Legislature to address budgets and grocery tax cut this week
The Alabama Legislature will meet on Tuesday, Wednesday, and Thursday this week for days 24, 25, and 26 of the 2023 Alabama regular legislative session. The 1901 Constitution of Alabama limits the regular session to no more than thirty legislative days, and the primary constitutional purpose of the session is to pass the state’s budgets. Alabama has two budgets: the state general fund (SGF) for non-education spending and the education trust fund (ETF) for education spending. Speaker of the House Nathaniel Ledbetter told reporters that he anticipates the House Ways and Means Education Committee will advance the 2024 education budget bills, including a large one-time supplemental appropriation for the current budget year, on Wednesday. If that happens, the Speaker intends to have the education budget bills on the floor of the House of Representatives on Thursday. Ledbetter said that he expects the House to address cutting the state’s four percent tax on groceries at that time. “I think we will see that come out next Thursday,” Ledbetter said of the bill cutting grocery taxes. House Bill 479 (HB479), sponsored by State Rep. Danny Garrett, is the bill cutting the sales tax on food. HB479, as introduced, would use the definition of food used by the Federal Supplemental Nutritional Assistance Program (SNAP). The legislation would cut the state groceries tax from 4.0 percent to 3.5% on September 1, 2023. The legislation also provides for conditional future tax cuts on food. On November 1, 2024, the rate would drop again to 3.0%, but only if net receipts to the ETF increase by 2.0% or more during the FY2024 fiscal year. In years where net receipts to the education budget increase by 2.0% or more, the tax on foodstuffs will drop .5% until it reaches a floor of 2.0%. If we have a robust economy, that could be reached as soon as November 1, 2026. If the economy stagnates and growth fails to reach 2.0% or more, there will be no tax cut that year. HB479 does not affect county or local governments’ existing sales taxes on food sales. It would be left up to the local governments whether or not they would follow the state’s example and reduce their own sales taxes – which in many jurisdictions are much higher than the state’s tax. Some The state brings in over $600 million from the sales taxes on food. HB479 could cut state revenues by over $300 million, with $75 million being felt in FY2024. “We will address the budgets on Thursday,” Ledbetter said. The FY2024 education budget that passed the Senate, Senate Bill 88, was $8,798,591,041. That is an increase from $8,261,590,649 in FY2023 2023 – a $537,000,392 ( 6.5% increase). The budget package that passed the Senate included a $2,787,667,309 supplemental appropriation, Senate Bill 87, in one-time money. “There will be some changes in the House side,” Ledbetter said. Senate President Pro Tempore Greg Reed told reporters that the general fund budget should be voted on by the Senate Finance and Taxation Committee on Wednesday and that budget will be addressed by the full Senate on Thursday. He also anticipates movement on cutting the grocery tax this year. The SGF budget that passed the House, House Bill 124, was $3,024,167,948, an increase of $169,030,561 – 5.92% – over FY2023. There is also a supplemental appropriation to the 2023 general fund of $201,738,865 – House Bill 125. Both budgets have already passed in their respective House of origin, but it is highly unlikely that the second house will pass both budgets without making changes. Both budgets will then have to go back to the House of origin for their consideration. It is likely that they will then vote to non-concur – in which case the differences will be resolved in conference committees before returning to both houses. Alabama is 49th in per capita taxation. High poverty and low labor force participation rates adversely affect total state revenues. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Legislature awards Law Enforcement Medal of Honor
On Thursday, two Bibb County deputies were awarded the Alabama Law Enforcement Medal of Honor for their successful pursuit of a dangerous career criminal. Deputies Brad Johnson and Chris Poole engaged in a high-speed pursuit of Austin Hall. After crashing the stolen car, Hall engaged the officers in a deadly gun battle. Both officers were shot in the gun battle with Hall. Officer Johnson was declared dead the next day. House Resolution 181 reads: “COMMENDING DEPUTY BRAD JOHNSON AS A RECIPIENT FOR THE 2023 ALABAMA LEGISLATIVE MEDAL OF HONOR FOR LAW ENFORCEMENT. WHEREAS, it is with highest commendation that we recognize Deputy Brad Johnson as a recipient of the 2023 Alabama Legislative Medal of Honor for Law Enforcement, Alabama’s highest law enforcement award for extraordinary courage in the line of duty; and WHEREAS, on June 29, 2022, Deputy Chris Poole initiated the pursuit of a vehicle that was reported stolen in Calera and driven by a 26-year-old felon, who had been arrested on 46 criminal charges since the age of 17; at periods during the pursuit, speeds exceeded 100 miles per hour; and WHEREAS, the driver lost control of the vehicle and began firing gunshots towards Deputy Poole, who reported on his radio that he had been shot and urged Deputy Johnson, who had joined the pursuit, to back off because of the continuing gunfire; and WHEREAS, Deputy Johnson, who was determined to provide support for Deputy Poole, arrived at the scene, began firing, and placed two shots through the windshield; as Deputy Johnson stepped onto the side rail of his Sheriff’s Department vehicle, he successfully fired two additional rounds before sustaining a gunshot wound as well; both deputies were transported by police escort to UAB Hospital in Birmingham, where Poole was treated and released, and Johnson was placed on life support, which was removed the following day; and WHEREAS, Deputy Brad Johnson was pronounced dead shortly after 3:15 P.M. on June 30, 2022; andWHEREAS, for his bravery on June 29, 2022, and for the events that followed, Deputy Brad Johnson, is highly honored and deserving of the 2023 Legislative Medal of Honor; now therefore, BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES OF THE LEGISLATURE OF ALABAMA, That we hereby recognize and honor the late Deputy Brad Johnson as recipient of the 2023 Legislative Medal of Honor for Law Enforcement and by copy of this resolution prepared in honor and tribute, we commend his memory to the citizens of Alabama.” House Resolution 179 is the