HB185 Alabama 2024 Session

Summary

Primary Sponsor

Tim WadsworthRepresentative

Republican

Session

Regular Session 2024

Title

Municipalities, authorizes a municipality to resume collection of taxes in their police jurisdiction once in compliance with reporting requirements

Summary

Allows a municipality that was barred from collecting certain taxes in its police jurisdiction outside its corporate limits to resume collection after the state auditor certifies it is in compliance with reporting requirements.

What This Bill Does

The bill allows eligible municipalities to request to resume collection of license revenue or other taxes/fees within their police jurisdiction but outside the corporate limits. The Department of Examiners of Public Accounts must certify within 30 days of the request (and the accompanying annual reports) that the municipality may resume collection. The municipality may not collect during the period it was barred, and certification simply allows collection to restart under the existing reporting framework.

Who It Affects

• Municipalities that were barred from collecting license revenue or other taxes/fees within their police jurisdiction outside the corporate limits due to failure to submit required annual reports, now able to request to resume collection.
• Residents and businesses located in the municipality's police jurisdiction outside the corporate limits, who would be subject to license taxes and fees again once certification is issued.

Key Provisions

• A municipality barred from collecting certain revenues may request to resume collection after addressing reporting deficiencies.
• The Department of Examiners of Public Accounts must certify within 30 days of receipt of the request and accompanying annual reports that the municipality may resume collection.
• The act does not change the existing reporting requirements from Section 11-51-91.
• Municipalities may not collect during the period they were barred; collection may resume only after certification.
• The act becomes effective June 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

Counties & Municipalities