SB436 Alabama 2012 Session

Summary

Primary Sponsor

Del Marsh

Republican

Co-Sponsors

Tom WhatleyMark Slade Blackwell

Session

Regular Session 2012

Title

Community Development, additional class of community development district, established, incorporation and powers of districts, Secs. 35-8B-1, 35-8B2, 35-8B-3 am'd

Summary

SB436 would create a new class of community development districts in Alabama that can allow on-site alcohol sales, including Sundays, inside the district under certain conditions.

What This Bill Does

The bill amends existing law to create additional types of community development districts with specific size and facility requirements and gives them the power to authorize on-premises alcohol sales through club licenses or ABC licenses. In wet counties that do not allow Sunday sales, a district meeting certain conditions could be approved to permit Sunday alcohol sales on-site. It also changes how these districts are established, regulated, and taxed, including provisions that alcohol revenues can offset certain tax payments to counties and TVA-serving counties.

Who It Affects

• Private landowners and developers who form a community development district (CD) and meet the new size, facility, and ownership requirements, gaining the ability to authorize alcohol sales within the district after board approval.
• Residents, members, and guests of clubs within the district (including golf clubs, social clubs, and ABC-licensed clubs) who would be able to purchase alcohol for on-premises consumption within the district, and potentially on Sundays in districts where allowed.

Key Provisions

• Creates new classes of community development districts with detailed size thresholds (e.g., 250 acres, 650 acres, 650+ acres with multiple facilities) and facility requirements (golf course, marina, clubhouse, restaurant, lake, etc.).
• Type a district (private residential development) requires 250+ acres, 100+ residential sites, private streets, a social club with an 18-hole golf course, a restaurant, and at least 100 paid members with a $250 initiation fee, plus nondiscriminatory membership and full-time management.
• Type b district (social district in a dry county) requires 250+ acres, non-municipal location, a social club with golf, marina, large clubhouse, restaurant capacity, and at least 600 paid-up members with a $2,000 initiation fee, plus nondiscriminatory membership and full-time management.
• Type c imposes on-premises alcohol sales restrictions for districts defined in (a) and (b), and adds a 3,000-foot distance limit from highways for alcohol sales in those districts.
• Type d district allows sale of alcohol without the restrictions of 35-8B-3 and includes a 9-hole golf course, large amenity complex, sizable clubhouse, restaurant, lake, and at least 200 memberships with a $500 initiation fee, with developer rights to restrict or expand access and to set fees; may include a multipurpose facility and other commercial uses.
• Type e district (commercial district in a wet county) authorizes alcohol sales within the district if it does not otherwise permit Sunday sales and is outside municipality limits, including specified amenities and facilities.
• Alcohol licensing for districts formed under (a)-(d) requires club licenses and board consent; Sundays sales are allowed in districts formed under (e) if the board consents, with ABC licensing for on-premises consumption.
• The Articles of Establishment process requires at least 51% owner consent, defined boundary descriptions, initial board appointments by club members, and probate judge filings with associated fees.
• Alcohol revenues from these districts can offset TVA in-lieu-of-taxes payments and are distributed to TVA-serving counties as specified.
• Effective date: immediately upon passage and the governor's approval.

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

Subjects

Community Development Districts