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 initiative is designed to combat the shortage of skilled tradesmen in the residential construction sector, which has been affecting housing affordability. The bill amends Section 34-14A-20 of the Code of Alabama 1975, allowing the fund to accept federal, state, and private funding, and establishes a grant program to support construction trade education. Key amendments include the removal of specific funding requirements and the introduction of provisions for the board to itemize fund deposits by their origin.

Additionally, the bill modifies funding guidelines for projects supported by the Alabama Home Builders Foundation by eliminating the previous requirement for matching funds from private sources. Instead, it stipulates that the board cannot award funds exceeding the amount deposited into the fund from the county or municipality of the recipient unless authorized by the Alabama Home Builders Foundation. The bill also mandates quarterly distribution of funds, annual reporting by recipients, and the return of proceeds from the sale of equipment or materials acquired with the funding back into the fund. Importantly, funds collected under this act cannot be used for continuing education required by any professional licensing board or agency in 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