1 1-11-32

2 ACT #2019-3 By Representative Poole

4 RFD: Transportation, Utilities and Infrastructure

5 First Read: 06-MAR—19

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ENROLLED, An Act,

To levy an additional excise tax on gasoline and

diesel fuel; to provide for the collection and distribution of

the proceeds from the additional excise tax for state, county,

municipal and Alabama State Port Authority transportation

infrastructure purposes; to amend Sections 11-6-4 and ll—6~23,

Code of Alabama 1975, to require the Department of

Transportation contribute to the salary of the county engineer

or chief engineer and modify the Department’s reimbursement

cap for the county engineer trainee's salary; to amend Section

40—12-242, Code of Alabama 1975, to levy an additional

registration fee for certain motor vehicles and provide for

the distribution of the proceeds from the additional

registration fee to the Rebuild Alabama Fund; to amend Section

40-17—331, Code of Alabama 1975, to levy a floor stocks tax;

and to repeal Section 11-6-6, Code of Alabama 1975.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:

Section 1. This act shall be known and may be cited

as the Rebuild Alabama Act.

Section 2. The Legislature finds all of the

following:

(a) That consistent with the constitutional mandate

that navigable waterways are public highways, the Legislature

hereby finds as a fact that a portion of the gasoline and

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diesel fuel sold in this state is used for marine purposes to

propel vessels on coastal and inland waterways of this state.

(b) That it is the policy of this state to use a

portion of the funds derived from the additional excise tax

levied by this act on each net gallon of gasoline and diesel

fuel for the programs and activities of the Alabama State Port

Authority.

(c) That the development and growth of electric

vehicle transportation infrastructure are considerations in

the construction, reconstruction, maintenance, and repair of a

modern-day public road, highway, and bridge system in this

state. ’

(d) That the State Department of Transportation is

the appropriate agency to initiate the comprehensive planning

and administrative duties associated with the development of

electric vehicle transportation infrastructure as a part of

its regular duties.

(e) That the development of electric vehicle

transportation infrastructure is a cost of construction,

reconstruction, maintenance, and repair of public roads,

highways, and bridges in this state and that the moneys of the

Rebuild Alabama Fund may be lawfully used for such purpose.

(f) It is the intention of the Legislature to

authorize the creation of, and to hereby create, the Electric

Transportation Charging Infrastructure Grant Program as a

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program of the State Department of Transportation for the

purpose of providing grants, funds, and support for the

construction, reconstruction, maintenance, and repair of the

public roads, highways, and bridges in this state through the

procurement, installation, and implementation of electric

vehicle transportation infrastructure.

Section 3. Sections 11—6-4, 11-6—23, 40-12-242, and

40—17—331, Code of Alabama 1975, are amended to read as

follows:

"§11-6—4.

"When any county has established the office of

county engineer or chief engineer of the division of public

roads the Director of the Department of Transportation may

shall, upon application of the county commission, authorize

the expenditure out of the available funds of the State

Department of Transportation , of an amount equal to 70

percent of the annual salary of said engineer to such county,

which shall apply to the payment of the annual salary of said

engineer, with such payments to be made in equal monthly

installments; provided, that the amount contributed or paid by

the State Department of Transportation to any county, not

including retirement contributions, shall not exceed 70

percent of step 18, or the top step, whichever is greater, of

the salary schedule under the pgrofessional Civil Engineer II‘L

Senior classification in any one year. The-Birector—of—the

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county coumdasiun.

"§11-6-23.

"(a) Upon application of the county commission or

like governing body of the several counties of the state, the

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l. 1: ULLCLLUJ— U-LDepartment of Transportation, upon approval uf

Transportationr shall participate in the salary of the

engineer trainee in the county in an amount equal to 50

percent of the annual salary of the engineer trainee. The

amount is to be paid to the county in equal monthly

installments to reimburse the fund of the county from which

the salary of the engineer trainee is paid.

"(b) The amount contributed or paid by the

Department of Transportation to any county under this article

shall not include retirement contributions, Social Security,

unemployment compensation, or other employee benefits, nor

shall the amount contributed or paid exceed +l+ 50 percent of

the annual salary schedule of the Department of Transportation

under the graduate Professional cgivil egngineer ;

classificationL_step 18, or the top step, whichever is

greater, as established by the Department of Transportation

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for the year in WhiCh applied, U]. (2}, 1.11 the: can: uf an

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"§40-12-242.

