HB366 Summary

• Amends Alabama Code sections governing the Federal Aid Highway Finance Authority to enhance its ability to issue bonds at lower interest rates by modifying membership and pledge provisions.

• Authorizes the authority to pledge state's share of net gasoline tax proceeds to secure bonds, with such pledges on parity with pledges made by the Alabama Highway Finance Corporation.

• Allows the authority to pledge some but not all appropriated funds and to establish pledges on parity or in priority order within the authority's discretion.

• Removes references to interest coupons on bonds and clarifies investment authority for bond proceeds and sinking fund revenues in U.S. obligations, certificates of deposit, and investment agreements fully collateralized by U.S. obligations.

• Effective immediately upon passage and approval by the Governor.