HB252 Alabama 2025 Session

Summary

Primary Sponsor

Mack N. ButlerRepresentative

Republican

Session

2025 Regular Session

Title

Class IV municipalities, accounting requirements further provided for

Summary

The bill would let Class IV municipalities hire the same outside accountant for audits for more than three consecutive years.

What This Bill Does

It revises the auditing rule for Class IV municipalities by removing the limit on how long the same accountant can conduct audits. The bill keeps the audit conducted by a reputable, disinterested certified public accountant and requires a true summary of the audit to be published in a newspaper and the audit to be delivered to the city council at the first meeting after completion. It takes effect on October 1, 2025.

Who It Affects

• Class IV municipalities would be able to use the same auditor for more than three consecutive fiscal years.
• Accountants and auditing firms that perform Class IV municipal audits would have the option to audit multiple consecutive years for the same municipality.

Key Provisions

• Amends Section 11-43B-9 to remove the prohibition on the same accountant conducting audits for more than three consecutive fiscal years for Class IV municipalities.
• Audits must be conducted by a reputable, disinterested certified public accountant.
• A true summary of the annual audit report must be published once in a newspaper of general circulation in the city.
• The audit report must be submitted by the mayor to the city council at its first meeting after completion.
• The act becomes effective on October 1, 2025.

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