{"id":2498,"date":"2021-04-30T16:44:35","date_gmt":"2021-04-30T16:44:35","guid":{"rendered":"https:\/\/albanknews.com\/?p=2498"},"modified":"2021-04-30T16:44:35","modified_gmt":"2021-04-30T16:44:35","slug":"capitol-notes-week-13-recap","status":"publish","type":"post","link":"https:\/\/albanknews.com\/?p=2498","title":{"rendered":"Capitol Notes: Week 13 Recap"},"content":{"rendered":"

MONTGOMERY, Ala., April 30, 2021<\/strong> \u2014 In somewhat of a surprising move, the Alabama Legislature had little-to-no controversies on the House and Senate floors this week.\u00a0 While that was certainly a good thing, especially for the banking industry, it means a litany of controversial items are on deck for next week, the last full week of the session. Legislation related to transgendered persons, gambling and lotteries, firearms, and medical marijuana are all in a position to be the subject of intense debate when representatives and senators return to Montgomery for the session\u2019s 28th<\/sup> and 29th<\/sup> days next Tuesday and Thursday.<\/p>\n

As for banking bills, the lone piece of banking-related legislation that had not yet passed the Legislature when the week began was Senate Bill 282<\/strong>, a bill sponsored by Sen. Shay Shelnutt (R-Trussville)<\/strong> and managed in the House by Rep. Merika Coleman (D-Birmingham)<\/strong> that gives Trustees a third option to use when seeking to be released from their service to a Trust. The bill unanimously passed the full House on Tuesday night and was sent to Gov. Kay Ivey\u2019s desk for her signature, which is expected in the very near future.<\/p>\n

Speaking of the governor\u2019s desk, two bills that recently landed there were signed into law. \u00a0Senate Bill 275 <\/strong>by Sen. Sam Givhan (R-Huntsville)<\/strong>, legislation that authorizes a notarization process known as \u201cremote ink notarization,\u201d is now Act 2021-319, and Senate Bill 279 <\/strong>by Sen. Dan Roberts (R-Mountain Brook)<\/strong>, legislation that provides for how LIBOR-based contracts would be governed in the future, is now Act 2021-323.<\/p>\n

The Legislature will meet for two days next week, Tuesday and Thursday, after which they will take a one-week break and return for the 30th<\/sup> and final day on May 17.<\/p>\n

Bills of importance to the banking industry include the following:<\/p>\n

HB147 <\/strong>by House Financial Services Committee Chairman Chris Blackshear (R-Phenix City) <\/strong>and SB181 <\/strong>by Senate Banking and Insurance Committee Chairman Shay Shelnutt (R-Trussville) <\/strong>is the Elderly and Vulnerable Adult Financial Protection Act of 2021.\u00a0 These bills give financial institutions full discretion to refuse or delay a financial transaction whenever financial abuse of an elderly or vulnerable adult customer is reasonably expected. \u00a0Introduced last year, these bills garnered unanimous support in both chambers, but were unable to pass into law after the session abruptly ended because of COVID-19.\u00a0 Senate Bill 181 was signed into law on March 9.\u00a0 It is now Act 2021-78. <\/strong><\/p>\n

HB196 <\/strong>by Rep. Matt Simpson (R-Daphne) <\/strong>and SB35 <\/strong>by Sen. Greg Albritton (R-Atmore) <\/strong>makes technical changes to the Alabama Uniform Trust Decanting Act, a law passed in 2019 that provides a method for reforming or modernizing an irrevocable trust.\u00a0 Both bills have been passed by the House Financial Services Committee, putting the Senate bill one vote away from the governor\u2019s desk.\u00a0 Senate Bill 35 was signed into law on March 16.\u00a0 It is now Act 2021-143.<\/strong><\/p>\n

HB216<\/strong> by Rep. Craig Lipscomb (R-Gadsden) <\/strong>is the Alabama Consumer Privacy Act, a law giving consumers various rights related to the collection of personal information by businesses.\u00a0 Modeled after a California law, the legislation imposes onerous burdens on businesses of all types, including financial institutions.\u00a0 The association had a meeting with the sponsor earlier this week outlining concerns about the bill, and the sponsor assured us that he did not plan to pursue the legislation.<\/p>\n

HB293 <\/strong>by Rep. David Faulkner (R-Mountain Brook) <\/strong>is the Qualified Dispositions in Trust Act, which would authorize the creation of self-settled trusts in Alabama.\u00a0 Drafted by the Alabama Law Institute, this bill could theoretically expand opportunities for financial institutions providing trust-related services.\u00a0 On the other hand, this bill could provide debtors with an additional option of shielding assets from creditors.\u00a0 Senate Bill 293 was signed into law on April 13.\u00a0 It is now Act 2021-238.<\/strong><\/p>\n

HB457 <\/strong>by Rep. Chris Pringle (R-Mobile) <\/strong>expands the Alabama Residential Mortgage Satisfaction Act to include mortgages securing commercial agricultural properties.\u00a0 This is the second year Pringle has introduced this legislation.\u00a0 The bill defines \u201ccommercial agricultural properties\u201d as property located in this state that is used primarily for the growing of plants, trees, or animals primarily for a for-profit business and not for recreational purposes.\u00a0 The bill has passed out of the Senate Fiscal Responsibility and Economic Development Committee and is now in a position to be considered by the full Senate.<\/strong><\/p>\n

