Increasing the amount of affordable rental housing available to low-income Knoxville residents is the top priority outlined in the draft Annual Action Plan compiled by the City’s Community Development Department.

“Over the course of last year, it became clear to us and housing and homeless service providers how few low-income rental homes and apartments were available in the City,” said Community Development Coordinator Linda Rust.

The dearth of this type of housing is due to several property owners either upgrading their properties and raising the rents or deciding to stop taking housing vouchers. “It’s difficult to achieve our goal of preventing, reducing and ending homelessness without affordable rental housing,” Rust said.  

The draft 2017-2018 Annual Action Plan outlines how the City proposes to use the funds allocated by the U.S. Department of Housing and Urban Development (HUD), including Community Development Block Grant (CDBG), HOME Investment Partnership (HOME) and Emergency Solutions Grant (ESG) funds for the third year of the Five-Year Consolidated Plan. In most years, the draft’s numbers are based on specific funding details provided by HUD near the first of the calendar year. However, Congress has yet to approve a national budget, which would determine how much national funding cities and states will receive for housing and development programs. Estimates in the draft plan are based on funding remaining the same as the previous fiscal year. 

For the program year beginning July 1, 2017, the City estimates receiving $1,324,336 in CDBG, $740,015 in HOME funds and $161,250 in ESG funds. The City also estimates receiving approximately $150,000 in CDBG program income and $370,827 in HOME program income. 

As noted in the draft, the City plans to allocate almost 90 percent of its total estimated funds to affordable housing activities, with almost 30 percent allocated for the construction of 167 new units of affordable rental housing for low- and very low-income residents. 

The draft Annual Action Plan is available for public review for 30 days starting April 10 and can be found via the following means:

• Online at www.knoxvilletn.gov/development;
• In person at the Department of Community Development, fifth floor of the City County Building, 400 Main Street, or at the Knoxville-Knox County Community Action Committee, 2247 Western Ave.; and
• By calling the Community Development Department at 865-215-2180.

Comments may be sent any time before May 9 to Linda Rust via email at [email protected], via fax to 865-215-2962 or in writing by postal mail to:

Linda Rust
City of Knoxville
Community Development Department
P.O. Box 1631
Knoxville, TN 37901

A public hearing on the draft Annual Action Plan will be held within the public comment period, by which time City officials hope to know more about the HUD allocations. The date, time and location of the public hearing will be announced.