Update/Memo
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Weekly Legislative Calendar
Update/Memo
Nearly all committees have finished their work for the year as a budget is finalized, and legislators’ time this past week was mostly spent in floor sessions addressing the bills that have made it out of committee before the full House and Senate. This week saw developments on a number of bills that we are tracking for the REALTORS®.
A bill that would allow service of a summons upon a contractually named party (SB1655/HB1667) to help a landlord gain repossession of their property in real estate disputes has passed both houses. It was amended to allow any adult person occupying a premises to be served a summons for that purpose, and awaits the governor’s signature.
A bill (SB 2081/HB 2036) creating a task force to examine needed updates to auctioneer licensing and online auction laws continues to move forward. With representation of all interested parties, including the Tennessee Real Estate Commission, the task force will have a solid discussion to generate broad agreement on a bill to be brought at the start of the 111th General Assembly next spring. The bill has passed the Senate, and will face the House Finance, Ways & Means Committee in the upcoming week.
We continue to watch a bill addressing short-term rentals (SB 1086/HB 1020). It passed the House last year, and, after a lengthy floor debate concerning the bill and 13 proposed amendments, was passed by the Senate this week. As amended, the bill would allow local governments to regulate short-term rentals, with limitations, but grandfather in any existing short-term rental properties. The bill will now head to the governor’s desk.
A bill that, as amended, would make the provisions of the Uniform Residential Landlord and Tenant act applicable statewide (SB 2658/HB 2023) is moving forward this week. This bill would provide certainty for REALTORS®, property managers, and tenants statewide, and the Tennessee REALTORS® back passage of the bill. It was deferred in both the House and Senate to next week’s sessions.
Sen. Joey Hensley (R-Hohenwald) introduced an amendment to SB 2556/HB 2439 that would criminalize fraudulent claims of a disability for the purpose of keeping a pet in an apartment that does not allow them. This bill, if enacted, would also allow the tenant to be held in breach of a rental agreement if convicted under the statute. The bill has passed the House, and it cleared the Senate Judiciary Committee this week. A Senate floor date is likely in the coming week.
Weekly Calendar – April 9, 2018
Mon 4/9/18 12:00pm – House Hearing Rm I, House Finance, Ways & Means Subcommittee
MEMBERS: CHAIR G. McCormick (R); R. Williams (R); C. Sargent (R); S. McDaniel (R); H. Love Jr. (D); G. Hicks (R); P. Hazlewood (R); D. Hawk (R); C. Fitzhugh (D); J. Coley (R); K. Camper (D); K. Brooks (R)
| 19. | HB41 VanHuss J. | TAXES BUSINESS: Phases out professional privilege tax. Phases out the professional privilege tax over a five-year period for tax years that begin on and after June 1, 2017. Fiscal Note: (Dated February 1, 2017) Decrease State Revenue Net Impact $88,918,900/FY16-17 $17,783,800/FY17-18 $35,567,500/FY18-19 $53,351,300/FY19-20 $71,135,100/FY20-21 $88,918,900/FY21-22 and Subsequent Years Decrease State Expenditures $974,400/FY16-17 $194,900/FY17-18 $389,800/FY18-19 $584,600/FY19-20 $779,500/FY20-21 $974,400/FY21-22 and Subsequent Years Increase Local Revenue $441,200/FY16-17 $88,200/FY17-18 $176,500/FY18-19 $264,700/FY19-20 $353,000/FY20-21 $441,200/FY21-22 and Subsequent Years Senate Status: 05/08/17 – Set for Senate Finance, Ways & Means Committee 05/09/17. House Status: 04/05/18 – Set for House Finance, Ways & Means Subcommittee 04/09/18. Position: Realtors: support SB132 – J. Bowling – 05/08/17 – Set for Senate Finance, Ways & Means Committee 05/09/17. |
| 20. | HB1034 VanHuss J. | TAXES BUSINESS: Eliminates the professional privilege tax. Eliminates the professional privilege tax for the tax year ending on May 31, 2018, and subsequent tax years. Fiscal Note: (Dated February 7, 2017) Decrease State Revenue Net Impact $88,918,900/FY16-17 and Subsequent Years Decrease State Expenditures $974,400/FY16-17 and Subsequent Years Increase Local Revenue $441,200/FY16-17 and Subsequent Years Senate Status: 05/08/17 – Set for Senate Finance, Ways & Means Committee 05/09/17. House Status: 04/05/18 – Set for House Finance, Ways & Means Subcommittee 04/09/18. Position: Realtors: support SB205 – J. Bowling – 05/08/17 – Set for Senate Finance, Ways & Means Committee 05/09/17. |
| 28. | HB1739 Daniel M. | GOVERNMENT REGULATION: UAPA – economic impact analyses of administrative rules. HB1739 Title: UAPA economic impact analyses of administrative rules. Category: Government Regulation Summary: Requires agencies filing new rules with the secretary of state to provide an analysis of the rule s economic impact on the state. If a congressional government operations committee finds the cost of the rule s implementation to exceed $1,000,000 over a three-year period, the agency will be forced to find ways to reduce the cost of the rule. Amendment Summary: House Government Operations Committee, Senate Government Operations Committee amendment 1 (016204) rewrites the bill. Requires an agency to submit to the members of the government operations committees of the senate and house of representatives an estimate of the total compliance and implementation costs on small business entities within the state, if any, affected by the rule, and the number of those affected by the rule and any assumptions and reasoning upon which the estimate is based. Requires the agency to determine whether the rule has $3,000,000 or more, as opposed to $1,000,000 or more in the proposed legislation, in implementation and compliance costs over the three year period that begins on the effective date of the rule. Prohibits the agency to promulgate the rule without authorizing legislation or a germane modification to the proposed rule to reduce costs below the $3,000,000 threshold. Allows the government operations committee on a three-fourths majority vote to authorize the rule if the implementation and compliance costs exceed $3,000,000 upon a showing exceptional circumstances. Fiscal Note: (Dated February 16, 2018) Increase State Revenue $741,200/Recurring/Fiscal Review Committee Increase State Expenditures $330,000/One-Time/General Fund $5,213,600/Recurring/General Fund $370,600/Recurring/General Assembly Exceeds $100,000/One-Time/Fiscal Review Committee Exceeds $741,200/Recurring/Fiscal Review Committee Senate Status: 03/28/18 – Senate Government Operations recommended with amendment 1 (016204), which rewrites the bill. Requires an agency to submit to the members of the government operations committees of the senate and house of representatives an estimate of the total compliance and implementation costs on small business entities within the state, if any, affected by the rule, and the number of those affected by the rule and any assumptions and reasoning upon which the estimate is based. Requires the agency to determine whether the rule has $3,000,000 or more, as opposed to $1,000,000 or more in the proposed legislation, in implementation and compliance costs over the three year period that begins on the effective date of the rule. Prohibits the agency to promulgate the rule without authorizing legislation or a germane modification to the proposed rule to reduce costs below the $3,000,000 threshold. Allows the government operations committee on a three-fourths majority vote to authorize the rule if the implementation and compliance costs exceed $3,000,000 upon a showing exceptional circumstances. Sent to Senate State & Local Government. House Status: 04/05/18 – Set for House Finance, Ways & Means Subcommittee 04/09/18. Position: Realtors: monitor SB2652 – B. Watson – 03/28/18 – Senate Government Operations recommended with amendment 1 (016204), which rewrites the bill. Requires an agency to submit to the members of the government operations committees of the senate and house of representatives an estimate of the total compliance and implementation costs on small business entities within the state, if any, affected by the rule, and the number of those affected by the rule and any assumptions and reasoning upon which the estimate is based. Requires the agency to determine whether the rule has $3,000,000 or more, as opposed to $1,000,000 or more in the proposed legislation, in implementation and compliance costs over the three year period that begins on the effective date of the rule. Prohibits the agency to promulgate the rule without authorizing legislation or a germane modification to the proposed rule to reduce costs below the $3,000,000 threshold. Allows the government operations committee on a three-fourths majority vote to authorize the rule if the implementation and compliance costs exceed $3,000,000 upon a showing exceptional circumstances. Sent to Senate State & Local Government. |
