BJCC Expansion

Letter from the Mayor

Dear friends,

Thank you for your interest in recent efforts to expand the BJCC, renovate Legacy Arena and build a new multi-purpose stadium.  As you know these conversations have been going on for decades and it is exciting to see the project move forward.

From a city perspective this effort is about maximizing our ability to use tourism for economic development, job creation and increased tax revenue that can go to neighborhood revitalization. In fact, revenue generated from this effort will support a fund for the first time in Birmingham dedicated solely to helping revitalize our neighborhoods.

I support this plan because professional studies show what this will mean to Birmingham in the future in terms of jobs and new tax revenues.  It is also possible because this is a truly public-private partnership between the BJCC, Birmingham, Jefferson County, UAB and the corporate community.  Birmingham will only pay about 15% of the total cost while our partners are paying the remainder.

Now that the funding partners have agreed to move forward, plans will be finalized and contractors will be engaged to begin the building process.  We will also make sure that minority businesses are involved in providing construction, services, or other needs required in the project.  We are all hopeful that construction can be completed for all or part of the 2020 football season as well as the World Games in 2021 when the world will come to Birmingham.

We have worked hard to make this an open and transparent process and make sure that all area residents are informed about the benefits and details of this project.  Community meetings will be held throughout this process to make sure that citizens and local businesses are informed.  Please continue to stay involved in the process.  We believe this effort is a very positive step forward for Birmingham and will create jobs, economic activity, new tax revenue to support our efforts to revitalize our 99 neighborhoods.

Again, thank you for your interest and I hope this information is helpful.

Sincerely,

Mayor Randall Woodfin

Summary

The City of Birmingham is part of a public-private partnership to expand the BJCC, renovate Legacy Arena and construct an open-air stadium as part of an economic development strategy to increase Birmingham’s tourism industry and become more competitive regionally.

The agreement, approved by the Birmingham City Council on a 6-3 vote in March commits $3 million a year for 30 years. It’s estimated that once the BJCC improvements and stadium have been completed, nearly $10 million in additional revenue will be generated per year for the city. The additional revenue will be part of a historic, first of its kind neighborhood revitalization fund supported by the council on an 8-0 vote.

The city joins the BJCC, Jefferson County, state legislators, UAB and the corporate community in the financial commitment for the new facility.

The BJCC expansion is critical to boosting Birmingham’s tourism through increased sporting and entertainment events in order to become more competitive in the region.

The vote on the new stadium does not impact historic Legion Field. 

“This is not an ‘either, or’ decision. This is an ‘and,” Mayor Randall L. Woodfin said. “We can invest in the BJCC expansion and support city-owned properties like Legion Field, too.”

Check this web page for updates on this exciting project for the people of Birmingham.

Documents

Resolution of Intent

A Resolution of Intent to make efforts to financially support the construction of a new multi-purpose facility on property owned and operated by the Birmingham-Jefferson Convention Complex, following the satisfaction of certain conditions.  (Submitted by Mayor Woodfin) (Recommended by the Committee of the Whole, Council President Abbott, Chairperson)

Resolution Establishing Neighborhood Revitalization Fund

A Resolution authorizing the Mayor to execute a Funding Agreement and a Project Cooperation Agreement with the Birmingham-Jefferson Civic Center Authority (“BJCC”), under which the BJCC will undertake a major expansion of its facilities through (i) the renovation of Legacy Arena and existing convention and meeting space, and (ii) construction of an open-air stadium and the City will financially support these efforts in the amount of $3,000,000.00 a year for a period of 30 years by pledging occupational taxes for this purpose. (Submitted by the City Attorney) (Recommended by the Mayor)

Resolution to Execute Funding Agreement

A Resolution dedicating all revenue growth to the City from the expansion of the Legacy Arena and the construction of the BJCC’s new stadium to a neighborhood revitalization fund based upon the annual estimation by the Chief Financial Officer of the City of the revenue growth related to the expansion of the BJCC. (Submitted and Recommended by the Mayor)

Funding Agreement between City of Birmingham and BJCC Authority

This funding agreement dated July 17, 2018 is entered into by the City of Birmingham and Birmingham Jefferson Civic Center Authority.

 

Project Cooperation Agreement between City of Birmingham and BJCC Authority

This Project Cooperation Agreement dated July 17, 2018 is entered into by the City of Birmingham and Birmingham Jefferson Civic Center Authority.

 

Frequently Asked Questions about the BJCC Expansion Project

Why does the BJCC need to renovate Legacy Arena and build a multi-use stadium?

Compared to other major cities in the region, Birmingham has not kept pace with building modern facilities that can help us compete. The city needs a modern multi-purpose facility. The BJCC has served our community for over 40 years, but is now in need of investment in its current facilities and Legacy Arena to increase the number of events, tournaments and entertainment options. Tourism is an important part of economic development and job creation in the city.

How much is Birmingham paying for BJCC expansion?

Birmingham has agreed to invest $3 million annually for 30 years which is only about 15 percent of the cost of the project.

Is Birmingham the only entity funding the BJCC expansion?

No. Along with the City of Birmingham, the BJCC Authority, Jefferson County, UAB, the Alabama Legislature and other corporate partners are contributing to funding.

What proactive provisions have been made to include diverse firms in every role and aspect of this project?

The BJCC is committed to maximize involvement of minority- and women-owned businesses.  One meeting has already been held with this important group of business owners about future opportunities, and other meetings and information sessions will be held in the months to come.

When is construction scheduled to begin?

The BJCC is preparing to break ground by the end of the year.  This project will be handled in phases.  The first phase will be to begin renovating Legacy Arena.  Other aspects will begin in the coming months with completion of the Stadium anticipated for 2021 and the Arena in 2022.

What is the projected economic impact of this project?

During the construction phase, this project will generate hundreds of millions of dollars and create thousands of jobs that will benefit the local area.  Once this project is complete along with new hotels, retail, entertainment and other venues expected to follow, about $9.9 million in new tax money will be generated that will be dedicated to a new neighborhood revitalization fund.  Also, when this project is complete, it is projected that 1.2 million people will visit, meet, stay or attend activities in and around the BJCC annually.