HB470 <\/strong>by Rep. Andy Whitt (R-Harvest) <\/strong>and SB275 <\/strong>by Sen. Sam Givhan (R-Huntsville) <\/strong>would allow documents to be remotely notarized under certain conditions.\u00a0 Drafted by a coalition of trade groups including the association, the Alabama Association of Realtors, and the Alabama Land Title Association, this bill codifies the \u201cRemote Ink Notarization\u201d provisions of Gov. Ivey\u2019s Emergency Executive Orders.\u00a0 In short, it sets up guidelines that would allow a notary public to witness the signature of a document using videoconferencing platforms.\u00a0 Senate Bill 275 was signed into law on April 22.\u00a0 It is now Act 2021-319. <\/strong><\/p>\n

HB474 <\/strong>by Rep. Merika Coleman (D-Birmingham) <\/strong>and SB282 <\/strong>by Sen. Shay Shelnutt (R-Trussville) <\/strong>would amend the Uniform Trust Code to create a third option for a Trustee to use when seeking to be released from his or her service to a Trust.\u00a0 Under this option, release would be granted if no beneficiary or interested party objected to the release in writing within 45 days of receiving a notice of the release and an accounting of the Trust from the previous two years.\u00a0 Senate Bill 282 passed the Legislature on April 27.\u00a0 It now awaits Governor Ivey\u2019s signature.<\/strong><\/p>\n

HB475 <\/strong>by Rep. Danny Garrett (R-Trussville)<\/strong> and SB279 <\/strong>by Sen. Dan Roberts (R-Mountain Brook) <\/strong>provides for how certain financial contracts would be governed after the publication of LIBOR is discontinued later this year.\u00a0 Senate Bill 279 was signed into law on April 22.\u00a0 It is now Act 2021-323. <\/strong><\/p>\n

HB603 <\/strong>by Rep. Joe Lovvorn (R-Auburn) <\/strong>and SB366 <\/strong>by Sen. Tom Whatley (R-Auburn) <\/strong>makes significant changes to laws related to guardianships and conservatorships.\u00a0 The Senate bill was recently substituted and approved by the Senate Judiciary Committee and is now in a position to be considered by the full Senate.<\/strong><\/p>\n

SB316 <\/strong>by Sen. Garlan Gudger (R-Cullman) <\/strong>would prohibit payment processing from charging an interchange fee on any portion of a payment transfer that was attributed to state or local taxes or fees.\u00a0 Legislation of this type has been introduced in multiple states around the country.\u00a0 The consequences of this bill becoming law could have negative implications on the banking and retail industries<\/p>\n

SB352 <\/strong>by Sen. Arthur Orr (R-Decatur) <\/strong>revises the 2021 payment date for financial institutions excise taxes and income taxes to coincide with the revised due dates for the corresponding federal payments.\u00a0 This bill was signed into law on April 13.\u00a0 It is now Act 2021-203<\/strong><\/p>\n

SB379 <\/strong>by Sen. Dan Roberts (R-Mountain Brook) <\/strong>among other things, provides for a one-month extension of the due date of tax returns for financial institutions in tax years beginning on or after Jan. 1, 2021, in order to provide taxpayers with additional time to calculate their tax liabilities under new federal and state tax law, without incurring a late filing penalty. The filing extension would not extend the due date of the tax liability by these taxpayers. This bill would also authorize the Department of Revenue, in its discretion, to extend the due date of tax returns for Alabama financial institutions by one month in tax years beginning on or after January 1, 2020, but before January 1, 2021.\u00a0 This bill was approved by the Senate Finance and Taxation-Education Committee on Tuesday and is now in a position to be considered by the full Senate.<\/strong><\/p>\n

Through 27 of a possible 30 legislative days, representatives and senators have introduced 1,047 bills – 648 in the House and 405 in the Senate \u2013 and 381 resolutions.\u00a0 As of this writing, 322 of these measures have been enacted into law.<\/p>\n

The session must end on or before May 17.\u00a0 Legislators will return to Montgomery on Tuesday for the 28th legislative day.<\/p>\n

 <\/p>\n

\n

Look for this update to be published each week during the regular legislative session and at other times as necessary.\u00a0 This update is written by Jason Isbell, an attorney in the Governmental Solutions practice group at Maynard Cooper & Gale.\u00a0 Along with his colleagues at the firm, Jason is a governmental affairs consultant for the association.\u00a0 Jason can be reached at <\/em>jisbell@maynardcooper.com<\/em><\/a> or at (334) 782-1219.\u00a0 <\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

MONTGOMERY, Ala., April 30, 2021 \u2014 In somewhat of a surprising move, the Alabama Legislature had little-to-no controversies on the House and Senate floors this week.\u00a0 While that was certainly a good thing, especially for the banking industry, it means a litany of controversial items are on deck for next week, the last full week of the session. Legislation related to transgendered persons, gambling and lotteries, firearms, and medical marijuana are all in a position to be the subject of intense debate when representatives and senators return to Montgomery for the session\u2019s 28th and 29th days next Tuesday and Thursday. […]<\/p>\n","protected":false},"author":1,"featured_media":431,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[19,26,28,3,23],"tags":[],"class_list":["post-2498","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-breaking","category-capitol-notes","category-legal","category-politics","category-publications","has_thumb"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/albanknews.com\/wp-content\/uploads\/2014\/11\/capitol_graphic-e1461688373563.png?fit=350%2C383&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p4Y3P2-Ei","jetpack_sharing_enabled":true,"jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/posts\/2498","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/albanknews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2498"}],"version-history":[{"count":1,"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/posts\/2498\/revisions"}],"predecessor-version":[{"id":2500,"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/posts\/2498\/revisions\/2500"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/albanknews.com\/index.php?rest_route=\/wp\/v2\/media\/431"}],"wp:attachment":[{"href":"https:\/\/albanknews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2498"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/albanknews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2498"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/albanknews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2498"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}