resolution honoring Deputy Poole. Poole was present with his family, as was the family of the late Deputy Johnson and members of the Bibb County Sheriff’s Department. The Law Enforcement Medal of Honor is awarded annually by the Legislature. Lieutenant Governor Will Ainsworth told the members of law enforcement present for the joint session: “On behalf of the people of Alabama, we appreciate what you do to keep Alabama safety.” Senate President Pro Tempore Greg Reed said, “When we are at our worse, they are at their best.” Speaker of the House Nathaniel Ledbetter said, “What an honor it is to be here today in the presence of greatness.” “We pray for you, and we pray that God puts his protection around you,” Ledbetter added. “Thank you for your service and what you do for our state.” Alabama Law Enforcement Agency Secretary Hal Taylor thanked the Legislature for giving this annual award and credited former State Rep. Howard Sanderford for starting this, “and thank you for keeping it going.” “What yall do every day is absolutely incredible for the people of Alabama,” Taylor told the officers. “We appreciate you more than you now.” Rep. Rex Reynolds said, “In Alabama, we stand with law enforcement.” Reynolds warned, “The law enforcement profession is under attack.” Reynolds said that since he was 17, Hall had been charged with 49 prior offenses prior to his violent encounters with Deputies Poole and Johnson. Hall had been released from prison just days prior on good time, even though he had other charges pending in the courts. Alabama Today asked if Hall should have been out of prison last June. “That was the basis for Senator [April] Weaver’s bill,” Reynolds said. That bill significantly curtailed good time sentence reductions awarded by prison wardens. Reynolds said that a similar situation occurred with the Huntsville police officer who was killed earlier this year. Reynolds is the former Huntsville Chief of Police. The awards ceremony occurred during a special joint session of both Houses of the Alabama Legislature. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Alabama Senate passes anti ESG legislation
On Thursday, the Alabama Senate passed legislation that would require companies that want state of Alabama contracts to forgo any ESG (environmental, social, and governance) woke corporations or ESGs. Senate Bill 261 (SB261) is sponsored by State Senator Dan Roberts. Senate Bill 261 has been billed as the “strongest” anti-ESG legislation in the nation. The bill prohibits governmental entities from entering into certain contracts with companies that boycott businesses because the business engages in certain sectors, does not meet certain environmental or corporate governance standards, or does not facilitate certain activities. The legislation authorizes the Attorney General to take action to investigate and enforce this act. “I appreciate the support of my colleagues in the Senate for working to pass this legislation,” Sen. Roberts told reporters. “The Alabama Senate has made it clear that we want businesses to focus on growing and expanding and not working to push any political agenda with left-wing ESG policies.” If a company engages in social activism banned by the legislation, it can’t do business with any local or state government. According to the bill, “This bill would prohibit a governmental entity from entering into a public contract for goods or services with certain companies or businesses that engage in the economic boycott of businesses in certain sectors and industries; that fail to meet or commit to meet certain environmental standards; that fail to meet or commit to meet certain corporate governance criteria; or that fail to facilitate certain activities.” Companies would have to sign a verification that it does not engage in boycotts of other companies and industries. Governments can opt out of this provision if they can prove that it would have an adverse economic effect on that government if they can’t do business with that company. The bill states, “The Attorney General shall seek to prohibit the adoption of federal laws, rules, regulations, bulletins, executive orders, or other federal actions that may penalize, inflict economic harm on, limit commercial relations with, or change or limit the activities of a company in the state or a resident of the state based on the furtherance of economic boycott criteria or other similarly oriented rating.” It also protects companies from state or local governments trying to pressure them company into adopting woke political action. “No company in this state shall be penalized, have economic harm inflicted on it, have commercial relations limited, or have the activities of the company changed or limited by a governmental entity because the company will not engage in economic boycotts; will not establish or implement policies, procedures, guidelines, rules, reports, products, services, notices, disclosures, or rates or pricing; will not provide or submit answers to surveys or other information requests or disclosures; will not invest in or divest of certain securities, stocks, bonds, bills, partnerships, or other investment arrangements; or will not initiate other corporate or business practices that further social, political, or ideological interests including, but not limited to, economic boycott criteria or other similarly oriented rating.” Sen. Rodger Smitherman said that the bill was unconstitutional. “I am trying to save you from yourselves,” Smitherman said. “You either don’t know the Constitution or don’t understand the Constitution.” “If you say that they don’t have free expression, you are going to lose,” Smitherman said. “I have been a constitutional law professor for 25 years. Doing something that is unconstitutional just because it feels good does not make sense.” “We have industry in our state that can be hurt by things going on nationally,” Roberts explained. “We are trying to put them in position so they can thrive. We are trying to make sure that they have access to the mother’s milk of capital in the future.” Sen. Bobby Singleton brought an amendment to the committee substitute of the bill. “It was given to me by the governor’s office,” Singleton said. “The finance department; they just wanted to make sure that they are protected in dealing with the state’s debt obligations.” Roberts accepted the Singleton amendment as friendly. “I think this is an anti-business bill,” Singleton said. “You are telling people that do business in the state of Alabama that you can’t have a social conscience.” “This is not a