SB180

ENGROSSED

By Senators Dial and Allen

A BILL TO BE ENTITLED AN ACT

To establish the Alabama Transportation Safety Fund for the receipt of designated revenues to be utilized for the maintenance, improvement, replacement, and construction of state, county, and municipal roads and bridges within the state; to authorize monies in the fund to be expended for the payment for road or bridge projects or as matching funds for any federally-funded road or bridge projects; to restrict the use of monies in the fund; to provide for the establishment of the Alabama Transportation Rehabilitation and Improvement Program (ATRIP) Advisory Committee and to provide that certain funds would be expended only for county projects authorized by the committee; and to require public announcement of new projects and periodic reporting on ongoing projects.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:

Section 1. As used in this act, the following words have the following meanings:

(1) DEPARTMENT. The Department of Transportation.

(2) FUND. The Alabama Transportation Safety Fund.

Section 2. There is hereby created the Alabama Transportation Safety Fund in the State Treasury. All proceeds from the revenues designated to the fund less the cost of collection authorized by law shall be deposited into the fund to be expended only as provided in this act. The provisions of this act shall not be superseded, amended, altered, violated, or overridden by any provision of the state general fund appropriation act or any other annual or supplemental appropriation act, administrative rule, inter-agency transfer, or executive order or directive. Proceeds deposited into the fund shall be distributed as follows:

(1) The first thirty-two million dollars ($32,000,000) of the proceeds paid into the fund annually that is derived from an excise tax levied on diesel fuel and designated as a revenue source for the fund shall be set aside and allocated no later than the end of the first quarter in each fiscal year for use on county infrastructure projects. If the excise tax levied on diesel fuel and designated as a revenue source for the fund is not sufficient to produce thirty-two million dollars ($32,000,000) of proceeds, other proceeds paid into the fund shall be allocated to ensure a total of thirty-two million ($32,000,000) of proceeds is set aside and allocated annually for use on county infrastructure projects. If the provisions for the revenue sources designated to the fund include factors for growth in the rate of tax levied and the implementation of these factors for growth results in an increase of at least one cent per gallon of both an excise tax levied on gasoline and an excise tax levied on diesel fuel that are designated as revenue sources to the fund, an additional thirty-two million dollars ($32,000,000) of proceeds paid into the fund each year shall be set aside and allocated for use on county infrastructure projects. The funds allocated in this subsection shall be expended only for projects authorized pursuant to procedures developed and adopted by the Alabama Transportation Rehabilitation and Improvement Program (ATRIP) Advisory Committee as established in Section 6. Following the repayment of loan or debt commitments related to any tax exempt debt issued in accordance with Section 6, the thirty-two million dollars ($32,000,000) of the proceeds to be paid pursuant to this subsection shall either be used for an additional issue of tax exempt debt or split between the counties equally. All county infrastructure projects authorized pursuant to this subdivision shall be let to contract rather than be performed by county forces and shall be subject to the reporting requirements in Section 4.

(2) Five hundred thousand dollars ($500,000) shall be distributed annually to each county commission of the state. This allocation shall be in lieu of the established distribution of approximately five hundred thirty-three thousand dollars ($533,000) in federal funds being distributed annually to each county of the state by the Department of Transportation prior to the effective date of this act. However, the department may continue to allocate federal funds to county projects at its discretion and, if required by federal law, shall also allocate such future federal revenues to future projects on bridges and roads under the maintenance and control of the county commissions of Alabama. All funds distributed pursuant to this subdivision shall be used only for county infrastructure projects. All county infrastructure projects authorized pursuant to this subdivision shall be let to contract by each county rather than be performed by county forces and shall be subject to the provisions of Section 4. The provisions of this subsection shall only take effect at such time as a funding mechanism for the fund also takes effect.

(3) 65.9 percent of the remainder of the proceeds after the allocation in subdivisions (1) and (2) shall be allocated and appropriated to the department as the ALDOT share of funds to be used as prescribed in Section 3.

(4) 34.1 percent of the remainder of the proceeds after the allocation in subdivisions (1) and (2) shall be allocated and appropriated as the local share of funds to be used as prescribed in Section 4. 45.45 percent of the local share shall be allocated equally among the 67 counties of the state and the remaining 55.55 percent of the local share shall be allocated among the 67 counties of the state on the basis of the ratio of the population of each county to the total population of the state according to the then next preceding federal decennial census. Ten percent of the amount paid to each county shall be distributed by the county commission among the municipalities in the county on the basis of the ratio of the population of each municipality to the total population of all municipalities in the applicable county according to the then next preceding federal decennial census. The allocation provided for in this subsection shall be made on or prior to the tenth day of each month with respect to receipts designated to the fund during the preceding month.

Section 3. (a) The monies allocated to the department from the fund shall at all times be segregated and kept separate from other federal or state road and bridge funds allocated to the department. Monies from the fund shall only be expended for the maintenance, improvement, replacement, and construction of roads and bridges within the state, including the payment of any debt associated with a road or bridge project or as matching funds for any federally-funded road or bridge projects. The department shall not use monies from the fund for any of the following purposes except in accordance with generally accepted accounting principles for job cost accounting or federal cost allocation regulations:

(1) Salaries, benefits, or any other form of compensation for state or contract employees.

