JAMES MADISON QUOTE - 1822

"A popular government without popular information, or the means of acquiring it, is but a Prologue to a Farce or a Tragedy; or, perhaps both. Knowledge will forever govern ignorance; and a people who mean to be their own governors must arm themselves with the power knowledge gives."

SCOTTSBORO WEATHER - SUN & MOON RISE

Tuesday, April 12, 2011

Jackson County Commission - TVA in Lieu of Tax Fund of the Jackson County Legislative Delegation




Jackson County Commission agenda, click on image for an expanded view. The County Commission conducted another Executive Session.

Update from The Clarion on the TVA in Lieu of Tax: http://www.theclarion.org/index.php?option=com_content&view=article&id=1593:delegation-writes-tva-in-lieu-bill&catid=42:clarion-rotation-stories&Itemid=142

Note Item D on agenda. Motion to consider and authorize filing a complaint in Circuit Court regarding the TVA in lieu of tax. The item was amended to include a Temporary Restraining order to prevent the Legislative Delegation from utilizing the "Cap Fund" authorized by Act# 99-550, June 1999.  The Clarions article concerning the issue: http://www.theclarion.org/index.php?option=com_content&view=article&id=1504:ag-gives-opinion-on-tva-in-lieu-of-tax-funds&catid=42:clarion-rotation-stories&Itemid=142

Alabama Attorney Generals Opinion, 2011-048, 03/25/2011: "The Jackson County Commission is required to distribute any increase in the in-lieu-of-tax payments it receives from the Tennessee Valley Authority  pursuant to Ala. Code §40-28-2(b), which requires that this payment be allocated by local legislation. The current local legislation for Jackson County on the distribution of in-lieu-of-taxes payments applies to all in-lieu-of-taxes payments received by the county, including those received pursuant to the increase."

It is important to note there are many other political subdivisions and agencies which would be involved in this action, namely every city and town in Jackson County, the Economic Development Authority and the Jackson County Health Care Authority. This is not a simple action and I believe is ILL ADVISED as it stands to cost the taxpayers of Jackson County in excess of $100,000 dollars. Can the county taxpayers afford this cost? The simple way to fix this concern is for the Legislative Delegation to amend the current law. If they do not the resultant legal action will break the county financially. Meanwhile, attorneys become enriched. ACT No. 99-550 is pictured below. In 2010 the Legislative delegation received approximately $1 million dollars per the Special Acts distribution formula. This year it is doubtful the Delegation will receive any or few funds as the TVA in lieu of tax to the appropriate political entities was severly decreased resulting from lower power sales.

Click on images for an expanded view.







9 years ago I began an extensive inquiry and investigation concerning the TVA inlieu of tax "Cap Fund." During my inquiries I discovered and reported to the County Commission and the Legislative Delegation that the change in Special Act 99-550, relating to the TVA in lieu of tax in the "Cap Fund," was not advertised in any local newspaper as required by law. The change in the amount of money going to the Economic Development Authority and the Health Care Authority was advertised but there was no mention of the Act as it related to the "Cap Fund," the money going into the Legislative Delegation's account from the TVA in lieu of tax, changed from the previous Special Act, # 91-333, July 1991 and 5 other special acts dating to 1979. This is not a simple issue and will involve a broad range of local and state agencies as well as many political entities including the State of Alabama and maybe other counties of the state due to other similar local acts of other counties. This problem will surface once the case reaches other higher courts in Alabama.

Attached are my notes on the issue related to my presentation to the County Commission 6 years previous requesting the County Commission acquire an Attorney Generals Opinion. This request was denied.

Click on the image for an expanded view. 



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