"lal The following annual license taxes and regis—

tration fees are hereby imposed and shall be charged on each

private passenger automobile operated on the public highways

of this state and on each motorcycle operated on the said pub-

lic highways:

(1) For each private passenger automobile $13.00

(2) For each motorcycle $7.00

" No private passenger automobile and no motorcycle

shall be used on any public highway in the state unless the

proper license tag therefor has been procured and is securely

attached to the rear end thereof, such tag to be so attached

right side up with the number thereof in an upright position

and plainly visible.

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"(b) In addition to the annual license taxes and

registration fees impossd in subsection (a) above and

slsewhere in Article 5 of Chapter 12 of Title 40, there is

hereby imposed and shall be charged;

“(1) an annual license tax and registration fee of

$200.00 on esch battery electric vehicle opesated on the

public highways of thls_state, and

"(2) an annual license tsx and registration fee of

S100.00 on each plsg—in hybrid electric vehicle operated on

the public highways of this stslsl

" A battery electric vehicle is deflned as any motor

vehicle which draws propulslon energy solely or primarily fssm

onboard sogsces of stored electric energy from s plug-in

rechargeable electric energy sporage system and which does not

inclsge an internal combustion or heat englne using

combustible fuel. A plug-in hybrid electric vehicls_ls defined

as any motor vehicle which draws propulsion energy from

gflpoard sources of stored electric energy that can be plugged

into an outlet os_charging station, and which lssludes an

internal combustion or heat engine using combustible fuel.

"(c) Beginning on July 1, 2023 and every fourth year

thereafter, thegsggltional license tax andgssgistration fee

specified in thls_sst shall increase by three dollars ($3).

"(d) The annual battery electslc vehicle fee imposed

in subsection (b)(1) shall be reduced by the amount of any

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future additlonal annual federal sgrchsrge or registration fee

placed on a battery electrlc vehicle, and the annusl_plug-in

hybrld electric vehicle fee imposed_ln subsection (b)(2) shall

be reduced by the amount of any future annual_federal

surcharge or registration fee placed on a plug-in hybrid

electric vehicle, if the federal surcharge or registration fee

is used solely for highway transportation purposes in the

state of Alabama, but in no case shsll the battery electric

vehicle fee be reduced to less than $150 and the plug—in

hybrid electric vehicle fee be reduced to less than $75.

"(e) The Electric Transportsrlon Infrastructure

Grant Program is created_slthin the State Department of

Transportatrgs. The program shall be admrnistered, conducted,

sad managed, and its funds shall be dispersed by, the State

Department of Transportation, which shsll have all the powers,

authorities, rights, privileges, and titles necessary to

enabls_lt to accomplish the purpose of the Electric

Transportation Infrsstructure Grant Progrsm. The State

Deparrment of Transportation rs authorized and directed to

promulgate rdlss for the Electric Transportation

lsfrastructure Grant Program including the solicitation,

appllgation, evaluation, and selection of grsnt applicants,

the distribution of grants for electric vehicle charging

infrastructure, and the dse of grant funds through the Alabama

Administrative Procedures Act.

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HB2

"(f) Notwrthstanding any other statute or law to the

contrary, all proceeds of the annual license taxes and

registration fees imposed and chsrged in subsection (b) above,

after deddction pursuant to Section 40—12—269 (a)(1), Code of

Alabama 1975, shall be distributed as follows: I

"(1) The first $150 collected from the annual

license tax and registration fee on each battery electric

vehicle and the first $75 collected from the annual license

tax and registration fee on each plug-in hybrid electric

vehicle shall be distributed sixty-slx and sixty-seven one

hundreths percent (66.67%) to the state, twenty-five percent

(25%) to counties, and eight ssd thirty—three one huedreths

percent (8.33%) to cities.

"(2) The remainder shall be deposited in the Rebuild

Alabama Fund estsblished pursuant to the provisions of this

act, and shall be used by the State Department of

Transportatrep to fund electric vehicle transportation

charging infrastructdre through the Electrre Transportation

Infrsstructure Grant Program established in thisgect until

such time as the total annual registratlpns of battery

electrlc vehicles plus plugjln hybrid electric vehicle exceed

four percent (4%) of the totsl annual registratlens of all

motgr vehicles within the state of Alabama, except trailers

and semitrailers, for which an annual llcense tax and

reglstration fee is pald. Thereafter the annual license taxes

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H82

and registration fees imposed by subsection (b)(ll_end (b)(2)