(2) The purchase, lease, or maintenance of equipment.

(3) The maintenance or construction of public buildings or other structures that are not roads or bridges.

(b) The funds allocated to the department shall be audited by the Examiners of Public Accounts in the same manner as all other department funds.

(c) On or before October 1 of each year following the creation of the fund, the department shall publicly announce the project or projects which are projected to be funded with the proceeds from the fund during the upcoming fiscal year, and the current list of projects shall be listed on the department's website at all times. The department's website shall also include each of the following:

(1) A list of current bid offerings, openings, and awards for each project to be funded in whole or in part with revenues from the fund.

(2) Quarterly progress reports on each ongoing project funded in whole or in part with revenues from the fund, including, but not limited to, costs, anticipated completion dates, and any other relevant information regarding a project.

(d) In addition to the reporting requirements set out in subsection (c), no later than the first day of the regular session of the Alabama Legislature in each year following the creation of the fund, the department shall submit an annual report detailing all expenditures from the fund during the previous fiscal year to each member of the Legislature.

Section 4. (a) Except for monies allocated pursuant to subdivisions (1) and (2) of Section 2, the monies paid to counties from the fund shall be deposited into a separate fund maintained by the county and expended only for one or more of the following:

(1) The maintenance, improvement, replacement, and construction of county-maintained roads and bridges.

(2) As matching funds for federal road or bridge projects.

(3) The payment of any debt associated with a road or bridge project.

(4) With the consent of the municipality, for the maintenance, improvement, or replacement of municipally-maintained roads and bridges.

(5) For a joint road or bridge project with one or more municipalities in the county pursuant to any agreement executed under the authority of state law.

(b) The county shall not use any monies from the fund for any of the following purposes except in accordance with generally accepted accounting principles for job cost accounting or federal cost allocation regulations:

(1) Salaries, benefits, or any other form of compensation for county or contract employees or for county officials.

(2) The purchase, lease, or maintenance of equipment.

(3) The maintenance or construction of public buildings or other structures that are not roads or bridges.

(c) All fund records shall be audited by the Examiners of Public Accounts in the same manner as all other county funds.

(d) Any county project utilizing monies from the fund for road or bridge maintenance, improvement, replacement, or construction on roads or bridges with less than 2,500 average daily traffic shall be designed in a manner consistent with the standards for low volume roads as established in the County Road Design Policy for Low Volume Roads adopted by the department. All projects for roads and bridges which have greater than 2,500 average daily traffic shall be designed in a manner consistent with the most current edition of the State Department of Transportation Standards and Specifications for Roadway Constructions.

(e) At the first meeting in October of each year following the creation of the fund, the county commission of each county shall adopt an annual Transportation Safety Fund Plan for the current fiscal year, which plan shall be approved by affirmative vote of a majority of the members of the county commission. The plan shall include only projects authorized in subsection (a). The plan shall be based upon an estimate of the revenues anticipated from the fund during the fiscal year. The county commission shall consider the needs of each district in the county in establishing its annual plan, and the annual plan shall not be altered once adopted at the first meeting in October. Once adopted, the annual plan shall at all times be posted in conspicuous places at the county courthouse, the county commission office, the county highway department, and any other places deemed appropriate by the county commission. Additionally, the plan shall be posted on the county's website, if available.

(f) At the first meeting in January of each year following the creation of the fund, the county engineer or other person designated by the county commission shall present the county commission with an annual written report detailing expenditures made from the fund during the previous fiscal year, which report shall include the status of each project included in the previous fiscal year's Alabama Transportation Safety Fund Plan. The report shall be entered into the minutes of the county commission meeting and shall be made available to the public for inspection, including posting on the county's website, if available.

Section 5. (a) The monies distributed to a municipality from the fund shall be deposited in a separate fund maintained by the municipality and expended only for one or more of the following:

(1) The maintenance, improvement, replacement, and construction of roads and bridges within a municipality's jurisdictional limits.

(2) As matching funds for federal road or bridge projects.

(3) The payment of any debt associated with a road or bridge project.

(4) With the consent of the county, for the maintenance, improvement, or replacement of county-maintained roads and bridges within the municipality's jurisdictional limits.

(5) For a joint road or bridge project with the county pursuant to any agreement executed under the authority of state law.

(b) The municipality shall not use monies from the fund for any of the following purposes except in accordance with generally accepted accounting principles for job cost accounting or federal cost allocation regulations:

(1) Salaries, benefits, or any other form of compensation for municipal or contract employees or municipal officials.

(2) The purchase, lease, or maintenance of equipment.

(3) The maintenance or construction of public buildings or other structures that are not roads or bridges.

(c) All monies allocated from the fund shall be audited by the Examiners of Public Accounts in the same manner as all other municipal funds.

