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AlabamaHB2392026 Regular SessionHouseWALLET

FY27 2% Teacher Pay Raise and Retiree Longevity Bonus

Sponsored By: Terri Collins (Republican)

Enacted

Appropriations

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 1 benefits, 1 costs, 4 mixed.

Deaf and blind institute workers gain raises

Beginning October 1, 2026, Alabama Institute for Deaf and Blind employees get higher pay. Licensed educators get at least a 2% increase on salary steps based on years of experience. Full-time support workers get 2%, and part-time support workers get a 2% increase in their base rate. The institute's board must maintain pay schedules and implement the increases for fiscal year 2026-2027. The higher pay continues in later years when employees are employed; this is not a new yearly 2% raise.

Community college workers gain capped raises

Beginning October 1, 2026, Alabama Community College System salary schedules rise 2% for fiscal year 2026-2027. Covered employees receive this increase on top of any step increase due. The law limits the increase to 2% unless it specifically allows more. Placement on revised schedules must count prior public school and college work experience and total public education service. The higher pay continues in later years, without another automatic yearly 2% raise.

School support raises exclude some workers

Beginning October 1, 2026, covered school support workers and adult bus drivers get a 2% pay increase. Covered programs include Adult Basic Education and Science in Motion. Full-time workers keep the increase in later years when they remain full-time; part-time workers get a 2% base-rate increase. Governing bodies must maintain separate pay schedules for each job class, and local additions come on top of state increases. Youth Services School District workers covered by the state Merit System are excluded. City and county school boards may also exclude part-time community education, school-sponsored child care, or child enrichment program workers.

School teachers gain raises with limits

Beginning October 1, 2026, Alabama raises every step of its minimum teacher salary schedule by 2%. Covered staff include licensed city and county school educators, Youth Services teachers, and Adult Basic Education and Science in Motion staff. Employees must work during fiscal year 2026-2027, and the raise comes on top of any step increase due. Local pay schedules reflect degrees and years of public education service. Local boards must report earned advanced degrees to the state so pay can change after degree certification. The raise excludes local pay supplements, National Board bonuses, and the federal share of military training instructors' pay. Covered public K-12 employees also get proportional extra pay for each full or partial workday beyond 187 contracted days, or the hourly equivalent. The higher pay continues in later years; the law does not grant another yearly 2% raise. Salaries and increases set by the State Board of Education must be paid in full within the fiscal year.

Superintendents need board approval for raises

Beginning October 1, 2026, superintendents of school systems or institutions are excluded from this law's pay increases. Any superintendent pay increase requires a recorded majority vote of the governing body or authority.

Retiree bonuses have Medicaid eligibility limits

In October 2026, Alabama's Teachers' Retirement System pays eligible retirees and beneficiaries a one-time lump-sum longevity bonus. The law sets the calculation at $1 per month for each year of the retiree's or deceased member's service. Service includes credit recognized under the law's specified retirement-system provisions. Recipients must receive or be entitled to a monthly retirement allowance on September 30, 2026. Retirees must have an effective retirement date before May 1, 2026. Anyone whose Medicaid eligibility is harmed by the bonus cannot receive it. For later Medicaid applicants, that restriction applies from the application date. Funding comes from an appropriation to the retirement system in HB238 of the 2026 Regular Session, not from this law itself.

Sponsors & Cosponsors

Sponsor

  • Terri Collins

    Republican • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 408 • No: 0

House vote • 4/7/2026

Collins Motion to Concur In and Adopt Senate Amendment - Adopted Roll Call 1244

Yes: 102 • No: 0 • Other: 1

Senate vote • 4/2/2026

Third Reading in Second House

Yes: 33 • No: 0

Senate vote • 4/2/2026

Orr motion to Adopt - Adopted Roll Call 1109

Yes: 33 • No: 0

Senate vote • 4/2/2026

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 1110

Yes: 33 • No: 0

House vote • 3/12/2026

Third Reading in House of Origin

Yes: 103 • No: 0

House vote • 3/12/2026

Motion to Read a Third Time and Pass - Adopted Roll Call 879

Yes: 104 • No: 0

Actions Timeline

  1. Enacted

    4/17/2026House

  2. Signature Requested

    4/8/2026Senate

  3. Delivered to Governor

    4/8/2026House

  4. Collins Motion to Concur In and Adopt Senate Amendment - Adopted Roll Call 1244

    4/7/2026House

  5. Ready to Enroll

    4/7/2026House

  6. Enrolled

    4/7/2026House

  7. Third Reading in Second House

    4/2/2026Senate

  8. Orr 1st Substitute Offered

    4/2/2026Senate

  9. Orr motion to Adopt - Adopted Roll Call 1109

    4/2/2026Senate

  10. Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 1110

    4/2/2026Senate

  11. Reported Out of Committee Second House

    4/1/2026Senate

  12. Read for the Second Time and placed on the Calendar

    4/1/2026Senate

  13. Third Reading in House of Origin

    3/12/2026House

  14. Motion to Read a Third Time and Pass - Adopted Roll Call 879

    3/12/2026House

  15. Read for the first time and referred to the Senate Committee on Finance and Taxation Education

    3/12/2026Senate

  16. Pending Committee Action in Second House

    3/12/2026Senate

  17. Reported Out of Committee House of Origin

    3/11/2026House

  18. Read for the Second Time and placed on the Calendar

    3/11/2026House

  19. Read for the first time and referred to the House Committee on Ways and Means Education

    1/14/2026House

  20. Pending Committee Action in House of Origin

    1/14/2026House

Bill Text

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