shall be reduced to $150 end $75, respectively, and after sggg

reduction the receipts shall be deposited into the Rebuild

Alabams_§gnd and distributed sixty-six and sixty-seven one

hundreths percent (66.67%) to the state, twenty-five percent

125%) to the counties, and eight end thirty—three one

hundreths percent (8.33%) to the cities to be used_ln the

constrggrlon, reconstruction, malntensnce, and repair of

public roads, highways, and bridges in the state, and for any

other_purpose for which moneys ln the Rebuild Alabama Fund may

be lawfully used, All previously collected bet unspent funds

dedleated to the Electric Transportation Infrastructure Grant

Program shell continue to be used to fund_the Electric

Transportation Infrssrructure Grant Program.

"(g) The annual license taxes and registratrep fees

pursuant to thls act shall be effective January 1, 2020.

"§40-17-33l.

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"(a) There is hereby imposed a floor-stocks tax on

motor fuel held in inventory ggtside of the bulk

transfer/terminal system

increase and on the date

levied by the amendatory

"lb) Each rate

shallgbe the incremental

on thegerfective date of the tax

of each subsequent tax increase

language of this act.

of the tsx imposed by this segrlge

amount of taxrlmposed under the

smendatoryglenguage or_this act.

"(c) Any wholesale distributor holding motOr gggl in

leyentory outside of the bulk transfer/terminal system on the

effective date of each tax incresse levied_by the amendatory

langgage of this act shell be lisble for the tax.

"ldj The tax imposedrby the amendatory lenguage gr

this act shell be pald on or before the last day of the third

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month following each tax increase and shall be paid_in the

manner prescribed by the department."

Section 4. Definitions. When used in this act, the

following words and phrases shall have the following

respective meanings unless the context clearly indicates

otherwise:

(1) ALDOT. The Alabama State Department of

Transportation provided for in Section 23-1-20, Code of

Alabama 1975, as amended.

(2) ATRIP—II COMMITTEE. The Alabama Transportation

Rehabilitation and Improvement Program Committee—II

established pursuant to this act.

(3) ATRIP-II PROJECTS. Those Road and Bridge

Rehabilitation and Improvement Projects submitted to and

received by the ATRIP—II Committee for funding in accordance

with the provisions of this act.

(4) COSTS. As applied to any road and bridge

project, all costs of construction or acquisition of any part

thereof, including, but without limitation to, the costs of

supervising, inspecting and constructing any such project and

all costs and expenses incidental thereto, the costs of

locating, surveying and mapping, development of engineering

plans and specifications, resurfacing, restoration and

rehabilitation, acquisition of rights—of-way, utility

relocation, and improvements which directly facilitate and

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[-1132

control traffic flow, including grade separation of

intersections, widening of lanes, channelization of traffic,

and traffic-control systems.

(5) LEGISLATURE. The Legislature of Alabama.

(6) SPECIAL TAXES. (a) The excise taxes levied under

subdivisions (1), (2) and (3) of subsection (a) of Section

40—17—325, as amended hereby, with the exception of those

portions of those taxes levied on aviation fuel and marine

gasoline, and;

(b) the additional annual registration fees imposed

pursuant to Section 40-12-245 40—12—274, as herein provided.

(7) STATE. The State of Alabama.

Section 5. There is hereby created the Rebuild

Alabama Fund in the State Treasury. All proceeds from the

revenues designated to the fund pursuant to this act less the

cost of collection authorized by law shall be deposited into

the fund to be expended only as provided in this act.

Section 6. (a) Effective for tax periods beginning

after August 31, 2019, an additional excise tax of six cents

($0.06) is imposed on each net gallon of gasoline and diesel

fuel.

(b) Effective October 1, 2020, this additional

excise tax is increased by two cents ($.02) to eight cents

($0.08) on each net gallon of gasoline and diesel fuel.

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(c) Effective October 1, 2021, this additional

excise tax is increased by two cents ($.02) to ten cents

($0.10) on each net gallon of gasoline and diesel fuel.

(d) Beginning October 1, 2023, and on dune—1 July 1

of every other year thereafter, the excise tax rate provided

in this section shall be adjusted by the percentage change in

the yearly average of the National Highway Construction Cost

Index (NHCCI) issued by the U. S. Federal Highway

Administration (FHWA) for the most recent 12-month period

ending December 31, compared to the base year average, which

is the average for the 12-month period ending December 31,

2020 and rounded to the nearest whole cent. The maximum amount

of increase or decrease in the excise tax rate shall not

exceed $.01 per net gallon of gasoline or diesel fuel and

shall take effect every other year. The Department of Revenue

shall notify each terminal supplier, position holder, licensed

distributors distributor, and importer of the tax rate

adjustment applicable under this paragraph for-the—ifi-month

perhmidmagrnning on or before March 1.

