LEGISLATIVE REPORT Monday, May 11, 2015

Tomorrow, the House will reconvene at 1:00 p.m. and the Senate at 2:00 p.m. for the 21st day of the 2015 legislative session. With only 10 more meeting days, both chambers are focused on getting high-priority agenda items passed before the end of the session. For the upcoming week, the Association staff will be focused on the Probate Judges' Retirement bill, and any bills aimed at taking monies away from counties and shifting them to the state general fund. Additionally, there are several ACCA priority bills that are in position to be considered on the Senate floor this week. These bills would be greatly aided by outreach to legislators directly from Association membership. Now that the session is in the home stretch, the advocacy efforts of county officials and employees are even more vital to ensuring the remainder of the Association's priority bills make their way through the legislative process.

PROBATE JUDGE RETIREMENT: SB 448 by Sen. Shay Shelnutt would make counties responsible for the employer contributions to the judicial retirement fund for probate judges. If passed, this bill would go into effect on October 1, 2015, and according to the fiscal note, would increase counties' financial obligations by an estimated $2.7 million per year. While probate judges provide services to both the state and the counties, if this bill passes, counties would shoulder all of the costs associated with compensating probate judges. STATUS: This bill could be debated on the Senate floor as early as tomorrow. In order to reach the floor, the bill must be approved by the Senate Rules Committee. County officials and employees are urged to contact committee members TODAY and ask them to "oppose SB 448 being placed on the Special Order Calendar."

Senate Rules Committee Members: Sen. Waggoner, Chair; Sens. Bussman, Beasley, Brewbaker, Dial, Figures, Glover, Hightower, Holley, McClendon, Orr, Pittman, Reed, Sanford, Scofield, Smitherman, Williams.

***PLEASE NOTE: The other members of the Senate should also be contacted and asked to "actively oppose" SB 448 should it reach the Senate floor for a vote. IN THE HOUSE OF REPRESENTATIVES: 2 Bills on Tomorrow's House Agenda that Could Decrease County General Funds Call Representatives TODAY. Ask Them to Maintain Protections for County Funding HB 587 by Rep. Terri Collins (Repeal Excise Tax on Lubricating Oil) and HB 595 by Rep. David Faulkner (Eliminate Business License Revenue on Coin-Operated Machines*) were introduced as part of the House budget package. In their original form, both bills would have taken monies away from county governments and shifted them to the state general fund; however, a committee amendment to HB 587 aims to protect county road and bridge funding by providing that 15% of the sales and use tax collected from lubricating oil shall be distributed pursuant to the current gas tax distribution formula.

The Association staff is still in negotiations with the bill sponsor, the Department of Revenue, and other stakeholders about HB 595; as currently written though, the bill would reduce county revenue by removing the business license revenue and amusement tax for certain coin-operated machines--of which counties currently receive a portion. It would also prohibit any other taxes on such devices, which means counties currently collecting sales or rental tax on these machines would lose that revenue as well. STATUS: Both of these bills are on the House work agenda for tomorrow. County officials are urged to contact Representatives about these bills TODAY. --HB 587: Ask them to support the committee amendment, which would protect county road and bridge funding. --HB 595: Ask them to oppose this bill unless steps are taken to ensure counties maintain their current revenue levels. *NOTE: HB 595 by Rep. David Faulkner currently exempts vending machines from 'coin-operated machines', which means counties could continue collecting the business license revenue generated from vending machines.

Drag-Racing Bills Ready for House Committee Action Please Contact House Committee Members TODAY and TOMORROW! When HB 462 by Rep. AJ McCampbell was considered in the House Judiciary committee last week, almost every committee member expressed support for the bill. However, there were questions about the best way to define a 'spectator' of drag-racing. The Association worked with Rep. McCampbell to adjust the definition; and the committee chairman, Rep. Jones, has agreed to put the bill back on the committee's agenda for this week. STATUS: This bill is on the House Judiciary committee agenda for this Wednesday, May 13 at 1:30 p.m. in Room 429. Please contact members of this committee and ask them to support this bill that would stiffen penalties for participating in illegal drag-racing. Let them know that penalizing spectators is an important part of deterring illegal drag-racing activities.

