Commissions would disburse TVA funds

Unlike the other counties that will use the extra fund as discretionary money, Marshall County, which will get $238,494 more this year, will distribute the additional TVA in lieu of taxes money as it always has.

Under a local bill sponsored by Rep. Frank McDaniel, D-Albertville, Marshall County funds are earmarked along with the existing TVA distribution of $5.9 million.

"We have always designated ours to our agencies, and we followed the same path as in the past,'' McDaniel said.

Colbert County Commission Chairman Rex Burleson said he doesn't oppose the legislation. In the past, his commission has decided how to spend the county's portion of the TVA in lieu of taxes.

"That's just some money they're using for projects they want to do but weren't able to get out of Montgomery," Burleson said.

Although legislators representing counties in the TVA service area weren't successful this year, they're going after a bigger pie next year -- a $5.4 million share of TVA money that has been going to dry, non-TVA counties such as Bibb, Blount, Fayette, Lamar, Marion and Pickens.

Those counties were allowed about 25 years ago to get a portion of the TVA in lieu of taxes collection to offset some of the tax revenue lost because they do not have legal alcohol sales.

Irons said non-TVA counties don't deserve TVA money because they are serviced by Alabama Power. She pointed out that TVA counties don't get a share of the Alabama Power Co. taxes.

Fayette County Rep. William Thigpen, D-Fayette, said he fought the bill designed to take the money from non-TVA counties because his county would lose too much money, $315,566 annually to be exact.

Most of the local commission bills have passed and are in Riley's office for consideration. In northwest Alabama, only Franklin County's local bill hasn't received final passage.

The state began getting 75 percent of in lieu of tax payments from the federal utility in 1980 in exchange for not taxing its property or ratepayers. Dry counties started getting 25 percent.

The state's share under a new law last year increased to 78 percent, with the TVA counties getting the extra 3 percent.

TVA spokesman John Moulton said the TVA payments to the state are based on the amount of property owned by the utility in each county and the amount of electric bills paid by customers.

The commission-creation bills aren't as tightly written as two bills approving half-cent sales tax increases for Colbert and Lauderdale counties to support economic development efforts to attract a major industry. Those bills created a committee of elected officials that must approve all expenditures from the fund.

When asked about Marshall County earmarking money in its legislation, Irons said Lauderdale County's also is earmarked by target but not by specific amount.

She said legislators did not earmark the money for economic development to support the industry now looking at the Shoals because the $207,564 was too small to make a difference.

The local incentive package for the industrial project known as Project Tiger will come from one-half-cent sales taxes in Colbert and Lauderdale counties.

"We already have incentives for Project Tiger in Barton that is a substantial amount of money,'' Irons said. "The TVA money can be used in other projects like volunteer fire departments.''

Irons said the Lauderdale commission, for one, will be accountable because the commission will draft rules and regulations. "We'll make sure there's transparency and accountability,'' she said.

"I promise you all my money is going to volunteer fire departments and my community service grants can go to schools,'' Morrow added.

Although the legislation doesn't specifically say, apparently the money will be subject to scrutiny and audits since they'll be deposited into their respective county treasuries, Crosslin said.

And supposedly commission meetings will be subject to the Alabama Open Meetings Law that requires advance meeting notice, proponents say.

The chairman of the Lauderdale County Republican Party, former Florence Mayor William Batson, was wary of the nonelected commission in Lauderdale County, calling the money a Democratic "re-election slush fund.''

Batson said the GOP executive committee opposes the fund because the majority of the commission will be unelected and "unaccountable, and they will award 'grants' and 'pork' in the community.''

Legislators said the money will be spent regardless of political affiliation and will be based on need.

"This not a slush fund,'' Irons said. "We're returning money from south Alabama to Lauderdale County and volunteer fire departments and help promote agriculture products and economic development.''

Batson said the money would be better spent going to county roads and for law enforcement.

"Just a portion of these dollars could double the number of school resource officers placed in the Lauderdale County Schools to ensure the safety of our children,'' county Commissioner William Smith said in a statement.

Dana Beyerle can be reached at (334) 264-6605 or dtb12345@aol.com.