HB346 By Representative Gaston RFD Ways and Means General Fund Rd 1 31-MAR-15

SYNOPSIS: This bill would create the Alabama Transportation Infrastructure Bank for the purpose of selecting and assisting in the financing of major qualified transportation projects by providing loans and other financial assistance to certain government entities for constructing and improving highways and transportation facilities necessary for public purposes, including economic development.

This bill would specify the membership, powers, duties, terms, sources for capitalization, and liability of the bank, as well as the procedures for the bank to provide loans and other financial assistance to government entities for qualified projects.

This bill may redistribute a portion of revenues produced by one cent ($.01) a gallon of the tax on gasoline pursuant to Act 2011-565 and may redistribute revenues collected pursuant to Section 40-12-248, Code of Alabama 1975.

This bill would authorize the bank to issue bonds for certain qualified projects under certain conditions.

This bill would also require an annual audit of the books and accounts of the bank and would require the bank to submit an annual report to the Governor and the Legislature.

A BILL TO BE ENTITLED AN ACT

To establish the Alabama Transportation Infrastructure Bank; to specify the membership, powers, duties, terms, sources for capitalization, and liability of the bank; to provide for the redistribution of a portion of gasoline tax revenues and motor vehicle registration fee revenues; to provide procedures for the issuance of loans and other financial assistance to certain government entities for certain qualified projects; to provide authority for the bank to issue certain bonds under certain conditions; to require the bank to report annually to the Governor and the Legislature.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:

Section 1. This act shall be cited as the Alabama Transportation Infrastructure Bank Act.

Section 2. For the purposes of this act, the following words shall have the following meanings:

(1) BANK. The Alabama Transportation Infrastructure Bank.

(2) BOARD. The board of directors of the bank.

(3) BONDS. Includes bonds, notes, or other evidence of indebtedness except as otherwise provided in this act.

(4) DEPARTMENT or DEPARTMENT OF TRANSPORTATION. The Alabama Department of Transportation.

(5) ELIGIBLE COST. As applied to a qualified project to be financed from the federal highway account, the costs that are permitted under applicable federal laws, requirements, procedures, and guidelines in regard to establishing, operating, and providing assistance from the bank. As applied to a qualified project to be financed from the state highway account, these costs include the costs of preliminary engineering, traffic, and revenue studies; environmental studies; right-of-way acquisition; legal and financial services associated with the development of the qualified project; construction; construction management; facilities; and other costs necessary for the qualified project.

(6) ELIGIBLE PROJECT. Highways, roads, bridges and mass transit capital projects which provide public benefits by either enhancing mobility and safety, promoting economic development, or increasing the quality of life and general welfare of the public.

(7) FINANCING AGREEMENT. Any agreement entered into between the bank and a qualified borrower pertaining to a loan or other financial assistance. This agreement may contain, in addition to financial terms, provisions relating to the regulation and supervision of a qualified project, or other provisions as the board may determine. The term includes, without limitation, a loan agreement, trust indenture, security agreement, reimbursement agreement, guarantee agreement, bond or note, ordinance or resolution, or similar instrument.

(8) GOVERNMENT UNIT. A municipal corporation, county, or another public body, instrumentality, or agency of the state including combinations of two or more of these entities acting jointly to construct, own, or operate a qualified project, and any other state or local authority, board, commission, agency, department, or other political subdivision created by the Legislature or pursuant to the Constitution of Alabama of 1901, and laws of this state which may construct, own, or operate a qualified project.

(9) LOAN. An obligation subject to repayment which is provided by the bank to a qualified borrower for all or a part of the eligible cost of a qualified project. A loan may be disbursed in anticipation of reimbursement for or direct payment of eligible costs of a qualified project.

(10) LOAN OBLIGATION. A bond, note, or other evidence of an obligation issued by a qualified borrower.

(11) OTHER FINANCIAL ASSISTANCE. Includes, but is not limited to, grants, contributions, credit enhancement, capital or debt reserves for bonds or debt instrument financing, interest rate subsidies, provision of letters of credit and credit instruments, provision of bond or other debt financing instrument security, and other lawful forms of financing and methods of leveraging funds that are approved by the board, and in the case of federal funds, as allowed by federal law.

