HB508 Alabama 2019 Session

Summary

Primary Sponsor

Thad McClammy

Democrat

Session

Regular Session 2019

Title

Military bases, counties and municipalities, formation of redevelopment authorities to finance projects contiguous to operating or closed bases, eminent domain powers

Summary

HB 508 would let cities or counties form local redevelopment authorities to redevelop land next to military installations and finance projects there with revenue bonds.

What This Bill Does

It authorizes a municipality or county to create a local redevelopment authority to promote economic development around land contiguous to military installations. The authority can issue interest-bearing revenue bonds and other securities payable only from the revenues of its projects, and may finance, construct, acquire, renovate, maintain, improve, sell, lease, or operate those projects. It can receive municipal tax proceeds, impose payments in lieu of taxes on private users, and enjoys tax exemptions for itself and its transactions; it can also obtain loans or grants and enter contracts with other governments or private entities. The bill also grants the authority eminent domain powers and outlines governance, project scope, and dissolution rules.

Who It Affects

• Local governments (municipalities and counties) that would adopt authorizing resolutions and form local redevelopment authorities to carry out redevelopment near military installations.
• Private owners, lessees, and private users within the local redevelopment area who may be subject to payments in lieu of taxes, enjoy potential tax exemptions, or be affected by property actions such as leases, sales, or in limited cases, foreclosures for past due assessments.

Key Provisions

• Allows municipalities or counties to establish a local redevelopment authority to promote trade and redevelopment of land contiguous with U.S. military installations within the state (operational or formerly operational).
• Authorizes the authority to issue interest-bearing revenue bonds and other securities payable solely from project revenues, secured by pledged revenues and related securities or mortgages.
• Empowers the authority to finance, construct, acquire, renovate, maintain, improve, selling, leasing, or operating projects, including the ability to lease to private users and to levy payments in lieu of taxes.
• Provides tax exemptions for the authority, cooperative districts, private users, and related conveyances or leases; allows payments in lieu of taxes to be used to pay bonds and operating costs.
• Gives the authority eminent domain power and allows financial and technical assistance from other subdivisions or agencies without public elections.
• Defines local redevelopment areas up to 1,000 square acres contiguous to military installations and sets a scope for project types (industrial, commercial, housing, etc.).
• Establishes a board of directors (at least three) elected by the authorizing subdivision, with terms, officers, and governance rules; specifies that projects must be located within the redevelopment area.
• Allows dissolution of the authority when all bonds and obligations are paid, with title to property passing to the authorizing subdivision or private user as appropriate.

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

Subjects

Counties