Tennessee 2023-2024 Regular Session

Tennessee Senate Bill SB2973

Introduced
2/27/24  
Chaptered
5/13/24  

Caption

AN ACT to create a financial management system in Carroll County.

Impact

The enactment of SB2973 will significantly reshape the county's financial operations. The Finance Department will be tasked with overseeing the finances of all county agencies, ensuring adherence to generally accepted governmental accounting principles. The CCFMS will centralize authority and streamline processes, potentially leading to reduced operational redundancies and enhanced oversight over spending and resource allocation. This shift is expected to improve accountability and promote better fiscal health within the county.

Summary

Senate Bill 2973, known as the Carroll County Financial Management System of 2024 (CCFMS), aims to implement a streamlined and standardized financial management system for Carroll County. It is designed to improve the efficiency of how the county handles its finances, covering key areas such as accounting, budgeting, purchasing, investment oversight, debt management, grant coordination, payroll, and cash management. By establishing a dedicated Finance Department, the bill seeks to ensure all financial operations are conducted consistently and transparently across county government agencies.

Sentiment

The reaction to SB2973 has been mixed. Proponents, including some local officials and finance experts, support the bill as a necessary modernization of the county's financial practices. They argue that a unified financial management system can reduce errors, improve budgeting accuracy, and facilitate better planning for future expenses. However, opponents express concerns about the possible loss of local control and oversight, fearing that shifting responsibilities to a centralized department could dilute accountability at the agency level. This division illustrates a larger debate about governance and efficiency in local government operations.

Contention

A notable point of contention surrounding SB2973 involves the establishment and operational independence of the Finance Department and the Carroll County Finance, Ways, and Means Committee (CCFWMC). Some officials worry about the concentration of power in the Finance Director and the CCFWMC, particularly in light of the significant authority granted over budgeting, purchasing policies, and debt issuance. Critics argue that this could lead to an imbalance in oversight if not checked appropriately. Ensuring the checks and balances remain intact within this new structure will be critical to the successful implementation of the bill.

Companion Bills

TN HB2985

Crossfiled AN ACT to create a financial management system in Carroll County.

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AN ACT to create a financial management system in Carroll County.

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