HB488 Alabama 2018 Session

Under existing law, charitable organizations are exempt from the Alabama Telemarketing Act.

This bill would provide that certain portions of the Alabama Telemarketing Act relating to the required disclosure of certain information apply to charitable organizations.

This bill would require a person who solicits a donation on behalf of a charitable organization to disclose his or her name, the organization on whose behalf he or she is soliciting a donation, and the percentage of any monetary donation that will actually be used for a charitable purpose.

Amendment 621 of the Constitution of Alabama of 1901, now appearing as Section 111.05 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, prohibits a general law whose purpose or effect would be to require a new or increased expenditure of local funds from becoming effective with regard to a local governmental entity without enactment by a 2/3 vote unless: it comes within one of a number of specified exceptions; it is approved by the affected entity; or the Legislature appropriates funds, or provides a local source of revenue, to the entity for the purpose.

The purpose or effect of this bill would be to require a new or increased expenditure of local funds within the meaning of the amendment. However, the bill does not require approval of a local governmental entity or enactment by a 2/3 vote to become effective because it comes within one of the specified exceptions contained in the amendment.

Relating to consumer protection; to amend Sections 8-19A-3, 8-19A-4, and 8-19A-12, Code of Alabama 1975, to require the disclosure of certain information by a person soliciting a donation on behalf of a charitable organization; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Amendment 621 of the Constitution of Alabama of 1901, now appearing as Section 111.05 of the Official Recompilation of the Constitution of Alabama of 1901, as amended.