the county or
141		-	5 the municipality proposes to lend its credit or grant public
142		-	6 funds or thing of value.
143		-	7 "(e) For purposes of the foregoing, any sale, lease,
144		-	8 or other disposition of property for a price equal to the its
145		-	9 fair market value thereof shall not constitute the lending of
146		-	10 credit or a grant of public funds or thing of value in aid of
147		-	11 a private entity.
148		-	12 "(f) Nothing in this amendment shall authorize the
149		-	13 county commission to own or operate a cable television system.
150		-	14 "(d)(g) Any action taken, or agreement made, under
151		-	15 Amendment 772 by any county or municipality prior to the date
152		-	16 this amendment is ratified and confirmed in all respects as of
153		-	17 that date, except to the extent that its validity is being
154		-	18 challenged in appropriate judicial proceedings in any court of
155		-	19 competent jurisdiction on the date this amendment is ratified.
156		-	20 This amendment These amendatory provisions shall have
157		-	21 prospective application only. Any local constitutional
158		-	22 amendments previously adopted and any local law enacted
159		-	23 pursuant to such amendment shall remain in full force and
160		-	24 effect."
161		-	Page 6 HB458
162		-	1 Section 2. An election upon the proposed amendment
163		-	2 shall be held in accordance with Sections 284 and 285 of the
164		-	3 Constitution of Alabama of 1901, now appearing as Sections 284
165		-	4 and 285 of the Official Recompilation of the Constitution of
166		-	5 Alabama of 1901, as amended, and the election laws of this
167		-	6 state.
168		-	7 Section 3. The appropriate election official shall
169		-	8 assign a ballot number for the proposed constitutional
170		-	9 amendment on the election ballot and shall set forth the
171		-	10 following description of the substance or subject matter of
172		-	11 the proposed constitutional amendment:
173		-	12 "Proposing an amendment to revise Amendment 772 to
174		-	13 the Constitution of Alabama of 1901, as amended, to specify
175		-	14 that all counties and municipalities may exercise the
176		-	15 authority and powers granted by Amendment 772 to provide for
177		-	16 economic and industrial development; to permit notice for
178		-	17 Amendment 772 projects to be published in any newspaper in
179		-	18 circulation in the county or municipality; and to ratify all
180		-	19 actions and agreements of any county or municipality done
181		-	20 under Amendment 772 unless subject to pending judicial
182		-	21 proceedings on the date of adoption of this amendment.
183		-	22 "Proposed by Act ________."
184		-	23 This description shall be followed by the following
185		-	24 language:
186		-	25 "Yes ( ) No ( )."
187		-	Page 7 HB458
188		-	1
	86	+	26 purchaser or holder thereof need inquire further. The bonds,
	87	+	27 warrants, notes, or other obligations or evidences of
	88	+	Page 3 1 indebtedness issued hereunder shall not be considered do not
	89	+	2 constitute an indebtedness of the county or any municipality
	90	+	3 for the purpose of determining the borrowing capacity of the
	91	+	4 county or municipality under this Constitution.
	92	+	5 "(b)(c) In carrying out the purpose of this
	93	+	6 amendment, neither the county nor any municipality located
	94	+	7 therein a county or a municipality shall not be subject to
	95	+	8 Section 93 or 94 of this Constitution or be required to comply
	96	+	9 with Section 222 of this Constitution. Each public corporation
	97	+	10 heretofore Section 93 or 94 of this Constitution, nor shall a
	98	+	11 county or municipality be required to comply with the
	99	+	12 provisions of Section 222 of this Constitution, unless issuing
	100	+	13 general obligation bond instruments establishing a requirement
	101	+	14 for repayment. Each public corporation created by the county
	102	+	15 or by any municipality located therein on or before the
	103	+	16 adoption of this amendment, including specifically any
	104	+	17 industrial development board incorporated under Article 4 of
	105	+	18 Chapter 54 of Title 11 of the Code of Alabama 1975, and any
	106	+	19 industrial development authority incorporated or
	107	+	20 reincorporated under Chapter 92A of Title 11 of the Code of
	108	+	21 Alabama 1975, and the Shoals Economic Development Authority
	109	+	22 enacted under Act No. 95-512, 1995 Regular Session, are
	110	+	23 validated and the powers granted to the board or authority
	111	+	24 under its respective enabling legislation are validated,
	112	+	25 notwithstanding any other provision of law or of this
	113	+	26 Constitution. The powers granted by this amendment may be
	114	+	27 exercised as an exclusive alternative to, or cumulative with,
	115	+	Page 4 1 and in no way restrictive of, powers otherwise granted by this
	116	+	2 Constitution or any law to the county, or to any municipality,
	117	+	3 or to any agency, board, or authority created pursuant to the
	118	+	4 laws of this state.
