Chattanooga City Council voted 8-1 to approve a payment-in-lieu-of-taxes, or PILOT, agreement for developers building housing downtown.
This new PILOT agreement proposed by Chattanooga Mayor Andy Berke's staff allows developers, who want to build downtown, to negotiate with River City Co. for the ten-year tax break.
The deal they reach would then go before the Health, Educational and Housing Facility Board, the City Council and the County Commission for final approval.
The new agreement is different from a previous PILOT agreement with River City Co., because developers will be required to rent 20 percent of their units at rates affordable for people who make less than 80 percent of the area median income, or around $31,000.
Councilman Larry Grohn cast the only dissenting vote.
Joy Lukachick is the city government reporter for the Chattanooga Times Free Press Since 2009, she's covered breaking news, high-profile trials, stories of lost lives and of regained hope and done investigative work. Raised near the Bayou, Joy’s hometown is along the outskirts of Baton Rouge, La. She has a bachelor’s degree in mass communication from Louisiana State University. While at LSU, Joy was a staff writer for the Daily Reveille. When Joy isn't chasing ...