Tennessee House Bill HB7107

Tennessee 2023-2024 Regular Session

• Introduced: 8/21/23
• Refer: 8/24/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 33; Title 46; Title 49 and Title 67, relative to the use of sales tax proceeds for mental health resources and services.

Impact

Through the establishment of the mental health resources account, HB7107 intends not only to address funding gaps in mental health services but also to ensure that these funds remain earmarked for this purpose rather than reverting to the state's general fund. Local governments and nonprofit organizations will have the opportunity to apply for grants annually to support mental health initiatives, which could significantly enhance service delivery in communities across Tennessee. The bill, set to take effect on October 1, 2023, represents a proactive step in fostering mental health resources using newly designated tax proceeds.

Summary

House Bill 7107 aims to amend various sections of the Tennessee Code, including Titles 33, 46, 49, and 67, to mandate that all sales tax proceeds collected on firearms, ammunition, and firearm accessories be allocated to a newly created 'mental health resources account.' This initiative reflects a concerted effort to utilize specific tax revenues to enhance mental health resources and services throughout the state. By design, this bill targets a direct revenue stream associated with the sale of firearms, thereby linking firearm sales with mental health funding.

Contention

Despite its positive intentions, the bill may face opposition based on debates around the appropriateness of using sales tax from firearms sales specifically for mental health funding. Critics may argue that there are significant concerns about tying mental health resource allocations to a highly contentious and politically charged subject like firearms. Additionally, there might be discussions regarding the sufficiency of funds generated from this tax for the expansive needs of mental health services, raising questions about the sustainability of this funding model.

Notable_points

The bill allows for a new mechanism for funding mental health services, potentially enabling programs that may have struggled with funding previously. However, it also emphasizes the procedural aspect of grant applications and the guidelines that the state treasurer must implement if demand exceeds the available funding. This creates a structured yet competitive environment for securing resources, which could affect how effectively localities or nonprofits can respond to mental health needs.