(d) Any municipal project utilizing monies from the fund for road or bridge maintenance, improvement, replacement, or construction on roads or bridges shall be designed in a manner consistent with the standards adopted by the department.

(e) At the first meeting in October of each year following the creation of the fund, the municipal governing body receiving funds shall adopt an annual Municipal Transportation Safety Fund Plan for the current fiscal year, which plan shall be approved by affirmative vote of a majority of the members of the municipal governing body. The plan shall include only projects authorized in subsection (a). The plan shall be based upon an estimate of the revenues anticipated from the fund during the fiscal year. The municipal governing body shall consider the needs of each district in the municipality in establishing its annual plan and the annual plan shall not be altered once adopted at the first meeting in October. Once adopted, the annual plan shall at all times be posted in conspicuous places at the municipal hall, the mayor's office, the municipal highway department, and any other places deemed appropriate by the municipal governing body. Additionally, the plan shall be posted on the municipality's website, if available.

(f) At the first meeting in January of each year following the creation of the fund, the city engineer or other person designated by the municipal governing body shall present the municipal governing body with an annual written report detailing expenditures made from the fund during the previous fiscal year, which report shall include the status of each project included in the previous fiscal year's Alabama Transportation Safety Fund Plan. The report shall be entered into the minutes of the municipal governing body meeting and shall be made available to the public for inspection, including posting on the municipality's website, if available.

Section 6. (a) There is hereby created the Alabama Transportation Rehabilitation and Improvement Program (ATRIP) Committee. All members of the ATRIP Committee shall be appointed within 30 days after the effective date of this act and shall serve until a successor is named. Members of the ATRIP Committee shall consist of:

(1) The Director of the State Department of Transportation who shall serve as chair of the ATRIP Committee.

(2) The Lieutenant Governor or his or her designee.

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

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

(5) One member appointed by the Association of County Commissions of Alabama.

(6) One member appointed by the Alabama League of Municipalities.

(7) One member appointed by the Business Council of Alabama.

(8) One member appointed by the Alabama Farmers Federation.

(9) Three members appointed by the Governor.

(b) The ATRIP Committee is authorized to enter into an agreement with any funding authority or bank that is authorized to issue tax exempt debt for infrastructure purposes in order to pledge the annual revenue proceeds allocated in subdivision (1) of Section 2 as payment for any loan or debt indenture. If the amount of annual revenue proceeds allocated in subdivision (1) of Section 2 is thirty-two million dollars ($32,000,000) annually, the ATRIP Committee is authorized to pledge thirty-two million dollars ($32,000,000) of annual revenue proceeds as payment for any loan or debt indenture not to exceed three hundred million dollars ($300,000,000) of loan or debt commitments outstanding at any time. If the amount of annual revenue proceeds allocated in subdivision (1) of Section 2 is increased to sixty-four million dollars ($64,000,000) annually, the ATRIP Committee is authorized to pledge sixty-four million dollars ($64,000,000) of annual revenue proceeds as payment for any loan or debt indenture not to exceed six hundred million dollars ($600,000,000) of loan or debt commitments outstanding at any time. Within 60 days after the effective date of this act, the ATRIP Committee shall convene to develop and adopt procedures for the pledge of any revenue proceeds allocated in subdivision (1) of Section 2 and the selection and authorization of projects to be funded from the revenue proceeds or loan or debt proceeds, including a procedure that any project selected and authorized to be funded from the revenue proceeds or loan or debt proceeds shall be subject to subsection (d) of Section 4. The procedures shall ensure that the initial allocation of two million five hundred thousand dollars ($2,500,000) per county commission shall be utilized to replace county bridges, to the extent any exists, which meet all of the following criteria: (1) Are posted for traffic below the maximum legal weight limit; (2) have a sufficiency rating of 50 or less on the then current ALDOT bridge inventory; and (3) have an average daily traffic count of 200 or more vehicles. In addition, the policies for the awarding projects above and beyond the two million five hundred thousand dollars ($2,500,000) per county commission shall also be developed with an emphasis on the impact posted bridges have on the school bus detours and the economic growth and stability of this state. If the revenue proceeds allocated in subdivision (1) of Section 2 are pledged to secure loan or debt commitments within the amounts allowed, the procedures developed and adopted for the selection and authorization of projects to be funded with the loan or debt proceeds shall include provisions to ensure that each county commission of the state shall have projects authorized totaling at least two million five hundred thousand dollars ($2,500,000). After the ATRIP Committee develops and adopts procedures for the pledge of any revenue proceeds and the selection and authorization of projects to be funded from the revenue proceeds or loan or debt proceeds, a copy of the procedures shall be distributed to each of the 67 counties of the state and shall be posted on the Department of Transportation website.

Section 7. The provisions of this act shall automatically terminate two years after the effective date of this act if no revenue is created.

Section 8. This act shall become effective immediately following its passage and approval by the Governor, or its otherwise becoming law.

Transportation Department

Highways, Roads, and Bridges

Transportation Safety Fund

Appropriations

Counties

Municipalities