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Chattanooga council approves amended Northgate Mall economic plan after debate over water-line funding
Summary
The council approved an economic impact (TIF) plan for the Northgate Mall/Hixson infrastructure project after amending the city’s contribution in Section 7 from $9.2 million to $8.7 million and extensive discussion about whether tax-increment funds should be used for water-line work owned by Hixson Utility District.
Chattanooga City Council voted Dec. 2 to approve an amended economic impact plan for the Northgate Mall infrastructure project, a tax-increment financing (TIF) package intended to fund stormwater, wastewater and water-line improvements in the Hixson/Northgate area.
The council inserted one formal amendment before voting to adopt the plan: it reduced the project line in Section 7 from $9,200,000 to $8,700,000 based on an independent third‑party review. The amended motion passed on a council vote.
Why it matters: council members said the redevelopment could catalyze reinvestment in Hixson and neighboring districts by repairing key infrastructure and capturing sales‑ and property‑tax growth to pay for the work over time. Opponents and some members urged fiscal caution and sought protections to ensure city taxpayers were not asked to cover infrastructure dedicated to a separate utility.
Key details and…
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