Alabama 2023 Regular Session

Alabama Senate Bill SB101 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~SB101ENROLLED~~
	1	+	SB101INTRODUCED
2	2		Page 0
3		-	XQ8T7E-3
4		-	By Senators Orr, Chesteen, Price, Albritton, Roberts, Kelley,
5		-	Jones, Stutts, Butler, Melson
6		-	RFD: Conference Committee on SB101
	3	+	XQ8T7E-1
	4	+	By Senator Orr
	5	+	RFD: Finance and Taxation Education
7	6		First Read: 21-Mar-23
8		-	2023 Regular Session
9	7		1
10	8		2
11	9		3
12	10		4
13		-	5
14		-	6 SB101 EnrolledSB101 Enrolled
	11	+	5 XQ8T7E-1 3/20/2023 KHF (F) KHF 2022-5382
15	12		Page 1
16		-	Enrolled, An Act,
	13	+	SYNOPSIS:
	14	+	This bill amends the Education Trust Fund
	15	+	Rolling Reserve Act of 2011 to provide additional
	16	+	definitions, to provide further for annual Education
	17	+	Trust Fund appropriations, to provide further for the
	18	+	distribution of revenues received in excess of
	19	+	appropriations, to create the Educational Opportunities
	20	+	Reserve Fund and provide for the funding and
	21	+	appropriations from the fund, and to delete obsolete
	22	+	provisions.
	23	+	A BILL
	24	+	TO BE ENTITLED
	25	+	AN ACT
17	26		To amend Sections 29-9-2, 29-9-3, and 29-9-4, Code of
18	27		Alabama 1975, as last amended by Acts 2022-139 and 2022-358 of
19		-	the 2022 Regular Session, and Sections 29-9-5, Code of Alabama
20		-	1975, relating to the Education Trust Fund Rolling Reserve
21		-	Act, to provide additional definitions; to provide further for
22		-	annual Education Trust Fund appropriations; to provide further
23		-	for the distribution of revenues received in excess of
24		-	appropriations; to create the Educational Opportunities
25		-	Reserve Fund and provide for the funding and appropriations
26		-	from the fund; to revise the allowable uses of withdrawals
27		-	from the Budget Stabilization Fund to eliminate temporary
28		-	loans for repairs; and to repeal obsolete Section 29-9-2.1 of
29		-	the Code of Alabama of 1975.
30		-	BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
31		-	Section 1. Sections 29-9-2, 29-9-3, and 29-9-4, Code of
32		-	Alabama 1975, as last amended by Acts 2022-139 and 2022-538 of
33		-	the 2022 Regular Session, and Section 29-9-5, Code of Alabama
34		-	1975, are hereby amended to read as follows:
35		-	"§29-9-2
36		-	For the purposes of this chapter, the following terms
37		-	have the following meanings:
38		-	(1) ALABAMA TRUST FUND. The Alabama Trust Fund created
39		-	by Amendment No. 450 Section 219.02 to the Constitution of
40		-	Alabama of 19012022.
41		-	(2) EDUCATION TRUST FUND. An account in the State
42		-	Treasury into which are deposited certain revenues paid to the
	28	+	the 2022 Regular Session, relating to the Education Trust Fund
	29	+	Rolling Reserve Act, to provide additional definitions; to
	30	+	provide further for annual Education Trust Fund
	31	+	appropriations; to provide further for the distribution of
	32	+	revenues received in excess of appropriations; to create the
	33	+	Educational Opportunities Reserve Fund and provide for the
	34	+	funding and appropriations from the fund; and to repeal
	35	+	obsolete Section 29-9-2.1 of the Code of Alabama of 1975.
43	36		1
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45	38		3
46	39		4
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65	58		23
66	59		24
67	60		25
68	61		26
69		-	27 SB101 EnrolledSB101 Enrolled
	62	+	27
	63	+	28 SB101 INTRODUCEDSB101 INTRODUCED
70	64		Page 2
	65	+	BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
	66	+	Section 1. Sections 29-9-2, 29-9-3, and 29-9-4, Code of
	67	+	Alabama 1975, as last amended by Acts 2022-139 and 2022-538 of
	68	+	the 2022 Regular Session, are hereby amended to read as
	69	+	follows:
	70	+	"§29-9-2
	71	+	For the purposes of this chapter, the following terms
	72	+	have the following meanings:
	73	+	(1) ALABAMA TRUST FUND. The Alabama Trust Fund created
	74	+	by Amendment No. 450 to the Constitution of Alabama of 1901.
	75	+	(2) EDUCATION TRUST FUND. An account in the State
	76	+	Treasury into which are deposited certain revenues paid to the
71	77		State of Alabama that are earmarked or set aside for
72	78		appropriation for public educational purposes.
73	79		(3) EDUCATION TRUST FUND BASE APPROPRIATIONS. The
74	80		Education Trust Fund appropriations for the current fiscal
75	81		year that were enacted in a prior legislative session,
76	82		excluding reversions reappropriated and any supplemental
77	83		appropriations.
78	84		(3)(4) EDUCATION TRUST FUND RAINY DAY ACCOUNT. The
79	85		special account created within the Alabama Trust Fund by
80	86		Amendment No. 803 to the Constitution of Alabama of 1901
81	87		Section 260.02 of the Constitution of Alabama of 2022 .
