CHA moves forward with Fairmount development

The Chattanooga Housing Authority is headed for a fall, Mayor Ron Littlefield says, and it's all due to the organization's stubbornness.

"The housing authority continues to run full tilt in the direction that might be headed toward the end of a cliff," Mr. Littlefield said. "It seems to be their intent to ignore everyone's advice except their own will."

Mr. Littlefield made the statements in response to the CHA's decision Friday to proceed with plans to renovate public housing at Fairmount Avenue Apartments in North Chattanooga, despite opposition from the mayor and homeowners who live near the street.

"We appreciate all that the mayor has done, but we made the decision based on what is best for the residents of the Chattanooga Housing Authority," said Eddie Holmes, chairman of CHA's board. "There is a lack of housing for low- to moderate-income residents, and this is an opportunity to create that housing."

The $4.2 million for the work -- which will turn the 24-unit complex into a more energy-efficient complex with 36 units -- is coming from the U.S. Department of Housing and Urban Development. Mr. Littlefield said he's going to ask HUD to stop the funding.

The site, located at the end of a narrow dead-end street on a steep hill, has physical limitations, Mr. Littlefield said.

Fairmount Avenue homeowners said the housing authority excluded them from decisions about the property that will directly affect them.

"Today's meeting was a formality to get the check cut," said Pete Lapino, spokesman for Friends of Fairmount. "They don't have to listen to us. We have no authority."

He said he plans to stay, but some residents already have started putting their property up for sale.

On Friday, the housing authority voted to pay $284,170 to Hefferlin and Kronenberg Architects for the demolition and redevelopment of Fairmount Avenue.

Housing officials say they have compromised with residents and will continue to take their suggestions into consideration as they develop plans for the site.

Because of residents' concerns, the housing authority reduced the number of planned units at the site from 48 units to 36. CHA officials said they also plan to put walking trails on the site to address pedestrian safety concerns.

HUD approved the density reduction this week but reduced CHA's funding from the initial $4.8 million to $4.2 million.

HUD told CHA officials that they were still responsible for meeting HUD deadlines despite dealing with the public opposition for nearly two months.

HUD awarded the money in September and is giving the agency a year to allocate all the funds, CHA officials said.

WHAT'S NEXT

Fairmount Avenue residents said they will seek a meeting directly with the U.S. Department of Housing and Urban Development. Mayor Ron Littlefield said he will ask HUD to stop funding for the project.