| 29. | HB2386 Daniel M. | GOVERNMENT REGULATION: UAPA – venue for appeals of contested case hearings. Requires the appeals of contested case hearings to be heard in the chancery court closest to the residence of the person contesting the agency action. Amendment Summary: House Government Operations Committee amendment 1 (013406) rewrites the bill. Specifies that subsection (f) will not apply to appeals of contested case hearings involving TennCare determinations. House Civil Justice Committee amendment 2 (014785) rewrites the bill. Removes applicability from any appeals of contested case hearing involving TennCare determinations. Removes the ability for an aggrieved person to choose any court have subject matter jurisdiction. Requires all appeals of contested cases involving a local government entity to be conducted in the Williamson County Chancery Court. Senate Government Operations Committee amendment 1 (016186) rewrites the bill. Exempts appeals of contested case hearings involving TennCare, the Tennessee public utility commission, and contested cases where the party appealing is a local government entity. Requires petitions for review to be submitted to the chancery court within 60 days after the entry of the agency’s final order. Fiscal Note: (Dated February 20, 2018) Increase State Revenue Exceeds $10,000/Attorney General Increase State Expenditures Exceeds $59,200/General Fund Exceeds $10,000/Attorney General Increase Federal Expenditures $49,200 Senate Status: 03/28/18 – Senate Government Operations Committee recommended with amendment 1 (016186). Sent to Senate Calendar Committee. House Status: 04/05/18 – Set for House Finance, Ways & Means Subcommittee 04/09/18. Position: Realtors: support SB2603 – M. Bell – 03/28/18 – Senate Government Operations Committee recommended with amendment 1 (016186). Sent to Senate Calendar Committee. |
| 42. | HB1926 Rudd T. | PROPERTY & HOUSING: Fee charged for releasing of a lien. Increases the fee a register may charge from $3.00 to $5.00 to file the form for a marginal release of a lien. Amendment Summary: House Civil Justice Subcommittee amendment 1 (015499) rewrites the bill. Requires a prevailing party in an action challenging the validity of a lien to recover reasonable attorney’s fees, reasonable costs, and liquidated damages in an amount equal to 10 percent of the fair market value of the property in addition to any actual damages. Fiscal Note: (Dated March 28, 2018) Increase Local Revenue Exceeds $100,000/Permissive Senate Status: 04/03/18 – Senate Judiciary Committee recommended with amendment 1 (016540). Sent to Senate Calendar Committee. House Status: 04/05/18 – Set for House Finance, Ways & Means Subcommittee 04/09/18. Position: Realtors: monitor SB2204 – A. Swann – 04/03/18 – Senate Judiciary Committee recommended with amendment 1 (016540). Sent to Senate Calendar Committee. |
Mon 4/9/18 12:30pm – House Hearing Rm I, House Finance, Ways & Means Committee
HEADER: The committee will meet immediately following Finance, Ways & Means Subcommittee. MEMBERS: CHAIR C. Sargent (R); VICE CHAIR K. Brooks (R); T. Wirgau (R); G. Hicks (R); M. Hill (R); C. Johnson (R); H. Love Jr. (D); S. Lynn (R); G. McCormick (R); S. McDaniel (R); L. Miller (D); R. Williams (R); P. Hazlewood (R); D. Hawk (R); D. Byrd (R); K. Camper (D); M. Carter (R); J. Coley (R); J. Crawford (R); J. Deberry Jr. (D); C. Fitzhugh (D); B. Gilmore (D)
| 2. | HB1772 Dunn B. | PROPERTY & HOUSING: Public official as subject of lien on real property. Establishes an expedited process for listed public officials to contest liens on real property if they are believed to lack legal basis. The filing party must be notified within three business days of the public official contesting the lien with the register. The filing party may file an action for determination by a chancery court of county where the document was filed within 20 business days of delivery of the affidavit. Amendment Summary: Senate amendment 1, House Civil Justice Committee amendment 1 (015625) clarifies that a recital designating the type of instrument, office, book, and page number of the instrument must be included in a notarized affidavit filed with the register by a public official who is the subject of a lien or other encumbrance, or any other document that reasonably constitutes a cloud on the title of a real property interest. This amendment changes this bill’s requirement that the register send notice to the lienor to instead require that the public official send a copy of the affidavit to the filing party at the address listed on the lien, encumbrance, or other document. This amendment removes a provision of this bill that allows the register to void and remove from the public record the lien, encumbrance, or other document imposed on the public official if the lien, encumbrance, or other document does not contain the name or address of the filing party, plaintiff, complainant, lienor, or owner of the lien. This amendment clarifies that delivery of the affidavit to the filing party, refusal or failure to sign the return receipt, or notice by the US postal service that the affidavit is undeliverable will initiate the 20 business day time period within which a filing party, who believes in good faith that the lien or other document was filed with a reasonable basis or legal cause, may file an action seeking a determination. This amendment removes this bill’s provision which specifies that the cost bond included with a filing party’s petition does not apply to any financial institution that is insured by the federal deposit insurance corporation, insured by the national credit union administration, or regulated by the farm credit administration. This amendment also removes this bill’s provision that requires the register to void and remove from the public record the document along with all other filings associated with the document, including the affidavit, upon filing of a certification by the public official that no petition was filed within 20 business days of delivery of the affidavit. The amendment instead clarifies that: (1) A public official may file with the register a certification stating that no petition has been filed within 20 business days of delivery of the affidavit to the filing party; (2) A public official may file with the register a certification that the lien, encumbrance, or other document filed against them does not contain the name or address of the filing party; and (3) Any certification filed by a public official pursuant to (1) or (2) above must include a recital designating the type of instrument, office, book, and page number of the instrument identifying the lien, encumbrance, or other document referenced in the affidavit and will serve as a release of the lien, encumbrance, or other document. This amendment removes this bill’s requirement that the register void and remove from the public record the document along with all other filings associated with the document, including the affidavit, if, following the hearing on a petition filed against the public official, the chancellor determines that the document was filed without any reasonable basis or legal cause. This amendment instead allows a public official to file a final unappealable court decree with the register which will serve as a release of the lien encumbrance, or other document if the chancellor determines that the document was filed without any reasonable basis or legal cause. This amendment specifies that this bill will not apply to liens, encumbrances, or other documents if the originator, owner, or holder of any debt is any of the following: (1) A state or national bank or trust company insured by the federal deposit insurance corporation or an operating subsidiary of such a bank or trust company; (2) A state or federal credit union insured by the national credit union administration; (3) A residential mortgage lender or an industrial loan and thrift company licensed by the Tennessee department of financial institutions; (4) An entity regulated by the federal farm credit administration; (5) The federal housing administration (FHA); (6) A federal home loan bank; (7) The federal national mortgage association (FannieMae); (8) The federal home loan mortgage corporation (FreddieMac); (9) The federal agricultural mortgage corporation (FarmerMac); (10) The veterans administration (VA); or (11) Any lien, encumbrance, or other document that is filed with the register, where the mortgage electronic registration system is listed as the nominee for the originator, owner, or holder of the debt. This amendment requires the notarized affidavit filed with the register by a public official to include a statement that the affiant is not filing the affidavit contesting any document held by any of the above described entities. Fiscal Note: (Dated March 19, 2018) Increase Local Expenditures Exceeds $1,000/Permissive Senate Status: 03/26/18 – Senate passed with amendment 1 (015625). House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: support SB1971 – B. Massey – 03/26/18 – Senate passed with amendment 1 (015625). |