(e) This additional excise tax shall be levied,

administered, and collected in accordance with the provisions

of Article 12 of Chapter 17 of Title 40 of the Code of Alabama

1975, provided that the due date for payment and filing of

returns for all motor fuel taxes, including the additional

amounts levied in this act, shall be the 20th day of the month

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following the month in which the tax accrues, except as

otherwise provided in Section 40—17-340 (d), and the bond

required under Section 40—17—335 (a)(1) shall not exceed three

million dollars ($3,000,000). The net tax proceeds, after the

cost of collection and distribution to the Alabama Highway

Finance Corporation authorized by this act shall be

distributed to the state and to each county and municipality

for transportation infrastructure purposes in accordance with

the provisions this act.

Section 7. (a) The Alabama Department of Revenue

shall retain one-quarter of one percent (0.25%) of the tax

proceeds, less any refunds, from this additional excise tax on

gasoline and diesel fuel for its cost of collection. The

department is authorized to adopt rules and such forms as may

be necessary for the administration of the excise tax provided

for in this act.

(b) Each month, prior to the remaining payments

provided in this act, up to $750,000 of the tax proceeds from

the additional excise tax on gasoline and up to $230,000 of

the tax proceeds from the additional excise tax on diesel fuel

shall be distributed first to the Alabama Highway Finance

Corporation for the payment of the principal of and interest

on bonds to be issued by it to finance improvements to the

ship channel providing access to the facilities of the Alabama

State Docks, to the extent necessary for such purpose. The

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amount distributed pursuant to this section may be pledged as

security for any loan or debt proceeds as deemed necessary by

the Alabama Highway Finance Corporation to finance said

improvements, but not to exceed one-hundred fifty million

dollars ($150,000,000) in aggregate principal amount to be

used for improvement projects. This distribution of tax

proceeds to the Alabama Highway Finance Corporation shall

terminate at the final maturity of the bonds secured by these

tax proceeds, provided that the bond term shall not exceed

twenty (20) years.

(c) Notwithstanding any other law to the contrary,

the net tax proceeds remaining after any refunds, the cost of

collection and the distribution to the Alabama Highway Finance

Corporation authorized above shall be distributed as follows:

(1) Sixty-six and sixty—seven one hundreths percent

(66.67%), shall be allocated to ALDOT and deposited in the

Rebuild Alabama Fund, to be used for transportation

infrastructure improvement, preservation and maintenance

projects pursuant to the provisions of this act. The net tax

proceeds may be used to match any available federal, state and

local transportation funding. The funds allocated to the

department shall be audited by the Examiners of Public

Accounts in the same manner as all other department funds. The

Director of ALDOT, with approval of the Governor, may also

pledge a share of the net tax proceeds not to exceed fifty

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percent (50%) of said proceeds as security for the issuance or

refinancing of any loan or debt obligation used for

transportation infrastructure improvement, preservation and

maintenance of projects pursuant to the provisions of this

act. This pledge shall be irrevocable for the duration of the

loan or debt obligations for which the net tax proceeds are

pledged.

a. ALDOT shall not use the net tax proceeds for any

of the following purposes:

1. Salaries, benefits, or any other form of

compensation for state or contract employees except as

included as direct project Costs and subject to audit by the

Examiners of Public Accounts.

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

other than equipment purchased and permanently installed as a

part of a road or bridge project.

3. The maintenance or construction of public

buildings or other structures that are not integral to the

system of roads and bridges.

b. Beginning on Oct. 1, 2019, (and each October 1

thereafter), ALDOT will allocate $400,000 to each county in

exchange for the annual federal allocation of $533,000 which

was being distributed to each county on the effective date of

this act. Nothing in this act shall prohibit ALDOT from

utilizing these exchanged federal funds at its discretion and

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HBZ

in a manner consistent with Federal Highway Administration

(FHWA) procedures.

c. The $400,000 annual allocation to each county

shall be utilized first as matching funds for any balance in

the county's federal allocation not authorized by Sept. 30,

2019. Once these unexpended funds are authorized for an

individual county, all remaining and future allocations

established herein shall be expended for road and bridge

projects on county roads classified as minor collectors or

higher and/or for bridge structures on the National Bridge

Inspection inventory.

d. The provisions of this section notwithstanding,

counties shall retain the ability to be awarded and utilize

other federal funds or state grants which are or may become

available after the effective date of the exchange of current

federal funds. Further, the exchange of current federal funds

does not preclude a county from the award or utilization of

any federal funds earmarked in the future for local

governments through FHWA and/or any federal appropriation

legislation.

