Despite cold temperatures across Alabama, activity inside the State House is just heating up. The 2026 Regular Session continues to move quickly with lawmakers meeting three days a week to take floor votes while committees dig into the large volume of legislation filed last week. As this week’s report highlights, several measures impacting the retail community moved forward in both chambers.
Outside the State House, Governor Kay Ivey has declared a State of Emergency for 19 Alabama counties due to severe winter weather. Members are encouraged to remain weather aware and remember that the declaration triggers Alabama’s price gouging protections and authorizes transportation and trucking waivers.
House Passes Amended App Store Consumer Protection Legislation
Rep. Chris Sells, R-Greenville, introduced HB161 to establish new consumer protection requirements for mobile app stores and app developers related to age verification and parental consent for minors. As introduced, the bill would require verification of user age categories, the linking of minor accounts to verified parental accounts, and parental consent before minors could download apps or make in-app purchases.
The Alabama Retail Association worked closely with the bill sponsor and interested stakeholders to limit impact for retailers that sell goods through mobile applications. As a result, an amendment was adopted to clarify that an “in-app purchase” is limited to charges associated with the acquisition of virtual currency, digital goods, digital services, or other apps – exempting tangible goods from the definition. The amendment also limits enforcement authority to the Office of the Attorney General and delays the effective date to January 1, 2027, providing additional clarity and compliance certainty for retailers.
The amended bill was unanimously approved by the House and will now move to the Senate for further consideration.
Legislation Targets Theft-Related Arson
Rep. David Faulkner, R-Birmingham, has introduced HB328 to expand the definition of first-degree arson to include fires or explosions committed in conjunction with, or to facilitate, a theft. Under current law, first-degree arson is a Class A felony requiring intentional damage to a building by fire or explosion when another person is present and the offender knows of, or recklessly disregards, that person’s safety.
The change is particularly relevant for retailers, as it addresses arsons often used to conceal theft or destroy evidence. A recent example highlights the issue. In Dec. 2025, three teenagers intentionally set a fire in the Homewood Walmart Supercenter, causing more than $5 million in damage, forcing an evacuation, and resulting in an extended store closure.
Senate Committee Advances Bill Banning Vaping in Public Places
Sen. Gerald Allen, R-Cottondale, introduced SB9 to prohibit vaping in public places under the same framework that currently bans smoking. The Alabama Clean Indoor Air Act, enacted in 2003, restricts smoking in most enclosed public spaces, including retail stores, restaurants, government buildings, shopping malls, elevators, hospitals, nursing homes, airports, banks, and other locations. SB9 would extend those restrictions to vaping and the bill received a favorable report from the Senate Healthcare Committee.
Food Labeling Bill Carried Over in Committee
Rep. Ben Robbins, R-Sylacauga, introduced HB172 to amend Alabama’s food labeling laws by defining “ingredient,” “artificial ingredient,” and “natural ingredient,” and by prohibiting food products from being labeled as “all natural” or as containing only natural ingredients if they include any artificial ingredient. The House Health Committee carried over the bill following a public hearing. During the hearing, it was noted that retailers support accurate product labeling but raised concerns about Alabama’s definitions differing from federal standards and the potential costs associated with monitoring inventory for compliance.
Public Hearing Held on Bill to Establish Procedures for Increasing Local Taxes and Fees
The Senate County and Municipal Government Committee held a public hearing on SB148, sponsored by Sen. Gerald Allen, R-Cottondale. The bill requires local governments who wish to impose a new tax or license fee, or to increase an existing tax or license fee, to provide at least a 30-days’ notice and hold a public hearing prior to consideration. The bill was amended to incorporate a technical change and received unanimous approval.
Sales Tax Exemption Bills Advance
Rep. Chip Brown, R-Mobile, introduced HB3 to exempt the retail sale of fish or other seafood from state sales and use taxes when the product is sold in its original or unmanufactured state by the producer. The bill was amended in the House Ways and Means Education Committee to tighten the language to only apply to commercial licensed fisherman and align it with other agriculture-related exemptions. HB3 was approved by the committee and adopted by the House.
The House also adopted HB87, introduced by Rep. Chris Sells, R-Greenville, which would exempt the sale of corn for deer feed from state sales and use taxes by adding it to the list of existing agriculture-related exemptions.
Another Bill to Address Workplace Accommodations for Nursing Mothers Introduced
Rep. Juandalynn Givan, D-Birmingham, introduced HB290 to require employers to provide reasonable break time and a private location for employees to express breast milk. The bill closely mirrors HB49, which is also pending this session and carried by Rep. Givan. Unlike HB49, HB290 does not include language holding employers harmless if they make reasonable efforts to comply, creating a key distinction related to employer liability.
Bill Introduced to Require AI Chatbot Disclosure
Rep. Parker Moore, R-Hartselle, introduced HB325 to prohibit businesses from engaging consumers in commercial transactions through AI chatbots without clearly disclosing that the consumer is interacting with a computer rather than a human. Failure to provide this disclosure would be deemed an unfair or deceptive trade practice. The bill creates a private right of action for affected consumers, allows for statutory damages, and authorizes the Attorney General to enforce the act through civil actions and penalties.
For legislative and other news of relevance to retailers,
read This Week in Retail News.
THIS WEEK IN RETAIL NEWS
Ivey declares state of emergency for 19 Alabama counties ahead of winter storm (al.com)
Business owner says Amazon is listing their products via AI without permission (wsfa.com)
Self-checkout theft is surging, survey finds (wsfa.com)
House passes final funding bills 8 days before shutdown, Senate now will consider (cnbc.com)
Alabama House passes bill requiring app stores to verify ages of users (alabamareflector.com)