pro-business bill,” Singleton said. “Dan, you are wrong on this one. I will tell you, Dan, that you are wrong on this one.” “You can’t listen to Fox and decide what you are going to do,” Singleton continued. “We can’t be Florida 2.0. We won’t be able to recruit with this on the ground. This is a threat to business. If I don’t sign this paragraph, I can’t do business in Alabama.” Senate President Pro Tempore Greg Reed said, “This is a difficult topic. This is one that is at a national level that we have to deal with.” Roberts left after he learned that his friend, Pastor Harry Reeder, had died driving home from a meeting with Roberts and legislators. Sen. Sam Givhan then assumed the role of advocating for the bill. “We did have great dialogue,” Givhan said of talks with the Alabama business community on the bill. “We had businesses across the gamut in the state of Alabama. We sat down in a room with them, and they presented us with their redlines.” “They are never going to tell you no because they feel vulnerable,” Singleton said. “They know you can pass it anyway.” “They probably walk out of the room and cuss you out once they are out of the room,” Singleton said. “I am sure if they had their way, it would just go away.” Sen Robert Stewart said, “Corporations do have an obligation to be good actors.” Givhan responded, “Their job is to maximize shareholder wealth.” “Why are we trying to tell businesses what they can and can’t do even businesses we do not give incentives,” Smitherman said, “How do we make these God-like decisions? Just because we have authority does not mean that we are God.” Givhan explained the Singleton amendment. “Debt obligations – that is targeted at the bond market,” Givhan said. “There is not
Dr. Harry Reeder dies in a car accident
On Thursday, Pastor Dr. Harry Reeder spoke to the Legislative prayer service in Montgomery. After worshipping and fellowshipping with legislators and policy influencers, he never returned home. The longtime pastor at Briarwood Presbyterian Church PCA died in an automobile crash on I-65. State Senate President Pro Tempore Greg Reed announced the news on the Senate floor at the close of the legislative day. “It has been a sad day,” said Reed. “It has been a difficult day.” “He was a very close personal friend of one of our colleagues,” Reed said. That colleague was State Senator Dan Roberts. Roberts had been in the midst of carrying legislation on the Senate floor when he received the news. Congressman Gary Palmer said on Facebook, “I am heartbroken to hear the news my pastor, Harry Reeder, has passed away. Dr. Reeder was more than a pastor, he was a dear friend, mentor, and a man who understood and exemplified Godly leadership. Harry had an enormous impact on the lives of countless men and women. I will miss his teaching and his friendship, but I’m confident in knowing that one day I will see him again. Ann and I are praying for his family during this time.” Former Alabama Republican Party Chairman and State Senator Bill Armistead said on Facebook, “Today, many in Birmingham and throughout the Christian community in America and the World are grieving the loss of Briarwood Presbyterian Church, PCA Senior Pastor Harry Reeder who was killed in a tragic automobile accident this morning. Pastor Reeder has been a dear friend of mine for 25 years and I was blessed to have lunch with him yesterday along with some other brothers in Christ. As a tribute to Pastor Reeder, I am attaching a link to his daily 10 minute radio program “Today In Perspective” that aired yesterday which provides a Biblical World and Life View analysis of current events and issues. May God bless Pastor Reeder’s family and his family in Christ.” Alabama Citizens Action Program Director and radio host Greg Davis said on Facebook, “In January Dr. Harry Reeder pastor of Briarwood Presbyterian Church, PCA accepted my invitation to speak on May 18th to legislators at the ALCAP – Alabama Citizens Action Program prayer breakfast in Montgomery. He graciously accepted with nothing to gain for himself. He only came from a desire to impact legislators with the gospel and to be with Senator Dan Roberts for Alabama. He arrived last night and visited with me for about an hour. We met early this morning and he spoke to our group. Only God knew it would be his last message as he never made it home. Hear the entire story and my tribute. We hurt his family and the church but Harry is now truly home.” Members of the Briarwood Congregation were informed in a statement from the Church on Facebook that read as follows: “Dear Congregation, It is with a deeply heavy heart that I communicate to you that our Lord has called Pastor Reeder home through a car accident. Please pray for Cindy, Jennifer, Ike, Abby, and their entire family as well as our staff and church family as we all grieve this tremendous loss together. But we do not grieve without hope because we know our pastor is with His Savior and has been received by grace with – “Well done My good and faithful servant.” In Christ our Lord! Bruce Stallings” Dr. Harry L. Reeder III has been the pastor of Briarwood since 1999. He and his wife, Cindy, are natives of Charlotte, North Carolina. They have three children: Jennifer Hay, Harry Reeder IV, and Abigail Leib. They have nine grandchildren. He studied at East Carolina University and finished his bachelor’s degree at Covenant College. After completing his B.A. Degree in History and Bible, he began to attend Tennessee Temple Seminary part-time while serving an Independent Bible Church as a student pastor. Reeder then went into a Pastorate of the Presbyterian Church in America in Miami, Florida—Pinelands Presbyterian Church—while completing a Master of Divinity degree with Westminster Seminary through the Florida Theological Center. Reeder has a Doctor of Ministry Degree from Reformed Theological Seminary, Charlotte, North Carolina. After three years at Pinelands Presbyterian, Reeder became the founding pastor at Christ Covenant Presbyterian Church as their founding Pastor. The ministry began with 38 committed members, and in seventeen years, attendance grew to over 3,000 while planting a number of daughter churches. Reeder also hosted a Bible-teaching radio ministry entitled “In Perspective.” Reeder also hosted a podcast program called “Today in Perspective.” Reeder is the author of The Leadership Dynamic, From Embers to a Flame – How God Can Revitalize Your Church, and other published works, Reeder served as an adjunct faculty member at Reformed Theological Seminary in Charlotte while holding the same status at Birmingham Theological Seminary and Westminster Seminary in Philadelphia, where he also served on the Board of Trustees. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Senate rejects due process for student discipline bill
