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HB 416 Alabama House · 2026 Regular Session

Cleburne County; Cleburne County Economic Development Authority, established

HB 416 establishes the Cleburne County Economic Development Authority to lead industrial and economic growth efforts in Cleburne County, directly affecting local businesses, residents, and county decision-makers. The bill creates a board of directors (appointed by county commissioners from each district) to develop economic plans, with authority to offer tax breaks for job creation and issue bonds - but only with approval from the county commission and without exemptions for board members or their businesses. Funding will come from county appropriations, tobacco tax revenue, and grants. The authority becomes operational on October 1, 2026, and must hold its first meeting by November 1, 2026.
Issues: ✓ Budget & TaxesSupports Budget & TaxesBill authorizes tax breaks for job creation, a form of tax relief to stimulate economic growth, aligning with fiscal policy support indicators.85% confidence
Bill status signed all 5 stages cleared
Introduction
Feb 2026
Committee Review
Feb 2026
House Passage
Feb 2026
Senate Passage
Feb 2026
Signed into Law
Mar 2026
Introduced Feb 10, 2026 Signed Mar 3, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced → Enrolled · 6 edits · Mar 3, 2026
MODERATE
The bill was finalized and enrolled, updating the sponsor's name and removing draft metadata. Substantively, the bill establishes a new Economic Development Authority for Cleburne County with a board appointed by county commissioners. Key additions include a requirement that the tax-exempt authority cannot provide tax breaks to board members, their families, or businesses they are associated with, and a mandate that the local government must approve any tax incentives before they are granted.
Scope change
The bill's scope remains the establishment of a Cleburne County Economic Development Authority, but it adds specific restrictions on who can receive tax incentives and clarifies the appointment process for board members.
TECHNICAL

Updated the bill status from 'Introduced' to 'Enrolled' and changed the version identifier from V7I1EVL-1 to V7I1EVL-2.

REQUIREMENT

Added a new provision requiring that the governing body of any local entity must affirmatively approve economic incentives before the authority can grant tax abatements.

Added a provision clarifying that after initial terms, all board members serve four-year terms starting January 1, with vacancies filled by the appointing authority.

Added a provision stating that board members serve without compensation but are entitled to reimbursement for necessary expenses.

Added a provision allowing authority personnel to participate in the Employees' Retirement System of Alabama and purchase prior service credit.

ELIGIBILITY

Added a prohibition preventing the authority from granting tax abatements to board members, directors, employees, their families, or businesses they are associated with.

Floor votes

How they voted

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

Actions timeline

Total actions
17
Key actions
6
Committee
4
Feb 24, 2026
Upper · Passed
Motion to Read a Third Time and Pass - Adopted Roll Call 536
upper
Feb 19, 2026
Upper · Passed
Reported Out of Committee Second House
upper
Feb 17, 2026
Upper · Passed
Pending Committee Action in Second House (Local Legislation )
upper
Feb 17, 2026
Lower · Passed
Motion to Read a Third Time and Pass - Adopted Roll Call 429
lower
Feb 12, 2026
Lower · Passed
Reported Out of Committee House of Origin
lower
Feb 10, 2026
Lower · Passed
Pending Committee Action in House of Origin (Local Legislation)
lower
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.