The council adopted Hoover's 2027 budget. Here is what changed on the way.
Hoover's City Council unanimously approved the 2027 budget on September 28. It moved $275,000 from a stormwater study to drainage work and traffic signals, and the council also adopted the novelty fireworks ordinance and rescinded the 2002 burglar alarm ordinance.
Last Monday we previewed what was on the council’s agenda (our September 28 post). This is what happened. Most of it is now confirmed. One item we were watching most closely for Riverchase is not, and we explain why below.
The budget passed, unanimously
“The Hoover City Council unanimously approved Mayor Nick Derzis’ fiscal year 2027 budget Monday night,” the city wrote in its meeting summary (City of Hoover, City Council Wrap Up 9.29.26). The budget took effect October 1.
The figures, as the city and the local paper report them:
- $183 million in projected general fund revenue, which the city describes as “an increase of just 0.4%” over the previous year’s original budget (City of Hoover, 9.29.26)
- “A budget of more than $206 million” overall, with $10,415,000 for capital projects, of which $3,875,000 goes to fleet and equipment (Shelby County Reporter, October 1, 2026)
- $500,000 added to reserves, leaving the general fund with “more than $74 million in fund balance at year end, roughly five months of operating costs” (City of Hoover, budget release)
The $178 million spending figure we reported from the proposal does not appear in the adoption coverage we read. Whether the adopted general fund spending total moved, we could not confirm. The $183 million number is revenue, not spending, so the two should not be compared directly.
What changed from the mayor’s proposal
The city lists the changes, and one of them is about water (City of Hoover, 9.29.26):
- The $275,000 originally proposed for a stormwater inventory and assessment was redirected: $200,000 for miscellaneous drainage projects and $75,000 for traffic signal timing, data collection and equipment upgrades
- $175,000 was added for a classification and compensation study and a possible employee benefits analysis, with no new positions or upgrades until it is done
- City funding for the Hoover Area Chamber of Commerce was reduced
The city did not say where the $200,000 in drainage work would go. We will not guess.
The 2 percent cost-of-living increase for city employees takes effect October 11, and employee health insurance rates stay where they are (City of Hoover, 9.29.26).
One line about our part of town
In the city’s budget release, the mayor said that “major developments such as Riverwalk Village and the Riverchase Galleria have not yet reached their potential as revenue drivers for our city” (City of Hoover, budget release). The release does not go further than that, and neither will we.
The same release lists $150,000 for an updated Comprehensive Plan, the city’s first since 2019 (City of Hoover, budget release). That plan is the document the zoning board leans on when it decides what belongs on a piece of land, which makes it worth following.
The Riverchase Village drainage money: not confirmed
Last week’s agenda included a 2026 budget amendment that, according to the preview, would move $417,000 left over from the Riverchase Village drainage project to Lester Lane, Chester Street and Glenwood Road. None of the outcome coverage we read mentions that amendment, and the minutes have not been posted. So we do not know yet whether it passed as described. We will report it when there is a record.
Related, and confirmed in reporting: the city “added $725,000 to its FY26 budget for additional garbage service costs” (ABC 33/40, September 30, 2026). The station does not tie that to a specific vote.
Garbage, explained
Hoover residents do not pay a separate garbage fee. The whole cost comes from the general fund. The city expects to spend $11.2 million on residential garbage service in fiscal 2027, about $12 million on all garbage services, and roughly $1.83 million more than it originally budgeted for 2026. That includes about $475,000 for an inflation adjustment and $1.2 million budgeted for a fuel surcharge, which the city says could come in lower if fuel prices fall (ABC 33/40, September 30, 2026).
The city calculates the general fund subsidy beyond residential property tax revenue at about $63 per home on average. That is the city’s calculation, not a charge to homeowners. Hoover says it is not considering changing how residents pay for garbage in fiscal 2027, and its contract runs through 2031 (ABC 33/40, September 30, 2026).
The ordinances
All three of these were adopted, according to the Shelby County Reporter (October 1, 2026):
- Novelty fireworks. The sale of “certain lower-level novelty items such as party poppers, snappers, toy smoke devices, snakes, glow worms and sparklers” is now allowed in city limits
- Burglar alarms. The 2002 ordinance covering alarm permits and false-alarm penalties was rescinded as outdated. The paper says a new one “could be considered in the future”
- Conditional uses. The process was shortened so a request can reach the council at the meeting right after the Planning Commission’s hearing. City Planner Mac Martin said that could save several weeks
That last change matters for the next post, about a Riverchase case that is back before the zoning board tonight (our October 5 post).
The council meets next on Monday, October 12, at 6 p.m. at City Hall (Shelby County Reporter, October 1, 2026). That agenda has not been posted yet.
Sources
- City of Hoover — City Council Wrap Up 9.29.26 (September 29, 2026)
- City of Hoover — Hoover Approves FY 2027 Budget (no date printed on page; first indexed September 28, 2026)
- Shelby County Reporter — Hoover amends zoning regulations at final September meeting (October 1, 2026)
- ABC 33/40 — Hoover expects to spend $11.2M on residential garbage service as costs rise (September 30, 2026)
- The Riverchase Realtor — Tonight’s council agenda (September 28, 2026)