OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Chattanooga City Council Meeting – September 16, 2025

City Council & City BoardsTuesday, September 16, 2025
BodyChattanooga, Tennessee
SessionCity Council & City Boards
DateTuesday, September 16, 2025
StatusFILED
Video Record

STREAMING COPY IN PREPARATION — RECORDING AVAILABLE FROM THE ORIGINAL SOURCE

Transcript — Verbatim
5:32

To order the city council meeting for Chattanooga, Tennessee for Tuesday, September 16th, 2025.

5:40

I'd like to invite Councilwoman Burrs to lead us in the Pledge of Allegiance and the invocation.

6:06

Okay, thank you.

6:08

We are going to start our meeting with a public hearing related to the budget ordinance changes.

6:14

And so we're going to place the musical chairs.

6:16

Councilwoman Doctor.

6:28

All right.

6:29

Good afternoon, everybody.

6:31

Hello?

6:32

Are y'all out there?

6:33

People here?

6:34

Y'all better get up.

6:35

We hear it.

6:36

You get better get up too.

6:37

All right.

6:38

So this will be our public hearing for a budget ordinance regarding community development.

6:45

This mantling DEI department's act.

6:49

So with that, I call this public hearing supporter.

6:52

Um we'll give two minutes to speak with a maximum of an hour, and we can assess the hour at the end of that.

6:59

And Mr.

6:59

Tarney, could you read our rules please?

7:02

Yes, ma'am.

7:03

As soon as I get it on the screen.

7:07

I didn't do that quickly enough.

7:09

Yes, and if you plan to speak, please go ahead and line up behind this podium.

7:19

All right, hold on.

7:21

Okay.

7:29

All right.

7:34

And today's meeting or a public hearing uh the chair has recognized that this will have a different set of time than uh normal, but you have two minutes to speak for each one.

7:47

And so each speaker wishing to address the council can only be recognized up front at the microphone provided for that purpose, can't have more than two minutes to speak and address the council only upon matters that are within uh the legislative and quasi judicial authority and not on matters which are not under their authority or regulated by other governmental bodies or agencies if you can keep to the items that are before the council on this particular item here today since this is the public hearing on an ordinance change.

8:14

Uh do not engage in any vulgar obscene language and are used to Florida personally attack or personally attacked denigrate others and address your comments to the council as a whole and not towards individual council members and do not engage in disorderly conduct or disrupting a public meeting, which is prohibited by Tennessee law.

8:29

Someone commits that offense if the person obstructs, substantially obstructs or interferes with the meeting by physical action or verbal utterance with the intent to prevent or disrupt a lawful meeting or gathering.

8:40

Having stated those rules, please go ahead if anyone wishes to speak.

8:44

All right, going once, twice, three times.

8:48

Thank you so much for these public hearings of today.

8:51

We appreciate you so much.

8:53

So with that, city attorney, I think anyone willing to speak.

8:58

So I close this public hearing of budget ordinance, re-community development dismantling the EI department's eggs.

9:04

That is it.

9:05

Turn it over back to Madame Chick.

9:17

All right, Council.

9:18

Can I please get a motion on the minutes?

9:20

Oh move.

9:21

Thank you.

9:22

Motion to approve the minutes will stand without objection.

9:28

All right, council.

9:29

Let's take a look at our agenda for today, please.

9:34

We have items under final reading, several planning items.

9:38

My intent is to take those as a group.

9:40

If you have a uh reason why we shouldn't do that, please hit your light.

9:46

All right, moving on to ordinances under first reading.

9:49

We do have the two changes to the budget.

9:53

We will take those individually and we will do a roll call vote on those.

10:03

Councilman Henderson.

10:05

Thank you, Madam Chair.

10:06

Uh I don't know who's gonna feel this question.

10:09

I had a question about um when we did away with uh the department of DEI.

10:16

Um like the administrators position.

10:21

Where did that money?

10:23

What did we do with that money since we were eliminating an administrator?

10:30

Where's is it chief here?

10:39

I will come forward.

10:40

Are you talking about uh equity?

10:41

Yeah, department equity.

10:43

So the chief equity officer is what you're referring to.

10:47

Well, uh so we had a department administrator.

10:51

Tony Sammons was in that position.

10:53

Yes, he was the chief equity officer.

10:55

So during our budget hearings, we had actually brought up or even talked about merging those or consolidating those at that time because we felt like we could uh create some efficiencies and save that money.

11:09

This looks like it's a wash, it's it's it's budget neutral.

11:13

Where did since we no longer have that position?

11:17

Where did that money go?

11:19

I'll have to follow up and get that information for uh for you.

11:22

We are not filling that position, so that should be a vacancy that is a vacancy savings, but I'll have to follow up with Kevin and find out because I haven't seen that work, but it's not showing up in our eliminating that department and moving them, moving the money to the community development or what wherever the yeah, I will I I will follow up with you and get that information as to where the position went because like I said, it's not going obviously, it's not going to community development, they're merging with the department, and that department is remaining vacant, or that I'm sorry, that position is remaining vacant.

11:53

So uh constituent services shows an increase.

11:56

Was that from neighborhood services, or what was what was the increase for uh so constituent services added neighborhood services underneath of it where they did not have that before they had 311 only and neighborhood services was moved underneath of uh OCS.

12:11

So is that the only difference in the addition to community uh constituent services that should increase that should be the only difference to the constituent services?

12:21

I will verify that and send you that information after this meeting.

12:25

Okay, the second thing uh something that and there must have been a difference from our budget worksheets to the um reallocation of dollars, but there was about it seemed like around 145,000 difference between um what's showing up as being deleted currently is is about 1.92, but what's in our budget worksheet for uh the department of uh equity and and community um is about two million sixty-seven thousand.

13:06

So was there what was there some kind of shift between our budget worksheets and what we actually wound up with on our budget amendment?

13:16

That I do not know, so I will get the information as soon as we get out of this meeting.

13:20

And here comes Weston.

13:21

Oh and here comes here comes the lesson.

13:23

So so the budget book, there sometimes there's some changes, some final allocations that are done after the books are printed, and it's included it was included in the original ordinance that was passed in June.

