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Gov. Bill Lee lays out education, public safety, rural health and technology priorities in 2026 State of the State
Summary
In a joint convention called by House Joint Resolution 742, Gov. Bill Lee outlined budget priorities including $340 million in new school funding, $80 million in grants for Memphis, requested reforms to unlock $1 billion in rural health funds, and announced a Tennessee Quantum Initiative.
Gov. Bill Lee delivered the State of the State address to a joint convention of the Tennessee General Assembly on Feb. 2, 2026, outlining a final-year agenda that centers on expanded education funding, public safety investments in Memphis, rural health reforms tied to federal dollars, and new technology initiatives.
Lee opened by acknowledging victims of recent winter storms and honoring Deputy Derek Bonham, then thanked the assembly for accomplishments over his administration. "We balance our budget. We grow our savings. We spend wisely," he said, and framed the coming year as one to "forge ahead" on education, safety and economic opportunity.
The governor proposed a budget that, he said, includes an additional $340,000,000 directed to public schools and cited past investments totaling more than $2,500,000,000. He also described plans to increase Tennessee Highway Patrol staffing, including permanently placing 100 troopers in Shelby County and moving toward a benchmark of 1,300 troopers statewide.
On health care, Lee said Tennessee will receive $1,000,000,000 over five years through a federal rural health transformation fund but said the state must pass statutory reforms "to make it easier for medical professionals to practice" and to modernize certificate of need laws that, he claimed, have blocked billions in investment.
Lee highlighted economic development wins such as Blue Oval City and said 2025 produced more than $11,000,000,000 in private investment. He announced the Tennessee Quantum Initiative to bolster quantum research and workforce development, and proposed an additional $25,000,000 for the state's nuclear fund.
The convention recessed to receive the governor and was later dissolved after the address. The legislature did not take floor votes on the governor's proposals during the joint convention; follow-up action will proceed through the regular appropriations and committee process.
