Alabama § 45-21-140 - Sales and Use Tax Authorized; Use of Funds.

§ 45-21-140. Sales and Use Tax Authorized; Use of Funds.

(a) This section shall apply only in Crenshaw County.

(b) For purposes of this section, the following term shall have the following meaning:

ELIGIBLE FIRE DEPARTMENTS and ELIGIBLE EMERGENCY MEDICAL SERVICES. A fire department in Crenshaw County that maintains an ISO-approved rating of at least Class 9, is certified under the Alabama Forestry Commission guidelines, and is a member in good standing of the Crenshaw County Association of Volunteer Fire Departments. An eligible emergency medical service means an emergency medical service that is licensed by the Alabama Department of Public Health, Office of EMS and Trauma, and is in good standing with the Crenshaw County Association of Volunteer Fire Departments.

(c) Subject to approval at a local referendum as provided in this section, the Crenshaw County Commission may levy an additional one-half percent sales and use tax paralleling the state sales and use tax. The proceeds generated by the tax after approval at the local referendum shall be distributed as follows:

(1) Seventy-five percent to the Crenshaw County Association of Volunteer Fire Departments for distribution to eligible fire departments and eligible emergency medical service organizations to provide fire protection and to provide for emergency medical services.

(2) Twenty-five percent to the Crenshaw County Commission for public safety purposes.

(d) Funds paid to eligible fire departments and eligible emergency medical services may only be expended for fire protection and emergency medical and rescue services. The funds may also be expended to purchase liability insurance. The funds may not be expended for food, drink, social activities, fund-raising activities, or salaries. By September 15 of each year, the fire departments and emergency medical services shall file an annual financial statement to the Crenshaw County Commission. The filing shall also account for all unspent funds and whether the unspent funds have been obligated.

(e) Upon dissolution or abandonment of any eligible fire department or eligible emergency medical service, after all indebtedness has been satisfied, any remaining funds or assets shall be transferred to the Crenshaw County Association of Volunteer Fire Departments. The funds and assets shall be reallocated by the Crenshaw County Association of Volunteer Fire Departments to other fire departments and emergency medical services. In the event there are no eligible fire departments or emergency medical services, the funds or assets shall be placed in the county general fund.