SB309 Summary

• Proposes a local constitutional amendment for Colbert County to expand the severance tax to apply to all severed material removed from the county, regardless of transportation method.

• Sets the severance tax rate at eight cents ($0.08) per ton on severed material sold as tangible personal property.

• Establishes the point-of-sale for tax collection at the location where property is loaded for delivery, whether delivered by the producer, common carrier, or third party.

• Directs net proceeds from the severance tax to the Colbert County Commission for allocation and expenditure under Chapter 13 of Title 40, or as otherwise provided by local law.

• Requires an election on the proposed amendment following constitutional procedures, with voters to decide on the measure.