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AlabamaSB3042026 Regular SessionSenate

Municipalities; business license for certain businesses in the building trade provided for

Sponsored By: Greg Albritton (Republican)

Enacted

Counties & Municipalities

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Bill Overview

Analyzed Economic Effects

2 provisions identified: 1 benefits, 1 costs, 0 mixed.

Contractors avoid licenses for qualifying county work

Beginning January 1, 2027, Alabama cities and towns cannot require covered building-trade businesses to get municipal licenses for qualifying county projects. The work must be on behalf of a county government. The project must be on county property or a county-maintained road, bridge, right-of-way, or easement. This exemption protects those businesses from municipal license costs for that work.

Cities can charge building-trade businesses

Beginning January 1, 2027, Alabama cities and towns may charge covered businesses a license fee for work done there. They are not required to charge these fees. Covered businesses include certified heating and air conditioning contractors, certified refrigeration contractors, concrete providers, duct air tightness testing contractors, electrical contractors, general contractors, journeyman electricians, master gas fitters, master plumbers, onsite wastewater licensees, residential home builders, and subcontractors. Dollar thresholds in existing trade definitions do not limit coverage for general contractors, residential home builders, or subcontractors. A physical business location means a main office or fixed business site—not a temporary job site or trailer. Businesses without a local business location can face a flat fee or a fee based on gross receipts from local jobs. For businesses with a local location that also work there, the fee can be flat, receipts-based, or both. Their flat fee is capped at $500, and cities cannot count receipts from work in another jurisdiction. Gross receipts are assigned to the city where the job site and work are located. Concrete providers are covered only when they are not eligible for a delivery license in that city.

Sponsors & Cosponsors

Sponsor

  • Greg Albritton

    Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 499 • No: 11

House vote • 4/8/2026

Lee motion to Table - Adopted Roll Call 1292

Yes: 80 • No: 5 • Other: 18

Senate vote • 4/8/2026

Gudger Motion to Concur In and Adopt House Amendment - Adopted Roll Call 1263

Yes: 33 • No: 0

House vote • 4/8/2026

Third Reading in Second House

Yes: 101 • No: 2 • Other: 2

House vote • 4/8/2026

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 1293

Yes: 92 • No: 4 • Other: 4

House vote • 4/8/2026

Motion to Adopt - Adopted Roll Call 1291

Yes: 103 • No: 0 • Other: 1

Senate vote • 3/17/2026

Third Reading in House of Origin

Yes: 30 • No: 0

Senate vote • 3/17/2026

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 919

Yes: 30 • No: 0

Senate vote • 3/17/2026

Albritton motion to Adopt - Adopted Roll Call 918

Yes: 30 • No: 0

Actions Timeline

  1. Enacted

    4/13/2026Senate

  2. Enrolled

    4/9/2026Senate

  3. Delivered to Governor

    4/9/2026Senate

  4. Signature Requested

    4/9/2026House

  5. Third Reading in Second House

    4/8/2026House

  6. Lee 1st Amendment Offered

    4/8/2026House

  7. Motion to Adopt - Adopted Roll Call 1291

    4/8/2026House

  8. Hill 1st Amendment Offered

    4/8/2026House

  9. Lee motion to Table - Adopted Roll Call 1292

    4/8/2026House

  10. Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 1293

    4/8/2026House

  11. Gudger Motion to Concur In and Adopt House Amendment - Adopted Roll Call 1263

    4/8/2026Senate

  12. Ready to Enroll

    4/8/2026Senate

  13. Reported Out of Committee Second House

    4/1/2026House

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

    4/1/2026House

  15. Read for the first time and referred to the House Committee on Transportation, Utilities and Infrastructure

    3/19/2026House

  16. Pending Committee Action in Second House

    3/19/2026House

  17. Third Reading in House of Origin

    3/17/2026Senate

  18. County and Municipal Government 1st Substitute Offered

    3/17/2026Senate

  19. Albritton motion to Table - Adopted Voice Vote

    3/17/2026Senate

  20. Elliott 2nd Substitute Offered

    3/17/2026Senate

  21. Albritton motion to Adopt - Adopted Roll Call 918

    3/17/2026Senate

  22. Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 919

    3/17/2026Senate

  23. Engrossed

    3/17/2026Senate

  24. County and Municipal Government 1st Substitute

    2/17/2026Senate

  25. Reported Out of Committee House of Origin

    2/17/2026Senate

Bill Text

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