(12) PROJECT REVENUES. All rates, rents, fees, assessments, charges, and other receipts derived or to be derived by a qualified borrower from a qualified project or made available from a special source, and, as provided in the applicable financing agreement, derived from any system of which the qualified project is a part of, from any other revenue producing facility under the ownership or control of the qualified borrower including, without limitation, proceeds of grants, gifts, appropriations, and loans, including the proceeds of loans made by the bank, investment earnings, reserves for capital and current expenses, proceeds of insurance or condemnation and proceeds from the sale or other disposition of property and from any other special source as may be provided by the qualified borrower.

(13) QUALIFIED BORROWER. Any government unit which is authorized to construct, operate, or own a qualified project.

(14) QUALIFIED PROJECT. An eligible project the total cost of which exceeds five million dollars ($5,000,000) which has been selected by the bank to receive a loan or other financial assistance from the bank to defray an eligible cost.

(15) REVENUES. When used with respect to the bank, any receipts, fees, income, or other payments received or to be received by the bank including, without limitation, receipts and other payments deposited in the bank and investment earnings on its funds and accounts.

Section 3. (a) There is created a public corporation to be known as the Alabama Transportation Infrastructure Bank.

(b) The bank is governed by a board of directors as provided in this act.

(c) The corporate purpose of the bank is to select and assist in financing major qualified projects by providing loans and other financial assistance to government units for constructing and improving highway and transportation facilities necessary for public purposes including economic development.

(d) The bank shall establish and maintain at least the following accounts:

(1) State highway account.

(2) Federal highway account.

Section 4. (a) The board of directors is the governing board of the bank. The board shall consist of seven voting members as follows:

(1) The Director of the Department of Transportation, ex officio.

(2) Four members appointed by the Governor, one of whom shall be designated as chair.

(3) One member of the House of Representatives appointed by the Speaker of the House of Representatives.

(4) One member of the Senate appointed by the President Pro Tempore of the Senate.

(b) Members appointed by the Governor hold office concurrently with the Governor and until their successors are appointed and qualified. Members appointed by the Speaker of the House of Representatives and the President Pro Tempore of the Senate shall serve during the member's term of office during which the member was appointed and until the member's successor is appointed and qualified. The vice chair shall be elected by the board. Any person appointed to fill a vacancy shall be appointed in the same manner as the original appointee for the remainder of the unexpired term.

(c) Any four members of the board of directors shall constitute a quorum for the transaction of business.

(d) All appointing authorities shall coordinate their appointments so that diversity of gender, race, and geographical areas is reflective of the makeup of this state.

Section 5. (a) In addition to the powers contained in other provisions of this act, the bank has all power necessary, useful, or appropriate to fund, operate, and administer the bank, and to perform its other functions including, but not limited to, the following power to:

(1) Have perpetual succession.

(2) Adopt, promulgate, amend, and repeal bylaws, not inconsistent with this act for the administration of the bank's affairs and the implementation of its functions including the right of the board to select qualifying projects and to provide loans and other financial assistance.

(3) Sue and be sued in its own name.

(4) Have a seal and alter it at pleasure, although the failure to affix the seal does not affect the validity of an instrument executed on behalf of the bank.

(5) Make loans to qualified borrowers to finance the eligible costs of qualified projects and to acquire, hold, and sell loan obligations at prices and in a manner as the board determines advisable.

(6) Provide qualified borrowers with other financial assistance necessary to defray eligible costs of a qualified project.

(7) Enter into contracts, arrangements, and agreements with qualified borrowers and other persons and execute and deliver all financing agreements and other instruments necessary or convenient to the exercise of the powers granted in this act.

(8) Enter into agreements with a department, agency, or instrumentality of the United States or of this state or another state for the purpose of planning and providing for the financing of qualified projects.

(9) Establish the following:

a. Policies and procedures for the making and administering of loans and other financial assistance.

b. Fiscal controls and accounting procedures to ensure proper accounting and reporting by the bank, and government units.

(10) Acquire by purchase, lease, donation, or other lawful means and sell, convey, pledge, lease, exchange, transfer, and dispose of all or any part of its properties and assets of every kind and character or any interest in it to further the public purpose of the bank.

(11) Procure insurance, guarantees, letters of credit, and other forms of collateral or security or credit support from any public entity, including any department, agency, or instrumentality of the United States or this state, for the payment of any bonds issued by it, including the power to pay premiums or fees on any insurance, guarantees, letters of credit, and other forms of collateral or security or credit support.

(12) Collect or authorize the trustee under any trust indenture securing any bonds to collect amounts due under any loan obligations owned by it, including taking the action required to obtain payment of any sums in default.

