HB 98 - SB 165
FISCAL NOTE
Fiscal Review Committee
Tennessee General Assembly
February 19, 2025
Fiscal Analyst: Christine Drescher | Email: christine.drescher@capitol.tn.gov | Phone: 615-741-2564
HB 98 - SB 165
SUMMARY OF BILL: Increases the authorized annual state match contributions for
human resource agencies pursuant to the Human Resource Agency Act of 1973. Removes any
contribution cap per county.
FISCAL IMPACT:
OTHER FISCAL IMPACT
To the extent the state appropriates the proposed maximum to all human resource agencies in any
given year, the increase in state expenditures directly attributable to this legislation will be $1,980,000
in any such year. In addition, there would be corresponding increases in funding to the human
resource agencies. Removing the contribution cap per county may result in a permissive increase in
local expenditures. The extent and timing of any permissive increase cannot be reasonably
determined.
Assumptions:
• Pursuant to Tenn. Code Ann. § 13-26-107(c), local human resource agencies may receive
matching funds from the state with a maximum of $150,000 per agency.
• Under the proposed legislation, the maximum amount that may be appropriated by the
state to each agency is $370,000.
• The provisions of this legislation will authorize an additional $220,000 ($370,000 -
$150,000) to be appropriated to each human resource agency.
• There are currently nine human resource agencies. As a result, total state appropriations
could increase by as much as $1,980,000 in any given year as a direct result of the proposed
legislation ($220,000 x 9 entities).
• Based on information provided by the Department of Human Services, each of the nine
human resource agencies received $120,840 in FY24-25, for a total of $1,087,560 ($120,840
x 9).
• The total maximum that would be authorized under this legislation is $3,330,000 ($370,000
x 9 entities). Therefore, an additional $2,242,440 ($3,330,000 - $1,087,560) could be
appropriated after passage of this legislation. However, only $1,980,000 of the $2,242,440
would be directly attributable to the provisions of this legislation; the remaining $262,440
($2,242,440 - $1,980,000) would be attributable to current law.
• As the legislation removes any contribution cap per county, there may be a permissive
increase in local government expenditures. The extent and timing of any permissive increase
cannot be reasonably estimated.
HB 98 - SB 165 2
CERTIFICATION:
The information contained herein is true and correct to the best of my knowledge.
Bojan Savic, Executive Director