Ala. Admin. Code r. 305-5-3-.06

Current through Register Vol. 43, No. 1, October 31, 2024

Section 305-5-3-.06 - Conditions

(1) In order to participate in Section 5 of the Act, a private employer:

(a) Must expand its labor force, or make a new capital investment or prevent a loss of employment to an existing business.

(b) May not have closed or reduced employment elsewhere in Alabama in order to expand into the enterprise zone.

(c) Must obtain an endorsement resolution approved by the appropriate local governing authority.

(d) Must be located in or locate within the boundaries of an urban or rural enterprise zone.

(e) Must generally fall into Standard Industrial Classification (SIC) Codes 20-42, 44-49, or consist of major warehousing and distribution centers, be a corporate or regional headquarters, or be a business having the prospect of significantly impacting the revitalization of a municipal urban enterprise zone without adversely affecting businesses in the city or county containing the zone. (Municipal urban enterprise zones are defined as those delineated enterprise zone areas lying inside the corporate limits of Mobile, Prichard, Montgomery, Birmingham and Gadsden.)

(2) In order to participate in Section 11 of the Act, a private employer:

(a) Must meet the requirements set forth in (1) (a) through (e) above, and

(b) Must give preference and priority to Alabama manufacturers, suppliers, contractors and labor, except where not reasonably possible to do so without added expense, substantial inconvenience, or sacrifice in operational efficiency.

(c) Must certify annually that at least thirty-five percent of their employees at the time of their employment are residents of the county hosting the enterprise zone or in the case of the cities of Birmingham, Montgomery and Prichard, residents of the city hosting the enterprise zone, and were receiving some form of public assistance prior to employment; or were considered unemployable by traditional standards or lacking in basic skills.

(3) In order to participate, an appropriate governing authority:

(a) Must submit a plan or explanation of a program to improve police protection within the zone.

(b) Must give priority to federal programs for use in enterprise zones.

(c) Must assist the Department in certifying eligibility of employers within enterprise zones.

(d) May authorize the Department to supersede certain specified local regulations and ordinances which may discourage economic development within the enterprise zone.

(e) May assist the Department in evaluating progress made in the enterprise zone.

Authors: Wayne Bovis, Charles Reynolds.

Statutory Authority: Code of Ala. 1975, §§ 41-23-1 through 41-23-7, 41-23-29(6).

History: Filed January 22, 1988; effective February 26, 1988. Amended: Filed November 19, 1990; effective December 24, 1990. Amended: Filed May 14, 1993; effective June 18, 1993.

Ala. Admin. Code r. 305-5-3-.06