NASHVILLE, Tenn. – State Rep. Ed Butler, R-Rickman, has passed legislation to extend a key economic development program supporting courthouse square revitalization projects across Tennessee.

The Tennessee General Assembly today approved House Bill 388, which provides a 10-year extension for eligible municipalities to continue receiving state sales tax revenue tied to courthouse square revitalization efforts. The program was originally set to expire in 2028, but will now continue through June 30, 2038.

The legislation builds on the success of the Courthouse Square Revitalization Pilot Project Act of 2005, which was designed to help communities strengthen local economies by improving infrastructure, supporting business development and enhancing the vitality of historic downtown districts.

“Courthouse squares are often the heart of our cities and towns, and this legislation ensures communities can continue building on the investments they’ve already made,” said Butler. “This extension provides the stability and long-term support municipalities need to spur economic growth and attract new opportunities.”

The extension allows six existing courthouse revitalization projects across the state to continue receiving annual allocations, preserving momentum in ongoing redevelopment efforts. Sales tax revenue allocated for these projects is estimated to exceed $3.7 million annually, helping local governments avoid revenue losses and continue investing in economic growth.

House Bill 388 now heads to Gov. Bill Lee’s desk to be signed into law. 

Rep. Ed Butler represents District 41, which includes Overton, Morgan and parts of Anderson, Fentress and Roane counties.

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