(13) Unless restricted under any agreement with holders of bonds, consent to any modification with respect to the rate of interest, time, and payment of any installment of principal or interest, or any other term of any loan obligations owned by it.

(14) Borrow money through the issuance of bonds and other forms of indebtedness as provided in this act.

(15) Expend funds to obtain accounting, management, legal, financial consulting, and other professional services necessary to the operations of the bank.

(16) Expend funds credited to the bank as the board determines necessary for the costs of administering the operations of the bank.

(17) Establish advisory committees as the board determines appropriate, which may include individuals from the private sector with banking and financial expertise.

(18) Procure insurance against losses in connection with its property, assets, or activities including insurance against liability for its acts or the acts of its employees or agents or to establish cash reserves to enable it to act as a self-insurer against any and all such losses.

(19) Collect fees and charges in connection with its loans or other financial assistance.

(20) Apply for, receive, and accept from any source, aid, grants, and contributions of money, property, labor, or other things of value to be used to carry out the purposes of this act subject to the conditions upon which the aid, grants, or contributions are made.

(21) Enter into contracts or agreements for the servicing and processing of financial agreements.

(22) To appoint and employ attorneys, accountants, financial advisors, underwriters, trustees, depositories, registrars, fiscal agents, and other advisors, agents, and independent contractors as may be necessary or desirable.

(23) Do all other things necessary or convenient to carry out the purposes and powers conferred by this act.

(b) The bank is not authorized or empowered to be or to constitute a bank or trust company within the jurisdiction or under the control of the state or an agency of it or the Comptroller of the Currency or the Treasury Department of the United States, or a bank, banker, or dealer in securities within the meaning of, or subject to the provisions of, any securities, securities exchange, or securities dealers' law of the United States or this state.

As used in this act, the bank is not a "bank" within the meaning of Title 5, Code of Alabama 1975, including without limitation Section 5-1A-2 and Section 5-1A-3, and is not a "bank" within the meaning of the Alabama Constitution, Sections 247, 248 and 253. Under this act, the bank does not accept deposits from the public, its loans are only with qualified borrowers as defined in Section 2(13), and the bank does not, and is not authorized to, transact banking business with the public.

(c) The bank is subject to the provisions of the Administrative Procedure Act.

Section 6. (a) The following sources may be used to capitalize the bank and for the bank to carry out its purposes:

(1) An annual contribution, as determined by the Director of the Department of Transportation and approved by the Governor, of an amount not to exceed revenues produced by one cent ($.01) a gallon of the tax on gasoline imposed pursuant to Act 2011-565, 2011 Regular Session. Any funds contributed pursuant to this subdivision shall be derived from the gasoline tax proceeds remaining in the Public Road and Bridge Fund after distributions of the tax to the cities and counties. Any contributions which are to provide funds for debt service on bonds issued by the bank shall continue until the bonds have been fully repaid.

(2) An annual contribution, as determined by the Director of the Department of Transportation and approved by the Governor, of an amount of the revenues collected pursuant to Section 40-12-248, Code of Alabama 1975, not to exceed the balance remaining in the Public Road and Bridge Fund pursuant to Section 40-12-270(d)(3), Code of Alabama 1975, after the distributions required pursuant to Sections 40-12-270(d)(1) and 40-12-270(d)(2), Code of Alabama 1975. Any contributions which are to provide funds for debt service on bonds issued by the bank shall continue until the bonds have been fully repaid.

(3) Federal funds made available to the state.

(4) Federal funds made available to the state for the bank.

(5) Contributions and donations from government units, and any other source as may become available to the bank including, but not limited to, appropriations from the Legislature.

(6) All monies paid or credited to the bank, by contract or otherwise, payments of principal and interest on loans or other financial assistance made from the bank, and interest earnings which may accrue from the investment or reinvestment of the bank's monies.

(7) Proceeds from the issuance of bonds as provided in this act.

(8) Other lawful sources as determined appropriate by the board.

(9) Loans from the department to the bank to be repaid from revenues committed to the bank for the following year.

Section 7. (a) Earnings on balances in the federal highway account, as created by this act, must be credited and invested according to federal law. The bank may establish accounts and subaccounts within the state highway account and the federal highway account as considered desirable to effectuate the purposes of this act, or to meet the requirements of any state or federal programs. All accounts shall be held in trust by the State Treasurer.

