CHATTANOOGA, Tenn. (AP) -- The Chattanooga City Council has adopted a new city budget that holds the line on taxes and gives pay raises to employees.
According to the Chattanooga Times Free Press, the vote Tuesday night was 5-4 in favor of the $209 million spending blueprint for fiscal 2012-13.
The budget does not require a property tax increase and will raise the pay of city employees and police officers. All civilian city workers will get a 3 percent raise. There is also longevity pay and the police career ladder program is fully funded.
Negotiations will continue next week on the city's capital budget.
The Council also voted Tuesday night to enter into a rate increase case against Tennessee American Water, which wants a nearly 25 percent rate hike for capital improvements.
Information from: Chattanooga Times Free Press, http://www.timesfreepress.com