Alabama 2023 Regular Session

Alabama Senate Bill SB27 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~SB27ENROLLED~~
	1	+	SB27INTRODUCED
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3		-	ARFCQS-3
	3	+	ARFCQS-1
4	4		By Senator Melson
5	5		RFD: Agriculture, Conservation, and Forestry
6	6		First Read: 07-Mar-23
7	7		PFD: 01-Mar-23
8		-	2023 Regular Session
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14		-	6 SB27 EnrolledSB27 Enrolled
	12	+	5 ARFCQS-1 01/18/2023 FC (L) ma 2023-77
15	13		Page 1
16		-	Enrolled, An Act,
17		-	SYNOPSIS: This bill would further provide for
18		-	the powers of the authority.
19		-	This bill would also exempt certain agricultural
20		-	authorities from municipal ordinances or regulations
21		-	without the consent of the authority.
	14	+	SYNOPSIS:
	15	+	Under existing law, a county may establish an
	16	+	agriculture authority to construct and operate
	17	+	facilities to promote agriculture businesses,
	18	+	operations, commodities, workforce development, and
	19	+	economic development in the county.
	20	+	This bill would authorize the board of directors
	21	+	of an authority to appoint former members of the board
	22	+	as directors emeritus to serve as goodwill ambassadors
	23	+	of the authority.
22	24		A BILL
23	25		TO BE ENACTED
24	26		AN ACT
25	27		Relating to agriculture authorities; to amend Section
26	28		11-20-71, Code of Alabama 1975, to authorize the board of
27	29		directors of an authority to appoint former members of the
28	30		board as directors emeritus to serve as goodwill ambassadors
29		-	of the board; to amend Section 11-20-73, Code of Alabama 1975,
30		-	to further provide for the powers of the authority; and to
31		-	amend Section 11-20-80, Code of Alabama 1975, to exempt
32		-	certain agriculture authorities from municipal ordinances or
33		-	regulations without the consent of the authority.
	31	+	of the board.
34	32		BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
35		-	Section 1. ~~Sections~~ 11-20-71, ~~11-20-73~~, ~~and 11-20-80,~~
36		-	~~Code of Alabama 1975, are~~ amended to read as follows:
	33	+	Section 1. Section 11-20-71, Code of Alabama 1975, is
	34	+	amended to read as follows:
37	35		"§11-20-71
38	36		(a) The board of directors of an agriculture authority
39		-	shall be as specified in the articles and in accordance with
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	66	+	shall be as specified in the articles and in accordance with
69	67		Section 11-20-70.
70	68		(b) Each agriculture authority shall have a chair, vice
71	69		chair, secretary, and treasurer to be elected by the board of
72	70		directors. The offices of secretary and treasurer may, but
73	71		need not, be held by the same person. A majority of the
74	72		directors shall constitute a quorum for the transaction of
75	73		business. The officers and directors shall serve for the terms
76	74		provided for in the articles. A director may not draw any
77	75		salary for any service rendered or for any duty performed as
78	76		director. The duties of the chair, vice chair, secretary, and
79	77		treasurer shall be those as are customarily performed by such
80	78		officers and as may be prescribed by the board of directors
81	79		from time to time.
82	80		(c) All directors shall serve until their successors
83	81		are duly appointed or until they cease to be qualified.
84	82		Vacancies on the board shall be filled as provided for in the
85	83		articles, but any individual appointed to fill a vacancy shall
86	84		serve only for the unexpired portion of the term. In the event
87	85		any uncertainty arises as to the terms of office of the
88	86		directors, the county commission or individual authorized to
89	87		appoint the directors may clarify the term by adoption of an
90	88		appropriate resolution or by execution of an appropriate
91	89		certificate, and the term of office shall be as so clarified.
92	90		(d) All proceedings of the board of directors of an
93	91		agriculture authority shall be reduced to writing by the
94	92		secretary of the authority and shall be signed by at least two
95	93		directors present at the proceedings. Copies of the
96		-	proceedings, when certified by the secretary under the seal of
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	123	+	proceedings, when certified by the secretary under the seal of
126	124		the agriculture authority, shall be received in all courts as
127	125		prima facie evidence of the matters and things therein
128	126		certified.
