The City of Birmingham approves $615 million FY2027 budget focused on neighborhoods, youth, public safety, and city employees

 From the City of Birmingham

June 30

 Birmingham, AL — The Birmingham City Council has approved a $615 million Fiscal Year 2027 operating budget recommended by Mayor Randall L. Woodfin that continues the city’s strategic investments in neighborhoods, youth, public safety, public transportation,homelessness services, and the municipal workforce. 

 The FY2027 budget builds on years of sustained financial stability and reflects Birmingham’s commitment to making long-term investments that improve quality of life, strengthen city services, and expand opportunities for residents across every neighborhood.It also follows the city’s $31.8 million surplus investment plan approved earlier this year, which accelerated funding for infrastructure, neighborhood improvements, and community priorities. 

“I want to thank the Birmingham City Council for their partnership in passing this budget. It represents our shared values and reflects our combined commitment to building a Birmingham where every neighborhood can thrive, every young person has the opportunityto succeed, and every resident feels safer and better served,” said Mayor Randall L. Woodfin. “We’re continuing to make smart, responsible investments that strengthen our city today while positioning Birmingham for an even brighter future.” 

Investing in Neighborhood Revitalization: More than $19 million is proposed for neighborhood revitalization initiatives, including: 

• $12 million for street resurfacing 
• $3 million for weed abatement 
• $1.5 million for demolition and blight removal 
• $1.53 million for critical home repairs (For the first time, the city has used the general fund to increase the budget for this popular program that supports the elderly.) 
• $500,000 for traffic calming 
• $300,000 for recycling 
• $200,000 for the Façade Improvement Program 

This complements additional neighborhood investments approved through the March 2026 surplus spending plan, including $2 million for sidewalk repairs, $1.2 million for interstate lighting improvements, and additional capital improvement funding citywide. SinceFY2019, the City of Birmingham has committed more than $113 million toward street resurfacing through the operating budget alone. 

Investing in Birmingham’s Youth: The city’s Cradle to Career strategy will continue through proposed investments in expanded youth and education, including: 

• $2 million for the Birmingham Promise 
• $1 million for mental health support in Birmingham City Schools 
• $1 million for financial literacy curriculum in Birmingham City Schools 
• $1 million for Common Ground conflict resolution programming 
• $625,000 for the Safe Havens Initiative 
• $500,000 for the Birmingham Youth Sports League 
• $500,000 for the Black Male Initiative 
• $500,000 for Cradle to Career initiatives 
• $210,000 for Kids and Jobs programming 

Investing in Public Safety and Violence Reduction: Public safety remains a central focus of the FY2027 proposal with increased support for violence intervention and re-entry programming, including: 

• $3 million for Community Violence Intervention programs, a $1.5 million increase 
• $450,000 for the RESTORE Youth Re-entry Initiative 
• Continued support for conflict resolution programming in Birmingham City Schools 

Investing in Public Transportation: The proposed budget continues the city’s historic investment in public transportation with more than $17 million allocated for transit services and accessibility initiatives, including: 

• $11.5 million for the Birmingham Jefferson County Transit Authority 
• $3 million for the Birmingham Xpress Bus Rapid Transit system 
• $2.5 million for Birmingham On Demand microtransit 
• $300,000 for ClasTran 

Investing in Homelessness Reduction: Increased support is being proposed for homelessness services and housing stability efforts through: 

• $3 million for services for the unhoused, a $1.5 million increase 
• Approximately $800,000 annually in Community Development Block Grant support 

Investing in City Employees: Significant investments in city employees are proposed through salary adjustments, healthcare support, and premium pay. 

Highlights include: 

• Approximately $10 million for salary adjustments, including merit and longevity pay increases 
• More than $5 million in additional healthcare investments by the city 
• A $500 premium payment for all active full-time employees, totaling approximately $1.7 million  

To review the budget, go to www.birminghamal.gov/budget2027.