A little-known state funding program buried in Tennessee's budget bill can help offset your capital and workforce costs—if you know where to look.
Most Tennessee property and business owners don't realize that HB2631, the state's fiscal appropriations bill for 2025–2026, contains a direct funding opportunity that can help offset infrastructure and job training expenses. The provision is easy to miss—it's buried in the budget language—but it represents real money available to qualifying businesses right now.
HB2631 appropriates $25,006,400 for fiscal year 2026–27 to the FastTrack Infrastructure and Job Training Assistance program. This is a state grant program designed to help businesses—including small businesses—pay for two specific things: infrastructure improvements and employee job training costs.
The program's core purpose is straightforward: the state provides direct grants to offset these capital and workforce costs as an incentive for job creation or job retention in Tennessee. If your business is planning facility upgrades, equipment purchases, or employee training initiatives, FastTrack grants can reduce what you pay out of pocket.
For property owners and managers, this is relevant in several ways. If you operate a business on your property or manage commercial real estate with tenants, your tenants may qualify for these grants. A tenant planning renovations, equipment upgrades, or staff training could use FastTrack funds to improve the property—which benefits both the business and the landlord. Additionally, if you own and operate a business alongside your property holdings, you may directly qualify.
The grants reduce the financial barrier to capital projects and workforce development, which can make your property more attractive to quality tenants and support business stability in your portfolio.
The appropriation is effective for the fiscal year beginning July 1, 2026. Importantly, under Section 32, Item 2 of HB2631, any unexpended balances are reappropriated each year—meaning unspent funds roll forward, so the program is designed for continuity, not one-time availability.
The specific appropriation language appears in Section 32, Item 1 on page 68 of HB2631. This is the official citation if you need to reference the provision with state agencies or your accountant.
If you think your business or a tenant's business might qualify, the next step is to contact the Tennessee Department of Economic and Community Development (ECD), which administers FastTrack. They can confirm eligibility, explain the application process, and clarify what types of infrastructure and training expenses qualify.
This isn't a loan or tax credit—it's a direct grant. That distinction matters. Understanding what's available and how to access it can meaningfully reduce capital costs and support workforce initiatives without adding debt.
For a detailed breakdown of HB2631's property-related provisions, a free guide is available through the Tennessee Association of Realtors and local business development resources.