Navigating Alabama’s Legislative Landscape

Table of Contents: Education | Health Care | Economic Development | Criminal Justice Reform | Gambling

The 2025 Alabama Legislative Session is upon us. The path has cleared, and now is the time to set our sights on the journey ahead. Whether you’re a seasoned policy trailblazer or just lacing up your boots, one thing is certain: what happens in Montgomery will leave its footprints on our state.

Each year, lawmakers convene at the State House to shape policies that impact how we live, work and grow as a state. Without a map, it’s easy to feel lost. That’s where we come in.

INTRODUCTION: Find the Trailhead

At Peritus Public Relations, we’ve spent years serving as your trusted trail guides through the legislative process, making complex issues more approachable and accessible. This year, we’re charting new territory. For the first time, we surveyed more than 75 policy experts about what’s ahead.

These voices come from across Alabama—people who live and breathe #ALPolitics and represent a variety of industries and sectors in both rural and urban communities. Their insights were clear: the trail is packed with opportunities, but there are plenty of forks in the road that will require careful navigation.

So, what’s on the horizon this session?

Big questions about education funding.
Pivotal discussions on Medicaid expansion.
Key debates around economic development.

These and more are among Governor Kay Ivey’s priorities, which she outlined in her State of the State Address to the Legislature. Each of these issues is a trail marker guiding us toward the summit. The journey won’t always be easy, so gear up, stay sharp and be ready for whatever lies around the bend.

Here’s the good news: you don’t have to face this trek alone. This guide is your compass, giving you the context, clarity and tools you need to stay on course. It doesn’t matter if you’re admiring the view from a distance or leading the way, we’ll help you find your footing.

Let’s get moving.

TRAIL MAP: Know These Legislative Priorities

The 2025 legislative session is charting a bold and challenging course. From ambitious reforms to recurring debates to emerging issues, this year’s agenda promises to shape Alabama’s future. Here’s a snapshot of the sights we’ll see along the way:

***Cahaba Lily, found along the Cahaba River***

EDUCATION

Education is on everyone’s radar. In our survey, 87% of respondents ranked it among the top three priorities. After three decades on the same path, Alabama’s K-12 funding formula is showing its wear and tear. This session offers a chance to reroute toward a system that better serves students. But as with any challenging trail, there will be twists and turns – and the choices made will define the future of the state.

Alabama’s students are like the Cahaba Lily—resilient and full of potential, but only with the right conditions.

