HB490 By Representative Clouse RFD Ways and Means General Fund Rd 1 14-APR-15

SYNOPSIS: Under Act 2013-6, The People's Trust Act, the Legislature is required to repay all amounts transferred from the Alabama Trust Fund to the State General Fund pursuant to Amendment 856 to the Constitution of Alabama of 1901 by not later than September 30, 2026 based on a schedule of minimum cumulative amounts that must be repaid at the end of each fiscal year between the fiscal year ending September 30, 2014 and the fiscal year ending September 30, 2026.

This bill would revise the repayment schedule for the People's Trust Act to provide the repayment by not later than September 30, 2027.

A BILL TO BE ENTITLED AN ACT

To amend Section 29-10-1, Code of Alabama 1975, regarding The People's Trust Act, to revise the repayment schedule for funds transferred from the Alabama Trust Fund to provide for the repayment by not later than September 30, 2027.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:Section 1. Section 29-10-1, Code of Alabama 1975, is hereby amended to read as follows:

§29-10-1.

"(a) This section shall be known and may be cited as The People's Trust Act.

"(b)(1) Notwithstanding any other provision of law to the contrary, the Legislature shall provide for the repayment of all funds transferred from the Alabama Trust Fund to the State General Fund pursuant to Amendment 856 to the Constitution of Alabama of 1901. All funds borrowed pursuant to this amendment shall be repaid to the Alabama Trust Fund by not later than September 30, 2026 2027.

"(2) The total cumulative amount repaid pursuant to this section shall not be less than the following amounts on the following dates:

"a. September 30, 2014: $5,000,000;

"b. September 30, 2015: $15,000,000;

"c. September 30, 2016 2017: $30,000,000;

"d. September 30, 2017 2018: $50,000,000;

"e. September 30, 2018 2019: $75,000,000;

"f. September 30, 2019 2020: $105,000,000;

"g. September 30, 2020 2021: $140,000,000;

"h. September 30, 2021 2022: $180,000,000;

"i. September 30, 2022 2023: $225,000,000;

"j. September 30, 2023 2024: $275,000,000;

"k. September 30, 2024 2025: $330,000,000;

"l. September 30, 2025 2026: $390,000,000; and

"m. September 30, 2026 2027: $437,390,829.

"(c) Beginning with the 2015 Regular Session and continuing every regular session thereafter until all funds are repaid, the Legislative Fiscal Office shall, by the fifth legislative day, report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate, and the Chairs of the House Ways and Means and Senate Finance and Taxation – General Fund Committees the total cumulative amount repaid pursuant to this section as of the end of the then-preceding fiscal year.

"(d) If for any year the Legislature fails to make such appropriations as are necessary to guarantee that the total cumulative amount repaid to the Alabama Trust Fund pursuant to this section is equal to or greater than the amount set forth in subdivision (2) of subsection (b) for that year, then there is hereby appropriated from the General Fund such amount as is necessary to make up the difference between the total cumulative amount repaid and the amount set forth in subdivision (2) of subsection (b) for that year. In the event that an appropriation is required under this subsection such amount shall be absolute and shall not be reduced pursuant to proration should such be necessary in any of the years referenced in subdivision (2) of subsection (b)."

Section 2. All laws or parts of laws which conflict with this act are repealed.