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SB91 • 2026

County and municipal authorities; withdrawal from multi-jurisdiction authority authorized, taxes and distribution of monies from taxes further provided for

County and municipal authorities; withdrawal from multi-jurisdiction authority authorized, taxes and distribution of monies from taxes further provided for

Taxes
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Melson
Last action
2026-03-19
Official status
Pending Committee Action in Second House
Effective date
Not listed

Plain English Breakdown

The bill summary text does not provide specific details about the distribution of funds or the creation of successor entities beyond what is explicitly stated in the official digest and bill text.

Counties and Municipalities Can Leave Multi-Jurisdiction Authorities

This bill allows counties or municipalities to leave multi-jurisdiction authorities if there is no outstanding debt, and it sets rules for how money should be handled after leaving.

What This Bill Does

  • Allows a county or municipality to withdraw from a multijurisdiction authority without permission from others if the authority has no debt.
  • Permits the county or municipality that leaves to create its own entity with similar functions as before, and this new entity can borrow money and issue bonds.
  • Requires the original authority to give back some of its unspent money to the county or municipality that left.

Who It Names or Affects

  • Counties and municipalities in Alabama
  • Multi-jurisdiction authorities created by the Legislature

Terms To Know

Multijurisdiction Authority
An entity made by the state that works across multiple counties or cities, often for economic development.
Revenue Bonds
Bonds issued to raise money for a specific project or purpose.

Limits and Unknowns

  • The bill does not specify what happens if the multi-jurisdiction authority has outstanding debt.
  • It is unclear how this will affect economic development efforts in the areas involved.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

9JHDTPM-1

R 926 • Melson

Adopted

Plain English: 9JHDTPM-1 02/23/2026 THR (L)THR 2025-1975 SUB SB91 COUNTY AND MUNICIPAL GOVERNMENT SUBSTITUTE TO SB91 OFFERED BY SENATOR ELLIOTT Page 1 SYNOPSIS: Under existing law, counties and municipalities may participate in various multijurisdiction authorities created by the Legislature.

  • 9JHDTPM-1 02/23/2026 THR (L)THR 2025-1975 SUB SB91 COUNTY AND MUNICIPAL GOVERNMENT SUBSTITUTE TO SB91 OFFERED BY SENATOR ELLIOTT Page 1 SYNOPSIS: Under existing law, counties and municipalities may participate in various multijurisdiction authorities created by the Legislature.
  • This bill would authorize the governing body of a county or municipality to unilaterally withdraw from certain multijurisdiction authorities, establish a successor entity to an authority, further provide for the distribution or use of any monies previously distributed to the authority, and increase or decrease the rate of any tax collected in conjunction with the authority.
  • This bill would also require a multijurisdiction authority to remit certain monies to a withdrawing entity.
  • A BILL TO BE ENTITLED AN ACT Relating to counties and municipalities; to authorize the governing body of a county or municipality to withdraw from a multijurisdiction authority, establish a successor entity, further provide for the distribution or use of certain 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Page 2 entity, further provide for the distribution or use of certain monies previously distributed to an authority, and increase or decrease the rate of any tax collected in conjunction with the authority; and to require a multijurisdiction authority to remit certain monies to a withdrawing entity.
  • This amendment summary is using official source text because generated interpretation was skipped for this run.
KHFNG5U-1

R 927 • Melson

Adopted

Plain English: KHFNG5U-1 : 3/3/2026 : THR 1ST MELSON AMENDMENT TO SB91 OFFERED BY SENATOR MELSON Page 1 Replace lines 60 through 64 on page 3 with the following: (d) Following a withdrawal performed pursuant to 1 2 3 4 5 6

  • KHFNG5U-1 : 3/3/2026 : THR 1ST MELSON AMENDMENT TO SB91 OFFERED BY SENATOR MELSON Page 1 Replace lines 60 through 64 on page 3 with the following: (d) Following a withdrawal performed pursuant to 1 2 3 4 5 6
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Bill History

  1. 2026-03-19 House

    Pending Committee Action in Second House

  2. 2026-03-19 House

    Read for the first time and referred to the House Committee on Economic Development and Tourism