Alabama’s school funding formula has been stuck in the mud since 1995. In fact, we’re one of only six states still using a resource-based formula to fund schools. The Foundation Program, an enrollment-based system, hasn’t kept pace with today’s challenges, leaving too many students marooned without the resources they need to succeed. With Alabama’s current formula, the number of students creates a certain number of teacher units. Those teacher units determine most of the funding, leaving students facing the steepest climbs with the roughest terrain. (Only 1.2% of the state’s $5.3 billion education budget in 2024 targeted student needs.)
This session, lawmakers are gearing up to chart a new course with a hybrid funding model that could create the conditions students need to take root and thrive. This approach, shaped by months of review, provides a base level of funding for all schools while adding extra “weights” for students who need more support, such as those living in poverty, students with disabilities, English language learners and gifted students.
Critics of the Foundation Program argue this is a chance to replace the outdated “one-size-fits-all” approach with a modern system that puts students’ needs first. There are a lot of specific issues that a student-weighted funding formula might be able to take care of, but the current budget doesn’t allow school districts to address them. Without an overhaul, the gaps in student achievement between low- and high-income districts will only widen.
Investing in students is about more than just closing the test score gap (though research shows targeted funding can make a big difference there). It’s about creating a pipeline of better-prepared graduates ready to contribute to the state’s growing economy. Alabama’s lower labor participation rate is tied to gaps in education—and according to our survey, experts agree: tackling those gaps starts with smarter investment in K-12 schools.
But investment alone isn’t enough. One survey respondent said: “Alabama must reaffirm its commitment to accountability in education,” one expert said. “If we want to see an Alabama where every child succeeds, we must set high standards for our students, provide the necessary supports and hold schools accountable for the results.” A blended funding model – one that prioritizes both resources and results – could give schools the tools and flexibility to improve outcomes statewide.
This kind of reform isn’t without hurdles. Building consensus among the education community, the House, the Senate and the governor is no small task, and implementing a major overhaul without tripping up current operations adds another layer. Some worry that a shift of this scale could strain the state budget, but finance officials argue that reserve funds are enough to support a phased rollout over the next five years and beyond. While some parts could pass this session, a full overhaul might not happen until 2026. That doesn’t mean the trek is over—it just means the trail is long, and progress takes time. (Just look at the CHOOSE Act, signed into law last year, which is rolling out in phases through the 2027-2028 school year as eligibility for education savings accounts expands.)
Looking Ahead
Alabama’s students are like the Cahaba Lily—resilient and full of potential, but only if the right conditions exist. The lilies can’t grow without swift-moving water, steady sunlight and rocky riverbeds. Without them, they wither. Students, too, need the right environment—funding that meets their needs and schools equipped to support them. Without it, they’re left to struggle in stagnant waters.
With recommendations nearing finalization, lawmakers are poised to introduce legislation that could redefine Alabama’s education system. The proposed models offer a sense of direction but will ultimately depend on bold leadership and a commitment to putting students first. This is a once-in-a-generation opportunity to address long-standing inequities and ensure every student—no matter their zip code—has access to the resources they need to succeed. The question now is whether Alabama will push forward or stay mired in the muck.

HEALTH CARE

***Natural Bridge, found in Bankhead National Forest***

Health care remains a key issue this session, with Medicaid expansion once again up for debate. Supporters argue it could improve health outcomes, reinforce rural hospitals and provide an economic boost, while skeptics raise concerns about long-term costs and the role of federal funding. Regardless, 62% of our survey respondents ranked it among the top three policy areas expected to be a waypoint on this year’s legislative trail. As lawmakers weigh the potential benefits and trade-offs, the question remains: Will they forge ahead on a new path, or will this issue remain at a standstill?

Alabama’s health care system should function like Natural Bridge—strong, steady and built to connect.

Health care is one of the most contentious and consequential issues facing the state. More than 260,000 Alabamians fall into the “coverage gap,” earning too much to qualify for Medicaid but too little to afford private insurance. House Speaker Nathaniel Ledbetter (R-Rainsville) has indicated that Medicaid expansion is not on the table for the 2025 legislative session. That said, increasing access to health care could take other forms.
Alabama’s health care system should function like Natural Bridge—strong, steady and built to connect. For generations, the rock formation has withstood the elements, linking two sides of rugged terrain and providing a safe passage forward. Health care should do the same. But right now, too many Alabamians are left without a way across, stuck between coverage they can’t afford and care they can’t access.
While 40 other states have expanded Medicaid, strengthening their health care systems and stabilizing rural hospitals, Alabama has stood at the edge, unmoving. Meanwhile, the cost of inaction has come at a staggering cost to its residents and economy.
According to research from the Public Affairs Research Council of Alabama (PARCA), Medicaid expansion could save the state nearly $400 million annually by shifting health care costs currently paid with state funds to federal dollars. Additionally, expansion could generate nearly $2 billion in annual economic growth and create more than 20,000 new jobs every year. By standing still, Alabama is watching these opportunities sprint past, leaving its communities and workforce behind.
For many, untreated health conditions push them out of the workforce, creating cycles of poverty and hardship that Alabama cannot afford to ignore. Rural hospitals, already stretched thin, are closing their doors under the weight of uncompensated care. Without intervention, the trail ahead for Alabama’s health care system looks increasingly precarious, with entire regions at risk of losing access to the care they depend on.
Looking Ahead
The ascent is tough, but the path is clearing. The conversation is no longer about if Alabama should act—it’s about how. A public-private option like ALLHealth, proposed by Blue Cross and Blue Shield of Alabama, seems like the path of least resistance. On paper, it’s a pragmatic solution: leveraging federal Medicaid dollars to expand coverage while keeping the state’s financial commitment in check.
As one expert put it in our survey, “We need more creative thinking about what health care looks like and how it’s delivered.” The opportunity is here. Now, it’s up to lawmakers to decide whether Alabama will forge ahead and build a system that strengthens its workforce, economy and communities—or keep standing at the trailhead while others forge ahead.

