The bill, HB405 Engrossed, amends Sections 24-1-22 and 24-1-27 of the Code of Alabama 1975, enhancing the powers and responsibilities of municipal housing authorities. Key insertions include the definition of "MIXED-USE PROJECT," which encompasses developments that integrate housing, commercial, and recreational spaces. The bill updates terminology for clarity, replacing "city or incorporated town" with "municipality" and "persons" with "individuals." It also expands the authority of housing authorities to act as agents for the federal government, manage community facilities, and engage in business organizations for housing project development. Additionally, the authority is empowered to appoint individuals to governing bodies, enter into contracts, and create subsidiaries to support its objectives.

The bill also introduces specific tax exemptions for municipal housing authorities, including exemptions from state taxes, bonds issued by the authority, and certain local taxes, pending local governing body approval. It clarifies the authority's ability to borrow money, secure debts, and make loans to business organizations. Notable deletions include the removal of terms like "a city" in favor of "any other government," and modifications to leasing language to include "community facilities." The act is designed to modernize the legal framework governing municipal housing authorities, enhancing their operational flexibility and capacity to manage housing and community development projects effectively. The bill passed with unanimous support in the House of Representatives and is set to take effect immediately upon passage.

Statutes affected:
Introduced: 24-1-22, 24-1-27
Engrossed: 24-1-22, 24-1-27