HB 400 Summary

• Amends Section 11-50-313 of the Alabama Code to allow Class 7 municipalities to set compensation for utility board members without statutory maximum limits.

• Removes the statutory caps on director fees for Class 7 municipalities that own and operate water, electric, and sewer systems, while maintaining existing fee limits for other municipality classifications.

• Allows the governing body of Class 7 municipalities to establish board compensation through discretionary action, giving local control over chair and member fees.

• Becomes effective on the first day of the third month following passage and approval by the Governor.