# Alabama HB163: Property Insurance and Energy Reduction Act; allow financing of projects through private funding Alabama HB163, Property Insurance and Energy Reduction Act; allow financing of projects through private funding, is a 2026 Regular Session House bill sponsored by Troy Stubbs (Republican); status enacted, last action 2026-03-17 (Enacted); PRIA reads it as touching household money (as of 2026-10-16). - Canonical: https://policyrisk.com/state-bill/AL-HB163-2026rs - As of: 2026-10-16 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: Alabama HB163 - State: Alabama - Session: 2026 Regular Session - Title: Property Insurance and Energy Reduction Act; allow financing of projects through private funding - Status: enacted - Chamber: House - Introduced: 2026-01-13 - Last action: 2026-03-17, Enacted - Sponsor: Troy Stubbs (Republican) - Cosponsors: 0 - Subjects: Counties & Municipalities - Touches household money: yes - Roll calls: 5 (362 yes, 0 no in all) - Economic provisions PRIA read: 9 ## Summary No summary available. ## Bill overview: provisions PRIA read - Debt safeguards for property owners and buyers: benefit, low. A lender that signs the required consent cannot demand early repayment solely because the owner uses this assessment financing. Sellers must give buyers written notice of an unpaid program assessment by the time buyers sign the sale contract. The notice identifies the improvement-related assessment… - Easier payment-history rules for property owners: benefit, low. The law removes the requirement for three years of on-time property taxes and related assessments. Applicants must still have paid property taxes and same-bill assessments, keep mortgages current, and clear disqualifying involuntary liens through financing. The supplied sources disagree on the 20%… - More building upgrades qualify for financing: benefit, low. Eligible projects include energy and water savings, water-quality improvements, on-site renewable power, batteries, certain generators, and electric-vehicle chargers. Storm protection includes wind upgrades, flood elevation or diversion, and safe rooms meeting ICC-500 or equivalent standards. Impro… - Local programs offer no government guarantees: cost, low. Local governments retain program oversight and can administer programs directly or hire for-profit or nonprofit administrators. A required Program Guidebook sets lending standards, procedures, owner attestations, and application, consent, lien, assignment, and enforcement forms. Administrators can… - Property owners must document upgrade benefits: cost, low. Before signing an assessment agreement, applicants must document intended public benefits from conservation or lower health or emergency-response risks. Existing-building energy or water projects need an energy analysis and a statement explaining their intended benefit. Resilience projects need cer… - Property debt follows sales and foreclosure: mixed, low. Assessments create recorded property liens covering principal, interest, and penalties; the debt stays with the property. The lien starts on the earliest assessment-agreement, summary-memorandum, or assessment-notice recording date, after all lienholders provide signed, recorded consent and subordi… - Owners can finance costs with capped fees: mixed, low. Financing can cover construction, installation, land rights, utilities, equipment, permits, and related project costs. Studies, design, legal work, inspections, title costs, and debt-issuance expenses can also be financed. Eligible costs include financing fees, interest, and repayment of assessment… - Private property loans lose public backing: mixed, low. Beginning June 1, 2026, state and local public funds cannot fund or repay loans between private lenders and eligible owners. Governments cannot pledge their full faith and credit to back program liens. Financing instruments are not general government debt and are payable from assessments on benefit… - Private upgrade loans for eligible property owners: mixed, low. Beginning June 1, 2026, Alabama replaces its prior program with the Property Insurance Reduction and Capital Expenditure Act. Local governments can offer private project financing in designated areas for commercial, industrial, agricultural, and multifamily properties. Residential properties with f… ## Sponsors