| 4. | HB1794 Farmer A. | PROPERTY & HOUSING: Electronic acknowledgments. Establishes guidelines for the creation of online notaries public. Grants online notaries public the same powers as notaries public. Allows people living outside the state to have documents notarized, and requires online notaries public to keep electronic records of the notarization. Grants the secretary of state powers to implement and oversee this rule. Amendment Summary: House Civil Justice Committee amendment 1 (013246), which deletes all language after the enacting clause and replaces language of the proposed legislation such that the only substantive changes are (1) adding that a natural person can act on behalf of the maker of the document; (2) clarifying the definition of “appearance” to include appearing by way of an interactive two-way audio and video communication; (3) authorizes the use of an electronic signature or a digitized image of a wet signature, which does not need to be accompanied by a physical or electronic image of a stamp, impression, or seal; and (4) provides that the requirement of an official notary seal is satisfied by an electronically transmitted document if the document legibly reproduces the required elements of the seal. House Government Operations Committee amendment 1 (014854) makes technical corrections to the bill. Senate amendment 1 (014750) makes various technical clarifications to this bill and makes several changes to this bill concerning online notaries public. This amendment changes the provisions described in (3) of the Bill Summary concerning authentication of instruments or documents for registration or recording. If a person appears by an interactive two-way audio and video communication, the appearance and the certificate will be deemed compliant with the authentication requirements under this amendment if the acknowledging officer amends the acknowledgment form to read “personally appeared before me by audio-video communication” or “personally appeared by audio-video communication” or “before me appear by audio-video communication”. This amendment makes the following significant changes to the “Online Notary Public Act”: (1) Redefines “appear” to mean physically appearing before a notary public or appearing before an online notary public by means of an interactive two-way audio and video communication that meets the online notarization requirements under rules promulgated by the secretary of state. This bill defined “appear” to mean “either physical appearance or online appearance”; (2) Requires that a person must be commissioned as a notary public and additionally commissioned to perform online notarizations in order to be an online notary public; (3) Clarifies that a principal must appear before and provide an acknowledgement of or take an oath or affirmation from an online notary public; (4) Removes the limitation on items that an online notarization may relate to, as described in (3)(A)-(F) of the Bill Summary; (5) Authorizes an online notary public to keep their secure electronic record in one or more electronic journals; (6) Authorizes a notary, or a guardian or personal representative of an incapacitated or deceased notary, to use a repository acting in accordance with any applicable rules to maintain their electronic record for the mandatory record retention period of at least five years; (7) Specifies that this bill’s requirement that an online notary public keep their electronic record, electronic signature, and electronic seal secure and under their exclusive control, includes access protection through the use of passwords or codes under control of the notary public; (8) Removes this bill’s provision that authorizes an online notary public to perform an online notarization without regard to the physical location of the principal at the time of the online notarization; and (9) Specifies that the validity of an online notarization performed by a Tennessee online notary public will be determined by applying the laws of Tennessee. This amendment adds that the requirements for hand signing and stamping by notaries public will be satisfied by electronic signatures, digitized images of signatures, and/or legible reproduction of the required elements of a seal in a document. Fiscal Note: (Dated February 3, 2018) Increase State Revenue $164,600/FY18-19/Secretary of State $4,600/FY19-20 and Subsequent Years/Secretary of State Increase State Expenditures $164,600/FY18-19/Secretary of State $4,600/FY19-20 and Subsequent Years/Secretary of State Senate Status: 03/26/18 – Senate passed with amendment 1 (014750). House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: support SB1758 – B. Kelsey – 03/26/18 – Senate passed with amendment 1 (014750). |
| 9. | HB1732 Sexton C. | TAXES GENERAL: Sale of surplus real property by the department of transportation. Authorizes the department of transportation to transfer surplus property without further appraisal if the property is equal to or less than a total value of $10,000. Amendment Summary: House Transportation Committee amendment 1 (015920) deletes and replaces all language after the enacting clause such that the only substantive change establishes if the property owner relinquishes the owner’s right or the right has expired, the property may be conveyed to a legal governmental body or to an adjoining property owner. Senate amendment 1 (013865) rewrites this bill to specify that the department of transportation may transfer its interest in right-of-way property that is initially appraised by the department at $10,000 or less to a legal governmental entity at the appraised value without further appraisal or approval, except for the appraisal review provided for under present law. Under that present law provision, an initial appraisal is subject to review and approval by the department in accordance with procedures that the department of transportation may establish. The appraisal review must be conducted, at the department of transportation’s expense, by a review appraiser who is licensed and certified by the Tennessee real estate appraiser commission and who is either employed by or under contract with the department of transportation. The review appraiser must either approve the initial appraisal or reject the initial appraisal and reappraise the property to determine the fair market value of the property, subject to the approval of the director of the right-of-way division of the department of transportation or the director’s designee. If approved by the director or the director’s designee, the review appraiser’s determination is presented to a prospective purchaser as the fair market value of the property. Under present law, if property was acquired by or for the use of the department of transportation for right-of-way, if its fair market value does not $75,000 or such amounts in excess of $75,000 as may be approved by the state building commission, and if any adjoining property owner or the former owner of that property wishes to purchase the property, or if a legal governmental body wishes to acquire the property for a public use purpose, then the present law provisions governing disposal of surplus interests in real property do not apply. This amendment adds that those present law provisions also do not apply if a legal governmental body wishes to acquire the property “for fair market value” as provided in this amendment (described above). Fiscal Note: (Dated February 16, 2018) NOT SIGNIFICANT Senate Status: 04/02/18 – Senate passed with amendment 1 (013865). House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: monitor SB2696 – P. Bailey – 04/02/18 – Senate passed with amendment 1 (013865). |
