What Does “Rebuild Alabama” Mean to You?

What Does “Rebuild Alabama” Mean to You?

By Marla Jones, Managing Editor • marla@southerntorch.com

DeKALB COUNTY, Ala. — The recent passage of the Rebuild Alabama Act has stirred controversy across the State of Alabama and in DeKalb County.

With many citizens of DeKalb County questioning how this new gas tax will directly affect their lives, Southern Torch decided to give a brief breakdown of how our County and the major communities in DeKalb County will benefit. The new tax collected will be distributed by a hybrid allocation formula amongst the state (66.67%), the counties (25%), and the cities (8.33%). Of the counties’ 25% portion, 45% will be allocated equally among all of the counties while 55% will distributed based on the individual county’s population. Of the cities’ 8.33% portion, 25% will be allocated equally among all of the cities while 75% will be distributed based on the individual city’s population.

Governmental projections show the total projected new tax to be collected will be approximately $312 million annually. Based on those projections, the counties’ portion will be approximately $78 million while the cities will see approximately $48 million.

According to the 2010 census, DeKalb County has a population of 71,109, which is 1.49% of the state’s population. In 2017, the gross fuel tax receipts for the County were $2,657,831. With the new tax in place, the County’s proposed revenue increase will be $1,166,357.

The five counties in the state that will receive the most gas tax revenue increase under the Rebuild Alabama Act: Jefferson ($6,453,572), Madison ($3,536,785), Mobile ($4,242,320), Montgomery ($2,590,334), and Shelby ($2,280,587).

The DeKalb County breakdown shows the projected tax revenue increase for each community:

  • Collinsville -2017: $19,127 -> $46,659*
  • Crossville -2017: $17,579 -> $44,292*
  • Fort Payne -2017: $132,288 -> $241,248*
  • Fyffe -2017: $9,611 -> $30,611*
  • Geraldine -2017: $8,459 -> $28,633*
  • Hammondville -2017: $4,607 -> $22,026*
  • Henagar -2017: $22,130 -> $52,106*
  • Ider -2017: $6,826 -> $25,829*
  • Mentone -2017: $3,399 -> $19,944*
  • Rainsville -2017: $46,714 -> $94,318*
  • Sylvania -2017: $17,343 -> $43,887*
  • Valley Head -2017: $5,268 -> $23,154*

*projected tax revenue increases

Six cities are projected to receive over $1 million annually from the Rebuild Alabama Act: Huntsville ($4,848,569), Mobile ($2,180,813), Montgomery ($2,072,136), Birmingham ($1,521,600), Madison ($1,140,555), and Tuscaloosa ($1,070,042).