The bill authorizes Alabama counties and municipalities to impose an additional residential building permit fee of up to $20, which will be allocated to the Alabama Construction Trade Academy Fund. This fee will apply to various permits related to residential construction, such as building, mechanical, plumbing, and electrical permits, and aims to address the shortage of skilled tradesmen in the industry, thereby improving housing affordability. The bill also amends Section 34-14A-20 of the Code of Alabama 1975, allowing the fund to receive federal, state, and private funding, rather than being limited to direct budgetary sources. It establishes a grant program to support construction trade education, ensuring that the advisory council's membership reflects the state's diversity and requiring the board to report on funded projects and their outcomes.

Additionally, the bill modifies the funding guidelines for projects supported by the Alabama Home Builders Foundation by removing the previous requirement for matching funds from private sources, which was set at a minimum of 10 percent and capped at 25 percent of awarded state funds. The new language stipulates that the board shall not award funds exceeding the amount deposited into the fund from the county or municipalities where the recipient is domiciled, unless authorized by the Alabama Home Builders Foundation. The bill mandates quarterly distribution of funds to recipients, who must submit a proposed operating budget and annual reports on their programs and activities. It also specifies that proceeds from the sale of equipment or materials acquired with the funding must be returned to the fund and clarifies that funds collected under this act cannot be used for continuing education required by any professional licensing board or agency within the state. The act is set to take effect on October 1, 2025.

Statutes affected:
Introduced: 34-14A-20, 34-14A-2
Engrossed: 34-14A-20, 34-14A-2, 34-14A-2, 34-14A-20
Enrolled: 34-14A-20, 34-14A-2, 34-14A-2, 34-14A-20