May 8, 2025 Capitol Connection

May 8, 2025

Ivey Signs Health Plans Legislation

Gov. Kay Ivey signed HB 477 — Alfa Health Plans legislation — at the Alabama State Capitol May 7. Gov. Ivey was joined by Senate Pro Tem Garlan Gudger, R-Cullman; Alabama Farmers Federation and Alfa Insurance President Jimmy Parnell; Sen. Arthur Orr, R-Decatur; Rep. David Faulkner, R-Mountain Brook; and Speaker of the House Nathaniel Ledbetter, R-Rainsville. Orr and Faulkner sponsored the legislation.

Gov. Kay Ivey signed HB 477, now officially Act #2025-296, into law Wednesday. The legislation authorizes the Alabama Farmers Federation to provide Alfa Health Plans as a coverage option for its members.

Federation President Jimmy Parnell thanked the governor for her support of farmers.

“We thank Gov. Ivey for signing this important legislation into law,” Parnell said. “Farmers and other small business owners face incredible challenges when it comes to health coverage. The Alabama Farmers Federation is excited to help our members address soaring health care costs by providing an option through Alfa Health Plans. Gov. Ivey is a pro-business governor whose track record for encouraging economic growth is unparalleled. This legislation will help remove another barrier that is preventing farmers and entrepreneurs from investing in their businesses and communities. We appreciate Gov. Ivey’s steadfast leadership for the people of Alabama.”

Ivey praised the bill sponsors who joined her and Federation representatives for the signing.

“I was pleased to sign HB 477 to create a good health coverage option that aims to help our farmers,” Ivey said. “I appreciate Sen. Arthur Orr, Rep. David Faulkner, Jimmy Parnell and all the folks at Alfa for their work on this effort.”

Also on hand for the signing were Senate and House leadership, whom Parnell thanked following final passage last week.

“We appreciate Sen. Orr for bringing this idea to the Federation and Rep. Faulkner for also being a steadfast champion of the legislation as House sponsor,” Parnell added. “This would not be possible without the support of Speaker Nathaniel Ledbetter and President Pro Tem Garlan Gudger, who recognized the urgent need facing our farmers and made passage of HB 477 a priority. On behalf of Alabama farmers, we thank all the senators and representatives who listened to their constituents and allowed us to offer a health coverage option for our members.”

Federation External Affairs Department Director Brian Hardin echoed Parnell and praised the Federation’s grassroots advocacy in securing passage for Alfa Health Plans.

“We want to thank the Federation members who took time out of busy schedules to call, text, visit with legislators and travel to the State House. This would have never been possible without the Federation’s grassroots efforts.”

Special thanks go out to farmers who testified before House and Senate committees and shared their stories through articles and videos. Those farmers are:

Emmanuel Bankston – Henry County – Cattle
Blake and Savanna Carroll – Dale County – Cattle
Monica Carroll – Dale County – Cattle, Row Crops, Poultry and Timber
Lee and Sara Haynes – Cullman County – Table Eggs and Cattle
Beth Hornsby – Lee County – Fruit, Vegetables and Canned Products
Phillip Hunter – Shelby County – Ornamental Trees
Evan and Christy Nelson – Jefferson County – Cattle and Hay
Steve Stroud – Pike County – Hay and Poultry
Hunter and Erin Tolleson – Marshall County – Fruit and Vegetables
Chris and Jordyn Upchurch – Clay County – Cattle and Poultry

Cotton Checkoff Assessment Legislation Receives Final Passage

The Senate voted Wednesday to give the Alabama Cotton Commission (ACC) the ability to alter the cap on the assessment for the cotton checkoff.

HB 352 by Rep. Danny Crawford, R-Athens (right), would allow the ACC to set the yearly assessment at any rate up to $1.30 per bale. It is currently capped at $1. The bill received final passage by unanimous vote in the Senate. Sen. Josh Carnley, R-Ino (left), carried the legislation in the upper chamber. HB 352 has been delivered to Gov. Ivey for her signature.

ACC Chairman Mike Tate said this legislation was important for continued promotion of Alabama-grown cotton and to improve markets.

