HB 273 Alabama House · 2026 Regular Session

Municipal employees; eligible to receive grant funds paid through municipal treasury in certain circumstances

HB 273 allows municipal employees to receive community development block grant funds (even when funds flow through the city treasury) if they meet two conditions: the benefit must be identical to what other recipients receive, and the employee cannot have any role in deciding who gets the funds. It specifically excludes elected municipal officials from this exception. The bill amends Alabama law to clarify this exception while maintaining existing restrictions on municipal employees having financial interests in city contracts. Violations would be punishable as misdemeanors with fines up to $1,000. The bill is pending in committee and would take effect October 1, 2026, if passed.

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2026

Committee Review

Mar 2026

House Passage

Mar 2026

Senate Passage

Governor

Introduced Jan 15, 2026 Last action Mar 10, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Introduced → Engrossed · 4 edits · Mar 5, 2026

MODERATE

The bill was updated from its introduced version to the engrossed version, finalizing its text after passing the legislature. The most significant substantive change is narrowing the eligibility for receiving grant funds from any municipal employee to specifically 'first responders' who do not influence grant eligibility decisions. Additionally, the definition of prohibited officials was expanded to include family members of public officials.

Scope change

The bill's scope was narrowed to apply the grant exception only to first responders, whereas the introduced version allowed any municipal employee to receive such funds under specific conditions.

ELIGIBILITY

Changed the eligible group from 'an employee' to 'a first responder employed by the municipality' to limit who can receive grant funds.

DEFINITION

Expanded the exclusion list to include 'any public official' and 'any family member of the public official,' broadening the restrictions on who cannot receive these funds.

TECHNICAL

Corrected a typo in the penalty section where the word 'individual' was inserted between 'person' and 'who'.

TIMELINE

Added the final effective date of October 1, 2026, and included the official House passage record.

Floor votes

How they voted

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

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Mar 10, 2026

Upper · Passed

Reported Out of Committee Second House

upper

Mar 5, 2026

Upper · Passed

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

upper

Mar 5, 2026

Lower · Passed

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 764

lower

Mar 5, 2026

Lower · Passed

Motion to Adopt - Adopted Roll Call 763

lower

Mar 5, 2026

Introduced

Jones 1st Amendment Offered

lower

Mar 5, 2026

Lower · Passed

Motion to Adopt - Adopted Roll Call 762

lower

Mar 5, 2026

Introduced

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

lower

Jan 21, 2026

Lower · Passed

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

lower

Jan 15, 2026

Lower · Passed

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

lower

1 primary · 0 co-sponsors