HB223 Alabama 2021 Session

Summary

Primary Sponsor

Nathaniel LedbetterRepresentative

Republican

Session

Regular Session 2021

Title

Municipal utility boards, allowing governing body of certain municipalities to set compensation, Sec. 11-50-313 am'd.

Summary

HB223 lets certain Alabama cities set and cap pay for municipal utility board members, with detailed fee rules based on city size and county rules.

What This Bill Does

It amends Section 11-50-313 to authorize a municipality's governing body to determine how much the chair and other members of a municipal utility board are paid. It creates specific fee caps per meeting and per year, and ties different amounts to the city’s population and to special county rules (Jefferson and Franklin counties have monthly or per-system limits). It requires reimbursement of actual expenses and preserves existing limits on the number of municipal officers who can serve on the board, along with related board size and term provisions. It includes exemptions for Montgomery and Prichard boards and notes that Birmingham's current fees are not affected.

Who It Affects

• Governing bodies of municipalities that have municipal utility boards, who would set and adjust member compensation within the new caps.
• Members and chairs of municipal utility boards, who would receive compensation up to the defined caps and be reimbursed for actual expenses.

Key Provisions

• Authorizes the municipality's governing body to set compensation for utility board members (chair and other directors).
• Imposes per-meeting and annual caps on pay, with chair limits up to $600 per meeting (capped at $7,200/year) and other directors up to $400 per meeting (capped at $4,800/year) for a single system, plus small per-system adjustments for multiple systems.
• Establishes population-based fee schedules and county-specific rules (e.g., Jefferson County and Franklin County have special monthly caps and per-system rules for chair and other directors).
• Jefferson County: chair up to $450 per month for one system and $50 per month for each additional system; other directors up to $400 per month for one system and $40 per month for each additional system.
• Franklin County: director fees not to exceed $600 per month per system; chair may have a higher amount (up to $750 per meeting) by board vote for certain circumstances.
• Reimburses board members for actual expenses incurred while performing duties.
• Allows increasing the board size (e.g., from 3 to 5, and from 5 to 7 in certain cases) with terms set to 4 and 6 years for new members and staggered terms thereafter.
• Notes exemptions: City of Montgomery and City of Prichard water/sewer boards are not subject to certain provisions; Birmingham's current fees are not affected.

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

Subjects

Utilities