129	127		(e) Directors of an agriculture authority must be
130	128		residents and qualified electors of the county within the
131	129		authorized operational area of the authority. If any director
132	130		ceases to be a resident of the county, he or she shall cease
133	131		to be a director, and the position shall remain vacant until a
134	132		successor is appointed in accordance with the articles and
135	133		this article.
136	134		(f) A director of an agriculture authority may not have
137	135		an interest, directly or indirectly, in any contract of work,
138	136		material, or services, or the profits therefrom, to be
139	137		furnished or performed for the authority under this article if
140	138		the director has, directly or indirectly, more than a 10
141	139		percent interest in any business, firm, or corporation, or
142	140		profits thereof, furnishing or providing work, materials, or
143	141		services.
144	142		(g) The board of directors may appoint former members
145	143		of the board to serve as directors emeritus. Directors
146	144		emeritus shall not have voting rights on the board or
147	145		otherwise directly participate in meetings of the board.
148	146		Directors emeritus shall receive no compensation for their
149	147		service, but may be granted benefits and may attend events of
150	148		the authority as guests of the authority at the discretion of
151	149		the board. The directors emeritus shall serve as goodwill
152	150		ambassadors for the authority and may perform duties at the
153		-	request of the authority. Directors emeritus shall be subject
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	180	+	request of the authority. Directors emeritus shall be suject
183	181		to subsections (e) and (f). "
184		-	"§11-20-73
185		-	(a) An agriculture authority shall have the following
186		-	powers, which it may exercise in the agriculture authority's
187		-	authorized operational area:
188		-	(1) To have succession by its corporate name until
189		-	dissolved as provided in this article.
190		-	(2) To adopt bylaws making provisions for its actions
191		-	not inconsistent with this article.
192		-	(3) To institute and defend legal proceedings in any
193		-	court of competent jurisdiction and proper venue; provided,
194		-	however, that the board may not be sued in any trial court
195		-	other than the courts of the county of incorporation;
196		-	provided, further, that the officers, directors, agents, and
197		-	employees of an agriculture authority may not be sued for
198		-	their actions on behalf of the authority except for actions
199		-	that are unreasonable or known by the person to be unlawful or
200		-	are performed with reckless disregard for the lawfulness of
201		-	such actions.
202		-	(4) To plan for construction and development of an
203		-	agriculture center within the operational area of the
204		-	agriculture authority on property owned by the authority.
205		-	Construction and development may include, without limitation,
206		-	any or all of the following:
207		-	a. Buildings to hold offices for use by the federal
208		-	government, the state or any agency of the state, the county,
209		-	or one or more municipalities within the county.
210		-	b. Buildings to house or accommodate public facilities
	182	+	Section 2. This act shall become effective immediately
	183	+	following its passage and approval by the Governor, or its
	184	+	otherwise becoming law.
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240		-	of the federal government, the state or any agency of the
241		-	state, the county, or one or more municipalities within the
242		-	county.
243		-	c. Streets, boulevards, walkways, parkways, parks, or
244		-	other places of recreation.
245		-	d. Monuments, statues, or other structures beautifying
246		-	the agriculture center.
247		-	e. Community houses or meeting houses or auditoriums.
248		-	f. Arenas, convention halls, or convention sites sports
249		-	facilities, stadiums, hotels or other facilities for use as a
250		-	transient guest housing facility, multifamily housing,
251		-	dormitory housing, food courts or other food venue facilities,
252		-	any facilities which provide for or support any public or
253		-	private educational institution, and any other facilities
254		-	related to or incidental with the foregoing .
255		-	g. Music halls, art museums, art exhibits, or other
256		-	exhibits for the advancement of the humanities and cultural
257		-	development.
258		-	h. Any other buildings, structures, facilities, and
259		-	other improvements that the board of directors of the
260		-	agriculture authority determines are appropriate or useful or
261		-	expedient to the authority's purposes from time to time. The
262		-	determination of the authority board of directors shall be
263		-	conclusive.
264		-	(5) To acquire property and rights and interests in
265		-	property by gift, grant, lease, or purchase.
266		-	(6) To accept or receive gifts, bequests, and devises.
267		-	(7) To have and use a corporate seal and alter the seal
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297		-	at its pleasure.
