City Council Chair Jenny Hill on Tuesday gave members of the Northside Business Council at the INCubator updates on the city's proposed budget amendment and ongoing community initiatives in District 2.
Ms. Hill outlined three core values that guide her work: strong foundation, smart city, and everyone belongs. These principles, she said, reflect the shared priorities of her ideologically diverse district, which spans from the Tennessee River to Dale Acres and includes neighborhoods from North Chattanooga to Forest Plaza.
The centerpiece of her presentation focused on the ongoing budget amendment discussions to address fire and police compensation and other city needs. The city is considering a 25 percent pay increase for firefighters and police officers to remain competitive with other departments. "We have near universal support for increasing the pay of our fire and police," Ms. Hill told the business leaders. "But we are pretty evenly divided in District 2 on how we get there."
Mayor Tim Kelly has proposed setting the city's millage rate at $1.99 to fund the increases entirely through property taxes. However, Chair Hill has proposed an alternative approach that would fund half the cost through budget savings and half through additional revenue.
Ms. Hill noted a divide among constituents based on how long they have owned their homes. Residents who purchased homes within the last eight years tend to be less concerned about tax increases, while longer-term homeowners are more worried about the impact of rising property valuations.
She cited examples of homes in District 2 that have seen dramatic value increases - from $325,000 to $895,000 in one case over 10 years - creating affordability concerns for residents on fixed incomes.
The council has been meeting extensively on the budget amendment, with sessions running from 9 a.m. to 2 p.m. for the past three weeks. A public hearing is scheduled for Aug. 19, with the first reading and vote on Aug. 26 and final vote planned for early September.
Under her "Smart City" initiative, Ms. Hill highlighted successful neighborhood collaboration on safety improvements along Hixson Pike from Barr Avenue to Fern Lake. Five neighborhood associations - Dallas Heights, North Chattanooga, Fairhills, Riverview, and Baker Hilltop - have joined forces to address traffic safety concerns. The councilwoman secured $500,000 in the budget for safety improvements along the corridor. The neighborhood groups conducted surveys and held community meetings to develop improvement proposals, which are now being reviewed by city public works officials.
"It's been really neat to see the different ways that neighbors are starting to work together proactively," Chair Hill said. "They feel empowered."
The speaker also praised the work of the North Shore Merchants Collective, a group that has been working for 18 years to improve business conditions on Frazier Avenue. The group is coordinating the installation of planters and café lights along the street, raising private funds for the improvements. The merchants are also organizing the Frazier Avenue Fall Festival, scheduled for Oct. 25, after the spring festival was cancelled due to severe weather. When asked about support for small businesses, Chair Hill acknowledged that the city needs to do more in this area. Current programs offer grants of $1,000 to $3,000 per job created for businesses that meet certain employment and salary requirements.
She expressed concern about the city's focus on large economic development projects, noting that while a recent major investment might cost $300,000 per job created, small businesses provide crucial economic diversity. "I find that small businesses send kids to college, they pay mortgages the same way that corporate jobs do," Ms. Hill said. "We need to be more thoughtful and creative about how we invest in small business."
The councilwoman encouraged business owners to sign up for her newsletter by emailing JHill@chattanooga.gov and announced her next neighborhood network meeting for Sept. 11.