HB358 Alabama 2012 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Paul DeMarco
Republican
Session: Regular Session 2012
Title: Banks and banking, Section 247, (Recompiled Constitution of Alabama of 1901, as amended), am'd. to prohibit establishment of a bank except by general banking law, to provide for unlimited duration, to prohibit political subdivisions from owning stock or lending credit, and to provide for examination requirements; Sections 248, 249, 251, 252, 253, 254 (Recompiled Constitution of Alabama of 1901, as amended), repealed upon certain contingency, const. amend.
Summary: HB358 would amend Alabama's constitution to allow unlimited bank charter duration, prohibit government ownership or lending to banks, require bank examinations, and repeal several old banking provisions (effective Jan 1, 2014 if approved).
What This Bill Does
It changes Section 247 to let banks exist without a time limit and confirms existing charters don’t need renewal. It bans the state and any political subdivision from owning stock in banks or lending credit to banks. It requires public officers to examine banks and mandates banks to report resources and liabilities under oath at least twice a year. It repeals several old banking provisions (Sections 248-254) and Amendment 154, with contingencies tied to adopting a new Article XII and related statutory repeals.

Who It Affects
Banks and banking institutions: would have unlimited charter duration, must undergo public examinations, and must file semiannual sworn financial reports.
State and political subdivisions: would be prohibited from owning bank stock or lending credit to banks.

Key Provisions
Amends Section 247 to allow unlimited duration for bank charters and eliminates renewal requirements for existing banks.
Prohibits the state or any political subdivision from owning stock in banks or lending credit to banks.
Requires examination of banks by a public officer and sworn reports of resources and liabilities by banks at least twice a year.
Repeals Sections 248-254 of Article XIII and Amendment 154, with contingencies related to adopting a new Article XII and certain related code repeals.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Constitutional Amendments