The bill amends Section 11-92C-8 of the Code of Alabama 1975, enhancing the powers of local redevelopment authorities. Key insertions include the authorization for these authorities to require payments in lieu of taxes specifically for transient occupancy taxes and the introduction of the term "transient occupancy" into the legal language. Additionally, the bill mandates that local redevelopment authorities report these payments to the Department of Revenue, while deleting references to "income" taxes in the context of payments in lieu of taxes. The bill also empowers these authorities to enforce the collection of payments similarly to tax assessors or collectors, allowing them to enter into agreements for such payments and utilize the proceeds for project costs or other authorized purposes.

Moreover, the bill HB407 introduces amendments to the responsibilities of authorities providing utility services, including the authority to enter into agreements with private users and pursue tax liens for unpaid payments in lieu of tax. It allows for the management of projects through various means and enables authorities to appoint and compensate a diverse range of professionals. The language has been updated to clarify that the authority's obligations are "not limited to" specific types of professionals, broadening their operational flexibility. The bill also requires authorities to report payments received to the Department of Revenue, which will publish this information annually, and grants the Department the power to adopt rules for implementation. The effective date for these changes is set for October 1, 2025.

Statutes affected:
Introduced: 11-92C-8
Enrolled: 11-92C-8