Legislative Bulletin - Apr 13, 2026

As amended, authorizes a governing body to conduct executive sessions to interview applicants for consideration of employment of director-level staff in private, without public notice, provided that no hiring decisions or actions are taken on such matters. Requires the minutes of the session to disclose all persons who were in attendance except for the job applicant interviewing. Requires a job applicant's application to be treated as confidential and specifies that such materials are not open to public inspection upon a request by the applicant. Requires the interview and application materials of selected applicants for employment or appointment to be treated as public records, subject to a public records request. Specifies that chief of police staff positions are excluded from these provisions. As introduced, authorizes governing bodies to conduct executive sessions for the purpose of considering employment of director-level staff for such governing body.

As introduced, authorizes local governmental bodies to conduct certain community meetings via electronic means of communication.

As introduced, prohibits an employee of a local government from serving on the legislative body of the local government for which the employee works.

As amended, requires the Tennessee Advisory Commission of Intergovernmental Relations to perform an exhaustive study and make recommendations on posting of public notices by local governments within this state. As introduced, authorizes a local government to publish certain notices electronically online for the purposes of satisfying public notice requirements. This is a TML sponsored bill.

As amended, authorizes a county or municipality to pay a property tax refund to eligible taxpayers through annual installments, applied as credits
against the taxpayer's future property tax obligations, pursuant to a written settlement agreement entered into between the taxing entity and the taxpayer. Repeals this act on June 30, 2041. As introduced, allows the division of property assessment to send the annual report, with the appropriate summary of the work accomplished by the division and any appropriate recommendations, to the state board of equalization in electronic format.

As amended, removes the mandate municipal elections become partisan and instead requires all municipal elections be held on either the August or November general elections. As introduced, requires the legislative body of each municipality to change the date of municipal elections to coincide with the August primary or November general election; makes municipal elections partisan.

As introduced, authorizes municipalities, including those with home rule charters, and metropolitan forms of government to adopt a tiered system of monetary penalties for repeated violations of the same municipal ordinance by the same person or entity within a 12-month period.

As introduced, authorizes a political subdivision to enter into a cost-sharing agreement with a developer for the development of certain public infrastructure.

As introduced, requires a local government to approve, deny, or identify deficiencies in a development application, development plan, or a site inspection submitted by a developer within 30 days; requires changes in contracts between local governments and contractors or developers to be in writing; requires a local government to release a contractor or developer from its required bond within 30 days of receiving a determination from an independent inspector that the contractor or developer has completed all work required by the contract; makes other related changes.

As amended, requires a person filing a preliminary plat, final plat, site plan, or building permit within a county which has adopted the provisions of this act, and for which site, the location is outside a municipal boundary but within the municipality's urban growth boundary, to include a declaration of whether the person seeks to have the property annexed by a municipality. Establishes conditions based upon either approval or disapproval of such declaration regarding annexation As introduced, authorizes certain counties to adopt a resolution prohibiting a municipality or regional zoning commission from exercising zoning authority outside of the boundaries of the municipality. 

As introduced, eliminates liability for rollback taxes on agricultural, forest, or open space land with a greenbelt classification when the land is sold; requires that a buyer of property with a greenbelt classification submit a new application to renew the property's greenbelt classification.

As introduced, clarifies that a utility system providing waste water service must provide a connection to the owner of real property for waste water service when the utility system has an existing gravity sewer line located adjacent to the owner's property, not just where the utility system has an existing gravity sewer line on such property.

As amended, expands the Commissioner of the Department of Transportation (TDOT) authority to acquire all outdoor advertising devices (OADs)
and related property rights when removal is required. Requires just compensation for the removal of any lawful outdoor advertising device in accordance with federal law, regardless of the reason for removal, excluding removal under Tenn. Code Ann. §§ 54-5-136 or 54-21-105. Entitles lawful OADs affected by condemnation to just compensation in the same manner as structures or improvements under eminent domain laws. Prohibits the use of amortization as a substitute for just compensation. Requires political subdivisions and other governmental agencies to provide just compensation when mandating the removal of a lawfully erected outdoor advertising device without an option to relocate it to a similarly situated location. Mandates compensation for both the cost of removal and the fair market value of the removed device. As introduced, requires just compensation to be paid for the acquisition or removal of an outdoor advertising device lawfully erected; prohibits the use of amortization to provide such just compensation.

As introduced, creates a process for continuing funding for a municipal LEA when the municipal legislative body and the governing body for the LEA cannot agree on a budget; provides a process for continuing funding of municipal operations when a municipal legislative body has not adopted a budget by the first day of a fiscal year.

As introduced, requires 95.3970 percent, instead of 100 percent, of sales and use tax revenue generated from the sale of new or used tires to be deposited in the highway fund; adds 95.3970 percent of sales and use tax revenue generated from the sale of new or used motor vehicles to be deposited in the highway fund; requires the remaining 4.6030 percent of such revenue to be allocated to the several incorporated municipalities; allocates single article sales tax collections on the retail sale of new or used motor vehicles to the highway fund.

