SB384 Alabama 2021 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Garlan GudgerSenator
Republican
Session: Regular Session 2021
Title: Community development districts, alcoholic beverages, taxation on the sale of alcoholic beverages, further provided, proceeds from sales tax would be deposited into a special fund in the county treasury, Sec. 35-8B-5 added; Sec. 35-8B-1 am'd.
Summary: SB384 updates how alcohol is taxed in certain community development districts and directs the tax revenue to a county grant fund for education, civic, community, and tourism activities.
What This Bill Does
The bill expands the definition of community development districts and sets a county-level tax on alcoholic beverage sales within those districts at the same rate as beer and wine taxes in the county’s largest municipality. It adds a new Section 35-8B-5 to create a special fund in the county treasury where these tax proceeds are deposited beginning October 1, 2021, to be used for grants supporting education, civic, community, and tourism activities within the affected counties. Grants are awarded based on legislators’ recommendations and apportioned according to the population each legislator represents.

Who It Affects
Counties that contain one or more community development districts, who will receive alcohol tax revenue into a county special fund to fund education, civic, community, and tourism grants.
Alcohol retailers and consumers within those districts, whose alcohol sales will be taxed at the county rate (matching the largest municipality in the county) and contribute to the grant fund.

Key Provisions
Amends Section 35-8B-1 to broaden what counts as a community development district and to require that the sale of alcoholic beverages in these districts be taxed by the county at the same rate as the largest municipality's beer and wine tax, with proceeds distributed under Section 35-8B-5.
Adds Section 35-8B-5, creating a county treasury special fund to receive alcohol tax proceeds beginning October 1, 2021, to be used for grants supporting education, civic, community, and tourism activities within the county where the taxes are collected.
Grants from the new fund are distributed based on legislators' recommendations and allocated proportionally to the population represented by each legislator.

AI-generated summary using openai/gpt-5-nano on Feb 23, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Community Development Districts