Code of Alabama - Title 45: Local Laws - Section 45-41-141.07 - Compensation for loss of territory

Section 45-41-141.07 - Compensation for loss of territory.

(a) In the event that any territory lawfully included within the boundaries of a district shall thereafter be excluded therefrom at the instance of the governing body of a municipality pursuant to Section 45-41-141.02, or as a result of the incorporation or annexation of such territory under the circumstances described in Section 45-41-141.05 or 45-41-141.06, the municipality, upon the written request of the commission delivered to the governing body of such municipality, shall enter into a written agreement with the county whereunder such municipality shall agree to take any or all of the following actions (if applicable under the circumstances) that the commission may specify:

(1) In the event that there is then located within such territory to be so excluded from such district any fire station and appurtenant facilities used or operated, whether by the county or any volunteer fire department, for the purpose of providing fire protection, fire prevention, or other related services or facilities, (i) to acquire, construct, and equip, or cause to be acquired, constructed, and equipped, a new fire station and appurtenant facilities at such location within that portion of the district remaining after such territory is so excluded (or, if the entire district is excluded or the commission determines that such remaining portion of the district cannot practically be maintained as a district, at such location within the county) as the commission shall specify and comparable in size and utility to such existing fire station and appurtenant facilities, or (ii) to pay or cause to be paid the costs of such acquisition, construction, and equipment, at such time or times and in such manner as the commission shall determine; provided, that such municipality shall not be required to acquire (i) the real property on which such new fire station and appurtenant facilities are to be located or (ii) any items of personal property or equipment, other than fixtures and so-called building equipment, to be installed or used in or about such new fire station and appurtenant facilities, or to pay any costs of acquiring such real property, personal property, or equipment; (2) If any such fire station and appurtenant facilities are located within such territory to be excluded from such district, to assume any indebtedness or obligations theretofore incurred by the county or volunteer fire department (as the case may be) owning such fire station and appurtenant facilities in connection with the acquisition, construction, or equipment thereof, provided that such owner conveys and transfers such fire station and appurtenant facilities to such municipality (including the land on which such station and facilities are located); or

(3) Whether or not any fire station and appurtenant facilities are located within such territory to be excluded from such district, to pay to the county, on the first day of February in each of the five fiscal years of the county next succeeding the fiscal year during which such territory is excluded from such district, an amount equal to the amount of the financial charges collected, during the 12-month period ending on the date such exclusion of territory became effective, with respect to all units of property located in such territory.

(b)(1) All moneys paid by such municipality to the county pursuant to subdivision (3) of subsection (a) shall be treated, for purposes of this part, as proceeds from the financial charge previously levied and collected in the territory so excluded from such district, shall be deposited:

a. In the district fire protection fund established with respect to such district, or

b. If the remainder of the territory in such district is subsequently consolidated with another district, in the district fire protection fund established with respect to the district with which such territory is consolidated, or

c. If the entire district has been so excluded, in such district fire protection fund or funds as the commission may direct,

(2) And shall be appropriated and expended in accordance with Section 45-41-141.11. Such municipality may agree hereunder to make any payment provided for in this section, and neither the obligation to make any such payment nor any agreement of such municipality in connection therewith shall be construed to constitute a debt or indebtedness of such municipality within the meaning of any constitutional or statutory limitation on indebtedness then applicable to such municipality.

(Act 89-390, p. 747, §8.)

Last modified: May 3, 2021