HB314 Alabama 2015 Session

Summary

Primary Sponsor

Jimmy Martin

Republican

Session

Regular Session 2015

Title

Community development districts, alcoholic beverages in annexed territory, Sec. 35-8B-1 am'd.

Summary

HB314 preserves wet status for community development districts when they are annexed by municipalities or incorporated, and expands where and how alcohol can be sold in certain CDDS.

What This Bill Does

If a municipality annexes a CDD or a CDD becomes a municipality, the CDD territory remains wet and the rest of the municipality can also be wet at the local government’s discretion. The bill adds new and revised definitions for types of CDDS (including lakefront and large private developments) that set conditions for alcohol sales, often allowing on-premises consumption and imposing location rules. In some CDDS, alcohol sales by ABC licensees would be authorized and certain existing restrictions would not apply. The bill requires counties to participate in tax and license-fee distributions and to offset TVA payments with alcohol revenues, and it includes rules for converting pre-2014 CDDS into wet municipalities and for giving voters notice when a new municipality would be wet. It also specifies an effective date: the law would take effect on the first day of the third month after passage.

Who It Affects

• Residents, property owners, and businesses within qualifying community development districts who could gain or lose access to alcohol sales and on-premises consumption under the bill.
• Counties, municipalities, and ABC licensees who would see changes in tax/fee distributions, regulatory responsibilities, and potential new places where alcohol can be sold within CDDS.

Key Provisions

• Preserves wet status for a CDD when annexed by a municipality or when a CDD is incorporated as a municipality; the CDD territory remains wet and the rest of the municipality may be wet at the governing body’s discretion.
• Expands definitions of community development districts to include several configurations (lakefront, dry counties with wet municipalities, large multi-use developments, etc.) with specific size, amenity, and membership requirements that enable alcohol sales in those districts.
• Authorizes alcohol sales in certain CDDS by ABC licensees and provides that 35-8B-3 does not apply in those cases (notably the subsection describing lakeside/large developments). Includes on-premises consumption and, for some districts, a prohibition on sales within 3,000 feet of the south right-of-way of adjacent highways.
• Imposes tax and license-fee distribution obligations on counties for CDDS and requires alcohol revenues to offset TVA in-lieu-of-taxes payments; directs distribution of revenues to TVA-served counties when offset.
• Allows certain pre-2014 CDDS to become municipalities wet by vote and requires notice to potential voters that the new municipality would be wet.
• Effective date: the act becomes law on the first day of the third month after passage.

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

Subjects

Community Development Districts