Week Twelve of the 2024 Legislative Session
Capitol Briefing Week Twelve Legislative Recap The legislature finished its 30th and final day of the 2024 regular session on May 9, with several notable pieces of legislation receiving final
The voice for Alabama businesses.
BCA hosted House Majority Leader Scott Stadthagen this week, who discussed the UAW threat that looms large over Alabama’s auto industry. Representative Stadthagen focused on his background of growing up with a single parent who did shift work in a factory and emphasized his personal experience related to the severity this threat poses to the state.
Rep. Stadthagen also recognized BCA and business groups alike for their leadership on workforce and economic issues as well as his colleagues for the legislative successes that have fostered a pro-business climate across Alabama.
House Education Budget Chairman Danny Garrett will be next week’s guest speaker. Be sure to join us at the BCA office on Tuesday, April 16, at 9:00 a.m. or by Facebook live.
The legislature convened for a two-day work week, completing days 20 and 21 of the session. Several bills included in the Working for Alabama package continued through the legislative process this week. The Senate approved three of the seven priority bills: the Workforce Transformation Act (SB247), the Alabama Growth Alliance Act (SB252), and the Alabama Workforce Pathways Act (SB253). Lawmakers and stakeholders continue to work on refinements to the Innovation District Act (SB242).
The House Ways and Means Education Committee reviewed the Childcare Tax Credit (HB358) and Housing Tax Credit (HB346) bills in a meeting on Wednesday. HB358 would expand access to childcare and provide opportunities to bring people back into the workforce by giving tax credits to employers who offer onsite childcare or help pay for employees’ off-site care. A public hearing was held on the bill with no vote. HB346, which would give tax credits to developers who build affordable multi-family rental housing in areas where there is a shortage, was given a favorable report by the committee. BCA continues to prioritize the Working for Alabama package and will work to ensure its passage and delivery to Governor Kay Ivey for her signature as soon as possible.
With nine legislative days left in the session, lawmakers are working diligently to handle the state’s budget proposals. The Senate voted to approve a record $3.3 billion General Fund for 2025 and additional supplemental funding for 2024. These bills now move to the House for consideration.
The House Education Budget Committee approved a record $9.3 billion 2025 spending plan that is very similar to Governor Kay Ivey’s proposal reviewed by the legislature in February. In this budget, funding is divided into 68.2% to K-12 education, 25.6% to higher education, and around 6% to other agencies. A 2% raise was approved by the committee for K-12 and two-year college educators and staff in 2025. The committee also approved additional 2024 supplemental funding proposals.
The House and Senate Insurance Committees reviewed two bills that would set the price for ground ambulance services to 325% of the Federal Medicare rate as opposed to the negotiated, market-set contracted rate that nearly every provider in the state adheres to. HB401 by Rep. Ed Oliver and SB313 by Sen. Bobby Singleton were both carried over in their respective committees on Wednesday to evaluate potential amendments to the bills. BCA opposes the bill as introduced and is engaging with lawmakers and stakeholders to help improve the legislation.
WORKING FOR ALABAMA
SB242/HB349 – Innovation District Act
Sponsor: Sen. Bobby Singleton/Rep. James Lomax
BCA Position: Support
Status: Received favorable reports in Senate Fiscal Responsibility and Economic Development Committee and House Economic Development and Tourism Committee
Additional Information: This bill would authorize local governments to create a new type of local entity to undertake and incentivize economic development projects in certain business sectors identified by the Alabama Department of Commerce. The district would be functionally like a cooperative district or industrial development board and have bonding authority to raise funds for projects in the district.
SB243/HB368 – Innovation District Act Constitutional Amendment
Sponsor: Sen. Dan Roberts/Rep. Neil Rafferty
BCA Position: Support
Status: Received favorable reports in Senate Fiscal Responsibility and Economic Development Committee and House Economic Development and Tourism Committee
Additional Information: This bill would propose a constitutional amendment to allow the legislature to authorize counties and municipalities to provide for the incorporation of innovation districts as public corporations and provide for their powers and to exempt innovation districts from certain laws.
