Reviewed by: Nathan Watson
Birmingham Water Works’ 2025 budget includes 5% rate increase + key initiatives
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Today, the Birmingham Water Works Board adopted its 2025 operations and capital budgets—resulting in a 4.9% customer rate increase.
The operations and maintenance budget for 2025 totals $142.5 million, a 7.9% increase over the current year’s budget of $132 million.
The capital budget for 2025 is $115.6 million, a 37.5% increase over 2024’s budget of $84.1 million.
2025 Birmingham Water Works priorities
Key capital and operational 2025 funding priorities and initiatives include:
- Automated metering infrastructure to reduce billing and service issues
- Pipeline replacement
- Increased water sampling and testing to comply with federal requirements
- $85 million to reinforce the Lake Purdy dam, a project that has been discussed for decades
“Nobody wants rate increases, and we were all committed to reducing the burden on our customers as much as we could.
We are proud that our 2025 increase remains below national averages while providing the revenue necessary to maintain and improve our system.”
Tereshia Huffman, Chair of the Birmingham Water Works Board
Public hearings on the 2025 budgets were held on November 4th by the Birmingham Water Works, which serves nearly 770,000 people in Jefferson, Shelby, Blount, St. Clair and Walker counties.
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