The bill HB393 Engrossed amends various sections of the Code of Alabama 1975 to modernize economic development initiatives by updating definitions and references related to research and development corridors, tax abatements, and incentives. It notably replaces the outdated "Accelerate Alabama Strategic Economic Development Plan" with the current "CatALyst" plan, ensuring that the state's economic development framework is aligned with contemporary strategies. The bill also updates the North American Industry Classification System (NAICS) codes to the latest 2022 version and clarifies definitions for terms such as "industrial or research enterprise," while making technical revisions to streamline the legislative language.

Additionally, the bill expands the definition of "industrial or research enterprise" to encompass headquarters facilities, data processing centers, renewable energy facilities, and tourism destination attractions, while establishing criteria for tax exemptions based on capital investments. It sets new thresholds for maximum exemption periods for data processing centers, ranging from 10 to 30 years depending on the investment amount. The bill also revises the criteria for qualifying projects, increasing the minimum capital investment threshold to $2 million and ensuring that projects predominantly involve approved activities as defined by NAICS. Overall, these amendments aim to enhance economic development efforts in Alabama by providing clearer definitions and updated criteria for tax incentives and project qualifications.

Statutes affected:
Introduced: 11-66A-2, 40-9B-3, 40-9G-1, 40-18-372, 41-23-252
Engrossed: 11-66A-2, 40-9B-3, 40-9G-1, 40-18-372, 41-23-252