The Tennessee Legislature authorized the state to distribute a portion of the proceeds from the state gasoline fuel taxes to incorporated cities and towns for use on municipal streets. According to the Tennessee Department of Transportation, of the $246.8 million in petroleum and alternative fuel taxes allocated for cities and counties, cities receive $84.6 million. The current allocation to cities is based on $26.65 (2011-2012) per capita.
Darden, Ron, "State Street Aid Fund Revenues and Expenditures: On the Road to Understanding (2011)" (2011). MTAS Publications: Technical Bulletins.