298		-	(8) To appoint officers, agents, employees, and
299		-	attorneys and to fix their compensation.
300		-	(9) To hire professionals and enter into contracts for
301		-	their services in designing and supervising the construction
302		-	of any building, agriculture center, auditorium, arena,
303		-	convention hall, music hall, art museum, place of recreation,
304		-	art exhibit, office building, or other structure that it
305		-	desires to construct.
306		-	(10) To make and enter into contracts and to execute
307		-	all instruments necessary or convenient to lease or purchase
308		-	and own real or personal property to be used for the
309		-	furtherance of the purposes for the accomplishment of which
310		-	the authority is created.
311		-	(11) To plan for programs and exhibits in the
312		-	agriculture center for the advancement of the agricultural,
313		-	cultural, and workforce development interests of the citizens
314		-	of the county and of the municipalities thereof.
315		-	(12) To purchase or lease real property and rights or
316		-	easements therein necessary or convenient for its purposes and
317		-	to use the same so long as its existence shall continue.
318		-	(13) To accept pledges of revenues or grants of money
319		-	from any person or governmental entity.
320		-	(14) To sell and lease its property to any person or
321		-	governmental entity.
322		-	(15) To enter into financing agreements with federal or
323		-	state agencies that may require the authority to mortgage its
324		-	property.
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354		-	(16) To plan for programs and exhibits in the
355		-	agriculture center for the advancement of agricultural and
356		-	workforce development interests in the county.
357		-	(17) To enter into long-term contracts or agreements
358		-	for sewer service with any Class 5 municipality within three
359		-	miles of the authority or a utility board of the Class 5
360		-	municipality.
361		-	(18) To accept lease payments, loan repayments, or
362		-	other compensation to or for the authority or other public
363		-	person.
364		-	(19) To invest in bank deposits, U.S. Treasury bills,
365		-	projects, instruments, real, personal, or mixed property, or
366		-	any other investments as the board of directors of the
367		-	authority may from time to time determine to be appropriate
368		-	and convenient to accomplish any purpose for which an
369		-	agriculture authority is organized, including works of
370		-	internal improvement, interests in private or corporate
371		-	enterprises, loans of money or credit to individuals,
372		-	associations, or corporations; and to lend the authority's
373		-	credit, grant public money or things of value in aid of or to
374		-	any individual, association, or corporation whatsoever, or
375		-	become a stockholder in any such corporation, association, or
376		-	company by issuing bonds or otherwise even though they may be
377		-	in violation of Section 93 or Section 94 of the Constitution
378		-	of Alabama of 1901 2022 if done by the state, a county, city,
379		-	town, or other subdivision of the state, notwithstanding the
380		-	fact that any such investment or action may involve the
381		-	expenditure or appropriation of funds received from a public
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411		-	person. In particular, but not by way of limitation, an
412		-	authority may invest its funds, from whatever source, in the
413		-	stock, bonds, debentures, notes, or other securities issued by
414		-	any person locating a project in the authority's operational
415		-	area and may enter into contracts or options, including
416		-	contracts or options for the conveyance, sale, or lease of
417		-	property, to any such person and make direct grants of money,
418		-	property, or services for the purpose of inducing the person
419		-	to locate a project in the authority's operational area.
420		-	(20) To enter into deeds, mortgages, leases, loan
421		-	agreements, or other agreements with any person.
422		-	(21) To acquire real property for the purpose of
423		-	establishing one or more agriculture centers; to improve
424		-	agriculture center sites, whether owned by the authority or by
425		-	any other person, including the improvement of the centers or
426		-	sites by the construction of roads, curbing, gutters,
427		-	drainage, sewerage, utilities, railroad spurs, docks, harbors,
428		-	ports, grading, and the like; to construct, for its own
429		-	account or the account of others, improvements thereon,
430		-	including any project, for the purpose of conveying, leasing,
431		-	or selling the same to any person, including the power to
432		-	convey, lease, or sell the same for its own account or to
433		-	construct the same as an inducement for any person to locate
434		-	and operate a project in the agriculture center or operational
435		-	area, even though the person may not have been identified at
436		-	the time that the improvement may be constructed.