(2) Twenty-five percent (25%) shall be allocated to

counties of the state to be used for transportation

infrastructure improvement, preservation and maintenance as

provided for in this act. It shall be allocated and disbursed

among the 67 counties of the state as follows:

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HB2

a. Forty five percent (45%) of the amount shall be

allocated equally among the 67 counties of the state.

b. Fifty—five percent (55%) of the amount shall be

allocated among the 67 counties of the state on the basis of

the ratio Of the yuyulativu Uf Bach buunty tu thc tvtal

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SICLCLULULC l laid in any county. population of the state

according to population projectipns from the U.S. Census

Bureau Population and Hogsing Estimates Program or any special

federal census hegetofore held in any county. Begipning in

2020, the ratio of the population of each county to the total

pgpglation of the state shall be updated every five years.

c. The net tax proceeds may be used to match any

available federal, state and local transportation funding. The

governing body of a county may also pledge its share of the

net tax proceeds not to exceed fifty percent (50%) of said

proceeds as security for the issuance or refinancing of any

loan or debt obligation used for transportation infrastructure

improvement, preservation and maintenance. This pledge shall

be irrevocable for the duration of the loan or debt

obligations for which the net tax proceeds are pledged.

d. Counties must ensure that at least fifty percent

(50%) of the funds are allocated for projects utilizing

established bidding procedures submitted by the Association of

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County Engineers of Alabama and approved by the Department of

Examiners of Public Accounts. In addition, the county may

utilize such funds to meet any other project matching

requirements associated with other federally or state funded

transportation projects, upon approval of the county

commission. A county may utilize over fifty percent of their

annual allocation of these funds for project match if the

project follows the provisions for bidding herein described or

is let to contract through ALDOT.

(3) Eight and thirty-three one hundreths percent

(8.33%) shall be allocated and disbursed to the municipalities

of the state to be used for transportation infrastructure

improvement, preservation and maintenance, as provided for in

this act, as follows:

a. Twenty—five percent (25%) of this amount shall be

allocated equally among the municipalities of the state.

b. Seventy-five percent (75%) of this amount shall

be allocated among the municipalities of the state on the

basis of the ratio of the population of each municipality to

the total population of all municipalities of the state

_'I‘ L L1. 1 L ._1 1. L t .J 1 1 ' 1

GLLULULLIy LU L11: LGDL GIIU G511 DUMBCHUCIlL LCUCLGJ- UCDCIIIILGL

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according to the population projections from the U.S. Census

Bureau Population and Housing Estimates Program or any special

federal census heretofore held in any municipality. Beginning

Page 19

H82

in 2020, the ratio_of the population of each munigipality to

the total population of the state shall be gpdated every five

years. The population ofgagy municipality incorporated

subsequent to the taking of the last federal decennial census

shall be deemed to be the population shown by the census for

that municipality. Any municipality incorporated after the

effective date of this act shall not participate in the

distribution provided for in this subsection until the fiscal

year next succeeding the fiscal year during which it is

incorporated.

c. The net tax proceeds may be used to match any

available federal, state and local transportation funding. The

governing body of a municipality may also pledge its share of

the net tax proceeds as security for the issuance or

refinancing of any loan or debt obligation used for

transportation infrastructure improvement, preservation and

maintenance. This pledge shall be irrevocable for the duratiOn

of the loan or debt obligations for which the net tax proceeds

are pledged. Any Class 1 through 4 municipality that provides

or operates public transportation services on the effective

date of this act, may utilize an amount not to exceed ten

percent (10%) of the net tax proceeds received annually by

that municipality pursuant to this act to match any available

federal or state transportation funding available for public

transportation infrastructure improvements.

Page 20

H82

(d) The distribution prescribed by Section 7 of this

act shall begin no later than January 2020.

