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FISCAL NOTE
House Bill 133
Committee: Ways & Means Education Sponsor: Representative Neil Rafferty
Analyst: Tiffany Weaver Date: 04/19/2023
House Bill 133 as reported by the Committee on Ways and Means Education would decrease
income tax receipts to the Education Trust Fund (ETF) by an estimated $780,000 annually by
allowing certain preceptors to claim an income tax credit of either $425 or $500 per rotation,
capped at $5,100 or $6,000 respectively annually per preceptor, dependent on the type of
preceptor. This bill would also increase the administrative obligations of: (1) the Alabama
Statewide Area Health Education Center (AHEC) Program Office housed at the University of
Alabama-Birmingham to administer the preceptor tax incentive program created by this bill; and
(2) the Department of Revenue to adopt rules to administer tax credits provided by this bill.
Pursuant to the provisions of the ETF Rolling Reserve Act contained in Section 29-9-3(b)(3),
Code of Alabama 1975, the provisions of this bill would reduce the ETF fiscal year
appropriation cap for fiscal year 2025 by $780,000.