HB164 Alabama 2019 Session

Updated Feb 24, 2026

Summary

Primary Sponsor: Jimmy Martin
Republican
Session: Regular Session 2019
Title: Chilton Co., sales and use tax, co. commission authorized to levy, retroactive effect
Summary: Chilton County is allowed to levy additional local sales and use taxes to fund hospital facilities, with retroactive authority and the option to pledge tax revenues to back debt.
What This Bill Does
The bill authorizes Chilton County to impose extra sales and use taxes dedicated to building, maintaining, and operating hospital facilities. It sets administrative and collection rules, and states the taxes cannot be abated. It lets the county or a designated public hospital corporation pledge the tax revenues to secure indebtedness for hospital projects. It treats the act as retroactive and curative, validating authority back to August 1, 2014 and ratifying prior tax actions unless replaced by a new authorizing resolution.

Who It Affects
Chilton County residents and local businesses: may pay additional local taxes whose proceeds fund hospital construction, maintenance, and operation; taxes are to be collected like state sales/use taxes and cannot be abated.
The Chilton County Health Care Authority or other designated public hospital corporations: may receive and use tax proceeds for hospital purposes and may pledge those proceeds to secure bonds or other debt; may act as the county's agent for administering and enforcing the taxes.

Key Provisions
Authorizes the governing body of Chilton County to levy and impose additional sales and use taxes in the county for hospital facilities.
Taxes are collected in the same manner as state sales and use taxes, by the county or the State Department of Revenue or a private collection agency, with a collection fee cap of five percent (or actual cost if lower).
Proceeds must be deposited into a separate county fund and used only for construction, maintenance, and operation of hospital facilities; the county may designate a Public Hospital Corporation as the agent to receive and apply the funds.
Taxes may be pledged or assigned to secure indebtedness issued for hospital purposes; such pledges are protected as part of the contract with bondholders.
Taxes are not subject to abatement and prior tax authorities (Act 2014-162 and Act 2014-422) are ratified unless a new authorizing resolution terminates them; prior payments may be credited against the new tax.
The act is retroactive and curative, approved as of August 1, 2014; an authorizing resolution adopted after the effective date is also effective as of August 1, 2014 and continues until terminated under the act.
If bonds or other obligations remain outstanding, taxes cannot be terminated until those obligations are fully paid; taxes may continue for up to four years after debt retirement to maintain hospital operations.
Provisions are severable; the act becomes effective immediately upon 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: Chilton County