HB338 Alabama 2023 Session

Summary

Primary Sponsor

Craig LipscombRepresentative

Republican

Session

Regular Session 2023

Title

Relating to public contracts; to provide circumstances under which a conflict of interest exists in the procurement of a public contract; to provide criminal penalties for a violation; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Section 111.05 of the Constitution of Alabama of 2022.

Summary

HB338 creates a new conflict-of-interest rule for public construction contracts, saying a design professional or bid document worker is in conflict if they are also tied to a vendor supplying materials used in the contract.

What This Bill Does

It defines when a conflict of interest exists for building design professionals and those who assemble bid documents on public contracts. If such an individual is also employed by or contracted to a vendor for materials used in the design, that relationship creates a conflict. A violation would be treated as a violation of Alabama's Ethics Law, with its penalties. The bill is exempt from local-funding spending rules because it creates or amends a crime, and it would take effect on the first day of the third month after it is enacted.

Who It Affects

• Design professionals who provide building construction design services on public contracts; they could face conflicts if tied to a vendor that supplies materials or other items used in the design.
• Vendors or suppliers providing materials or tangible property used in the public contract; they could be involved if they employ or contract with the design professional.

Key Provisions

• Defines conflict of interest for a design professional or bid document assembler when also employed by or contracted to a vendor for materials used in the design.
• Violations are treated as violations of the Ethics Law (Chapter 25, Title 36).
• Exempts the bill from local-government spending rules under Section 111.05 because it creates or amends a crime.
• Effective date: the first day of the third month after passage and 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.