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Passenger Vehicle and For‑Hire Board recommends inflation‑based tow‑rate increases to Chattanooga City Council
Summary
The board voted Sept. 4 to send a recommendation to Chattanooga City Council to update city rotation tow rates in Chattanooga City Code §35‑1‑160 to reflect inflation for the most recent two years; the change would apply only to city district/rotation calls, not private tows.
The Passenger Vehicle and For‑Hire Board voted Sept. 4 to recommend that Chattanooga City Council approve inflation‑based increases to the city rotation tow rates set in Chattanooga City Code §35‑1‑160.
The change was presented by Chris Anderson of the mayor’s office, who said the ordinance currently lists daytime and night/weekend/holiday rates at $2.25 and $2.50, respectively, for district rotation calls. Anderson said the inflation rate from 2023 to 2024 (3.09 percent) would raise the rates to $2.32 and $2.58, and a further roughly 3 percent adjustment would be applied for the following year, producing an approximately cumulative increase over the two years.
Anderson said the code section requires the board to review and approve an annual inflation adjustment before the item goes to City Council. “Pursuant to 35‑1‑160, I need to present this to the passenger vehicle for hire board for approval before taking it to city council for an ordinance amendment later this year,” Anderson said.
The board debated fiscal impacts for the city. A board member (Chair) noted concern about the city’s fiscal responsibility, asking whether the cumulative change would amount to roughly 6–8 percent from current rates; Anderson explained the increases are computed year‑to‑year (3.09 percent then 3 percent), not a single flat 6 percent. Anderson also clarified the change would not affect private towing: “Yes. This does not affect private towing in any way. This is merely when the city of Chattanooga is making a district record call.”
A motion to send the recommended rate adjustments to Chattanooga City Council for approval was made and seconded; the board voted in favor and the motion carried. No roll‑call vote was provided in the record.
Anderson explained that City Council rules require at least 14 days’ public notice to place an item on the council agenda and estimated the ordinance amendment could reach council within about three to four weeks, depending on submission timing. Board members asked staff to set up a more automatic process so future annual adjustments move from the board to council on a regular schedule.
The board’s action was a recommendation to City Council; adoption of new rates will be effective only if the council amends the ordinance.
Votes at a glance: The board voted to forward the recommended annual inflation adjustments to Chattanooga City Council for approval; the vote was stated as “Aye” and the chair declared the motion carried. The record does not show a named roll‑call tally or recorded no/abstain votes.
