Nashville airport board moves toward 50-year, $34 million agreement for Boring Company tunnel system

A long-term license framework tied to airport revenue, not construction spending

Metro Nashville Airport Authority (MNAA) leaders are advancing a proposed long-term license agreement connected to the planned “Music City Loop,” an underground tunnel system intended to link downtown Nashville and Nashville International Airport (BNA) using Tesla vehicles operated by The Boring Company.

The proposal discussed publicly in February 2026 centers on a 50-year arrangement projected to generate about $34 million in license-fee revenue for the airport, with a 3% annual escalation built into the license fee schedule. Separate from the license fees, airport officials have also outlined a long-range revenue estimate tied to existing pickup and drop-off charges, projecting roughly $309 million over 50 years under current fee assumptions.

What MNAA officials say the deal would require and what it would not

Under the framework described by airport officials, MNAA would not contribute capital to build the tunnel system. The agreement structure presented to the authority indicates The Boring Company would fund construction, operations, and ongoing maintenance, and would also reimburse certain authority-incurred expenses such as legal, engineering, and administrative costs.

Airport leadership has framed the proposal as a way to add a new transportation option while avoiding direct spending from the airport authority for the tunnel’s construction and upkeep. The deal’s financial assumptions are designed to be compatible with the airport’s long-term planning for passenger growth and terminal development.

Timeline and approvals: where the project stands

The Music City Loop concept was publicly announced in July 2025 as a privately funded tunnel project, with early projections indicating the first segment could be operational as early as fall 2026, subject to approvals and permitting. Since then, the project has moved through multiple layers of review and discussion involving state and local entities.

In February 2026, MNAA’s finance committee voted to recommend that the airport board approve the license agreement. Separate discussions have been scheduled within Metro Nashville Council committees to question project representatives and seek additional information, reflecting ongoing interest in the project’s design, oversight, and community impacts.

Key facts that have been publicly described about the system

• The project is planned as an underground “Loop” system using Tesla vehicles for point-to-point service.
• Public descriptions have placed the initial corridor at roughly 10 miles between downtown and BNA, with travel times discussed in the single-digit to low-double-digit minutes.
• The Boring Company has described expected tunnel dimensions and a relatively shallow target depth, subject to site conditions.

Airport officials have characterized the proposed agreement as a long-term revenue arrangement for MNAA paired with private responsibility for construction, operations, and maintenance.

What remains unresolved

While the airport authority has outlined projected revenues and an approach intended to limit MNAA’s financial exposure to construction and operating costs, the project’s next steps depend on formal board actions, permitting pathways, and the completion of technical planning. Metro-level inquiries about transparency, subsurface risks, labor practices, and safety planning have also remained part of the public debate as the project advances.