82	88		(5) EDUCATION TRUST FUND TOTAL APPROPRIATIONS. The
83	89		total amount of funds appropriated from the Education Trust
84	90		Fund for a fiscal year, including reversions reappropriated
85	91		and supplemental appropriations.
86	92		(6) EXCESS REVENUES. The difference in the total amount
87		-	of revenue deposited in the Education Trust Fund in the
88		-	immediately preceding fiscal year, including nonrecurring
89		-	revenue, less the Education Trust Fund Total Appropriations
90		-	for the same fiscal year.
91		-	(4)(7) FISCAL YEAR. The fiscal year of the State of
92		-	Alabama that begins on October 1 and ends on September 30.
93		-	(5)(8) FISCAL YEAR APPROPRIATION CAP. The maximum
94		-	amount of appropriations that may be made from the Education
95		-	Trust Fund for any fiscal year under certain conditions
96		-	pursuant to this chapter.
97		-	(6)(9) NEW RECURRING REVENUE. Revenue of any kind or
98		-	28
99	93		29
100	94		30
101	95		31
102	96		32
103	97		33
104	98		34
105	99		35
106	100		36
107	101		37
108	102		38
109	103		39
110	104		40
111	105		41
112	106		42
113	107		43
114	108		44
115	109		45
116	110		46
117	111		47
118	112		48
119	113		49
120	114		50
121	115		51
122	116		52
123	117		53
124		-	54 SB101 EnrolledSB101 Enrolled
	118	+	54
	119	+	55
	120	+	56 SB101 INTRODUCEDSB101 INTRODUCED
125	121		Page 3
	122	+	of revenue deposited in the Education Trust Fund in the
	123	+	immediately preceding fiscal year, including nonrecurring
	124	+	revenue, less the Education Trust Fund Total Appropriations
	125	+	for the same fiscal year.
	126	+	(4)(7) FISCAL YEAR. The fiscal year of the State of
	127	+	Alabama that begins on October 1 and ends on September 30.
	128	+	(5)(8) FISCAL YEAR APPROPRIATION CAP. The maximum
	129	+	amount of appropriations that may be made from the Education
	130	+	Trust Fund for any fiscal year under certain conditions
	131	+	pursuant to this chapter.
	132	+	(6)(9) NEW RECURRING REVENUE. Revenue of any kind or
126	133		type constituting a new annual source of money that has been
127	134		enacted, established, or provided for prior to the first day
128	135		of the fiscal year of which it is to first be included in the
129	136		calculation of the Fiscal Year Appropriation Cap for the
130	137		Education Trust Fund.
131	138		(7)(10) NONRECURRING REVENUE. Revenue of any kind or
132	139		type that is deposited into or causes one-time abnormal
133	140		revenue impacts on the Education Trust Fund and that is not
134	141		recurring revenue, including one-time enhancements to revenues
135	142		resulting from one-time assistance to individuals or
136	143		businesses provided by the federal government. Any balance
137	144		remaining in the Education Trust Fund at the end of any fiscal
138	145		year, and transfers from the Education Trust Fund Proration
139	146		Prevention Account , the Education Trust Fund Rainy Day
140	147		Account, and the Education Trust Fund Budget Stabilization
141	148		Fund shall be nonrecurring revenue.
142	149		(8)(11) RECURRING REVENUE. Any permanent and continuing
143		-	source of revenue of any kind or type that has been enacted,
144		-	established, or provided for in fiscal years prior to the
145		-	fiscal year for which it is to be included in the calculation
146		-	of the fiscal year appropriation cap for the Education Trust
147		-	Fund. Recurring revenue shall not include any balance
148		-	remaining in the Education Trust Fund at the end of any fiscal
149		-	year. Once a new recurring revenue produces a source of
150		-	revenue for one complete fiscal year, it becomes a recurring
151		-	revenue.
152		-	(12) SECONDARY SPENDING LIMIT. An amount equal to 106.5
153		-	55
154		-	56
155	150		57
156	151		58
157	152		59
158	153		60
159	154		61
160	155		62
161	156		63
162	157		64
163	158		65
164	159		66
165	160		67
166	161		68
167	162		69
168	163		70
169	164		71
170	165		72
171	166		73
172	167		74
173	168		75
174	169		76
175	170		77
176	171		78
177	172		79
178	173		80
179		-	81 SB101 EnrolledSB101 Enrolled
	174	+	81
	175	+	82
	176	+	83
	177	+	84 SB101 INTRODUCEDSB101 INTRODUCED
180	178		Page 4
	179	+	source of revenue of any kind or type that has been enacted,
	180	+	established, or provided for in fiscal years prior to the
	181	+	fiscal year for which it is to be included in the calculation
	182	+	of the fiscal year appropriation cap for the Education Trust
	183	+	Fund. Recurring revenue shall not include any balance
	184	+	remaining in the Education Trust Fund at the end of any fiscal
	185	+	year. Once a new recurring revenue produces a source of
	186	+	revenue for one complete fiscal year, it becomes a recurring
	187	+	revenue.
