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SB163 Alabama 2025 Session

Updated Feb 23, 2026
Notable

Summary

Session
2025 Regular Session
Title
State Auditor; powers and duties revised; Division of Investigations created
Summary

SB163 would overhaul state property oversight by creating a Division of Property Investigations under the State Auditor to investigate losses, recover costs, and update inventory practices.

What This Bill Does

It creates the Division of Property Investigations within the State Auditor’s Office to investigate loss, theft, or damage of state property and to demand repayment when negligence is found, with authority to issue findings of non-negligence or to refer cases for criminal action. It requires property managers to report losses within 30 days and to provide required details to the Division, which will summarize the circumstances. It authorizes the Attorney General to file civil actions to recover the value of lost, stolen, or damaged property and to refer criminal cases to the AG or district attorneys. It updates inventory rules, allowing threshold values to be adjusted every four years based on CPI with 90 days notice, provides for exceptions and alternative audit methods for areas behind security bars, and requires annual and quarterly reporting of losses and related information on a public website.

Who It Affects
  • Property managers and state agency staff who handle nonconsumable state property; they must conduct inventories, report losses within 30 days, maintain receipts, and could be held accountable for shortages.
  • The Attorney General and district attorneys, and state employees who negligently lose or damage state property; they would handle civil actions to recover losses and respond to potential criminal referrals.
Key Provisions
  • Creates Division of Property Investigations within the Office of the State Auditor to conduct investigations of lost, stolen, or damaged state property and to compel repayment when negligence is found.
  • Allows the Division to issue findings of non-negligence or refer matters to the Attorney General or district attorneys for possible criminal violations.
  • Requires property managers to report losses within 30 days and to provide details; establishes a workflow for notifying the Division and coordinating investigations.
  • Empowers the Attorney General to bring civil actions to recover the value of lost, stolen, or damaged property; if not recovered, the Auditor can certify the amount due to the Attorney General.
  • Adds Section 36-16-1.1 to define state property and create the Division of Property Investigations with authority to initiate investigations and review acts of negligence.
  • Updates inventory procedures, including annual threshold adjustments based on CPI every four calendar years, with 90 days’ notice to affected managers and allowances for complete inventories when requested.
  • Establishes exemptions from the standard inventory and audit requirements for certain properties (livestock, school/university properties, some mental health facility property, forestry equipment donated to volunteer fire departments, etc.).
  • Specifies the roles of the Chief of the Property Inventory Control Division and imposes possible disciplinary actions or fines for neglect of duties by agency heads or property managers.
  • Requires reporting of losses over $500 and publication of Annual Production and Losses Reports on the Auditor’s website, with quarterly Losses Reports also published.
AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
State & State Officers

Bill Actions

S

Currently Indefinitely Postponed

S

Read for the Second Time and placed on the Calendar

S

Finance and Taxation General Fund 1st Amendment 5VLHRM6-1

S

Pending Senate Finance and Taxation General Fund

S

Reported out Committee of House of Origin and Re-referred to F&TG

S

Pending Senate Fiscal Responsibility and Economic Development

S

Read for the first time and referred to the Senate Committee on Fiscal Responsibility and Economic Development

Calendar

Hearing

Senate Finance and Taxation General Fund Hearing

Finance and Taxation at 12:00:00

Hearing

Senate Fiscal Responsibility and Economic Development Hearing

Finance and Taxation at 11:32:00

Bill Text

Documents

Source: Alabama Legislature