HB 529 Alabama House · 2026 Regular Session

Class 2 municipalities; municipal lien process revised

HB 529 revises the foreclosure process for Class 2 municipalities (smaller Alabama cities) regarding unpaid municipal code violation fines. It removes the requirement to notify state/local taxing authorities before foreclosure, allows municipalities to create their own foreclosure forms, and shortens key timelines (e.g., foreclosure sales must occur 30 days after court approval instead of 45 days). This directly affects property owners in these municipalities who owe unpaid municipal fines, streamlining the process to reduce delays. The bill makes technical updates to existing law without changing the core purpose of enforcing municipal code compliance.

Bill status signed all 5 stages cleared

Introduction

Feb 2026

Committee Review

Mar 2026

House Passage

Mar 2026

Senate Passage

Mar 2026

Signed into Law

Apr 2026

Introduced Feb 26, 2026 Signed Apr 7, 2026

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What changed between versions

Introduced → Enrolled · 7 edits · Apr 7, 2026

MODERATE

This bill streamlines the foreclosure process for Class 2 municipalities in Alabama by removing the requirement to notify the state and other taxing officials before selling properties with unpaid municipal code liens. It also shortens the waiting periods for conducting sales and issuing deeds from 45 or 90 days to just 30 days, allowing municipalities to act faster to collect debts.

Scope change

The bill maintains its focus on Class 2 municipalities but removes the previous mandate to notify the State of Alabama and all other taxing officials before initiating a foreclosure sale.

REQUIREMENT

Eliminated the requirement for municipalities to notify the State of Alabama and all other taxing agencies before filing a petition to foreclose on a municipal code lien.

Changed the notification requirement so that only the county's ad valorem tax collector must be notified, rather than all taxing agencies and the state.

TIMELINE

Reduced the time allowed to conduct a foreclosure sale from 45 days to 30 days after the court orders the sale.

Reduced the time for the court to execute a foreclosure deed from 90 days to 30 days after the sale.

Reduced the time for a municipality to file a foreclosure report from 90 days to 30 days after the sale.

ELIGIBILITY

Added a restriction preventing the foreclosure of properties identified as owner-occupied.

TECHNICAL

Authorized municipalities to create and use their own forms for foreclosure petitions and deeds instead of being required to use statutory language.

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

Mar 31, 2026

Upper · Passed

Motion to Read a Third Time and Pass - Adopted Roll Call 968

upper

Mar 18, 2026

Upper · Passed

Reported Out of Committee Second House

upper

Mar 17, 2026

Upper · Passed

Pending Committee Action in Second House (Mobile County Legislation)

upper

Mar 17, 2026

Lower · Passed

Motion to Read a Third Time and Pass - Adopted Roll Call 908

lower

Mar 11, 2026

Lower · Passed

Reported Out of Committee House of Origin

lower

Feb 26, 2026

Lower · Passed

Pending Committee Action in House of Origin (Mobile County Legislation)

lower

1 primary · 0 co-sponsors