13:33

But those books, there's changes that are made, and we don't reprint the books every time there's changes made.

13:38

So there may be some slight changes within the book.

13:41

I think that you have the pages from in the budget that was passed in June, but we can we can run down the differences if you don't mind.

13:47

I'd just like to know where the difference is uh between what was printed and then what was actually uh I guess passed uh we'll get it free.

13:56

Okay, definitely.

13:58

Thank you, madam chair.

14:00

Councilman Burst.

14:02

My I thought we were getting ready to move on to the resolution, so I'll yield in case anybody else has any comments.

14:09

Okay, councilman Elliott.

14:11

Uh two questions.

14:13

One um councilman Henderson, are you referring to the cost centers?

14:17

Was your questions or you uh referring to the top line items?

14:22

Well I was referring to our budget or the uh well to some of the line items.

14:31

Okay.

14:32

Basically, the bottom line are you which like which question reason the numbers don't think I have to yeah, because I think for even our budget book, and I think this is my perspective.

14:45

I I had to learn that you know, even when we this budget book is interesting in many regards.

15:00

And as far as I can know, all the money in each department after we vote on it, is it's free game for them to move it around as well, because we're not moving.

15:11

Um we're not really voting on it.

15:14

I was referring to the top line budget.

15:15

Oh, the top line, okay.

15:17

Okay, then that's fine.

15:19

Then that's my thing.

15:20

Because I know for me, I was confused coming in because I thought the line items that were in the budget in the call centers as something that was concrete, but it's not.

15:31

And I know it can be some confusion, probably to some of my other colleagues too who may not know that.

15:36

Uh the clarify the piece.

15:38

So the ordinance actually just goes top line.

15:41

Yeah, yeah.

15:42

It's what we actually thought about.

15:43

Yeah, okay.

15:44

Then I'm on the same page as what you're talking about.

15:46

And one last question.

15:48

Um, I don't know if this is a question for you, Mandy, or somebody else.

15:51

As we're digging into this amendment, um we have assurances that no one's gonna be losing their job, correct?

16:00

With this shift, you're asking specific to the amendment that we just passed.

16:09

Yes, like as we're rearranging moving past the department committee.

16:13

We're voting on on the consolidation.

16:16

Yeah, the consolidation as we're moving.

16:18

No one is losing their job.

16:19

Nobody's losing their job.

16:20

Just not filling the chief equity office.

16:21

Okay, perfect.

16:21

I just make sure.

16:22

Make sure everybody has a peace of mind that everybody's jobs to secure.

16:26

Everybody's job is secure.

16:26

That's all, madam chair.

16:28

Okay, Vice Chairwoman Noel.

16:30

Uh, former councilman Lanford, I see you stood up.

16:32

Is that something you think we need to hear?

16:34

No, lending support.

16:36

Oh, okay.

16:37

All right, make sure your questions are are recorded and we get your answers accordingly.

16:42

Okay, thank you.

16:43

Okay, thank you.

16:44

Okay, council.

16:45

Do we have any other questions about the items under mayor's office ordinances under first reading?

16:51

If so, please hit your light.

16:54

All right, seeing none, councilman Burris, would you like to hit your light and we'll move into resolutions?

16:58

Thank you.

17:00

Thank you, madam chair.

17:02

I just uh wanted to say that I'm I'm gonna make a motion uh to approve the resolution regarding the modification of permit fees relative to the August 12th flood damage.

17:15

Um, and going with alternate version four, which I think you all have a copy of.

17:20

We we talked about it last week where um we made a few tweaks to remove some language that was no longer applicable, and I think it's ready to go.

17:30

That's the red one.

17:31

Yes, okay, excellent.

17:34

Thank you, councilwoman.

17:36

Anything else about that?

17:36

No, that's all.

17:37

Thank you.

17:37

Okay, council.

17:39

Do we have any other questions about other resolutions on today's agenda?

17:45

All right, seeing no lights, let's take a look at the purchases, please, for this evening.

17:51

Any questions about purchases?

17:53

Please go ahead and hit your light.

17:59

All right, seeing none, let's go back to our two-week agenda, please.

18:05

Our two-week agenda, we have two items under first reading with planning.

18:10

These uh actually, it's only one, excuse me.

18:12

There's just an applicant version.

18:13

That is uh the item in District 4 that we delayed a couple weeks.

18:18

Um, we have some resolutions.

18:21

If you have any questions, please hit your light.

18:25

Uh the wastewater item item G.

18:29

Mark, would you like to speak to that?

18:38

Yeah, thank you, madam chair.

18:40

Um, we intend to withdraw that resolution uh for next week's agenda.

18:44

I think a bid came in over our budget, and at this point in time, we're gonna try to look and see what we can do outside of uh awarding that entire contract.

18:54

We're gonna see what we can do to get that scope of work to where we can manage that project.

18:58

Okay, thank you.

18:59

Council, do we have any questions about that?

19:01

It'll require a motion to right, and that will be next week.

19:04

Yeah, yeah.

19:06

Thank you.

19:07

All right, looks like we're good for next week.

19:09

Let's take a look at future considerations, please, council.

19:19

Councilwoman Dotley.

19:21

Yes, thank you so much, madam chair.

19:22

I did have a question about that first item on the economic development.

19:26

Very excited to see uh uh some things happening out at Northgate Mall.

19:31

Uh, and was just curious if we were gonna get a presentation regarding this uh TIFF.

19:37

Councilman Elliott, would you like to answer that?

19:39

Yes, go ahead, Yoda.

19:42

Oh, I'm sorry, yeah, I got my colors wrong.

19:44

There you go.

19:45

Um thank you, madam chair, and madam um councilwoman Dyler, we will be getting a presentation on this TIFF as well as in a TIFF amendment on September 30th at an economic development committee here.

20:00

Just me.

20:03

Okay.

20:04

Council, we had some other lights live.

20:06

If you want to go ahead and hit them, I can come back to you about other issues.

20:13

Looks like everybody got the questions answered.

20:18

It was about the TIFF.

20:19

Okay.

20:20

All right.

20:21

Looks like we are good on that then.

20:23

Thank you, Council.

20:29

All right.

20:30

So we are set for tonight's agenda.

