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SB344 Alabama 2014 Session

Updated Feb 27, 2026
Notable

Summary

Session
Regular Session 2014
Title
Water works boards, serving counties other than co., where organized, additional board members, term, compensation, coverage by Ethics Law, notice and hearing regarding rate increases
Summary

SB344 creates new governance and transparency rules for municipal water boards serving four or more counties, including new board seats, term limits, pay caps, ethics rules, and rate-increase transparency.

What This Bill Does

It applies to municipal water boards that serve customers in four or more counties outside the main county. It sets appointment rules for new board members, including a four-year term and residency/customer requirements, and it adds one or more additional board members from the counties involved. It caps compensation at $500 per month, requires ethics law coverage, requires 30-day notice and a public hearing before rate increases, and makes the board subject to the Open Meetings Act. The act also includes exemptions for boards that operate both water and electric systems or wholesale-only operations.

Who It Affects
  • Municipal water works boards that meet the four-county criterion, by changing how members are appointed, their terms, pay, ethics rules, and rate-change procedures.
  • County commissions and countywide associations of mayors, who would appoint additional board members.
  • Water customers served by the boards, who gain structured rate-change notice, public hearing requirements, and potential impacts from board decisions.
  • Board members and board employees, who become subject to the State Ethics Law, face term limits, and pay/expense restrictions.
  • Boards that also operate electric distribution or wholesale-only water services are not covered by this act.
Key Provisions
  • Applies to municipal water works boards serving water customers in four or more counties outside the principal county.
  • First vacancy after applicability: appointment by the association of mayors (or county mayors if no association exists); must be a county resident, a water customer, and not a resident of the authorizing municipality; four-year term.
  • One additional member appointed by the county commission where the authorizing municipality is located; not a resident of the authorizing municipality; four-year term; water customer; has full powers and compensation.
  • One additional member appointed by the county commissions of the other counties served; one-year term; residency in one of the counties on a rotating basis; appointed by all county commissions; water customer; full powers and compensation.
  • Future appointees after the act: four-year terms; existing members keep current terms or complete remaining terms; a member may not serve more than two full terms.
  • Compensation capped at $500 per month; no extra travel or other expenses unless approved by a majority vote of the board.
  • All board members and employees are subject to the State Ethics Law.
  • No rate increase may be adopted without at least 30 days’ notice and a public hearing before any vote.
  • Board remains subject to the Alabama Open Meetings Act.
  • Not applicable to municipal utilities boards that operate both water and electric systems or to boards that only serve wholesale water customers.
AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Water and Sewer Systems

Bill Actions

H

Pending third reading on day 26 Favorable from Judiciary

H

Read for the second time and placed on the calendar

H

Read for the first time and referred to the House of Representatives committee on Judiciary

S

Engrossed

S

Waggoner motion to reconsider and table adopted Voice Vote

S

Motion to Read a Third Time and Pass adopted Roll Call 760

S

Waggoner motion to adopt Waggoner Substitute No. 2 adopted Roll Call 759.

S

Rules Committee Petition to Cease Debate adopted Roll Call 758

S

Rules Committee Petition to Cease Debate lost Roll Call 757

S

Waggoner second Substitute Offered

S

Waggoner motion to Table Waggoner Substitute adopted Voice Vote

S

Third Reading Passed

S

Waggoner motion to Carry Over adopted Voice Vote

S

Rules Committee Petition to Cease Debate adopted Roll Call 683

S

Waggoner first Substitute Offered

S

Third Reading Carried Over

S

Read for the second time and placed on the calendar

S

Read for the first time and referred to the Senate committee on Fiscal Responsibility and Accountability

Bill Text

Votes

Rules Committee Petition to Cease Debate

March 6, 2014 Senate Passed
Yes 20
No 12
Absent 3

Waggoner motion to adopt Waggoner Substitute No. 2

March 12, 2014 Senate Passed
Yes 21
No 7
Abstained 1
Absent 6

Rules Committee Petition to Cease Debate

March 12, 2014 Senate Passed
Yes 21
No 9
Abstained 2
Absent 3

Rules Committee Petition to Cease Debate

March 12, 2014 Senate Passed
Yes 17
No 9
Absent 9

Motion to Read a Third Time and Pass

March 12, 2014 Senate Passed
Yes 20
No 9
Abstained 1
Absent 5

Documents

Source: Alabama Legislature