On Tuesday, the Alabama Senate voted to reject controversial legislation that would have set up a formal due process standard for disciplining a child in an Alabama public school. Senate Bill 181 (SB181) is sponsored by State Senator Rodger Smitherman. The synopsis states, “This bill would provide a uniform statewide system of procedural due process protections relating to the suspension and expulsion of public school students for violating the student code of conduct or state law. This bill would also provide for the adoption of any necessary rules to implement this act by the State Board of Education.” The bill, after being amended, was voted down rapidly with no floor debate. Smitherman then took an hour of time during the next bill to voice his unhappiness with the Senate’s rejection of his legislation. “Last year, we passed the same bill out of the Senate almost unanimous,” Smitherman said. Last year the legislation failed in the House of Representatives. The legislation was staunchly opposed by Alabama School Superintendents and other education supporters. “It is obvious they did a good lobbying effort among our colleagues to kill the bill,” Smitherman said. “The school superintendents, they have elevated their power now to the point that they can convince all but eleven people that these children do not need due process.” “Those little children ain’t going to have anybody standing out there (in the Statehouse halls) talking for them,” Smitherman said. “Who is getting suspended? Who is getting so many days? and for what reason?” Smitherman said heavily, implying that school systems target Black students, particularly males, for discipline. “The teacher is the judge, jury, and executioner,” Smitherman said. “They (the accused children) don’t get the first benefit of the doubt,” Smitherman said. “They are guilty until they are proved innocent.” The most controversial element of Smitherman’s legislation was giving a student the right to face their accuser. The Greene County Superintendent testified before committee that students fear retaliation by other students, so a student who might tell a teacher that another child has a gun in school; would not come forward if her identity was revealed. Smitherman also opposes the mandatory kindergarten bill that would force a child who did not attend kindergarten as a five-year-old to be denied admission into first grade. He also opposes the Alabama Literacy Act provision that a child that can’t read at grade level by the end of the third grade will have to repeat third grade. “First, they want to hold them back in the first grade,” Smitherman said. “If they don’t get them there, then they want to hold them back in third grade. If they don’t get them there, then they use these discipline policies to suspend or expel them.” “They ain’t going to stay in school when they are 21,” Smitherman said. “If they don’t get an education, they ain’t gonna get a job. If they have no job, they can’t eat.” Smitherman called the schools a “pipeline to prison.” The Legislature is also concerned with criminal gangs operating within many Alabama schools. The Senate voted down SB181 11 to 20. Jabo Waggoner, Tom Butler, Arthur Orr, and Greg Reed were the only Republicans to vote for the bill. Billy Beasley was the only Democrat who voted against the legislation. The controversial legislation appears to be dead for this session. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Greg Reed says bill to reduce grocery tax gaining momentum among GOP state Senators
On Thursday, the Alabama Senate passed the largest education budget in Alabama’s history. Between the $8.9 billion FY2024 education trust fund (ETF) and the $2.8 billion FY2023 supplemental appropriation, the total appropriation shattered every revenue record in state history. The great economy and the newfound wealth are forcing legislators to set priorities and ask hard questions about what they really want to accomplish in the next four years. The problem with money, especially new money, is that everybody has their own ideas about what to do with it. Every school in the state and every university wants more money than they received last year. Ditto with almost every state agency funded in the education budget. The Alabama Department of Education is presenting legislators with a myriad of plans to create or expand programs it claims will improve the dreadful educational performance in the state. The Alabama Department of Commerce has requests for renewed and expanded economic incentives. The Alabama Department of Corrections, which is normally largely funded in the state general fund budget (SGF) rather than the education trust fund (ETF), wants $100 million in education dollars to build education facilities on the sites of their new megaprisons in Elmore and Escambia Counties. There were even calls from Montgomery legislators for $30 million to build a dubious water rafting theme park. Every University or nonprofit group has presented the legislature with their plans to build a new building, center, or program. In her State of the State address, Governor Kay Ivey promised every Alabamian a $400 check in their mailbox. School choice advocates are asking for education dollars to follow the child out of Alabama’s troubled public school system with the PRICE Act. Four legislators have presented plans to reduce or eliminate the state’s four percent sales tax on groceries. Legislators are talking about lowering the state’s corporate income tax rate. The Alabama House of Representatives actually passed legislation eliminating the income tax on hourly workers working overtime. There are also calls to save money in this record revenue year in anticipation of the next economic downturn. With 140 different legislators, there are 140 different ideas about how to spend the state’s revenues. “We cannot do it all,” said Sen. Arthur Orr, who chairs the Senate Finance and Taxation Education Committee, told reporters following passage of the budget package Thursday. Senate Pro Tem. Greg Reed agrees. “We can’t do all of it,” Reed said. “There is a slew of tax cuts ideas coming,” Orr said. “How are we going to afford it?” “We need to be careful that we don’t cut too many taxes,” Reed said. Reed indicated that the plan most likely to move forward is the plan to reduce grocery