Alabama’s economy is hitting its stride. More people are moving here than ever before, businesses are thriving and major investments in roads, bridges and ports are strengthening the state’s infrastructure. The biggest challenge? Getting more Alabamians into the workforce.
Lawmakers took a major step forward last year with the Working for Alabama (WFA) package, a bipartisan push championed by Governor Kay Ivey to get more people back on the job. The plan offers tax credits for developers to build workforce housing, incentives for employers to help fund childcare and a restructuring of the state’s workforce programs to align with industry needs. Legislators from both sides of the trail backed it overwhelmingly, recognizing that access—not ability—is the real barrier keeping too many Alabamians out of the labor force. Without these critical support systems, the economy can’t reach its full potential.
But the climb isn’t over. Infrastructure remains a major hurdle, especially in rural areas where broadband access is scarce and economic investment is slower to arrive. In these pockets of the state, lagging or nonexistent internet is cutting off opportunities for small businesses, remote workers and students. If rural Alabama doesn’t have the tools to compete, investment will keep flowing to metro areas, leaving these regions behind.
Across the board, respondents agreed: rural communities need more than tax credits to thrive. They need modern infrastructure, targeted workforce training and economic policies that create sustainable growth rather than temporary boosts.
One survey respondent underscored the need for a broad, coordinated approach, noting: “Real success will depend on solid collaborative efforts between state government, educational institutions and industry leaders to address not only immediate workforce needs but also long-term economic goals.”
Looking Ahead
This session, lawmakers will continue charting the course for Alabama’s future. With the WFA package and the Alabama Growth Alliance leading the way, the challenge now is execution. How will these programs be implemented? What policies will maximize their impact?
Alabama’s economy, like the Longleaf Pine (Alabama’s state tree), is strongest when it’s nurtured for the long haul. Once spanning 90 million acres across the Southeast, Longleaf forests have declined to less than three million. Efforts like America’s Longleaf Restoration Initiative are underway, proving that with the right investment, growth returns. Economic growth requires the same commitment. Lawmakers must build on the foundation to ensure deep roots and lasting prosperity.

CRIMINAL JUSTICE REFORM

***Red-Cockaded Woodpecker, found in the Oakmulgee, Talladega and Conecuh National Forests***

Alabama’s justice system is trudging through quicksand. With prisons over capacity, an unpredictable parole process and increasing federal oversight, lawmakers have a chance to smooth out the path by revisiting sentencing and parole reform. Though not the highest-ranked legislative priority, 40% of experts still identified it as an issue to watch this session. The question is: will they take the necessary steps to steady the trail?

Criminal justice reform could provide more second chances, like the comeback of the Red-Cockaded Woodpecker.

