AL HB439

Class 2 municipalities may not levy business, trade, or professional licenses in areas within their police jurisdiction but outside their corporate limits unless they provide both police and fire services to that area.

Municipalities that do provide such services in the police jurisdiction may levy licenses at rates not exceeding one-half of rates applied within corporate limits, with total license revenues capped at the cost of services provided.

Municipalities must provide 30-day notice before implementing any license adopted after September 1, 2015, in the police jurisdiction, with notice submitted to the Atlas Alabama state website if available at no cost.

Each municipality must prepare an annual report accounting for all license revenues collected in expanded police jurisdictions and listing services provided, due to the Department of Examiners of Public Accounts within 90 days of fiscal year end.

The act becomes effective on the first day of the third month following passage and approval by the Governor.