Community Development

Using grants from the U.S. Department of Housing and Urban Development, Community Development is dedicated to the revitalization of low-to-moderate income neighborhoods and the economic improvement of its residents. The department funds affordable housing initiatives, employment and business assistance, public facility and infrastructure improvements, and social services to assist the community as a whole.

Public Notice

NOTICE: The Consolidated Plan comment period has been changed to June 11, 2020, through July 12, 2020.

The City of Chattanooga held a VIRTUAL public meeting on Monday, June 15, 2020, at 3:00pm. The meeting was held via ZOOM. The focus of the meeting was to discuss the use of U.S. Department of Housing and Urban Development (HUD) funding for the next five years, which includes Community Development Block Grant (“CDBG”), HOME Investment Partnerships (“HOME”), and the Emergency Solutions Grant (“ESG”) grants. 

To view the meeting recording and presentation, see the links below.

Meeting presentation

Meeting Recording: https://youtu.be/tybAE8KNRVc

To view the full publication and Con Plan Executive Summary, see the links below.

2020-2024 Con Plan Publication

AVISO DE AUDIENCIA PÚBLICA PARA LA PARTICIPACIÓN CIUDADANAPLAN CONSOLIDADO DE CINCO AÑOS (2020 - 2024) Y ACCIÓN ANUAL (2020 - 2021)

2020-2024 Consolidated Plan and 2020 Action

Plan and Funding Recommendations

* The Consolidated Plan comment period has been changed to June 11, 2020, through July 12, 2020.

2020-2024 Draft Consolidated Plan and 2020 Action Plan

2020-2024 Con Plan Executive Summary

2020-2024 Con Plan Executive Summary (Spanish) - Resumen Ejecutivo

Draft Citizens Participation Plan

City of Chattanooga 2020-2024 Analysis of Impediments

Funding in Response to Covid-19

Community Development Block Grant Coronavirus (CDBG-CV) - $938,930.00

In response to the Coronavirus Pandemic (COVID-19) the U.S. Department of Housing and Urban Development (HUD) has informed the City of Chattanooga that it will receive $938,930 as a special allocation of Community Development Block Grant Coronavirus (CDBG-CV) funds to be used to prevent, prepare for, and respond to the coronavirus (COVID-19). This allocation was authorized by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), Public Law 116-136, which was signed by President Trump on March 27, 2020, to respond to the growing effects of this historic public health crisis.

The City of Chattanooga Department of Economic & Community Development hereby requests public comment from citizens within the community, private for-profit enterprises, and not-for-profit organizations for assistance in determining the use of the CARES Act funding.

Reprogrammed Prior Years’ CDBG - $600,000.00

The City is also reprogramming up to $600,000.00 of prior year’s CDBG funding, to respond to the COVID-19 pandemic by providing rental and utility payment assistance to eligible households. FY 2020-2021 CDBG funds already allocated to the City may also be used to respond to COVID-19.

Amendments to Plans

To enable the City to receive and administer the CDBG-CV allocation and any additional funding it may receive through the CARES Act, and to reprogram other CDBG funding, the City is amending its FY 2019 -2020 Action Plan, 2015-2019 Consolidated Plan and Citizen Participation Plan in accordance with 24 CFR 91.05(c)(2) and subpart B of the federal regulations relative to citizen participation for Community Planning and Development Programs and applicable waivers made available to those requirements through the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).

Public Comment Period and Process

A summary of the amendments and the draft documents are available for a 5-day public review and comment period from April 20, 2020, to April 24, 2020.

April 2020 Summary of Amendments

Amended 2015-2019 Consolidated Plan for COVID-19

Amended Citizens Participation Plan for COVID-19

Amended 2019-2020 Action Plan for COVID-19

Citizens wishing to submit comments regarding the recommended use of the CDBG-CV funds or the other amendments, during the public review and comment period, may e-mail them to: sgober@chattanooga.gov. Comments can also be made by phone at: (423) 643-7332 between the hours of 8:00am and 4:30pm, Monday through Friday or be mailed, postmarked no later than April 24, 2020, to the following address:

City of Chattanooga
Attention: Sandra Gober
Department of Economic and Community Development
101 E. 11th Street, Suite 200
Chattanooga, TN 37402

Notice of Funding Availability (NOFA)

The City of Chattanooga's Community Development Division hosted a public workshop to discuss anticipated funding that will be available under the following grant programs in FY 2020-2021: Community Development Block Grant (CDBG) and Emergency Solutions Grant (ESG)

Applications for FY 2020-2021 funding are now closed.

