Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Affordable Housing topic
No spam. Unsubscribe anytime.
Knoxville council directs share of potential sales-tax increase to Affordable Housing Fund
Summary
The council voted unanimously to amend city code so that the lesser of $10 million or 22% of additional local-option sales tax revenue from any tax-rate increase approved by 11/04/2025 will go to the City of Knoxville Affordable Housing Fund. Two community speakers described how the fund supported supportive housing and stabilized families.
The Knoxville City Council on first reading and vote approved an ordinance to amend chapter 2, article 4, division 3, section 2-614 of the Knoxville City Code to designate the lesser of $10,000,000 or 22% of additional local-option sales tax revenue generated from any tax rate increase approved in an election occurring on or before Nov. 4, 2025, to the City of Knoxville Affordable Housing Fund.
The action matters because it sets aside a capped portion of any voter-approved sales-tax increase for affordable housing programs and projects. Council members voted aye on a voice vote after two members of the public spoke in support.
Sue Stevens, a Justice Knox leader, told council members about neighbors who split households or lost custody because they could not afford rent, and she said the housing fund has enabled permanent supportive housing and family-friendly developments. "Safe, decent, affordable housing makes it possible for people to thrive and live well, making our community also thrive," Stevens said.
Rick Carter, an associate priest at the Church of the Good Shepherd and Justice Knox member, recounted clients who regained stability after moving into apartments made possible with city housing funds. He described how the funds enabled openings such as Inskip Flats and First Creek, saying they allowed a woman undergoing cancer treatment to remain in care and a senior to move into stable housing after a decade of instability.
The ordinance’s text ties the funding mechanism to the timing of a possible tax-rate increase: revenue designated to the housing fund would come from any rate increase approved in an election on or before Nov. 4, 2025, up to the stated cap. The council adopted the measure unanimously.
The transcript record shows community advocates emphasized housing as a driver of family stability and health; council discussion before the vote was procedural and limited to calling speakers and moving to vote. The ordinance takes effect per the city's normal administrative process following adoption and any required posting or certification.
