NASHVILLE-TENN. – State Rep. John Holsclaw, R-Elizabethton, this week announced Carter and Unicoi counties will receive grant dollars as part of the overall $39.45 budget passed by the Tennessee General Assembly in June.
Carter County will receive about $1,175,000 and Unicoi County will receive $800,000.
The money is part of an overall $210 million support grant program for Tennessee cities and counties. These funds have no restrictions and will be used to address unique needs that are best determined by local and county leaders.
“I’m very pleased we were able to include this one-time funding in our budget to help address local revenue shortfalls caused by Covid-19,” Holsclaw said. “This money will go directly to local counties and city governments and they will determine how best to use it to provide services to residents,” Holsclaw said.
Other key allocations include $1,503,688 to Johnson City, Elizabethton will receive $327,858 and Watauga will receive $38,232.
In Unicoi County, the city of Erwin will receive $159,166 and the city of Unicoi will receive $$108, 938.
$39.45 billion budget expands tax free holiday
The Tennessee House of Representatives and Senate on June 19 approved a $39.45 billion budget that addresses the unexpected revenue shortfalls caused by the ongoing Covid-19 pandemic in Tennessee.
The Fiscal Year (FY) 2020-21 budget reduces the size of government through common sense reductions and cuts totaling $1.5 billion over a two-year period in efforts to address historic revenue losses. The budget does not raise taxes on Tennesseans.
The new state spending plan invests $350 million into Tennessee’s savings account, also called the Rainy Day Fund, totaling $1.45 billion. The budget also fully funds the Basic Education Program (BEP), covering both growth and inflation with a $50.3 million investment. It includes $10.6 million for health insurance and retirement for teachers and principals. The FY 20-21 budget supports higher education with a $50 million investment in new facilities.
The FY 20-21 budget focuses on boosting consumer and business confidence through the creation of a $25 million sales tax holiday, which will take place over two weekends in late July and early August 2020.
“We were very focused on boosting consumer and business confidence with the expansion of the sales tax holiday. This is great way to encourage people to shop and support local businesses hurt by shutdown, but also return tax dollars to citizens,” Holsclaw said.
Tennesseans will enjoy a sales tax holiday beginning Friday, July 31-Sunday Aug. 2. This year it will include goods normally included, like clothing and school supplies, but with double caps for any single item. That means the holiday applies to items under $200 for most eligible goods and computers under $3,000. Electronics not normally eligible – like televisions – will be included for the first time this year.
Also new this year is a tax free holiday for restaurants, which will begin Friday, Aug 7 and end Sunday, Aug. 9.
John Holsclaw serves as Chairman of the House Employee Affairs Subcommittee. He is also a member of the House Consumer and Human Resource Committee, Commerce Committee, Business Subcommittee, and Agriculture and Natural Resources Committee. Holsclaw lives in Elizabethton and represents House District 4, which includes Unicoi and part of Carter Counties. He can be reached by email at Rep.John.Holsclaw@capitol.tn.gov or by calling (615) 741-7450.
