NASHVILLE, Tenn. (WKRN) — Tennessee State University has reached an agreement with the state to utilize millions of dollars to enhance university operations, officials announced Tuesday.

According to TSU officials, the university and the state agreed to redirect $96 million, which was previously allocated for deferred maintenance, to support TSU's operational needs over the next three years.

The funds are reportedly part of $250 million that was allocated by the state in 2022 for capital improvements and infrastructure upgrades. Officials said the initial $99 million is "actively addressing" deferred maintenance, adding that the remaining $151 million is still available for use at the university.

"This agreement provides TSU with the opportunity to solve its financial challenges and regain its legacy as one of our nation’s great, historic institutions of higher education. With this agreement and the current leadership team, TSU is once again on the rise," said Tennessee Department of Finance and Administration Commissioner Jim Bryson.

Redirecting the funds will designate $55 million for key projects, which includes $33 million for upgrading electrical grids on the campus and $22 million to finalize funding for the Food and Animal & Environmental Science buildings in the College of Agriculture, according to the university.

The university said redirecting funding allows them to address immediate operational needs and focus on long-term goals.

"I want to thank Comptroller Jason Mumpower, Commissioner Jim Bryson, and all the State legislators who partnered with us to provide a transformational opportunity for TSU," said TSU Interim President Dwayne Tucker. "It not only provides crucial cash flow to ensure the university’s financial sustainability but also allows us to invest in enriching the student experience and strengthening our capacity to attract both students and qualified employees.”

Last week, the TSU Board of Trustees voted to implement a 6% increase in tuition and fees for the 2025-2026 academic year, adding that the typical 15-hour undergraduate will see an approximate $270 rise in tuition per semester.

News Source : https://www.wkrn.com/news/local-news/nashville/tsu-state-reach-agreement-to-reallocate-96m-for-university-operations/