HB 69 - SB 133 FISCAL NOTE Fiscal Review Committee Tennessee General Assembly February 3, 2025 Fiscal Analyst: Christine Drescher | Email: christine.drescher@capitol.tn.gov | Phone: 615-741-2564 HB 69 - SB 133 SUMMARY OF BILL: Requires the Coordinator of Elections (COE), in collaboration with the Department of Safety (DOS), to create a secure, electronic portal by January 1, 2028, through which each county administrator of elections may access information to verify if an individual applying to register to vote is a non-United States citizen. Requires the COE, in collaboration with the Tennessee Bureau of Investigation (TBI), to create an electronic portal by January 1, 2028 through which each county administrator of elections may access information to verify an applicant’s eligibility to vote based on any felony conviction. Requires the county administrator of elections to provide written notice to a registrant that they have the right to appeal if a decision is made to reject an application, along with an appeal form, upon the enactment of the proposed legislation. Beginning January 1, 2026, prohibits the use of a temporary driver license as verification of a person’s identification on an application for ballot. Prohibits a lawful permanent resident who is not a United States citizen from applying for a driver license, instruction permit, intermediate driver license, or photo identification card. By January 1, 2026, requires that there be a distinguishable difference from a temporary driver license, temporary photo identification license, or temporary permit from a license issued to a United States citizen for voting purposes. Prohibits DOS from issuing lawful permanent residents a driver license of any class that is not temporary. Requires a lawful permanent resident who renews or reinstates a license or permit after January 1, 2026, to provide proof of United States citizenship in order to retain such license or permit. Requires, if a lawful permanent resident cannot provide proof of United States citizenship, the lawful permanent resident to be issued a temporary version of the license or permit. FISCAL IMPACT: STATE GOVERNMENT EXPENDITURES General Fund FY25-26 $800,000 OTHER FISCAL IMPACT Previously awarded federal grant funds could offset some of the expenditures for the development of electronic portals; however, the extent and timing of any such offset cannot be determined with reasonable certainty. HB 69 - SB 133 2 Assumptions: Driver License Requirements for U.S. Non-Citizens • Pursuant to Tenn. Code Ann. § 55-50-303(9), the DOS is prohibited from issuing a driver license of any class to any person who is not a United States citizen or lawful permanent resident of the United States. • The proposed legislation revises this statute to prohibit the DOS from issuing a driver license of any class to a lawful permanent resident that is not temporary. Lawful permanent residents will only be authorized to obtain temporary driver licenses regardless of class. • This project will require various software modifications and new card design and implementation. • Passage of SB 6002 / HB 6001 during the First Extraordinary Session of the 114th General Assembly provided for such work to be completed by the DOS’s two relevant vendors. As such, any fiscal impact is estimated to be not significant. • The TBI and county administrators of elections can complete the terms of this proposal utilizing existing resources and personnel. • Workers at polling locations will not need a significant amount of training to correctly identify valid identification cards. Creation of Electronic Portal • The COE will need to contract with a vendor to create an electronic portal through which county administrators of elections can verify an applicant’s eligibility to vote based on any felony convictions. • Based upon former grant proposals for enhancements to their election processes, the contract is estimated to result in a one-time increase in state expenditures of $800,000 in FY25-26. • Based upon information provided by the Secretary of State, federal grant funds currently awarded may entail developing a portal to improve election processes. Should the terms of this legislation pass approval, these grant funds could possibly be used to offset some costs. The extent and timing of any such offset cannot be determined with reasonable certainty. CERTIFICATION: The information contained herein is true and correct to the best of my knowledge. Bojan Savic, Executive Director