| 16. | HB2036 Gravitt M. | PROFESSIONS & LICENSURE: Licensure of auctioneers. Amends language in the bill to change “apprentice” to “affiliate”. Changes the time from two years to one year the amount of time that a person has to serve under the supervision of an auctioneer prior to applying for licensure. Allows any auctioneer licensed under this chapter to sponsor an affiliate auctioneer and there is no limit to the number of affiliate auctioneers an auctioneer may sponsor. Makes exemptions to any exchange of goods conducted through bidding on an internet-based trading platform by a publicly traded company that primarily sells motor vehicles. Amendment Summary: House Business & Utilities Committee amendment 2 (015616) rewrites the bill. Creates the Tennessee Task Force on Auction Law Modernization. The task force shall: (1) Conduct a comprehensive review of auction laws in this state, including rules of the Tennessee Auctioneer Commission to study unnecessary barriers to entry into the profession; and (2) Recommend changes and updates to auctioneer licensing laws to recognize the board range of business models of auctioneers, auction firms, and auction platforms. (b) The task force shall be composed of: (1) The president of the Tennessee Auctioneers Association, who shall serve as chair of the task force; (2) One additional member of the Tennessee Auctioneers Association, selected by association members; (3) One online auctioneer with in-state operations, appointed by the speaker of the senate; (4) One online auctioneer with global operations, appointed by the speaker of the senate; (5) One online automobile auctioneer, appointed by the Speaker of the house of representatives; (6) One representative from a licensed Tennessee Auction School, appointed by the Speaker of the House of Representatives; (7) One member of the Tennessee Auctioneer Commission, selected by the commission; (8) The Commissioner of the commerce and insurance or the Commissioner’s designee; (9) One member of the Tennessee Real Estate Commission, selected by the commission; (10) One representative of the Tennessee County Services Association, selected by the association; (11) Two representatives from the Tennessee Automotive Association, selected by association members; and (12) One consumer member to represent the public, appointed by the governor. (c) A majority of the members of the task force constitute a quorum. Members must be present at meeting to vote. (d) The task force shall meet at least four times between June 1, 2018, and December 31, 2018, and may meet more often upon the call of the chair. (e) The task force shall be administratively attached to the department of commerce and insurance. All appropriate agencies of state government shall provide assistance to the task force upon the request of the task force. (f) All meetings shall be open to the public pursuant to Tennessee Code Annotated, Title 8, Chapter 44. (g) No member of the task force shall receive compensation, nor shall members be entitled to reimbursement for actual travel and other expenses incurred in attending any meeting or in performing any duties prescribed in this act. (h) The task force shall make recommendations for legislation for the next legislative session and report its recommendations to the chairs of commerce and labor committee of the senate and the business and utilities committee of the house of representatives on or before January 8, 2019, at which time the task force will cease to exist. Senate amendment 1 (014425) creates the Tennessee Task Force on Auction Law Modernization (the Task Force) for the purpose of studying the regulation of online bidding platforms and conducting a comprehensive review of auction laws in this state, including rules of the Tennessee Auctioneer Commission. The Task Force shall be composed of 13 members, meet at least 4 times between June 1, 2018, and December 31, 2018, and members shall receive no compensation, nor reimbursement for actual travel and other expenses incurred in attending any meeting and performing any duties. For administrative purposes, attaches the Task Force to the Board of Licensing Auctioneers. Requires all appropriate agencies of state government to provide assistance to the Task Force, upon request. Requires the Task Force to make recommendations for legislation for the next legislative session and report its recommendations to the chairs of the Commerce and Labor Committee of the Senate and the Business and Utilities Committee of the House of Representatives on or before January 1, 2019, at which time the Task Force will terminate. Fiscal Note: (Dated February 15, 2018) Decrease State Revenue – $400/Tennessee Auctioneer Commission Pursuant to Tenn. Code Ann. 4-29-121, all regulatory boards are required to be self-supporting over any two- year period. The commission experienced a surplus of $60,841 in FY15-16, a surplus of $74,211 in FY16-17, and a cumulative reserve balance of $414,473 on June 30, 2017. Senate Status: 03/15/18 – Senate passed with amendment 1 (014425). House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: support SB2081 – K. Yager – 03/15/18 – Senate passed with amendment 1 (014425). |
| 22. | HB1920 Staples R. | PROPERTY & HOUSING: New or amended subdivision regulations proposed by a regional planning commission. Prohibits new or amended subdivision regulations proposed by a regional planning commission from taking effect until approved by the county legislative body of any county, and by the governing body of any municipality, lying wholly or partly within the region. Deletes requirement that a regional planning commission hold a public hearing on subdivision regulations prior to adoption. Amendment Summary: House Local Government Committee amendment 1 (014494) deletes language from the original bill and (1) adds a requirement that a regional planning commission hold a public hearing on subdivision regulations prior to adoption, (2) allows regional planning commissions to delegate the responsibility for approval of a subdivision plat to the staff of the regional planning commission, and (3) permits a regional planning commission to grant variances to subdivision regulations, if adopted at a public meeting of the commission. Senate amendment 1 (015734) restores the present law requirement for a public hearing a notice of the hearing by newspaper publication and specifies that the adoption of subdivision regulations or an amendment to existing subdivision regulations proposed by a regional planning commission must not be given effect unless approved: (1) By the county legislative body of each county lying wholly or partly within the region and by the governing body of each municipality lying wholly or partly within the region; (2) By only the legislative body of the county that is regulated by those subdivision regulations, if the subdivision regulations apply only to land outside of any municipality within the region; or (3) By only the governing body of the municipality that is regulated by those subdivision regulations, if the subdivision regulations apply only to land within municipal boundaries. The requirement for approval of subdivision regulations by one of the methods described in (1)-(3) will only apply to a regional planning commission if the legislative body of each county and municipality lying wholly or partly within the region adopts a resolution or ordinance requiring approval of the regional planning commission’s subdivision regulations or amendments to existing subdivision regulations. Once a regional planning commission adopts and files with the county register a regional plan which includes at least a major road plan, present law generally prohibits the recording of a plat that subdivides land that is not located in municipal boundaries until it has been approved by the regional planning commission. This amendment authorizes a regional planning commission to delegate the responsibility for approval of a subdivision plat to the staff of the regional planning commission by a majority vote of the regional planning commission that is taken in a public meeting after being placed on the regional planning commission’s meeting agenda and notice being provided as required for other matters before the regional planning commission. This amendment also authorizes a regional planning commission to grant variances to subdivision regulations, if such variances are adopted at a public meeting of the commission. Fiscal Note: (Dated March 8, 2018) Decrease Local Expenditures Exceeds $100 Senate Status: 04/04/18 – Senate passed with amendment 1 (015734), which restores the present law requirement for a public hearing a notice of the hearing by newspaper publication and specifies that the adoption of subdivision regulations or an amendment to existing subdivision regulations proposed by a regional planning commission must not be given effect unless approved: (1) By the county legislative body of each county lying wholly or partly within the region and by the governing body of each municipality lying wholly or partly within the region; (2) By only the