SB260 Alabama 2015 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Greg J. Reed
Republican
Session: Regular Session 2015
Title: Grocery stores, program created to finance operation in low and moderate income areas, administered by ADECA, Healthy Food Financing Act
Summary: The Healthy Food Financing Act creates a state program to finance grocery stores in underserved Alabama communities to improve access to fresh and healthy foods.
What This Bill Does
It establishes the Healthy Food Financing Fund to provide loans or grants for constructing, renovating, or expanding grocery stores in low- and moderate-income areas and underserved communities. ADECA administers the program, potentially through public-private partnerships with nonprofits or community development financial institutions, and will underwrite, disburse funds, and monitor results. The act requires at least 25% of funds to be grants or forgivable loans, and requires projects to allocate at least 30% of food retail space for perishable foods for at least five years, plus data reporting and local hiring. Funds may be used for construction, renovations, equipment, energy efficiency upgrades, training, and working capital, with annual reporting to the Legislature on outcomes.

Who It Affects
Residents of underserved communities in Alabama, who would gain better access to fresh and nutritious foods as new or expanded grocery stores are financed and opened.
Grocery stores and developers (for-profit or nonprofit) that may receive financing to build, renovate, or expand stores, and must meet requirements such as perishable food space, reporting, and local hiring.

Key Provisions
Creates the Healthy Food Financing Fund and program to finance grocery stores in underserved communities, funded by federal, state, or private sources; at least 25% of funds must be grants or forgivable loans.
Defines key terms (Department: ADECA; Financing: loans/grants; Grocery Store; Low Income Area; Moderate Income Area; Underserved Community) and sets eligibility criteria and project goals.
Establishes program administration by ADECA, possibly through public-private partnerships with nonprofits or community development financial institutions; includes guidelines, underwriting, disbursement, monitoring, reporting, and an administrative cost cap of 10%.
Requires monitoring and annual reporting to the Legislature on funded projects, location distribution, costs, administrative costs, and outcomes such as jobs and health impacts; includes five-year compliance requirements (30% of store space for perishable foods, data reporting, local hiring).
Financing may be used for site acquisition, construction, equipment, furnishings, training, energy efficiency, and working capital for inventory and startup costs.
Eligible applicants can be various entities (for-profit or nonprofit), and must demonstrate capacity, ability to repay, and commit to conditions for at least five years.
Projects are to be located in underserved communities and primarily serve low- or moderate-income areas, with selection based on need, impact, economic benefits, and alignment with health initiatives.
Effective date: the first day of the third month after passage and governor approval.

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