taxes. “When you talk to the members, you will hear more about the grocery tax than any other,” Reed said. Alabama Today asked Orr if the $45 million tax cut for hourly workers that passed the House on Tuesday was in the budget that passed the Senate on Thursday. “No, it was not,” Orr said. The Senate does plan to save some of the money in a new reserve account. “Half a billion dollars is going into a savings account which is where we’re going to put the rebate money to take care of future needs, particularly because we’re concerned about the future of the economy,” Orr said. The Senate also downsized Governor Ivey’s rebate plan from $400 per tax filer to $105, saving approximately $700 million. The Senate eliminated plans to spend $30 million on a new healthcare-focused boarding school in Demopolis. That was replaced with a $500,000 study to study the feasibility of the plan and what would be the best site for the plan. The Senate rejected an amendment by Sen. Bobby Singleton that would have restored $2 million of funding for the school. “I would like to thank this body for telling little babies in West Alabama that they don’t mean anything,” Singleton said after losing the vote, “Thank you, this is why we will always be number 50.” The Senate budget also cut out the plan to provide $30,000 million to Montgomery, including the plans for the controversial water park. “I am very concerned that the capital city will be completely left out of the supplemental,” said Sen. Kirk Hatcher. “I am pleading with you to help with this.” The legislature did advance a controversial bill to provide a bridge loan to cash-strapped private college Birmingham Southern College. That bill is sponsored by Sen. Jabo Waggoner – a Birmingham Southern Alum. The budget package now goes to the Alabama House of Representatives for its consideration. The House has already passed the state general fund budget (SGF). The SGF could come out of committee in the Senate as early as Wednesday, but sources think it likely will be another week. “This is an unprecedented budget and an unprecedented time,” Orr said. Wednesday was Day 18 of the 2023 Alabama Regular Legislative Session. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Steve Flowers: Jabo Waggoner – An Alabama political icon
As I stroll down the halls of the Alabama Senate during this current Regular Session of the Alabama Legislature, I will stop and visit in the offices of my favorite legislative buddies. My favorite and first stop is with my longtime friend Jabo Waggoner. Jabo, being the Dean of the legislature, has the first prime corner office. He also chairs the agenda-setting Rules Committee. Therefore, there is a throng of high-priced lobbyists camped outside the door trying to get Jabo to put their bills on the Special Order Calendar. Jabo and I will swap stories of bygone years and reminisce about past experiences. Jabo is a big sports fan and was a great college basketball player. In fact, Jabo was one of the founders and remains on the Board of the Alabama Sports Hall of Fame, which is located in downtown Birmingham. Jabo, Gene Hallman, and Edgar Welden were the pillars and founders of this prestigious Institution. One of Jabo’s and my favorite remembrances is going together to the Olympic Soccer Games held at Legion Field in Birmingham. Recently while visiting Jabo, I thought, “I am with an Alabama political icon.” Jabo Waggoner has been in the Alabama Legislature for 50 years this year. Folks, that is an Alabama record. Jabo Waggoner is the longest-serving legislator in Alabama history. He served 17 years in the Alabama House of Representatives and is in his 33rd year in the Alabama Senate. Jabo was first elected to the Alabama Senate in 1990. The heart of his district has always been the entire city of Vestavia. He also represents parts of Homewood and Hoover. This is a very Republican area, and therefore, Jabo is an arch Republican. Jabo is revered in Jefferson County, but his popularity extends beyond Jefferson and Shelby counties. When Kay Ivey was running for Governor for the first time in 2018, she asked Jabo to be her titular campaign manager. He introduced her as she announced her candidacy. Jabo is adored by his Senate colleagues, especially the younger state senators. They throng to him for tutoring and mentoring. The Senate leaders, Greg Reed of Jasper and Clay Scofield of Arab, seek his guidance on tricky senate maneuverings. Jabo was the Republican Minority Leader of the State Senate from 1999 until the Republicans gained a legislative majority in 2010. He was the first Republican Majority Leader, then relinquished that role to be the Rules Chairman, where he currently serves. Jabo is married to his high school sweetheart Marilyn. They have been married for over 60 years. I have never met a more beautiful or sweeter lady than Marilyn Waggoner. They had four children, three sons, and a daughter. One of their sons, Scott, died at an early age in an automobile accident. Jabo and Marilyn are ardent members of the Homewood Church of Christ. They attend almost every Sunday and sit with Jabo’s best friend, Dr. Swaid and his wife, Christy. Jabo’s and Marilyn’s children attend the same church. Jabo Waggoner has done a lot for Jefferson County for over 50 years. It would take a book to chronicle his legislative accomplishments and good deeds. In the 1970s, Waggoner sponsored legislation that spearheaded the purchase of 45 blocks in downtown Birmingham for UAB’s expansion. UAB purchased this property, which was valued at $8.5 million at that time. There is no telling what that land is worth today – probably well over $200 million to $300 million. Jabo was first elected to the legislature in 1966. It is no coincidence that UAB has grown into one of the premier medical and research institutions in America and the Crown Jewel of Alabama during that same period. Although Jabo is an arch conservative Republican, he has forged a close working relationship with his fellow Democratic Senate leader Roger Smitherman to work across the aisle for the good of Jefferson County. In closing, in all my years of following Alabama politics, I have never seen a more modest or amicable leader than Jabo Waggoner, Jr. I have never seen or heard of anyone who has ever met Jabo that did not like him. Jabo Waggoner is an icon of Alabama political history. See you next week. Steve Flowers is Alabama’s leading political columnist. His weekly column appears in over 60 Alabama newspapers. He served 16 years in the state legislature. Steve may be reached at www.steveflowers.us.
