For purposes of this act, the following words and phrases have the following meanings:

(1) APPLICANT. Any corporation, limited liability company, partnership, sole proprietorship, business trust, or other legal entity authorized to do business in the State of Alabama.
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Terms Used In Alabama Code 40-18-470

  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • following: means next after. See Alabama Code 1-1-1
  • Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
  • state: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Alabama Code 1-1-1
(2) APPROVED COMPANY. Any company approved for tax rebates for operating a certified tourism destination project.
(3) APPROVED COSTS. Costs relating to the following:

a. Land acquisition.
b. Construction.
c. Engineering.
d. Design.
e. Costs of contract bonds and insurances.
f. Installation of utilities paid by the applicant, including project-specific off-site extensions.
(4) BOARD. Alabama Tourism Advisory Board established pursuant to Section 41-7-3.
(5) CAPITAL INVESTMENT. All costs and expenses incurred by the incentivized company in connection with the acquisition, construction, installation, and equipping of a qualifying project, if such costs are required to be capitalized for purposes of the federal income tax, determined without regard to any rule that permits expenditures properly chargeable to a capital account to be treated as current expenditures. However, any project involving the extraction of natural resources shall not be included as a capital investment expenditure.
(6) CERTIFIED TOURISM DESTINATION PROJECT.

a. A certified tourism destination project must conduct an activity specified in subparagraphs 1. through 8.

1. A qualifying project that has seventy-five million dollars ($75,000,000) of capital investments may be considered a mega project.
2. A qualifying project may be a tourist destination attraction with a minimum private investment of not less than fifty million dollars ($50,000,000).
3. A qualifying project may be a tourism attraction with a minimum private investment of thirty-five million dollars ($35,000,000) located within an entertainment district. The attraction must be open to the public at least five days per week, serve food and beverages, and provide live entertainment at least three nights per week.
4. A qualifying project may be a resort development with a minimum investment of thirty-five million dollars ($35,000,000) and consists of a hotel with a minimum of 200 guest rooms. The development must also include guest amenities such as restaurants, golf courses, spas, entertainment activities, and other amenities.
5. A qualifying project may be a tourism destination attraction with a minimum investment of thirty-five million dollars ($35,000,000) located within a historic district where the district is listed in the National Register of Historic Places.
6. Retail related to a qualifying project must consist primarily of upscale brands or their equivalent. Retail activities not eligible for a rebate include the following:

A. Department stores.
B. Convenience stores.
C. Grocery stores.
D. Liquor and tobacco Stores.
E. Discount stores.
F. Multiplex theaters.
G. Facilities that perform cleaning, repair, or alteration services.
H. Facilities that perform personal salon services such as tanning, nail, and beauty.
7. A qualifying project may be any combination of qualifying tourist attractions, hotels, marinas, and resorts with a minimum private investment of thirty-five million dollars ($35,000,000) in land, buildings, architecture, engineering, fixtures, equipment, furnishings, amenities, and other related approved soft costs.
b. Projects that cannot be certified as an eligible certified tourism destination project include the following:

1. Expansions of any existing projects previously approved that are not equal to the lesser of 75 percent of the original capital investment or thirty-five million dollars ($35,000,000).
2. Facilities that are primarily developed for retail sales that are not certified as a resort development. Pro shops, souvenir shops, gift shops, concessions, and similar retail activities may not be included within the definition of a tourism destination project.
(7) DEPARTMENT. The Alabama Tourism Department.
(8) PROJECT. Any land, building, or other improvement, and all real and personal property, whether or not contiguous and whether or not previously in existence, if in Alabama and if deemed necessary or useful in connection with certified destination projects.
(9) QUALIFYING PROJECT. Any project to be undertaken by an approved company that is deemed a certified tourism destination project.
(10) TOURISM DESTINATION ATTRACTION. Tourist attractions that qualify include the following:

a. Theme parks.
b. Water parks.
c. Entertainment parks or outdoor adventure parks.
d. Cultural or historical interpretive educational centers or museums.
e. Motor speedways.
f. Indoor or outdoor entertainment centers or complexes.
g. Convention centers.
h. Professional sports facilities.
i. Attractions created around a natural phenomenon or scenic landscape.
j. Waterfront marina facilities, including, but not limited to, indoor marine vessel storage, restaurants, and marine sales and service.
k. Aquariums.
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