SB188 By Senator Orr RFD Finance and Taxation Education Rd 1 09-FEB-16

SYNOPSIS: This bill would provide for the distribution of any payments allocated to the state for economic damages from the Deepwater Horizon Oil Spill Disaster Settlement to relieve certain debt of the state. Subsequently, any remaining funds would be deposited into a trust fund designated to hold such funds or the State General Fund.

A BILL TO BE ENTITLED AN ACT

Providing for the distribution of any payments allocated to the state for economic damages from the Deepwater Horizon Oil Spill Disaster Settlement.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:

Section 1. For the benefit of the State of Alabama, any payment allocated to the state pursuant to any settlement of the Deepwater Horizon Oil Spill Disaster Settlement associated with the oil spill disaster in the Gulf of Mexico on April 20, 2010, that is not otherwise dedicated under federal law, settlement agreement, or court order, shall be used for the payment and/or repayment of the following debts of the state: (1) the Alabama Trust Fund State General Fund Rainy Day Account for any unpaid amounts owed from the transfer to the State General Fund in fiscal year 2010 or any future unpaid amounts owed to the State General Fund or Education Trust Fund Rainy Day Accounts pursuant to Amendment 803 of the Constitution of Alabama of 1901; (2) the Alabama Trust Fund for any unpaid amounts owed from the transfer to the State General Fund over fiscal years 2013, 2014 and 2015 pursuant to Amendment 856 of the Constitution of Alabama of 1901; and (3) the Centers for Medicare and Medicaid Services for any outstanding payments owed by the state. These repayments are to be based upon a payment schedule established by the Director of Finance, as set out in Section 2. Subsequently, any funds remaining after such payments and/or repayments shall be deposited into a trust fund designated to hold such funds. If no such fund has been established, any remaining funds shall be deposited in the State General Fund.

Section 2. The Director of Finance shall have the authority to determine the payment schedule of any such debts referenced in Section 1 of this bill. The Director shall prioritize the payments based upon total amounts of funds received, the immediacy of any repayments, and the amounts owed. The Director of Finance may also include his payment schedule a payment to the State General Fund if the Director determines it is needed and practicable.

Section 3. This act shall become effective immediately following its passage and approval by the Governor, or its otherwise becoming law.

Deepwater Horizon Oil Spill

Appropriations

Medicaid

Alabama Trust Fund

Gulf of Mexico

Finance Director

General Fund Budget