SB252/HB372 Alabama Growth Alliance Act
Sponsor: Sen. Greg Reed/Rep. Randall Shedd
BCA Position: Support
Status: Passed in Senate/second reading in House
Additional Information: This bill would create the Alabama Growth Alliance, a public corporation governed by a board of public and private leaders. The Alabama Growth Alliance would be formed to coordinate the development, tracking, as well as providing input and support for the creation and maintenance of the state’s long-range economic development strategy, annual objectives, and key tactics to achieve the long-range strategies.
SB253/HB373 – Alabama Workforce Pathways Act
Sponsor: Sen. Donnie Chesteen/Rep. Kelvin Lawrence
BCA Position: Support
Status: Passed in Senate/substituted and approved in House Education Policy Committee
Additional Information: This bill would establish a Workforce Pathways diploma at the K-12 level and reinvest in Career & Technical Education (CTE) centers across the state. This pathway would better prepare those students to enter the workforce and/or earn credentials that will help lead directly to employment in their chosen field.
HB344/SB247 – Alabama Workforce Transformation Act
Sponsor: Rep. Danny Garrett/Sen. Steve Livingston
BCA Position: Support
Status: Passed in Senate/second reading in House
Additional Information: This bill would merge and consolidate duplicative workforce development agencies, programs, and funding mechanisms into one single, repurposed state agency that will be led by a cabinet-level official who has primary responsibility for the state’s workforce development activities.
HB346/SB250 – Housing Tax Credit
Sponsor: Rep. Cynthia Almond/Sen. Chris Elliott
BCA Position: Support
Status: Favorable report in House Ways and Means Education Committee/pending action in Senate Finance and Taxation Education Committee
Additional Information: This bill would establish a state workforce housing tax credit like programs implemented in 29 other states. It would complement the existing federal housing tax credit program created by the Reagan Administration designed to incentivize private capital investment in the development of affordable workforce housing.
HB358/SB280 – Childcare Tax Credit
Sponsor: Rep. Anthony Daniels/Sen. Garlan Gudger
BCA Position: Support
Status: Pending action in House Ways and Means Education Committee/pending action in Senate Finance and Taxation Education Committee
Additional Information: This bill would create tax credits to incentivize employers to fund childcare options and childcare providers to expand access to and quality of childcare. The tax credits would be available for employers that provide on-site childcare or stipends to employees for childcare expenses. Tax credits would also be available to for-profit childcare providers that voluntarily participate in the state’s childcare quality rating program, and donors to nonprofit childcare providers for the improvement or operation of the facilities.
HB6
Sponsor: Rep. Juandalynn Givan
BCA Position: Oppose
Status: Pending action in House Commerce and Small Business Committee
Additional Information: This bill would mandate an employer to provide a location and reasonable break time for an employee to express breast milk.
HB18
Sponsor: Rep. Juandalynn Givan
BCA Position: Oppose
Status: Pending action in House Judiciary Committee
Additional Information: This bill would create a cause of action against an employer who discriminates against an applicant or employee based upon the applicant or employee’s weight or body size.
HB21
Sponsor: Rep. Chip Brown
BCA Position: Monitor
Status: Passed in House; favorable report in Senate Banking and Insurance Committee
Additional Information: This bill would require genetic testing companies to obtain express consent from consumers to retain, use, and share consumers’ genetic information with other entities. This bill would also create a civil penalty for use and disclosure by testing companies of consumer genetic information without consent and provide for enforcement by the Attorney General.
HB73
Sponsor: Rep. Phillip Pettus
BCA Position: Monitor
Status: Passed in House; first reading in Senate
Additional Information: This bill would provide for a cap on real property tax assessments under certain conditions.
HB92
Sponsor: Rep. Troy Stubbs
BCA Position: Monitor
Status: Second reading in House
Additional Information: This bill would provide for further filing requirements in civil actions relating to asbestos exposure claims.
HB118
Sponsor: Rep. Ben Robbins
BCA Position: Monitor
Status: Pending action in House Ways and Means Education Committee
Additional Information: This bill would establish an income tax credit to recruited or remote workers.
HB167
Sponsor: Rep. Chris Sells
BCA Position: Oppose
Status: Passed in House; pending action in Senate Fiscal Responsibility and Economic Development Committee
Additional Information: This bill would require smart phone and tablet manufacturers to require that devices manufactured on or after January 1, 2025, contain a filter that is enabled during the activation of the device if the user is a minor, and only allow a user with a password to deactivate or reactivate the filter.
