Joey Garrison

USA Today Network - Tennessee

Nashville Mayor Megan Barry says approval of pending state legislation that would regulate where transgender people can use the restroom in Tennessee schools could potentially cost Nashville $58 million in direct visitor spending from convention groups that may cancel events.

Barry, a Democrat elected last year, made that projection in a statement late Thursday, echoing sentiments of leaders of Tennessee’s budding tourism and film industries who expressed similar economic concerns and opposition to the bill earlier this week.

Barry urged state lawmakers to consider economic ramifications of that legislation, as well as separate Republican-sponsored state legislation, also opposed by LGBT advocates, that would let counselors and therapists refuse to see clients for religious beliefs.

Citing information from the Nashville Convention and Visitors Corp., Barry said three convention groups — representing an estimated $8.9 million in direct spending from conventioneers in the city— have said they would definitely cancel already-scheduled events in Nashville if the transgender-targeted bill is passed into law. Another nine convention groups — representing an estimated $48.8 million in direct expected spending — have said they would likely cancel events if it becomes law, according to the mayor’s office.

In addition, she said if all 12 of these groups canceled their Nashville conventions then Metro would lose $5.8 million in local tax revenue and the state of Tennessee would lose $4.4 million in state tax revenue.

“This legislation doesn’t reflect Nashville’s values and doesn’t do anything to improve the quality of life for citizens of our city or state,” Barry said in the statement. “If some lawmakers don’t see the value in recognizing people’s dignity and privacy, I hope they can at least see the negative economic impact and potential loss of revenue to Nashville and the state of Tennessee.”

The legislation aimed at transgender students proposes to require students to use the bathroom for the gender assigned to them on their birth certificate. State law allows school districts to carve out their own policies and make accommodations for students

The bill passed the House Education Committee on Wednesday by an 8-4 vote despite the mounting opposition from business groups. The therapist bill passed the House by a 68-22 vote on Wednesday, but because of a new amendment, it must go back to the Senate before heading to Gov. Bill Haslam’s desk. Haslam has said he has reservations about the bathroom bill, specifically about the potential it could jeopardize the state's federal Title IX funding.

Barry singled out a similar bathroom measure that recently became law in North Carolina, arguing, “We’ve seen the negative effects that similar laws in North Carolina have had on their economy.” She said if a similar law passes in Tennessee it could also impact Nashville’s ability to recruit film and television production and other industries.

“That’s quite a price to pay for legislation that would seem to hurt people — including some of our youngest and our most vulnerable — without actually benefitting anyone in the process,” she said. “Instead of creating complex and confusing regulations for restrooms, or becoming the only state in the nation to allow discrimination by counseling professionals, the state should work with local governments to continue our economic growth, address traffic problems and give our schools the resources and support they need to be successful.”

The mayor's office provided the following numbers on estimated local and state economic impact of losing conventions because of the state bathroom bill:

Three definite groups that will cancel meetings in Nashville if the bill is passed:

$8,985,308 in direct spending

$703,540 in state taxes

$916,095 in local taxes

Nine tentative groups that likely will not book in Tennessee if the bill is passed:

$48,791,853 in direct spending

$3,746,217 in state taxes

$4,874,125 in local taxes

In total, risking 12 groups:

$57,777,161 in direct spending

$4,449,757 in state taxes

$5,790,220 in local taxes

Reach Joey Garrison at 615-259-8236 and on Twitter @joeygarrison.