The 26 year-old left back signed a one-year deal at the club's training ground this Monday to further swell Phil Parkinson's ranks for the new campaign.
Meredith had entered this month technically as a free agent after his previous City contract had expired but the Australian has now committed his future to the Bantams by agreeing a new deal.
Parkinson said: "I'm delighted that Mezzer (James Meredith) has signed again with the club.
"It was no secret that we wanted another left back in the squad for next season following the signing of Alan Sheehan earlier in the summer.
"After sitting down with James recently following his return from Australia, I have no doubt that he was the best option out there for us."
Meredith made 29 appearances for City last season - a figure which surely would have been a lot higher for the defender had he not suffered a broken foot back in January.
The injury forced Meredith to miss over three months of the season but he did return in time to feature as a substitute in two of City's final three matches of their League 1 campaign.
Fresh from penning his new deal, Meredith will now go into competition with summer signing Sheehan for City's main left back berth.