HB202
Sponsor: Rep. Anthony Daniels
BCA Position: Monitor
Status: Pending action in House State Government Committee
Additional Information: This bill would create a protected class of workers and independent contractors who have a private right of action if they are assaulted at their workplace while performing, directly or indirectly, their official job duties.
HB205
Sponsor: Rep. Prince Chestnut
BCA Position: Monitor
Status: Pending action in House Commerce and Small Business Committee
Additional Information: This bill would prohibit retail establishments from prohibiting cash as a payment source to purchase goods or services.
HB228/SB112
Sponsor: Rep. Tim Wadsworth/Sen. Sam Givhan
BCA Position: Monitor
Status: Second reading in House/passed in Senate and pending action in House Judiciary Committee
Additional Information: This bill would modify the Alabama Business and Nonprofit Entities Code.
HB230
Sponsor: Rep. Margie Wilcox
BCA Position: Support
Status: Passed House; Second reading in Senate
Additional Information: This bill would repeal the statute requiring corporations maintain certain records to provide an annual report to the Secretary of State.
HB238
Sponsor: Rep. Phillip Rigsby
BCA Position: Oppose
Status: Second reading in House
Additional Information: This bill would prohibit pharmacy benefits managers from reimbursing a pharmacy less than the actual acquisition cost paid by the pharmacy or from contracting with a health insurer to receive payment amounts for prescription drug benefits that are different from the amounts the pharmacy benefits managers pay pharmacies. This would cost an estimated $275 per Alabamian per year at the pharmacy counter or $1,100 for a family of four.
HB242
Sponsor: Rep. Ben Harrison
BCA Position: Monitor
Status: Pending action in House Judiciary Committee
Additional Information: This bill would create a private cause of action for employers who discriminate against military servicepersons.
HB391
Sponsor: Rep. Ben Robbins
BCA Position: Oppose
Status: Pending action in House Insurance Committee
Additional Information: This bill would provide that if an injured employee is covered by a health insurance policy, a health care provider authorized by the employer may bill the health insurance for the certified medical care and if the health insurance covers the claim, the employer’s workers’ compensation insurance will reimburse the health insurer.
HB401/SB313
Sponsor: Rep. Ed Oliver
BCA Position: Oppose
Status: Pending action in House Insurance Committee/pending action in Senate Banking & Insurance Committee
Additional Information: This bill would prohibit surprise billing by setting a minimum rate for health insurers to pay out-of-network ground ambulance providers, which would be considered payment in full. This rate would be a multiplier of the current Medicare reimbursement amount. Under this bill, a ground ambulance provider could directly charge an individual for no more than the in-network cost-sharing amount under the insurance contract.
HB402/SB264
Sponsor: Rep. Terri Collins/Sen. Arthur Orr
BCA Position: Monitor
Status: Pending action in House Commerce and Small Business Committee/pending action in Senate Fiscal Responsibility and Economic Development Committee
Additional Information: This bill would define the term “mass balance attribution” as an optional chain of custody accounting method to record the input and output of materials. This bill would provide that a recovered materials processing facility is a manufacturing facility for purposes of the Solid Wastes and Recyclable Materials Management Act.
SB45/HB14
Sponsor: Sen. David Sessions/Rep. Craig Lipscomb
BCA Position: Oppose
Status: Pending action in Senate Agriculture, Conservation, and Forestry Committee/Pending action in House State Government Committee
Additional Information: This bill would require regulations by the State Health Officer relating to fish consumption advisories and require the Alabama Department of Environmental Management to test fish for pollutants and post signage at relevant boat ramps notifying of active fish consumption advisories.
SB50
Sponsor: Sen. Gerald Allen
BCA Position: Support
Status: Delivered to Governor
Additional Information: This bill prohibits a governmental entity from restricting a person or other entity from acquiring or using an appliance based solely on the type of energy or energy generation used to operate the appliance.
SB52
Sponsor: Sen. Arthur Orr
BCA Position: Monitor
Status: Second reading in Senate
Additional Information: This bill would prohibit balance billing by ground ambulance services and provide for reimbursement amounts to be paid by insurers to out-of-network ground ambulance providers. The Department of Insurance would be authorized to obtain the data necessary for insurers to pay out-of-network ground ambulance providers.
