HB500 Alabama 2020 Session

Summary

Primary Sponsor

Kirk HatcherSenator

Democrat

Session

Regular Session 2020

Title

Montgomery Co., ad valorem tax for Montg. School Tax District, levy at rate $1.85 on each $100 (18.5 mills) by co. commission, referendum of Montg. Co., not to include Pike Road

Summary

HB500 lets Montgomery County raise the Montgomery School Tax District’s special ad valorem tax, up to 1.85 per $100 of value (18.5 mills), but only if voters approve, and it includes planning and reporting requirements.

What This Bill Does

It authorizes increasing the district's special ad valorem tax to a maximum of $1.85 per $100 of assessed value (18.5 mills), from the current $0.30, subject to a district-wide referendum. The tax would apply to properties within the Montgomery School Tax District but exclude Pike Road, with the first levy affecting the tax year starting October 1, 2022 and first collection due October 1, 2023. Up to six mills of the new levy may be used for capital projects or debt service related to public school facilities. After October 1, 2028, the annual levy cannot exceed $1.25 per $100 unless a local act of the Legislature continues the $1.85 maximum.

Who It Affects

• Property owners and other taxpayers within the Montgomery School Tax District (excluding Pike Road) who could see higher ad valorem taxes if the referendum passes.
• Montgomery County government and the Montgomery Public School System (including the County Commission, Board of Education, and Superintendent) responsible for implementing the tax, the strategic plan, and annual reporting.

Key Provisions

• Maximum special ad valorem tax rate for the district set at $1.85 per $100 of assessed value (18.5 mills); current rate is $0.30 per $100 (3 mills).
• Tax increase requires approval by a majority of qualified electors in the district voting in a special election.
• District boundaries exclude the City of Pike Road.
• Proceeds may use up to six mills for capital outlay or to pay principal/interest on debt for school facilities; other uses allowed beyond this are not specified here.
• After 2028, the annual levy cannot exceed $1.25 per $100 unless a local act of the Legislature continues the $1.85 maximum.
• Board of Education must adopt a detailed strategic plan and performance metrics within six months, and the Superintendent must annually submit these to the Legislative Delegation.

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

Subjects

Montgomery County