Tennessee Gov. Bill Lee is proposing a $100 million, two-week sales tax holiday on restaurants, bars and groceries, as his administration looks to divvy up hundreds of millions of dollars in extra spending due to better-than-expected revenues during the COVID-19 pandemic.
On Tuesday, the Republican’s finance team presented a budget amendment to his $42 billion spending plan in front of lawmakers.
The proposal includes several other big-ticket spending additions: $55 million for three yet-to-be-named economic development projects; $79.4 million to add faculty, equipment and building renovations at community and technical colleges; and $35 million for new radios for state troopers and a statewide disaster communications system upgrade. The state’s positive revenue picture also coincides with a continued infusion of federal money in COVID-19 relief.