437		-	(22) To sell, exchange, donate, and convey any or all
438		-	of its properties whenever its board of directors finds the
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468		-	action to be in furtherance of the purposes for which the
469		-	authority was organized.
470		-	(23) To issue its bonds for the purpose of carrying out
471		-	any of its powers and to apply proceeds from the sale of its
472		-	bonds, whether heretofore or hereafter issued, not only for
473		-	payment of interest thereon prior to and during the
474		-	construction and equipment of any buildings, structures,
475		-	facilities, or other improvements being financed thereby, but
476		-	also for payment of interest thereon.
477		-	(24) To mortgage and pledge any or all of its
478		-	properties both real and personal or any part or parts
479		-	thereof, as security for the payment of the principal of and
480		-	the interest on any bonds so issued and any agreements made in
481		-	connection therewith, whether then owned or thereafter
482		-	acquired, and to pledge the revenues and receipts therefrom or
483		-	from any thereof.
484		-	(25) To enter into contracts, agreements, options,
485		-	leases, loan agreements, deeds, and other instruments, and to
486		-	take other actions as may be necessary or convenient to
487		-	accomplish any purpose for which an authority is organized or
488		-	to exercise any power expressly granted hereunder.
489		-	(b) Contracts of an agriculture authority shall be
490		-	executed in the name of the authority by the chair and
491		-	attested by the secretary of the authority. The board may
492		-	provide by resolution for a different form for the execution
493		-	of a contract by an officer or agent other than the chair and
494		-	secretary. A contract, irrespective of its form and of the
495		-	persons executing the contract, shall not be binding unless
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525		-	the contract is authorized or ratified by the board.
526		-	(c) An agriculture authority may deposit its funds not
527		-	needed to meet expenses or obligations in any bank or building
528		-	and loan association, provided the deposit is fully insured by
529		-	a federal corporation or agency of the federal government
530		-	insuring deposits in financial institutions.
531		-	(d) In exercising the powers enumerated in this
532		-	section, all mortgages, contracts, judgments, investments,
533		-	loans, debts, and other obligations of any sort of the
534		-	authority due to any third party shall be recovered and
535		-	enforced only against the authority unless the county
536		-	commission approving the formation of the authority
537		-	specifically agrees to accept the obligation by a separate
538		-	affirmative vote of a majority of the members of the county
539		-	commission.
540		-	(e) In addition to all other powers at any time
541		-	conferred on it by this section or otherwise by law, an
542		-	authority shall have the following powers together with all
543		-	powers incidental thereto or necessary to the discharge
544		-	thereof in corporate form:
545		-	(1) To participate as a shareholder in a corporation;
546		-	as a joint venturer in a joint venture, whether said joint
547		-	venture is to be memorialized contractually or through the
548		-	formation of one or more separate business entities; as a
549		-	general or limited partner in a limited partnership or a
550		-	general partnership; as a member in a nonprofit corporation,
551		-	limited liability company; or as a member of any other lawful
552		-	form of business organization, which may be involved in the
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582		-	development or operational activities of any buildings,
583		-	structures, facilities, and other improvements that the board
584		-	of directors of the authority determines are appropriate or
585		-	useful or expedient to the authority's purposes from time to
586		-	time. In connection with the foregoing, an authority shall
587		-	have the power to elect or appoint an individual or
588		-	individuals to a governing body, enter into contracts or other
589		-	agreements with other parties for the development, operation,
590		-	design, marketing, maintenance, and use of any facilities upon
591		-	the terms as the board of directors of the authority
592		-	determines are appropriate or useful or expedient to the
593		-	authority's purposes. Any determination by the authority shall
594		-	be conclusive.
595		-	(2) To make or arrange for loans, contributions to
596		-	capital, and other debt and equity financing for the
597		-	activities of any corporation of which the authority is a
598		-	shareholder; any joint venture in which the authority is a
599		-	joint venture; any limited partnership or general partnership
600		-	of which the authority is a general or limited partnership;
601		-	any nonprofit corporation in which the authority is a member
602		-	of any other lawful form of business organization of which the
603		-	authority is a member; and to guarantee loans, issue bonds, or
604		-	incur other forms of indebtedness on behalf of the
605		-	corporation, joint venture, partnership, nonprofit
606		-	corporation, or other business entity, for such purposes. An
607		-	authority shall also have the power to loan funds which shall
608		-	include seller financing arrangements whereby the authority is
609		-	a seller to other governmental entities or other business
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639		-	entities whether for profit or nonprofit and whether
640		-	affiliated or non-affiliated with the authority, upon the
641		-	terms as the authority shall determine appropriate, useful, or
642		-	expedient for the authority's purposes and the determination
643		-	by the authority shall be conclusive.
