The state announced on Monday a $100 million, no-interest loan program to help counties hit by recent tropical-storm flooding cover immediate costs for water, sewer and dangerous debris removal while they await federal reimbursement.

"It is a hundred million dollar no low no interest loan," said Speaker 1, who introduced the Helene Emergency Assistance Loan program, or HEAL, at an emergency-operations briefing. He said the fund is intended as an "interim strategy" to bridge a fiscal gap counties face when federal disaster reimbursements arrive slowly.

Under the plan, counties that are part of the disaster declaration are eligible for assistance; Speaker 1 listed Carter, Claiborne, Grainger, Greene, Hamblen, Hawkins, Jefferson, Johnson, Sevier, Sullivan, Unicoi and Washington counties. The administration said $65 million of the pool will target dangerous-debris removal for distressed and at-risk counties, while $35 million will be set aside for drinking-water and wastewater structural recovery across the eligible counties.

Officials said the loan fund will draw from a portion of TennCares Medicaid-waiver "shared-savings" dollars, which the administration says are expressly targeted for health and welfare programs. "The health and well-being of the community is the primary focus here," Speaker 1 said when describing the rationale for the funding source.

State emergency-management officials have opened multi-agency resource centers in the region and an East Tennessee disaster response center in cooperation with Bristol Motor Speedway to centralize services, intake donations and coordinate volunteers, the governors office said. Patrick Sheehan, director of the Tennessee Emergency Management Agency (TEMA), was cited as helping run those operations.

Transportation officials said 700 TDOT workers are deployed to restore bridges and roads; partial openings on I-26 near Erwin and work to restore a lane on I-40 to allow two-way traffic were described as priorities. The administration also announced temporary tax relief measures for affected residents and businesses, including sales-tax relief and postponed franchise and excise tax filings to provide short-term financial breathing room.

Speaker 1 said the state has already begun the process to determine how HEAL funds will flow to counties and that the Tennessee Finance Agency (FNA, named in the briefing) is developing the grant structure. "We've already begun the process of determining the pathway for funds to get out into those counties," he said, noting counties will be asked to provide details about needs and timing to shape awards.

When asked about families of workers affected by a separate plastics-plant incident, Speaker 1 said the Tennessee Bureau of Investigation is involved in that inquiry and that families have access to search-and-rescue and other state services in Erwin and in the region.

The state also cited federal assistance: Speaker 1 said U.S. Department of Transportation quick-start funds of $32,000,000 have been made available to accelerate repairs, and that the administration is working with FEMA and other federal partners to secure further reimbursements.

Officials described HEAL as a temporary, bridge financing mechanism. The administration said the loans are zero-interest and expected to be repaid when federal reimbursement arrives, though no firm repayment schedule was detailed in the briefing.

Next steps: the Tennessee Finance Agency will finalize grant rules and eligibility mechanics, county mayors will submit needs assessments to the state, and officials said they will continue to provide regular updates on the HEAL rollout and reconstruction progress.