NASHVILLE, Tenn. (WTVF) — A new bill, filed on behalf of Tennessee Lt. Gov. Randy McNally, would eliminate the funding district that pays down the debt from building Nashville's convention center — the Music City Center.
Republican Senate Majority Leader Jack Johnson officially filed SB 0648, which terminates future increases to the Metropolitan Government Tourist Accommodation Tax and previously authorized privilege taxes that were used to fund the downtown convention center that opened in 2013.
This appears to be the latest example of the Tennessee General Assembly seeking revenge for Metro Council snubbing the Republican National Convention from coming to town in 2024.
A spokesperson for Lt. Governor McNally said in part, "If Nashville wants to prioritize political posturing over prosperity for its people, that's their prerogative. But the state does not have to participate. If Metro has no interest in properly promoting convention tourism, they no longer require the special tax authority granted to them for that purpose," the statement reads.
The statement also says, "Nashville has been afforded certain tools for the express purpose of encouraging convention tourism to the city. Over the last year, Metro has made it clear they are no longer interested in aggressively recruiting top-tier conventions to Nashville. That message has been received loud and clear by the General Assembly."
A spokesperson for Nashville Mayor John Cooper tells NewsChannel 5 they are reviewing the legislation along with Metro Legal.
If the bill passes, it could cause a budgeting mess for Metro government and potential litigation from the bondholders, now that the terms of repayment would be changing abruptly. We asked a spokesperson for the Lt. Governor that part of the question, but they haven't responded.
It's also unclear what this would mean for Nashville or the State of Tennessee's bond rating.
A few weeks ago, Tennessee Republicans also filed legislation to cut Metro Council's membership in half.
While Republican leadership continues to say this move is meant to help the city as a whole, Speaker of the House Cameron Sexton also admitted to reporters on Tuesday that they haven't forgotten the RNC snub.
"They rejected it twice, not that we have hard feelings," said Speaker Sexton.
