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HB510 ENROLLED
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HB510
DGEJCNT-3
By Representative Pringle (N & P)
RFD: Mobile County Legislation
First Read: 25-Feb-26
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First Read: 25-Feb-26
Enrolled, An Act,
Relating to Class 2 municipalities; to further provide
for the powers of certain industrial development boards.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. (a) For the purposes of this section, the
following terms have the following meanings:
(1) AUTHORIZING MUNICIPALITY. A Class 2 municipality.
(2) DEVELOPMENT PROJECTS. Any interests in land,
buildings, structures, facilities, or other improvements and
any fixtures, machinery, equipment, furniture, or other
property of any nature whatsoever used on, in, or in
connection with any such land, interest in land, building,
structure, facility, or other improvement, all for the
essential public purpose of the development of trade,
commerce, industry, and employment opportunities in the
corporate limits of the authorizing municipality for any
industrial, commercial, business, office, parking, utility,
residential, including without limitation homes, apartments,
town houses, condominiums, hotels, and motels, or other use,
provided that a majority of the members of the board
determine, by a resolution duly adopted, that the development
project and the use thereof would further the public purpose
of this section. Any such resolution shall include findings
that the primary purpose of the development project is to
advance one or more public purposes of this section,
including, without limitation: (i) the creation or retention
of employment opportunities through the promotion of industry
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of employment opportunities through the promotion of industry
and development of trade; (ii) the expansion or
diversification of the tax base; (iii) the elimination of
blight or underutilized property; (iv) the provision of
facilities that support industrial or economic development; or
(v) the support of housing reasonably related to workforce
needs or economic growth within the municipality.
(3) INDUSTRIAL BOARD DEVELOPMENT ACT. Both of the
following:
a. Division 1 of Article 4 of Chapter 54 of Title 11,
Code of Alabama 1975.
b. This section.
(4) INDUSTRIAL DEVELOPMENT BOARD. Any public
corporation now in existence or hereafter organized pursuant
to the provisions of the Industrial Development Board Act in a
Class 2 municipality.
(b) The purpose of this section is to grant industrial
development boards organized in a Class 2 municipality,
whether existing or formed after June 1, 2026, in addition to
those powers conferred on them, the power to issue and sell
bonds and to acquire, construct, expand, improve, replace,
equip, maintain, operate, lease, and dispose of development
projects. This section shall be liberally construed to carry
out its powers.
(c) In addition to any powers that are conferred on
industrial development boards by the Industrial Development
Board Act, each industrial development board within a Class 2
municipality shall have the following powers with respect to
any development project:
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any development project:
(1) Any power that is conferred on industrial
development boards by the Industrial Development Board Act.
(2) To finance, by loan, grant, lease, or otherwise,
construct, erect, assemble, purchase, acquire, own, repair,
remodel, renovate, rehabilitate, modify, maintain, extend,
improve, install, sell, equip, expand, add to, operate, or
manage development projects.
(3) To pay the cost of any development project from the
proceeds of bonds, or any other funds of the board, or from
any contributions or loans by the state or any municipality,
county, or public agency, persons, or other entities, all of
which the board is hereby authorized to receive and accept and
use.
(4) To loan the proceeds of any bonds issued by it or
other funds available to it to pay all or part of the cost of
any development project and otherwise to further or carry out
the public purpose of the board.
Section 2. This act shall become effective on October
1, 2026.
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1, 2026.
________________________________________________
Speaker of the House of Representatives
________________________________________________
President and Presiding Officer of the Senate
House of Representatives
I hereby certify that the within Act originated in and
was passed by the House 17-Mar-26.
John Treadwell
Clerk
Senate 02-Apr-26 Passed
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