SIGNAL MOUNTAIN — The Signal Mountain Council voted 3-2 on July 15, 2026, to abandon a $1.9 million state grant for Old Town sidewalk repairs and instead repair existing sidewalks using city employees. The decision shifts responsibility for the long-stalled infrastructure project from a state-funded program to in-house municipal work.

The grant originated in 2012 from the Tennessee Department of Transportation (TDOT) to rehabilitate sidewalks in Old Town. Initially valued at $2.4 million, the grant required the town to contribute $120,000. By 2026, the grant’s current value had decreased to $1.9 million, while Signal Mountain’s financial obligation had tripled to $360,000.

Council member Charles Poss supported the move to abandon the grant only if the council committed to completing sidewalk repairs internally. “The council made a commitment 14 years ago to residents in Old Town that should be honored,” Poss said. He added, “I would agree to abandon the grant if the council committed to finishing the sidewalks in house.”

Vice Mayor Clay Crumbliss agreed with the in-house repair plan but emphasized that it should not include constructing entirely new sidewalk sections to fill gaps. Mayor Elizabeth Baker expressed caution, stating she would not make a commitment “before knowing the cost to complete the work.” Councilman Andrew Gardner opposed the plan, arguing that the town’s money “would be better spent on a bike/ped path in a high traffic area or for air conditioning the gym.”

City staff will address how to handle gaps in the existing sidewalk network in future discussions. If the grant is officially abandoned, the town would need to repay $112,000 already spent on the project and face an additional $563,000 shortfall to complete the work under the original scope.

The council’s decision affects how Signal Mountain manages a 14-year-old infrastructure commitment and reallocates limited municipal resources. Abandoning the TDOT grant could trigger a single audit requirement if the town receives over $1 million in federal funds during the fiscal year, adding administrative oversight.