SB 145 Alabama Senate · 2026 Regular Session

Hospitals, private hospital assessment and Medicaid funding program sunset clause removed.

SB 145 removes the expiration date for a 6% tax that privately operated hospitals in Alabama pay on net patient revenue. This tax currently funds Medicaid payments to hospitals and was scheduled to end on September 30, 2028. The bill makes the tax permanent, ensuring ongoing funding for Medicaid hospital payments without a set termination date. It directly affects private hospitals, which will continue paying this assessment to support Medicaid program financing.
Bill status signed all 5 stages cleared
Introduction
Jan 2026
Committee Review
Mar 2026
Senate Passage
Mar 2026
House Passage
Apr 2026
Signed into Law
Apr 2026
Introduced Jan 14, 2026 Signed Apr 9, 2026
Maddy AI version diff · 2 comparisons

What changed between versions

Engrossed Enrolled · 4 edits · Apr 9, 2026
MODERATE
The bill was finalized for signature (Enrolled) after minor formatting corrections. The substantive policy content regarding the hospital provider privilege tax remains unchanged, including the 6% tax rate and the specific fiscal years it applies to.
Scope change
The scope of the bill remains unchanged; it continues to apply to privately operated hospitals in Alabama for state fiscal years 2026, 2027, and 2028.
TECHNICAL

Corrected a typo in the bill title changing 'ENGROSSED' to 'ENROLLED' and updated the bill number from KHIM3UU-2 to KHIM3UU-3.

Reformatted the text to remove unnecessary blank lines and standardize the layout for the final enrolled version.

Fixed a text error in Section 1 where the word 'an' was accidentally repeated as 'anAn'.

Adjusted line breaks and paragraph spacing to ensure the text flows correctly in the final legislative record.

Floor votes

How they voted

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

Actions timeline

Total actions
21
Key actions
7
Committee
4
Amendments
2
Apr 1, 2026
Lower · Passed
Motion to Read a Third Time and Pass - Adopted Roll Call 1135
lower
Mar 31, 2026
Lower · Passed
Reported Out of Committee Second House
lower
Mar 12, 2026
Lower · Passed
Pending Committee Action in Second House (Ways and Means General Fund)
lower
Mar 11, 2026
Upper · Passed
Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 824
upper
Mar 11, 2026
Upper · Passed
Albritton motion to Adopt - Adopted Roll Call 823
upper
Mar 11, 2026
Introduced
Finance and Taxation General Fund 1st Substitute Offered (Finance and Taxation General Fund)
upper
Mar 10, 2026
Upper · Passed
Reported Out of Committee House of Origin
upper
Jan 14, 2026
Upper · Passed
Pending Committee Action in House of Origin (Finance and Taxation General Fund)
upper
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Greg Albritton
Greg Albritton
RRepublican
AL
22