Alabama Administrative Code Title 281 - ALABAMA DEPARTMENT OF COMMERCE, FORMERLY ALABAMA DEVELOPMENT OFFICE AND ALABAMA TOURISM DEPARTMENT/ALABAMA FILM OFFICE
The Alabama Administrative Code, Title 281, is dedicated to the Alabama Department of Commerce. This agency has undergone several name and structural changes over time, as indicated by the "formerly Alabama Development Office and Alabama Tourism Department/Alabama Film Office" in its title. This evolution reflects the state's strategic approach to economic development, which has consolidated various functions related to business growth, investment, and specialized incentives under one umbrella.
The Alabama Department of Commerce serves as the principal economic development agency for the state. Its core mission is to foster economic growth, create jobs, attract new capital investment, and support existing businesses in Alabama. This involves a wide range of activities, from business recruitment and expansion to facilitating workforce development, promoting innovation, and supporting specific industries like film.
The administrative rules within Title 281 outline the procedures and criteria for various incentive programs and economic development initiatives that the Department of Commerce administers.
Here's a breakdown of the key chapters you would typically find within Title 281:
1. Chapter 281-1-1 - CERTIFICATION FOR SALES AND USE TAX EXEMPTIONS AND LODGING TAX EXEMPTIONS:
This chapter likely details the process by which certain businesses or projects can apply for and receive certifications for exemptions from state sales and use taxes, and potentially lodging taxes. These exemptions are often offered as incentives to encourage new investments, job creation, or specific types of economic activity.
It would specify eligibility criteria, application requirements, and the review process for such certifications.
2. Chapter 281-2-1 - CERTIFIED CAPITAL COMPANIES (CAPCOs):
This chapter governs the Certified Capital Company (CAPCO) program, a financial incentive program designed to encourage investment in Alabama businesses, particularly those in technology or underserved areas.
Rules would define:
What constitutes a "Certified Capital Company" and the criteria for certification.
The types of "qualified technology businesses" or "qualified investments" that are eligible for funding under the program.
How tax credits are allocated to certified investors who provide capital to CAPCOs.
Application and review processes for CAPCOs and investors.
Ongoing reporting and compliance requirements for certified entities.
3. Chapter 281-3-1 - ALABAMA FILM OFFICE INCENTIVES:
This chapter sets out the rules for the Alabama Film and Entertainment Incentive Program, designed to attract film, television, and other media productions to the state.
Regulations would cover:
Eligibility criteria for productions to receive incentives (e.g., minimum spending thresholds, hiring local crew, specific types of production).
Types of incentives available (e.g., tax rebates or credits on qualified production expenditures).
Application process, required documentation, and submission deadlines.
Audit and compliance procedures to ensure productions meet the terms of the incentive agreement.
Requirements for production companies regarding labor laws (e.g., compliance with the Beason-Hammon Alabama Taxpayer and Citizen Protection Act, also known as the Alabama Immigration Law).
4. Chapter 281-4-1 - THE ALABAMA INNOVATION FUND (Repealed):
The "Repealed" status indicates that this fund or its specific rules are no longer active, suggesting that the program may have concluded, been replaced, or its functions integrated into other initiatives.
5. Chapter 281-5-1 - ALABAMA NEW MARKETS DEVELOPMENT PROGRAM:
This chapter likely details the administration of a program similar to the federal New Markets Tax Credit program, aimed at encouraging investment in low-income communities.
Rules would define eligible investments, community development entities, and the allocation of state tax credits or other incentives.
6. Chapter 281-6-1 - ALABAMA RENEWAL ACT - PORT CREDIT:
This chapter likely pertains to incentives under the Alabama Renewal Act specifically related to port activity.
It would define criteria for businesses engaging in port-related activities to qualify for tax credits or other benefits, encouraging increased shipping and logistics through Alabama's ports.
7. Chapter 281-6-2 - ALABAMA RENEWAL ACT - GROWING ALABAMA CREDIT:
This chapter would outline the Growing Alabama Credit, another incentive under the Alabama Renewal Act.
This credit is often designed to encourage capital investment and job creation by existing or new businesses across various sectors in Alabama. It would specify eligibility thresholds for investment and job creation, application procedures, and the calculation and application of the credit.
Overall Role of the Alabama Department of Commerce:
The Alabama Department of Commerce, through its various divisions (e.g., Business Development, Workforce Development, Innovation & Entrepreneurship, Small Business Advocacy), uses these administrative rules to operationalize its broad statutory authority, which includes:
Economic Development: Planning, promoting, and recruiting new businesses and industries to Alabama.
Existing Industry Support: Assisting existing Alabama businesses with expansion, retention, and competitive growth.
International Trade: Supporting Alabama companies in exporting their products and services and attracting foreign direct investment.
Innovation & Entrepreneurship: Fostering a supportive environment for startups and technology companies.
Workforce Development: Collaborating with educational institutions and employers to ensure a skilled workforce.
Incentive Administration: Managing and overseeing the state's various economic development incentive programs to ensure accountability and effectiveness.
The administrative rules in Title 281 are essential for businesses and economic development professionals seeking to understand and participate in Alabama's incentive programs.
For the most accurate and up-to-date information, it is always recommended to consult the official Alabama Administrative Code, Title 281, available through the Alabama Legislative Services Agency's Administrative Code website, and the Alabama Department of Commerce's official website (madeinalabama.com).
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