	188	+	(12) SECONDARY SPENDING LIMIT. An amount equal to 106.5
181	189		percent of the Education Trust Fund Base Appropriations for
182		-	the fiscal year ending September 30, 2024; 106~~.25~~ percent of
	190	+	the fiscal year ending September 30, 2024; 106 percent of
183	191		Education Trust Fund Base Appropriations for the fiscal year
184		-	ending September 30, 2025; 106 percent of the Education Trust
	192	+	ending September 30, 2025; 105.5 percent of the Education
	193	+	Trust Fund Base Appropriations for the fiscal year ending
	194	+	September 30, 2026; and 105 percent of the Education Trust
185	195		Fund Base Appropriations for the fiscal year ending September
186		-	30, 2026; and 105.75 percent of the Education Trust Fund Base
187		-	Appropriations for the fiscal year ending September 30, 2027
188		-	and each fiscal year thereafter. "
	196	+	30, 2027 and each fiscal year thereafter. "
189	197		"§29-9-3
190	198		(a) Notwithstanding any other provision of law to the
191	199		contrary, beginning with appropriations made for the fiscal
192	200		year ending September 30, 20132024, appropriations from the
193	201		Education Trust Fund shall not exceed the fiscal year
194	202		appropriation cap , or the secondary spending limit, whichever
195	203		is less.
196	204		(b) The fiscal year appropriation cap for the Education
197	205		Trust Fund shall be equal to the sum of all of the following:
198	206		(1) The total of recurring revenues deposited into the
199		-	Education Trust Fund in the last completed fiscal year
200		-	preceding the date on which the fiscal year appropriation cap
201		-	is calculated.
202		-	(2) An amount equal to the amount in subdivision (1)
203		-	multiplied by the average annual percent of change in the
204		-	recurring revenues deposited into the Education Trust Fund for
205		-	the 14 highest of the 15 most recently completed fiscal years
206		-	preceding the date on which the fiscal year appropriation cap
207		-	is calculated, excluding the highest and lowest years from the
208		-	82
209		-	83
210		-	84
211	207		85
212	208		86
213	209		87
214	210		88
215	211		89
216	212		90
217	213		91
218	214		92
219	215		93
220	216		94
221	217		95
222	218		96
223	219		97
224	220		98
225	221		99
226	222		100
227	223		101
228	224		102
229	225		103
230	226		104
231	227		105
232	228		106
233	229		107
234		-	108 SB101 EnrolledSB101 Enrolled
	230	+	108
	231	+	109
	232	+	110
	233	+	111
	234	+	112 SB101 INTRODUCEDSB101 INTRODUCED
235	235		Page 5
	236	+	Education Trust Fund in the last completed fiscal year
	237	+	preceding the date on which the fiscal year appropriation cap
	238	+	is calculated.
	239	+	(2) An amount equal to the amount in subdivision (1)
	240	+	multiplied by the average annual percent of change in the
	241	+	recurring revenues deposited into the Education Trust Fund for
	242	+	the 14 highest of the 15 most recently completed fiscal years
	243	+	preceding the date on which the fiscal year appropriation cap
	244	+	is calculated, excluding the highest and lowest years from the
236	245		calculation.
237	246		(3) If new recurring revenue measures are enacted that
238	247		will be deposited into the Education Trust Fund, or if
239	248		existing revenue sources are amended to increase the amount of
240	249		money deposited into the Education Trust Fund, for the first
241	250		time during the year for which the fiscal year appropriation
242	251		cap is being calculated, then 95 percent of the amount
243	252		projected in the enacted fiscal note accompanying the
244	253		legislative act creating the new recurring revenue shall be
245	254		added or subtracted as a part of the fiscal year appropriation
246	255		cap. If a recurring revenue source to the Education Trust Fund
247	256		is removed or reduced during the year for which the fiscal
248	257		year appropriation cap is being calculated, the negative
249	258		impact, based on the enacted fiscal note, of the removal or
250	259		reduction of the recurring revenue shall be included in the
251	260		calculation of the fiscal year appropriation cap.
252	261		(4) Nonrecurring revenue shall be added or subtracted
253	262		as a part of the fiscal year appropriation cap for the fiscal
254	263		year in which the nonrecurring revenue is deposited into the
255		-	Education Trust Fund.
256		-	(c) The Director of Finance and the Legislative Fiscal
257		-	Officer shall certify their computation of the fiscal year
258		-	appropriation cap and secondary spending limit at the same
259		-	time as the certification required by Amendment No. 803 to the
260		-	Constitution of Alabama of 1901 Section 260.02 of the
261		-	Constitution of Alabama of 2022 . If the computation results in
262		-	a fiscal year appropriation cap that is less than the total
263		-	109
264		-	110
265		-	111
266		-	112
267	264		113
268	265		114
269	266		115
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272	269		118
273	270		119
274	271		120
275	272		121
276	273		122
277	274		123
278	275		124
279	276		125
280	277		126
281	278		127
282	279		128
283	280		129
284	281		130
285	282		131
286	283		132
287	284		133
288	285		134
289		-	135 SB101 EnrolledSB101 Enrolled
	286	+	135
	287	+	136
	288	+	137
	289	+	138
	290	+	139
	291	+	140 SB101 INTRODUCEDSB101 INTRODUCED
290	292		Page 6
	293	+	Education Trust Fund.
