Alabama House Bill HB581

Alabama 2025 Regular Session

• Introduced: 4/17/25
• Refer: 4/17/25
• Report Pass: 4/22/25
• Engrossed: 4/29/25
• Refer: 4/29/25
• Report Pass: 5/1/25
• Report Pass: 5/12/25
• Enrolled: 5/15/25
• Passed: 5/22/25

Caption

Morgan County, distribution of county's TVA in-lieu-of-taxes payments further provided for

Impact

The legislation is expected to have a significant impact on how TVA payments are used within Morgan County. By allocating specific percentages of the payments to a Legislative Delegation Fund, the bill allows for funds to be directly utilized for local economic development and emergency services. The legislation also repeals several outdated sections concerning TVA distributions, modernizing the fiscal management of these funds and potentially enhancing accountability through annual audits.

Summary

House Bill 581 is focused on amending the distribution structure of the Tennessee Valley Authority (TVA) in-lieu-of-taxes payments specifically for Morgan County. By changing Section 45-52-161.02 of the Code of Alabama 1975, the bill seeks to streamline the allocation of these payments to support local needs more effectively. The act establishes a dedicated fund for the Morgan County Legislative Delegation, enabling better management of resources allocated for legislative purposes, including operational costs and grants for public purposes as determined by the delegation.

Sentiment

The general sentiment around HB 581 appears to be positive, with bipartisan support reflected in the voting results—28 yeas and 0 nays during the recent motion to read and pass the bill as amended. Supporters argue that this amendment will enable more focused economic development efforts in Morgan County. However, there may be underlying concerns from some community members regarding the centralization of funding control and whether it fully addresses the diverse needs of local governments.

Contention

While the bill has garnered support, there could be contentions regarding the adequacy of allocations to specific local services versus broader economic development goals. The potential for future conflicts may arise if local entities feel their funding needs are not sufficiently met under the new distribution model. Furthermore, the emphasis on oversight from the legislative delegation could lead to debates on how effectively these funds address immediate community concerns versus long-term project funding.