The civic record
Read. Follow. Verify.Alabama raises municipal expenditure thresholds triggering mandatory annual and biennial audits
Last action · April 16, 2026: EnactedSponsor: Bill Lamb
Track this bill to get notified when it advances a stage. One tap to stop, anytime.
What This Bill Does
Alabama law now requires municipalities with annual expenditures of $500,000 or more to conduct annual independent audits, up from the previous $300,000 threshold, starting October 1, 2026. Cities spending between $300,000 and $500,000 must now conduct s, while those spending under $300,000 may elect to submit an annual report in lieu of a biennial audit.
Local governments face altered compliance costs and reporting frequencies based on their yearly spending totals, shifting audit obligations across municipal size brackets.
- Section 11-43-85 of the Code of Alabama 1975 previously established lower expenditure thresholds requiring municipal audits before being revised by this act. context
Who It Affects
Groups the bill's text affects, as described in the record. Being affected is not a position for or against it.
Municipalities
Municipalities face revised expenditure thresholds that determine whether they must conduct annual audits, biennial audits, or file alternative annual reports.
Department of Examiners of Public Accounts
The department receives municipal annual reports and establishes the required format and procedures for audits and reports.
City Councils
City councils in municipalities spending under $300,000 gain the option to elect an annual report in lieu of a biennial audit, and must have reports submitted to them and spread upon the minutes.
Key Facts
You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.
Frequently Asked Questions
What is the new expenditure threshold for requiring an annual municipal audit?
What audit requirements apply to a city spending $400,000 a year?
What options are available for small municipalities spending under $300,000?
What else do you want to know?
News Coverage
Follow the record
Votes, people, money & the original sourceWhere This Stands
Current status: Became law.
Procedural history
17 actions- Apr 16, 2026HouseEnrolledEnacted
- Apr 8, 2026HouseEnrolledDelivered to Governor
- Apr 8, 2026SenateSignature Requested
- Apr 7, 2026HouseEnrolled
- Apr 7, 2026HouseReady to Enroll
- Apr 7, 2026SenateFloorMotion to Read a Third Time and Pass - Adopted Roll Call 1206
Show 11 earlier actions
- Apr 7, 2026SenateThird Reading in Second House
- Mar 3, 2026SenateRead for the Second Time and placed on the Calendar
- Mar 3, 2026SenateCommitteeReported Out of Committee Second House
- Jan 20, 2026SenateCommitteePending Committee Action in Second House
- Jan 20, 2026SenateIntroducedRead for the first time and referred to the Senate Committee on County and Municipal Government
- Jan 20, 2026HouseFloorMotion to Read a Third Time and Pass - Adopted Roll Call 58
- Jan 20, 2026HouseThird Reading in House of Origin
- Jan 14, 2026HouseRead for the Second Time and placed on the Calendar
- Jan 14, 2026HouseCommitteeReported Out of Committee House of Origin
- Jan 13, 2026HouseCommitteePending Committee Action in House of Origin
- Jan 13, 2026HouseIntroducedRead for the first time and referred to the House Committee on County and Municipal Government
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Sponsors
Connected Entities
Sources
alison.legislature.state.al.us
Analysis Score
0–100- Significance50How much this matters to a regular citizen
- Controversy10Intensity of disagreement among stakeholders
- Entertainment5Compellingness for a non-policy-wonk reader
- Buzz15Current news / social attention level
Publisher tools