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Saturday, November 14, 2026Nov 14

Gov. Lee budget proposes funding new UTC Health Science Building, other projects

Staff Photo by Robin Rudd / This building at 540 McCallie Ave., seen Sunday, began as the Interstate Life Insurance Building. Gov. Bill Lee's budget proposal calls for providing $40 million to renovate a massive 47,269-square foot, seven-story former state office building on McCallie Avenue now owned by the University of Tennessee at Chattanooga.
Staff Photo by Robin Rudd / This building at 540 McCallie Ave., seen Sunday, began as the Interstate Life Insurance Building. Gov. Bill Lee's budget proposal calls for providing $40 million to renovate a massive 47,269-square foot, seven-story former state office building on McCallie Avenue now owned by the University of Tennessee at Chattanooga.

NASHVILLE – Gov. Bill Lee’s proposed 2023 budget would provide an estimated $110 million for three long-sought building and renovation projects on the University of Tennessee at Chattanooga campus.

Among them is an estimated $60.8 million previously proposed Health Science Building for the university’s School of Nursing. UTC officials anticipate the new 92,192-square-foot building will allow the nursing program’s enrollment to grow by 60%.

Lee is recommending lawmakers approve $55.93 million for the building while the remaining $4.84 million would come from university sources and/or donor gifts.

The second project is a $40 million renovation of the seven-story, 174,000 square-foot former Interstate Life Insurance Building at 540 McCallie Ave., a 1950s era Art Moderne-style structure that later became a state office building before it was ceded to UTC.

A third UTC project included in the Republican governor’s $52.6 billion budget provides $10.2 million in upgrades to Brock Hall at 623 Vine St. Plans call for replacing building systems, including heating, air conditioning and lighting, as well as upgrading restrooms while also addressing Americans With Disabilities Act issues along with repairs to the building’s outside, including masonry and roofing.