Alabama House Bill HB311

Alabama 2025 Regular Session

• Introduced: 2/20/25
• Refer: 2/20/25
• Report Pass: 3/19/25

Caption

Alabama Improvement Districts; to streamline enforcement and collection of assessments; authorize revenue commissioner to collect reasonable compensation; provide additional rights and protections; eliminate certain remedies for failure to pay an assessment

Impact

The changes introduced by HB 311 could significantly alter the landscape of local governance regarding improvement districts. By allowing county revenue commissioners to collect reasonable fees, the bill could streamline the financial aspects involved in assessment collection. It eliminates the authorization of judicial proceedings for foreclosure on properties due to non-payment of assessments, instead treating such failures like tax delinquencies. This reclassification could encourage more timely payment of assessments, as property owners might be more aware of the ramifications similar to unpaid taxes.

Summary

House Bill 311 seeks to amend existing laws related to the enforcement and collection of assessments levied by improvement districts in Alabama. Under current law, improvement districts can levy assessments on properties to fund public infrastructure projects. The bill proposes that county revenue commissioners be permitted to receive reasonable compensation for their role in preparing assessment rolls and facilitating the collection of these assessments. Furthermore, the bill aims to categorize the non-payment of assessments similarly to a tax lien, shifting the responsibilities of collection to a more standardized process akin to property taxes.

Contention

There may be points of contention surrounding the potential for increased fees charged by revenue commissioners, which could affect property owners financially. Critics might argue that transferring the enforcement and collection responsibilities to county officials without sufficient regulation may lead to inconsistencies and potential abuses. Additionally, the repeal of foreclosure proceedings could be viewed as a loss of recourse for improvement districts, which may struggle to recoup lost funds from non-compliant property owners.