# Tennessee SB 0026: AN ACT to amend Tennessee Code Annotated, Title 7; Title 9; Title 12; Title 13; Title 66; Title 67 and Title 68, relative to infrastructure development districts.

Tennessee SB 0026, AN ACT to amend Tennessee Code Annotated, Title 7; Title 9; Title 12; Title 13; Title 66; Title 67 and Title 68, relative to infrastructure development districts., is a 114th General Assembly (2025-2026) Senate bill sponsored by no sponsor on record; status signed, last action 2025-05-13 (Effective date(s) 05/05/2025); PRIA reads it as touching household money (as of 2026-11-01).

- Canonical: https://policyrisk.com/state-bill/TN-SB0026-2025-2026
- As of: 2026-11-01
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: Tennessee SB 0026
- State: Tennessee
- Session: 114th General Assembly (2025-2026)
- Title: AN ACT to amend Tennessee Code Annotated, Title 7; Title 9; Title 12; Title 13; Title 66; Title 67 and Title 68, relative to infrastructure development districts.
- Status: signed
- Chamber: Senate
- Introduced: 2025-01-02
- Last action: 2025-05-13, Effective date(s) 05/05/2025
- Sponsors: no sponsor on record
- Cosponsors: 2
- Subjects: Regional Authorities and Special Districts
- Touches household money: yes
- Roll calls: 5 (195 yes, 1 no in all)
- Economic provisions PRIA read: 9

## Summary

No summary available.

## Bill overview: provisions PRIA read

- Owners can recover property after sale: benefit, medium. An eligible person can recover property sold to the host municipality for unpaid district assessments within one year after sale. Recovery requires paying the full debt, interest, taxes paid by the municipality, and required costs and fees. The municipal governing body can accept a smaller settleme…
- Property owners get assessment relief options: benefit, medium. Municipalities must reduce assessments based on estimated costs once actual costs are established. They can set rules for credits, prepayment, and dividing charges when parcels are split; charges can start at different times. Each district must dissolve no later than 30 years after creation. Owners…
- Government property charges need separate approval: benefit, low. A host municipality cannot impose district assessments on government-owned property without approval from that government's governing body.
- Unpaid district charges threaten property ownership: cost, medium. When an assessment resolution takes effect, the assessment, accrued interest, and collection costs become a lien against the property. This claim ranks ahead of mortgages and other private claims, but behind state, county, and municipal tax liens. Overdue assessments or installments add 1% interest…
- District property owners pay annual charges: cost, low. District property owners pay annual assessments for infrastructure, impact fees, administration, and district debt. Charges must fairly reflect each property's benefit, with payment timing and methods set in the district's creation resolution. Up to 5% of assessment proceeds can cover administrativ…
- Development infrastructure gets long-term public financing: mixed, medium. Municipalities can borrow to pay infrastructure costs, reimburse developers, make developer loans, or refinance debt. Costs must appear in the district's creation resolution, and borrowing must follow state public-debt rules. Municipalities can assign revenue-bond issuance to an industrial developm…
- Owners approve new infrastructure funding districts: mixed, low. Tennessee municipalities can create districts that fund roads, utilities, parking, broadband, and related infrastructure through property assessments. The developer and every proposed parcel owner must sign a petition describing boundaries, costs, and proposed payments. Filed petitions cannot be wi…
- Utility providers keep district service rights: mixed, low. The law preserves authorized public and private utility providers' rights to serve district properties. It does not give developers or property owners authority to operate district infrastructure. Construction must follow applicable law. A development agreement can require the developer to transfer…
- Municipalities pay for yearly district audits: mixed, low. The Tennessee Comptroller or a designee must audit each district's books and financial records every year. The host municipality pays the audit cost. Audits must meet the Comptroller's standards and receive the Comptroller's approval. They must finish as soon as practical after the municipality's f…

## Sponsors and cosponsors

- Cosponsor: Johnson
- Cosponsor: Jeff Yarbro (Democrat), Senate

## Roll call votes

| Date | Chamber | Motion | Result | Yes | No | Other |
| --- | --- | --- | --- | --- | --- | --- |
| 2025-04-17 | Senate | FLOOR VOTE: Motion to Concur House Amendment # 2 4/17/2025 | pass | 32 | 0 |   |
| 2025-04-17 | Senate | FLOOR VOTE: Motion to Concur House Amendment # 1 4/17/2025 | pass | 32 | 0 |   |
| 2025-04-16 | House | FLOOR VOTE: REGULAR CALENDAR AS AMENDED PASSAGE ON THIRD CONSIDERATION 4/16/2025 | pass | 90 | 1 |   |
| 2025-03-24 | Senate | FLOOR VOTE: as Amended Third Consideration 3/24/2025 | pass | 32 | 0 |   |
| 2025-03-18 | Senate | SENATE STATE & LOCAL GOVERNMENT COMMITTEE | pass | 9 | 0 |   |

