HB418 Alabama 2023 Session

Summary

Primary Sponsor

Randall Shedd

Republican

Session

Regular Session 2023

Title

Relating to environmental assessments; to provide for an assessment on each community water system to be remitted to the Alabama Department of Environmental Management.

Summary

HB418 would create an annual levy on community water systems regulated by ADEM to fund the Alabama Environmental Management Fund and related environmental activities, starting in Oct 2024.

What This Bill Does

The Alabama Environmental Management Commission would levy an annual assessment on community water systems regulated by ADEM, with funds deposited into the ADEM Fund. The amount could be up to $20 million per year and would be determined by a formula based on the number of users and the size of each system. Each system would be notified of its exact assessment and must remit payment by the 20th day of the month following the last month of the quarter in which the assessment was levied. The commission may increase the maximum amount as needed and rules would be adopted to implement the act; the act would take effect the first day of the third month after passage and governor approval.

Who It Affects

• Community water systems regulated by ADEM will be responsible for paying the annual assessments based on the formula.
• Customers and ratepayers of those water systems may see higher water bills as the costs are passed through to fund the ADEM activities.

Key Provisions

• An annual assessment on community water systems regulated by ADEM to fund the Alabama Environmental Management Fund.
• Maximum annual amount of $20,000,000, determined by a formula based on the number of users and the size of each system; department may increase the maximum as needed under Section 41-1-11.
• Assessments collected must be remitted to the department by the 20th day of the month following the last month of the quarter in which the assessment was levied; funds deposited into the ADEM Fund.
• Funds used to assure water integrity and quality for human consumption and to carry out other environmental activities in Title 22A; rules to implement the act adopted by the Commission.
• Effective date: first day of the third month after passage and governor approval (with implementation starting Oct 1, 2024).

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

Subjects

Environmental assessment, to provide for assessment on community water systems