HB347 Alabama 2022 Session

Summary

Primary Sponsor

Parker MooreRepresentative

Republican

Session

Regular Session 2022

Title

Community development districts, new category establishment authorized, sale of alcoholic beverages permitted, Sec. 35-8B-1 am'd.

Summary

HB347 creates a new class of community development district in Alabama and sets rules for how these districts can be formed and operated, including alcohol sales and governance.

What This Bill Does

It amends sections 35-8B-1 and 35-8B-2 to create an additional class of community development district and to specify how such districts can be incorporated and governed. It broadens the types of developments that can become a district, including private residential, resort, and commercial areas with facilities like golf courses, marinas, clubhouses, and restaurants. It governs alcohol sales within these districts by tying tax treatment to county rates and altering regulatory or exemption provisions in certain district definitions. It also sets out the establishment process (consent, boundary description, initial board, probate filing) and assigns filing and ongoing fees, while requiring counties and municipalities to participate in tax and license fee distributions and addressing revenue offsets related to TVA payments.

Who It Affects

• Property owners and developers who plan to form or join a community development district, as the bill expands eligibility criteria and outlines governance, membership, and facility requirements that such districts must meet.
• Counties and municipalities (and their tax authorities and probate offices) that will administer taxes, license fees, and revenue distributions for districts, and regulate alcohol sales within those districts.

Key Provisions

• Creates an additional class of community development district by amending 35-8B-1 and 35-8B-2 to specify incorporation and powers.
• Expands definitions of CDs to include numerous private development configurations across multiple subsections (e.g., residential developments with golf, social clubs, marinas, clubhouses, restaurants, and specific membership and funding structures) and various wet/dry county scenarios.
• Authorizes and regulates the sale of alcoholic beverages within CDs, tying the tax to the county rate used for beer and wine in the largest municipality and directing distribution under Section 35-8B-5; in some district types, alcohol rules may override other state or local regulations.
• Establishes the process to form a CD (owner consent or control, boundary descriptions, initial board appointments, probate filing) and outlines associated fees (one-time and annual) payable to the probate court and local governments.
• Requires counties and municipalities to participate in tax and license fee distributions for CDs, and provides for offsetting certain TVA payments with alcohol revenues.
• Includes provisions related to immediate effectiveness upon governor’s approval.

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

Subjects

Community Development Districts