and cosponsors - Sponsor: Troy Stubbs (Republican), House ## Roll call votes | Date | Chamber | Motion | Result | Yes | No | Other | | --- | --- | --- | --- | --- | --- | --- | | 2026-03-05 | Senate | Motion to Read a Third Time and Pass - Adopted Roll Call 723 | pass | 30 | 0 | | | 2026-03-05 | Senate | Third Reading in Second House | pass | 30 | 0 | | | 2026-02-26 | House | Third Reading in House of Origin | pass | 101 | 0 | 1 | | 2026-02-26 | House | Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 618 | pass | 99 | 0 | 5 | | 2026-02-26 | House | Motion to Adopt - Adopted Roll Call 617 | pass | 102 | 0 | 2 | ## Actions (20) - 2026-03-17: Enacted (House) - 2026-03-10: Delivered to Governor (House) - 2026-03-10: Signature Requested (Senate) - 2026-03-05: Third Reading in Second House (Senate) - 2026-03-05: Motion to Read a Third Time and Pass - Adopted Roll Call 723 (Senate) - 2026-03-05: Ready to Enroll (House) - 2026-03-05: Enrolled (House) - 2026-03-03: Reported Out of Committee Second House (Senate) - 2026-03-03: Read for the Second Time and placed on the Calendar (Senate) - 2026-02-26: Third Reading in House of Origin (House) - 2026-02-26: County and Municipal Government Engrossed Substitute Offered (House) - 2026-02-26: Motion to Adopt - Adopted Roll Call 617 (House) - 2026-02-26: Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 618 (House) - 2026-02-26: Engrossed (House) - 2026-02-26: Read for the first time and referred to the Senate Committee on County and Municipal Government (Senate) - 2026-02-26: Pending Committee Action in Second House (Senate) - 2026-02-05: Read for the Second Time and placed on the Calendar (House) - 2026-02-04: Reported Out of Committee House of Origin (House) - 2026-01-13: Read for the first time and referred to the House Committee on County and Municipal Government (House) - 2026-01-13: Pending Committee Action in House of Origin (House) ## Bill text - As Introduced: [PDF](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/HB163-int.pdf) - Engrossed: [PDF](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/HB163-eng.pdf) - Enrolled: [PDF](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/HB163-enr.pdf) ## Related bills - HB67: Voter Information; limit cost of reproducing voter registration list; crime for misuse of personal voter information; created (enacted) - SB154: State employees, cost-of-living increase for fiscal year beginning October 1, 2026 (enacted) - SB165: Elections; municipal elections, to set qualification fee amounts, to require indigent candidates to submit documentation for fee exemption (enacted) - HB317: Firefighter distinctive license plate; fire chaplains included, penalty for violations provided for (enacted) - SB272: Open Records; use of public records relating to schools for certain solicitation purposes prohibited; redaction of certain information relating to financial tr… (enacted) - SB190: Sales Tax; to exempt Precision Ocular (enacted) ## Sources - [As Introduced (PDF)](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/HB163-int.pdf) - [Engrossed (PDF)](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/HB163-eng.pdf) - [Enrolled (PDF)](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/HB163-enr.pdf) ## Related - [HB67: Voter Information; limit cost of reproducing voter registration list; crime for…](https://policyrisk.com/state-bill/AL-HB67-2026rs) - [SB154: State employees, cost-of-living increase for fiscal year beginning October 1, 2…](https://policyrisk.com/state-bill/AL-SB154-2026rs) - [SB165: Elections; municipal elections, to set qualification fee amounts, to require in…](https://policyrisk.com/state-bill/AL-SB165-2026rs) - [HB317: Firefighter distinctive license plate; fire chaplains included, penalty for vio…](https://policyrisk.com/state-bill/AL-HB317-2026rs) - [SB272: Open Records; use of public records relating to schools for certain solicitatio…](https://policyrisk.com/state-bill/AL-SB272-2026rs) - [SB190: Sales Tax; to exempt Precision Ocular](https://policyrisk.com/state-bill/AL-SB190-2026rs) - [Alabama bills](https://policyrisk.com/states/alabama/bills) - [Alabama state hub](https://policyrisk.com/states/alabama) - [All state legislation](https://policyrisk.com/state-bills) Source: PRIA, https://policyrisk.com/state-bill/AL-HB163-2026rs (as of 2026-10-16).