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HB540 Alabama 2025 Session

Updated Feb 23, 2026
Notable

Summary

Session
2025 Regular Session
Title
Randolph County, distribution of county tobacco tax further provided for
Summary

HB540 changes Randolph County's distribution of the county tobacco tax proceeds, detailing exact shares for fire protection, emergency services, economic development, and county programs.

What This Bill Does

It amends the law to direct the tobacco tax proceeds, after a 2% state share, to Randolph County for distribution to specific programs. The shares are 32% to volunteer fire departments and the Randolph County Rescue Squad (in equal shares), 24% to the Randolph County Industrial Development Council for tourism or economic development, 24% retained in the Randolph County General Fund, 10% to the Randolph County Equine and Agricultural Association Center, Inc., and 10% to the Randolph County Animal Shelter. Payments to fire departments and the rescue squad are monthly and must be used for their stated purposes; fire departments must meet minimum standards and cannot be paid salaries; noncompliant departments can be denied funds after notice and time to correct. The Equine and Agricultural Association cannot use funds for salaries, though board expenses may be reimbursed; salaries would need to come from other sources. The act takes effect immediately.

Who It Affects
  • Randolph County volunteer fire departments and the Randolph County Rescue Squad — will receive a monthly, equal-share portion of 32% of the tax proceeds for fire protection, prevention, and emergency services, with funds restricted to those uses and subject to meeting minimum standards.
  • Randolph County Industrial Development Council, Randolph County General Fund, Randolph County Equine and Agricultural Association Center, Inc., and Randolph County Animal Shelter — will receive their respective shares (24%, 24%, 10%, 10%) for tourism/economic development, general county use, agricultural education, and small-animal control.
Key Provisions
  • Amends Section 45-56-243.05 to specify distribution of Randolph County tobacco tax proceeds after a 2% state retention.
  • Total distributions within 15 days include: 32% to volunteer fire departments and the Randolph County Rescue Squad (equal shares) for fire protection/emergency services; 24% to the Randolph County Industrial Development Council for tourism or economic development; 24% retained in the Randolph County General Fund for other county uses; 10% to the Randolph County Equine and Agricultural Association Center, Inc., for agricultural education; 10% to the Randolph County Animal Shelter for countywide small-animal control.
  • Fire departments must meet minimum standards and funds cannot be used for salaries; noncompliant departments may be denied funding after notice and an opportunity to correct deficiencies, with standards determined by the Alabama Forestry Commission and recognized by the Randolph County Volunteer Firefighters Association.
  • The Randolph County Rescue Squad funds are payable monthly and used for the delivery of emergency services.
  • The Randolph County Equine and Agricultural Association Center, Inc. funds cannot be used for salaries; board members may be reimbursed for actual expenses, and salaries must come from other sources.
  • Section 2: The act becomes effective immediately.
AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Randolph County

Bill Actions

H

Enacted

H

Enacted

S

Signature Requested

H

Delivered to Governor

H

Enrolled

H

Ready to Enroll

S

Motion to Read a Third Time and Pass - Adopted Roll Call 866

S

Third Reading in Second House

S

Read for the Second Time and placed on the Calendar

S

Reported Out of Committee Second House

S

Pending Senate Local Legislation

S

Read for the first time and referred to the Senate Committee on Local Legislation

H

Motion to Read a Third Time and Pass - Adopted Roll Call 771

H

Third Reading in House of Origin

H

Read for the Second Time and placed on the Calendar

H

Reported Out of Committee House of Origin

H

Pending House Local Legislation

H

Read for the first time and referred to the House Committee on Local Legislation

Calendar

Hearing

Senate Local Legislation Hearing

No Meeting at 10:17:00

Hearing

House Local Legislation Hearing

Room 418 at 16:51:00

Bill Text

Votes

Motion to Read a Third Time and Pass - Roll Call 771

April 10, 2025 House Passed
Yes 14
Abstained 87
Absent 3

Third Reading in House of Origin

April 10, 2025 House Passed
Yes 59
Abstained 42
Absent 3

HBIR: Passed by House of Origin

April 10, 2025 House Passed
Yes 59
Abstained 42
Absent 3

Motion to Read a Third Time and Pass - Roll Call 866

April 29, 2025 Senate Passed
Yes 26
Absent 8

Documents

Source: Alabama Legislature