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Wednesday, November 11, 2026Nov 11

Chattanooga City Council approves $19 million loan for wastewater system repairs

Staff file photo by Troy Stolt / The Moccasin Bend Wastewater Treatment Center is seen on Saturday, March 28, 2020, in Chattanooga, Tenn. The Chattanooga City Council on Tuesday unanimously approved a $19 million loan from the state to prevent sewage overflows.
Staff file photo by Troy Stolt / The Moccasin Bend Wastewater Treatment Center is seen on Saturday, March 28, 2020, in Chattanooga, Tenn. The Chattanooga City Council on Tuesday unanimously approved a $19 million loan from the state to prevent sewage overflows. Staff file photo by Troy Stolt / The Moccasin Bend Wastewater Treatment Center is seen on Saturday, March 28, 2020, in Chattanooga, Tenn. The Chattanooga City Council on Tuesday unanimously approved a $19 million loan from the state to prevent sewage overflows.

The Chattanooga City Council on Tuesday unanimously approved a $19 million loan from the state to make improvements to its wastewater treatment system that officials say will cut back on sewage overflow.

The loan will help fund the city’s part of a 2013 agreement with the state and the Tennessee Clean Water Network to address aging infrastructure that had resulted in problems with sewage overflow and groundwater making its way into cracked piping. The improvement work would begin early next year and be complete in late 2024, according to city officials.

“Nobody, nobody wants to live in a city walking around in sewage,” said council chair Chip Henderson of Lookout Valley. “And basically what we’re doing is cleaning that up.”

The $19 million loan from the Tennessee Department of Environment and Conservation, which will have an estimated 1% interest rate, will bolster a $15 million loan from last year.

Project cost estimates range from $34 million to $39.1 million, so any remaining funds that would be required would be taken from sewer rate fees.