	294	+	(c) The Director of Finance and the Legislative Fiscal
	295	+	Officer shall certify their computation of the fiscal year
	296	+	appropriation cap and secondary spending limit at the same
	297	+	time as the certification required by Amendment No. 803 to the
	298	+	Constitution of Alabama of 1901 Section 260.02 of the
	299	+	Constitution of Alabama of 2022 . If the computation results in
	300	+	a fiscal year appropriation cap that is less than the total
291	301		appropriations from the Education Trust Fund for the fiscal
292	302		year immediately preceding the fiscal year for which the
293	303		fiscal year appropriation cap is being calculated, the
294	304		Legislature may appropriate from the Education Trust Fund
295	305		Budget Stabilization Fund created in this chapter an amount
296	306		equal to the difference between the preceding fiscal year's
297	307		total appropriations from the Education Trust Fund and the
298	308		fiscal year appropriation cap, provided that any such amount
299	309		shall be in the determination of the Legislature not to
300	310		compromise the fiscal integrity of the fund to offset any
301	311		future proration of the Education Trust Fund.
302	312		(d) Amendment No. 803 to the Constitution of 1901
303	313		Section 260.02 of the Constitution of Alabama of 2022 ,
304	314		requires an estimate of available revenue for the Education
305	315		Trust Fund which is to be certified by the Finance Director
306	316		and the Legislative Fiscal Officer prior to the third
307	317		legislative day of each regular session. If, however, the
308	318		average of the estimated available revenue is less than the
309	319		fiscal year appropriation cap calculated in subsection (b) or
310	320		the secondary spending limit , the Legislature shall
311		-	appropriate no more than the lesser amount of the average of
312		-	the estimated available revenue or the fiscal year
313		-	appropriation cap or secondary spending limit as required to
314		-	be determined by this section."
315		-	"§29-9-4
316		-	(a) There is hereby created in the State Treasury an
317		-	Education Trust Fund Budget Stabilization Fund and an
318		-	136
319		-	137
320		-	138
321		-	139
322		-	140
323	321		141
324	322		142
325	323		143
326	324		144
327	325		145
328	326		146
329	327		147
330	328		148
331	329		149
332	330		150
333	331		151
334	332		152
335	333		153
336	334		154
337	335		155
338	336		156
339	337		157
340	338		158
341	339		159
342	340		160
343	341		161
344		-	162 SB101 EnrolledSB101 Enrolled
	342	+	162
	343	+	163
	344	+	164
	345	+	165
	346	+	166
	347	+	167
	348	+	168 SB101 INTRODUCEDSB101 INTRODUCED
345	349		Page 7
	350	+	appropriate no more than the lesser amount of the average of
	351	+	the estimated available revenue or the fiscal year
	352	+	appropriation cap or secondary spending limit as required to
	353	+	be determined by this section."
	354	+	"§29-9-4
	355	+	(a) There is hereby created in the State Treasury an
	356	+	Education Trust Fund Budget Stabilization Fund and an
346	357		Education Trust Fund Advancement and Technology Fund. Any
347	358		monetary interest which accrues in the Education Trust Fund
348	359		Budget Stabilization Fund shall be retained in the fund from
349	360		year to year and shall be subject only to the provisions of
350	361		this chapter. If total revenues deposited into the Education
351	362		Trust Fund during the immediately preceding fiscal year exceed
352	363		the fiscal year appropriation cap for the immediately
353	364		preceding fiscal year, and total Education Trust Fund
354	365		appropriations for the immediately preceding fiscal year are
355	366		less than the fiscal year appropriation cap for the
356	367		immediately preceding fiscal year, the excess revenues shall
357	368		remain in the Education Trust Fund as nonrecurring revenue. On
358	369		or before May 31 of each fiscal year through the fiscal year
359	370		ending September 30, 2023 , if the total revenues deposited
360	371		into the Education Trust Fund during the immediately preceding
361	372		fiscal year exceed the fiscal year appropriation cap for the
362	373		immediately preceding fiscal year, and Education Trust Fund
363	374		appropriations for the immediately preceding fiscal year were
364	375		equal to the fiscal year appropriation cap, the excess
365	376		revenues shall be transferred to the Education Trust Fund
366	377		Rainy Day Account until the account has been repaid in full.
367		-	If the account has been repaid in full, any excess revenues
368		-	remaining shall be transferred to the Education Trust Fund
369		-	Budget Stabilization Fund and the Education Trust Fund
370		-	Advancement and Technology Fund created in this chapter. The
371		-	transfers to the Education Trust Fund Budget Stabilization
372		-	Fund and the Education Trust Fund Advancement and Technology
373		-	163
374		-	164
375		-	165
376		-	166
377		-	167
378		-	168
379	378		169
380	379		170
381	380		171
382	381		172
383	382		173
384	383		174
385	384		175
386	385		176
387	386		177
388	387		178
389	388		179
390	389		180
391	390		181
392	391		182
393	392		183
394	393		184
395	394		185
396	395		186
397	396		187
398	397		188
399		-	189 SB101 EnrolledSB101 Enrolled
	398	+	189
	399	+	190
	400	+	191
	401	+	192
	402	+	193
	403	+	194
	404	+	195
	405	+	196 SB101 INTRODUCEDSB101 INTRODUCED
400	406		Page 8
	407	+	If the account has been repaid in full, any excess revenues
	408	+	remaining shall be transferred to the Education Trust Fund
	409	+	Budget Stabilization Fund and the Education Trust Fund
	410	+	Advancement and Technology Fund created in this chapter. The
	411	+	transfers to the Education Trust Fund Budget Stabilization
	412	+	Fund and the Education Trust Fund Advancement and Technology
401	413		Fund shall be made annually as follows:
402	414		(1) Any excess revenues remaining for any fiscal year
403	415		shall be transferred to To the Education Trust Fund Budget
404	416		Stabilization Fund in an amount up to one percent of the
405	417		previous year's Education Trust Fund total appropriations
406	418		until the fund reaches seven and one-half percent of the
407	419		previous year's appropriations from the Education Trust Fund.
