Secret plans allegedly underway to move Birmingham water utility out of city: ‘A slap in the face’

The regional utility formerly known as the Birmingham Water Works Board has undergone a massive identity shift over the past year, rebranding as Central Alabama Water and installing a new leadership team. Now, according to Jefferson County Commissioner and board member Sheila Tyson, the utility is preparing for its most controversial move yet: relocating its corporate headquarters from Birmingham to the suburbs of Shelby County.

A Growing Divide

For Tyson, the alleged secret plan is more than just a logistical change—it is a direct insult to the utility’s primary customer base. While the agency serves five counties, 92 percent of its customers reside in Jefferson County, with 44 percent living directly within Birmingham city limits.

"It’s a slap in the face. It tells us that you don’t care about us," Tyson told 205focus.com. "Why are you insulting the people who pay most of your salaries?"

Tyson, alongside fellow Birmingham board member Jarvis Patton, has frequently voiced concerns that they are being frozen out of key decision-making processes. When confronted by Tyson regarding the potential relocation, she claims CEO Jeffrey Thompson refused to engage, walking away from the conversation. 205focus.com reached out to Central Alabama Water regarding the alleged move, but received no response.

Pattern of Opaque Leadership

The uncertainty surrounding the headquarters reflects a broader trend of limited transparency within the utility. In November 2025, the board moved to hire Thompson without public discussion, interviews, or committee meetings. Since then, the board has authorized shifts in policy that bypass standard oversight.

The board ultimately nullified objections from Patton when they retroactively granted Thompson expanded powers, including authority over policy-making. This follows months of internal strife, during which Patton slammed the CEO's implementation of mass firings, random drug testing, and the dissolution of the agency’s employee association.

Mounting Pressure

While management maintains these measures are necessary to cut costs and avoid rate hikes, critics argue the utility is systematically distancing itself from the community it serves. Tyson points to the closure of the in-person customer service center as a major burden, forcing residents to pay fees at third-party retailers just to settle their bills.

Legal challenges from former employees and residents are piling up. Laid-off staff members have alleged a culture of mistreatment under the current regime, and a former employee has filed a federal complaint with the Equal Employment Opportunity Commission alleging racial, gender, and sexual harassment.