  3. 2026-03-17 Senate

    Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 928 (Yeas 17, Nays 5)

  4. 2026-03-17 Senate

    Melson motion to Adopt - Adopted Roll Call 927 (Yeas 28, Nays 0)

  5. 2026-03-17 Senate

    Melson motion to Adopt - Adopted Roll Call 926 (Yeas 30, Nays 0)

  6. 2026-03-17 Senate

    Third Reading in House of Origin (Yeas 30, Nays 0)

  7. 2026-03-17 Senate

    Engrossed

  8. 2026-03-17 Senate

    Melson 1st Amendment Offered

  9. 2026-03-17 Senate

    County and Municipal Government 1st Substitute Offered

  10. 2026-03-10 Senate

    Carried Over to the Call of the Chair

  11. 2026-02-24 Senate

    Read for the Second Time and placed on the Calendar

  12. 2026-02-24 Senate

    Reported Out of Committee House of Origin

  13. 2026-02-24 Senate

    County and Municipal Government 1st Substitute

  14. 2026-01-13 Senate

    Pending Committee Action in House of Origin

  15. 2026-01-13 Senate

    Read for the first time and referred to the Senate Committee on County and Municipal Government

Official Summary Text

County and municipal authorities; withdrawal from multi-jurisdiction authority authorized, taxes and distribution of monies from taxes further provided for

Current Bill Text

Read the full stored bill text
SB91 ENGROSSED
Page 0
SB91
9JHDTPM-2
By Senator Melson
RFD: County and Municipal Government
First Read: 13-Jan-26
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SB91 Engrossed
Page 1
First Read: 13-Jan-26
A BILL
TO BE ENTITLED
AN ACT
Relating to counties and municipalities; to authorize
the governing body of a county or municipality to withdraw
from a multijurisdiction authority, establish a successor
entity, further provide for the distribution or use of certain
monies previously distributed to an authority, and increase or
decrease the rate of any tax collected in conjunction with the
authority; and to require a multijurisdiction authority to
remit certain monies to a withdrawing entity.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. (a) For the purposes of this section, the
term "multijurisdiction authority" means any entity created by
the Legislature, authorized to operate in more than one county
or municipality, created to address economic development
issues, whose governing body includes members appointed by
more than one county or municipality, and whose governing body
includes members appointed by the governing body of a county
that borders other states to the north and west.
(b) If a multijurisdiction authority does not have any
outstanding debt, the governing body of a county or
municipality, by resolution, may unilaterally withdraw from
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SB91 Engrossed
Page 2
municipality, by resolution, may unilaterally withdraw from
the multijurisdiction authority.
(c) Following a withdrawal performed pursuant to
subsection (b), the governing body of a member county or
municipality, by resolution, may do any of the following:
(1) Establish an entity that operates within the
boundaries of the county or municipality and performs
functions similar to the multijurisdiction authority from
which the county or municipality withdrew. Any new entity
established pursuant to this subdivision shall have the power
to borrow money and to issue revenue bonds as evidence of
money borrowed.
(2) Further provide for the distribution or use of any
monies raised or collected inside the territory administered
by the governing body and previously distributed to the
multijurisdiction authority by the Legislature.
(d) Following a withdrawal performed pursuant to
subsection (b), the multijurisdiction authority shall remit to
the governing body of the withdrawing county or municipality a
portion of the multijurisdiction authority's unencumbered
monies that corresponds to the percentage of the
multijurisdiction authority's total funding that was raised or
collected from the territory of the withdrawing county or
municipality.
(e) Following a withdrawal performed pursuant to
subsection (b), the multijurisdiction authority shall have the
power to borrow money and to issue revenue bonds as evidence
of money borrowed.
Section 2. This act shall become effective immediately.
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SB91 Engrossed
Page 3
Section 2. This act shall become effective immediately.
Senate
Read for the first time and referred
to the Senate committee on County
and Municipal Government
................13-Jan-26
Read for the second time and placed
on the calendar:
0 amendments
................24-Feb-26
Read for the third time and passed
as amended
Yeas 17
Nays 5
Abstains 0
................17-Mar-26
Patrick Harris,
Secretary.
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