Greater Birmingham/ Politics & Govt

Vestavia Hills Council Passes Record $146M Budget, Plans to Borrow $46M for a Variety of Projects

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Published on November 02, 2026
Vestavia Hills Council Passes Record $146M Budget, Plans to Borrow $46M for a Variety of Projects4851 Sicard Hollow Rd. — Approximate Site of Planned Maintenance Facility
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Vestavia Hills City Council has approved a record $146 million budget for fiscal 2027, an 18.5% jump from the 2026 spending plan, with tens of millions earmarked for a new police training center, artificial turf fields and a dozen new firefighters. The budget period begins Oct. 1.

The general fund, which covers day-to-day city operations, calls for $83.5 million in spending — a 3.2% increase from fiscal 2026, according to Vestavia Voice. City Manager Jeff Downes told the outlet that $34 million of the overall spending increase reflects one-time capital projects rather than recurring costs, and he framed the city's approach as a balancing act. Downes said city finances require weighing responsible taxpayer stewardship against the risk of accumulating excessive reserves, while also noting the city has built reserves to handle economic challenges and accomplish council priorities.

Borrowing Plans Diverge Between Reports

To pay for the wave of construction, city officials plan to borrow money for a variety of projects, though local reporting differs on the exact figure. Vestavia Voice reported the city plans to borrow $46 million, while ABC 33/40 reported the budget anticipates $46.4 million in debt proceeds, including roughly $40.4 million for the Capital Projects Fund and $6 million for the Infrastructure and Community Spaces Fund.

Much of that borrowed money is headed to Liberty Park. The budget includes a $14.7 million police operations and training center there, along with a $5.3 million renovation and expansion of the Liberty Park fire station. The city also plans to spend $9 million replacing natural turf with artificial turf at Liberty Park's baseball and softball fields and $1.17 million to realign the entrance to the park's baseball, softball and soccer complexes, per the same Vestavia Voice report.

New Facilities, Staff and a Veterans Memorial

Beyond Liberty Park, the budget sets aside $1.75 million for a public works and park and recreation maintenance facility beside the Sicard Hollow Athletic Complex. It also puts $6 million toward $18 million in planned fine arts and athletic facilities at Vestavia Hills High School, and funds completion of the veterans memorial at Altadena Valley Park.

On staffing, the budget provides a full year of funding for 12 new firefighters and calls for hiring an additional maintenance technician and an after-hours or weekend information technology technician. City employees are also set to receive a 2% cost-of-living increase, estimated to cost about $600,000, plus 5% merit raises for eligible employees.

Streets, Stormwater and Grocery-Store Turnover

Infrastructure work in the budget includes resurfacing at least nine miles of streets, according to ABC 33/40, along with stormwater drainage improvements and a new stormwater pipe-lining initiative paired with a specialized vehicle and crew to clear public pipes.

The city's revenue picture reflects years of growth. Sales tax revenue climbed 45%, from $21.8 million in fiscal 2020 to $31.6 million in fiscal 2025. Downes said general fund reserves grew 78% over that same stretch. For fiscal 2027, officials are forecasting a 2% increase in sales tax revenue to $33 million, a 6% increase in property tax revenue to $26.4 million, and a 16% jump in business-license revenue to $7.8 million.

Vestavia Hills follows conservative financial policies intended to preserve reserves for potential economic downturns. Hoover's budget set aside funding for its first updated Comprehensive Plan since 2019 and a space study of city facilities, according to the City of Hoover. Vestavia Hills, meanwhile, publishes its full budget details online at vhal.org under the government tab, where an ordinance listing shows Ordinance No. 3354 formally adopted the general fund, special revenue, capital project, infrastructure and community spaces, and debt service fund budgets, according to Vestavia Hills, Alabama.