408	420		(2) Revenues a. Any excess revenues remaining after in
409	421		excess of those transferred in subdivision (1) shall be
410	422		transferred to the Education Trust Fund Advancement and
411	423		Technology Fund each year. Any amount of the available balance
412	424		in the Education Trust Fund Advancement and Technology Fund
413	425		may be available for appropriation only by and through an
414	426		independent supplemental appropriation bill for the following
415	427		nonrecurring expenses: repairs or deferred maintenance of
416	428		facilities for public education purposes in the state, capital
417	429		outlay, for classroom instructional support as provided in
418	430		Section 16-13-231(b)(2)c. and Section 16-13-231.3, for
419	431		insuring facilities, for transportation as provided in Section
420	432		16-13-233, for school security measures, and for the
421	433		acquisition or purchase of education technology and equipment,
422	434		or both. These funds, however, shall not be used as a pledge
423		-	for the issuance or payment of debt service. No funds shall be
424		-	appropriated in years when the balance of the Education Trust
425		-	Fund Advancement and Technology Fund at the end of the
426		-	previous fiscal year is less than ten million dollars
427		-	($10,000,000). Amounts in the Education Trust Fund Advancement
428		-	190
429		-	191
430		-	192
431		-	193
432		-	194
433		-	195
434		-	196
435	435		197
436	436		198
437	437		199
438	438		200
439	439		201
440	440		202
441	441		203
442	442		204
443	443		205
444	444		206
445	445		207
446	446		208
447	447		209
448	448		210
449	449		211
450	450		212
451	451		213
452	452		214
453	453		215
454		-	216 SB101 EnrolledSB101 Enrolled
	454	+	216
	455	+	217
	456	+	218
	457	+	219
	458	+	220
	459	+	221
	460	+	222
	461	+	223
	462	+	224 SB101 INTRODUCEDSB101 INTRODUCED
455	463		Page 9
	464	+	for the issuance or payment of debt service. No funds shall be
	465	+	appropriated in years when the balance of the Education Trust
	466	+	Fund Advancement and Technology Fund at the end of the
	467	+	previous fiscal year is less than ten million dollars
	468	+	($10,000,000). Amounts in the Education Trust Fund Advancement
456	469		and Technology Fund shall be budgeted and allotted in
457	470		accordance with Sections 41-4-80 through 41-4-96 and Sections
458	471		41-19-1 through 41-19-12, but shall not be limited by the
459	472		fiscal year appropriation cap.
460	473		(3)b. The annual appropriation of these funds from the
461	474		Education Trust Fund Advancement and Technology Fund shall be
462	475		divided between the public schools and institutions of higher
463	476		education in the state in accordance with the percentage
464	477		split, based on the fiscal year in which an appropriation is
465	478		made, between these two sectors of education as certified by
466	479		the Legislative Fiscal Officer at the end of the preceding
467	480		fiscal year. Public schools shall be interpreted to include
468	481		any public school in operation for the current fiscal year,
469	482		the Alabama School of Math and Science, the Alabama School of
470	483		Fine Arts, the Alabama School of Cyber Technology and
471	484		Engineering, the portion of the Alabama Institute for Deaf and
472	485		Blind providing appropriate elementary/secondary instruction,
473	486		and may include the Department of Youth Services School
474	487		District.
475	488		(b) There is hereby created within the State Treasury
476	489		the Educational Opportunities Reserve Fund into which monies
477	490		shall be deposited as provided in this chapter and as
478	491		appropriated by the Legislature. Any monetary interest that
479		-	accrues to the Educational Opportunities Reserve Fund shall be
480		-	retained in the fund from year to year and shall be subject
481		-	only to this chapter.
482		-	(c) On or before May 31 of each fiscal year beginning
483		-	217
484		-	218
485		-	219
486		-	220
487		-	221
488		-	222
489		-	223
490		-	224
491	492		225
492	493		226
493	494		227
494	495		228
495	496		229
496	497		230
497	498		231
498	499		232
499	500		233
500	501		234
501	502		235
502	503		236
503	504		237
504	505		238
505	506		239
506	507		240
507	508		241
508	509		242
509		-	243 SB101 EnrolledSB101 Enrolled
	510	+	243
	511	+	244
	512	+	245
	513	+	246
	514	+	247
	515	+	248
	516	+	249
	517	+	250
	518	+	251
	519	+	252 SB101 INTRODUCEDSB101 INTRODUCED
510	520		Page 10
	521	+	accrues to the Educational Opportunities Reserve Fund shall be
	522	+	retained in the fund from year to year and shall be subject
	523	+	only to this chapter.
