The bill SB322 amends Sections 35-8B-1 and 35-8B-2 of the Code of Alabama 1975 to enhance the definition and criteria for establishing community development districts. It introduces new provisions that allow wet municipalities to annex certain community development districts within their counties, contingent upon a petition from the district's board and approval from the municipality's governing body. The bill outlines specific requirements for various types of community development districts, including size, amenities, membership policies, and the sale of alcoholic beverages, which will be taxed at a rate equivalent to that of the largest municipality in the county.

Additionally, SB322 includes several insertions that define different types of community development districts, particularly those in dry counties with wet municipalities, and those featuring commercial and recreational facilities. It clarifies that the sale and distribution of alcoholic beverages will be authorized in certain districts, overriding previous restrictions. The bill also establishes a governance structure for these districts, detailing the election process for board members and the necessary documentation for establishing a district. The act is set to take effect on October 1, 2025, and prohibits the use of property within these districts for casinos or gambling activities.

Statutes affected:
Introduced: 35-8B-1, 35-8B-2
Engrossed: 35-8B-1, 35-8B-2
Enrolled: 35-8B-1, 35-8B-2