20:33

We will have an attorney client meeting after our session.

20:36

Um, next up we have an affordable housing committee meeting, which will be chaired by Chairwoman Dotley.

20:43

Madam Chair.

20:44

Yes.

20:44

Uh before we move on, I I wanted to if I will okay, go ahead.

20:49

Um I would like for next week to put on the agenda, and there may need to be a conversation about what this needs to be, but there's been some changes to the senior tax freeze laws that has applied some cost of living adjustments to the maximum income limits.

21:12

They're tied to the uh Social Security numbers, and then Phil can probably help us out with more information, but I would like to put a resolution on the uh calendar for us to um tie our income limits for our tax freeze to that allow by the state, allow for cost of living adjustments because currently we can now increase our limits to I believe is six and one thousand and some change for those who qualify and so on and so forth uh as the years progress.

21:46

This will be an opportunity to continue to allow our seniors to get some breathing room, and um as cost of living adjusts as things become more expensive.

21:57

The state has acknowledged that and allowed us to uh make sure we're giving more seniors opportunity to take advantage of the program.

22:05

Would you like to add anything?

22:06

Yeah, there are local option limits that were set by the legislation that was passed here in 2024, and the first available year allowed that local option income limit to be $60,000 that was set in the statute, but the limits also are calculated using some sort of standard methodology to include the annual cost of living adjustment, the COLA amount for Social Security recipients, and each year that amount can go up.

22:35

And uh for 2024 year for the 23 Social Security income year, it was 8.70 on their amount that got them to the $60,000, and it's increasing in 2025 for Social Security income in 2024 of 3.2 percent.

22:53

It will increase for 2025 to 2.5 percent.

22:57

So our resolution just simply needs to include that annual increase in it going up, and we can do that.

23:04

Yes, and Phil, can we add that uh information to the or however it needs to be packaged uh to next week's agenda if that's okay with you, madam chair?

23:14

It's fine with me.

23:15

I'd like to have that by Thursday for the clerk, please.

23:18

I will the language, the appropriate language.

23:20

Um councilman Burst, you have a question about this?

23:22

I think you answered my question.

23:24

Thank you.

23:24

Okay.

23:25

Um, do you have additional I have a question?

23:27

Oh, I have one other thing outside of this, but go ahead.

23:30

Okay, well, related to the uh the senior tax freeze.

23:35

So as I understand it, the state had made the decision that to go to the 60, and it sounds like it was related to the cost of living.

23:42

Um, and and while we voted on it, it was already legal within the state.

23:48

So are you saying that each time this we have to adopt a local option each time?

23:56

No, or when we do this colla, then we've we're just tracking with what the state allows.

24:01

Tracking with what the state allows, and we would just say each time since they did not have an amendment in 2017, whenever we initially adopted our ordinance, they are uh saying that we need to have a resolution approving that.

24:14

That's what the comptroller is telling us.

24:15

And as long as we have it for the comptroller saying that it has adjusted by any uh amount uh approved by state law for the uh cost of living adjustment, then I think we'll be fine.

24:27

Might we want to add any language or is there already language within that uh standard resolution that would include some type of yearly reporting to the council about what that new rate will be?

24:43

We can right now we would be useful so that we're always made aware yes each year what that number we can do that.

24:50

The comptroller's office right now has only got things through 2026.

24:54

I think on their their web page here, and we can do that to have some type of reporting requirement each.

25:00

Each year our CFO could give us the update as we look at the budget overall.

25:04

Sure.

25:05

Okay.

25:05

Okay, I'll include that.

25:06

I think that would be useful.

25:08

Um, Councilman Elliott, yes.

25:10

Okay, thank you, madam chair.

25:11

And finally, I want to give an update to council.

25:14

I talked to the administration after we brought this up last week uh in regards to putting our cost centers, remaining balances and funds to items on the agenda so we can actually see where the money's coming from.

25:28

The administration said they'll be able to start making these adjustments in the next few weeks, and so we'll start seeing our agendas uh include that information.

25:37

So just provide a little bit more transparency and some knowledge to council members and the public as a whole as to where money's coming from, how is it being spent, and we can just track it along the way.

25:49

Thank you for that update.

25:51

Do we have any other conversation before we move into affordable housing?

25:59

Welcome back, Father Harvey.

26:05

All right, I will turn the Chairwoman Donley.

26:18

Thank you, Claire.

26:20

Hello.

26:23

All right, I'm back again.

26:26

All right, so uh I bring an affordable housing committee meeting into order.

26:30

Can I get approval on a minute?

26:32

Sorry.

26:33

Thank you so much, Council, Minutes Stand without objection.

26:35

Um, today we'll be hearing about a housing pilot for 702 Manufacturers Road, which is in District One.

26:42

Um or Nicole, whoever's doing the presentation, would appreciate that so much.

26:48

Um, this is part of our new all of our new housing tools that we're that we have.

26:53

So uh with that, I will turn it over.

26:56

Thank you so much.

26:57

Good afternoon, council.

27:09

So we're here today to talk about uh a very exciting moment.

27:13

We've had our first application under the Affordable Housing Pilot Program.

27:18

Now, as some of you may remember, we redesigned this program last year.

27:22

It was adopted by the city council on March 26th last year.

27:28

There were four main policy goals that drove the redesign of this program.

27:32

Those goals were to encourage all new development to include some affordable units in their mix to target incentives to work in all neighborhoods so we could see all neighborhoods open up housing opportunities for Chattanoogens at all income levels, to provide developers with flexibility on affordability levels, and importantly to link the tax abatements directly to the value of the affordable housing units being delivered.

28:00

And I have to say this application is exactly who we were thinking of, not specifically, but the type of project we were thinking of as we were redesigning this program.

28:09

It's the class A development in a neighborhood that does not yet have any affordable units on the North Shore, right on the river.

28:16

Um, and it is such a beautiful project, and we're really excited to see that they will be including 42 affordable units as a part of that development.

28:26

So to get into the numbers, there'll be 42 affordable units.

28:30

That's 15% of the total units in the project.

28:34

That's 32 units at 60% AMI.

28:37

So to break that down, that's 13 studios at about a thousand dollars a month.

