ABC's 'Nashville' was recently renewed for its third season, but it wasn't clear if the show would remain in Nashville. Producers and local officials settled on an $8 million incentive package, meaning 'Nashville' will stay in Music City for another season.

The $8 million incentive package is considerably lower than the second season's, which totaled $13.25 million.

The incentive package is a combined effort from the state of Tennessee, Metro Nashville, the Nashville Convention and Visitors Corp. and Ryman Hospitality Properties, The Tennessean reports. The state will contribute $5.5 million; Metro will add a $1 million grant (subject to Metro Council approval); and the CVC, the city's event marketing fund and Ryman each contribute $500,000.

Nashville Mayor Karl Dean admits that while $8 million is an impressive sum of money, they weren't sure it would be enough to keep 'Nashville' in Nashville.

"It was not an easy decision to make," Dean explains. "We obviously had lots of conversations, and I'm sure it's not the amount they wanted. It's been an overwhelmingly good thing for the city. We have a strong tourism economy and a strong convention economy, but this just adds to it in a way we would never be able to do on our own."

With 'Nashville' being broadcast in more than 50 countries, the show helps Music City attract international tourists, who stay longer and spend more money.

Ryman Hospitality Properties CEO Colin Reed explains his company's investment. "It's not because I want ('Nashville' star) Hayden Panettiere to stand on the Ryman stage, or spend time talking to ('Nashville' star) Sam Palladio."

"We're doing it for the ability to communicate what this city has to offer to people who historically have never been exposed to country music and the music scene of this fabulous city. That's why our company is so bullishly invested in this."

A study by the CVC shows that 1 in 5 Nashville tourists who had seen 'Nashville' said it was the "motivating factor" to come and visit.

Fans of the show can rest assured that, because of $8 million, the hit ABC drama will stay in the home of country music for one more season.

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