State Budget Passes; Includes Additional Funding and Authorization for University Priorities

 

On April 18, both chambers passed the fiscal year 24-25 state budget. In addition to investments made in the base budget, the legislature funded the $29.65 million request for the Gross Anatomy Lab at the UT Health Science Center.  This allocation marks the single largest legislative investment for higher education and is the second-largest legislative investment overall. Additionally, this allocation is nearly nine times the total amount provided by the legislature for all other higher education institutions combined. UT Advocacy is thankful to the sponsors, UTHSC alumnus Lt. Gov. Randy McNally (R-Oak Ridge) and Rep. Ron Gant (R-Piperton), for championing this critical initiative.

The legislature further provided more specific budget language authorizing UT Knoxville to spend $10 million in institutional funds to move forward with performing early site work, procuring long lead time equipment, and completing planning through construction documents for the purpose of constructing a new chemistry building. This authorization is notable as it will allow the project to advance in a manner typically reserved for projects that have already received funding. The university will continue working with the Administration and the General Assembly to address the $165M state funding needed for the building.

The final budget language includes progress toward all three of UT’s top funding priorities, and the UT campuses were the only higher education institutions to receive capital outlay funding in the budget. In a year where the budget faced considerable resource constraints, the continued support for higher education from our state elected officials is especially commendable. Thank you to all the UT Advocates who reached out to state leaders in support of our top budget priorities.

In total, the final budget includes the following investments benefitting the University of Tennessee:

Capital Maintenance/Outlay

  • $66.42 million to fund UT Chattanooga’s Fletcher Hall/Rollins College of Business
  • $29.65 million to renovate the Gross Anatomy Lab at the UT Health Science Center
  • Authorization for UT Knoxville to spend $10 million in institutional funds to perform early site work, procure long lead time equipment, and complete planning through construction documents for the purpose of constructing a new chemistry building.
  • $22.5 million for five capital maintenance projects across the UT System

People and Operations

  • A 3% salary pool increase for state employees
  • A fully funded outcomes formula, which will result in $13.3 million for UT Chattanooga, UT Knoxville, and UT Martin
  • $899,700 recurring to fund operating increases at the UT Health Science Center, College of Veterinary Medicine, and UT Southern
  • $8.6 million for staff benefits cost increases

Partnerships & Coalition Priorities

  • $18 million to support the Healthy Smiles Initiative, aimed at increasing the number of dentists practicing in Tennessee in partnership with the UT Health Science Center
  • $6.5 million recurring to build out a dental clinic in Kingsport, TN that will expand service opportunities for the Healthy Smiles Initiative
  • $2.5 million non-recurring for TNGO (Transportation Network Growth Opportunity), an initiative in partnership with UT to transform Tennessee’s innovation economy by attracting automotive and mobility research and development investment