	119	+	5 "(c)(d) Neither the county nor any municipality
	120	+	6 located therein shall lend its credit to, or grant any public
	121	+	7 funds or thing of value to, or in aid of, any private entity
	122	+	8 under the authority of this amendment unless prior thereto to
	123	+	9 doing so, both of the following are satisfied:
	124	+	10 "(1) The action proposed to be taken by the county
	125	+	11 or municipality is approved at a public meeting of the
	126	+	12 governing body of the county or municipality, as the case may
	127	+	13 be, by a resolution containing a determination by the
	128	+	14 governing body that the expenditure of public funds for the
	129	+	15 purpose specified will serve a valid and sufficient public
	130	+	16 purpose, notwithstanding any incidental benefit accruing to
	131	+	17 any private entity or entities.
	132	+	18 "(2) At least seven days prior to the public
	133	+	19 meeting, a notice is published in the a newspaper having the
	134	+	20 largest circulation in circulation in the county or
	135	+	21 municipality, as the case may be, describing in reasonable
	136	+	22 detail the action proposed to be taken, a description of the
	137	+	23 public benefits sought to be achieved by the action, and
	138	+	24 identifying each individual, firm, corporation, or other
	139	+	25 business entity to whom, or for whose benefit, the county or
	140	+	26 the municipality proposes to lend its credit or grant public
	141	+	27 funds or thing of value.
	142	+	Page 5 1 "(e) For purposes of the foregoing, any sale, lease,
	143	+	2 or other disposition of property for a price equal to the its
	144	+	3 fair market value thereof shall not constitute the lending of
	145	+	4 credit or a grant of public funds or thing of value in aid of
	146	+	5 a private entity.
	147	+	6 "(f) Nothing in this amendment shall authorize the
	148	+	7 county commission to own or operate a cable television system.
	149	+	8 "(d)(g) Any action taken, or agreement made, under
	150	+	9 Amendment 772 by any county or municipality prior to the date
	151	+	10 this amendment is ratified and confirmed in all respects as of
	152	+	11 that date, except to the extent that its validity is being
	153	+	12 challenged in appropriate judicial proceedings in any court of
	154	+	13 competent jurisdiction on the date this amendment is ratified.
	155	+	14 This amendment These amendatory provisions shall have
	156	+	15 prospective application only. Any local constitutional
	157	+	16 amendments previously adopted and any local law enacted
	158	+	17 pursuant to such amendment shall remain in full force and
	159	+	18 effect."
	160	+	19 Section 2. An election upon the proposed amendment
	161	+	20 shall be held in accordance with Sections 284 and 285 of the
	162	+	21 Constitution of Alabama of 1901, now appearing as Sections 284
	163	+	22 and 285 of the Official Recompilation of the Constitution of
	164	+	23 Alabama of 1901, as amended, and the election laws of this
	165	+	24 state.
	166	+	25 Section 3. The appropriate election official shall
	167	+	26 assign a ballot number for the proposed constitutional
	168	+	27 amendment on the election ballot and shall set forth the
	169	+	Page 6 1 following description of the substance or subject matter of
	170	+	2 the proposed constitutional amendment:
	171	+	3 "Proposing an amendment to revise Amendment 772 to
	172	+	4 the Constitution of Alabama of 1901, as amended, to specify
	173	+	5 that all counties and municipalities may exercise the
	174	+	6 authority and powers granted by Amendment 772 to provide for
	175	+	7 economic and industrial development; to permit notice for
	176	+	8 Amendment 772 projects to be published in any newspaper in
	177	+	9 circulation in the county or municipality; and to ratify all
	178	+	10 actions and agreements of any county or municipality done
	179	+	11 under Amendment 772 unless subject to pending judicial
	180	+	12 proceedings on the date of adoption of this amendment.
	181	+	13 "Proposed by Act ________."
	182	+	14 This description shall be followed by the following
	183	+	15 language:
	184	+	16 "Yes ( ) No ( )."
	185	+	Page 7 1
189	186		2
190		-	3
191		-	4
192		-	Speaker of the House of Representatives
193		-
194		-	5
195		-	6 President and Presiding Officer of the Senate
196		-	House of Representatives7
197		-	I hereby certify that the within Act originated in8
198		-	9 and was passed by the House 17-MAR-22, as amended.
199		-	10
200		-	11 Jeff Woodard
201		-	12 Clerk
202		-	13
203		-	14
204		-	Senate15 06-APR-22 Amended and Passed
205		-	House16 07-APR-22
206		-	Concurred in Sen-
207		-	ate Amendment
208		-	17
	187	+	House of Representatives3
	188	+	Read for the first time and re-4
	189	+	5 ferred to the House of Representa-
	190	+	6 tives committee on Urban and Rural
	191	+	Development........................7 .......08-MAR-22
	192	+	8
	193	+	Read for the second time and placed9
	194	+	on the calendar....................10 .......10-MAR-22
	195	+	11
	196	+	Read for the third time and passed12
	197	+	as amended.........................13 .......17-MAR-22
	198	+	Yeas 101, Nays 0, Abstains 014
	199	+	15
	200	+	16 Jeff Woodard
	201	+	17 Clerk
	202	+	18
209	203		Page 8