The Kelly Administration on Tuesday said this year’s $345 million balanced budget is up by $8.7 million, but, when adjusted for inflation, is lower than the city’s budget two years ago.
Kevin Roig, the mayor’s chief of staff, said the budget makes targeted investments in infrastructure, public safety, affordable housing and transit.
He said, “It also identifies efficiencies and cost-saving measures to help offset the impacts of inflation, the sunsetting of federal pandemic aid dollars, and economic uncertainty.”
Mayor Tim Kelly said, “Since coming into office, my core focus has been tackling Chattanooga’s structural challenges and setting our city on a path toward shared prosperity and common purpose - and that commitment remains as strong as ever.
“From our early reorganizing of city government around the real priorities of our residents to establishing the One Chattanooga roadmap and committing to putting our money where our mouth is year after year, we continue to have a strong foundation for progress. I’m proud to continue building on that foundation with this budget.”
Some of the investments highlighted in today’s presentation:
- 59% of this year’s budget goes to police, fire, and public works, keeping government effective and responsive to meet the basic needs of Chattanooga
- For the fifth year in a row, at least $10 million to improve local roads
- $2 million to preserve existing affordable housing across the City
- Cost of living and step pay increases for non-sworn city employees
- $10 million toward public transit capital and operations investments
- Infrastructure investments for the generational South Broad and One Westside developments that will build new downtown neighborhoods
- $150,000 for a traffic light system modernization to re-time lights
- $5.1 million to fully fund the city’s portion of Wilcox Bridge replacement
- More than $1 million for early learning centers
However, as the mayor noted in his budget message, “This year’s fiscal constraints leave one glaring omission: pay raises for sworn police and firefighters. Our first responders are underpaid, not just when you consider the work they do - putting their lives at risk to keep us safe - but also relative to competing public safety agencies in our market and in peer cities around the region.
“That’s not just wrong, it’s risky. If we can’t fill our academy classes and keep our best sworn employees, we won’t be able to meet our city’s needs. That’s why my Administration intends to come back later this year with a separate proposal on compensation for Chattanooga’s bravest men and women. We simply must.”