legislative body of the county that is regulated by those subdivision regulations, if the subdivision regulations apply only to land outside of any municipality within the region; or (3) By only the governing body of the municipality that is regulated by those subdivision regulations, if the subdivision regulations apply only to land within municipal boundaries. The requirement for approval of subdivision regulations by one of the methods described in (1)-(3) will only apply to a regional planning commission if the legislative body of each county and municipality lying wholly or partly within the region adopts a resolution or ordinance requiring approval of the regional planning commission’s subdivision regulations or amendments to existing subdivision regulations. Once a regional planning commission adopts and files with the county register a regional plan which includes at least a major road plan, present law generally prohibits the recording of a plat that subdivides land that is not located in municipal boundaries until it has been approved by the regional planning commission. This amendment authorizes a regional planning commission to delegate the responsibility for approval of a subdivision plat to the staff of the regional planning commission by a majority vote of the regional planning commission that is taken in a public meeting after being placed on the regional planning commission’s meeting agenda and notice being provided as required for other matters before the regional planning commission. This amendment also authorizes a regional planning commission to grant variances to subdivision regulations, if such variances are adopted at a public meeting of the commission. House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: monitor SB1879 – R. Briggs – 04/04/18 – Senate passed with amendment 1 (015734), which restores the present law requirement for a public hearing a notice of the hearing by newspaper publication and specifies that the adoption of subdivision regulations or an amendment to existing subdivision regulations proposed by a regional planning commission must not be given effect unless approved: (1) By the county legislative body of each county lying wholly or partly within the region and by the governing body of each municipality lying wholly or partly within the region; (2) By only the legislative body of the county that is regulated by those subdivision regulations, if the subdivision regulations apply only to land outside of any municipality within the region; or (3) By only the governing body of the municipality that is regulated by those subdivision regulations, if the subdivision regulations apply only to land within municipal boundaries. The requirement for approval of subdivision regulations by one of the methods described in (1)-(3) will only apply to a regional planning commission if the legislative body of each county and municipality lying wholly or partly within the region adopts a resolution or ordinance requiring approval of the regional planning commission’s subdivision regulations or amendments to existing subdivision regulations. Once a regional planning commission adopts and files with the county register a regional plan which includes at least a major road plan, present law generally prohibits the recording of a plat that subdivides land that is not located in municipal boundaries until it has been approved by the regional planning commission. This amendment authorizes a regional planning commission to delegate the responsibility for approval of a subdivision plat to the staff of the regional planning commission by a majority vote of the regional planning commission that is taken in a public meeting after being placed on the regional planning commission’s meeting agenda and notice being provided as required for other matters before the regional planning commission. This amendment also authorizes a regional planning commission to grant variances to subdivision regulations, if such variances are adopted at a public meeting of the commission. |
| 29. | HB1952 Crawford J. | TAXES PROPERTY: Accounting for tax increment financing in calculating the certified tax rate. Permits governing bodies to exclude from taxable value of property appearing on the assessment roll, the taxable value of properties subject to tax increment financing and properties within areas where an economic impact plan has been approved. Fiscal Note: (Dated March 14, 2018) Local Expenditures Cost Avoidance – $500/Per Instance Senate Status: 03/26/18 – Senate passed. House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: support SB1923 – J. Lundberg – 03/26/18 – Senate passed. |
| 39. | HB601 Williams R. | TAXES PROPERTY: Right of redemption for real property sold in a tax sale. Eliminates owner’s right of redemption in real property sold in a tax sale. Defines “vacant and abandoned” property and “evidence of abandonment” for purposes of the appointment of a receiver to collect rents on property subject to a lien for delinquent taxes. Amendment Summary: Senate Judiciary Committee amendment 1, House Local Government Subcommittee amendment 1 (015050) deletes and rewrites the bill to clarify that any tax liens on property shall not attach to an easement appurtenant of a servient estate or an easement in gross that was assessed separately from the property. Fiscal Note: (Dated March 21, 2018) Other Fiscal Impact To the extent a property is sold in a delinquent property tax sale that would have otherwise been redeemed or attempted to be redeemed by an owner, local governments may incur a mandatory decrease in local expenditures and a mandatory decrease in local revenue. The extent and timing of any such impact are dependent upon the actions of an owner in each delinquent tax sale and cannot be reasonably quantified. Senate Status: 04/05/18 – Set for Senate Finance, Ways & Means Committee 04/10/18. House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: monitor SB492 – M. Bell – 04/05/18 – Set for Senate Finance, Ways & Means Committee 04/10/18. |
| 40. | HB2125 Williams R. | LOCAL GOVERNMENT: Annexation without a referendum. Allows for the majority of property owners who own the majority of the land to effectively annex their property without a referendum. Amendment Summary: House Local Government Committee amendment 1, Senate State & Local Government Committee amendment 1 (014080) requires the annexation of any property with written consent of a two-thirds majority of the property owners to not require a referendum. Fiscal Note: (Dated February 25, 2018) Other Fiscal Impact To the extent less than all of property owners consent to annexation and a territory is annexed to a municipality without a referendum, shifts in revenue and expenditures between local entities may occur. Any changes or shifts would result from permissive actions of local government. The extent and timing of any such permissive shifts cannot be reasonably quantified. Local governments may also experience permissive cost avoidances associated with such referendums. Senate Status: 03/28/18 – Senate State & Local Government Committee recommended with amendment 1 (014080). Sent to Senate Calendar Committee. House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. SB2680 – P. Bailey – 03/28/18 – Senate State & Local Government Committee recommended with amendment 1 (014080). Sent to Senate Calendar Committee. |
| 42. | HB971 Crawford J. | TAXES BUSINESS: Adverse action related to a license or other privilege – written request for hearing. Increases from 10 to 12 the number of days following any adverse action related to a license or other privilege that the licensee must file a written request for a hearing before the commissioner to contest the action. Broadly captioned. Amendment Summary: House Finance Subcommittee Amendment 1 (007935) rewrites the bill. Revises the distribution of local government revenue generation by the 2.25 percent local sales tax imposed on the sales price on the sales made in this state by dealers with no location in Tennessee. Fiscal Note: (Dated February 14, 2017) NOT SIGNIFICANT Senate Status: 02/21/17 – Referred to Senate Finance Revenue Subcommittee. House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: support SB1075 – J. Lundberg – 02/21/17 – Referred to Senate Finance Revenue Subcommittee. |
Tue 4/10/18 9:00am – House Hearing Rm II, House Local Government Committee
HEADER: The following bills will be heard by suspension of the rules on the floor on 04/05/18: HB2718, HB2719, HB2721, and HB2722. MEMBERS: CHAIR T. Wirgau (R); VICE CHAIR D. Howell (R); C. Sexton (R); J. Sexton (R); A. Parkinson (D); L. Miller (D); M. Gravitt (R); J. Eldridge (R); J. Crawford (R); B. Cooper (D); D. Carr (R); D. Alexander (R)
