Chattanooga leaders could have another way to stimulate construction of affordable housing under a bill approved Thursday by the Tennessee House of Representatives.
Under voluntary incentive programs created by local governments, developers may, for example, be able to add more units to a housing project in exchange for charging more affordable rents. The legislation cleared the Tennessee Senate on March 18 and now awaits Gov. Bill Lee’s signature. State Sen. Todd Gardenhire, R-Chattanooga, sponsored the bill.
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“It doesn’t require any city or developer to do anything,” Gardenhire said in a phone call. “It’s strictly a voluntary housing incentive. It doesn’t say what those incentives need to be. It leads it up to the local planning agencies or commissions to do what makes sense for their communities. It opens up a wide range of things.”
Chattanooga City Council Vice Chair Jenny Hill, of North Chattanooga, said incentives possible through this legislation would give Chattanooga new tools to encourage the development of affordable housing. Hill chairs the council’s affordable housing committee.