	524	+	(c) On or before May 31 of each fiscal year beginning
511	525		with the fiscal year ending September 30, 2024, if the total
512	526		available revenues in the Education Trust Fund during the
513	527		immediately preceding fiscal year exceed Education Trust Fund
514	528		total appropriations for the immediately preceding fiscal
515	529		year, and there is an unpaid balance owed to the Education
516	530		Trust Fund Rainy Day Account, the excess revenues shall be
517	531		transferred to the Education Trust Fund Rainy Day Account
518	532		until the account has been repaid in full. If the account has
519	533		been repaid in full, any excess revenues remaining shall be
520	534		transferred to the Education Trust Fund Budget Stabilization
521	535		Fund, the Education Trust Fund Advancement and Technology
522	536		Fund, and the Educational Opportunities Reserve Fund created
523	537		in this chapter. The transfers to the Education Trust Fund
524	538		Budget Stabilization Fund, the Education Trust Fund
525	539		Advancement and Technology Fund, and the Educational
526	540		Opportunities Reserve Fund shall be made annually as follows:
527	541		(1) To the Education Trust Fund Budget Stabilization
528	542		Fund in an amount up to one percent of the previous year's
529	543		Education Trust Fund total appropriations until the fund
530	544		reaches 10 percent of the previous year's appropriations from
531	545		the Education Trust Fund.
532	546		(2)a. Fifty percent of the excess revenues remaining
533	547		after those transferred in subdivision (1) shall be
534	548		transferred to the Education Trust Fund Advancement and
535		-	Technology Fund each year, not to exceed one billion dollars
536		-	in any fiscal year. Any amount of the available balance in the
537		-	Education Trust Fund Advancement and Technology Fund may be
538		-	244
539		-	245
540		-	246
541		-	247
542		-	248
543		-	249
544		-	250
545		-	251
546		-	252
547	549		253
548	550		254
549	551		255
550	552		256
551	553		257
552	554		258
553	555		259
554	556		260
555	557		261
556	558		262
557	559		263
558	560		264
559	561		265
560	562		266
561	563		267
562	564		268
563	565		269
564		-	270 SB101 EnrolledSB101 Enrolled
	566	+	270
	567	+	271
	568	+	272
	569	+	273
	570	+	274
	571	+	275
	572	+	276
	573	+	277
	574	+	278
	575	+	279
	576	+	280 SB101 INTRODUCEDSB101 INTRODUCED
565	577		Page 11
	578	+	Technology Fund each year, not to exceed one billion dollars
	579	+	in any fiscal year. Any amount of the available balance in the
	580	+	Education Trust Fund Advancement and Technology Fund may be
566	581		available for appropriation only by and through an independent
567	582		supplemental appropriation bill for the following nonrecurring
568	583		expenses: repairs or deferred maintenance of facilities for
569	584		public education purposes in the state, capital outlay, for
570	585		classroom instructional support as provided in Section
571	586		16-13-231(b)(2)c. and Section 16-13-231.3, for insuring
572	587		facilities, for transportation as provided in Section
573	588		16-13-233, for school security measures, and for the
574	589		acquisition or purchase of education technology and equipment,
575	590		or both. These funds, however, shall not be used as a pledge
576	591		for the issuance or payment of debt service. No funds shall be
577	592		appropriated in years when the balance of the Education Trust
578	593		Fund Advancement and Technology Fund at the end of the
579	594		previous fiscal year is less than ten million dollars
580	595		($10,000,000). Amounts in the Education Trust Fund Advancement
581	596		and Technology Fund shall be budgeted and allotted in
582	597		accordance with Sections 41-4-80 through 41-4-96 and Sections
583	598		41-19-1 through 41-19-12, but shall not be limited by the
584	599		fiscal year appropriation cap.
585	600		b. The annual appropriation of funds from the Education
586	601		Trust Fund Advancement and Technology Fund shall be divided
587	602		between the public schools and institutions of higher
588	603		education in the state in accordance with the percentage
589	604		split, based on the fiscal year in which an appropriation is
590	605		made, between these two sectors of education as certified by
591		-	the Legislative Fiscal Officer at the end of the preceding
592		-	fiscal year. Public schools shall be interpreted to include
593		-	271
594		-	272
595		-	273
596		-	274
597		-	275
598		-	276
599		-	277
600		-	278
601		-	279
602		-	280
603	606		281
604	607		282
605	608		283
606	609		284
607	610		285
608	611		286
609	612		287
610	613		288
611	614		289
612	615		290
613	616		291
614	617		292
615	618		293
616	619		294
617	620		295
618	621		296
619		-	297 SB101 EnrolledSB101 Enrolled
	622	+	297
	623	+	298
	624	+	299
	625	+	300
	626	+	301
	627	+	302
	628	+	303
	629	+	304
	630	+	305
	631	+	306
	632	+	307
	633	+	308 SB101 INTRODUCEDSB101 INTRODUCED
620	634		Page 12
	635	+	the Legislative Fiscal Officer at the end of the preceding
	636	+	fiscal year. Public schools shall be interpreted to include
621	637		any public school in operation for the current fiscal year,
622	638		the Alabama School of Math and Science, the Alabama School of
623	639		Fine Arts, the Alabama School of Cyber Technology and
624	640		Engineering, the portion of the Alabama Institute for Deaf and
625	641		Blind providing appropriate elementary/secondary instruction,
626	642		and may include the Department of Youth Services School
627	643		District.
628	644		(3) a. Twenty percent of the excess revenues remaining
629	645		after those transferred in subdivision (1) shall be
630	646		transferred to the Educational Opportunities Reserve Fund.
