Retail Report | Alabama Retail Association

The State House was abuzz this week with bill introductions and action. Catch up on the latest below.

Bill Introduced to Apply CPI to Tax-Free Holiday Values
HB315, introduced by Rep. Joe Lovvorn, R-Auburn, aims to adjust the caps on goods that are exempt from sales tax during Alabama’s two annual sales tax holidays. This bill proposes to raise the exemption limits based on the Consumer Price Index (CPI) for the 2026 calendar year and every five years thereafter. The current thresholds were established in 2006.

The Alabama Retail Association supports adjusting the exemption limits according to the CPI and will advocate for its passage this legislative session.

The legislation has been assigned to the House Ways and Means Education Committee. Contact your representative and ask them to vote for HB315.

Bill Introduced to Repeal Uniform Minimum Wage
Rep. Neil Rafferty, D-Birmingham, has introduced HB291 to repeal the Alabama Uniform Minimum Wage and Right-to-Work Act. This 2016 Act, which was supported by the Alabama Retail Association, prevents local governments from establishing minimum wages higher than the federal minimum wage. Also, it forbids local governments from implementing requirements for paid or unpaid leave, vacation time, or work schedules. The law further prohibits local governments from requiring employers to grant organizing concessions to unions in exchange for assistance with development projects, a practice known as labor peace agreements. This legislation was introduced in response to the Birmingham City Council’s vote to raise the minimum wage to $10.10 an hour in 2015.

Bills to Rein in Intoxicating Hemp Products Introduced
Sen. Tim Melson, R-Florence, introduced SB132 to ban hemp-derived THC products such as delta-8, delta-9, and delta-10 in Alabama. This legislation would classify these psychoactive cannabinoids as Schedule I controlled substances. The bill is currently pending action in the Senate Health Committee and, if approved, it would take effect on October 1.

SB182, sponsored by Sen. Shay Shelnutt, R-Trussville, would prohibit the sale of any beverage containing psychoactive cannabinoids. The bill also provides that anyone who sells, distributes, or markets a beverage with psychoactive cannabinoids would be committing a Class B misdemeanor.

Update on Pharmacy Bills
HB123 aimed at reforming the Alabama Board of Pharmacy by expanding its membership and clarifying its authority to impose fines advanced with a substitution in the House Committee on Boards, Agencies and Commissions. This bill received unanimous support from the House on Thursday and will now proceed to the Senate for consideration. The Alabama Retail Association extends its gratitude to the bill’s sponsor, Rep. Kerry (Bubba) Underwood, for working with us to ensure that minor violations will not need to be reported to the national practitioner database.

On Wednesday, a public hearing was held in the Senate Banking and Insurance Committee regarding legislation related to Pharmacy Benefit Managers. The committee ultimately decided to carry over SB93 and SB99. These bills differ in their regulations concerning drug acquisition costs and the dispensing fees that would apply to prescriptions. SB93 links the dispensing fee to the amount paid by Medicare, which is currently $10.64 per prescription. SB99 establishes a fee of $10.64 plus an additional 2% of the cost, with a maximum of $25.

Legislation that permits pharmacists to dispense ivermectin without a prescription was delayed by the House Health Committee on Wednesday. Sponsored by Rep. Phillip Rigsby (R-Huntsville), HB278 would authorize a physician, physician assistant, or nurse practitioner to provide a pharmacist with a standing order approved by the State Board of Pharmacy to dispense ivermectin to individuals without a prescription. Committee Chairman Rep. Paul Lee (R-Dothan) noted that he wanted to review and address potential insurance issues before moving forward with the bill.

Wire Transfer Bills Introduced in the House
Rep. Jennifer Fiddler, R-Fairhope, has introduced HB297 that would impose a 4% fee on international wire transfers originating in Alabama. A portion of the revenue generated from this fee would be allocated to county sheriff’s offices and English Language Learners (ELL) programs in public schools.

Rep. Mark Shirey, R-Mobile, is sponsoring a separate bill, HB192, that would also impose a 2% fee on international electronic wire transfers. The revenue generated would be deposited into the Education Trust Fund to support ELL programs.

Both bills offer Alabama residents a tax credit to offset the transfer fees.

The Senate recently carried over similar legislation, as any bill that raises revenue must originate in the House of Representatives.

Bills Targeting Labor Brokers Introduced
HB302, introduced by Rep. Ben Robbins, R-Sylacauga, establishes regulations for labor brokers that recruit six or more foreign workers annually. The bill requires these brokers to register with the Department of Workforce and mandates the use of the federal E-Verify program. The bill provides enforcement authority to the Secretary of Workforce and the Attorney General, who will have the power to impose fines, penalties, and revoke business licenses for noncompliance. Additionally, employers will be required to disclose immigration details of foreign workers, and sponsors of lawful immigrants will be financially responsible for unfulfilled support obligations, including public benefits. The bill is scheduled to be considered by the House Judiciary Committee on Wednesday, February 26 at 1:30 p.m.