Section 8. The net tax proceeds allocated to ALDOT

in subsection (c) of Section 7 above shall be used for the

following program purposes and ALDOT shall annually report the

results of the programs and itemize the specific projects to

the Permanent Joint Transportation Committee of the Alabama

Legislature in compliance with such procedures established by

or for the committee:

(a) Congestion Relief Program — The purpose of this

program is to add capacity to State, US and Interstate routes

in highly congested areas of the state. ALDOT shall develop an

assessment and prioritization plan to allocate funds for

congestion relief projects on the state's transportation

infrastructure.

(b) Economic Development Roads Program - The purpose

of this program is to develop and improve transportation

infrastructure to enhance economic development efforts in the

State of Alabama. ALDOT shall develop an assessment and

prioritization plan to allocate funds for economic development

road projects with priority given to projects in economically

underserved areas of the state.

(c) System Preservation - The purpose of this

program is to address the ongoing and growing preservation and

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HB2

maintenance needs of the state's transportation

infrastructure.

(d) ALDOT shall create an annual grant program of no

less than ten million dollars ($10,000,000) for use on any

classified system of roads and bridges for which any city

government or county government may apply. All projects

granted under this program are to be bid and let by the

respective county or municipality following procedures

approved by ALDOT. ALDOT shall develop and publish rules to

establish funding criteria and create an application process

to receive and select projects for funding by September 30,

2019. The first round of grant applications shall be due by

November 30, 2019 and award of the grants shall be made by

ALDOT on or before January 15, 2020.

(e) There is hereby created an Alabama

Transportation Rehabilitation and Improvement Program—II

(ATRIPwII) to fund projects of local interest on the state

maintained highway system, which may also include local roads

and bridges essential to such projects. All ATRIPHII Projects

shall be developed and let to contract by ALDOT. The ATRIP-II

program shall be an annual program beginning in fiscal year

2020 and shall be funded at an amount of not less than thirty

million dollars ($30,000,000) and not more than fifty million

dollars ($50,000,000) which amount shall be at the discretion

of the Director of ALDOT.

Page 22

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HB2

"(f) All ALDOT Projecta_funded pursuant to this

sectaon shall be let to contract by ALDOT and subject to the

followinqgrequirements:

a. ALDOT shall establish and apply Disadvantaqed

Business Enterprise (DSEL goals in the same manner and

consistent with the requirements respectinq D§Es of the

Federal Hiqhway Administration (FHWA) for road ang bridqe and

other similar contracts funded with federal funds. The DBE

goal for ALDOT Projects fundeg_pursuant to this section shall,

to the extent reasonably possible, be the same as the qoal

estaplished annually by ALDOTAfpr contractsgfunded with

federal fands and approved by FHWA. ALDOT shall, to the

ggeatest extent possible, ensgre that DB§_firms are included

in the procurement pgocess as eagly as possible with the

gpjective of ensurinq participation levels can be met. ALDOT

will identify qualified DBE vendors during the design process

and communicate that list to the prospective prime contractoga

Egior to the baddinq progaas. ALDOT shall provide, on October

1 of every fiscal year of thegatate, beqinninq Decembe; l,

_921, for the year commencing Octoba; 1, 2020, a report of

ALDOT Projects let to contract pursuant to this sectggn,

includinq information on the established DEE qoals for ALDOT

Projects, to the Chair of the qQant Transportation Committee,

the Governor, the Senate Pro Tempore, the Speaker of the

Alabama House of Representatives, the Alabama Senate Minority

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HB2

Lgader, and the Alabama House of Representatives Minority

Leader.

In the event AQDOT was not successful in meeting

their DBE goalstin_a particulai_fiscal year,taiDOT will be

required to provide to the Joint Tranaportation Committee a

yiitten strategy along with the annual project report that

will outiine how the qgals will be addressed in the coming

iiscal year, inciuding an analysis of the primary reasons that

DBEs were unsuccessful bidders and the impediments to

successfti_pBE bids.

b. ALQOT shall utilize its GFO dated August 14,

2018, fqi_the next fog; years to design eguivaigpt pavement

sections. At that time the Department shall evaluate what

proceduies to adopt going forwatg in consultation with, o_

otherwise informing as soon as practigable, the Peimanent

gaint Transportation Committee. Any exception to the GFO shall

be presented to the Joint Transportation Committee.

c. E9i_the next fog; years, where feasible and

practitai, ALDOT wili_proide alteinative pavement designs

utilizinq asphalt or concrete materiais and shall seek bids."

