AL HB121

Prohibits the state, municipalities, counties, and their entities from using eminent domain to acquire mortgages or deeds of trust.

Maintains existing restrictions on eminent domain for private retail, commercial, industrial, or residential development, and for tax revenue enhancement.

Preserves the ability to use eminent domain for public utilities, streets, roadways, government buildings, and park facilities.

Exempts blight-based urban renewal and redevelopment projects from the mortgage/deed of trust prohibition, provided those are not the stated purpose.

Requires that condemned property not used for its intended purpose be first offered to original owners at the condemnation price (minus documented taxes) within 90 days; becomes effective the first day of the third month after passage.