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Birmingham making plans on how to spend new gas tax revenue

Published: Aug. 19, 2019 at 10:55 PM CDT
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BIRMINGHAM, Ala. (WBRC) - The city of Birmingham is making plans to spend the tax dollars they're getting from you paying more money at the pump.

Starting in September, the state’s gas tax will increase by $0.06. The gas tax will increase by $0.02 in 2020 and another $0.02 in 2021.

The tax increase is part of Governor Kay Ivey’s “Rebuild Alabama” infrastructure initiative.

“It is well deserved if they use it the right way,” said Dana Dickey.

We asked Alabama’s largest city, Birmingham, how they planned to spend the money.

“A primary focus of our current fiscal year budget is dealing with city services like, neighborhood revitalization, which included $8 million in roads. That’s very much a focus for us,” city Communications Director Rick Journey said.

Journey said the city is expecting $1.5 million each year, but because Birmingham starts their new fiscal year in July and the state starts in October, Birmingham is expecting a pro-rated rate of a little more than $1 million in 2020.

Journey said other city services could also get a boost of funding.

“For the department of public works to Birmingham Police to Birmingham Fire and Rescue, all of those services provided by the city of Birmingham to our residence,” Journey said.

Journey said road work will begin in Birmingham in September.

Alabama’s current state gas tax is $.18 a gallon.

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