House Bill 215 Alabama 2026 Session

Summary

Primary Sponsor

Patrick Sellers

Democrat

Session

2026 Regular Session

Title

Transit authorities; to authorize participation in business organizations

Summary

HB215 would authorize transit authorities in Alabama counties with populations of 600,000+ to participate in business organizations, form subsidiaries, and expand financing and partnerships to operate and grow public transportation.

What This Bill Does

HB215 would allow qualifying transit authorities to join with or form business organizations related to transit operations and land acquisitions, create subsidiaries, and arrange loans for these activities. It would empower the authority to plan, own, operate, finance, and provide public transportation across counties, including charter services and asset management, and to issue bonds or other financing while limiting the power of partner organizations to eminent domain. It would update legal definitions and governance provisions (including a Transit Citizens Advisory Board) and set a final effective date of October 1, 2026.

Who It Affects

• Transit authorities in counties meeting the population threshold — can engage in partnerships, form subsidiaries, issue bonds, and expand transit operations across counties.
• Public riders and local taxpayers in the authorizing counties — potentially affected by expanded transit activities, financing mechanisms (bonds/financing), and governance oversight through the TCAB.

Key Provisions

• Authorize transit authorities to participate in business organizations (including corporations, partnerships, joint ventures, nonprofits, or other lawful forms) relating to transit operations, land acquisitions, or incidental activities; allow creation or acquisition of subsidiaries; enable loans or capital contributions for these activities; ensure participating organizations do not have eminent domain power.
• Expand the authority's powers to plan, own, operate, finance, and provide public transportation within the authorizing county or other counties, including charter service, sale/lease of assets, bond issuance, mortgages, and revenue pledges; require labor wages on contracted construction to meet prevailing local rates; and establish a Transit Citizens Advisory Board (TCAB) with defined representation and advisory duties.
• Update Section 11-32-2 definitions to reflect new terms (e.g., authorizing county, principal municipality, participating municipality, TCAB) and clarify the authority as a public corporation rather than a political subdivision.
• Set the act to become effective on October 1, 2026.

AI-generated summary using openai/gpt-5-nano on Feb 11, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Counties & Municipalities