Chattanooga IDB approves $44,000 CivicServe contract to track economic-development incentives

The Industrial Development Board voted to authorize the purchase and first-year license of CivicServe software in the amount of $44,000 to automate intake, workflow, compliance monitoring and public reporting for local economic-development incentives.

City staff described the software as a cloud-based platform that will allow applicants to submit materials through a public-facing portal and enable staff and partner agencies to track project status and compliance. Staff said the purchase will be funded from a restricted TIF administration-fee account with an available balance of roughly $167,000.

The $44,000 figure represents initial implementation and the first-year license; staff said annual renewals are expected and that the agreement includes user support and training. The city indicated the vendor proposed a one-year initial contract with a 3-year reexamination; the license includes a cap on annual increases of up to 8 percent. Staff said the project includes migration of existing data and that partner organizations (for example, the Chattanooga Chamber and the Southeast Tennessee Development District) could be granted licenses under the system.

A board member asked whether the IDB should front the cost or the city should share expenses with partner agencies; staff said state law allows TIF admin-fee funds to be used for this purpose and that fees are restricted to administrative uses. The motion to approve the purchase passed by voice vote.

Staff said they will return with contract documents and that the board will reexamine the arrangement as part of future budgeting and oversight.