Code of Alabama

Ala. Code § 22-21-130 (2026)

Definitions.

✓ official Alabama Legislature (ALISON) text, current July 2026
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For the purposes of this article, unless otherwise indicated, the following terms shall have the meanings respectively ascribed to them by this section:

(1) AUTHORITY. A corporation organized pursuant to the provisions of this article.

(2) BOARD. The board of directors of the authority.

(3) BOND. Any bond issued under the provisions of this article, including refunding bonds.

(4) COUNTY. That county in which the certificate of incorporation of the authority shall be filed for record.

(5) COUPON. Any interest coupon evidencing an installment of interest payable with respect to a bond.

(6) FISCAL YEAR. A fiscal year of the municipality.

(7) GOVERNING BODY. The council, board of commissioners or other like body in which the legislative functions of the municipality are vested by law.

(8) INDENTURE. A mortgage, an indenture of mortgage, deed of trust or trust indenture executed by the authority as security for any bonds.

(9) LEASE AGREEMENT. Any agreement of lease respecting the project or any part thereof which is made pursuant to the provisions of this article.

(10) MUNICIPALITY. The incorporated city or town in the state which authorized the organization of the authority.

(11) PROJECT. One or more buildings located, or to be located, within the municipality or within its police jurisdiction and designed for use and occupancy as a public hospital, public clinic or public health center and related public health facilities, such as laboratories, outpatient departments, nurses’ homes, nurses’ training facilities, central service facilities operated in connection therewith and any equipment and lands necessary therefor.

(12) SPECIALLY PLEDGED REVENUES. Any revenues and tax proceeds specially pledged under a lease agreement pursuant to the authorization contained in Section 22-21-140.

(13) STATE. The State of Alabama.

(14) THIS ARTICLE. Any reference in this article to “this article” shall, unless the context clearly indicates otherwise, be deemed to refer not only to this article, but also to Act No. 109, enacted at the 1961 Regular Session of the Legislature of Alabama, as amended, it being the intention hereof that public corporations heretofore organized under the provisions of said Act No. 109 shall hereafter be governed exclusively by this article and shall have all powers and rights thereby conferred on public corporations organized thereunder.

(Acts 1961, No. 109, p. 134, §2; Acts 1978, No. 409, p. 394, §1.)

Notes of Decisions
Cited in 4 cases, 1986–2013 · leading case: Chandler v. Hosp. Auth. of Huntsville, 500 So. 2d 1012 (Ala. 1986).
Chandler v. Hosp. Auth. of Huntsville, 500 So. 2d 1012 (Ala. 1986). · cites it 5× “The Hospital Building Authority for the City of Huntsville was incorporated on August 3, 1961, under those statutory provisions now compiled in Article 5. In 1978 the Huntsville City Council, by resolution, amended the certificate of incorporation of the Huntsville Hospital…”
Health Care Auth. for Baptist Health v. Davis, 158 So. 3d 397 (Ala. 2013). “5 (now § 22-21-130 et seq., Ala.Code 1975), to allow the creation of municipal hospital-building authorities.”
Gaines v. Huntsville-Madison Cnty. Airport Auth., 581 So. 2d 444 (Ala. 1991). · cites it 2× “In Chandler , we held that Article 5 of Chapter 21 of Title 22 ("Municipal Hospital Building Authorities") (Ala.Code 1975, § 22-21-130 et seq. ) was unconstitutional because it denied equal protection to patients of hospital building authorities established under Article 5.”
Turner v. Von Braun Civic Ctr., 716 So. 2d 1186 (Ala. 1998). “, waterworks and sewer boards. This is only a representative list, ’not nearly an exhaustive one, but *1188 each of these Code provisions, and all others we have seen, require a resolution of the municipality approving the incorporation of the authority or board.”
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