City of Birmingham Proposes $24.5M Federal Investment in Economic Opportunity, Workforce Development Grant Program

BIRMINGHAM, Ala. – The City of Birmingham is moving forward with its proposal for a substantial federal investment grant that could herald a remarkable change in employment training, childcare services, entrepreneurship opportunities, and more. The plan, named “Reinvest Birmingham,” is worth $24.5 million and could impact significantly numerous residents from North Birmingham, Northside, Smithfield, and Pratt.

Competing for the Federal Grant

Birmingham is one of 22 finalists selected to compete for Phase 2 Implementation Grant funding by the U.S. Department of Commerce’s Economic Development Administration (EDA) under its Distressed Area Recompete Pilot Program. Recognized for being highly competitive, this program promotes investments in economically distressed communities through the creation and connection of people with quality jobs.

Birmingham’s Intent and Determination

Birmingham’s Mayor, Randall L. Woodfin, showcased his excitement for the opportunity, stating, “This would not only give us a mechanism to support our home-grown talent but provide an opportunity to fill critical gaps within our workforce by taking a people-centered approach to economic development and growth.”

Key Component Projects

The proposal submitted by the city seeks federal funding for five strategic initiatives:

1. Development of a workforce training center centrally located in the community.
2. Expansion of micro-transit options to provide community members with affordable transportation to access training, employment, and essential services.
3. Establishment of a Childcare Center of Excellence offering full-day early learning programs for children and families, as well as increased support for childcare providers.
4. Creation of a Black Business Entrepreneurship Center serving as a launching pad and support system for local Black-owned businesses.
5. Development of a governance model to ensure long-term sustainability for the Reinvest Birmingham program.

The Potential Impact

If approved, the “Reinvest Birmingham” program could bring about substantial changes in the community. Around 2,500 residents are expected to complete various training programs, with 158 children provided with high-quality early learning programming. Moreover, the expanded micro-transit services envisaged could benefit over 25,000 residents, while also positively impacting local Black businesses by increasing revenue, contract sizes, and employment growth opportunities.

Looking to the Future

The EDA’s decision is projected to be announced later this summer, with four to eight awards envisaged between $20-50 million. If successful, the initiative could dramatically enhance Birmingham’s economic and social landscape, providing residents with new opportunities, skills, and growth.