City Council approves levy of property taxes extended by voters

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In October 2019, voters in the Magic City overwhelmingly approved the extension of the property taxes that support Birmingham City Schools.

At its regular meeting for Tuesday, May 26, the Birmingham City Council took a step to make sure that those taxes can be collected.

The council unanimously approved an ordinance to levy ad valorem taxes for the city tax year beginning October 1 and to grant a homestead exemption.

Calling the item a “formality,” Mayor Randall Woodfin told the Council that the only purpose of the ordinance “is to affirm that (Jefferson County) can actually collect these taxes and distribute them to the school system.”

“This is not a new tax,” Woodfin said.

The Council also unanimously approved an ordinance that will allow retired public safety employees who are rehired by the city to reinstate up to 50% of any unused sick leave that was forfeited at the time of their retirement.

Assistant Chief Allen Treadaway of the Birmingham Police Department has been working on this with the Alabama Legislature, said Councilor Hunter Williams, who is the chair of the Council’s Public Safety Committee

The ordinance is not retroactive but provides a benefit for future rehires, said an attorney from the city’s Law Department.

“This will only affect a very small number of people,” the attorney told the Council. “Most of them used their sick leave before they left.”

The following items were passed as part of the Council’s consent agenda:

  • A resolution authorizing the mayor to execute an agreement with the Cities for Financial (CFE) Empowerment Fund under which the city will receive an $80,000 grant to support municipal engagement and improve financial empowerment strategies. According to the CFE website, the nonprofit is based in New York and seeks to improve the financial stability of low- and middle-income households by assisting local governments, including mayors.
  • A resolution authorizing Woodfin to execute an agreement with Miller Development Group to provide COVID-19 consultation and services to support the work of the Birmingham City Council and of citizens. The fee is not to exceed $18,000. The company will provide these services beginning May 11 and conclude no later than June 30. 
  • A resolution allowing Woodfin to execute an addendum to an existing agreement between the city and River North Transit LLC. In December, the company began operating a new on-demand microtransit pilot program in selected neighborhoods for six months using a grant for $502,000 from the Community Foundation of Greater Birmingham and $250,000 from the city. The pilot is scheduled to expire on June 2, but the existing budget can fund operations for another 6-8 weeks past the end date, according to the text of the agenda item. The original contract permits the parties to extend it by less than one year by mutual agreement, provided the extension does not require the payment of additional money. The item was recommended by Woodfin, the city’s Director of Transportation and the Council’s Transportation Committee. The pilot project included UAB, downtown and several Western communities, including Smithfield, Graymont, Bush Hills and College Hills.