| 13. | HB2098 Casada G. | PROPERTY & HOUSING: Return of certificate of insurance or worker’s compensation policy following the expiration of a building permit. Increases the number of business days from 10 to 15 for the return by mail of a certificate of insurance or workers compensation policy following the expiration of the building permit. Amendment Summary: Senate amendment 1, House Local Government Subcommittee (015495) rewrites this bill to specify that the provisions of present law that grandfather existing uses of property by business establishments when land use restrictions are imposed or amended as part of a redevelopment project also apply to land use restrictions imposed or amended as part of a transit-oriented redevelopment plan. Present law requires that a business establishment be permitted to replace facilities that are acquired through the use or threatened use of the power of eminent domain; provided, that the business establishment replaces the facilities on land that the business establishment owned and was using at the time of the taking. This amendment extends the right to replace existing facilities to situations where facilities are damaged by unplanned casualty or act of God. Fiscal Note: (Dated February 23, 2018) NOT SIGNIFICANT Senate Status: 04/04/18 – Senate passed with amendment 1 (015495), which rewrites this bill to specify that the provisions of present law that grandfather existing uses of property by business establishments when land use restrictions are imposed or amended as part of a redevelopment project also apply to land use restrictions imposed or amended as part of a transit-oriented redevelopment plan. Present law requires that a business establishment be permitted to replace facilities that are acquired through the use or threatened use of the power of eminent domain; provided, that the business establishment replaces the facilities on land that the business establishment owned and was using at the time of the taking. This amendment extends the right to replace existing facilities to situations where facilities are damaged by unplanned casualty or act of God. House Status: 04/05/18 – Set for House Local Government Committee 04/10/18. Position: Realtors: monitor SB2067 – B. Kelsey – 04/04/18 – Senate passed with amendment 1 (015495), which rewrites this bill to specify that the provisions of present law that grandfather existing uses of property by business establishments when land use restrictions are imposed or amended as part of a redevelopment project also apply to land use restrictions imposed or amended as part of a transit-oriented redevelopment plan. Present law requires that a business establishment be permitted to replace facilities that are acquired through the use or threatened use of the power of eminent domain; provided, that the business establishment replaces the facilities on land that the business establishment owned and was using at the time of the taking. This amendment extends the right to replace existing facilities to situations where facilities are damaged by unplanned casualty or act of God. |
Tue 4/10/18 1:00pm – House Hearing Rm III, House Government Operations Committee
MEMBERS: CHAIR J. Faison (R); VICE CHAIR J. Ragan (R); R. Williams (R); M. Stewart (D); B. Mitchell (D); C. Johnson (R); D. Howell (R); C. Halford (R); C. Fitzhugh (D); G. Casada (R); K. Calfee (R)
| 8. | HB1805 Howell D. | HEALTH CARE: Waiver of initial licensure fees imposed by health related boards. Relieves certain persons of the initial licensure fee imposed by health-related boards and professional regulatory boards. Requires an authority that is authorized to impose training, education, or licensure fees to practice in a profession to waive all initial licensure fees for low-income persons, military families, and young workers. Amendment Summary: Senate Health & Welfare Committee amendment 1 (014422) deletes and rewrites all language after the enacting clause such that the only substantive change is that it removes the exemption for applicants between the age of 18 and 25 and military families. House Health Committee amendment 1 (015080) rewrites the bill to remove the exemption for low income applicants whose household adjusted gross income is below one hundred thirty percent of the federal poverty line, and the exemptions for applications between the age of 18 and 25 and military families. House Health Committee amendment 2 (015996) removes the requirement in the bill as amended by 015080 for the Department of Health (DOH) and the Department of Commerce and Insurance (DCI) to process the application for the waiver within 30 days and the requirement for the Board to promulgate rules to effectuate the purpose of this section. Fiscal Note: (Dated February 26, 2018) Decrease State Revenue Exceeds $1,165,600/FY18-19 Exceeds $2,331,300/FY19-20 and Subsequent Years Increase State Expenditures – $285,700/FY18-19 $502,700/FY19-20 and Subsequent Years Other Fiscal Impact – The Health Related Boards had an annual surplus of $4,526,956 in FY15-16, an annual surplus of $3,551,254 in FY16-17, and a cumulative reserve balance of $32,645,083 on June 30, 2017. The Regulatory Boards had an annual surplus of $5,725 in FY15-16, an annual surplus of $2,735,422 in FY16-17, and a cumulative reserve balance of $26,350,035 on June 30, 2017. Senate Status: 03/07/18 – Senate Health & Welfare Committee recommended with amendment 1 (014422). Sent to Senate Finance. House Status: 04/05/18 – Set for House Government Operations Committee 04/10/18. Position: Realtors: support SB2474 – K. Roberts – 03/07/18 – Senate Health & Welfare Committee recommended with amendment 1 (014422). Sent to Senate Finance. |
| 9. | HB1895 Matlock J. | GOVERNMENT REGULATION: Revisions to UAPA. Revises definitions of “policy” and “rule” for rulemaking purposes. Prohibits a policy from being enacted, adopted, or enforced by an agency until the policy has been filed with the office of the attorney general. Requires the attorney general to review the proposed policy with 15 days of receipt of such policy. Prohibits an agency from promulgating rules or implementing policies that infringe on an agency member’s freedom of speech. Specifies that an agency’s appointing authority has the sole power to remove a member from a board, commission, council, committee, authority, task force, or other similar multi-member agency. Amendment Summary: Senate Government Operations Committee amendment 1 (015799) specifies that agency guidelines that merely define or explain the meaning of a statute or rule, or that concern only the internal management of state government and do not affect private rights, privileges, or procedures available to the public, are policies. This amendment clarifies that any agency regulation, standard, statement, or document of general applicability that interprets state or federal law or a federal regulation is a rule. This amendment specifies that agency statements concerning offenders who are serving a sentence under probation or parole in the community are not rules. This amendment replaces this bill’s requirement that agency policies be submitted to the attorney general for review prior to implementation. This amendment instead requires that, on July 1, of every year, each agency that is subject to sunset review under the Tennessee Governmental Entity Review Law submit to the chairs of the government operations committees: (1) A list of all policies that have been adopted by the agencies in the past year; and (2) A summary of each policy and the agency’s justification for adopting a policy on the subject instead of promulgating a rule. This amendment adds that this bill does not require the disclosure of information that is confidential, affects national security, or the disclosure of which would jeopardize federal funding. Senate amendment 2 (016154) adds a provision specifying that agencies subject to governmental entity review will not be required to submit to the chairpersons of the government operations committees any statements, documents, or published materials, such as frequently asked questions, that are prepared and used in the course of general correspondence with persons or entities. Fiscal Note: (Dated March 19, 2018) Increase State Expenditures $15,000/One-Time $373,100/Recurring Other Fiscal Impact Time constraints associated with passage of rules or approval of policies under the provisions of this legislation could result in jeopardized federal funding to the Department of Health. Senate Status: 04/04/18 – Senate passed with amendment 1 (015799) and amendment 2 (016154). Amendment 1 specifies that agency guidelines that merely define or explain the meaning of a statute or rule, or