(b) For necessary and convenient administration of the bank, the board shall direct the State Treasurer to establish federal and state accounts and subaccounts within the bank necessary to meet any applicable federal law requirements or as the bank shall determine necessary or desirable in order to implement this act.

(c) The bank shall comply with all applicable federal laws and regulations prohibiting the commingling of certain federal funds deposited in the bank.

Section 8. (a) The bank may provide loans and other financial assistance to a government unit to pay for all or part of the eligible cost of a qualified project. The term of the loan or other financial assistance must not exceed the useful life of the project. The bank may require the government unit to enter into a financing agreement in connection with its loan obligation or other financial assistance. The board shall determine the form and content of loan applications, financing agreements, and loan obligations including the term and rate or rates of interest on a financing agreement. The terms and conditions of a loan or other financial assistance from the federal highway account shall comply with applicable federal requirements.

(b) The board shall determine which projects are eligible projects and then select from among the eligible projects those qualified to receive from the bank a loan or other financial assistance. Preference shall be given to eligible projects that have the most local financial support. The board shall establish by rule or regulation a minimum amount of local financial support which will be required in order to qualify for loans or grants from the bank. Any such minimum requirement shall be established as a percentage of the total project costs and shall apply to all eligible projects. In selecting qualified projects, the board shall consider the projected feasibility of the project and the amount and degree of risk to be assumed by the bank. The board also may consider, but shall not be limited to, the following criteria in making its determination that an eligible project is a qualified project:

(1) The local support of the project, expressed by resolutions by the governing bodies in the areas in which the project will be located, and the financial or in-kind contributions to the project.

(2) Maximum economic benefit, enhancement of mobility, enhancement of public safety, acceleration of project completion, and enhancement of transportation services.

(3) The ability of the applicant to repay a loan according to the terms and conditions established pursuant to this act, consideration of which may include, at the option of the bank board, the existence of current investment grade rating on existing debt of the applicant secured by the same revenues to be pledged to secure repayment under the loan repayment agreement.

(4) The financial or in-kind contributions to the project.

(5) Greater weighting in recommending priorities for eligible projects to areas of the state experiencing high unemployment.

(6) Whether the governing bodies of the county or the incorporated municipality in which the project is to be located provides to the bank a resolution which makes a finding that the project is essential to economic development in the political subdivisions, or the bank receives a certificate from the Alabama Department of Commerce that the project is essential to economic development in the state, or both, at the option of the board.

Section 9. (a) Qualified borrowers may obtain loans or other financial assistance from the bank through financing agreements. Qualified borrowers entering into financing agreements and issuing loan obligations to the bank may perform any acts, take any action, adopt any proceedings, and make and carry out any contracts or agreements with the bank as may be agreed to by the bank and any qualified borrower for the carrying out the purposes of this act.

(b) In addition to the authorizations contained in this act, all other statutes or provisions permitting government units to borrow money and issue obligations may be utilized by any government unit in obtaining a loan or other financial assistance from the bank to the extent determined necessary or useful by the government unit in connection with any financing agreement and the issuance, securing, or sale of loan obligations to the bank.

(c) A qualified borrower may receive, apply, pledge, assign, and grant a security interest in project revenues, and, in the case of a government unit, its project revenues, revenues derived from a special source or ad valorem taxes, to secure its obligations as provided in this act, and may fix, revise, charge, and collect fees, rates, rents, assessments, and other charges of general or special application for the operation or services of a qualified project, the system of which it is a part, and any other revenue producing facilities from which the qualified borrower derives project revenues, to meet its obligations under a financing agreement or to provide for the construction and improving of a qualified project.

Section 10. The bank is performing an essential governmental function in the exercise of the powers conferred upon it and is not required to pay taxes or assessments upon property or upon its operations or the income from them, or taxes or assessments upon property or loan obligations acquired or used by the bank or upon the income from them.

Section 11. (a) If a government unit fails to collect and remit in full all amounts due to the bank on the date these amounts are due under the terms of any note or other obligation of the government unit, the bank shall notify the State Treasurer who shall withhold all or a portion of the funds of the state and all funds administered by the state, its agencies, boards, and instrumentalities allotted or appropriated to the government unit and apply an amount necessary to the payment of the amount due.

(b) Nothing contained in this section mandates the withholding of funds allocated to a government unit the withholding of which would violate contracts to which the state is a party, the requirements of federal law imposed on the state, or judgments of a court binding on the state.