Learn about our 2020-2024 Consolidated Plan

The City’s Five-Year Consolidated Plan process has begun. The plan will set out the objectives and focus for the use of federal grant funding awarded by the U.S. Department of Housing and Urban Development (HUD) to develop viable urban communities by providing decent housing, a suitable living environment, and expanding economic opportunities for low to moderate-income residents. Read more about the upcoming 2020-2024 Consolidated Plan.

Several public meetings were held in 2019 to gather input from the community. A final public meeting was held on February 1, 2020, to discuss the findings of the input and data received. For more information, view the PowerPoint presentation that was given. 

Grant Funding Opportunities

Preservation and Production of Affordable Housing 

Through the following programs, the Department of Economic and Community Development (ECD) seeks partners to work within the preservation and production of affordable rental and owner-occupied housing units in the city.

The City accepts applications from qualified entities to produce and or preserve affordable housing using funding the City receives from the US Department of Housing and Urban Development (HUD), which include: Community Development Block Grant (CDBG), HOME Investment Partnership Act (HOME), and Neighborhood Stabilization Program (NSP) grant funds.

Funding for a project can range from $12,000 to $40,000 per unit. All assisted projects must serve households meeting income eligibility guidelines and be located within the city limits of Chattanooga.

There is no application deadline. Applications for funding are accepted on a rolling basis and funds awarded on a first come first served basis until all grant funds are allocated.

Visit our Applications & Guidelines page for more information!

HOME Affordable Housing Program

This program is for for-profit and non-profit developers who wish to develop or preserve affordable housing. 

Minor Home Repair Program

This program is designed to assist homeowners with minor home repairs who live inside the Chattanooga City limits. These repairs are completed through partnerships with selected non-profit organizations at no cost to the applicant. However, repairs are subject to approval by the City of Chattanooga, partnering agencies, and available funding. 

Landlord Renovation Program

This program assists landlords with the renovation of vacant, substandard rental units. Landlords can receive a grant to cover 50% of renovation costs, up to $15,000. Actual amount depends upon the number of bedrooms and cost of renovation.

Chattanooga Lead Safe and Healthy Homes Grant

The City of Chattanooga Office of Community Development administers a Lead-Based Paint Hazard Control Program that provides grant funding to prevent Childhood Lead Poisoning and improve health and safety conditions for low (owner-occupied homes) and very-low (landlord owned/tenant occupied homes) income families residing in homes built prior to 1978, within the City of Chattanooga zip codes. Homeowners, tenants in rental units, and rental property owners can apply.

Housing Resources

Fair Housing Program

Learn more about the Fair Housing Program, objectives and goals, activities, how to file a complaint, and contact info.

Uniform Residential Landlord and Tenant Act

Find out more about tenant and landlords laws in Tennessee.

RentWise (in English)

Rights and responsibilities of landlords and tenants in Hamilton County

Chattanooga Neighborhood Enterprise

CNE provides homebuyer down payment assistance, homeowner rehabilitation loans, and housing counseling.

Chattanooga Community Housing Development Organization (CCHDO)

CCHDO provides newly constructed affordable homes, affordable rental units, and roofing repair. Learn more about their roofing program.

Chattanooga Housing Authority

Chattanooga Housing Authority administers the Section 8 Program and maintains a list of affordable rental units.

Habitat for Humanity

Habitat provides newly constructed affordable homes and homeowner rehabilitation.

Housing Payment in Lieu of Taxes (PILOT) Program

The Residential PILOT Program is a financial incentive, which is designed to encourage multi-family rental development by freezing property taxes at the predevelopment level for a predetermined period of time.

2018 PILOT Application

Review the Scoring for the PILOT Program Application