Nashville Tourism Board Discussed Tax Relief Grants
Bar owners face pressure from rising property valuations, prompting potential relief from a new state-led board.
Updated on Oct. 12, 2026 in Hospitality
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Should local governments use tax revenue to bail out businesses facing property tax increases?
The Joint Capital Tourism Board met recently to discuss the distribution of excess tourism tax revenue. Nearly 2,600 businesses within the local tourism development zone may be eligible for grants as operators face higher tax bills linked to property value increases.
Why it matters
Business owners in Nashville are managing higher operational costs following a 45% increase in property values throughout 2025. This board now manages a potential mechanism to offset those valuation-driven tax spikes through property tax relief.
Nashville property values rose 45% in 2025 while the city maintained its tax rate, impacting nearly 2,600 businesses in the tourism development zone. The nine-member Joint Capital Tourism Board now holds the authority to provide relief grants.
The players
Joint Capital Tourism Board
A nine-member body created by Tennessee state lawmakers to manage and distribute excess tax revenue from Nashville's designated tourism development zone.
Bill Haslam
A board member and the majority owner of the Nashville Predators, a professional NHL franchise operating out of Bridgestone Arena.
The details
The board, created by state lawmakers earlier this year, oversees excess revenue originally intended for East Bank road infrastructure. While the city did not raise its property tax rate, the significant spike in assessed values has caused actual tax bills for businesses on Broadway to climb. Operators are looking to this board to potentially approve financial bailouts that could help bridge the gap between fixed tax rates and higher property-driven assessments.
Timeline
2025: Nashville property values rose 45%.
Earlier this year: Tennessee lawmakers created the Joint Capital Tourism Board.
Earlier this month: The board met for the first time.
End of 2026: Determination of excess tourism tax revenue amount.
2030: Super Bowl held at the new Titans stadium.
Market Landscape
The board's discussion marks a shift in how officials weigh immediate relief for local businesses against the East Bank road improvement funding mandate. This development follows a pattern of localized friction between rapid development-driven property valuation and existing operational overhead.
Operators in the tourism zone should monitor board meeting minutes for specific grant eligibility criteria and application timelines. Consult with your tax accountant to determine how your current property assessment compares to your total operational budget for the 2026 fiscal year.
The takeaway
The emergence of this board suggests that state oversight of local tourism tax revenue is becoming a key factor in managing downtown operational costs. Monitor the board's upcoming revenue determinations by the end of 2026 to see if your business qualifies for relief funding.
Further reading
For more on the operational environment for local venues, visit Nashville Hospitality.
Live Poll
Should local governments use tax revenue to bail out businesses facing property tax increases?
