SB 222 Alabama Senate · 2025 Regular Session

Medical clinic boards; certain boards authorized to readjust debts under federal bankruptcy laws

SB 222 authorizes medical clinic boards that lease property to hospitals or healthcare providers which have filed for Chapter 11 bankruptcy to use federal bankruptcy laws to adjust their own debts. It specifically allows these boards to pursue debt readjustment under the U.S. Bankruptcy Code, including filing bankruptcy cases. The bill also grants immunity to board members from lawsuits for decisions made in good faith during this process, though it does not protect against intentional misconduct. This applies only to clinic boards with tenants that have voluntarily entered Chapter 11 bankruptcy. The law takes effect immediately upon passage.

Issues: ✓ Healthcare

Bill status signed all 5 stages cleared

Introduction

Mar 2025

Committee Review

Mar 2025

Senate Passage

Apr 2025

House Passage

Mar 2025

Signed into Law

Apr 2025

Introduced Mar 4, 2025 Signed Apr 2, 2025

Maddy AI version diff · 2 comparisons

What changed between versions

Engrossed → Enrolled · 4 edits · Apr 2, 2025

MODERATE

The bill was finalized and formatted for official enactment. The most significant substantive addition grants immunity from lawsuits to medical clinic board members who pursue debt readjustment under federal bankruptcy law, protecting them from personal liability for actions taken in good faith. The bill also clarifies that this immunity does not cover intentional, willful, or wanton misconduct.

Scope change

The scope of the bill's protections was expanded to explicitly include immunity for board members, whereas the engrossed version only mentioned the board's power to act.

ENFORCEMENT

Added a new subsection granting immunity from suit and civil liability to board members acting under the bankruptcy authority, provided they acted within the scope of their duties and without intentional misconduct.

TECHNICAL

Added a clause clarifying that purchasing insurance does not limit the immunity granted to board members.

Updated the bill status from 'Engrossed' to 'Enrolled' and replaced the internal tracking number with the final enrolled identifier.

TIMELINE

Added certification dates showing the bill passed the Senate on March 6, 2025, was amended and passed by the House on March 20, 2025, and the Senate concurred in the House amendment on April 1, 2025.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Apr 1, 2025

Upper · Passed

Senate Concurs In House Amendment - Adopted

upper

Mar 20, 2025

Lower · Passed

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 520

lower

Mar 20, 2025

Lower · Passed

Motion to Adopt - Adopted Roll Call 519

lower

Mar 20, 2025

Introduced

Boards, Agencies and Commissions Engrossed Substitute Offered (Boards, Agencies and Commissions)

lower

Mar 19, 2025

Lower · Passed

Reported Out of Committee Second House (Boards, Agencies and Commissions)

lower

Mar 19, 2025

Introduced

Boards, Agencies and Commissions 1st Amendment (Boards, Agencies and Commissions)

lower

Mar 6, 2025

Lower · Passed

Pending Committee Action in Second House (Boards, Agencies and Commissions)

lower

Mar 6, 2025

Upper · Passed

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 292

upper

Mar 6, 2025

Upper · Passed

Barfoot motion to Adopt - Adopted Roll Call 291

upper

Mar 6, 2025

Introduced

Fiscal Responsibility and Economic Development 1st Amendment Offered (Fiscal Responsibility and Economic Development)

upper

Mar 4, 2025

Upper · Passed

Pending Committee Action in House of Origin (Fiscal Responsibility and Economic Development)

upper

1 primary · 0 co-sponsors