HB405 Engrossed is a bill that amends Sections 24-1-22 and 24-1-27 of the Code of Alabama 1975, concerning the powers and operations of municipal housing authorities. The bill updates terminology, such as changing "city or incorporated town" to "municipality" and "federal Secretary" to "United States Department" of Housing and Urban Development, and introduces the term "mixed-use project." It also revises the language for clarity, such as changing "shall include" to "includes." The bill exempts housing authorities from certain taxes and makes technical revisions to enhance the clarity of the authorities' powers, which include investigating living conditions, managing housing projects, and cooperating with planning agencies.

The bill expands the powers of housing authorities to include acting as agents for the federal government, arranging services with other governments, leasing or renting accommodations, acquiring or disposing of property, entering buildings for surveys, insuring property, borrowing money, and imposing limitations on projects related to loans. It also allows authorities to invest funds, sue and be sued, alter their seal, make contracts, issue subpoenas, operate and manage housing projects, participate in business organizations, make loans, contribute to capital, and establish subsidiaries. The bill specifies that the board of directors' determinations are conclusive and that business organizations not wholly owned by the authority do not have eminent domain power. It also validates actions taken by any business entity wholly-owned by the authority before June 1, 2024, and exempts housing authorities from state taxes, with potential local tax exemptions subject to approval by local governing bodies. The act will become effective immediately upon its passage.

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