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HB354 Alabama 2026 Session

Updated Apr 6, 2026
Notable

Summary

Session
2026 Regular Session
Title
Department of Workforce; workforce talent recruitment grant program established, eligibility provided for, and fund established
Summary

Creates a Talent Recruitment Grant Program under the Alabama Department of Workforce to attract households from outside the state with financial incentives.

What This Bill Does

The department would establish and run a talent recruitment grant program to fund relocation incentives for households moving to Alabama. Eligible applicants are municipalities/counties or nonprofits with economic, workforce, or community development missions, who must submit a plan, contribute at least 20% of costs, and report outcomes. Grants are paid 50% when a contract is signed and 50% after the recipient proves half of its household relocation goal, with remaining funds forfeited if the goal isn’t met. Recipients must provide semiannual reports on applications, approvals, costs per household, incomes/occupations of relocated households, and the program's economic impact; households must reside outside Alabama, have income at or above the state median, and apply through the grant recipient. A dedicated Talent Recruitment Grant Fund is created in the State Treasury to hold and disburse funds, with revenue and spending guided by state budget laws, and unspent funds kept for future use, effective October 1, 2026.

Who It Affects
  • Municipalities and counties in Alabama: eligible to apply for grants and implement relocation incentive programs.
  • Nonprofit organizations with economic development, workforce, or community development missions: eligible to apply and administer programs.
  • Households relocating from outside Alabama: eligible for relocation incentives if they meet income and residency requirements.
  • State and local taxpayers/finances: funds are set aside in a dedicated grant fund and subject to annual budgeting and reporting, with potential broader economic impact.
Key Provisions
  • Establishes the Talent Recruitment Program Grant Fund in the State Treasury to finance grants.
  • Eligible applicants include municipalities/counties and qualifying nonprofit organizations; households eligible if outside-state residents with at-or-above state median income.
  • Creates a household goal and requires grants to cover program design, administration, marketing, and relocation incentives; applicant must contribute at least 20% of total program cost.
  • Grants disbursed 50% upon contract signing and 50% after proving half of the household goal; remaining funds forfeited if half-goal is not met.
  • Recipients must provide semiannual reports with detailed metrics on applications, approvals, costs, incomes/occupations, and economic impact.
  • Programs must include safeguards to avoid displacing existing residents and include tax and economic impact analyses.
  • Fund remains available for use if unexpended at year end; spending governed by Budget Management Act; effective October 1, 2026.
AI-generated summary using openai/gpt-5-nano-2025-08-07 on Mar 31, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Economic Development

Bill Actions

S

Pending Senate Finance and Taxation Education

S

Read for the first time and referred to the Senate Committee on Finance and Taxation Education

H

Engrossed

H

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 994

H

Motion to Adopt - Adopted Roll Call 993 HGMQ588-1

H

Ways and Means General Fund Engrossed Substitute Offered HGMQ588-1

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 from House Ways and Means General Fund HGMQ588-1

H

Re-referred to Committee in House of Origin to House Ways and Means General Fund

H

Read for the Second Time and placed on the Calendar

H

Reported Out of Committee House of Origin from House Ways and Means Education HGMQ588-1

H

Pending House Ways and Means Education

H

Read for the first time and referred to the House Committee on Ways and Means Education

Calendar

Hearing

House Ways and Means General Fund Hearing

Room 617 at 14:00:00

Hearing

House Ways and Means Education Hearing

Room 206 at 12:00:00

Hearing

House Ways and Means Education Hearing

Room 200 at 09:00:00

Bill Text

Votes

Motion to Read a Third Time and Pass as Amended - Roll Call 994

March 19, 2026 House Passed
Yes 91
Abstained 4
Absent 10

Third Reading in House of Origin

March 19, 2026 House Passed
Yes 98
Abstained 3
Absent 4

HBIR: Passed by House of Origin

March 19, 2026 House Passed
Yes 98
Abstained 3
Absent 4

Documents

Source: Alabama Legislature