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Saturday, November 14, 2026Nov 14

Chattanooga City Council approves $50,000 for displaced Budgetel motel guests

Staff Photo by Olivia Ross  / Guests and officers stand outside the Budgetel on Nov. 16. After being told to leave the motel, many guests of the extended-stay motel in East Ridge, begin packing their belongings that morning.
Staff Photo by Olivia Ross / Guests and officers stand outside the Budgetel on Nov. 16. After being told to leave the motel, many guests of the extended-stay motel in East Ridge, begin packing their belongings that morning.

The Chattanooga City Council voted unanimously on Tuesday to allocate $50,000 to help keep people displaced from the Budgetel Inn housed in hotel rooms.

Council members approved their end of an agreement between the city and county following a presentation from the city’s Office of Homelessness and Supportive Housing and the Chattanooga Regional Homeless Coalition.

“I’m a little perplexed why anyone would begrudge taxpayer dollars going to help and aid in a human crisis such as this,” council member Chip Henderson of Lookout Valley said during an agenda review meeting Tuesday.

The Hamilton County Commission is set to vote on its own proposed $50,000 contribution during a meeting Wednesday morning.