644		-	(3) To create, establish, acquire, operate, or support
645		-	subsidiaries and affiliates, either for profit or nonprofit,
646		-	to assist the authority in fulfilling its purposes.
647		-	(4) To create, establish, or support nonaffiliated for
648		-	profit or nonprofit corporations or other lawful business
649		-	organizations that operate and have as their purposes the
650		-	furtherance of the authority's purposes.
651		-	(5) Without limiting the generality of the preceding
652		-	subdivisions, to accomplish and facilitate the creation,
653		-	establishment, acquisition, development, operation, or support
654		-	of any subsidiary, affiliate, nonaffiliated corporation, or
655		-	other lawful business organization by means of loans of funds,
656		-	leases of real or personal property, gifts and grants of
657		-	funds, or guarantees of indebtedness of the subsidiaries,
658		-	affiliates, and non-affiliated corporations.
659		-	(6) In addition to any other authority to enter into
660		-	contracts, an authority may enter into contracts, agreements,
661		-	or understandings with any other public and private parties
662		-	including, but not limited to, the following:
663		-	a. Design-build, design-build-operate, design-build-own
664		-	-operate, design-build-own-operate-maintain, design-build-
665		-	finance-operate-maintain, or other similar arrangements or
666		-	agreements pursuant to which the design, right-of-way
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696		-	acquisition, relocation of structures or utilities,
697		-	construction, financing, ownership, management, maintenance,
698		-	and operation, or any combination thereof, of a project is
699		-	accomplished by or on behalf of the authority.
700		-	b. Leases, licenses, franchises, concessions, or other
701		-	agreements for the development, operation, management, or
702		-	undertaking of all or any part of a project of or on behalf of
703		-	the authority.
704		-	(7) Notwithstanding any provision of law to the
705		-	contrary, proposals under this subsection may be evaluated and
706		-	awarded by the authority based on qualifications of
707		-	participants or best value, or both, as evaluated by
708		-	procedures of the authority and taking into consideration the
709		-	best interest of the authority. Evaluation criteria for a
710		-	contract procured pursuant to the preceding sentence shall be
711		-	set forth in the request for proposal for the contract. The
712		-	contract may also be awarded through any existing procurement
713		-	authority, proposals, or other means of procurement otherwise
714		-	available to the authority. "
715		-	"§11-20-80
716		-	(a) An agriculture authority and all property in which
717		-	it may have any ownership, leasehold, or other interest,
718		-	direct or indirect, is exempt from all municipal planning
719		-	boards and municipal planning board requirements and all
720		-	municipal zoning ordinances and laws. This exemption shall not
721		-	apply to property owned by a private entity or private
722		-	entities in which an agriculture authority has no ownership,
723		-	leasehold, or other interest, direct or indirect.
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753		-	(b) Any agriculture authority incorporated prior to the
754		-	effective date of the act adding this subsection shall be
755		-	exempt from any ordinance or regulation of any municipality
756		-	unless the board of the authority consents to the application
757		-	of the ordinance or regulation to the authority. "
758		-	Section 2. This act shall become effective immediately
759		-	following its passage and approval by the Governor, or its
760		-	otherwise becoming law.
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769		-	Page 15
770		-	________________________________________________
771		-	President and Presiding Officer of the Senate
772		-	________________________________________________
773		-	Speaker of the House of Representatives
774		-	SB27
775		-	Senate 23-Mar-23
776		-	I hereby certify that the within Act originated in and passed
777		-	the Senate, as amended.
778		-	Patrick Harris,
779		-	Secretary.
780		-	House of Representatives
781		-	Amended and passed: 09-May-23
782		-	Senate concurred in House amendment 11-May-23
783		-	By: Senator Melson
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