28:41

And you'd be hard pressed to find riverfront for a thousand dollars a month in the North Shore right now.

28:48

That's affordable to a household making 40,000.

28:52

We've got 15 one bedrooms at 1075, four two bedrooms at 1290, and then 10 units at 80% AMI.

29:01

So that's going to be seven one bedrooms at 1433, and three two bedrooms at 1720.

29:07

Now, in exchange for that public benefit, the project has qualified under our pilot formula for a tax abatement of 416,000 in the first year, and that comes out to a 69% tax abatement.

29:20

And as you know, what we put into the pilot lease with the developer is that percentage abatement.

29:26

So over time, as the assessment changes, that percentage abatement will keep up.

29:31

So currently, this property is delivering about $9,000 a year in property taxes.

29:37

It's a vacant property.

29:39

Even with the tax abatement, we will see a significant increase in the public revenue generated by this project for total payment in lieu of taxes of $341,000.

29:51

It'll be a 15-year pilot, and the affordability will be required for that entire 15 year term.

30:00

So now I'm gonna hand it over to Frank Reese of the Atlantic Companies who's gonna tell you a bit about the project.

30:04

Good afternoon, Council members.

30:06

Thank you so much for your time.

30:07

I first want to commend Hanukkah and Nicole for the outstanding job they've done shepherding us through this process.

30:13

It's really commendable what they've done and what you've done in approving this pilot for your city.

30:20

As Hanukka mentioned, my name is Frank Grease.

30:23

I'm with the Atlantic Companies.

30:24

We're a full service real estate company based out of Atlanta in South Carolina.

30:29

We have experience, development experience throughout Georgia and Tennessee and Alabama and South Carolina.

30:36

Um this is our you know first.

30:38

I I had previously done a project around Hamilton Place Mall, but this is my first project in in town Chattanooga.

30:46

So we're here today to talk to you about our proposed project on the North Shore of Manufacturers Road.

30:52

Um the star shows you the kind of the general area where this is in proximity to the rest of downtown.

31:00

And this shows you what the property currently looks like.

31:04

So the property that we're here today to propose to you is 702 manufacturers, which is the property that's outlined in yellow.

31:12

That was a formerly industrial site that's now vacant.

31:16

Um just just to let you know, we also have the site next door under contract, which is 706 and 710 Manufacturers Road.

31:25

So, but the project today that we're currently talking about is 702 manufacturers.

31:33

Our proposed project on 702 is comprised of 278 multifamily units represented by these five buildings on the screen.

31:42

Um, additionally, we'll have the buildings at the top are four-story multifamily buildings, and then the bottom of the screen is a five-story building.

31:50

Additionally, um, if you'll see on the upper right-hand corner, you'll see a road called Paper Mill.

31:56

That's currently that is a city road.

31:58

Um, and part of our project will be um redeveloping that road and building it as part of our project.

32:10

So, where we are in the process of our project, we're already currently going through for land disturbance permit with the city, and we're also in for building permit.

32:19

The site is currently fully entitled, had been rezoned a couple years ago for the use that we're we're proposing to you today today.

32:27

Um, just to let you know, um, and Hanukkah already touched on this a little bit, the breakdown of our units, it's 278 units, of which 15 percent or 42 units are affordables, and it's represented by studio units, one bedroom, two bedroom units.

32:43

And I can show you kind of the average square footage and everything.

32:48

So, benefits to the city.

32:51

Um, so as part of our deal, we're 278 units of which we'll be providing to the city 42 affordable units, and within those 42 affordable units, 75 percent of those units will be at 60 percent AMI, and the other 25 percent, which is 10 units, will be at 80 percent AMI.

33:10

We're also building the paper mill road, which is a new road.

33:14

Um, and as Hanukkah mentioned earlier, the the property taxes currently for the project are nine thousand dollars, and after our building our project is fully complete, it'll be three hundred and forty thousand dollars.

33:30

That's it.

33:32

So that's it.

33:34

Thank you so much, Frank.

33:35

At this moment, we will take uh questions, council members.

33:38

Are there any?

33:39

Yes, Councilman Henderson.

33:41

Thank you, madam chair.

33:42

Um I don't know if you want to speak to um, I guess if we went back to the overlay of project, um when we current when we rezone this pro uh project property originally, uh we have in in the conditions that uh you would allow uh public access uh to the river and the river walk uh to be able to continue through this project, and I think what we had envisioned is maybe something like a blue goose hollow uh little park here that that the public could access the river from, and and y'all have agreed to honor those those conditions as well.

34:23

Um I guess one of the questions that I have, and and I called one of our fire chiefs um to ask, and I don't know if uh I'm talking to the administration now if we could come up with a tool that would identify uh stress points on our services whenever we uh do a project like this because I think I think we need to balance you know possible stress points to our services to the benefits that we receive out of this, and it was my understanding that um and I was particularly interested in the fire department, um and and it does the the our ISO uh I guess our ratings it's not contingent on density as much as it is distance, if I'm correct in that.

35:17

So a project like this wouldn't put additional stress on our fire department and the fact that we would need another uh fire hall or anything like that.

35:28

But I think it would be good if we could come up with a tool that would identify perhaps you know uh stress points that it puts on our services, which in return uh then affects our budget uh because as we have seen and just gone through the need for additional revenue uh to our budget is is critical and and will be in the coming years.

35:55

So any time that we're giving up some amount of money that we would be capturing.

36:01

I just want to make sure that that's not affecting us in a negative way in our services.

36:07

In other words, we're we're not giving up more than we're receiving by the benefit of these affordable units.

36:14

But um I I like the project.

36:17

Um I think it'd be a great development uh there, and uh and excited about the possibilities of a you know access to the to the river uh for the public.

36:29

Thank you.

36:31

Thank you, Madam Chair.

36:32

All right, thank you so much, Councilman Henderson.

36:35

Uh, Madam Chair Heel.

36:37

Thank you very much.

36:39

Frank, I'm glad that you and the uh your company have decided to give this pilot um a try, and that you were able to finagle some options that will work financially with you.

36:54

Um question for you.

36:56

Um what is your experience as a company with building affordable units, rent control type units in the past?

