1. (a) The Legislature finds and declares the following:

   1. (1) The magnitude and patterns of the historical and projected increases of population in Baldwin County, Alabama, continue to create significant needs for the acquisition, construction, and capital improvement of the public school facilities of the county board of education.
   2. (2) The costs of such public school facilities, including the payment of indebtedness incurred therefor, require significant capital expenditures of the county board of education in each fiscal year.
   3. (3) The local sources of funds of the county board of education for public school facilities consist of the proceeds of ad valorem, and privilege license and excise, taxes levied on a county-wide basis in Baldwin County.
   4. (4) Given the county-wide tax base of the county board of education, the formation of a city board of education and school system in Baldwin County, the resultant loss of local funding from, and the transfer of the local public school facilities, financed by county taxes, to, the city, can create a material and adverse effect upon the financial position of the county board of education.
   5. (5) The formation and operation of a city board of education and school system in Baldwin County requires significant annual revenues from existing and new school taxes in the city which the taxpayers of the city should have the right to approve in advance.
   6. (6) It is necessary, desirable, and in the best interests of the taxpayers and citizens of Baldwin County and the taxpayers and citizens of the cities located therein, that, in response to, and to provide for, the unique local needs of public education in Baldwin County, including particularly, the financing and planning of public school facilities, due to constantly changing school feeder patterns and the related establishment of ad valorem tax districts, the formation of a city board of education and school system be made upon a determination of the governing body of the city, and the allocation, assignment, and assumption of the assets and liabilities of the county board of education with respect to the public school facilities in the city.

2. (b) Notwithstanding any provision of law to the contrary, and in addition to any other requirement provided by law, upon approval of the establishment of a city board of education by the governing body of the city, the city may establish a city board of education. Not later than the first day of July next succeeding the establishment of a city board of education by a city, the city board of education and the county board of education shall deliver an agreement, with the written approval of the State Superintendent, as provided for by law, to include all of the following:

   1. (1) The transfer to the city board of education by the county board of education of the right, title, and interest of the county board in and to the local public school facilities located in the municipal limits of the city, without recourse or warranty, and the acceptance of the local public school facilities by the city board in the existing condition thereof on the date of transfer.

   2. (2) The assumption by the city board of education of, and the agreement of the city board of education to timely pay and perform at the sole expense of the city board both of the following:

      1. a. The outstanding indebtedness and obligations of the county board of education allocable to the local public school facilities.
      2. b. All contractual agreements of the county board with respect to the local public school facilities.
   3. (3) The payment to the county board of education by the city board of education, on the date of transfer of the transferred local school facilities, of an amount equal to the value assigned thereto for the purpose of determining the value of the capital assets, net of depreciation, as set forth in the then most recent audited financial statements of the county board of education publicly available.

(Act 2019-377, §§2, 3.)