TennesseeHB 0542114th General Assembly (2025-2026)House

AN ACT to amend Tennessee Code Annotated, Title 7; Title 13, Chapter 7; Title 65 and Title 68, relative to utilities.

Sponsored By: Sponsor information unavailable

Signed by Governor

Utilities, Utility Districts

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 0 benefits, 0 costs, 3 mixed.

Developers face inspections and possible fees

For development plans submitted on or after July 1, 2025, utilities must inspect infrastructure installed by approved contractors. This includes work under plans approved through outside review; utilities can also inspect materials and test the infrastructure. Contractors must fix installation problems; in the outside-review process, the customer or approved contractor bears that responsibility and cost. Utilities can refuse to accept or put the infrastructure into service until all applicable requirements are met. Inspection and testing fees must be reasonable and follow an adopted, publicly available schedule; the law sets no dollar amount. Applicable state or federal regulatory requirements prevail when they conflict with this law.

Developers gain review deadlines and refunds

For development plans submitted on or after July 1, 2025, certain customer-prepared utility plans get review deadlines. This covers plans the utility requires customers to prepare but does not usually prepare itself. It excludes plan types the utility usually prepares under its July 1, 2025 practices or a later policy. The utility can charge no more than its adopted review fee. It has 60 business days to finish review after it determines the plans are complete, excluding waits for required state or federal approvals. After a missed deadline, the customer can hire an outside reviewer who is a registered engineer with relevant expertise and liability insurance. The reviewer must submit project details, occupancy type, proof of qualifications and insurance, and other reasonable information. A sworn statement, under penalty of perjury, must confirm that the plans meet applicable laws and codes. The utility then has 10 business days to approve, identify problems, or request more information. No response means the plans are approved and plan-review fees must be refunded. Events beyond the parties' control, such as floods or labor disputes, pause the law's deadlines while their effects last.

Developers get contractor choice with safeguards

For development plans submitted on or after July 1, 2025, customers can choose qualified private contractors to install utility infrastructure. Covered Tennessee utilities include cooperatives and local government utilities providing water, wastewater, electricity, natural gas, or stormwater service. Utilities must publish their approved-contractor list and approval process. Customers must submit the project location, contractor identity, proof of eligibility, and other reasonable information before work starts. Utilities have 10 business days to approve, identify problems, or request more information; no response lets the contractor proceed as approved. Contractors must meet licensing, experience, and work standards, provide performance bonds and warranties, and carry liability insurance. They must protect the utility against liability and transfer the installed infrastructure to it free of charge and liens. Utilities can require their own installation or direct supervision for public safety or reliable service. They can set construction and material standards, but cannot require a specific vendor unless needed for system quality and integrity.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 164 • No: 24

Senate vote • 4/21/2025

FLOOR VOTE: Third Consideration 4/21/2025

Yes: 24 • No: 6

House vote • 4/21/2025

FLOOR VOTE: REGULAR CALENDAR AS AMENDED PASSAGE ON THIRD CONSIDERATION 4/21/2025

Yes: 77 • No: 13

House vote • 4/21/2025

HOUSE CALENDAR & RULES COMMITTEE

Yes: 0 • No: 0

House vote • 4/17/2025

HOUSE FINANCE, WAYS, AND MEANS SUBCOMMITTEE

Yes: 11 • No: 0

House vote • 4/17/2025

HOUSE FINANCE, WAYS, AND MEANS COMMITTEE

Yes: 27 • No: 0

House vote • 3/26/2025

HOUSE COMMERCE COMMITTEE

Yes: 18 • No: 3

House vote • 3/19/2025

HOUSE BUSINESS AND UTILITIES SUBCOMMITTEE

Yes: 7 • No: 2

Actions Timeline

  1. Effective date(s) 07/01/2025

    5/27/2025
  2. Pub. Ch. 490

    5/27/2025
  3. Signed by Governor.

    5/21/2025
  4. Transmitted to Governor for his action.

    5/9/2025House
  5. Signed by Senate Speaker

    5/8/2025Senate
  6. Signed by H. Speaker

    4/30/2025House
  7. Enrolled; ready for sig. of H. Speaker.

    4/24/2025House
  8. Passed Senate, Ayes 24, Nays 6

    4/21/2025Senate
  9. Amendment withdrawn. (Amendment 1 - SA0292)

    4/21/2025Senate
  10. Amendment withdrawn. (Amendment 2 - SA0304)

    4/21/2025Senate
  11. Senate substituted House Bill for companion Senate Bill.

    4/21/2025Senate
  12. Received from House, Passed on First Consideration

    4/21/2025Senate
  13. Engrossed; ready for transmission to Sen.

    4/21/2025House
  14. Passed H., as am., Ayes 77, Nays 13, PNV 0

    4/21/2025House
  15. Sponsor(s) Added.

    4/21/2025House
  16. H. adopted am. (Amendment 1 - HA0189)

    4/21/2025House
  17. H. Placed on Regular Calendar for 4/21/2025

    4/17/2025House
  18. Placed on cal. Calendar & Rules Committee for 4/17/2025

    4/17/2025House
  19. Rec. for pass; ref to Calendar & Rules Committee

    4/17/2025House
  20. Rec. for pass by s/c ref. to Finance, Ways, and Means Committee

    4/17/2025House
  21. Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/17/2025

    4/16/2025House
  22. Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/14/2025

    4/9/2025House
  23. Placed behind the budget

    4/9/2025House
  24. Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/9/2025

    4/2/2025House
  25. Assigned to s/c Finance, Ways, and Means Subcommittee

    3/26/2025House

Bill Text

  • HA0189 (Substitute)

    4/21/2025

  • Enrolled / Public Chapter

  • Fiscal Note

  • Introduced

  • SA0292

  • SA0304

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