Birmingham passes record $591 million budget, despite concerns from council
The Birmingham City Council on Tuesday approved Mayor Randall Woodfin’s $591 million budget, despite some concerns.
Birmingham council member Valerie Abbott threatened to delay a vote over her concerns that the city isn’t enforcing its housing codes.
Council member Hunter Williams said he has concerns about increased funding for public transit when the results have been disappointing.
The Birmingham Jefferson County Transit Authority receives $11 million in general city funding, plus $3 million for Birmingham Xpress Bus Rapid Transit, plus $2.5 million for the Birmingham on Demand Powered by VIA ride service.
But Williams noted that bus reliability is only 58 percent.
“It’s effectively useless,” Williams said. “We just have to have something better.”
In his eight years on the council, city funding of public transit has doubled, while service remains unreliable for getting to jobs and doctor’s appointments on time, he said.
“There is a lot of room to improve,” council member Clinton Woods said.
“We’re talking about people’s livelihood,” said council member Crystal Smitherman.
Council member Carol Clarke said she wants the council to receive more updates on the budget throughout the year, such as quarterly budget data and analysis.
After the discussion, Abbott relented and asked for the vote to go forward.
The fiscal 2026 budget goes into effect on July 1. Woodfin had set neighborhood revitalization, street resurfacing, effective public safety strategy, recruiting more police, and investing in youth as top priorities.
“I want to thank the council for their consideration and support of this budget plan,” Woodfin said. “Our shared priorities of neighborhood revitalization and public safety are supported by this budget. We will continue to invest in neighborhoods to resurface streets, invest in sidewalks, traffic calming, and blight removal.”
Woodfin’s spending plan includes an increase in neighborhood revitalization to $21.8 million. The budget includes another $15 million commitment for street resurfacing. Since the 2019 fiscal year budget, the city has spent more than $100 million on street resurfacing in the city with additional support from the American Rescue Plan Act.
The budget includes the $16 million police recruitment and retention program approved in October, along with a commitment to increase the number of police vehicles with a $6 million investment in updating the fleet.
Community Violence intervention programs will receive $1.5 million to support ongoing initiatives.
The budget and additional information can be viewed at www.birminghamal.gov/2026budget.
Budget At a Glance
Neighborhood Revitalization
- Street paving: $15 million
- Weed abatement: $3 million (up $250,000)
- Demolition: $2 million (up $500,000)
- Sidewalks: $1 million
- Traffic calming: $500,000
- Recycling: $300,000
Public Safety and Violence Reduction
- Police vehicles: $1 million (part of $6 million rolling stock investment)
- Park and Recreation Safe Haven Initiative: $625,000 (up $125,000)
- Park and Recreation Birmingham Youth Sports League: $500,000 (new funding)
- RESTORE Youth Re-entry Initiative: $450,000 (up $225,000)
- Additional Community Violence Intervention: $1.5 million
- Budget provides additional support for programs currently supported by ARPA funding and additional grants.
- NICJR/Gun Violence Reduction Strategy
- IRSA/One Hood: citywide initiative
- OAA/Hospital-linked violence intervention expansion into emergency department
- TCS/Street Teams: designated zones
- Live Free: training
- Budget provides additional support for programs currently supported by ARPA funding and additional grants.
Youth Investments
- Birmingham Promise for BCS students: $2 million
- Birmingham City Schools: $1 million
- Financial Literacy Curriculum in BCS: $1 million
- Small Magic Early Childhood Education: $250,000
- Park and Recreation Safe Haven Initiative: $625,000 (up $125,000)
- Park and Recreation Birmingham Youth Sports League: $500,000 (new funding)
- Kids and Jobs: $210,00
- Ad valorem tax revenue from the City of Birmingham provided $86,699,395 to Birmingham City Schools this year.
Homelessness
- Services for the unhoused: $1.5 million (new funding)
- Community Development Block Grants: $800,000 (estimated, annually)
Public Transportation
- Birmingham Jefferson County Transit Authority: $11 million
- Birmingham Xpress Bus Rapid Transit: $3 million
- Birmingham on Demand Powered by VIA: $2.5 million
City Employees
- 1% cost of living adjustment for all employees: $4.225 million
- 5% merit pay for eligible employees: $3.9 million
- Longevity pay for eligible employees: $1 million
- The city covers all healthcare benefit increases for city employees to prevent new out-of-pocket costs: $3.6 million
- City contribution to pension fund: $40 million (estimated pending actuary’s report)