Section 9. (a) All county and municipal projects let

to contract, as the case may be, shall utilize contractors and

material suppliers listed on the ALDOT's list of approved

contractors and suppliers. ALDOT's list of approved

contractors and material suppliers shall include the ALDOT's

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HBZ

Certified Disadvantaged Business Enterprise List. Beginning

October 1, 2020, and October 1 of every other year, each

county and municipality shall provide a list of all

contractors who have been awarded projects under this section

to the Senate President Pro Tempore, the Speaker of the House,

and the Chair of the Joint Transportation Committee.

Notwithstanding any provision of law to the contrary, no

bidding shall be required by the county for asphalt or other

road construction or repair materials if the county has an

annual contract for providing such materials.

(b) For all municipal projects, the appropriate

plans and bid opening date shall be published in electronic

form no later than the tenth day of the month preceding the

bid opening on a website maintained for that purpose by the

Alabama League of Municipalities.

(c) Bids for county and municipal contracts awarded

under this section shall only be awarded in accordance with

Section 39n2-6, Code of Alabama 1975, as amended, during a

regularly—scheduled meeting of the governmental body of the

county or city, as the case may be. Immediately after the

completion of each project, the publication notifications

required by Section 39-l—l(f), Code of Alabama 1975, as

amended, shall be satisfied by posting on the same website

utilized for the posting of specifications and notice of bid

openings.

Page 26

HBZ

Section 10. (a) There is hereby created the Alabama

Transportation Rehabilitation and Improvement Program—II

(ATRIP—II) Committee. The appointing authorities shall

coordinate their appointments to assure the committee

membership is inclusive and reflects the racial, gender,

geographic, urban, rural, and economic diversity of the state.

All members of the ATRIP—II 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—II

Committee shall consist of:

(l) The Director of the State Department of

Transportation who shall serve as Chair of the ATRIP—II

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) Three Egg; members appointed by the Governor, at

least one of which shall be a representative of local

governmentST governments,tand at least one of which shall be a

minority.

(b) The ATRIP—II Committee is authorized to enter an

agreement with any funding authority or bank that is

authorized to issue tax exempt debt for infrastructure

Page 27

HB2

purposes to pledge any of the annual revenue proceeds

allocated for its use in subsection (c) of Section 7 above as

payment for any loan or debt indenture.

(C) Within 60 days after the effective date of this

act, the ATRIP-II Committee shall convene to develop and adopt

procedures for the allocation of any revenue proceeds

allocated for its use and for the selection and authorization

of projects to be funded from the revenue dedicated by the

Director of ALDOT for the ATRIP—II program in accordance with

subsection (e) of Section 8. The procedures shall ensure that

project selection shall be for projects related to the state

maintained highway system, which may also include local roads

and bridges essential to such projects, proposed by one or

more local governments. In addition, the policies shall be

developed with an emphasis on the economic growth, public

safety, and stability of this state. The procedures shall also

include provisions to ensure that all projects selected by the

ATRIP—II Committee shall be bid and let to contract by ALDOT

in accordance with any applicable provisions of law. After the

ATRIP—II Committee develops and adopts procedures for the

allocation of any revenue proceeds and the Selection and

authorization of projects to be funded from the revenue

proceeds, a copy of the procedures shall be distributed to

each of the counties and municipalities of the state and shall

be posted on the ALDOT website.

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HBZ

(d) The ATRIP—II Committee, in reviewing ATRIP~II

Projects submitted to it for funding pursuant to the

provisions of this section, shall appraise and consider

information that may be submitted by counties and

municipalities in the applications with respect to those

projects concerning their contracting with businesses or

individuals in carrying out such projects which reflect the

racial and ethnic diversity of the state. A report on the

contracting information submitted by counties and

municipalities shall be distributed by the ATRIP—II Committee

annually to the Governor, the Senate Pro Tempore, the Speaker

of the Alabama House of Representatives, the Chair of the

Joint Transportation Committee, the Alabama Senate Minority

Leader, and the Alabama House of Representatives Minority

Leader no later than October 1 of each year, beginning on

October 1, 2020.

Section 11. (a) The monies paid to counties or

municipalities pursuant to Section 7 of this act shall be

deposited into a separate fund maintained by the county or

municipality and expended only for one or more of the

following:

(1) The maintenance, improvement, replacement, and

construction of roads and bridges maintained by a qualified

county.

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H132

(2) The maintenance, improvement, replacement, and

construction of roads and bridges maintained by a qualified

municipality.

(3) As matching funds for federal road or bridge

projects.

(4) The payment of any debt associated with a road

or bridge project.