that concern only the internal management of state government and do not affect private rights, privileges, or procedures available to the public, are policies. This amendment clarifies that any agency regulation, standard, statement, or document of general applicability that interprets state or federal law or a federal regulation is a rule. This amendment specifies that agency statements concerning offenders who are serving a sentence under probation or parole in the community are not rules. This amendment replaces this bill’s requirement that agency policies be submitted to the attorney general for review prior to implementation. This amendment instead requires that, on July 1, of every year, each agency that is subject to sunset review under the Tennessee Governmental Entity Review Law submit to the chairs of the government operations committees: (1) A list of all policies that have been adopted by the agencies in the past year; and (2) A summary of each policy and the agency’s justification for adopting a policy on the subject instead of promulgating a rule. This amendment adds that this bill does not require the disclosure of information that is confidential, affects national security, or the disclosure of which would jeopardize federal funding. Amendment 2 adds a provision specifying that agencies subject to governmental entity review will not be required to submit to the chairpersons of the government operations committees any statements, documents, or published materials, such as frequently asked questions, that are prepared and used in the course of general correspondence with persons or entities. House Status: 04/05/18 – Set for House Government Operations Committee 04/10/18. Position: Realtors: support SB1572 – M. Bell – 04/04/18 – Senate passed with amendment 1 (015799) and amendment 2 (016154). Amendment 1 specifies that agency guidelines that merely define or explain the meaning of a statute or rule, or that concern only the internal management of state government and do not affect private rights, privileges, or procedures available to the public, are policies. This amendment clarifies that any agency regulation, standard, statement, or document of general applicability that interprets state or federal law or a federal regulation is a rule. This amendment specifies that agency statements concerning offenders who are serving a sentence under probation or parole in the community are not rules. This amendment replaces this bill’s requirement that agency policies be submitted to the attorney general for review prior to implementation. This amendment instead requires that, on July 1, of every year, each agency that is subject to sunset review under the Tennessee Governmental Entity Review Law submit to the chairs of the government operations committees: (1) A list of all policies that have been adopted by the agencies in the past year; and (2) A summary of each policy and the agency’s justification for adopting a policy on the subject instead of promulgating a rule. This amendment adds that this bill does not require the disclosure of information that is confidential, affects national security, or the disclosure of which would jeopardize federal funding. Amendment 2 adds a provision specifying that agencies subject to governmental entity review will not be required to submit to the chairpersons of the government operations committees any statements, documents, or published materials, such as frequently asked questions, that are prepared and used in the course of general correspondence with persons or entities. |
| 11. | HB2328 Faison J. | GOVERNMENT REGULATION: UAPA – continues permanent rules filed with secretary of state. Continues permanent rules filed with the secretary of state on or after January 1, 2017 with certain exceptions. Prohibits the department of children’s services from creating a process whereby a person determined to be a perpetrator of child abuse or neglect may have their substantiations reviewed as authorized under Rule 0250-07-09-.12. Amendment Summary: Senate Government Operations Committee amendment 1 (016150) rewrites the bill. Removes language in the bill regarding Department of Children’s Services Rule 0250-07-09-.12, relative to the Child Abuse Registry Review Committee. Fiscal Note: (Dated February 14, 2018) NOT SIGNIFICANT Senate Status: 03/28/18 – Senate Government Operations Committee recommended with amendment 1. Sent to Senate Calendar Committee. House Status: 04/05/18 – Set for House Government Operations Committee 04/10/18. Position: Realtors: monitor SB2295 – M. Bell – 03/28/18 – Senate Government Operations Committee recommended with amendment 1. Sent to Senate Calendar Committee. |
Tue 4/10/18 2:00pm – Senate Hearing Rm I, Senate Finance, Ways & Means Committee
HEADER: The committee may meet on Wednesday to complete bills if needed. MEMBERS: CHAIR B. Watson (R); VICE CHAIR J. Stevens (R); 2ND VICE CHAIR J. Hensley (R); B. Massey (R); R. Tate (D); M. Norris (R); B. Ketron (R); T. Harper (D); F. Haile (R); T. Gardenhire (R); S. Dickerson (R)
| 1. | SB1496 Haile F. | LOCAL GOVERNMENT: Condemned property being offered for sale to the former owner. Changes requirements for the local government notifying and offering the sale of a condemned property to the former property owner. Amendment Summary: House amendment 2, Senate Judiciary Committee amendment 1 (014695) restores the present law 10-year time limitation, maintains the requirement that the local government make a good faith effort to locate and notify the former property owner but removes the requirement that such effort must be made for at least 60 days, removes the provisions of this bill that would create a cause of action for a former property owner who does not receive notice or when a sale or conveyance of the property is made in violation of the statutory process for making such sales or conveyances, adds authorization for a former property owner to request a statement of intent for public use of the condemned property once every 24 months, and revises the buy-back price described in (3)(A) and (B) of the Bill Summary to instead be the lesser of: (1) The price paid to the former property owner or owners by the local government at the time the local government acquired the property through eminent domain, plus the appraised fair market value of any improvements made to the property after condemnation and an amount equal to the average amount of interest that would have accrued on the amount paid to the former property owner or owners if held in U.S. treasury bonds; or (2) An amount representing not less than the fair market value of the property as of the date of the purchase agreement. Fiscal Note: (Dated February 2, 2018) Other Fiscal Impact Passage of this legislation could result in decreases to local government revenue. The extent and timing of any such impacts is dependent upon multiple unknown factors and cannot reasonably be determined. Senate Status: 04/05/18 – Set for Senate Finance, Ways & Means Committee 04/10/18. House Status: 04/04/18 – House passed with amendment 2 (014695), which restores the present law 10-year time limitation, maintains the requirement that the local government make a good faith effort to locate and notify the former property owner but removes the requirement that such effort must be made for at least 60 days, removes the provisions of this bill that would create a cause of action for a former property owner who does not receive notice or when a sale or conveyance of the property is made in violation of the statutory process for making such sales or conveyances, adds authorization for a former property owner to request a statement of intent for public use of the condemned property once every 24 months, and revises the buy-back price described in (3)(A) and (B) of the Bill Summary to instead be the lesser of: (1) The price paid to the former property owner or owners by the local government at the time the local government acquired the property through eminent domain, plus the appraised fair market value of any improvements made to the property after condemnation and an amount equal to the average amount of interest that would have accrued on the amount paid to the former property owner or owners if held in U.S. treasury bonds; or (2) An amount representing not less than the fair market value of the property as of the date of the purchase agreement. Position: Realtors: monitor HB1727 – C. Rogers – 04/04/18 – House passed with amendment 2 (014695), which restores the present law 10-year time limitation, maintains the requirement that the local government make a good faith effort to locate and notify the former property owner but removes the requirement that such effort must be made for at least 60 days, removes the provisions of this bill that would create a cause of action for a former property owner who does not receive notice or when a sale or conveyance of the property is made in violation of the statutory process for making such sales or conveyances, adds authorization for a former property owner to request a statement of intent for public use of the condemned property once every 24 months, and revises the buy-back price described in (3)(A) and (B) of the Bill Summary to instead be the lesser of: (1) The price paid to the former property owner or owners by the local government at the time the local government acquired the property through eminent domain, plus the appraised fair market value of any improvements made to the property after condemnation and an amount equal to the average amount of interest that would have accrued on the amount paid to the former property owner or owners if held in U.S. treasury bonds; or (2) An amount representing not less than the fair market value of the property as of the date of the purchase agreement. |
