SB346 Alabama 2023 Session

Updated Feb 22, 2026

Summary

Primary Sponsor: Garlan GudgerSenator
Republican
Session: Regular Session 2023
Title: Relating to Cullman County, to amend Section 45-22-225 of the Code of Alabama 1975, to change the composition of the Cullman County Tourism Bureau; and to amend Sections 45-22-242 and 45-22-242.11 of the Code of Alabama 1975, to provide for the rate of taxation and for the use of the proceeds of the tax.
Summary: SB346 reshapes the Cullman County Tourism Bureau and establishes a county lodging tax with designated uses and distribution of proceeds.
What This Bill Does
It changes who sits on the Cullman County Tourism Bureau, adding representatives from the city, chamber, county commission, hotels, Wallace State Community College, parks and recreation, and a tourism industry member chosen by state delegation, with a tie-breaking vote by the Cullman senator. It sets staggered terms for these members and moves the bureau toward centralized control of tourism funds. It imposes a county lodging tax of 5% on room charges (potentially 4% after certain debts are retired) with exemptions for state-taxed services and a long-term occupancy exception, and it adds a 0.25% city contribution to the Tourism Bureau.

Who It Affects
Lodging businesses in Cullman County (hotels, motels, inns, etc.) will collect and remit a new county lodging tax (5%, later 4% after specified debt retirement) and may be exempt from the tax if their charges are already taxed under the state sales tax.
Local tourism-related organizations and government bodies (Chamber of Commerce, Cullman County Tourism Bureau, Cullman City and County governments, and Wallace State Community College) will receive and manage the tax proceeds according to specified distribution rules to fund operations, marketing, and debt repayment for tourism facilities.

Key Provisions
Section 45-22-225 revises the Cullman County Tourism Bureau composition to include eight specified categories of appointees (city council, chamber of commerce, county commission, hotel association, Wallace State Community College, parks and recreation directors, and a majority-approved tourism representative), with a tie-breaking vote by the Cullman Senator if needed.
Section 45-22-242 creates a county lodging tax of 5% on transient lodging charges (reduced to 4% after debt retirement) with exemptions for state-taxed rentals and a 3090-day occupancy rule; it also adds a City of Cullman 0.25% transfer to the Tourism Bureau.
Section 45-22-242.11 outlines collection and distribution: the state collects the tax (with up to 2.5% fees), and the proceeds are split—2/5 to the Chamber for operations and marketing, 1/5 to the Tourism Bureau for tourism promotion, and 2/5 to the Chamber to pay existing debt with a plan to retire debt before re-allocating funds; a portion expires in 2024, and the remaining proceeds are allocated to debt retirement and tourism uses as specified.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Cullman County, Cullman County Tourism Bureau composition, lodgings tax rate and distribution of proceeds