Chattanooga council approves voluntary attainable housing incentives and $20 million transfer to Invest Chattanooga

The Chattanooga City Council on Tuesday approved an ordinance establishing a voluntary attainable housing incentive program and separately authorized a $20,000,000 transfer from funds set aside in FY23 to the housing production fund administered by Invest Chattanooga, council records show.

The ordinance (item 7a) creates a voluntary attainable housing incentive program authorizing certain incentives to be provided to property owners who build multiunit attainable and mixed-income housing in Chattanooga, citing Tennessee Code Annotated § 13‑36‑01(a) as authority. The council voted to approve the ordinance during the Jan. 21 meeting; the motion carried after a second and a voice vote.

In a separate economic-development package the council authorized the mayor to enter an intergovernmental housing cooperation agreement to transfer $20 million to the housing production fund administered by Invest Chattanooga (item 9d). Councilwoman Hill moved approval of the package; the motion carried on a unanimous voice vote. The package also included a resolution confirming the surplus and donation of a small Oak Street parcel (tax map number referenced in the resolution) to the Chamberless Center For Children for use as parking, with a reverter clause if the property ceases to be used for parking (item 9c).

Why it matters: the ordinance and the transfer expand tools and funding the city will use to incentivize privately developed, multiunit projects described as “attainable” housing. The $20 million transfer directs existing local funds to a housing production vehicle managed by Invest Chattanooga rather than as a direct city-run subsidy; several members of the public criticized that approach during public comment.

At the public-comment portion of the meeting a speaker identified in the transcript as “Antiprecio” of 8201 Patterson Road sharply criticized the Invest Chattanooga funding plan and questioned the income thresholds used for affordability. She called the city’s income cutoffs for affordable housing “a lie” and said the city’s approach would displace existing residents; her remarks were interrupted by the chair for order. The speaker urged the council to “form a land trust” and to prioritize permanent housing and one-for-one replacement of demolished units.

What the measures do and next steps - Ordinance 7a: establishes the voluntary attainable housing incentive program; the ordinance text cites Tennessee Code Annotated § 13‑36‑01(a) as the enabling statutory authority. The council approved the ordinance at final reading. - Resolution 9d: authorizes a $20,000,000 transfer from FY23 funds to the housing production fund administered by Invest Chattanooga; the council approved the transfer and delegated execution to the mayor under the resolution’s terms. - Resolution 9c: declares a small Oak Street parcel surplus and authorizes a donation agreement with the Chamberless Center For Children for parking, subject to a reverter clause.

The council did not provide a roll-call vote count in the transcript for these items; the meeting record shows motions carried on voice votes with no recorded “no” votes.

Clarifying details from the meeting - Funding source: stated as funds set aside in FY23 for an affordable housing initiative; resolution text referenced transferring $20,000,000 to Invest Chattanooga’s housing production fund (source: resolution language presented to council). - Statutory authority for the housing incentive ordinance: cited as Tennessee Code Annotated § 13‑36‑01(a) in the ordinance text presented to the council.

Speakers (attributed) - Councilwoman Hill, Councilwoman, government (first referenced at s:442.35498) — moved approval of the economic-development package that included the $20 million transfer and the Oak Street donation. - Antiprecio, Resident, citizen (first referenced at s:1079.3899) — public commenter who criticized Invest Chattanooga and urged formation of a land trust. - Chair, Council chair, government (appears throughout meeting for procedural motions) — presided over votes and called the meeting to order.

Authorities - {"type":"statute","name":"Tennessee Code Annotated § 13‑36‑01(a)","referenced_by":["7a"]} - {"type":"resolution","name":"Resolution to transfer $20,000,000 to Invest Chattanooga housing production fund (FY23 funds)","referenced_by":["9d"]} - {"type":"resolution","name":"Resolution declaring surplus and donation of Oak Street parcel to Chamberless Center For Children (reverter clause)","referenced_by":["9c"]}

Proper names - {"name":"City of Chattanooga","type":"agency"} - {"name":"Invest Chattanooga","type":"organization"} - {"name":"Chamberless Center For Children","type":"organization"} - {"name":"Tennessee Code Annotated","type":"statute"}

Clarifying details - {"category":"funding_sources","detail":"$20,000,000 transferred from funds set aside in FY23 for an affordable housing initiative to the housing production fund administered by Invest Chattanooga","source_speaker":"resolution text"} - {"category":"statutory_authority","detail":"Ordinance 7a cites Tennessee Code Annotated § 13‑36‑01(a)","source_speaker":"ordinance text"}

Community relevance - Geographies: ["City of Chattanooga","Oak Street parcel (tax map referenced)"] - Impact groups: ["renters","low- and moderate-income households","residents of neighborhoods subject to redevelopment"]

Provenance - {"block_id":"block_89.240005","local_start":0,"local_end":236,"evidence_excerpt":"An ordinance creating a voluntary attainable housing incentive program and authorizing certain incentives to be provided to property owners who seek to build multiunit attainable and mixed income housing in Chattanooga pursuant to Tennessee code annotated section 133601a to adopt a program for multiunit attainable housing development and to authorize the Chattanooga house Hamilton County Regional Planning Agency to grant certain incentives for voluntary development of multiunit attainable housing as set forth herein.","reason_code":"topicintro"} - {"block_id":"block_442.35498","local_start":0,"local_end":430,"evidence_excerpt":"Item d, a resolution authorizing the mayor to enter into an intergovernmental housing cooperation agreement and substantial form attached to transfer $20,000,000 from funds set aside in f y 23 for an affordable housing initiative to see the housing production fund administered by Invest Chattanooga.","reason_code":"topicfinish"}