631	647		Amounts in the Educational Opportunities Reserve Fund may be
632	648		withdrawn by and through an independent supplemental
633	649		appropriation bill to provide one-time funding for the
634		-	following purposes only: (1) to offset a reduction in revenues
635		-	to the Education Trust Fund that could negatively impact
636		-	funding for budgeted obligations from the Education Trust Fund
637		-	for the current fiscal year as certified by the Director of
638		-	Finance and the Legislative Fiscal Officer; (2) to provide
639		-	funding for unanticipated obligations, and to sustain required
640		-	programmatic increases for existing obligations paid from the
641		-	Education Trust Fund in the event of a change in economic
642		-	conditions; (3) to provide funding to maintain prior year
643		-	appropriation levels, if the computation of the fiscal year
644		-	appropriation cap or secondary spending limit is less than
645		-	Education Trust Fund base appropriations for the previous
646		-	fiscal year, not to exceed the difference between the two
647		-	figures; and (4) for start-up or transitional support for
648		-	298
649		-	299
650		-	300
651		-	301
652		-	302
653		-	303
654		-	304
655		-	305
656		-	306
657		-	307
658		-	308
	650	+	following purposes only: to offset a reduction in estimated
	651	+	revenues of at least 2 percent to the Education Trust Fund for
	652	+	the current fiscal year as certified by the Director of
	653	+	Finance and the Legislative Fiscal Officer, to provide funding
	654	+	for unanticipated obligations, and for start-up or
	655	+	transitional support for initiatives that provide access to
	656	+	enhanced educational opportunities to all public K-12 or
	657	+	higher education students in the state, or both. Amounts in
	658	+	the Educational Opportunities Reserve Fund shall not be
	659	+	appropriated for any of the following purposes: repairs or
	660	+	deferred maintenance for facilities, capital outlay, pay
	661	+	raises or bonuses for educational personnel or retirees, or to
	662	+	provide additional support or supplant existing funding for
659	663		309
660	664		310
661	665		311
662	666		312
663	667		313
664	668		314
665	669		315
666	670		316
667	671		317
668	672		318
669	673		319
670	674		320
671	675		321
672	676		322
673	677		323
674		-	324 SB101 EnrolledSB101 Enrolled
	678	+	324
	679	+	325
	680	+	326
	681	+	327
	682	+	328
	683	+	329
	684	+	330
	685	+	331
	686	+	332
	687	+	333
	688	+	334
	689	+	335
	690	+	336 SB101 INTRODUCEDSB101 INTRODUCED
675	691		Page 13
676		-	initiatives that provide access to enhanced educational
677		-	opportunities to all public K-12 or higher education students
678		-	in the state, or both. Amounts in the Educational
679		-	Opportunities Reserve Fund shall not be appropriated for any
680		-	of the following purposes: repairs or deferred maintenance for
681		-	facilities, capital outlay, pay raises or bonuses for
682		-	educational personnel or retirees, or to provide additional
683		-	support for ongoing expenditures other than as specified in
684		-	(2) above. Provided, however, funds may be appropriated to
685		-	maintain Foundation Program state funding in extraordinary
686		-	situations.
	692	+	ongoing expenditures.
687	693		b. No funds may be appropriated until the balance of
688	694		the Educational Opportunities Reserve Fund at the end of the
689	695		previous fiscal year equals or exceeds three hundred million
690	696		dollars ($300,000,000). Once this threshold is attained, any
691	697		amount of the available balance may be appropriated for the
692	698		purposes specified in this subsection. Amounts in the
693	699		Educational Opportunities Reserve Fund shall be budgeted and
694	700		allotted in accordance with Sections 41-4-80 through 41-4-96
695	701		and Sections 41-19-1 through 41-19-12.
696	702		(4) Any remaining excess revenues after the transfers
697	703		in subdivisions (1) through (3) shall remain in the Education
698	704		Trust Fund as nonrecurring revenue. "
699		-	"§29-9-5
700		-	(a) Except as provided in Section 29-9-3 and in
701		-	subdivision (b), amounts Amounts in the Education Trust Fund
702		-	Budget Stabilization Fund may be withdrawn only to prevent
703		-	325
704		-	326
705		-	327
706		-	328
707		-	329
708		-	330
709		-	331
710		-	332
711		-	333
712		-	334
713		-	335
714		-	336
	705	+	Section 2. Section 29-9-2.1, Code of Alabama 1975, is
	706	+	hereby repealed.
	707	+	Section 3. This act shall become effective on the first
	708	+	day of the third month following its passage and approval by
	709	+	the Governor, or its otherwise becoming law.
715	710		337
716	711		338
717	712		339
718	713		340
719	714		341
720	715		342
721	716		343
722	717		344
723	718		345
724	719		346
725	720		347
726	721		348
727	722		349
728	723		350
729		-	351 SB101 EnrolledSB101 Enrolled
730		-	Page 14
731		-	proration in the Education Trust Fund. The Governor must
732		-	certify to the state Comptroller and notify the Legislature
733		-	that proration would occur in the Education Trust Fund before
734		-	funds may be withdrawn to prevent proration. Following the
735		-	certification and notification by the Governor, withdrawals
736		-	may be made from the Education Trust Fund Budget Stabilization
737		-	Fund to prevent proration; however, the withdrawals shall be
738		-	limited to the amount of the anticipated proration and funds
739		-	allotted only to the extent necessary to avoid proration of
740		-	appropriations from the Education Trust Fund. Any funds
741		-	withdrawn from the Budget Stabilization Fund in excess of the
742		-	amount necessary to avoid proration shall be transferred back
743		-	to the Budget Stabilization Fund within 30 days after the end
744		-	of the fiscal year in which withdrawals are made.
