Alabama § 25-17-2

§ 25-17-2.

The Legislature finds and declares all the following:

(1) The Federal Lands Program regulates coal mining and reclamation operations on federal lands pursuant to the Surface Mining Control and Reclamation Act of 1977 (SMCRA) and the Mineral Leasing Act of 1920 (MLA).

(2) The United States Department of the Interior Office of Natural Resources Revenue (ONRR) collects royalties and other revenues from coal production on federal lands and pays a portion of this revenue to the state where the mineral was extracted.

(3) The primary intent of the royalties is to compensate states that host federal mineral extraction activities, including the communities most impacted by mineral extraction. Costs to these communities, include, but are not limited to, infrastructure, increased demand on public services, and workforce-related costs.

(4) The McDuffie Coal Terminal at the Port of Mobile serves as the primary export terminal for coal extracted from federal lands in Alabama, handling the majority of coal shipped from mining operations in coal-impacted communities. The movement of coal through the McDuffie Coal Terminal at the Port of Mobile generates significant economic activity, creates jobs in transportation and logistics sectors, and contributes substantial tax revenue to state and local governments. Infrastructure improvements and maintenance at the Port of Mobile are essential to maintaining the competitiveness of Alabama’s coal industry, ensuring efficient market access for coal production, and supporting the broader economic ecosystem dependent on coal mining activities.

(5) It is the intent of the Legislature, by the passage of this chapter, to require that all federal funds made available to the state through 30 U.S.C. § 191(a), be expended within coal-impacted communities, the Port of Mobile, and the State General Fund.