HB430 Alabama 2010 Session

Summary

Primary Sponsor

John F. Knight Jr

Democrat

Session

Regular Session 2010

Title

State warrants issued by Comptroller to business entities, disbursed electronically, Sec. 41-4-50 am'd.

Summary

HB430 would require warrants equal to or greater than $2,500 issued to business entities, vendors, or providers of professional services to be disbursed electronically through the State Treasury.

What This Bill Does

The bill amends Section 41-4-50 to authorize electronic disbursement of certain warrants through the State Treasury. It allows warrants to be transferred or deposited electronically to a financial institution with written approval from the original payee and requires the Comptroller to maintain approval and transfer records for auditing. It maintains the existing framework for preaudit and fund availability before issuing warrants, and preserves a limited use of physical warrants by the Department of Revenue for tax refunds or other tax-related disbursements when necessary. The change takes effect on July 1, 2010.

Who It Affects

• Business entities, vendors, and providers of professional services: will receive warrants of $2,500 or more electronically through the State Treasury.
• Original payees: must provide written approval for electronic transfers and have their approvals and transfer records documented and auditable.
• Department of Revenue: retains the ability to issue physical warrants for refunds, overpayments, or other tax-related disbursements as needed.
• State Comptroller and the Division of Control and Accounts/State Treasury: responsible for implementing electronic disbursement and maintaining records for auditing.

Key Provisions

• All warrants equal to or exceeding $2,500 payable to business entities, vendors, and providers of professional services shall be electronically disbursed through the State Treasury.
• Warrants may be transferred or deposited electronically to a financial institution with written approval from the original payee; the Comptroller must maintain files on approvals and transfers and provide documentation for auditing.
• An exception allows the Department of Revenue to continue using physical warrants for tax refunds, overpayments, or other tax-related disbursements if necessary.
• The act updates the Division of Control and Accounts' duties to reflect electronic disbursement through the State Treasury, with an effective date of July 1, 2010.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Finance Department