37:06

So previously I was with a former company where we did this in the Atlanta area, and it's very different than here in that there were very set guidelines and rules for how you did the program, like percentage-wise, um, number of units as well as 60, 80 percent.

37:23

One thing that I appreciate so much about what you guys are providing is the flexibility of this program to really take different unit types, different AMI, and to be able to work with that and per what you said earlier to make it work for you as well as for the city.

37:36

So and has the does the Atlantic Company have projects like this in its portfolio already, these uh pilot type projects for affordable housing.

37:45

No, ma'am.

37:45

So this is new for the Atlantic company.

37:47

Yes, yes, ma'am.

37:48

So it's not something that it's something that this tool is allowing you to try this new format.

37:54

Absolutely.

37:55

Okay, okay, absolutely.

37:57

Um, I would like to commend you for determining or creating a plan that allows you to create 60% AMI units, not just 80%.

38:09

I mean, 80% is um there is very little if no low-hanging fruit when it comes to building units that are uh attainable for people even at 100% AMI, it's very difficult.

38:22

So the fact that you all were able to look at your numbers and make that bottom line work to get this number of 60 percent AMI units for this census track is is tremendous.

38:34

Um you know, district two is is uh right over the under the bridge from this, and um we have a tremendous need for um housing for um regular everyday Chattanoogans, and um honestly the last thing we need is more luxury riverfront apartments.

38:54

So to get 15 percent, 42 units um in what will already be a beautiful market rate um building is a real win, I think for our city.

39:04

So thank you very much.

39:05

And Hanukkah, let me give you yet another pat on the back, and Nicole and Megan, you all have thought creatively about this, and I feel like this is a um a Chattanooga style solution, and I I think you have a lot to be proud of.

39:16

So thank you.

39:16

Thank you for your comments.

39:17

It's quite easy.

39:19

That's all, Madam Chair, thank you.

39:21

All right, thank you, Madam Chair Heel.

39:23

Okay, I don't see any.

39:24

Oh, councilman Harvey, welcome back.

39:27

Thank you, Madam Chair.

39:28

I appreciate that.

39:29

Glad to be back.

39:31

Uh we talked offline just a little bit earlier uh today, but uh if you don't mind, go back over the application process on like who qualifies if you've got you know, you've got a hundred people who all qualify, how do you is it first come, first serve and that kind of thing.

39:48

Um, but thank you for investing in our city.

39:51

Um I love to see sites like this that are underutilized and it frankly ISORs become something that is so great and so useful uh for our city.

40:07

Understood and first thank you for your comments um so this project the one thing I should have mentioned the affordable units the 42 out of the 278 are just like any other apartment in the project the finishes are the same you know um they're scattered throughout the entire seven acres they're not in one specific area so so just I just wanted to clarify that um to your point it will be true what so when you walk in the door to rent an apartment it'll be the same similar process as anyone would they go in they take information from you there is a a screening process and this is true anywhere and the the thing that would be will be different about this is obviously there will be certain income targets the 60% or the 80% that by looking at your your financial information they'll confirm all of that and so that process will be the one part that will be different than then the other if anyone just came in to look for a unit.

41:03

So there will be and we'll be using a reputable third party property management company that has experience in affordable housing.

41:11

So um so that that's that's the process as we discussed earlier today.

41:15

Very good thank you.

41:16

Thank you.

41:17

All right okay thank you uh I have Councilman Clark but before we get to councilman Clark I did have a question come in um uh a concerned constituent uh does as you look at these map uh the addresses here does 706 and 710 have fuel tanks currently and are there any fire risk within this area to those to this new development it it's currently not operable ma'am and we just have it under contract we are not currently the owners of that property but it's people there there's a manager for that and and they they monitor it so all right I'm gonna turn it over to our city attorney yeah just all right always curious are they full of fuel uh there may be some sludge type material if it's a formally it was a liquid asphalt plant yes um but it's no longer it has not been in operation for a few years and there are no active operations that are going on on the site yes so um there may be some small remnants but it they're not full of fuel no sir yeah the fire marshal's office will have to look at that in connection with the placement of structures uh close to um that source if it if it's I just always get concerned about that when I see large tanks yes sir and uh if y'all have your future development into that property then that will resolve that issue but right now it was not yeah yes sir understood yes all right I think uh Mr.

42:50

Turn all right councilman Clark thank you councilman Dolly uh Frank Kirby thank y'all the good seeing you all again um was very fortunate to be on a call with you all last week to learn more about this pilot uh and I would be first to admit that I am not the biggest fan of affordable housing projects um and I know that and we discussed some of the stigmas and the concerns about that what we and I want to clarify that projects like this for those of us who have concerns about some issues that coincide with affordable housing projects in certain neighborhoods in my district um it's not that we're not afford affordable housing but we have concerns about what that mix use looks like in certain zones and I'm very very satisfied with the help of our deputy chief uh of staff who Hanukkah uh thank you for sending some of that material there's an amazing calculator uh that is available to the public and just kind of understanding like how this how you're able to provide I think was 42 units to be exact in an area uh that typically does not promote affordable housing and for mixed income and use so I applaud you all for being a business and taking that risk in this pilot program in Chattanooga and also for helping a person like me who may come to the table with some concerns and maybe some biases to correct that and I Darren and I were discussing this that you know we have to look at this in a different framework as what I would like to call opportunity housing.

45:00

So thank you.

45:00

I just want to be on record and thanking you for coming up from Atlanta and for being the pilot and for hopefully being the example, and perhaps you can come and bring this opportunity housing initiative to my district.

45:13

I think Kirby and I discussed some uh potential parcels.

45:17

And we would love to work with Atlantic companies in doing that in my district.

45:20

So thank you again for helping us understand how this works and how you're the best.

45:25

Well, we asked I want Hanukkah asked Hanukkah for quick stuff.

45:29

She says it, it's accurate.

45:30

I don't have to follow ups, and it's satisfying.

45:33

So thank you, Hanukkah, for your work.

45:34

Okay.

45:35

Thank you.

45:37

All right.

45:37

I don't have anyone else, Council.

45:39

Any other questions?

45:40

All right, well, Frank, like you get off kind of easy.