“We needed this authorization from the legislature to continue operating the cotton checkoff successfully,” said Tate, who farms in Madison County. “This was very important to Alabama cotton growers, and we appreciate Sen. Carnley and Rep. Crawford for their continued support.”

Alabama Farmers Federation Cotton Division Director Carla Hornady said, although the ACC doesn’t currently plan to increase the assessment over $1, it’s important to have the option if needed due to inflation and increased costs' impact on research, education and extension.

The cap increase was requested by the ACC and was supported by the Federation’s State Cotton Committee. The ACC is recognized by the Alabama Department of Agriculture and Industries as the checkoff steward and administrator.

Bills in Brief:

Budgets: Gov. Kay Ivey signed record Education Trust Fund (ETF) and General Fund (GF) budgets this week at $12.2 billion and 3.8 billion, respectively. Federation priorities received increased or level funding with the exception of an appropriation for the Alabama Department of Environmental Management (ADEM) to offset fees to farmers with Concentrated Animal Feeding Operations (CAFOs).

Log Trucks: Act #2025-272 by Sen. Jack Williams, R-Wilmer, was signed by Gov. Ivey Wednesday and limits the number of log trucks that could be stopped and weighed on the roadside to five trucks at a time. An amendment in the Senate removed a provision that would have increased the per-axle weight limit for each truck from 34,000 pounds to 44,000. A companion bill was carried by Rep. Donna Givens, R-Loxley.

Immigration Enforcement: SB 53 by Sen. Wes Kitchens, R-Arab, would create new penalties for knowingly transporting an individual who is in the U.S. illegally. The bill was passed in the House Tuesday with amendments and awaits concurrence in the Senate. SB 63 by Sen. Lance Bell, R-Pell City, would require local law enforcement to fingerprint and DNA sample illegal immigrants in custody and turn that information over to state authorities. The bill passed the House Tuesday and awaits Gov. Ivey’s signature.

Deer Breeder Private Protection: HB 509 by Rep. Jeff Sorrells, R-Hartford, would prevent state agencies from killing, testing and prohibiting the transfer of deer due to disease under certain circumstances. The bill would view deer in the possession of an individual with a breeder license as that person’s private property. HB 509 received final passage by the Senate Wednesday and goes to Gov. Ivey for signing. The final bill includes amendments that will provide provisions for the state veterinarian to be involved as it relates to disease management. The Federation will monitor the impacts of the legislation.

Ad Valorem Advisory Committee Update: SB 233 by Sen. David Sessions, R-Grand Bay, would add two taxpayer representatives to the Alabama Ad Valorem Advisory Committee and would be appointed by the Alabama Revenue Commissioner. Rep. Chris Sells, R-Greenville, sponsored a companion bill. Currently, the committee is made up solely of local tax officials from each congressional district. This change gives Alabama property owners a voice in decisions related to how ad valorem taxes are assessed and collected. The bill received final passage in the House Tuesday and goes to the Gov. Ivey for signing.

Grocery Sales Tax Reduction: HB 386 by Rep. Danny Garrett, R-Trussville, would cut the state sales tax on groceries from 3% to 2%. The bill received unanimous final passage in the Senate Wednesday, and the House concurred. The bill now awaits Gov. Ivey’s signature.

Renewing Alabama Investment in Student Excellence (RAISE) Act: Act #2025-257 by Sen. Arthur Orr, R-Decatur, creates the Raise Fund through the Education Trust Fund budget which would allow schools in Alabama to receive additional funding for specific student needs. These include English language learners, special education students or areas with high poverty rates. The Raise Act will allow for funding beginning in the 2025-2026 school year.

Rural Hospital Tax Incentive: HB 86 by Rep. Terri Collins, R-Decatur, would provide tax credits for contributions to rural hospitals meeting certain criteria. The bill applies to state income, excise, premium and utility tax credits and would be capped at $20 million in fiscal year 2026, $25 million in 2027 and $30 million in subsequent years. The legislation was passed by the Senate Tuesday, with the House concurring. The bill now awaits Gov. Ivey’s signature. A bill relating to state income tax credits for rural physicians, HB 46 by Rep. Ed Oliver, R-Dadeville, stalled in the Senate.