Mayor O’Connell outlines affordability push, housing expansion in State of Metro Address

Mayor Freddie O’Connell’s State of Metro address outlines a push for affordability, from a grocery tax cut and record housing investment to new support for small businesses, childcare, schools and transit across Nashville.

Nashville Mayor Freddie O’Connell delivers the 63rd State of Metro address, highlighting plans to cut the grocery tax, invest in affordable housing, and expand support for small businesses and working families (photo by Shane Potter, courtesy of Metro & Davidson County).

Nashville Mayor Freddie O’Connell used the 63rd State of Metro address to outline an ambitious vision for the city’s future, focusing on affordability, small business support and what he described as the largest local investment in housing to date.

Speaking to city leaders and residents, O’Connell framed his agenda around building “a city for everyone,” emphasizing efforts to reduce costs for families while expanding economic opportunity.

“Progress will not always be loud or linear. But it will be purposeful,” O’Connell said. “Every decision we make is a statement about who this city is for. I intend for the answer to be loud and clear: This city is for everyone.”

Among the headline proposals is a plan to cut Nashville’s grocery tax by a half cent, a move expected to save the average family of four about $72 per year. O’Connell said the reduction would be paired with tighter budget controls, adding: “In a time when everything costs more, in Nashville, it will cost a little less to feed your family.”

The mayor also announced new initiatives aimed at supporting small businesses. A proposed Legacy Business Fund would provide grants to long-standing neighborhood businesses facing rising costs, while a Workforce Advancement Grant program would help employees cover tuition and training expenses to build new skills.

“Our incentive programs aren’t simply grants. They’re a statement that this city stands behind the people who take the risk of building something,” O’Connell said, noting the programs are designed to level the playing field for smaller, locally owned businesses.

Housing remains a central focus of the administration. Over the past year, the city has funded nearly 3,000 new or preserved housing units, the highest annual total in Nashville’s history. O’Connell said his upcoming budget will include a 40% increase in funding for the city’s Unified Housing Strategy, along with a new revolving loan program aimed at expanding affordable housing options.

“So, when I talk about my vision for a Nashville where everyone belongs, we know that it’s made possible by lowering the costs of housing and transportation,” he said.

O’Connell also highlighted progress in childcare and education, including continued investment in the Nashville Strong Babies program, which supports mothers and infants from pregnancy through early childhood. The program has expanded countywide and, according to the mayor, has not recorded a maternal or infant death since its launch.

Efforts to improve early literacy are also underway, with the city working to place small ‘Begin Bright’ libraries in childcare centers across Nashville, stocked with books from Dolly Parton’s Imagination Library program.

In education, Metro Nashville Public Schools are set to implement new high school start times for the first time in 40 years, a change backed by research linking increased sleep to better student outcomes. The district is also expanding its University MNPS program through a new partnership with the University of Tennessee, Knoxville.

Transportation improvements were another key part of the address. O’Connell pointed to expanded bus service through the city’s ‘Choose How You Move’ initiative, along with infrastructure upgrades including new sidewalks and smart traffic signals. A program known as Journey Pass has already provided more than one million rides to residents receiving social services, helping reduce transportation costs for thousands of Nashville residents.

Declaring that “the state of Metro is strong,” O’Connell said the city is building on recent progress and tackling long-standing challenges.

“We took challenges and turned them into accomplishments,” he said. “Transit. Housing. Education. These are historic achievements, and we should celebrate them because we did them together.”

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