Tourism in Tennessee has been booming for years, but state officials say they need $30 million in extra money to keep the momentum going.

Why it matters: Millions of dollars in federal pandemic relief money have greatly expanded the state Department of Tourist Development's budget since 2020. But that money is running out.

• If the state doesn't step in to replace the expiring federal funds in the next budget, the department says it will face a 60% cut.

What they're saying: "Our agency's at a crossroads," tourism commissioner Mark Ezell told Gov. Bill Lee in November. "We don't want to go backwards."

State of play: In fiscal year 2020, the Department of Tourist Development's budget was $21 million.

• A surge in federal funding that started during the pandemic more than doubled that total for years. It reached $57 million last year.
• The added money covered expanded marketing, more grants to help rural communities improve tourism, and efforts to attract more international flights.

Yes, but: The Tourist Development budget could fall back to a baseline of $22.6 million in fiscal year 2025-26, which starts in July, unless the state fills the gap.

Zoom in: During a budget hearing with Lee, Ezell sought to make the case that $30 million in extra state spending would be a worthwhile investment that would pay off by attracting a crush of new revenue.

By the numbers: Tennessee tourism has soared since the pandemic.

• In 2023, visitor spending generated $1.9 billion in state tax revenue, according to state estimates.
• That's an increase of about $600 million over 2018.

"We have a proven track record about what return can be generated with increased spending," Ezell said.

• "As we've used more budget to tell more people about Tennessee, the money is coming in."

The big picture: Many other state agencies are facing similar situations as federal pandemic aid winds down, according to Brandon Gibson, the governor's chief operating officer. But Gibson praised Ezell during the agency's Nov. 13 budget hearing for making "a business case for potential spending."

• "I don't know that a department has come in with as much data and dollars and cents to make an argument like you have that the investment makes a difference to the bottom line of the state budget."

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Nashville's new flights to Ireland and Iceland, which launch in 2025, will bring in "hundreds of millions of dollars in revenue streams" over the next several years, according to Tennessee's top tourism official.

Why it matters: During the Department of Tourist Development's budget hearing last month, commissioner Mark Ezell said international travelers spend "about five times" what domestic visitors do during a Tennessee trip.

Between the lines: Attracting more international travelers is key to Ezell's strategy for growing tourism spending.

It's time to send 2024 out in style with music. Several top concerts are coming to town this month.

🎹 Dec. 2: Ben Folds at the Schermerhorn Symphony Center

🎶 Dec. 5: Pentatonix at Bridgestone Arena

💚 Dec. 6-7: Kacey Musgraves at Bridgestone Arena

🎤 Dec. 11-12: Leslie Odom, Jr. with the Nashville Symphony at the Schermerhorn Symphony Center

😭 Dec. 12: Justin Timberlake at Bridgestone Arena

🤝 Dec. 13: Little Big Town + Sugarland at Bridgestone Arena

😎 Dec. 15: Fuerza Regida at Bridgestone Arena

🎄 Dec. 15-21: Amy Grant and Vince Gill's Christmas residency at the Ryman Auditorium

🥁 Dec. 17-20: For King + Country at the Opry House

✨ Dec. 19: Suki Waterhouse at the Ryman Auditorium

🎁 Dec. 20: Brett Eldredge at Bridgestone Arena

🥂 Dec. 30-31: Old Crow Medicine Show at the Ryman Auditorium

Bookmark this calendar

🚦 Opponents of Nashville's new transportation plan, which was handily approved by voters on Nov. 5, are suing to stop it from taking effect.

• They argue the plan violates state law because its scope is too broad. The city's top lawyer dismissed the lawsuit as a "nuisance." (Nashville Banner)

🩺 Metro Health tapped Sanmi Areola to serve as the city's new heath director. Areola started his career at Metro and previously worked in the department for 17 years. (Nashville Scene)

🎸 A task force including the U.S. Customs and Border Protection seized 3,000 counterfeit Gibson guitars. The Nashville-based company is collaborating with law enforcement to fight against counterfeits and has targeted some imposters in court. (WPLN)

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It's finally getting chilly. So it's only fitting that this week's Axios Nashville playlist is a collection of ice-cold songs.

• Think "Cold Cold Heart," "Tenth Avenue Freeze‐Out" and "Ice Ice Baby."

Follow our playlist on Spotify

👋 Adam here! We all have different traditions that make the holidays special. One of my Thanksgiving favorites this year and every year is dill pickles stuffed with cheddar cheese.

• Yes, really. Tangy pickles and cheese make a better pair than peanut butter and chocolate.

Zoom in: The side dish was one of my maternal grandmother's specialties. But she only made them for Thanksgiving.

• One bite takes me back 20+ years to her table in Mt. Juliet.

How it works: Use an apple corer to carve out the center of large dill pickles. Then, shove softened strips of cheddar cheese into the middle.

• Let them chill in the fridge, then slice them into disks.
• I dare you not to eat them all at once.