$146 million budget planned for new fiscal year

By Grace Lovins

Following a budget hearing on Saturday, April 25, the city of Birmingham is looking at a $146.6 million budget for the 2026-2027 fiscal year, a 3.1 percent increase from the 2025-2026 fiscal year budget.

As part of the city’s annual budgeting process, city staff and commissioners review the city’s five-year operating forecast, which shows an anticipated steady growth from the 2025-2026 fiscal year budget to the 2029-2030 fiscal year budget.

The meeting agenda packet presentation shows that the budgeted general fund revenue is expected to be roughly $55.4 million. The graph included in the meeting agenda packet shows the 2029-2030 projected general fund balance reaching roughly $60 million. Taxes show the greatest contribution to general fund revenues with charges for services coming in at second greatest.

City manager Jana Ecker noted at the start of the hearing that the city has budgeted $44 million of the total budget in capital improvements. Over $19 million of the capital improvements budget is intended for streets, sewer and water, she said.

Per the meeting packet, roughly $16.6 million is budgeted for road reconstruction, with funds also being set aside for cape seal resurfacing, asphalt resurfacing and concrete repairs. Projects for the 2026-2027 fiscal year include E. Lincoln, W. Merrill, N. Old Woodward and Abbey Street.

The upcoming fiscal year budget also includes upgrades to the city’s police department, which the commission had recently reviewed during a regular meeting, along with improvements to St. James Park, Kenning Park, as well as new bus shelters.

In terms of the city’s financial health, they project a $128.7 million revenue with taxes and service charges comprising the largest revenue sources.

No formal action was taken by the commission, but the budget will be brought back before commissioners again for final adoption, typically in May.