Gov. Kay Ivey signs ‘The Game Plan’ legislation
On Thursday, Alabama Gov. Kay Ivey signed a package of four bills to extend and expand the economic incentive tools available to state financial planners. The Alabama Legislature passed the package of bills on Thursday morning, promising that the four “Game Plan” bills are the “plays” Alabama needed to call to have a bright future. “I am proud the Alabama Legislature has officially passed all four bills in The Game Plan package – my plan for our state’s continued economic success,” Ivey said in a statement. “I commend both the Senate and House for their incredible work on this timely legislation that will, no doubt, be transformative for our state and, more importantly, for our families. We are creating stability for our economy and are going to keep Alabama winning for many years to come.” “The Game Plan will give Alabama’s team the tools it needs to extend our winning record in economic development and help us unleash a new wave of growth and innovation across the state,” said Gov. Ivey. “From our rural areas to our big cities, this is going to benefit every corner of Alabama.” Senate President Pro Temp Greg Reed said that passage of the package was a victory for the state and its future. “The Game Plan is a multi-pronged approach to strengthen Alabama’s economy from all angles,” said Reed. “The four ‘plays’ are effective pieces of legislation that will help Alabama’s local communities thrive by attracting high-quality employers, creating jobs, and stimulating economic growth.” Speaker of the House Nathaniel Ledbetter said that the package would benefit Alabamians by better positioning the state to compete for the best jobs in the country. “Industries across the nation and globe are trying to come here because of our great employees, our low taxes, and our unbeatable quality of life,” said Ledbetter. “We want to make sure that, from a competition standpoint, we have the tools needed to bring companies here and keep them here.” Greg Canfield is the Secretary of the Alabama Department of Commerce. “The Game Plan will serve as our next-generation strategic economic development framework as we work to build a more dynamic economy for Alabama and its citizens,” said Secretary Canfield. “Neighboring states are aggressively escalating their economic development activities, and this will allow us to keep winning the projects that trigger lasting impacts.” The Alabama Big 10 Mayors praised the passage of the economic development Incentives bills. Passing the economic incentives legislation was item number one on the Alabama Big 10 Mayors’ 2023 legislative agenda. “These incentives programs are critically important to our cities and the entire state of Alabama,” the Alabama Big 10 Mayors said in a joint statement. “For our cities to be successful, we need to have the tools to attract new industry, businesses, and high-quality jobs. These bills give Alabama the ability to not just remain competitive, but also increase our ability to attract the world-class businesses and developments that improve the quality of life across our state.” “We thank Governor Kay Ivey, legislative leadership and their members, the Department of Commerce, and the many stakeholders who worked tirelessly to make this happen. We were proud to support this package of bills, and we look forward to seeing the impact that these incentives programs will have on each of Alabama’s ten largest cities.” The Mayors representing Alabama’s ten biggest cities work together to address the state’s most important issues and make Alabama a safer, better place for all its residents to live. The Alabama Big 10 Mayors include Auburn Mayor Ron Anders, Birmingham Mayor Randall Woodfin, Decatur Mayor Tab Bowling, Dothan Mayor Mark Saliba, Hoover Mayor Frank Brocato, Huntsville Mayor Tommy Battle, Madison Mayor Paul Finley, Mobile Mayor Sandy Stimpson, Montgomery Mayor Steven Reed, and Tuscaloosa Mayor Walt Maddox. The Game Plan includes four bills — or “plays” — focusing on economic development issues such as incentives, site development, small business support, and transparency. Play 1: The Enhancing Alabama’s Economic Progress Act renews the Alabama Jobs Act and the Growing Alabama program and extends their sunset dates to 2028 while adding strategic enhancements to increase their effectiveness. The Jobs Act is the state’s primary incentives platform, while Growing Alabama primarily speeds development of shovel-ready sites. Play 2: The Site Evaluation and Economic Development Strategy Act (SEEDS) will allow the State Industrial Development Authority to accelerate the development of industry-ready sites at a time when available sites are scarce, and other states are expanding their site programs. Play 3: The Innovation and Small Business Act aims to supercharge growth in Alabama’s innovation economy and support underrepresented businesses and enterprises in rural areas, transforming the state into a hub for technology and innovation. Play 4: The Enhancing Transparency Act will amend the Jobs Act to require the Alabama Department of Commerce to publish certain incentivized project information on its website. Transparency around important information related to companies receiving incentives will serve a valid public service and increase confidence in the process. Critics of the idea of economic incentives to lure industry and projects argue that it is corporate welfare and picking winners and losers, but there were no critics in the Alabama Legislature as the plan sailed through both Houses. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Big Ten mayors host annual breakfast
On Wednesday, the Alabama Big Ten Mayors hosted legislative leaders at a breakfast on the Sixth Floor of RSA Plaza. The mayors thanked the legislators for their service and asked them to support their 2023 legislative agenda. Montgomery Mayor Steven Reed said, “There are a lot of great things happening in this city and across Alabama.” “We had a record year in economic development in the city,” Reed said. “It could not have happened without great help from the state of Alabama and our elected representation.” Reed said that the new $90 million waterpark would be an “economic lynchpin” for the city. “Gen Z picks the place and then picks the job,” Reed said. “That is a little bit different from what I was used to. We found the job and then went to the city where it was.” Reed said the water park would feature whitewater rafting next to a walking trail on the Alabama River and Maxwell Air Force Base. “It will definitely be a destination,” Reed stated. Mobile Mayor Sandy Stimpson is the Chairman of the Big Ten Mayors. “This started in 2014 as the big 5,” Stimpson said. “We started meeting on a quarterly basis. We found out that we had the same problems.” “That morphed into the Big 10 Mayors in 2019,” Stimpson. “Rebuild Alabama was our first focus. Rebuild Alabama has been great for the state.” Stimpson said that the mayors next got involved in Anaiah’s Law. “There was a repeat offender who had already shot a couple of people,” Stimpson said. “We asked the judge: Don’t let him out. The judge said: I have to. If you don’t like it, change the constitution.” The Mayors then got behind Anaiah’s law, which was sponsored by State Rep. Chip Brown. That amendment to the Alabama Constitution passed the Legislature and was ratified by the voters in the 2020 election. Tuscaloosa Mayor Walt Maddox said that the Mayors are urging the Legislature to pass the Simplified Sellers Use Tax. “Small business is the heart of