745		-	(b) Amounts in the Education Trust Fund Budget
746		-	Stabilization Fund may be withdrawn upon certification by the
747		-	Governor that a natural disaster for which the Governor
748		-	declared a state of emergency caused damage to public schools
749		-	or institutions of higher education or both and funds are
750		-	needed to provide emergency temporary funding for repairs of
751		-	the damages. The Governor must certify to the state
752		-	Comptroller and notify the Legislature the amount of funds
753		-	needed for emergency repairs before funds may be withdrawn and
754		-	distributed to the impacted public school or institution of
755		-	higher education. In certifying the amount of funds needed for
756		-	emergency repairs, the Governor shall take into account any
757		-	emergency funding provided to the impacted public school or
	724	+	351
758	725		352
759	726		353
760	727		354
761		-	355
762		-	356
763		-	357
764		-	358
765		-	359
766		-	360
767		-	361
768		-	362
769		-	363
770		-	364
771		-	365
772		-	366
773		-	367
774		-	368
775		-	369
776		-	370
777		-	371
778		-	372
779		-	373
780		-	374
781		-	375
782		-	376
783		-	377
784		-	378 SB101 EnrolledSB101 Enrolled
785		-	Page 15
786		-	institution of higher education by an insurance provider,
787		-	including, but not limited to, the State Insurance Fund.
788		-	Following the certification and notification by the Governor,
789		-	withdrawals may be made from the Education Trust Fund Budget
790		-	Stabilization Fund; however, withdrawals shall be limited to
791		-	the amount necessary to provide emergency repairs and shall
792		-	not exceed a total of 10 percent of the current balance of the
793		-	fund, and at no time shall more than 10 percent of the total
794		-	cumulative amount of revenues distributed to the Budget
795		-	Stabilization Fund be outstanding. Any funds withdrawn from
796		-	the Budget Stabilization Fund pursuant to this subsection must
797		-	be repaid by the public school or institution of higher
798		-	education receiving the funds as expeditiously as possible,
799		-	but no later than the conclusion of the second fiscal year of
800		-	the state following withdrawal. The repayment shall be made
801		-	from the first insurance settlement proceeds received by the
802		-	public school or institution of higher education; provided,
803		-	however, that if the insurance settlement proceeds received
804		-	are less than the emergency repair funding received by the
805		-	public school or institution of higher education, then the
806		-	remaining repayment shall be made from any other funds
807		-	available to the public school or institution of higher
808		-	education. Any public school or institution of higher
809		-	education that receives emergency repair funding pursuant to
810		-	this subsection and fails to repay the amount received within
811		-	the two-year period shall be ineligible to receive any
812		-	additional emergency repair funding pursuant to this
813		-	379
814		-	380
815		-	381
816		-	382
817		-	383
818		-	384
819		-	385
820		-	386
821		-	387
822		-	388
823		-	389
824		-	390
825		-	391
826		-	392
827		-	393
828		-	394
829		-	395
830		-	396
831		-	397
832		-	398
833		-	399
834		-	400
835		-	401
836		-	402
837		-	403
838		-	404
839		-	405 SB101 EnrolledSB101 Enrolled
840		-	Page 16
841		-	subsection or any appropriations from the Education Trust Fund
842		-	Advancement and Technology Fund until such time as the funds
843		-	are repaid. Any amount not repaid within the two-year period
844		-	shall accrue interest at the rate of 8 percent annually until
845		-	the total amount, including accrued interest, is fully
846		-	repaid."
847		-	Section 2. Section 29-9-2.1, Code of Alabama 1975, is
848		-	hereby repealed.
849		-	Section 3. This act shall become effective on the first
850		-	day of the third month following its passage and approval by
851		-	the Governor, or its otherwise becoming law.
852		-	406
853		-	407
854		-	408
855		-	409
856		-	410
857		-	411
858		-	412
859		-	413
860		-	414
861		-	415
862		-	416 SB101 EnrolledSB101 Enrolled
863		-	Page 17
864		-	________________________________________________
865		-	President and Presiding Officer of the Senate
866		-	________________________________________________
867		-	Speaker of the House of Representatives
868		-	SB101
869		-	Senate 04-May-23
870		-	I hereby certify that the within Act originated in and passed
871		-	the Senate, as amended.
872		-	Senate 25-May-23
873		-	I hereby certify that the within Act originated in and passed
874		-	the Senate, as amended by Conference Committee Report.
875		-	Patrick Harris,
876		-	Secretary.
877		-	House of Representatives
878		-	Amended and passed: 25-May-23
879		-	House of Representatives
880		-	Passed 25-May-23, as amended by Conference Committee Report.
881		-	By: Senator Orr
882		-	417
883		-	418
884		-	419
885		-	420
886		-	421
887		-	422
888		-	423
889		-	424
890		-	425
891		-	426
892		-	427
893		-	428
894		-	429
895		-	430
896		-	431
897		-	432
898		-	433
899		-	434
900		-	435
901		-	436
902		-	437
903		-	438
904		-	439
905		-	440
906		-	441
907		-	442
908		-	443
909		-	444
910		-	445
911		-	446
912		-	447
913		-	448
914		-	449
915		-	450
916		-	451
917		-	452