NASHVILLE, Tenn. (CLARKSVILLENOW) – In his final State of the State address to the General Assembly, Gov. Bill Haslam challenged all Tennesseans to lead the nation in creating high-quality jobs, improving education, and providing the most efficient and effective state government services.

“Seven years ago we raised our expectations. We became the kind of leaders who didn’t just talk about cutting taxes and enhancing services, we actually did lower taxes while growing our economy and providing access to high quality education. We cannot lose the momentum we have worked so hard to build,” Haslam said.

The governor’s proposed $37.5 billion budget continues his focus on jobs, education, and efficient and effective government.

His spending plan is as follows, according to the Associated Press:
-$211.8 million more for K-12 education, including $55.1 million for teacher pay raises.

-$197.6 million for capital investments, including $109.2 million for improvements and $88.4 million for maintenance, largely focusing on the state’s current real estate.

-$140.3 million more in state funding for TennCare, the state’s Medicaid program that covers more than 1.4 million people, including $51.4 million due to medical inflation and program utilization, $36.7 million for development of a new eligibility system and $17.1 million due to increased pharmaceutical costs.

-$128.3 million more for job growth investments, including $80 million to recruit new businesses and support workforce training, marketing and education; $12.5 million to aid in rural development; $12 million for the last of a three-year commitment to aid St. Jude’s Children’s Hospital; $10 million for the second of three years of broadband accessibility grants; and $3.2 million for film, television and interactive media incentives.

-$99.1 million more for higher education, including $37 million for pay raises, $28.6 million for operational costs and $10 million for student assistance awards.

-$50 million to bring the state’s Rainy Day Fund to $850 million.

-$30.7 million in bonds for wastewater improvements at the Memphis Regional Megasite.

-$30 million to help fund Haslam’s proposal to fight opioid abuse, TN Together. Through $14.5 million in state funding, the plan includes $10.2 million for treatment, $2.2 million to hire 10 new Tennessee Bureau of Investigation agents dedicated to opioid casework and more than $1.8 million for prevention. An additional $14.5 million in existing funding and federal money is also available.

-$25.8 million for pay increases for state employees.

-$10.5 million to pay a better rate to providers of children’s services, mental health services and care for the developmentally and intellectually disabled.

-For the current, not upcoming, budget year, economic development money of $20 million will go to automotive supplier DENSO and $18 million to Tyson Foods to expand operations in Tennessee.

Haslam reflected on the past seven years and named some of his accomplishments:

• Lowest unemployment rates in the state’s history and a job growth rate greater than 17 percent, with nearly 400,000 net new private sector jobs created;
• The fastest-improving students in the nation, across math, reading and science, and the highest high school graduation rates the state has ever seen;
• With the proposed Fiscal Year 2018-19 budget, nearly $1.5 billion invested into K-12 education, with $500 million going to teacher salaries;
• More than $500 million in tax cuts to Tennesseans, including a 30 percent cut on groceries;
• A cut in year-to-year spending by more than a half billion dollars; and
• Tripling the state’s Rainy Day Fund.