SB297 Alabama 2016 Session

Updated Feb 24, 2026

High Interest

Summary

Primary Sponsor: Steve LivingstonSenator
Republican
Session: Regular Session 2016
Title: Tax increment districts, provide that compensation may be determined solely by local governing body if a district is within a Major 21st Century Manufacturing Zone
Summary: SB297 would let a county or municipality with a tax increment district inside a Major 21st Century Manufacturing Zone set compensation for that district at its own discretion, bypassing fair market value requirements and certain constitutional limits.
What This Bill Does
If the district is within a Major 21st Century Manufacturing Zone, the governing body that created the district could decide the amount and type of compensation for redevelopment, instead of requiring a minimum fair market value. It would allow funds and proceeds to be used for redevelopment that may benefit private interests, and would remove certain constitutional limits on debt and public money related to those districts. The amendment would also validate and confirm the Major 21st Century Manufacturing Zone Act.

Who It Affects
Municipalities and counties that establish tax increment districts within a Major 21st Century Manufacturing Zone, who would have sole discretion over compensation terms.
Private developers or property owners within those districts who could receive consideration or benefits from redevelopment funded by the TID.

Key Provisions
Within a Major 21st Century Manufacturing Zone, compensation for redevelopment from a tax increment district may be determined solely by the district's governing body, not at a minimum fair market value.
Public funds and district proceeds may be used for redevelopment and disposed of to private interests for such consideration as determined by the governing body, without regard to constitutional Sections 93 and 94.
Municipality or county obligations issued for these purposes shall not be charged against the constitutional debt limit, and the Major 21st Century Manufacturing Zone Act is validated and confirmed.

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