The bill amends Section 11-92C-8 of the Code of Alabama 1975, enhancing the powers of local redevelopment authorities by allowing them to require payments in lieu of taxes specifically for transient occupancy taxes. It mandates that these authorities report such payments to the Department of Revenue and introduces the term "transient occupancy" into the legal framework, replacing previous references to "income taxes." Additionally, the bill empowers local redevelopment authorities to enter into agreements for the enforcement of tax collection, granting them rights akin to those of tax assessors or collectors, thereby improving their financial mechanisms for managing and funding local development projects.

Moreover, the bill HB407 introduces amendments to Section 11-92C-2, allowing authorities to engage in agreements with private users, pursue tax liens for unpaid payments, and acquire property through various means. It clarifies the scope of employment for officers and agents by replacing "without limitation" with "limited." The bill also requires annual reporting of payments received to the Department of Revenue, which will publish this information online, and grants the Department the authority to adopt rules for implementing the act. The changes are set to take effect on October 1, 2025.

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