our cities,” Maddox said. “We know it is not easy, but these are the people borrowing the money and taking the risk to build our communities, and they are the heart of our downtowns.” Lieutenant Governor Will Ainsworth said, “The big ten mayors play a big role in our state. Thank you for your support of our incentives package.” Senate President Pro Tempore Greg Reed said, “We will be looking at a four bill incentives package,” “We have had great success in Alabama with incentives,” Reed said. “We have created tens of thousands of jobs.” Speaker of the House Nathaniel Ledbetter said, “Our state is growing at a pace that I have not seen in my lifetime.” Ledbetter credited the incentives package for contributing to this growth. “The incentives have led to $40 billion in investment in the state and created 60,000 jobs,” Ledbetter said. “Rebuild Alabama has changed Alabama’s economy. All over the state, you see (road construction) barrels wherever you go. It used to not be that way.” “Ports are hugely important,” Ledbetter said. “We are expanding our port and building a new one in Montgomery.” Stimpson said, “75% of the people in Alabama live in the state’s metropolitan areas, and most of the economic growth occurs in the metropolitan areas.” The Alabama Big 10 Mayors include Auburn Mayor Ron Anders, Birmingham Mayor Randall Woodfin, Decatur Mayor Tab Bowling, Dothan Mayor Mark Saliba, Hoover Mayor Frank Brocato, Huntsville Mayor Tommy Battle, Madison Mayor Paul Finley, Mobile Mayor Sandy Stimpson, Montgomery Mayor Steven Reed, and Tuscaloosa Mayor Walt Maddox. Wednesday will be day 8 of the 2023 Alabama Regular Legislative Session. The Alabama Constitution limits the regular session to no more than thirty legislative days during a regular session. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Gov. Kay Ivey signs legislation to impose tougher penalties for fentanyl traffickers
On Thursday, Alabama Governor Kay Ivey signed legislation that set mandatory minimum sentences for persons convicted of trafficking in fentanyl. House Bill 1 (HB1) is sponsored by State Rep. Matt Simpson. “The entire nation should take note of what we accomplished today in Alabama with the passage of House Bill 1, the bill to help combat the fentanyl crisis,” Ivey said. “Every member of the Legislature – Republican and Democrat – came together to pass this critical piece of legislation.” “Combatting this deadly drug will continue to be a top priority for our Alabama Law Enforcement Agency, and I will do everything in my power to stop this drug from being a killer in Alabama,” Ivey said. “I commend Rep. Matt Simpson for his leadership on this issue, as well as all members of the Alabama Legislature for sending this bill to my desk.” The Alabama Senate passed HB1 Thursday morning. State Sen. April Weaver carried the bill on the floor of the Senate. The debate was short as the bill was the first on the Senate’s Thursday special order calendar, and there was no opposition. The bill passed 31 to 0. “This bill deals with fentanyl,” Sen. Weaver said. “We all know that fentanyl is hurting all of our communities.” “The deaths are going up,” Simpson told reporters. “80% of the overdose deaths in this state are now from fentanyl.” “If you get caught with fentanyl, you will go to jail,” Simpson said. Simpson explained to reporters that a criminal who is caught with over 8 grams of fentanyl will get a life sentence. “One gram can kill over 500 people,” Simpson explained. “This isn’t just a big city problem.” Simpson explained that his legislation simply updates Alabama’s trafficking law. While that law set trafficking standards for cocaine, heroin, methamphetamine, and even marijuana, fentanyl was not mentioned in the statute. “It was the only drug in Alabama where there was no mandatory minimum,” Simpson explained. Speaker of the House Nathaniel Ledbetter expressed his support for the legislation. “I am elated that was my number one priority bill coming into the session has passed, “Ledbetter said. “The state of Alabama set a message today that if you are caught with it you are going away.” The votes to pass HB1 were unanimous in both Houses of the Legislature. “There is no question in the minds of the legislators just how terrible and awful it (fentanyl) is,” said Senate President Pro Tem. Greg Reed. “If you are caught trafficking fentanyl in Alabama, we want you to go to prison and be off the streets.” Over 107,000 Americans died from drug overdoses in the last 12 months. Alabama has set a new state record high in drug overdose deaths largely due to fentanyl. “Getting Narcan out there is extremely important,” Simpson said. Narcan is being used by first responders, schools, churches, and even parents to save the lives of drug overdose victims. The legislature will meet next Tuesday for the eighth legislative day of the 2023 Alabama Regular Legislative Session. To connect with the author of this story or to comment, email brandonmreporter@gmail.com
Gov. Kay Ivey launches Game Plan legislative package
On Monday, Governor Kay Ivey launched what plan for Alabama’s continued economic success. Called “The Game Plan,” the proposed package consists of four economic development bills. Governor Ivey was joined by the leadership of the Alabama Legislature to signal bipartisan support for The Game Plan. Ivey spoke with reporters at Montgomery’s Riverwalk Stadium. “The Game Plan will position Alabama for a new era of vigorous growth, allowing us to continue our record-breaking economic development success while providing new levels of support for the state’s innovation economy,” said Gov. Ivey. “This package will benefit all Alabamians, those living in both urban centers and rural areas, and ensure our citizens are ready for high-paying careers.” The Game Plan package includes four bills — or “plays” — that will be introduced during the current session of the Legislature. According to the governor’s plan: • Play 1: The Enhancing Alabama’s Economic Progress Act renews the Alabama Jobs Act and the Growing Alabama program and extends their sunset dates to 2028 while adding strategic enhancements to increase their effectiveness. The Jobs Act is the state’s primary incentives platform, while Growing Alabama primarily speeds development of shovel-ready sites. • Play 2: The Site Evaluation and Economic Development Strategy Act (SEEDS) will allow the State Industrial Development Authority to accelerate the development of industry-ready sites when available sites are scarce and other states are expanding their site programs. • Play 3: The Innovation and Small Business Act aims to supercharge growth in Alabama’s innovation economy and support underrepresented businesses and enterprises in rural areas, transforming the state into a hub for technology and innovation. • Play 4: The Enhancing Transparency Act Enhancing will amend the Jobs Act to require the Alabama Department of Commerce to publish certain incentivized project information on its website. Transparency around important information about companies receiving incentives will serve as a valid public service and increase confidence in the process. Ivey was joined by Lt. Gov. Will Ainsworth, state Senate President Pro Temp Greg Reed, Speaker of the House Nathaniel Ledbetter, Senate Minority Leader Bobby Singleton, and House Minority Leader Anthony Daniels. Greg Canfield is the secretary of the Alabama Department of Commerce. “The Game Plan represents the state’s next-generation strategic economic development framework, designed to future-proof Alabama’s economy and