EDAA warns SB91 could let Alabama counties ‘unilaterally withdraw’ from regional development authorities and take taxpayer dollars with them

Economic Development Association of Alabama opposes SB91
(Screenshot/ALDOT, EDAA, YHN)

A fight is brewing in the Alabama Legislature over a bill that would let a county or city pull out of certain regional authorities with a simple vote — and then set up its own replacement authority to do the same work inside its borders.

The Economic Development Association of Alabama (EDAA) says the plan threatens the regional cooperation that lands big projects, builds shared infrastructure, and keeps neighboring counties from working at cross purposes.

Sponsored by State Sen. Tim Melson (R-Florence), SB91 would authorize a county or municipality to withdraw from a multijurisdiction authority by resolution, provided the authority has no outstanding debt. The bill applies to authorities created by legislative act and governed by appointees from more than one participating jurisdiction.

Under the bill, a withdrawing jurisdiction could establish its own entity to perform similar functions within its boundaries and would be entitled to receive a proportional share of the authority’s unencumbered funds based on its historical contributions.

The bill also permits local governments to adjust related tax rates within limits defined in the legislation after withdrawal.

Robin Ricks, Executive Director of the Economic Development Association of Alabama, said that the organization strongly opposes the proposal and warned of its potential impact on economic development efforts and regional governance.

“EDAA strongly opposes SB 91 for several important reasons. First and foremost, this legislation directly and adversely impacts one of EDAA’s members. Our organization stands shoulder to shoulder with our members when their interests are threatened, and we will continue to do so,” Ricks told Yellowhammer News.

“Beyond that, SB 91 sets a troubling precedent. Allowing jurisdictions to unilaterally withdraw from contractual obligations and raise taxes by resolution—without voter approval or broader regional consensus—undermines stability, accountability, and trust. The far-reaching implications of such authority should concern anyone who values sound governance and responsible public policy.”

EDAA represents economic development professionals, organizations, and stakeholders across Alabama focused on recruiting industry, supporting business growth, and strengthening local and regional economies.

According to the bill text, SB91 would take effect October 1, 2026, if approved by the Legislature and signed into law.

Melson was contacted by Yellowhammer News for comment. This story will be updated with a response if provided.

Sherri Blevins is a staff writer for Yellowhammer News. You may contact her at [email protected].