45:46

I do have a question really for uh Councilman Henderson.

45:50

Are you okay with moving this project to the uh I guess we'll do two okay?

45:54

We'll move to the two week agenda.

45:56

Okay.

45:56

So we'll move this uh field and two weeks.

46:01

We'll add this project to the two week agenda to be voted on.

46:05

And with that, uh that adjourned this meeting, Madame.

46:10

September thirty-five.

46:16

Okay.

46:17

So uh we have an attorney client and we will be back at four fifty five.

46:25

Okay, four fifty five.

46:26

All right.

46:27

Thank you so much.

1:36:21

Will you please read ordinances on final reading items A through F.

1:36:41

Property located horror zone to INU zone subject to certain conditions.

1:36:57

So as to research property in the twenty six hundred lock and the one hundred is on West Twenty Seventh Street from R and the residential neighborhood zone.

1:37:53

Okay.

1:38:10

Yes.

1:38:10

Okay.

1:38:12

Okay.

1:38:12

Am I good?

1:38:13

Okay.

1:38:14

Let's try that again.

1:38:16

Okay.

1:38:17

Item A, an ordinance to amend Chattanooga City Code, part two, chapter thirty-eight zoning ordinance.

1:38:23

So is to rezone part of a property located at sixty-four oh one Mountain View Road from C C commercial corridor zone to INST institutional zone, subject to certain conditions.

1:38:42

So as to rezone properties located in the twenty-six hundred blocks of Long and Williams Street and the one hundred block of West 27th Street, from RN3 residential neighborhood zone and TRN three traditional residential neighborhood zone to the Chestnut Street form-based code context, the CCX9 commercial mixed-use zone subject to certain conditions.

1:39:24

An ordinance to amend Chattanooga City Code Part two, Chapter 38 zoning ordinance.

1:39:29

So as to rezone property located at 2306 East Fourteenth Street from RN2 residential neighborhood zone to TRN to traditional residential neighborhood zone.

1:39:46

So as to rezone property located at 2312 East 14th Street from RN2 Residential Neighborhood Zone to TRN two traditional residential neighborhood zone.

1:40:00

An ordinance to amend Chattanooga City Code Part 2, Chapter 38 zoning ordinance so as to rezone property located 2312 East 14th Street from RN2 residential neighborhood zone to TRN2 traditional residential neighborhood zone item F an ordinance to amend Chattanooga City Code Part 2 Chapter 38 the Chattanooga Zoning Ordinance as adopted by ordinance number 14137 on July 23rd 2024 to amend the form-based code parking lot landscape requirements, add a new use definition for crematoriums and add parking requirements for crematoriums, amend non-conformities for non-residential uses, and amend townhouse massing.

1:40:28

Thank you.

1:40:28

Council, can I get a motion?

1:40:31

Sorry.

1:40:32

Thank you.

1:40:32

We have a motion on the floor to approve with a proper second.

1:40:35

Please hit your lights if you have any questions or comments.

1:40:38

All in favor?

1:40:40

Opposed?

1:40:41

Motion passes.

1:40:44

Ordinances on first reading.

1:40:46

Item A, please.

1:40:49

An ordinance amending Chattanooga City Code Part 2, Chapter 2 by repealing Article 12 and amending Article 16 in lieu thereof.

1:40:58

And further amending Chattanooga City Code Part 2, Chapter 16, Section 16-64, and Chapter 31, Section 31-361 to comply with public chapter PC 494 and public chapter PC 458.

1:41:17

Can I get a motion?

1:41:18

Motion to approve.

1:41:20

Thank you.

1:41:20

Council, we have a motion on the floor to approve with a proper second.

1:41:24

Do we have any questions or comments?

1:41:27

Roll call vote, Madam Clerk.

1:41:33

Councilman Henderson?

1:41:34

Yes.

1:41:36

Councilman Davis.

1:41:37

Yes.

1:41:39

Councilman Harvey.

1:41:40

Yes.

1:41:41

Councilman Clark.

1:41:42

Yes.

1:41:45

Councilwoman Burrs.

1:41:46

Yes.

1:41:48

Councilwoman Dotley.

1:41:50

Councilman Elliott.

1:41:52

Yes.

1:41:53

Vice Chair Knoll.

1:41:55

Yes.

1:41:56

Chairwoman Hill.

1:41:58

Yes.

1:41:59

Motion passes.

1:42:01

Item B, please.

1:42:08

Okay.

1:42:09

An ordinance to amend the operation budget ordinance number 14239, known as fiscal year 2025 through 2026 operations budget to amend section 5 to provide for reallocation of appropriate appropriations to the Department of Equity and Community Engagement in compliance with the dismantling DEI Act enacted in May 2025 as Tennessee state law, which has resulted in administrative actions with the dissolution of that department to include the restructuring of government functions and consolidation of certain departments, to reallocate appropriations between certain departments, and to amend section 7E due to administrative changes during fiscal year 2025 through 2026 to reallocate available appropriations for certain new or changed positions.

1:43:00

Thank you.

1:43:00

Can I get a motion?

1:43:05

Thank you.

1:43:05

We have a motion on the floor to approve with a proper second.

1:43:08

Hit your light if you've got any questions or comments.

1:43:12

Roll call, Madam Clerk.

1:43:14

Okay.

1:43:15

Councilman Elliott.

1:43:20

Councilwoman Dotley.

1:43:23

Councilwoman Burrs.

1:43:25

Yes.

1:43:26

Councilman Clark.

1:43:27

Yes.

1:43:28

Councilman Harvey.

1:43:30

Yes.

1:43:31

Councilman Davis.

1:43:32

Yes.

1:43:34

Councilman Henderson.

1:43:38

Vice Chair Noel.

1:43:40

Yes.

1:43:42

Chairwoman Hill.

1:43:43

Yes.

1:43:46

That's eight yeses.

1:43:49

Item passes.

1:43:50

Resolutions.

1:43:51

Item A, alternate version four, please.

1:43:55

Alternate version.

