HB95 Alabama 2015 Session

Summary

Primary Sponsor

Mike Hill

Republican

Session

Regular Session 2015

Title

Boards of education, city and county, acceptance of debit and credit card payments for payments to boards and schools, board authorized to adopt rules

Summary

HB95 would authorize local boards of education in Alabama to accept credit and debit card payments for payments to boards and schools by adopting rules and entering payment agreements.

What This Bill Does

Local boards could adopt rules to accept card payments for any payments to the board or schools. They may enter agreements with card issuers to facilitate payments and may collect discounts or administrative fees from the transaction. Boards may impose a surcharge or convenience fee to offset costs, but only as allowed by the card network, not exceeding the board's discounts or fees, and the surcharge would be voluntary and nonrefundable. If a card payment is used, the underlying obligation remains enforceable and the board retains remedies if payment is not completed; agreements can be canceled with notice, and the superintendent may adopt additional rules. The act is supplemental and becomes law after three months following passage.

Who It Affects

• Local boards of education (city or county) and the schools under their jurisdiction, which would gain authority to accept card payments and manage related agreements and rules.
• Individuals and entities paying money to the boards or schools (such as students, families, and taxpayers), who may encounter card payment options and potential surcharges.

Key Provisions

• A local board may adopt rules to authorize the board and its schools to accept credit and debit card payments for any payments to the board or school.
• The superintendent may enter into agreements with card issuers or processors to facilitate acceptance of card payments, including the possibility of discounts or administrative fees.
• Agreements may provide for discounts or administrative fees to be paid from the face amount or through other arrangements, with considerations such as cash flow, overhead reduction, security, and public convenience; agreements may be canceled with reasonable notice.
• A local board may impose a surcharge or convenience fee to offset costs, but only up to the amount of discounts or administrative fees and only if allowed by the card's operating rules; such surcharges are voluntary and nonrefundable.
• If a card payment is made, the underlying obligation remains collectible; the board retains remedies if the payment is not completed, and the board is not liable for discounts or fees paid to issuers or processors.
• The superintendent may adopt additional rules related to accepting card payments; the act is supplemental and 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

Education