Ala. Code §§ 24-10-1 to 24-10-11 § 24-10-6
Purpose.
Operative Text
The Alabama Affordable Housing Act is established for the following purposes: (1) To increase the production of housing units and home ownership and to preserve the supply of rental housing that is affordable to individuals and families with incomes at or below 60 percent of the median family income. (2) To maintain and rehabilitate existing affordable housing units to insure their continued availability to individuals and families with incomes at or below 60 percent of the median family income. (3) To serve individuals and families living at or below 60 percent of the median family income. No less than 50 percent of the resources placed into the fund each year shall be used to serve individuals and families with household incomes at or below 30 percent of the median family income as determined by the U.S. Department of Housing and Urban Development. (4) To annually distribute, when possible, a majority of the proceeds from the trust fund to eligible nonprofit developers. (5) To annually distribute no less than 40 percent of funds for activities that provide housing and housing assistance to individuals and families in rural areas and small cities that are classified as the Balance of State under the U.S. Department of Housing and Urban Development’s Home Investment Partnership Program.
Section 24-10-6 of the Alabama Affordable Housing Act sets out the core purposes of the state's affordable housing trust fund. The law directs that fund resources be used to expand, preserve, and rehabilitate housing for households earning at or below 60% of the area median family income, with at least half of annual resources reserved for those at or below 30% of that threshold. Additional distribution requirements specify that a majority of proceeds go to nonprofit developers when possible, and that at least 40% of funds support housing in rural areas and small cities designated as the Balance of State under HUD's Home Investment Partnership Program.
Plain English — not legal advice.
Property owners and developers who participate in programs funded under Ala. Code § 24-10-6 generally operate within income-targeting requirements tied to area median family income benchmarks set by HUD. Compliant operators typically document tenant income eligibility to ensure units serve households at or below the 60% median family income threshold, and in many cases the 30% threshold for a portion of assisted units. Nonprofit developers are prioritized for fund distributions, so for-profit operators often engage with the program through partnerships or specific eligible activities.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Section 24-10-6 of the Alabama Affordable Housing Act establishes that the trust fund is specifically intended to benefit lower-income households, including those earning at or below 30% of the area median family income as determined by HUD. Tenants in properties supported by this fund may have protections or eligibility rights tied to these income thresholds. Those who believe they qualify for affordable housing assistance under this framework can contact local nonprofit housing organizations or the Alabama Housing Finance Authority to learn about available resources and complaint pathways.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 16, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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