SB231 Summary

• Creates the Alabama Legacy Trust Fund as an irrevocable permanent trust fund to be administered by the Alabama Trust Fund Board of Trustees.

• Defines settlement proceeds as payments of $2,000,000 or more received by the state from court orders, negotiated settlements, or other sources, requiring first repayment of $161,565,874 to the Rainy Day Account and $437,390,829 to the Alabama Trust Fund before depositing remaining proceeds into the Legacy Trust Fund.

• Requires trust capital to be held in perpetual trust and not appropriated by the Legislature, with five percent of average market value distributed annually: 80 percent to the State General Fund, 10 percent to the Alabama Capital Improvement Trust Fund, and 10 percent retained in the Legacy Trust Fund.

• Mandates annual audits by the Department of Examiners of Public Accounts or an independent certified public accounting firm, with quarterly reports required within 30 days of each quarter showing trust capital, income, investments, and financial operations.

• Protects trustees from personal liability except for willful misconduct or wrongdoing, and repeals conflicting laws including Code of Alabama Section 36-15-4.2.