BIRMINGHAM, Ala. — Alabama lawmakers are advancing legislation to restructure the Birmingham Water Works Board, aiming to address years of controversy and allegations of mismanagement that have plagued the utility serving nearly a quarter of the state’s population.
The push for reform follows a troubled history for the board, including a string of high-profile scandals. Three former board members—Joe W. Reid, Horace Parker, and Sherry Lewis—have been convicted of crimes related to their service. Lewis, a former board chair, was found guilty in 2019 on felony ethics charges for voting on matters in which she or a family member had a financial interest. The board has also faced federal indictments over false invoice schemes, with contractors accused of wire fraud and conspiracy to defraud the utility.
The board’s financial practices have drawn criticism, with water rates among the highest in the Southeast and the utility’s debt ballooning to nearly $1 billion despite annual rate increases since 2012. Environmental advocates have raised concerns about the board’s oversight, particularly after the sale of hundreds of acres of watershed land that some argue violated a 2001 conservation agreement with the state.
Efforts to reform the board’s governance have been ongoing. In 2016, state lawmakers passed legislation to increase oversight, but disputes over control and accountability have persisted. The latest bill, Senate Bill 330, seeks to reduce Birmingham’s control of the board and require appointees to have relevant qualifications, a move supporters say is needed to end a “legacy of inefficiency, waste, and scandal” and ensure fair representation for all communities served by the utility.
The Birmingham Water Works Board remains independent of city government and is regulated primarily by the Alabama Attorney General’s office, not the state’s Public Service Commission. As the debate over its future continues, the board’s troubled past and the current legislative push have put the spotlight back on one of Alabama’s most vital public utilities.