Alabama Legislators OK Big Change for Birmingham Water Works Board

A controversial plan to transform the Birmingham Water Works Board into a regional system is advancing through the Alabama legislature despite strong opposition from city officials.

The Proposed Changes

Senate Bill 330, sponsored by Sen. Dan Roberts (R-Mountain Brook) and co-sponsored by Republicans Sen. Jabo Waggoner and Sen. Shay Shelnutt, would:

• Shrink the nine-member board to five members
• Reduce Birmingham’s representation from six seats to just one
• Transform the water works board into a regional authority
• Grant new appointment powers to the president of the Jefferson County Commission and the Alabama Lt. Governor

The bill advanced out of the Senate County and Municipal Government Committee on a party-line vote of 6-3.

Arguments For Reform

Sponsors call the bill a necessary move to reform the utility after years of complaints about customer service, excessive spending, and representation issues.

As Sen. Dan Roberts told the committee: “Failure in the management of water systems will lead to unreasonable high rates that oppress residents and are barriers to economic development.”

Sen. Waggoner, who sponsored previous reform legislation in 2015, expressed frustration that improvements haven’t been maintained: “I’m receiving the same complaints today that I received 10 years ago. If I had received no complaints I would not be standing here today. They are calling again.”

Opposition from City Officials

Birmingham city leaders argue the proposed legislation will dilute local control and represents an unfair taking of a city asset.

Sen. Rodger Smitherman (D-Birmingham) used strong language to oppose the bill: “Today is a day in history where you will be able to reflect back where there was governmental taking of the assets of the citizens of Birmingham and Jefferson County. It’s a public lynching. You have to call it for what it is.”

Smitherman also noted the bill has racial implications, as Birmingham, with a 70% Black population, would cede control of the utility to people appointed from predominantly white communities outside the city.

Birmingham City Council President Darrell O’Quinn similarly described the bill as “fundamentally about control and represents a taking from the city of Birmingham. We want all the reforms to happen at the water works board and we think we are moving in that direction. But what’s being proposed is fundamentally opposed to the interests of the city of Birmingham.”

Water Works Defends Recent Progress

Water Works leaders testified about significant improvements already underway at the utility.

General Manager Mac Underwood, who returned to lead the utility in February, reported that monthly billing errors have been reduced from 10,000 to less than 500 per month. “We made a tremendous effort in improving the operation of the system,” Underwood stated.

He also noted that 41% of the customer base comes from Birmingham and 92% comes from Jefferson County, with other customers from Shelby, Blount, St. Clair, and Walker counties.

Board member Butch Burbage, who lives in Shelby County, also opposed the bill, stating: “We have the best board in there. We work together and we understand the problems. We put our confidence in the management group, they understand what we need and they are working toward that.”

What’s Next

The bill now moves closer to consideration by the full Senate. Sen. Waggoner, as chairman of the rules committee, will play a key role in determining when it reaches the Senate floor for a vote.

For Birmingham residents and other water system customers across Jefferson County and surrounding areas, this legislation could significantly impact the governance of their water utility. We’ll continue to follow this important issue as it develops.

For questions about how these potential changes might affect you as a utility customer, contact our team at Baxley Maniscalco.