Politics & Government

City Of Birmingham Announces Plans For $35 Million Installment Of Recovery Funds

Monies will fund public safety, community and economic development, transportation, and city employees.

(City of Birmingham)

December 9, 2021

Birmingham, AL – Mayor Randall L. Woodfin lauded the Birmingham City Council’s unanimous approval of his $35 million spending plan for the first round of the city’s American Rescue Plan funds. Monies will fund public safety, community and economic development, transportation, and city employees.

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“This is an important step in our recovery from the global pandemic,” Mayor Woodfin said. “Together, with the council, our city and its residents are being positioned to thrive.”

Earlier this year, Birmingham was allocated $141.3 million in Local Coronavirus Fiscal Recovery Funds from the U.S. Department of Treasury. The first installment, $70,636,089, was received in May 2021. About $17.5 million of that was used to support city employees’ continued service during the COVID-19 pandemic and $18 million filled the budget gap for the Birmingham Xpress bus rapid transit project due to the rise in construction costs.

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Here is the breakdown of the remaining $35 million funding allocation:

  • Critical workers: $650,000-$900,000
  • 2020 calendar year vacation buyout for fire, police, and public works employees
  • Community-based public safety: $3 million
  • Hospital-linked violence intervention program
  • Community-based conflict resolution
  • Community & economic development: $17 million
  • COVID response for existing small businesses
  • Microloans for new small business starts
  • Site acquisition and remediation
  • Attracting conferences and conventions
  • Reimagining shuttered schools
  • Affordable home ownership
  • Homelessness support
  • District-specific and city-wide councilor projects

  • Transportation: $7.5 million
  • Expansion of Birmingham On Demand public mobility program supported by Via
  • Birmingham Jefferson County Transit Authority
  • City of Birmingham operational and facilities funding support for World Games: $5 million
  • Security upgrades and critical repairs to facilities operational equipment
  • Capacity: $1.3 million
  • Competitive grants
  • Equity, impact, and community engagement
  • Accounting compliance
  • Capital projects management

The city will receive the second half of the rescue funds, another $70 million, in May 2022.


This press release was produced by the City of Birmingham. The views expressed are the author's own.