(5) For a joint road or bridge project with one or

more adjoining counties pursuant to any agreement executed

under the authority of state law.

(6) For a joint road or bridge project with one or

more municipalities pursuant to any agreement executed under

the authority of state law.

(7) For a joint road or bridge project with one or

more counties and municipalities pursuant to any agreement

executed under the authority of state law.

(b) The county or municipality shall not use any

monies from the fund for any of the following purposes:

(1) Salaries, benefits, or any other form of

compensation for county, municipal, or contract employees or

for county or municipal officials except as included as

project Costs and subject to audit by the Examiners of Public

Accounts.

Page 30

HB2

(2) The purchase, lease, or maintenance of

equipment, other than equipment purchased and permanently

installed as a part of a road or bridge project.

(3) The maintenance or construction of public

buildings or other structures that are not integral to the

system of roads or bridges.

(c) All fund records shall be audited by the

Examiners of Public Accounts in the same manner as all other

county or municipal funds.

(d) The county commission of each qualified county

or municipal governing body of each qualified municipality

shall adopt an annual Transportation Plan no later than August

31 for the next fiscal year, which plan shall be approved by

affirmative vote of a majority of the members of the county

commission or municipal governing body. The plan shall provide

a detailed list of projects f9i_which expenditares are

intended to be made in the next fiscai year and shaii be based

upon an estimate of the revenues anticipated from the fund

during the fiscal year. 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, municipal hall, the mayor's office, the municipal

highway department, and any other places deemed appropriate by

the county commission or municipal governing body.

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HBZ

Additionally, the plan shall be posted on their respective

official government website, if available.

(e) At the first meeting in January of each year

following the creation of the fund, the county or municipal

engineer or other person designated by the county commission

or municipal governing body shall present to the county

commission or municipal governing body 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

Transportation Plan. The report shall be entered into the

minutes of the county commission or municipal governing body

meeting and shall be made available to the public for

inspection, including posting on the county's or

municipality's website, if available.

(f) By January 15 of each year, the county engineer

will submit a certificate of compliance verifying that at

least fifty percent (50%) of funding for the last fiscal year

was let to contract, and shall file such certificate with the

Chair of the Joint Transportation Committee, the Alabama

Senate Pro Tempore, and the Speaker of the Alabama House of

Representatives.

Section 12. Section 11-6-6, Code of Alabama 1975 is

hereby repealed.

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HBZ

Section 13. 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.

Section 14. Pursuant to Section 1—1—16, Code of

Alabama 1975, if any provision of this act is held by a court

of competent jurisdiction to be invalid, such invalidity shall

not affect the remaining provisions of this act, and to this

end the provisions of this act are declared severable.

Section 15. This act shall become effective

immediately following its passage and approval by the

Governor, or its otherwise becoming law.

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HBZ

777424W

Speaker of the House of Representatives

_/ 4:1:-

President and Presiding Officer of the Senate

House of Representatives

I hereby certify that the within Act originated in

and was passed by the House OS-MAR—19, as amended.

Jeff Woodard

Clerk

Senate lZ-MAR~19 Passed

WWW?

TIME 35—0014.

aM/Ve,Alabama Secretary

Of StateG¢VE

Bill Nun...:

Recv'd EBIialIBekzefipIS

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Page 34

iSOR

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PONSORS

HOUSEACTION

SENATEACTION

IHEREBYCERTIFYTHATTHE

RESOLUTIONASREQUIRED

IN

SECTIONCOFACT

NO.

81-889

WASADOPTEDAND

ISATTACHED

TOTHE

BILL,H.B.

YEAS

NAYS

JEFFWOODARD,

Clerk

DATE:

3-3

201;:

/

RD1RFD

)4E

IHEREBYCERTIFYTHATTHE

NOTICE

8:PROOF

ISATTACHED

TOTHEBILL

H.B.

ASREQUIRED

INTHEGENERAL

ACTSOFALABAMA,1975ACTNO.

919.

JEFFWOODARD,

Clerk

This

Billwas

referred

totheStanding

Committee

ofthéSenateon

7+

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in

sessionand

isbyorderoftheCommittee

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HouseConferees

DATE:

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RE—REFERRED

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RE—COMMITTEDD

Committee

Ihereby

certify

thatthe

Resolutionas

required

inSectionC

ofActNo.81-889

wasadoptedand

isattached

tothe

Bill,

HB

YEAS

NAYS

PATRICKHARRIS,

Secretary