SB139 Alabama 2022 Session

Summary

Primary Sponsor

Clyde ChamblissSenator

Republican

Co-Sponsor

Will Barfoot

Session

Regular Session 2022

Title

Prattville, taxation, distribution of certain sales and use tax proceeds revised, Elmore County Commission to remit certain lodging tax proceeds to the City of Prattville, Secs. 45-1A-43, 45-26-246.05 am'd.

Summary

SB139 changes how Prattville’s Elmore County area collects and distributes sales tax and allows lodging tax proceeds to be sent to Prattville for economic development.

What This Bill Does

It adds an additional general sales and use tax in the Prattville area that lies in Elmore County to equalize tax levels with the rest of Prattville, with certain exemptions. It allocates the tax proceeds monthly, splitting 50% to Elmore County General Fund and 50% to Prattville General Fund, each with 10% of that portion set aside for improvements in the taxed area. It directs remaining funds in related special accounts to Prattville and the county for improvements or economic development, with specific spending rules and deadlines, and it abolishes those special funds after certain conditions and dates. It also changes the lodging tax proceeds, directing most funds to the county for economic development and distribution to municipalities (including Prattville) under an agreement, with Prattville’s share remitted within 30 days after the act’s effective date if applicable.

Who It Affects

• Residents and businesses in the part of Prattville that is located in Elmore County, who would see changes in sales tax collection, exemptions, and how tax funds are used for area improvements and development.
• Elmore County government and the City of Prattville government, which would manage, allocate, and oversee the new and adjusted tax revenues, with specified distribution rules, deadlines, and potential sunset provisions.

Key Provisions

• Creates an additional general sales and use tax in Prattville portions located in Elmore County to equalize the tax with the rest of the city, with exemptions for automobiles, manufacturing machinery, farm machinery, and vending sales.
• Distributes the tax proceeds monthly: 50% to the Elmore County General Fund (10% of that for improvements within the taxed area) and 50% to the City of Prattville General Fund (10% of that for improvements within the taxed area).
• Allocates the balance in the special fund from Act 2003-435: 50% to the City of Prattville within 60 days of the act’s effective date; 50% to the Elmore County Commission for capital improvements or economic development in the Prattville-in-Elmore County area, with county spending contingent on notifying Prattville’s City Council; unspent funds by Sept 30, 2024 are split 50/50 between Prattville and the Elmore County General Fund; the corresponding special funds are abolished when exhausted and no later than Oct 31, 2024.
• Amends Section 45-26-246.05 to place the balance of lodging tax proceeds into the Elmore County Lodging Fund, with 67% used for county economic development and 33% distributed to municipalities on an equal basis for economic development under an agreement; if no agreement exists, the 33% portion reverts to the lodging fund; all net room-fee proceeds go to the lodging fund for county economic development.
• Subsection (b) requires that Prattville’s 33% share of lodging tax funds be remitted to Prattville within 30 days after the act’s effective date for economic development purposes.

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

Subjects

Prattville