Section 12. Neither the board nor any officer, employee, or committee of the bank acting on behalf of it, while acting within the scope of authority granted by this act, is subject to any liability resulting from carrying out any of the powers given in this act, unless the officer or employee acted in an unreasonable or reckless manner.

Section 13. Notice, proceeding, or publication, except those required in this act, are not necessary to the performance of any power authorized in this act nor is any act of the bank subject to any referendum.

Section 14. All money of the bank, except as authorized by law or provided in this act, shall be deposited with and invested by the State Treasurer. Funds of the bank not needed for immediate use or disbursement may be invested by the State Treasurer in obligations or securities which are declared to be legal obligations by general law. All federal funds shall be invested as required by applicable federal law.

Section 15. Following the close of each state fiscal year, the bank shall submit an annual report of its activities for the preceding year to the Governor and to the Legislature. The bank also shall submit an annual report to the appropriate federal agency in accordance with requirements of any federal program. An independent certified public accountant shall perform an audit of the books and accounts of the bank at least once in each state fiscal year.

Section 16. This act, being for the welfare of this state and its inhabitants, shall be liberally construed to effect the purposes specified in this act. However, nothing in this act shall be construed as affecting any proceeding, notice, or approval required by law for the issuance by a government unit of the loan obligations, instruments, or security for loan obligations.

Section 17. (a) Whenever it shall become necessary that monies be raised for qualified projects, including monies to be used to refund any bonds then outstanding, the bank may issue bonds as provided in this act.

(b) The bank may pledge any of its revenue or funds to the payment of its bonds, subject only to any prior agreements with the holders of particular bonds which may have pledged specific money or revenue. Bonds may be secured by a pledge of any loan obligation owned by the bank, any grant, contribution, or guaranty from the United States, the state, or any corporation, association, institution, or person, any other property or assets of the bank, or a pledge of any money, income, or revenue of the bank from any source.

Section 18. Bonds issued by the bank shall not constitute a debt or a pledge of the full faith and credit of this state, or any of its political subdivisions other than the bank, but are payable solely from the revenue, money, or property of the bank as provided in this act. The bonds issued do not constitute an indebtedness of the state within the meaning of any constitutional or statutory limitation. No member of the bank or any person executing bonds of the bank is liable personally on the bonds by reason of their issuance or execution. Each bond issued under this act shall contain on its face a statement to the effect of the following:

(1) Neither the state, any of its political subdivisions, nor the bank is obligated to pay the principal of or interest on the bond or other costs incident to the bond except from the revenue, money, or property of the bank pledged.

(2) Neither the full faith and credit nor the taxing power of the state, or any of its political subdivisions, is pledged to the payment of the principal of or interest on the bond.

(3) The bank does not have taxing power.

Section 19. (a) The bonds of the bank must be authorized by a resolution of the bank.

(b) The bonds shall bear the date and mature at the time which the resolution provides, except that no bond may mature more than 40 years from its date of issue.

(c) The bonds may be in the denominations, be executed in the manner, be payable in the medium of payment, be payable at the place and at the time, and be subject to redemption or repurchase and contain other provisions determined by the bank prior to their issuance.

(d) The bonds may bear interest payable at a time and at a rate as determined by the bank, including the determination by agents designated by the bank under guidelines established by it.

(e) Bonds may be sold by the bank at public or private sale at the price it determines and approves.

(f) The State Treasurer shall issue the bonds of the bank not later than 60 days upon the resolution of the bank authorizing the issuance of the bonds.

Section 20. (a) Bonds may be secured by a trust indenture between the bank and a corporate trustee, which may be the State Treasurer or any bank having trust powers or any trust company, designated by the State Treasurer doing business in this state. A trust indenture may contain provisions for protecting and enforcing the rights and remedies of the bondholders which are reasonable and proper, including covenants setting forth the duties of the bank in relation to the exercise of its powers and the custody, safekeeping, and application of its money. The bank may provide by the trust indenture for the payment of the proceeds of the bonds and all or any part of the revenues of the bank to the trustee under the trust indenture or to some other depository, and for the method of its disbursement with safeguards and restrictions prescribed by it. All expenses incurred in performing the obligations of the bank under the trust indenture may be treated as part of its operating expenses.

(b) Any resolution or trust indenture pursuant to which bonds are issued may contain provisions which are part of the contract with the holders of the bonds and which include the following:

(1) Pledging all or any part of the revenue of the bank to secure the payment of the bonds.

