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Birmingham Proposes $591 Million Budget for 2025-2026

Birmingham cityscape depicting urban development and safety initiatives.

News Summary

Birmingham’s proposed budget for the 2025-2026 fiscal year, totaling $591 million, emphasizes police funding, public safety, and neighborhood revitalization. Mayor Randall Woodfin presented this budget to the City Council, marking a significant increase from the current fiscal year’s budget. Key allocations include over $128 million for police funding and $21.8 million for neighborhood initiatives. Public feedback will be encouraged during a hearing on June 4, ensuring community voices are heard in the budgeting process.

Birmingham is moving forward with a proposed budget of $591 million for the 2025-2026 fiscal year, as presented by Mayor Randall Woodfin to the City Council. This represents an increase from the current fiscal year’s budget of $582 million and underscores the city’s focus on police funding, public safety, and neighborhood revitalization.

The proposed budget allocates over $128 million for police funding, significantly up from the $109 million set aside for the current fiscal year. This surge in funding aims to bolster police recruitment and retention efforts, especially in light of a record number of homicides reported in 2024. Additionally, the budget plans to establish a new police ‘czar’ or public safety commissioner, which comes as a result of recommendations made in a recent Crime Commission report.

The new fiscal year for the city begins on July 1, with the current fiscal year concluding on June 30. Among the budgetary details, $141 million will come from federal funds acquired through the American Rescue Plan Act, which must be allocated by next year. Notably, the budget does not predict revenues related to the new Coca-Cola Amphitheater, anticipated to open in June for lodging and sales taxes.

Another critical component of the budget is the neighborhood revitalization initiative, which has been allocated $21.8 million—a $750,000 increase from the previous year’s funding. This earmarked amount includes:

  • $15 million for street paving
  • $3 million for weed abatement
  • $2 million for demolishing blight
  • $1 million dedicated to sidewalks
  • $500,000 for traffic calming projects
  • $300,000 for recycling initiatives

In addressing youth programs, nearly $10 million will be invested in local initiatives aimed at engaging Birmingham’s youth. Key allocations include:

  • $500,000 for park and recreation youth sports
  • $2 million assigned to Birmingham Promise, which benefits City School students
  • $1 million for financial literacy programs in schools
  • $1 million dedicated to conflict resolution programs for students

Furthermore, the budget includes a $1 million increase for the management of the police vehicle fleet as part of a broader $6 million investment in rolling stock. Community violence intervention programs are also set to receive $1.5 million in funding, reinforcing the city’s commitment to addressing public safety concerns.

During the budget preparation process, Mayor Woodfin commented on the city’s conservative approach in projecting revenues for the upcoming fiscal year. Factors taken into consideration include tariff objectives and the potential risks associated with a recession. Public input on the proposed budget will be encouraged at a public hearing scheduled for June 4 at 5:30 pm at City Hall, providing an opportunity for community members to voice their opinions and concerns.

The full budget document is available for review on the city’s official website, ensuring transparency and accessibility for the residents of Birmingham as they analyze the proposed allocations and priorities for the upcoming fiscal year.

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STAFF HERE BIRMINGHAM WRITER
Author: STAFF HERE BIRMINGHAM WRITER

The BIRMINGHAM STAFF WRITER represents the experienced team at HEREBirmingham.com, your go-to source for actionable local news and information in Birmingham, Jefferson County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Sidewalk Film Festival, Sloss Music & Arts Festival, Magic City Classic, and civil rights commemorations. Our coverage extends to key organizations like the Birmingham Business Alliance and the Birmingham Civil Rights Institute, plus leading businesses in healthcare, finance, and manufacturing that power the local economy such as UAB Medicine, Regions Bank, and Encompass Health. As part of the broader HERE network, including HEREHuntsville.com, we provide comprehensive, credible insights into Alabama's dynamic landscape.

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