As introduced, expands the length of the existing Independence Day and New Year sales periods and adds new Memorial Day and Labor Day sales periods for seasonal retailers of fireworks for the 2026 retail period; increases the seasonal retailer permit fee from $100 to $150 for calendar year 2026; and authorizes the state fire marshal to promulgate rules to effectuate the act.

As introduced, repeals the criminal offenses of unlawfully carrying a firearm or club with the intent to go armed and carrying or possessing a weapon in or on public parks, playgrounds, civic centers, and other public recreational buildings and grounds; allows persons convicted of stalking or a misdemeanor domestic violence offense to possess a firearm after five years from the date of conviction.

Proposes an amendment to Article VI, Section 4 of the Constitution of Tennessee to change the residency requirements for a judge from being a resident of the circuit or district for one year to being a resident of a county of the respective circuit or district to which the judge is to be assigned for one year.

As introduced, directs the Tennessee advisory commission on intergovernmental relations (TACIR) to perform a study of this state's emergency communications system.

As amended, requires, by January 1, 2027, the chief law enforcement officer of each county to enter into a memorandum of agreement (MOA) with federal officials concerning enforcement of federal immigration laws, detention and removals, and investigations in the state pursuant to federal law. Establishes that a violation of this requirement may result in the state withholding all funds of the state allotted to the LEA or to the local government for use by the LEA. As introduced, requires a local government entity to comply with a court order regarding an unlawful sanctuary policy within 120 days of the issuance of the court's order.

As introduced, specifies circumstances in which a referendum will not be required to effectuate annexation of territory; removes repealer provision for exceptions to the referendum requirement.

As introduced, makes various changes to the Real Estate Infrastructure Development Act of 2025 (Act). Authorizes central business improvement districts (CBIDs) to overlap areas within an infrastructure development district (IDD), created by a municipality pursuant to the Act. Clarifies that, when a district must be approved by two or more host municipalities, and a governing body makes approval contingent on the approval of another governing body, host municipalities are authorized to hold separate public hearings. Requires the establishment resolution of an IDD provide the maximum rate of levy of the special assessment to be imposed. Authorizes a host municipality to issue bonds separately for each phase of development, whose term of life cannot exceed 30 years from the date of issuance of bonds for its respective phase. Revises the term of dissolution for IDDs Specifies that a portion of special assessments, rather than up to five percent, may be set aside for the actual costs of administrative expenses.

As amended, authorizes the board of directors of an industrial development corporation (IDC) to initiate a merger with another IDC in the manner provided for public benefit corporations (PBCs) pursuant to Tenn. Code Ann. Title 48, Chapter 61. Authorizes an IDC to negotiate and receive from any lessee of the IDC, without any delegation from the municipality, payments in lieu of taxes (PILOTs) with respect to tax-credit housing projects, despite such PILOT resulting in a reduction in taxes relative to the tax year prior to the year the project became a tax-credit housing project; provided, the chief executive officer of each affected taxing jurisdiction has executed a letter supporting the project. Requires any agreement to accept or waive PILOTs from any of the IDC's lessees to be submitted to the legislative body of the municipality or municipalities making the delegation and any other taxing jurisdiction affected by the delegation. As introduced, authorizes the board of directors of an industrial development corporation to initiate a merger with another corporation in the manner provided for public benefit corporations under the Tennessee Nonprofit Corporation Act.

As amended, requires a municipal electric utility (utility) which provides services to: (1) between 3,500 and 130,000 customers in the home county to expand the utility board to include one additional voting member for the home county, if the home county chooses to appoint a person; (2) more than 130,000 customers in a the home county to include two additional voting members for the home county, if the county chooses to appoint such persons; (3) no fewer than 3,500 customers in an outside locality, to include one additional voting member for the outside county in which such outside locality is situated, if the county chooses to appoint a person.  As introduced, authorizes the commission to electronically submit to the general assembly its annual report comparing telecommunications, electricity, natural gas, water, and wastewater utility rates between this state and the southeastern states.

As introduced, requires a law enforcement agency to communicate with local government entities and officials to submit quarterly reports to the Centralized Immigration Enforcement Division (CIED) within the Department of Safety (DOS) regarding illegal activities, including criminal gang activities and violations of federal immigration laws, of persons who are not lawfully present in the United States. Creates a Class A misdemeanor offense for a law enforcement employee or official that fails to report an individual to the CIED, who is not a United States citizen or qualified alien who has been charged or convicted of a criminal offense.

As introduced, removes the criminal offense of possession of a weapon in a building or on property that is properly posted; removes the requirement that the department of safety suspend or revoke a handgun carry permit for a violation of that offense by a handgun permit holder. 

As amended, removes the mandate municipal elections become partisan and instead requires all municipal elections be held on either the August or November general elections. As introduced, requires the legislative body of each municipality to change the date of municipal elections to coincide with the August primary or November general election; makes municipal elections partisan.

As introduced, expands the length of the existing Independence Day and New Year sales periods and adds new Memorial Day and Labor Day sales periods for seasonal retailers of fireworks for the 2026 retail period; increases the seasonal retailer permit fee from $100 to $150 for calendar year 2026; and authorizes the state fire marshal to promulgate rules to effectuate the act.