The Alabama House Ways and Means General Fund Committee voted down HB185 on Wednesday, rejecting a proposal that would have exempted certain corporate aircraft from property taxes.
The bill, sponsored by State Rep. Brock Colvin (R-Albertville), would have exempted general aviation aircraft and related equipment owned or leased by companies with their principal place of business in Alabama from ad valorem taxes beginning October 1, 2026.
Commercial aircraft, military aircraft, and drones were excluded from the exemption.
The bill’s fiscal note projected an estimated $11.34 million per year in reduced tax revenue, including roughly $4.73 million in lost property tax receipts for public schools. Additional losses would have affected county budgets, municipal coffers, and state funds.
Education groups opposed the bill, citing its impact on school funding at a time of tightening budgets.
“SSA believes in responsible fiscal policies that keep the Education Trust Fund strong and focused on meeting the needs of Alabama students. With state revenues currently declining, and budget leaders warning of tighter times ahead, we simply cannot afford new tax breaks or policies that put our progress at risk,” said Jason Barnett, incoming executive director of the School Superintendents of Alabama. “Our schools rely on stable, predictable resources to support teachers, manage class sizes, and keep us moving forward. Shifting the tax burden away from high-value aircraft owners, estimated at a minimum of $2.24 million annually, ultimately impacts our classrooms and our students.”
Rusty St. John, Superintendent of the St. Clair County Schools, also spoke against the measure.
“HB185 and SB223 exempt private plane owners from paying ad valorem taxes on their aircrafts,” St. John said. “If approved as proposed, these bills cost schools across the state millions of dollars at a time when we are already facing a challenging budget outlook for education funding.”
A bill in the Senate, SB223, sponsored by State Sen. Josh Carnley (R-Elba), would restrict the use of aircraft flight tracking data to assess fees or charges on aircraft owners. That bill has been referred to the Senate State Government Committee but has not been scheduled for a hearing.
During a recent committee meeting, Carnley said he committed to working with airports and the Department of Revenue before advancing the bill.
“I have promised them that I will not move this bill until we sit down and have discussions and decide if it is a bill that we can move forward,” Carnley said.
Wednesday was day 14 of the 2026 state legislative session. There are 16 legislative days remaining.
Sawyer Knowles is a capitol reporter for Yellowhammer News. You may contact him at [email protected].
