HB 163 Alabama House · 2026 Regular Session

Property Insurance and Energy Reduction Act; allow financing of projects through private funding

HB 163 allows Alabama counties and municipalities to partner with private companies to fund energy efficiency projects on properties. Property owners can voluntarily agree to pay for these projects through special assessments added to their property taxes, with local governments not guaranteeing repayment. The bill removes state oversight of these programs by repealing previous requirements about loss reserve funds and regulatory jurisdiction. It directly affects local governments, private financiers, and property owners who choose to participate in energy improvement programs.

Issues: ✓ Energy

Bill status signed all 5 stages cleared

Introduction

Jan 2026

Committee Review

Mar 2026

House Passage

Feb 2026

Senate Passage

Mar 2026

Signed into Law

Mar 2026

Introduced Jan 13, 2026 Signed Mar 17, 2026

Maddy AI version diff · 2 comparisons

What changed between versions

Engrossed → Enrolled · 3 edits · Mar 17, 2026

MINOR

The bill was finalized for signature (Enrolled) after passing the House. The most significant substantive change is the addition of a clause stating that local governments are not required to guarantee repayment of private financing for energy projects. Additionally, the definition of eligible project costs was expanded to include feasibility studies, debt service reserves, and administrative expenses, broadening the scope of what can be financed.

Scope change

The bill's scope was expanded to include a wider range of project costs, such as feasibility studies and reserve funds, and clarified that local governments do not need to guarantee private loans.

DEFINITION

Added a new provision clarifying that local governments are not required to guarantee the repayment of private financing for qualified energy projects.

ELIGIBILITY

Expanded the definition of 'costs of a qualified project' to include feasibility studies, reserve funds for debt service or replacement, and administrative expenses.

TECHNICAL

Updated the bill title and formatting to reflect the final enrolled version for legislative signature.

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

Mar 5, 2026

Upper · Passed

Motion to Read a Third Time and Pass - Adopted Roll Call 723

upper

Mar 3, 2026

Upper · Passed

Reported Out of Committee Second House

upper

Feb 26, 2026

Upper · Passed

Pending Committee Action in Second House (County and Municipal Government)

upper

Feb 26, 2026

Lower · Passed

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 618

lower

Feb 26, 2026

Lower · Passed

Motion to Adopt - Adopted Roll Call 617

lower

Feb 26, 2026

Introduced

County and Municipal Government Engrossed Substitute Offered (County and Municipal Government)

lower

Feb 4, 2026

Lower · Passed

Reported Out of Committee House of Origin (County and Municipal Government)

lower

Jan 13, 2026

Lower · Passed

Pending Committee Action in House of Origin (County and Municipal Government)

lower

1 primary · 0 co-sponsors