Commission changes county’s business, tobacco revenue rates

Published 10:50 am Wednesday, July 26, 2017

COLUMBIANA – Shelby County has changed rates related to business revenue interest and the tobacco tax for retailers based on recent acts of the Alabama Legislature.

The Shelby County Commission approved two resolutions at its meeting on Monday, July 24, enacting the changes.

The interest rate for business tax delinquency will be changed from 1 percent per month to 4 percent per year.

Counties were allowed to set their tax delinquency rates based on the Code of Alabama 1975, but an act was passed during the 2017 Legislative session and signed into law that amended the code effective Aug. 1, linking the rate to a rate established quarterly by the United States Secretary of the Treasury.

Similarly, the Code of Alabama 1975 called for a discount of 7.5 percent on the purchase of tobacco tax stamps by wholesalers.

A recent act of the state Legislature provided a reduction in the discount rate to 4.75 percent, and the commission approved a resolution instituting the change.

In other business, the commission:

•Heard from Shelby County Engineer Randy Cole that the county recently received a bill from the Alabama Department of Transportation in the amount of about $58,000 for a project the county partnered with the state on about 13 years ago. Cole and commissioners said the bill is an example of the difficulty in budgeting and why the road department budgets conservatively.

•Agreed to a timeline to perform the work necessary to adopt a budget by the beginning of the new fiscal year on Oct. 1. The commission will discuss budget items at its next two meetings, on Aug. 14 and Aug. 28, a budget proposal will be presented at the Sept. 11 meeting and then the commission will vote on the budget at the Sept. 25 meeting.

•Awarded a bid for doors and door hardware to the only responsive bidder, Building Specialties.

•Awarded a bid for hydrated lime 50-pound bag to the only responsive bidder, Harcross Chemicals.

•Approved resolutions that only one bid was received for both hydrated lime bulk and cold mix, plant bituminous, and that purchases will be made as outlined by Alabama bid law.

•Awarded a bid for liquid soap to the lowest responsive bidder, Phoenix Trading.

•Approved allowing Jesse Creek Mining LLC to substitute bonds related to a project at Shelby County 270.

•Approved an agreement with the ALDOT for maintenance of the passive warning devices for a project on Shelby County 433 in Chelsea.