HB 25 - SB 16 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly March 8, 2025 Fiscal Analyst: Alan Hampton | Email: alan.hampton@capitol.tn.gov | Phone: 615-741-2564 HB 25 - SB 16 SUMMARY OF BILL: Prohibits a public school from using public funds to join, become members of, or maintain membership in an association that regulates interscholastic athletics if the association prohibits a student from participating in an interscholastic athletic competition due to the student transferring no more than once from a school at which the student previously participated in an interscholastic athletic competition regulated by the association. FISCAL IMPACT: OTHER FISCAL IMPACT If the TSSAA does not change the current transfer rule, then public schools would need to change associations or create a new one and there may be costs associated with such change. However, due to multiple unknown factors, a precise local impact cannot be determined. Assumptions: • Schools in Tennessee must join the Tennessee Secondary School Athletic Association (TSSAA) in order to participate in interscholastic athletics. • The TSSAA’s previous transfer rule required student-athletes who left one school for another in a different zone to be ineligible for one calendar year from their last varsity game unless they had a change of address. • On March 3, 2025, the TSSAA Legislative Council approved a proposal to allow athletes one free transfer to another school without loss of eligibility if the transfer is for reasons unrelated to athletics. • The proposed legislation would require TSSAA to change its transfer rules to allow athletes one free transfer without any eligibility restrictions, in order for a public school to use public funds to join or maintain membership in TSSAA. • If the TSSAA does not change the current transfer rule, then public schools would need to change associations or create a new one, and there may be costs associated with such change. However, due to multiple unknown factors, a precise local impact cannot be determined. • No impact to state government. HB 25 - SB 16 2 CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director