UPDATE: The motion to approve a Business Improvement District, or BID, failed at Chattanooga City Council Tuesday night for a lack of a second motion.

Attorney Charles Paty whose practice would be affected is pleased the business improvement district failed.  

"I think that was stunning. I thought they would have addressed, or at least have gotten to a vote to determine whether or not they were going to do it,” Paty said.

But most owners at the meeting felt differently. Dozens stormed out of the city council meeting, after the motion failed.

They say the money they would have paid would help clean up the streets in the district.

But most city council members still believed there were too many issues with this proposal.

"I think it's a great idea that folks want to get together and clean up their neighborhood, I mean, I think it's fantastic. I just think there are some logistical issues in here that I think as a council we would have liked to have had a shot at and to talk more about it. This is a tax. Let’s stop calling it a fee,” Councilman Darrin Ledford said.

Ledford wasn’t the only council member concerned.

"It's really a shame that this council is this divided over this issue,” Councilman Chip Henderson said.

"The fact that you are asking to be taxed because we aren't doing our job troubles me," Councilman Ken Smith said. "I think this is something that we need to look at a little bit closer."

River City Company President Kim White, who proposed the idea, did not want to comment on the outcome.

Paty says there are other ways for businesses to help keep the streets of Chattanooga clean.

"I don't think that money I earn should go to private individuals for their public or pet projects,” Paty said.

Though the motion failed, business owners who were in favor of the proposal can present it again to the city within the next year.

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PREVIOUS UPDATE: An ordinance to create a Chattanooga Business Improvement District (CBID) failed at Tuesday night’s city council meeting for a lack of a second motion.

City council members were split over the idea to create a CBID. However, a majority of property owners at the meeting appeared to support the idea.

Residents who opposed the CBID said they were concerned over the impact it would have on small businesses and said it should serve all of Chattanooga not just parts of it.

Because the CBID failed to get a second motion, the ordinance can be revisited within the next year.

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ORIGINAL STORY: Downtown Chattanooga is constantly evolving.

Chattanooga City Council is holding a public hearing on the creation of a Business Improvement District.

Now, 200 property owners are coming together to create the change they want to see through a business improvement district.

They say they need additional services in their areas like extra cleaning, safety, and beautification.

“Bottles that don't make it into the trashcan,” said Amy Donahue. “They want people who can immediately respond to tagging, graffiti or stickering, and remove them.”

Amy Donahue with River City Company says these services will cost property owners extra money.

She says the fee varies on property size.

“How much your building front is on the sidewalk,” said Donahue. “The idea is that a lot of these services will mainly impact the sidewalk area.”

The lowest fee for a business in this district is $18, and it goes up from there.

That adds up to a little less than a million dollars per year.

Community Pie is one of the businesses that would be in the district the General Manager Brian Scott says this fee is worth it.

However, he knows some may not like the idea of change right away.

“It's a little inconvenient to get to work if you have to reroute,” said Brian Scott. “The direction we should go in, parking if they shut down roads, meters or streets.”

During the public hearing, the council must also vote on passing this resolution.

If approved, the River City Company will move forward with creating a board of directions.