SB462 Alabama 2014 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Cam Ward
Republican
Session: Regular Session 2014
Title: Chilton Co., sales and use tax, co. commission authorized to levy add'l. for hospital, Act 2014-162, 2014 Reg. Sess., repealed and superseded
Summary: SB462 lets Chilton County impose extra local taxes to fund the construction, maintenance, and operation of hospital facilities, with rules for collection, use of proceeds, and potential debt security, repealing a prior act.
What This Bill Does
It authorizes several local sales and use taxes in Chilton County to raise money for hospital facilities, with revenues placed in a separate fund. The county may designate a public hospital corporation to receive proceeds and secure debt with these taxes, and taxes may not be abated. It sets collection methods (county, the state revenue department, or private collectors) and allows an advisory referendum on the taxes. It repeals the prior act (2014-162) and provides termination rules once debt is paid, plus general applicability of state tax statutes to these local taxes.

Who It Affects
Residents and businesses in Chilton County who would pay the new local sales and use taxes on purchases, admissions, vehicles, farm equipment, and related items.
Chilton County Health Care Authority (public hospital corporation) and the county government, which would receive the tax proceeds, manage funds, issue debt backed by the taxes, and oversee hospital construction and operation.

Key Provisions
Authorizes additional local taxes in Chilton County: 1% county sales tax on retail sales; 1% tax on admissions; 0.5% on machines used in mining, quarrying, processing, and manufacturing; 0.5% on sale of automotive vehicles and mobile home setup materials; and 0.5% on farm machinery and related parts, with exemptions mirroring state exemptions.
Imposes corresponding use taxes: 1% on storage, use, or other consumption of tangible property; 0.5% on machines used in mining/quarrying/processing/manufacturing; 0.5% on vehicles/trailers and farm equipment; 0.5% on farm machinery, with exemptions aligned to state use tax exemptions.
Requires retailers to collect the taxes at the point of sale and prohibits abatement or refund of the tax from customers; allows a collection fee up to 5% of proceeds or actual collection costs if lower.
Proceeds must be deposited into a separate county fund and used only for hospital construction, maintenance, and operation; the county may designate a public hospital corporation to receive and spend the proceeds; tax revenues may be pledged to secure bonds or other indebtedness.
Provides for an advisory countywide referendum on the taxes; the county bears the cost of the referendum and the results are not binding on the county.
Repeals Act No. 2014-162; the act becomes effective after governor approval; taxes may be terminated after all debt obligations are paid, with a four-year maximum window to terminate after debt payoff.

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