Affordable housing PILOT, Station 21 fire truck

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See the full Oct. 7 meeting agenda here

Affordable housing PILOT

City Council will vote on a proposed payment-in-lieu-of-taxes (PILOT) agreement for an apartment complex at 702 Manufacturers Road. Atlanta-based developer The Atlantic Companies would include 42 units affordable to tenants at various income levels as part of the tax deal.

For example, 15 one-bedroom units will rent for $1,075, the HUD definition of “affordable” for a household earning up to $43K. In exchange, the developer would get a 69% discount on property taxes — excluding the portion for schools — over the 15 years of the agreement.

The vacant property currently creates $9K in taxes. Once developed, it would provide at least $342K in annual payments.

Chattanooga updated its PILOT policies last year and calculates the tax incentive based on the number of affordable units and their rental price. The city’s Health, Educational and Housing Facility Board, which manages housing PILOTs, must give final approval after City Council.

New fire truck

The city looks to purchase a $1.8 million fire truck for Station 21 serving the East Brainerd area. The truck was a major item in the supplemental budget tied to Mayor Tim Kelly’s property tax proposal approved last month.

Community Development administrator

Mayor Kelly seeks approval to appoint Cedric Henson to lead Community Development. Henson has served as interim since Council declined to reappoint Carol Hunter as administrator in June.

The department manages the city’s community centers and, after a recent shake-up to comply with state law, community engagement work.