SB53/HB102
Sponsor: Sen. Arthur Orr/Rep. Susan DuBose
BCA Position: Monitor
Status: Passed in Senate; pending action in House Commerce and Small Business Committee/passed in House; pending action in Senate Children and youth Health Committee
Additional Information: This bill would eliminate the eligibility to work form for persons of 14 and 15 years of age.
SB58
Sponsor: Sen. Arthur Orr
BCA Position: Monitor
Status: Pending action in Senate Banking and Insurance Committee
Additional Information: This bill would make it a crime, with exceptions including criminal investigation and certain legal proceedings, to collect, analyze, or transfer an individual’s DNA without the individual’s express consent. The bill would require notice to an individual of results of a genetic test undergone by the individual when applying for employment, a loan, credit, an educational opportunity, and certain types of insurance.
This bill would also prohibit health, life, and long-term care insurers from using the results of an individual’s DNA analysis to make coverage and premium decisions and authorize the Commissioner of Insurance to enforce the prohibition.
SB60
Sponsor: Sen. Arthur Orr
BCA Position: Monitor
Status: Pending action in Senate Finance and Taxation General Fund Committee
Additional Information: This bill would transfer $5 million from the Rebuild Alabama fund to the Alabama Department of Economic and Community Affairs to create an inland port and intermodal fund.
SB119
Sponsor: Sen. Robert Stewart
BCA Position: Monitor
Status: Passed in Senate; pending action in House Judiciary Committee
Additional Information: This bill would increase civil and criminal penalties for an employer who violates child labor laws.
SB172
Sponsor: Sen. Rodger Smitherman
BCA Position: Oppose
Status: Pending action in Senate Judiciary Committee
Additional Information: This bill would create a cause of action against an employer for discrimination based on hairstyle.
SB213
Sponsor: Sen. Arthur Orr
BCA Position: Monitor
Status: Second reading in Senate
Additional Information: This bill relates to data privacy and would require certain notifications, registration, and security methods for consumer data brokers.
SB220
Sponsor: Sen. Dan Roberts
BCA Position: Monitor
Status: Passed in Senate
Additional Information: This bill would prohibit certain companies affiliated with the People’s Republic of China from entering public contracts with a public awarding authority.
SB230/HB327
Sponsor: Sen. Greg Albritton/Rep. Alan Baker
BCA Position: Support
Status: Second reading in Senate/passed in House; first reading in Senate
Additional Information: Relating to geologic storage, this bill would provide that the possessory right to pore space below surface real property is vested in the surface owners and may be separately conveyed.
SB231
Sponsor: Sen. Arthur Orr
BCA Position: Support
Status: Second reading in Senate
Additional Information: This bill would condition an employer’s eligibility for economic development incentives upon the employer refraining from certain practices relating to employee representation by a labor organization.
SB236
Sponsor: Sen. Larry Stutts
BCA Position: Monitor
Status: Pending action in Senate State Governmental Affairs Committee
Additional Information: This bill would eliminate the certificate of need requirement for any proposed new or expanded medical facility or health care service that is to be located in a rural area.
SB293
Sponsor: Sen. Arthur Orr
BCA Position: Support
Status: Pending action in Senate Judiciary Committee
Additional Information: This bill would enhance transparency and fairness in litigation by requiring disclosures from litigation finance companies and third-party medical financiers; offering consumer protections for plaintiffs; limiting excessive negligence claims against employers; establishing a presumption of independent contractor relationships through written contracts; clarifying evidence for medical expenses to amounts paid or owed; and banning misleading advertisements about damages recovered in lawsuits.
Capitol Briefing Week Twelve Legislative Recap The legislature finished its 30th and final day of the 2024 regular session on May 9, with several notable pieces of legislation receiving final
Capitol Briefing Tuesday Morning Issues Briefing BCA hosted House Rules Committee Chairman Joe Lovvorn to close out a great session of Tuesday Morning Issues Briefings during the 2024 legislative session.
Capitol Briefing Tuesday Morning Issues Briefing BCA hosted Senator Greg Albritton, the Senate General Fund Budget Committee chairman, this week to provide an overview of Alabama’s fiscal position and offer