Governor Bill Lee outlines education, rural health, public safety and tech priorities in 2026 State of the State
February 02, 2026 | 2026 Legislature TN, Tennessee
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Governor Bill Lee delivered the 2026 State of the State to a joint convention of the Tennessee General Assembly on Feb. 2, outlining budget priorities and policy proposals that center on education funding, rural health, public safety and economic development.
Lee proposed an additional $340 million for public schools in the coming budget and said starting teacher pay would rise from $35,000 in 2019 to $50,000 in 2027. He also urged an expansion of the Education Freedom Scholarship program, noting 54,000 applications this year for 20,000 available scholarships and estimating 34,000 students remain on a waiting list.
On health care, Lee said federal awards through the Rural Health Transformation Fund will provide Tennessee $1 billion over five years but that state legislative action is needed to remove regulatory barriers so rural providers can operate. He singled out certificate-of-need laws, saying they have prevented roughly $1.5 billion in health-care investment since 2000 and urged lawmakers to finish reforms begun in prior sessions.
Lee highlighted public-safety gains in Memphis credited to the Memphis SAFE task force, saying crime in Shelby County is down about 55% and that a new missing-child unit has recovered dozens of children. The governor proposed $80 million in grants to bolster momentum in Memphis and said his budget would permanently place 100 Tennessee Highway Patrol troopers in Shelby County, while an additional 50 trooper positions proposed this year would allow the state to reach a benchmark of 1,300 troopers.
On economy and technology, Lee cited more than $11 billion in investment in 2025, praised projects such as Blue Oval City, and described Tennessee’s nuclear fund as having attracted about $8 billion in private investment; he proposed adding $25 million to that fund. He also announced the Tennessee Quantum Initiative to expand quantum research and workforce development.
The joint convention convened under House Joint Resolution 742 to hear the address and was dissolved after the governor finished.
Lee proposed an additional $340 million for public schools in the coming budget and said starting teacher pay would rise from $35,000 in 2019 to $50,000 in 2027. He also urged an expansion of the Education Freedom Scholarship program, noting 54,000 applications this year for 20,000 available scholarships and estimating 34,000 students remain on a waiting list.
On health care, Lee said federal awards through the Rural Health Transformation Fund will provide Tennessee $1 billion over five years but that state legislative action is needed to remove regulatory barriers so rural providers can operate. He singled out certificate-of-need laws, saying they have prevented roughly $1.5 billion in health-care investment since 2000 and urged lawmakers to finish reforms begun in prior sessions.
Lee highlighted public-safety gains in Memphis credited to the Memphis SAFE task force, saying crime in Shelby County is down about 55% and that a new missing-child unit has recovered dozens of children. The governor proposed $80 million in grants to bolster momentum in Memphis and said his budget would permanently place 100 Tennessee Highway Patrol troopers in Shelby County, while an additional 50 trooper positions proposed this year would allow the state to reach a benchmark of 1,300 troopers.
On economy and technology, Lee cited more than $11 billion in investment in 2025, praised projects such as Blue Oval City, and described Tennessee’s nuclear fund as having attracted about $8 billion in private investment; he proposed adding $25 million to that fund. He also announced the Tennessee Quantum Initiative to expand quantum research and workforce development.
The joint convention convened under House Joint Resolution 742 to hear the address and was dissolved after the governor finished.
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