1:43:57

A resolution waiv residential modification permit fees and or giving preference to green grant funding for peak attenuation control, TSS, and stormwater infiltration requirements for those properties which were directly damaged and are being significantly redeveloped or rebuilt in the city of Chattanooga due to the Tuesday, August 12, 2025 flood damage within the city of Chattanooga, which will begin on the adoption of this resolution and expire within the next nine months on or before May 12th, 2026.

1:44:29

Councilmembers.

1:44:31

Move to approve the alternate version.

1:44:34

Council, we have a motion on the floor to approve with a proper second.

1:44:37

Do you have any questions or comments?

1:44:40

I'd like to say thank you again, Councilman Burst for bringing this to the council.

1:44:44

I think this is important relief for folks affected by the flooding.

1:44:48

All in favor?

1:44:50

Aye.

1:44:50

Opposed?

1:44:51

Motion passes.

1:44:53

Item B.

1:45:00

A resolution confirming Mayor Kelly's restructuring of selected government functions, including the creation and consolidation of certain departments to comply with public chapter PC 494 and public chapter PC 458.

1:45:08

More specifically outlined in exhibit one attached herein.

1:45:13

Thank you.

1:45:14

Council, can I get a motion?

1:45:16

Move to approve.

1:45:17

Second.

1:45:18

Thank you.

1:45:19

We have a motion on the floor to approve with the proper second.

1:45:21

Do we have any questions or comments?

1:45:24

All in favor?

1:45:25

Aye.

1:45:26

Opposed.

1:45:27

Motion passes.

1:45:29

Take a look at purchases, please.

1:45:37

Good evening, council.

1:45:38

Hello.

1:45:39

We have five purchases recommended for approval this evening.

1:45:42

The first one is for fleet.

1:45:44

Fort of Dalton is requesting a two percent increase for year three due to the increase in manufacturing costs.

1:45:50

The new estimated annual spend will be three million one hundred thousand dollars.

1:45:55

Public works approved the increase.

1:45:57

Number two is for fire.

1:45:59

Mobile communications has requested to ex an extension of Motorola Solutions Agreement 557, 576 through March 14th of 2026 to be in compliance with Tennessee statewide contract.

1:46:13

No additional funds will be added.

1:46:15

Number three is for fleet.

1:46:18

This is a one-time purchase of a kamatsu loader from power equipment in the amount of 209,000 for water quality.

1:46:26

This purchase will be utilizing source well contract.

1:46:30

Number four is for wastewater.

1:46:32

This is a one-time purchase of two Ankeflow pumps.

1:46:37

This source purchase from Guthrie Sales and Service is in the amount of 272,024.

1:46:44

Number five is from technology services.

1:46:48

This is a one-time purchase of an inspired flat drone in the amount of 226,356 dollars.

1:46:56

The award will go to Hayes Instrument as the best bid for the city of Chattanooga.

1:47:03

Second.

1:47:04

Thank you.

1:47:04

Council, we have a motion on the floor to approve with the proper second.

1:47:08

Do you have any questions or comments?

1:47:10

All in favor?

1:47:11

Aye.

1:47:12

Opposed?

1:47:13

Motion passes.

1:47:15

Thank you.

1:47:17

Okay, that brings us to committee reports.

1:47:19

Councilman Henderson.

1:47:21

No report.

1:47:21

Councilman Davis.

1:47:23

No report.

1:47:23

Councilman Harvey.

1:47:24

No report.

1:47:25

Councilman Clark.

1:47:26

No report.

1:47:27

Councilman Elliott.

1:47:28

Yes, I'm chair.

1:47:29

Oh, economic until we'll have the committee on the October 30.

1:47:37

A new TIFF and amendment to an existing topic.

1:47:40

Thank you very much.

1:47:42

Councilwoman Dotley.

1:47:43

Thanks so much, Madam Chair.

1:47:45

Uh we in the budget committee, we had a public hearing, uh budget ordinance, re-community development, uh, dismantling of the uh departments act, and also we had an affordable housing uh committee meeting uh regarding 702 manufacturers role, which is in district one.

1:48:03

Uh so those are my reports.

1:48:05

Thank you very much.

1:48:06

Councilwoman Burrs.

1:48:07

No report.

1:48:09

Vice Chairwoman Noel.

1:48:10

No report.

1:48:11

Thank you.

1:48:12

We now reach the point in our meeting where we will recognize persons who are here who wish to address the council.

1:48:18

If you are here and would like to address the council, please line up behind the podium and listen while our attorney reads the rules.

1:48:23

Sure.

1:48:26

I have do we have anyone here who would like to address the council this evening?

1:48:31

If you are here, please go ahead and stand up.

1:48:36

Second.

1:48:37

Council, we are now going to return to the uh tradition of voting to adjourn.

1:48:45

So we never have any uh confusion about that.

1:48:49

So all in favor of adjourning.

1:48:52

Hit your light.

1:48:56

Councilman Harvey.

1:48:57

If I may I'd like to be one of the commenters tonight for public hearing.

1:49:02

Okay, okay.

1:49:03

Go ahead.

1:49:03

You have a remote.

1:49:04

Okay, all right.

1:49:05

Okay.

1:49:06

I don't think he has to have that.

1:49:08

You can just as a matter of privilege, you may speak.

1:49:11

Yeah.

1:49:11

Three minutes.

1:49:12

I had three minutes already.

1:49:13

No, okay, all right.

1:49:14

Thank you.

1:49:14

Hold me, hold me to it.

1:49:16

Um, I I simply just I feel compelled to say something regarding last week's events.

1:49:23

Um, we saw a school shooting, we saw the assassination of Charlie Kirk, and we remembered September 11th.

1:49:31

Um all of those things hit me at once.

1:49:35

Um you might know I just had a uh uh a baby with my with my sweet wife, and it's a two-week-old a little girl.

1:49:44

And when all of those things happened last week, while we're remembering September 11th, it it hit a little closer to me this year uh than other years.

1:50:00

And I I want to implore us, not only as Chattanoogans, but as Americans, to take this time to remember what September twelfth was like.

1:50:06

We held each other a little bit closer, gave each other a little bit more grace.

1:50:16

Didn't matter what we thought, how we disagreed, or if we agreed, didn't matter.

1:50:22

We held each other a little bit tighter on September the twelfth, uh 2001.