House Judiciary Committee Members: Rep. Jones, Chair; Reps. Hill, J. McClammy, Ball, Beckman, Black, Coleman-Evans, Drake, England, Farley, Faulkner, Fridy, Givan, Pettus, Rowe.

Additionally, the Senate companion to this bill, SB 321 by Sen. (Illegal Drag-Racing), has been placed in the House Public Safety & Homeland Security committee for consideration. STATUS: This bill will likely be considered by the House Public Safety & Homeland Security committee on next Wednesday, May 20. County officials and employees are also encouraged to call members of this committee and ask them to support this proposed legislation to protect citizens from illegal drag-racing activities. House Public Safety & Homeland Security Committee Members: Rep. Wood, Chair; Reps. Farley, Jackson, Drake, England, Hanes, Moore, M. Rowe, Shiver, Treadaway, Whorton, I.

ACCA Bills Could Be on House Work Agenda This Week HB 194 by Rep. Adline Clarke (Amending Local Laws) was on the House work agenda for Tuesday of last week, but it did not get considered due to extended debate on another issue. The Association staff is working to get this bill back on the House special order calendar as soon as possible. Both HB 194 and HB 538 by Rep. Steve McMillan (Omnibus Pay) could be considered on the House floor as early as Thursday of this week.

IN THE SENATE: County officials are encouraged to pay close attention to SB 453 by Sen. (Alabama Lottery), which will be considered in the Senate Tourism and Marketing Committee tomorrow. This bill is expected to move through the legislative process rather quickly. As introduced, the bill would levy a 1% local gross receipt tax on the gaming revenue of each racetrack. The Association staff will be monitoring this bill closely, and will send a more detailed update on this bill as it progresses.

Severance Tax Exemption Bill Introduced Please Contact Senators THIS WEEK! SB 467 by Sen. (Severance Tax Exemption) would reverse an exemption from the statewide severance tax on minerals. The exemption--which prohibits the application of the tax on any road materials or other minerals that are transported by rail, barge or that otherwise is not transported on public roads--significantly reduces the revenue provided for county roads.

Although the initial intention of the legislation was to compensate counties for the damage to county roads from trucks hauling the materials, the exemptions result in few counties receiving enough revenue to provide any significant road construction. Stutts’ legislation simply removes the exemption for those materials that are not transported on public roads. STATUS: This bill could be on the Senate Fiscal Responsibility & Economic Development Committee agenda as early as next week.

Fiscal Responsibility and Economic Development Committee Members: Sen. Williams, Chair; Sens. Ward, Chambliss, Dunn, Hightower, Livingston, McClendon, Melson, Orr, Pittman, Reed, Sanford, Scofield, Singleton, Smitherman, Stutts.

ACCA Bills In Position for Senate Consideration This Week There is a strong possibility that some, if not all, of the following ACCA bills could be on the Senate special order calendar this week. County officials and employees urged to contact Senators TODAY and seek support for the following bills: --SB 437 by Sen. (Voluntary Remittance Use Tax); --HB 264 by Rep. Steve McMillian (Local Preferences), sponsored by Senator Quintin Ross in the Senate; --HB 193 by Rep. Randy Davis | SB 16 by Sen. Del Marsh (County Decision-Making); and --SB 164 by Sen. (Amending Local Laws). STATUS: These bills could be on the Senate work agenda as early as tomorrow. Please contact Senators and ask them to support these important bills. REMINDERS: The Association would like to share all the wonderful things that are happening in Alabama's 67 counties via social media! If you capture a great picture, or have good news to share with your colleagues across the state, please take a moment to let us know by emailing me at [email protected].

The next ACCA Legislative Webinar is scheduled for Monday, May 18 at 10:30am. Please click here to register, and make plans to join the Association staff for the last legislative webinar before the end of the session.

The sixth and final ACCA County Day is scheduled for Tuesday, May 19 for the following counties: Barbour, Chambers, Choctaw, Clarke, Coosa, Dale, Dallas, DeKalb, Lamar, Lawrence, Madison, Montgomery, and Shelby. Please email Brandy Perry at [email protected] to RSVP.

Thank you for all that you do to promote county government. Please don't hesitate to contact a member of the Association staff if you have any questions about this report.

Thanks,

Terri Sharpley Reynolds Director of Public Affairs

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