## Actions (26)

- 2025-05-13: Effective date(s) 05/05/2025
- 2025-05-13: Pub. Ch. 357
- 2025-05-05: Signed by Governor. (Senate)
- 2025-04-23: Transmitted to Governor for action. (Senate)
- 2025-04-22: Signed by H. Speaker (House)
- 2025-04-22: Signed by Senate Speaker (Senate)
- 2025-04-22: Enrolled and ready for signatures (Senate)
- 2025-04-17: Concurred, Ayes 32, Nays 0 (Amendment 2 - HA0433) (Senate)
- 2025-04-17: Concurred, Ayes 32, Nays 0 (Amendment 1 - HA0397) (Senate)
- 2025-04-16: Placed on Senate Message Calendar for 4/17/2025 (Senate)
- 2025-04-16: Passed H., as am., Ayes 90, Nays 1, PNV 3 (House)
- 2025-04-16: H. adopted am. (Amendment 2 - HA0433) (House)
- 2025-04-16: H. adopted am. (Amendment 1 - HA0397) (House)
- 2025-04-16: Subst. for comp. HB. (House)
- 2025-03-27: Rcvd. from S., held on H. desk. (House)
- 2025-03-24: Sponsor(s) Added. (Senate)
- 2025-03-24: Engrossed; ready for transmission to House (Senate)
- 2025-03-24: Passed Senate as amended, Ayes 32, Nays 0 (Senate)
- 2025-03-24: Senate adopted Amendment (Amendment 1 - SA0199) (Senate)
- 2025-03-21: Placed on Senate Regular Calendar for 3/24/2025 (Senate)
- 2025-03-19: Sponsor(s) Added. (Senate)
- 2025-03-18: Recommended for passage with amendment/s, refer to Senate Calendar Committee Ayes 9, Nays 0 PNV 0 (Senate)
- 2025-03-11: Placed on Senate State and Local Government Committee calendar for 3/18/2025 (Senate)
- 2025-01-15: Passed on Second Consideration, refer to Senate State and Local Government Committee (Senate)
- 2025-01-14: Introduced, Passed on First Consideration (Senate)
- 2025-01-02: Filed for introduction (Senate)

## Bill text

- HA0397 (Substitute), 2025-04-16: [PDF](https://capitol.tn.gov/Bills/114/Amend/HA0397.pdf)
- HA0433, 2025-04-16: [PDF](https://capitol.tn.gov/Bills/114/Amend/HA0433.pdf)
- Enrolled / Public Chapter: [PDF](https://publications.tnsosfiles.com/acts/114/pub/pc0357.pdf)
- Fiscal Note: [PDF](https://capitol.tn.gov/Bills/114/Fiscal/SB0026.pdf)
- Introduced: [PDF](https://capitol.tn.gov/Bills/114/Bill/SB0026.pdf)
- SA0199: [PDF](https://capitol.tn.gov/Bills/114/Amend/SA0199.pdf)

## Related bills

- HB 2670: AN ACT to amend Chapter 33 of the Private Acts of 1985; as amended by Chapter 85 of the Private Acts of 2004; and any other acts amendatory thereto, relative t… (signed)
- HB 2656: AN ACT to amend Chapter 325 of the Private Acts of 1945; as amended by Chapter 335 of the Private Acts of 1968; Chapter 282 of the Private Acts of 1972; Chapte… (signed)
- HB 2666: AN ACT to amend Chapter 131 of the Private Acts of 1969; as amended by Chapter 85 of the Private Acts of 1987; Chapter 74 of the Private Acts of 1995; Chapter… (signed)
- HB 2631: AN ACT to make appropriations for the purpose of defraying the expenses of the state government for the fiscal years beginning July 1, 2025, and July 1, 2026,… (failed)
- HB 2649: AN ACT to amend Chapter 84 of the Private Acts of 1991; as amended by Chapter 162 of the Private Acts of 1994; Chapter 140 of the Private Acts of 1996; Chapter… (signed)
- HB 2542: AN ACT to amend Tennessee Code Annotated, Section 50-7-303, relative to suitable work requirements. (signed)

## Sources
- [HA0397 (Substitute) (PDF)](https://capitol.tn.gov/Bills/114/Amend/HA0397.pdf)
- [HA0433 (PDF)](https://capitol.tn.gov/Bills/114/Amend/HA0433.pdf)
- [Enrolled / Public Chapter (PDF)](https://publications.tnsosfiles.com/acts/114/pub/pc0357.pdf)
- [Fiscal Note (PDF)](https://capitol.tn.gov/Bills/114/Fiscal/SB0026.pdf)
- [Introduced (PDF)](https://capitol.tn.gov/Bills/114/Bill/SB0026.pdf)
- [SA0199 (PDF)](https://capitol.tn.gov/Bills/114/Amend/SA0199.pdf)

## Related
- [HB 2670: AN ACT to amend Chapter 33 of the Private Acts of 1985; as amended by Chapter 8…](https://policyrisk.com/state-bill/TN-HB2670-2025-2026)
- [HB 2656: AN ACT to amend Chapter 325 of the Private Acts of 1945; as amended by Chapter…](https://policyrisk.com/state-bill/TN-HB2656-2025-2026)
- [HB 2666: AN ACT to amend Chapter 131 of the Private Acts of 1969; as amended by Chapter…](https://policyrisk.com/state-bill/TN-HB2666-2025-2026)
- [HB 2631: AN ACT to make appropriations for the purpose of defraying the expenses of the…](https://policyrisk.com/state-bill/TN-HB2631-2025-2026)
- [HB 2649: AN ACT to amend Chapter 84 of the Private Acts of 1991; as amended by Chapter 1…](https://policyrisk.com/state-bill/TN-HB2649-2025-2026)
- [HB 2542: AN ACT to amend Tennessee Code Annotated, Section 50-7-303, relative to suitabl…](https://policyrisk.com/state-bill/TN-HB2542-2025-2026)
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Source: PRIA, https://policyrisk.com/state-bill/TN-SB0026-2025-2026 (as of 2026-11-01).