The bill SB370 Engrossed amends the Code of Alabama 1975 to facilitate economic development by establishing Major 21st Century Manufacturing Zones within tax increment districts without size restrictions. It allows for the use of ad valorem tax revenues to reimburse public entities for land acquisition costs incurred before the district's creation. Key changes include the insertion of "ship building-industry related" into the definition of a Major 21st Century Manufacturing Zone, broadening the types of industries eligible for support. The bill also clarifies criteria for identifying blighted or economically distressed areas and outlines permissible projects, such as property acquisition and infrastructure improvements, aimed at promoting economic growth.

Additionally, the bill modifies the definition of "taxing authority" to include local governing bodies that designate Major 21st Century Manufacturing Zones and removes the requirement that at least 50% of the real property within a tax increment district must be blighted for designation. It establishes procedures for defining district boundaries, project plans, and the duration of districts, which can extend up to 35 years under certain conditions. The bill also introduces a rebuttable presumption regarding properties acquired by public entities before district creation and clarifies the allocation of positive tax increments. Overall, these amendments aim to streamline the establishment of tax increment districts and encourage investment in manufacturing sectors, thereby fostering economic development.

Statutes affected:
Introduced: 11-99-4, 11-99-5, 11-99-6, 11-99-2, 11-99-4, 11-99-5, 11-99-6
Engrossed: 11-99-4, 11-99-5, 11-99-6, 11-99-2, 11-99-4, 11-99-5, 11-99-6