provide a blueprint for growth that lifts families and communities across the state,” said Secretary Canfield. “It will keep us competitive for high-impact projects as our neighboring states are aggressively escalating their economic development efforts.” Canfield and Ivey credit the Jobs Act with bringing $22 billion in new capital investment and 40,000 jobs to the state. The jobs created by these projects will pay an average hourly wage of $23.42, a figure that is 31% more than the state’s median wage, according to Commerce data. If the Legislature does not renew the Jobs Act, it will expire on July 31 of this year, as will the Growing Alabama tax credit program. State and local governments will not be able to offer the incentives that the state has been offering over the last dozen years. Ivey has announced that economic development projects in 2022 will bring over $10 billion in new capital investment to the state, setting a new annual record. “Our goal is simple — we want to have the best incentives not only in the Southeast but in the nation as a whole,” said Lt. Gov. Ainsworth. “Reauthorizing these programs is going to be essential in attracting high-paying, long-lasting 21st Century jobs.” “When you look at the issues Alabamians care about, economic development and job creation are at the top of that list. States around our region are all competing to attract jobs and create economic growth,” said Sen. Reed. “We need to make sure we are best positioned to attract these good-quality jobs to communities in our state.” “Industries across the country are trying to come here because of our great employees, our low taxes, and because of our great quality of life,” said Speaker Ledbetter. “From a competitive standpoint, we want to make sure we have the tools necessary to bring them here and keep them here.” “Growing Alabama’s economy and creating good jobs for our citizens is something we can all agree on,” said Sen. Singleton. “We will continue to promote practical and meaningful legislation and policies that highlight our pro-growth, pro-innovation platform,” said Leader Daniels. Critics have criticized the state’s incentives program as the state government picking winners and losers. However, this package seems to have bipartisan support from the leadership of both political parties, and there has been no public opposition from any legislators. It appears to be on the fast track toward passage. Tuesday will be day 5 of the 2023 Alabama Regular Legislative Session. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
Gov. Kay Ivey to announce launch of economic development agenda
On Monday, Alabama Governor Kay Ivey will officially launch her push to pass economic development bills at an announcement event in Montgomery. Ivey will present “The Game Plan,” her plan for Alabama’s continued economic success. “The Game Plan” is a proposed package of four economic development bills that Ivey insists will strengthen the state’s competitiveness for job-creating projects. Ivey will be joined by Alabama Department of Commerce Secretary Greg Canfield, Senate President Pro Tempore Greg Reed, Speaker of the House Nathaniel Ledbetter, Senate Minority Leader Bobby Singleton, House Minority Leader Anthony Daniels, and Lieutenant Governor Will Ainsworth. Ivey has made renewing the state’s economic incentives a key goal of her administration this legislative session. “I am proud of the successful track record we have had in recruiting business and industry to both the rural parts of Alabama and the larger cities,” Ivey said in her state of the state address. “Since I’ve been governor, more than $42 billion have been invested in our state, which has created some 78,000 new jobs. For most of those, we can thank the Alabama Jobs Act. And any good coach knows when you have a play that’s working, the team needs to keep running it. Today, we have to look ahead and create an economic development strategy for the 2030s. I assured you we would have a winning game plan here at home, and tonight, I am calling on you to get behind our playbook for economic success, what I am calling The Game Plan. We will ensure stability and growth by renewing and improving the Alabama Jobs Act and the Growing Alabama Act.” Speaker Ledbetter has said that renewing the Alabama Jobs Act would be one of the legislature’s first priorities. “(The Alabama Jobs Act) is going to be priority No. 1 coming back after break. I think you’ll see a big push for that,” Ledbetter stated. “They’ve been very positive for our state. We’ve seen the job growth has been tremendous because of it. We’ve looked at the numbers; we got a return on the investment of 173% over a 20-year period.” Ledbetter believes legislation on this needs to be done quickly. The Alabama Jobs Act, created in 2015 and set to expire this year, has netted $256.8 million in incentives, Sec. Canfield reported in 2022. This amount outpaced the department’s benchmark of $164.6 million. The Joint Study Commission on Renewing Incentives has discussed extending the Jobs Act through 2028 with a higher payout cap. Legislation has not been filed yet. The Jobs Act created two separate incentives: The Alabama Jobs Credit and Alabama Investment Credit. The Jobs Credit gives companies cash rebates on their previous year’s payroll for qualified employees, and companies can get higher rebates if they locate in rural parts of the state or hire veterans. The Investment Credit addresses a company’s capital investment and can be applied to several taxes, including income. Companies can receive incentives for up to 10 years. The incentives are currently capped at $350 million annually. Canfield said the Jobs Act has helped the state recruit 217 projects creating more than 38,000 jobs, and he believes the $350 million cap should be increased. During her state of the state address, Ivey also proposed a plan to dole out $200 million in direct cash payments to Alabama businesses. “I am also proposing we invest even more into our locally owned businesses – the ones engrained into the DNA of our communities – through a $200 million grant program known as our Main Street Program,” Ivey said. “These competitive grants will help revitalize our small cities and towns. When folks think of main streets, they should think of rural Alabama!” Unemployment has dropped to just 2.5%, and state revenues have soared under Ivey. The state is so flush with cash that on September 30, it rolled $3 billion in surpluses from the 2022 fiscal year into the 2023 budget year. Renewing economic incentives is also a priority of Alabama’s Big Ten Mayors. The Mayors of Alabama’s ten biggest municipalities support the reauthorization and accompanying expansion of the Alabama Jobs Act and the Growing Alabama Act. The Mayors claim that the incentive programs established by these bills are critical to keeping Alabama’s economy globally competitive as we work to attract new businesses and jobs to our communities. Some fiscal conservatives have criticized the push to renew incentives. “Economic incentives should be Alabama’s last resort in securing new businesses,” the Alabama Policy Institute’s Justin Bogie argued recently. “Lower tax rates and a better-educated workforce will be enough incentive. It will also improve the lives of all Alabamians.” At this point, it appears that the Governor’s plan, with perhaps some minor alterations in the legislative process, will pass the Alabama Legislature with broad bipartisan support. To connect with the author of this story or to comment, email brandonmreporter@gmail.com.