| 14. | SB492 Bell M. | TAXES PROPERTY: Right of redemption for real property sold in a tax sale. Eliminates owner’s right of redemption in real property sold in a tax sale. Defines “vacant and abandoned” property and “evidence of abandonment” for purposes of the appointment of a receiver to collect rents on property subject to a lien for delinquent taxes. Amendment Summary: Senate Judiciary Committee amendment 1, House Local Government Subcommittee amendment 1 (015050) deletes and rewrites the bill to clarify that any tax liens on property shall not attach to an easement appurtenant of a servient estate or an easement in gross that was assessed separately from the property. Fiscal Note: (Dated March 21, 2018) Other Fiscal Impact To the extent a property is sold in a delinquent property tax sale that would have otherwise been redeemed or attempted to be redeemed by an owner, local governments may incur a mandatory decrease in local expenditures and a mandatory decrease in local revenue. The extent and timing of any such impact are dependent upon the actions of an owner in each delinquent tax sale and cannot be reasonably quantified. Senate Status: 04/05/18 – Set for Senate Finance, Ways & Means Committee 04/10/18. House Status: 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. Position: Realtors: monitor HB601 – R. Williams – 04/05/18 – Set for House Finance, Ways & Means Committee 04/09/18. |
Wed 4/11/18 12:30pm – House Hearing Rm I, House Finance Subcommittee Behind the Budget Calendar
| 44. | HB46 Clemmons J. | TAXES BUSINESS: Professional privilege tax. Exempts individuals from the professional privilege tax for the first year in which they are licensed or registered in a taxable profession. Amendment Summary: House Finance, Ways & Means Subcommittee amendment 1 (013375) changes the effective date from July 1, 2017 to July 1, 2018. Fiscal Note: (Dated February 1, 2017) Decrease State Revenue Net Impact $9,004,100 Decrease State Expenditures $98,800 Increase Local Revenue $44,700 Senate Status: 05/09/17 – Taken off notice in Senate Finance, Ways & Means Committee. House Status: 04/05/18 – Set for House Finance Subcommittee Behind the Budget Calendar 04/11/18. Position: Realtors: support SB306 – S. Kyle – 05/09/17 – Taken off notice in Senate Finance, Ways & Means Committee. |
| 66. | HB1468 Staples R. | TAXES SALES: Historic Structure Rehabilitation Act. Provides for a refund of state sales tax paid on expenditures to rehabilitate historic structures if the owner uses the certified historic structure for at least one year following the rehabilitation, the rehabilitation meets certain U.S. standards, and the certified qualified rehabilitation expenditures are made on or after July 1, 2018. Amendment Summary: Senate Finance Revenue Subcommittee amendment 1, House Government Operations Committee amendment 1 (013032) rewrites the bill to change definitions regarding “certified historic residential structure” and requires that certified qualified rehabilitation expenditures are made on or after July 1, 2019. Allows the taxpayer’s claim for refund of state sales or use taxes to include state taxes paid by the owner, contractors and subcontractors. Fiscal Note: (Dated February 6, 2018) Increase State Revenue $62,500/FY19-20 and Subsequent Years/Historical Commission Decrease State Revenue Net Impact $651,800/FY19-20/General Fund $1,303,600/FY20-21 and Subsequent Years/General Fund Increase State Expenditures $62,500/FY19-20 and Subsequent Years/ Historical Commission Decrease Local Revenue Net Impact $15,700/FY19-20 $31,400/FY20-21 and Subsequent Years HB 1468 SB 1685Other Fiscal Impact Secondary economic impacts may occur as a result of this legislation. However, due to multiple unknown factors, fiscal impacts directly attributable to such secondary economic impacts cannot be quantified with reasonable certainty. Senate Status: 03/06/18 – Senate Finance Revenue Subcommittee returned to full committee with a negative recommendation after adopting amendment 1 (013032). House Status: 04/05/18 – Set for House Finance Subcommittee Behind the Budget Calendar 04/11/18. Position: Realtors: support SB1685 – R. Briggs – 03/06/18 – Senate Finance Revenue Subcommittee returned to full committee with a negative recommendation after adopting amendment 1 (013032). |
| 85. | HB1574 McDaniel S. | GOVERNMENT ORGANIZATION: Tennessee Heritage Protection Act of 2016 – exclusions. Excludes from coverage under the Tennessee Heritage Protection Act of 2016 memorials under the control of an accredited museum, public library, or public archive in certain circumstances. Amendment Summary: House State Government Committee amendment 1 (012101) prohibits public entities from selling or disposing of memorials on public property. Requires public entities to file a petition before any transaction involving a nonprofit or private entity. Allows interested parties to offer public comments regarding the petition prior to the commission’s decision. Establishes guidelines for the filing of complaints with the commission. House Finance, Ways & Means Subcommittee amendment 1 (016250) adds language to place the THPA under the governance of the Uniform Administrative Procedures Act (UAPA). Fiscal Note: (Dated February 13, 2018) NOT SIGNIFICANT Senate Status: 04/03/18 – Senate Finance Committee set behind budget after adopting amendment 1 (016250). House Status: 04/05/18 – Set for House Finance Subcommittee Behind the Budget Calendar 04/11/18. Position: Realtors: monitor SB2520 – B. Ketron – 04/03/18 – Senate Finance Committee set behind budget after adopting amendment 1 (016250). |
| 89. | HB1061 McCormick G. | INSURANCE GENERAL: Historic Rehabilitation Investment Incentive Act. Enacts the Historic Rehabilitation Investment Incentive Act to facilitate the restoration and preservation of the state’s historic buildings and structures and redevelop the state’s main street communities. Amendment Summary: House Insurance and Banking Committee Amendment 1 (004236) makes minute changes by deleting the language “Sections 2 through 8” in Section 1 and substituting the language “Sections 2 through 7.” Also deletes the word “chapter” in the first sentence of subdivision (b)(2) in Section 5 and substituting the word “part.” Further deletes the language “headings to sections, chapters, and parts” in Section 8 and substituting the language “headings to sections.” Fiscal Note: (Dated February 23, 2017) Increase State Revenue $53,900/FY17-18 and Subsequent Years/ Historical Commission Decrease State Revenue $1,074,400/FY17-18/State Premium Taxes* $3,223,100/FY18-19/State Premium Taxes* $5,371,800/FY19-20/State Premium Taxes* $6,446,200/FY20-21 and Subsequent Years/ State Premium Taxes* HB 1061 – SB 1040 Increase State Expenditures $53,900/FY17-18 and Subsequent Years/ Historical Commission Other Fiscal Impact Secondary economic impacts may occur as a result of this bill. However, due to multiple unknown factors, fiscal impacts directly attributable to such secondary economic impacts cannot be quantified with reasonable certainty. *The following funds/departments will be affected by the awarding of tax credits: General Fund, Second Injury Fund, and the Department of Commerce and Insurance. The extent to which any fund or Department will be affected cannot be determined with reasonable certainty. Senate Status: 05/09/17 – Taken off notice in Senate Finance, Ways & Means Committee. House Status: 04/05/18 – Set for House Finance Subcommittee Behind the Budget Calendar 04/11/18. Position: Realtors: support SB1040 – B. Watson – 05/09/17 – Taken off notice in Senate Finance, Ways & Means Committee. |
