HB478 Alabama 2020 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Artis McCampbellRepresentative
Democrat
Session: Regular Session 2020
Title: Lease tax, state and local levies payment and collection based on either seller's place of business or where delivered, automotive vehicles paid where vehicle registered after first payment, Sec. 40-12-222 am'd.
Summary: HB478 changes Class 4 municipal alcohol licensing by forcing local government approval, creating court review of denials, and limiting the state ABC Board's licensing authority in those towns.
What This Bill Does
It amends Act 98-342 to prohibit the Alabama Alcoholic Beverage Control Board from issuing any alcohol licenses in Class IV municipalities unless the municipality first approves the license. It repeals Section 28-1-7 and shifts licensing control more to local governments in these municipalities. If a municipality denies a license, the circuit court may overturn the denial if it finds the decision was arbitrary or capricious and based on enumerated concerns (nuisance, harm to neighborhoods, public health/safety, violations of laws or zoning, prior convictions, proximity to schools/child care, traffic, etc). The review is expedited, non-jury, with timelines of 14 days to commence and 30 days to a hearing; a prevailing licensee may recover reasonable attorney’s fees from the municipality. The act becomes effective on the first day of the third month after passage.

Who It Affects
Class IV municipalities (mayor-council form) and their residents/businesses, because license decisions require local approval and can be reviewed by circuit court.
License applicants in Class IV municipalities (business owners) and neighboring communities, because they must secure local approval first, may face court review of denials, and could be entitled to attorney’s fees if they prevail.

Key Provisions
The Alabama ABC Board may not issue licenses in Class IV municipalities unless the local governing body first approves the license and the municipality may set procedural rules for processing applications.
License approval can be challenged in circuit court, which may overturn a denial if the denial was arbitrary or capricious and based on enumerated grounds (nuisance, harm to neighborhoods, public health/safety, violations of laws or zoning, prior convictions, proximity to schools/child care, traffic, or other risks).
Expedited circuit court review: non-jury proceedings, consideration of new evidence, and potential attorney’s fees to the prevailing licensee against the municipality; actions must be filed within 14 days and heard within 30 days.
Section 28-1-7 is repealed, and this act supersedes conflicting laws.
Effective date: becomes law on the first day of the third month after passage.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Class 4 Municipalities