Alabama’s prisons are at over 160% capacity, ranking among the most overcrowded in the nation. Parole, a tool that could ease the strain, dropped to just 7% in 2023. Between 2019 and 2022, Alabama saw the sharpest parole decline in the country, a 67% drop, according to a 2023 policy brief from the Prison Policy Initiative. Facing mounting pressure, the grant rate climbed to 25% in 2024, but reform advocates say the system still lacks consistency.
A Second Chance? Maybe.
Two proposed measures could bring different kinds of change to Alabama’s criminal justice system.
HB 40 would establish a Criminal Justice Policy Development Council. This council would update Alabama’s classification system for incarcerated individuals and introduce a validated risk assessment to guide parole decisions. If passed, the law would require the Alabama Board of Pardons and Paroles to follow these guidelines or provide written explanations when they deny parole outside of the recommendations—adding a structured framework where broad discretion now exists.
SB 156, the “Second Chance Bill,” focuses specifically on sentencing reform, not parole. It would allow resentencing for certain people serving life without parole under the 1979 Habitual Felony Offender Act, but only if their original conviction did not involve physical injury. This proposal also includes a sunset clause, meaning the law would automatically expire in 2030 unless the legislature votes to renew it.
Alabama has more than 30 people on death row due to judges overruling juries’ life sentence recommendations. While some lawmakers see these bills as long-overdue corrections, others argue it goes too far. Legal advocates and organizations such as Alabama Appleseed and Alabama Arise want to make the 2017 ban on judicial override retroactive, correcting what they see as major injustices. But similar efforts failed in 2024, and there’s no guarantee lawmakers will budge this session.
The red-cockaded woodpecker faced long odds too. Once nearly wiped out, the species has made a comeback through decades of targeted conservation efforts, proving that the right interventions can restore what was nearly lost. Criminal justice reform operates on the same principle, creating second chances where they are needed.
There’s movement, but the pace is slow. Lawmakers from both parties have hinted at modest parole reform, but deeper changes will take a little more stamina.

GAMBLING

***Dismalites, also known as “glow worms”, found in Dismals Canyon***

Gambling on the docket is like trees on a trail—you can bet your bottom dollar it’ll show up. Last session, a lottery proposal came up short in the Senate, and while it’s a lower priority per our survey respondents, it’s still sure to be in the mix. After all, every trail mix has a few raisins—some love them, some pick around them, but they always make their way into the bag. With lawmakers lagging and public demand growing, is it the year Alabama takes the bet, or will the state stay back at basecamp – again?

Gambling bills in Alabama never fully disappear—like the dismalites of Dismals Canyon, they fade but always have the potential to glow again.

In mountaineering, a false summit is the ultimate bait-and-switch—a moment when climbers think they’ve reached the top, just to realize the real challenge has yet to come. Alabama’s gambling advocates know this feeling all too well.
As the 2025 legislative session heats up, gambling is once again back on the map. Proponents say it’s time to let voters cash in on a state-run lottery and legal betting, arguing Alabama is losing millions to neighboring states. But before anyone celebrates, history tells us this summit has fooled many before. And if the past is any indication, the true peak may still be miles ahead.
Rough Terrain
Alabama is just one of five states without a lottery, and for proponents, that’s an opportunity too big to ignore. Groups like the Petroleum & Convenience Marketers of Alabama are campaigning for a referendum, claiming a lottery could funnel millions into education and infrastructure—without raising taxes. Similarly, the Sports Betting Alliance estimates sports betting could generate $65-$90 million annually while protecting consumers from unregulated offshore markets.
But the path is steep. The Republican-led Senate, where the GOP holds 27 of 35 seats, remains divided on the issue. Last year, a comprehensive gambling package cleared the House but a compromised version faltered in the Senate—falling just one vote short.
Opponents, including the Alabama Policy Institute (API), argue that gambling is shaky ground. API’s “Betting Hurts Bama” campaign warns that tying state funding to gambling losses creates a dangerous “perversive incentive.” For critics, gambling is corrosive. It chips away at financial stability and leaves vulnerable citizens footing the bill.
Meanwhile, Alabamians keep betting—just not in Alabama. During the 2024 NCAA tournament, 190,000 geolocation checks came from Alabama residents trying to access legal betting sites in other states. More than 2 million attempts to reach illegal sportsbooks were blocked.
For lawmakers and voters, the question isn’t whether Alabamians are betting. They are. It’s whether the state will continue to let those dollars flow elsewhere or take control, regulate and tax an industry that already exists.
Looking Ahead
Each session, gambling flickers back into focus, only to fade before gaining traction. One path leads to a state lottery, the other to continued restrictions. Year after year, the answer remains the same – no. The longer Alabama stays on this path, the steeper the climb becomes.
Like the dismalites of Dismals Canyon, the issue dims but never vanishes entirely. It retreats into the background, waiting for the right conditions to glow again. Some lawmakers, including those who weighed in on the issue, have signaled they aren’t eager to bring it back into the spotlight. With Senate leaders shifting their focus to other legislative priorities, gambling may once again be left in the dark.