(2) Pledging all or any part of the assets of the bank including loan obligations owned by it to secure the payment of the bonds.

(3) The use and disposition of the gross income from, and payment of the principal of, and interest on loan obligations owned by the bank.

(4) The establishment of reserves, sinking funds, and other funds and accounts, and their regulation and disposition.

(5) Limitations on the purposes to which the proceeds from the sale of the bonds may be applied, and limitations on pledging the proceeds to secure the payment of the bonds.

(6) Limitations on the issuance of additional bonds, the terms upon which additional bonds may be issued and secured, and the refunding of outstanding or other bonds.

(7) The procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds, if any, the holders of which must consent to, and the manner in which any consent may be given.

(8) Limitations on the amount of money to be expended by the bank for its operating expenses.

(9) Vesting in a trustee property, rights, powers, and duties as the bank may determine, limiting or abrogating the right of bondholders to appoint a trustee, and limiting the rights, powers, and duties of the trustee.

(10) Defining the acts or omissions which constitute a default, the obligations or duties of the bank to the holders of the bonds, and the rights and remedies of the holders of the bonds in the event of default, including as a matter of right the appointment of a receiver, and all other rights generally available to creditors.

(11) Requiring the bank or the trustee under the trust indenture to take any and all other action to obtain payment of all sums required to eliminate any default as to any principal of and interest on loan obligations owned by the bank or held by a trustee, which may be authorized by the laws of this state.

(12) Any other matter relating to the terms of the bonds or the security or protection of the holders of the bonds which may be considered appropriate.

Section 21. (a) Any pledge made by the bank is valid and binding from the time the pledge is made. The revenue, money, or property pledged and received by the bank is immediately subject to the lien of the pledge without any physical delivery or further act. The lien of any pledge is valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the bank, irrespective of whether the parties have notice of the pledge.

(b) No recording or filing of the resolution authorizing the issuance of bonds, the trust indenture securing the bonds, or any other instrument including filings under the Uniform Commercial Code is necessary to create or perfect any pledge or security interest granted by the bank to secure any bonds.

Section 22. The bank, subject to agreements with bondholders as may then exist, may purchase outstanding bonds of the bank with any available funds, at any reasonable price. If the bonds are then redeemable, the price shall not exceed the redemption price then applicable plus accrued interest to the next interest payment date.

Section 23. Bonds of the bank shall be in a form and shall be executed in a manner prescribed by the bank.

Section 24. If any of the members or officers of the bank cease to be members before the delivery of any bonds signed by them, their signatures or authorized facsimile signatures are nevertheless valid and sufficient for all purposes as if they had remained in office until the delivery of the bonds.

Section 25. Subsequent amendments to this act may not limit the rights vested in the bank with respect to any agreements made with, or remedies available to, the holders of bonds issued under this act before the enactment of the amendments until the bonds, with all premiums and interest on them, and all costs and expenses in connection with any proceeding by or on behalf of the holders, are fully met and discharged.

Section 26. Any bonds issued by the bank, the transfer of bonds, and the income from them, are free from taxation and assessment of every kind by the state and by the local governments and other political subdivisions of the state.

Section 27. (a) The bonds issued by the bank are legal investments in which all public officers or public bodies of the state, its political subdivisions, all municipalities and political subdivisions, all insurance companies and associations and other persons carrying on insurance business, all banks, bankers, banking associations, trust companies, savings banks, savings associations, including savings and loan association investment companies, and other persons carrying on a banking business, all administrators, guardians, executors, trustees, and other fiduciaries, and all other persons who are now or may be authorized in the future to invest in bonds or other obligations of the state, may invest funds in their control or belonging to them.

(b) The bonds of the bank are also securities which may be deposited with and received by all public officers and bodies of the state or any agency or political subdivision of the state and all municipalities and public corporations for any purpose for which the deposit of bonds or other obligations of the state is now or may later be required by law.

Section 28. Except as otherwise prohibited by Federal law, all contracts funded with the revenue or bond proceeds which are authorized pursuant to this act shall be performed by a workforce which consists of only legal residents of the State of Alabama.

Section 29. This act shall become effective on the first day of the third month following its passage and approval by the Governor, or its otherwise becoming law.

Transportation Department

Transportation Infrastructure Bank

Highways, Roads, and Bridges

Counties

Municipalities

Banks and Banking

Bonds

Popular Names