House Bill 344 Alabama 2026 Session

Summary

Primary Sponsor

Craig LipscombRepresentative

Republican

Session

2026 Regular Session

Title

Volunteer fire departments; authorized to deposit funds with financial institutions

Summary

HB344 lets Alabama volunteer fire departments and rescue squads deposit, invest, and manage funds in federally insured banks or credit unions, with specific spending rules, recordkeeping, and a set effective date.

What This Bill Does

The bill authorizes volunteer departments and squads to place and manage their funds in federally insured institutions, rather than keeping funds only in non-financial forms. It allows restricted funds to be used for station kitchen equipment, food for training or on-call meals, and drinks, with the equipment remaining the property of the department or squad. It requires detailed recordkeeping for expenditures for at least three years, including item details, costs, and where items are used, and it mandates security, reporting, and auditing compliance for deposits. It also states that county commissions are not responsible for expenditures or activities under this section, and it sets an effective date of October 1, 2026.

Who It Affects

• Volunteer fire departments and volunteer rescue squads in Alabama, who would gain authority to deposit, invest, and manage funds in federally insured financial institutions and would must follow specified recordkeeping and noncommingling rules.
• County commissions, which would not be responsible for expenditures or activities of volunteer departments or squads under this section.

Key Provisions

• Authorizes deposit, investment, and management of department/squad funds in federally insured financial institutions; funds may not be commingled with private funds.
• Requires deposits to comply with security, reporting, and auditing requirements under local, state, and federal law.
• Defines key terms: Department, Federally Insured Financial Institution, Squad, Station, and Volunteer First Responder.
• Allows restricted funds to be used to purchase station kitchen equipment, food for on-site consumption, electrolytes/drinks for training or calls; equipment remains the property of the department or squad.
• Requires detailed recordkeeping for expenditures for at least three years, including items purchased, costs, locations, and total yearly expenditures.
• Declares that county commissions are not responsible for expenditures or activities of volunteer departments or squads under this section.
• Effective date: October 1, 2026.

AI-generated summary using openai/gpt-5-nano on Feb 12, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Public Safety & Emergencies