March 18, 2024

Affordable Housing Tax Incentives and More

MARCH 12 CITY COUNCIL HIGHLIGHTS

The Agenda Session recording can be found here.

• The council read a special proclamation recognizing Christy Rashed for community service.
• The council discussed a number of rezoning requests, as well as a number of purchases and RFPs.
• The council heard a presentation on the cities proposed changes to the Payment In Lieu of Taxes (PILOT) Program for affordable housing.
  • A PILOT program is a tax incentive in which a developer deeds a property to the city and leases it back at a rate lower than the property taxes they would have paid. The difference is then used to subsidize development that is in line with city goals, such as job creation or affordable housing.
  • Currently, an affordable housing PILOT program must develop 50% of units in a given project to be affordable to those making 80% of the Area Median Income (AMI). The current PILOT program has not been heavily utilized because it is so restrictive.
  • The proposed PILOT program will allow the tax abatement to scale with the number of affordable housing units being developed, allowing for additional flexibility.
• The council plans to vote on this proposal on March 26.

The Business Session recording can be found here.

• The council approved amendments to the section of city code governing the Beer Board (final reading).
• The council approved amendments to the section of city code governing the Wrecker Board (final reading).
• The council approved a number of amendments to the section of city code governing the construction of streets and sidewalks (final reading).
• The council voted on a number of rezoning requests (first reading), including:
  • deferring a request to rezone 6745 Customer Delight Drive from R-1 to R-3 until April 9.
  • denying a request to rezone 6700 Ballard Drive from R-3 to C-2.
  • approving a number of other requests
• The council will vote on the approval of a ~$134k Tennessee Housing Development Agency grant for re-housing activities.
• The council approved the renewal of an auditing contract with Hutcherson & McCullough, PLLC for an annual amount of ~$136k.
• The council confirmed the appointment of Sydney Smith and Ryan Kopet to the Chattanooga Public Art Commission.
• The council approved a number of agreements with various organizations to address health disparities in Chattanooga. These agreements include ~$256k to the AIM Center, ~$278k to Scenic City Wellness, $175k to Medicos Mission Fund, ~$20k to First Baptist Cares, and ~$13k to Align Wellness.
• The council approved a special exceptions permit for a new liquor store at 5506 Hixson Pike.
• The council deferred a special exceptions permit for a planned unit development at 6107 Hixson Pike until April 9.
• The council approved a number of public works and wastewater contracts.
• The council approved a memorandum of understanding with the Industrial Development Board for the construction of the Class A Power Project.
• The council approved 5 routine purchases, including a ~$520k purchase of Asphalt Rejuvenator Agent from Pavement Technology, Inc.
• The council approved the issuance of one Request For Proposals (RFP) seeking consultants to manage the city Essential Community Services Hotline (211).
• The council was notified of one emergency purchase, a ~$7k rental of garbage trucks from Big Truck Rental.
• Sixcitizens addressed the council, primarily speaking in support of “Option B” of the Frazier Ave redesign. Disclaimer, I was one of those who spoke in favor of “Option B”. You can watch the full comments here.

The meeting minutes can be found here.

MARCH 19 CITY COUNCIL HIGHLIGHTS

The Proposed Meeting Agenda can be found here.

• The council will hold a Budget & Finance Committee Work Session at 2pm. The work session is open to the public and will be streamed live on YouTube.
• The council will vote on a number of rezoning requests (first reading).
• The council will vote on a new fee schedule for city parks and facilities (first reading).
• The council will vote on the appointment of Alan Richelson and Scott MColpin to the Board of Zoning Appeals.
• The council will vote on the grant of $3M in HOME Investment Partnership Program Funds to assist in the development of a 166-unit affordable housing project. Full disclosure, I am the civil engineer for this project.
• The council will vote on a contract for the construction of a new fire training tower.
• The council will vote on amendments to the Employee Information Guide.
• The council will vote on the application for a $500k grant from the U.S. Department of Transportation for a railroad corridor study.
• The council will vote on three Public Works contracts.
• The council will vote on the appointment of Rob Ellis to the Air Pollution Control Board.

MARCH 26 CITY COUNCIL HIGHLIGHTS

The Proposed Meeting Agenda can be found here.

• The council will hold a Planning & Zoning Committee Work Session at 1pm. The work session is open to the public and will be streamed live on YouTube.
• The council will vote on a number of rezoning requests (final reading).
• The council will vote on a new fee schedule for city parks and facilities (final reading).
• The council will vote on two proposed right-of-way abandonments (first reading).
• The council will vote on a number of grants and contracts.