Governor Lee proposes $58 billion budget with nuclear energy, education investments

NASHVILLE, Tenn. (WVLT) – Governor Bill Lee delivered his final State of the State address to the General Assembly, proposing a nearly $58 billion budget that prioritizes nuclear energy investments and education funding.

“It has been the highest honor of my life to serve along side you,” Lee said during his address.

Previous Coverage: Gov. Bill Lee delivers final State of the State address

Lee wants to invest nearly $340 million in public schools, with plans to raise new teacher pay to $50,000 by 2027. The governor also proposed doubling the state’s school voucher program, potentially offering it to 40,000 families.

“Growing the program would open the door of opportunity for thousands of more children statewide,” Lee said.

Some lawmakers have expressed uncertainty about whether the state has sufficient funding for the expanded voucher program, though Tennessee House Speaker Cameron Sexton wants to move forward with it.

The governor called on state leaders to invest more than $100 million in nuclear energy and future innovation, positioning Tennessee as the nation’s leader in what he called the “nuclear renaissance.”

Lee said $8 billion has already been invested in nuclear energy in Tennessee, creating thousands of new jobs. He is asking lawmakers to invest $25 million solely for the nuclear energy fund.

“They’ve called Tennessee the original frontier. Now, it’s time that we are the future frontier,” Lee said.

The governor said Tennessee is on track to be the first state to have a small modular reactor that will help produce electricity. That reactor would be located in Oak Ridge.

Lee announced the state will receive $1 billion over the next five years from a national grant for better rural healthcare.

“It takes legislative action to make it easier for medical professionals to practice and easier for rural health care facilities to operate,” Lee said.

The governor also wants to invest nearly half a billion dollars in TDOT to help fund current and future road projects across the state and the state to invest $20 million for improvements at West Tennessee and East Tennessee’s Regional Juvenile Justice Centers.