Tennessee Governor Approves $3.3 Billion Transportation Investment

Tennessee Gov. Bill Lee (R) on April 13 signed legislation providing $3.3 billion in new transportation funding, including:

• A one-time general funding transfer;
• Higher fees on electric vehicle, gradually increasing from $100 to $274 annually then indexed to changes in inflation with a three percent cap;
• A new hybrid vehicle fee of $100; and
• Utilizing public-private partnerships to advance projects.

The bill, a major initiative from the governor’s office, received bipartisan support in the state legislature and was backed by dozens of organizations throughout the state.

Further reading:

• Plan overview.
• Governor’s press release.
• Legislation details.
• All 2023 State Transportation Funding Legislation.