East Ridge officials said they are now in talks with Chattanooga officials regarding a Chattanooga plan to house 100 homeless at the Budgetel motel in East Ridge.
They said Chattanooga is "pausing" its plan.
East Ridge officials said earlier they had not been notified by the development and learned of it from news reports.
East Ridge officials said on Thursday afternoon, "The city of East Ridge has been in contact with the city of Chattanooga on this issue. While we understand that homelessness is a regional problem that requires a regional approach, the city of Chattanooga is pausing to look at the best possible solution to this issue.