1:50:28

Um so um that that's all I wanted to say is um let's let's remember how that day felt September the twelfth.

1:50:37

Thank you.

1:50:38

Thank you very much.

1:50:40

Council, we have a motion on the floor to adjourn with a proper second.

1:50:43

Do I have any further comment?

1:50:46

All in favor of adjourning?

1:50:48

Opposed, we are adjourned.

1:50:50

Thank you.

Discussion Breakdown — Share of Meeting
Procedural█████████████████████████████████████████████65%
Affordable Housing█████████13%
Budget Equity Analysis█████7%
Planning And Zoning████6%
Public Finance██3%
Wastewater Management2%
Flood Hazard Regulations2%
Public Safety1%
Community Engagement1%
Summary of Proceedings

Chattanooga City Council Meeting – September 16, 2025

The meeting began with a public hearing on a budget ordinance related to dismantling the DEI department, which had no public speakers. The council then proceeded to final readings of zoning ordinances, first readings of budget amendments, resolutions, purchases, committee reports, and an affordable housing committee presentation on a pilot project at 702 Manufacturers Road.

Consent Calendar

  • Final readings of zoning ordinances (items A–F) were approved unanimously without objection.

Public Comments & Testimony

  • No public speakers testified during the budget ordinance public hearing.
  • Councilman Harvey, speaking during the later public comment period, reflected on the week's tragedies (a school shooting, the assassination of Charlie Kirk, and the anniversary of September 11th) and urged unity and grace, recalling the spirit of September 12, 2001.

Discussion Items

  • Budget Ordinance (DEI Dismantling): Councilman Henderson questioned the disposition of the chief equity officer position's salary (vacancy savings) and noted a discrepancy between budget worksheets and the ordinance. Administration promised to follow up. Councilman Elliott sought assurance that no jobs would be lost, which was confirmed.
  • Affordable Housing Pilot (702 Manufacturers Road): Nicole and Frank Reese of Atlantic Companies presented a 278-unit development including 42 affordable units (15% of total): 32 at 60% AMI (13 studios ~$1,000/month, 15 one-bedrooms ~$1,075, 4 two-bedrooms ~$1,290) and 10 at 80% AMI (7 one-bedrooms ~$1,433, 3 two-bedrooms ~$1,720). The project is eligible for a 69% tax abatement (first year) under the pilot program, with a 15-year term. Councilman Henderson raised concerns about stress on city services (fire, etc.) and suggested a tool to evaluate impacts. Councilwoman Hill praised the 60% AMI units and the creative approach. Councilman Clark expressed initial skepticism but commended the mixed-income model and called it "opportunity housing." Questions about fuel tanks at an adjacent site were addressed. The item was moved to the two-week agenda.
  • Senior Tax Freeze: Councilman Burrs proposed a resolution to tie income limits to the state's cost-of-living adjustments (COLA), allowing automatic increases. Discussion included adding an annual reporting requirement. The item will be added to next week's agenda.

Key Outcomes

  • Approved final readings of zoning ordinances (items A–F) unanimously.
  • Approved first reading of ordinance (Item A) amending city code to comply with state laws (public chapters 494 and 458) via roll call (8 yeses).
  • Approved first reading of budget ordinance (Item B) reallocating appropriations due to dismantling DEI department via roll call (8 yeses).
  • Approved Resolution A (alternate version 4) waiving permit fees for properties damaged by the August 12, 2025 flood, effective through May 12, 2026.
  • Approved Resolution B confirming Mayor Kelly's restructuring of government functions to comply with state laws.
  • Approved all five purchases as presented (fleet, fire, wastewater, technology services).
  • The affordable housing pilot at 702 Manufacturers Road was moved to the two-week agenda for a vote.
  • The senior tax freeze resolution will be prepared for the next meeting.

Meeting Transcript

To order the city council meeting for Chattanooga, Tennessee for Tuesday, September 16th, 2025. I'd like to invite Councilwoman Burrs to lead us in the Pledge of Allegiance and the invocation. Okay, thank you. We are going to start our meeting with a public hearing related to the budget ordinance changes. And so we're going to place the musical chairs. Councilwoman Doctor. All right. Good afternoon, everybody. Hello? Are y'all out there? People here? Y'all better get up. We hear it. You get better get up too. All right. So this will be our public hearing for a budget ordinance regarding community development. This mantling DEI department's act. So with that, I call this public hearing supporter. Um we'll give two minutes to speak with a maximum of an hour, and we can assess the hour at the end of that. And Mr. Tarney, could you read our rules please? Yes, ma'am. As soon as I get it on the screen. I didn't do that quickly enough. Yes, and if you plan to speak, please go ahead and line up behind this podium. All right, hold on. Okay. All right. And today's meeting or a public hearing uh the chair has recognized that this will have a different set of time than uh normal, but you have two minutes to speak for each one. And so each speaker wishing to address the council can only be recognized up front at the microphone provided for that purpose, can't have more than two minutes to speak and address the council only upon matters that are within uh the legislative and quasi judicial authority and not on matters which are not under their authority or regulated by other governmental bodies or agencies if you can keep to the items that are before the council on this particular item here today since this is the public hearing on an ordinance change. Uh do not engage in any vulgar obscene language and are used to Florida personally attack or personally attacked denigrate others and address your comments to the council as a whole and not towards individual council members and do not engage in disorderly conduct or disrupting a public meeting, which is prohibited by Tennessee law. Someone commits that offense if the person obstructs, substantially obstructs or interferes with the meeting by physical action or verbal utterance with the intent to prevent or disrupt a lawful meeting or gathering. Having stated those rules, please go ahead if anyone wishes to speak. All right, going once, twice, three times. Thank you so much for these public hearings of today. We appreciate you so much. So with that, city attorney, I think anyone willing to speak. So I close this public hearing of budget ordinance, re-community development dismantling the EI department's eggs. That is it. Turn it over back to Madame Chick. All right, Council. Can I please get a motion on the minutes? Oh move. Thank you. Motion to approve the minutes will stand without objection. All right, council. Let's take a look at our agenda for today, please. We have items under final reading, several planning items. My intent is to take those as a group. If you have a uh reason why we shouldn't do that, please hit your light.

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