UNMARKED TRAILS: Look Out for These Issues

Not every issue sticks to the beaten path. This session, immigration and public safety will bring lawmakers to a crossroads, forcing them to pick their route. The choices made will leave lasting footprints on Alabama’s future.

Sen. Garlan Gudger (R-Cullman) has indicated that lawmakers may pursue a new immigration enforcement law , aiming to balance public safety with economic considerations. Some expect a departure from the restrictive 2011 Beason-Hammon Act (HB 56), though the scope of new proposals remains unclear. One expert noted that early drafts of immigration bills appear “comprehensive” and will require significant administrative oversight, particularly as lawmakers weigh its impact on Alabama’s workforce and economy.
Lawmakers are mapping out new routes to tackle public safety. Rep. Phillip Ensler (D-Montgomery) is leading a push to ban Glock switches, small devices that turn handguns into fully automatic weapons. His plan also includes expanding conflict resolution programs in schools, increasing mental health counseling for students and educators and funding neighborhood safety grants. As Gov. Ivey put it in during the 2025 State of the State address, “A safe Alabama is a secure future for Alabama, and a secured future is our goal.”

THE NEXT STEP: Start the Journey

Boots are on the ground. With both parties releasing their agendas, battle lines are drawn and policy debates will hit steep inclines fast. House Republicans have pledged to uphold “Alabama Values” with a focus on border security, crime prevention and economic growth, while House Democrats are pushing “Forward for Freedom,” prioritizing education investments, voting rights and gun safety measures.

Public safety, education and economic growth are in everyone’s sights. The debate? How to get there. Expect big climbs, sharp switchbacks and unexpected detours.

But this session isn’t just about bills. It’s about positioning for 2026. With statewide elections looming, every vote, debate and deal will shape the road to re-election. As one expert put it, “Meaningful, lasting change is more likely to occur when it is driven by a collaborative effort between policymakers and the communities they represent.”

The best routes aren’t taken alone—progress depends on finding a way forward together.

OUR PUBLISHED BY PERITUS TAKEAWAY IS THIS…

The trail is tricky, the pace is fast and the weather can change in an instant. If you’re not walking with your eyes up, you might miss a turn.

Stay alert. Watch the markers. The switch will be sharp, and some routes may dead-end, but the only way to reach the top is to stay on the course.

Follow along on our social media and let us be your guide. Each week, Peritus PR’s Friday Five session updates will help you navigate every ridge, ravine and rocky pass. Double-knot your laces—this session won’t wait for stragglers.

On behalf of the Peritus team, thank you for reading!

When the stakes are high, communication matters.

At Peritus Public Relations, we know you want to make an impact. To do that you need confidence and clarity to take action. Tell us what’s keeping you up at night and stop letting fear of a misstep get in the way of driving your mission forward. We believe you deserve to get it right. For over a decade, organizations like yours have trusted us to navigate the best path forward.

Peritus specializes in issue advocacy, stakeholder engagement, government affairs and strategic consulting. Let’s connect if you want to learn more about how state policy affects your mission and bottom line.

2025 Alabama Legislative Guide

Navigating Alabama’s Legislative Landscape

INTRODUCTION: Find the Trailhead